    [Congressional Bills 104th Congress]
    [From the U.S. Government Publishing Office]
    [S. 1124 Enrolled Bill (ENR)]

            S.1124

                           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 1996 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, to reform acquisition laws
    and information technology management of the Federal Government, 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 1996''.

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

        (a) Divisions.--This Act is organized into five 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.
            (4) Division D--Federal Acquisition Reform.
            (5) Division E--Information Technology Management Reform.
        (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.
    Sec. 4. Extension of time for submission of reports.

                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. Procurement of OH-58D Armed Kiowa Warrior helicopters.
    Sec. 112. Repeal of requirements for armored vehicle upgrades.
    Sec. 113. Multiyear procurement of helicopters.
    Sec. 114. Report on AH-64D engine upgrades.
    Sec. 115. Requirement for use of previously authorized multiyear
    procurement authority for Army small arms procurement.

                            Subtitle C--Navy Programs

    Sec. 131. Nuclear attack submarines.
    Sec. 132. Research for advanced submarine technology.
    Sec. 133. Cost limitation for Seawolf submarine program.
    Sec. 134. Repeal of prohibition on backfit of Trident submarines.
    Sec. 135. Arleigh Burke class destroyer program.
    Sec. 136. Acquisition program for crash attenuating seats.
    Sec. 137. T-39N trainer aircraft.
    Sec. 138. Pioneer unmanned aerial vehicle program.

                         Subtitle D--Air Force Programs

    Sec. 141. B-2 aircraft program.
    Sec. 142. Procurement of B-2 bombers.
    Sec. 143. MC-130H aircraft program.

                  Subtitle E--Chemical Demilitarization Program

    Sec. 151. Repeal of requirement to proceed expeditiously with
    development of chemical demilitarization cryofracture facility at Tooele
    Army Depot, Utah.
    Sec. 152. Destruction of existing stockpile of lethal chemical agents
    and munitions.
    Sec. 153. Administration of chemical demilitarization program.

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

                   Subtitle A--Authorization of Appropriations

    Sec. 201. Authorization of appropriations.
    Sec. 202. Amount for basic research and exploratory development.
    Sec. 203. Modifications to Strategic Environmental Research and
    Development Program.
    Sec. 204. Defense dual use technology initiative.

         Subtitle B--Program Requirements, Restrictions, and Limitations

    Sec. 211. Space launch modernization.
    Sec. 212. Tactical manned reconnaissance.
    Sec. 213. Joint Advanced Strike Technology (JAST) program.
    Sec. 214. Development of laser program.
    Sec. 215. Navy mine countermeasures program.
    Sec. 216. Space-based infrared system.
    Sec. 217. Defense Nuclear Agency programs.
    Sec. 218. Counterproliferation support program.
    Sec. 219. Nonlethal weapons study.
    Sec. 220. Federally funded research and development centers and
    university-affiliated research centers.
    Sec. 221. Joint seismic program and global seismic network.
    Sec. 222. Hydra-70 rocket product improvement program.
    Sec. 223. Limitation on obligation of funds until receipt of electronic
    combat consolidation master plan.
    Sec. 224. Report on reductions in research, development, test, and
    evaluation.
    Sec. 225. Advanced Field Artillery System (Crusader).
    Sec. 226. Demilitarization of conventional munitions, rockets, and
    explosives.
    Sec. 227. Defense Airborne Reconnaissance program.

                Subtitle C--Ballistic Missile Defense Act of 1995

    Sec. 231. Short title.
    Sec. 232. Findings.
    Sec. 233. Ballistic Missile Defense policy.
    Sec. 234. Theater Missile Defense architecture.
    Sec. 235. Prohibition on use of funds to implement an international
    agreement concerning Theater Missile Defense systems.
    Sec. 236. Ballistic Missile Defense cooperation with allies.
    Sec. 237. ABM Treaty defined.
    Sec. 238. Repeal of Missile Defense Act of 1991.

             Subtitle D--Other Ballistic Missile Defense Provisions

    Sec. 251. Ballistic Missile Defense program elements.
    Sec. 252. Testing of Theater Missile Defense interceptors.
    Sec. 253. Repeal of missile defense provisions.

             Subtitle E--Miscellaneous Reviews, Studies, and Reports

    Sec. 261. Precision-guided munitions.
    Sec. 262. Review of C<SUP>4I by National Research Council.
    Sec. 263. Analysis of consolidation of basic research accounts of
    military departments.
    Sec. 264. Change in reporting period from calendar year to fiscal year
    for annual report on certain contracts to colleges and universities.
    Sec. 265. Aeronautical research and test capabilities assessment.

                            Subtitle F--Other Matters

    Sec. 271. Advanced lithography program.
    Sec. 272. Enhanced fiber optic guided missile (EFOG-M) system.
    Sec. 273. States eligible for assistance under Defense Experimental
    Program To Stimulate Competitive Research.
    Sec. 274. Cruise missile defense initiative.
    Sec. 275. Modification to university research initiative support
    program.
    Sec. 276. Manufacturing technology program.
    Sec. 277. Five-year plan for consolidation of defense laboratories and
    test and evaluation centers.
    Sec. 278. Limitation on T-38 avionics upgrade program.
    Sec. 279. Global Positioning System.
    Sec. 280. Revision of authority for providing Army support for the
    National Science Center for Communications and Electronics.

                      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.

                       Subtitle B--Depot-Level Activities

    Sec. 311. Policy regarding performance of depot-level maintenance and
    repair for the Department of Defense.
    Sec. 312. Management of depot employees.
    Sec. 313. Extension of authority for aviation depots and naval shipyards
    to engage in defense-related production and services.
    Sec. 314. Modification of notification requirement regarding use of core
    logistics functions waiver.

                      Subtitle C--Environmental Provisions

    Sec. 321. Revision of requirements for agreements for services under
    environmental restoration program.
    Sec. 322. Addition of amounts creditable to Defense Environmental
    Restoration Account.
    Sec. 323. Use of Defense Environmental Restoration Account.
    Sec. 324. Revision of authorities relating to restoration advisory
    boards.
    Sec. 325. Discharges from vessels of the Armed Forces.

       Subtitle D--Commissaries and Nonappropriated Fund Instrumentalities

    Sec. 331. Operation of commissary system.
    Sec. 332. Limited release of commissary stores sales information to
    manufacturers, distributors, and other vendors doing business with
    Defense Commissary Agency.
    Sec. 333. Economical distribution of distilled spirits by
    nonappropriated fund instrumentalities.
    Sec. 334. Transportation by commissaries and exchanges to overseas
    locations.
    Sec. 335. Demonstration project for uniform funding of morale, welfare,
    and recreation activities at certain military installations.
    Sec. 336. Operation of combined exchange and commissary stores.
    Sec. 337. Deferred payment programs of military exchanges.
    Sec. 338. Availability of funds to offset expenses incurred by Army and
    Air Force Exchange Service on account of troop reductions in Europe.
    Sec. 339. Study regarding improving efficiencies in operation of
    military exchanges and other morale, welfare, and recreation activities
    and commissary stores.
    Sec. 340. Repeal of requirement to convert ships' stores to
    nonappropriated fund instrumentalities.
    Sec. 341. Disposition of excess morale, welfare, and recreation funds.
    Sec. 342. Clarification of entitlement to use of morale, welfare, and
    recreation facilities by members of reserve components and dependents.

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

    Sec. 351. Competitive procurement of printing and duplication services.
    Sec. 352. Direct vendor delivery system for consumable inventory items
    of Department of Defense.
    Sec. 353. Payroll, finance, and accounting functions of the Department
    of Defense.
    Sec. 354. Demonstration program to identify overpayments made to
    vendors.
    Sec. 355. Pilot program on private operation of defense dependents'
    schools.
    Sec. 356. Program for improved travel process for the Department of
    Defense.
    Sec. 357. Increased reliance on private-sector sources for commercial
    products and services.

             Subtitle F--Miscellaneous Reviews, Studies, and Reports

    Sec. 361. Quarterly readiness reports.
    Sec. 362. Restatement of requirement for semiannual reports to Congress
    on transfers from high-priority readiness appropriations.
    Sec. 363. Report regarding reduction of costs associated with contract
    management oversight.
    Sec. 364. Reviews of management of inventory control points and Material
    Management Standard System.
    Sec. 365. Report on private performance of certain functions performed
    by military aircraft.
    Sec. 366. Strategy and report on automated information systems of
    Department of Defense.

                            Subtitle G--Other Matters

    Sec. 371. Codification of Defense Business Operations Fund.
    Sec. 372. Clarification of services and property that may be exchanged
    to benefit the historical collection of the Armed Forces.
    Sec. 373. Financial management training.
    Sec. 374. Permanent authority for use of proceeds from the sale of
    certain lost, abandoned, or unclaimed property.
    Sec. 375. Sale of military clothing and subsistence and other supplies
    of the Navy and Marine Corps.
    Sec. 376. Personnel services and logistical support for certain
    activities held on military installations.
    Sec. 377. Retention of monetary awards.
    Sec. 378. Provision of equipment and facilities to assist in emergency
    response actions.
    Sec. 379. Report on Department of Defense military and civil defense
    preparedness to respond to emergencies resulting from a chemical,
    biological, radiological, or nuclear attack.

                   TITLE IV--MILITARY PERSONNEL AUTHORIZATIONS

                            Subtitle A--Active Forces

    Sec. 401. End strengths for active forces.
    Sec. 402. Temporary variation in DOPMA authorized end strength
    limitations for active duty Air Force and Navy officers in certain
    grades.
    Sec. 403. Certain general and flag officers awaiting retirement not to
    be counted.

                           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. Counting of certain active component personnel assigned in
    support of reserve component training.
    Sec. 414. Increase in number of members in certain grades authorized to
    serve on active duty in support of the Reserves.
    Sec. 415. Reserves on active duty in support of cooperative threat
    reduction programs not to be counted.
    Sec. 416. Reserves on active duty for military-to-military contacts and
    comparable activities not to be counted.

                   Subtitle C--Military Training Student Loads

    Sec. 421. Authorization of training student loads.

                   Subtitle D--Authorization of Appropriations

    Sec. 431. Authorization of appropriations for military personnel.
    Sec. 432. Authorization for increase in active-duty end strengths.

                       TITLE V--MILITARY PERSONNEL POLICY

                      Subtitle A--Officer Personnel Policy

    Sec. 501. Joint officer management.
    Sec. 502. Retired grade for officers in grades above major general and
    rear admiral.
    Sec. 503. Wearing of insignia for higher grade before promotion.
    Sec. 504. Authority to extend transition period for officers selected
    for early retirement.
    Sec. 505. Army officer manning levels.
    Sec. 506. Authority for medical department officers other than
    physicians to be appointed as Surgeon General.
    Sec. 507. Deputy Judge Advocate General of the Air Force.
    Sec. 508. Authority for temporary promotions for certain Navy
    lieutenants with critical skills.
    Sec. 509. Retirement for years of service of Directors of Admissions of
    Military and Air Force academies.

               Subtitle B--Matters Relating to Reserve Components

    Sec. 511. Extension of certain Reserve officer management authorities.
    Sec. 512. Mobilization income insurance program for members of Ready
    Reserve.
    Sec. 513. Military technician full-time support program for Army and Air
    Force reserve components.
    Sec. 514. Revisions to Army Guard Combat Reform Initiative to include
    Army Reserve under certain provisions and make certain revisions.
    Sec. 515. Active duty associate unit responsibility.
    Sec. 516. Leave for members of reserve components performing public
    safety duty.
    Sec. 517. Department of Defense funding for National Guard participation
    in joint disaster and emergency assistance exercises.

                       Subtitle C--Decorations and Awards

    Sec. 521. Award of Purple Heart to persons wounded while held as
    prisoners of war before April 25, 1962.
    Sec. 522. Authority to award decorations recognizing acts of valor
    performed in combat during the Vietnam conflict.
    Sec. 523. Military intelligence personnel prevented by secrecy from
    being considered for decorations and awards.
    Sec. 524. Review regarding upgrading of Distinguished-Service Crosses
    and Navy Crosses awarded to Asian-Americans and Native American Pacific
    Islanders for World War II service.
    Sec. 525. Eligibility for Armed Forces Expeditionary Medal based upon
    service in El Salvador.
    Sec. 526. Procedure for consideration of military decorations not
    previously submitted in timely fashion.

                     Subtitle D--Officer Education Programs

                            Part I--Service Academies

    Sec. 531. Revision of service obligation for graduates of the service
    academies.
    Sec. 532. Nominations to service academies from Commonwealth of the
    Northern Marianas Islands.
    Sec. 533. Repeal of requirement for athletic director and
    nonappropriated fund account for the athletics programs at the service
    academies.
    Sec. 534. Repeal of requirement for program to test privatization of
    service academy preparatory schools.

                     Part II--Reserve Officer Training Corps

    Sec. 541. ROTC access to campuses.
    Sec. 542. ROTC scholarships for the National Guard.
    Sec. 543. Delay in reorganization of Army ROTC regional headquarters
    structure.
    Sec. 544. Duration of field training or practice cruise required under
    the Senior Reserve Officers' Training Corps program.
    Sec. 545. Active duty officers detailed to ROTC duty at senior military
    colleges to serve as Commandant and Assistant Commandant of Cadets and
    as tactical officers.

             Subtitle E--Miscellaneous Reviews, Studies, and Reports

    Sec. 551. Report concerning appropriate forum for judicial review of
    Department of Defense personnel actions.
    Sec. 552. Comptroller General review of proposed Army end strength
    allocations.
    Sec. 553. Report on manning status of highly deployable support units.
    Sec. 554. Review of system for correction of military records.
    Sec. 555. Report on the consistency of reporting of fingerprint cards
    and final disposition forms to the Federal Bureau of Investigation.

                            Subtitle F--Other Matters

    Sec. 561. Equalization of accrual of service credit for officers and
    enlisted members.
    Sec. 562. Army Ranger training.
    Sec. 563. Separation in cases involving extended confinement.
    Sec. 564. Limitations on reductions in medical personnel.
    Sec. 565. Sense of Congress concerning personnel tempo rates.
    Sec. 566. Separation benefits during force reduction for officers of
    commissioned corps of National Oceanic and Atmospheric Administration.
    Sec. 567. Discharge of members of the Armed Forces who have the HIV-1
    virus.
    Sec. 568. Revision and codification of Military Family Act and Military
    Child Care Act.
    Sec. 569. Determination of whereabouts and status of missing persons.
    Sec. 570. Associate Director of Central Intelligence for Military
    Support.

          Subtitle G--Support for Non-Department of Defense Activities

    Sec. 571. Repeal of certain civil-military programs.
    Sec. 572. Training activities resulting in incidental support and
    services for eligible organizations and activities outside the
    Department of Defense.
    Sec. 573. National Guard civilian youth opportunities pilot program.
    Sec. 574. Termination of funding for Office of Civil-Military Programs
    in Office of the Secretary of Defense.

               TITLE VI--COMPENSATION AND OTHER PERSONNEL BENEFITS

                         Subtitle A--Pay and Allowances

    Sec. 601. Military pay raise for fiscal year 1996.
    Sec. 602. Limitation on basic allowance for subsistence for members
    residing without dependents in Government quarters.
    Sec. 603. Election of basic allowance for quarters instead of assignment
    to inadequate quarters.
    Sec. 604. Payment of basic allowance for quarters to members in pay
    grade E-6 who are assigned to sea duty.
    Sec. 605. Limitation on reduction of variable housing allowance for
    certain members.
    Sec. 606. Clarification of limitation on eligibility for family
    separation allowance.

               Subtitle B--Bonuses and Special and Incentive Pays

    Sec. 611. Extension of certain bonuses for reserve forces.
    Sec. 612. Extension of certain bonuses and special pay for nurse officer
    candidates, registered nurses, and nurse anesthetists.
    Sec. 613. Extension of authority relating to payment of other bonuses
    and special pays.
    Sec. 614. Codification and extension of special pay for critically short
    wartime health specialists in the Selected Reserves.
    Sec. 615. Hazardous duty incentive pay for warrant officers and enlisted
    members serving as air weapons controllers.
    Sec. 616. Aviation career incentive pay.
    Sec. 617. Clarification of authority to provide special pay for nurses.
    Sec. 618. Continuous entitlement to career sea pay for crew members of
    ships designated as tenders.
    Sec. 619. Increase in maximum rate of special duty assignment pay for
    enlisted members serving as recruiters.

                Subtitle C--Travel and Transportation Allowances

    Sec. 621. Repeal of requirement regarding calculation of allowances on
    basis of mileage tables.
    Sec. 622. Departure allowances.
    Sec. 623. Transportation of nondependent child from member's station
    overseas after loss of dependent status while overseas.
    Sec. 624. Authorization of dislocation allowance for moves in connection
    with base realignments and closures.

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

    Sec. 631. Effective date for military retiree cost-of-living adjustments
    for fiscal years 1996, 1997, and 1998.
    Sec. 632. Denial of non-regular service retired pay for Reserves
    receiving certain court-martial sentences.
    Sec. 633. Report on payment of annuities for certain military surviving
    spouses.
    Sec. 634. Payment of back quarters and subsistence allowances to World
    War II veterans who served as guerilla fighters in the Philippines.
    Sec. 635. Authority for relief from previous overpayments under minimum
    income widows program.
    Sec. 636. Transitional compensation for dependents of members of the
    Armed Forces separated for dependent abuse.

                            Subtitle E--Other Matters

    Sec. 641. Payment to survivors of deceased members for all leave
    accrued.
    Sec. 642. Repeal of reporting requirements regarding compensation
    matters.
    Sec. 643. Recoupment of administrative expenses in garnishment actions.
    Sec. 644. Report on extending to junior noncommissioned officers
    privileges provided for senior noncommissioned officers.
    Sec. 645. Study regarding joint process for determining location of
    recruiting stations.
    Sec. 646. Automatic maximum coverage under Servicemen's Group Life
    Insurance.
    Sec. 647. Termination of Servicemen's Group Life Insurance for members
    of the Ready Reserve who fail to pay premiums.

                        TITLE VII--HEALTH CARE PROVISIONS

                        Subtitle A--Health Care Services

    Sec. 701. Modification of requirements regarding routine physical
    examinations and immunizations under CHAMPUS.
    Sec. 702. Correction of inequities in medical and dental care and death
    and disability benefits for certain Reserves.
    Sec. 703. Medical care for surviving dependents of retired Reserves who
    die before age 60.
    Sec. 704. Medical and dental care for members of the Selected Reserve
    assigned to early deploying units of the Army Selected Reserve.
    Sec. 705. Dental insurance for members of the Selected Reserve.
    Sec. 706. Permanent authority to carry out specialized treatment
    facility program.

                           Subtitle B--TRICARE Program

    Sec. 711. Definition of TRICARE program.
    Sec. 712. Priority use of military treatment facilities for persons
    enrolled in managed care initiatives.
    Sec. 713. Staggered payment of enrollment fees for TRICARE program.
    Sec. 714. Requirement of budget neutrality for TRICARE program to be
    based on entire program.
    Sec. 715. Training in health care management and administration for
    TRICARE lead agents.
    Sec. 716. Pilot program of individualized residential mental health
    services.
    Sec. 717. Evaluation and report on TRICARE program effectiveness.
    Sec. 718. Sense of Congress regarding access to health care under
    TRICARE program for covered beneficiaries who are medicare eligible.

               Subtitle C--Uniformed Services Treatment Facilities

    Sec. 721. Delay of termination of status of certain facilities as
    Uniformed Services Treatment Facilities.
    Sec. 722. Limitation on expenditures to support Uniformed Services
    Treatment Facilities.
    Sec. 723. Application of CHAMPUS payment rules in certain cases.
    Sec. 724. Application of Federal Acquisition Regulation to participation
    agreements with Uniformed Services Treatment Facilities.
    Sec. 725. Development of plan for integrating Uniformed Services
    Treatment Facilities in managed care programs of Department of Defense.
    Sec. 726. Equitable implementation of uniform cost sharing requirements
    for Uniformed Services Treatment Facilities.
    Sec. 727. Elimination of unnecessary annual reporting requirement
    regarding Uniformed Services Treatment Facilities.

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

    Sec. 731. Maximum allowable payments to individual health-care providers
    under CHAMPUS.
    Sec. 732. Notification of certain CHAMPUS covered beneficiaries of loss
    of CHAMPUS eligibility.
    Sec. 733. Personal services contracts for medical treatment facilities
    of the Coast Guard.
    Sec. 734. Identification of third-party payer situations.
    Sec. 735. Redesignation of Military Health Care Account as Defense
    Health Program Account and two-year availability of certain account
    funds.
    Sec. 736. Expansion of financial assistance program for health-care
    professionals in reserve components to include dental specialties.
    Sec. 737. Applicability of limitation on prices of pharmaceuticals
    procured for Coast Guard.
    Sec. 738. Restriction on use of Department of Defense facilities for
    abortions.

                            Subtitle E--Other Matters

    Sec. 741. Triservice nursing research.
    Sec. 742. Termination of program to train military psychologists to
    prescribe psychotropic medications.
    Sec. 743. Waiver of collection of payments due from certain persons
    unaware of loss of CHAMPUS eligibility.
    Sec. 744. Demonstration program to train military medical personnel in
    civilian shock trauma units.
    Sec. 745. Study regarding Department of Defense efforts to determine
    appropriate force levels of wartime medical personnel.
    Sec. 746. Report on improved access to military health care for covered
    beneficiaries entitled to medicare.
    Sec. 747. Report on effect of closure of Fitzsimons Army Medical Center,
    Colorado, on provision of care to military personnel, retired military
    personnel, and their dependents.
    Sec. 748. Sense of Congress on continuity of health care services for
    covered beneficiaries adversely affected by closures of military medical
    treatment facilities.
    Sec. 749. State recognition of military advance medical directives.

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

                         Subtitle A--Acquisition Reform

    Sec. 801. Inapplicability of limitation on expenditure of appropriations
    to contracts at or below simplified acquisition threshold.
    Sec. 802. Authority to delegate contracting authority.
    Sec. 803. Control in procurements of critical aircraft and ship spare
    parts.
    Sec. 804. Fees for certain testing services.
    Sec. 805. Coordination and communication of defense research activities.
    Sec. 806. Addition of certain items to domestic source limitation.
    Sec. 807. Encouragement of use of leasing authority.
    Sec. 808. Cost reimbursement rules for indirect costs attributable to
    private sector work of defense contractors.
    Sec. 809. Subcontracts for ocean transportation services.
    Sec. 810. Prompt resolution of audit recommendations.
    Sec. 811. Test program for negotiation of comprehensive subcontracting
    plans.
    Sec. 812. Procurement of items for experimental or test purposes.
    Sec. 813. Use of funds for acquisition of designs, processes, technical
    data, and computer software.
    Sec. 814. Independent cost estimates for major defense acquisition
    programs.
    Sec. 815. Construction, repair, alteration, furnishing, and equipping of
    naval vessels.

                            Subtitle B--Other Matters

    Sec. 821. Procurement technical assistance programs.
    Sec. 822. Defense facility-wide pilot program.
    Sec. 823. Treatment of Department of Defense cable television franchise
    agreements.
    Sec. 824. Extension of pilot mentor-protege program.

           TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT

                           Subtitle A--General Matters

    Sec. 901. Organization of the Office of the Secretary of Defense.
    Sec. 902. Reduction in number of Assistant Secretary of Defense
    positions.
    Sec. 903. Deferred repeal of various statutory positions and offices in
    Office of the Secretary of Defense.
    Sec. 904. Redesignation of the position of Assistant to the Secretary of
    Defense for Atomic Energy.
    Sec. 905. Joint Requirements Oversight Council.
    Sec. 906. Restructuring of Department of Defense acquisition
    organization and workforce.
    Sec. 907. Report on Nuclear Posture Review and on plans for nuclear
    weapons management in event of abolition of Department of Energy.
    Sec. 908. Redesignation of Advanced Research Projects Agency.

                        Subtitle B--Financial Management

    Sec. 911. Transfer authority regarding funds available for foreign
    currency fluctuations.
    Sec. 912. Defense Modernization Account.
    Sec. 913. Designation and liability of disbursing and certifying
    officials.
    Sec. 914. Fisher House trust funds.
    Sec. 915. Limitation on use of authority to pay for emergency and
    extraordinary expenses.

                           TITLE X--GENERAL PROVISIONS

                          Subtitle A--Financial Matters

    Sec. 1001. Transfer authority.
    Sec. 1002. Incorporation of classified annex.
    Sec. 1003. Improved funding mechanisms for unbudgeted operations.
    Sec. 1004. Operation Provide Comfort.
    Sec. 1005. Operation Enhanced Southern Watch.
    Sec. 1006. Authority for obligation of certain unauthorized fiscal year
    1995 defense appropriations.
    Sec. 1007. Authorization of prior emergency supplemental appropriations
    for fiscal year 1995.
    Sec. 1008. Authorization reductions to reflect savings from revised
    economic assumptions.

                     Subtitle B--Naval Vessels and Shipyards

    Sec. 1011. Iowa class battleships.
    Sec. 1012. Transfer of naval vessels to certain foreign countries.
    Sec. 1013. Contract options for LMSR vessels.
    Sec. 1014. National Defense Reserve Fleet.
    Sec. 1015. Naval salvage facilities.
    Sec. 1016. Vessels subject to repair under phased maintenance contracts.
    Sec. 1017. Clarification of requirements relating to repairs of vessels.
    Sec. 1018. Sense of Congress concerning naming of amphibious ships.
    Sec. 1019. Sense of Congress concerning naming of naval vessel.
    Sec. 1020. Transfer of riverine patrol craft.

                       Subtitle C--Counter-Drug Activities

    Sec. 1021. Revision and clarification of authority for Federal support
    of drug interdiction and counter-drug activities of the National Guard.

                         Subtitle D--Civilian Personnel

    Sec. 1031. Management of Department of Defense civilian personnel.
    Sec. 1032. Conversion of military positions to civilian positions.
    Sec. 1033. Elimination of 120-day limitation on details of certain
    employees.
    Sec. 1034. Authority for civilian employees of Department of Defense to
    participate voluntarily in reductions in force.
    Sec. 1035. Authority to pay severance payments in lump sums.
    Sec. 1036. Continued health insurance coverage.
    Sec. 1037. Revision of authority for appointments of involuntarily
    separated military reserve technicians.
    Sec. 1038. Wearing of uniform by National Guard technicians.
    Sec. 1039. Military leave for military reserve technicians for certain
    duty overseas.
    Sec. 1040. Personnel actions involving employees of nonappropriated fund
    instrumentalities.
    Sec. 1041. Coverage of nonappropriated fund employees under authority
    for flexible and compressed work schedules.
    Sec. 1042. Limitation on provision of overseas living quarters
    allowances for nonappropriated fund instrumentality employees.
    Sec. 1043. Elections relating to retirement coverage.
    Sec. 1044. Extension of temporary authority to pay civilian employees
    with respect to the evacuation from Guantanamo, Cuba.

                Subtitle E--Miscellaneous Reporting Requirements

    Sec. 1051. Report on fiscal year 1997 budget submission regarding Guard
    and Reserve components.
    Sec. 1052. Report on desirability and feasibility of providing authority
    for use of funds derived from recovered losses resulting from contractor
    fraud.
    Sec. 1053. Report of national policy on protecting the national
    information infrastructure against strategic attacks.
    Sec. 1054. Report on Department of Defense boards and commissions.
    Sec. 1055. Date for submission of annual report on special access
    programs.

       Subtitle F--Repeal of Certain Reporting and Other Requirements and
                                   Authorities

    Sec. 1061. Repeal of miscellaneous provisions of law.
    Sec. 1062. Reports required by title 10, United States Code.
    Sec. 1063. Reports required by defense authorization and appropriations
    Acts.
    Sec. 1064. Reports required by other provisions of law.

              Subtitle G--Department of Defense Education Programs

    Sec. 1071. Continuation of Uniformed Services University of the Health
    Sciences.
    Sec. 1072. Additional graduate schools and programs at Uniformed
    Services University of the Health Sciences.
    Sec. 1073. Funding for adult education programs for military personnel
    and dependents outside the United States.
    Sec. 1074. Assistance to local educational agencies that benefit
    dependents of members of the Armed Forces and Department of Defense
    civilian employees.
    Sec. 1075. Sharing of personnel of Department of Defense domestic
    dependent schools and defense dependents' education system.
    Sec. 1076. Increase in reserve component Montgomery GI Bill educational
    assistance allowance with respect to skills or specialties for which
    there is a critical shortage of personnel.
    Sec. 1077. Date for annual report on reserve component Montgomery GI
    Bill educational assistance program.
    Sec. 1078. Scope of education programs of Community College of the Air
    Force.
    Sec. 1079. Amendments to education loan repayment programs.

                            Subtitle H--Other Matters

    Sec. 1081. National defense technology and industrial base, defense
    reinvestment, and defense conversion programs.
    Sec. 1082. Ammunition industrial base.
    Sec. 1083. Policy concerning excess defense industrial capacity.
    Sec. 1084. Sense of Congress concerning access to secondary school
    student information for recruiting purposes.
    Sec. 1085. Disclosure of information concerning unaccounted for United
    States personnel from the Korean Conflict, the Vietnam era, and the Cold
    War.
    Sec. 1086. Operational support airlift aircraft fleet.
    Sec. 1087. Civil Reserve Air Fleet.
    Sec. 1088. Damage or loss to personal property due to emergency
    evacuation or extraordinary circumstances.
    Sec. 1089. Authority to suspend or terminate collection actions against
    deceased members.
    Sec. 1090. Check cashing and exchange transactions for dependents of
    United States Government personnel.
    Sec. 1091. Designation of National Maritime Center.
    Sec. 1092. Sense of Congress regarding historic preservation of Midway
    Islands.
    Sec. 1093. Sense of Senate regarding Federal spending.
    Sec. 1094. Extension of authority for vessel war risk insurance.

                   TITLE XI--UNIFORM CODE OF MILITARY JUSTICE

    Sec. 1101. Short title.
    Sec. 1102. References to Uniform Code of Military Justice.

                              Subtitle A--Offenses

    Sec. 1111. Refusal to testify before court-martial.
    Sec. 1112. Flight from apprehension.
    Sec. 1113. Carnal knowledge.

                              Subtitle B--Sentences

    Sec. 1121. Effective date for forfeitures of pay and allowances and
    reductions in grade by sentence of court-martial.
    Sec. 1122. Required forfeiture of pay and allowances during confinement.
    Sec. 1123. Deferment of confinement.

                   Subtitle C--Pretrial and Post-Trial Actions

    Sec. 1131. Article 32 investigations.
    Sec. 1132. Submission of matters to the convening authority for
    consideration.
    Sec. 1133. Commitment of accused to treatment facility by reason of lack
    of mental capacity or mental responsibility.

                          Subtitle D--Appellate Matters

    Sec. 1141. Appeals by the United States.
    Sec. 1142. Repeal of termination of authority for Chief Justice of the
    United States to designate Article III judges for temporary service on
    Court of Appeals for the Armed Forces.

                            Subtitle E--Other Matters

    Sec. 1151. Advisory committee on criminal law jurisdiction over
    civilians accompanying the Armed Forces in time of armed conflict.
    Sec. 1152. Time after accession for initial instruction in the Uniform
    Code of Military Justice.
    Sec. 1153. Technical amendment.

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

    Sec. 1201. Specification of Cooperative Threat Reduction programs.
    Sec. 1202. Fiscal year 1996 funding allocations.
    Sec. 1203. Prohibition on use of funds for peacekeeping exercises and
    related activities with Russia.
    Sec. 1204. Revision to authority for assistance for weapons destruction.
    Sec. 1205. Prior notice to Congress of obligation of funds.
    Sec. 1206. Report on accounting for United States assistance.
    Sec. 1207. Limitation on assistance to nuclear weapons scientists of
    former Soviet Union.
    Sec. 1208. Limitations relating to offensive biological warfare program
    of Russia.
    Sec. 1209. Limitation on use of funds for chemical weapons destruction
    facility.

                  TITLE XIII--MATTERS RELATING TO OTHER NATIONS

                       Subtitle A--Peacekeeping Provisions

    Sec. 1301. Limitation on use of Department of Defense funds for United
    States share of costs of United Nations peacekeeping activities.

                  Subtitle B--Humanitarian Assistance Programs

    Sec. 1311. Overseas humanitarian, disaster, and civic aid programs.
    Sec. 1312. Humanitarian assistance.
    Sec. 1313. Landmine clearance program.

                Subtitle C--Arms Exports and Military Assistance

    Sec. 1321. Defense export loan guarantees.
    Sec. 1322. National security implications of United States export
    control policy.
    Sec. 1323. Department of Defense review of export licenses for certain
    biological pathogens.
    Sec. 1324. Annual reports on improving export control mechanisms and on
    military assistance.
    Sec. 1325. Report on personnel requirements for control of transfer of
    certain weapons.

      Subtitle D--Burdensharing and Other Cooperative Activities Involving
                                 Allies and NATO

    Sec. 1331. Accounting for burdensharing contributions.
    Sec. 1332. Authority to accept contributions for expenses of relocation
    within host nation of United States Armed Forces overseas.
    Sec. 1333. Revised goal for allied share of costs for United States
    installations in Europe.
    Sec. 1334. Exclusion of certain forces from European end strength
    limitation.
    Sec. 1335. Cooperative research and development agreements with NATO
    organizations.
    Sec. 1336. Support services for the Navy at the port of Haifa, Israel.

                            Subtitle E--Other Matters

    Sec. 1341. Prohibition on financial assistance to terrorist countries.
    Sec. 1342. Judicial assistance to the International Tribunal for
    Yugoslavia and to the International Tribunal for Rwanda.
    Sec. 1343. Semiannual reports concerning United States-People's Republic
    of China Joint Defense Conversion Commission.

                         TITLE XIV--ARMS CONTROL MATTERS

    Sec. 1401. Revision of definition of landmine for purposes of landmine
    export moratorium.
    Sec. 1402. Reports on moratorium on use by Armed Forces of antipersonnel
    landmines.
    Sec. 1403. Extension and amendment of counter-proliferation authorities.
    Sec. 1404. Limitation on retirement or dismantlement of strategic
    nuclear delivery systems.
    Sec. 1405. Congressional findings and sense of Congress concerning
    treaty violations.
    Sec. 1406. Sense of Congress on ratification of Chemical Weapons
    Convention and START II Treaty.
    Sec. 1407. Implementation of arms control agreements.
    Sec. 1408. Iran and Iraq arms nonproliferation.

                   TITLE XV--TECHNICAL AND CLERICAL AMENDMENTS

    Sec. 1501. Amendments related to Reserve Officer Personnel Management
    Act.
    Sec. 1502. Amendments to reflect name change of Committee on Armed
    Services of the House of Representatives.
    Sec. 1503. Miscellaneous amendments to title 10, United States Code.
    Sec. 1504. Miscellaneous amendments to annual defense authorization
    Acts.
    Sec. 1505. Miscellaneous amendments to other laws.
    Sec. 1506. Coordination with other amendments.

    TITLE XVI--CORPORATION FOR THE PROMOTION OF RIFLE PRACTICE AND FIREARMS
                                     SAFETY

    Sec. 1601. Short title.

             Subtitle A--Establishment and Operation of Corporation

    Sec. 1611. Establishment of the Corporation.
    Sec. 1612. Conduct of Civilian Marksmanship Program.
    Sec. 1613. Eligibility for participation in Civilian Marksmanship
    Program.
    Sec. 1614. Issuance, loan, and sale of firearms and ammunition by the
    Corporation.
    Sec. 1615. Transfer of firearms and ammunition from the Army to the
    Corporation.
    Sec. 1616. Reservation by the Army of firearms and ammunition for the
    Corporation.
    Sec. 1617. Army logistical support for the program.
    Sec. 1618. General authorities of the Corporation.
    Sec. 1619. Distribution of Corporate assets in event of dissolution.

                       Subtitle B--Transitional Provisions

    Sec. 1621. Transfer of funds and property to the Corporation.
    Sec. 1622. Continuation of eligibility for certain civil service
    benefits for former Federal employees of Civilian Marksmanship Program.
    Sec. 1623. Certification of completion of transition.
    Sec. 1624. Repeal of authority for conduct of Civilian Marksmanship
    Program by the Army.

                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.

                                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. Revision of fiscal year 1995 authorization of appropriations
    to clarify availability of funds for large anechoic chamber facility,
    Patuxent River Naval Warfare Center, Maryland.
    Sec. 2206. Authority to carry out land acquisition project, Hampton
    Roads, Virginia.
    Sec. 2207. Acquisition of land, Henderson Hall, Arlington, Virginia.
    Sec. 2208. Acquisition or construction of military family housing in
    vicinity of San Diego, 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. Retention of accrued interest on funds deposited for
    construction of family housing, Scott Air Force Base, Illinois.

                          TITLE XXIV--DEFENSE AGENCIES

    Sec. 2401. Authorized Defense Agencies construction and land acquisition
    projects.
    Sec. 2402. Military family housing private investment.
    Sec. 2403. Improvements to military family housing units.
    Sec. 2404. Energy conservation projects.
    Sec. 2405. Authorization of appropriations, Defense Agencies.
    Sec. 2406. Limitations on use of Department of Defense Base Closure
    Account 1990.
    Sec. 2407. Modification of authority to carry out fiscal year 1995
    projects.
    Sec. 2408. Reduction in amounts authorized to be appropriated for fiscal
    year 1994 contingency construction projects.

          TITLE XXV--NORTH ATLANTIC TREATY ORGANIZATION INFRASTRUCTURE

    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. Reduction in amount authorized to be appropriated for fiscal
    year 1994 Air National Guard Projects.
    Sec. 2603. Correction in authorized uses of funds for Army National
    Guard projects in Mississippi.

             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 1993
    projects.
    Sec. 2703. Extension of authorizations of certain fiscal year 1992
    projects.

                        TITLE XXVIII--GENERAL PROVISIONS

              Subtitle A--Military Housing Privatization Initiative

    Sec. 2801. Alternative authority for construction and improvement of
    military housing.
    Sec. 2802. Expansion of authority for limited partnerships for
    development of military family housing.

      Subtitle B--Other Military Construction Program and Military Family
                                 Housing Changes

    Sec. 2811. Special threshold for unspecified minor construction projects
    to correct life, health, or safety deficiencies.
    Sec. 2812. Clarification of scope of unspecified minor construction
    authority.
    Sec. 2813. Temporary authority to waive net floor area limitation for
    family housing acquired in lieu of construction.
    Sec. 2814. Reestablishment of authority to waive net floor area
    limitation on acquisition by purchase of certain military family
    housing.
    Sec. 2815. Temporary authority to waive limitations on space by pay
    grade for military family housing units.
    Sec. 2816. Rental of family housing in foreign countries.
    Sec. 2817. Clarification of scope of report requirement on cost
    increases under contracts for military family housing construction.
    Sec. 2818. Authority to convey damaged or deteriorated military family
    housing.
    Sec. 2819. Energy and water conservation savings for the Department of
    Defense.
    Sec. 2820. Extension of authority to enter into leases of land for
    special operations activities.
    Sec. 2821. Disposition of amounts recovered as a result of damage to
    real property.
    Sec. 2822. Pilot program to provide interest rate buy down authority on
    loans for housing within housing shortage areas at military
    installations.

                Subtitle C--Defense Base Closure and Realignment

    Sec. 2831. Deposit of proceeds from leases of property located at
    installations being closed or realigned.
    Sec. 2832. In-kind consideration for leases at installations to be
    closed or realigned.
    Sec. 2833. Interim leases of property approved for closure or
    realignment.
    Sec. 2834. Authority to lease property requiring environmental
    remediation at installations approved for closure or realignment.
    Sec. 2835. Final funding for Defense Base Closure and Realignment
    Commission.
    Sec. 2836. Exercise of authority delegated by the Administrator of
    General Services.
    Sec. 2837. Lease back of property disposed from installations approved
    for closure or realignment.
    Sec. 2838. Improvement of base closure and realignment process regarding
    disposal of property.
    Sec. 2839. Agreements for certain services at installations being
    closed.
    Sec. 2840. Authority to transfer property at military installations to
    be closed to persons who construct or provide military family housing.
    Sec. 2841. Use of single base closure authorities for disposal of
    property and facilities at Fort Holabird, Maryland.

                     Subtitle D--Land Conveyances Generally

                            Part I--Army Conveyances

    Sec. 2851. Transfer of jurisdiction, Fort Sam Houston, Texas.
    Sec. 2852. Transfer of jurisdiction, Fort Bliss, Texas.
    Sec. 2853. Transfer of jurisdiction and land conveyance, Fort Devens
    Military Reservation, Massachusetts.
    Sec. 2854. Modification of land conveyance, Fort Belvoir, Virginia.
    Sec. 2855. Land exchange, Fort Lewis, Washington.
    Sec. 2856. Land exchange, Army Reserve Center, Gainesville, Georgia.
    Sec. 2857. Land conveyance, Holston Army Ammunition Plant, Mount Carmel,
    Tennessee.
    Sec. 2858. Land conveyance, Indiana Army Ammunition Plant, Charlestown,
    Indiana.
    Sec. 2859. Land conveyance, Fort Ord, California.
    Sec. 2860. Land conveyance, Parks Reserve Forces Training Area, Dublin,
    California.
    Sec. 2861. Land conveyance, Army Reserve Center, Youngstown, Ohio.
    Sec. 2862. Land conveyance, Army Reserve Property, Fort Sheridan,
    Illinois.
    Sec. 2863. Land conveyance, property underlying Cummins Apartment
    Complex, Fort Holabird, Maryland.
    Sec. 2864. Modification of existing land conveyance, Army property,
    Hamilton Air Force Base, California.

                            Part II--Navy Conveyances

    Sec. 2865. Transfer of jurisdiction, Naval Weapons Industrial Reserve
    Plant, Calverton, New York.
    Sec. 2866. Modification of land conveyance, Naval Weapons Industrial
    Reserve Plant, Calverton, New York.
    Sec. 2867. Land conveyance alternative to existing lease authority,
    Naval Supply Center, Oakland, California.
    Sec. 2868. Land conveyance, Naval Weapons Industrial Reserve Plant,
    McGregor, Texas.
    Sec. 2869. Land conveyance, Naval Surface Warfare Center, Memphis,
    Tennessee.
    Sec. 2870. Land conveyance, Navy property, Fort Sheridan, Illinois.
    Sec. 2871. Land conveyance, Naval Communications Station, Stockton,
    California.
    Sec. 2872. Lease of property, Naval Air Station and Marine Corps Air
    Station, Miramar, California.

                         Part III--Air Force Conveyances

    Sec. 2874. Land acquisition or exchange, Shaw Air Force Base, South
    Carolina.
    Sec. 2875. Land conveyance, Elmendorf Air Force Base, Alaska.
    Sec. 2876. Land conveyance, Radar Bomb Scoring Site, Forsyth, Montana.
    Sec. 2877. Land conveyance, Radar Bomb Scoring Site, Powell, Wyoming.
    Sec. 2878. Land conveyance, Avon Park Air Force Range, Florida.

                Subtitle E--Land Conveyances Involving Utilities

    Sec. 2881. Conveyance of resource recovery facility, Fort Dix, New
    Jersey.
    Sec. 2882. Conveyance of water and wastewater treatment plants, Fort
    Gordon, Georgia.
    Sec. 2883. Conveyance of electricity distribution system, Fort Irwin,
    California.
    Sec. 2884. Conveyance of water treatment plant, Fort Pickett, Virginia.

                            Subtitle F--Other Matters

    Sec. 2891. Authority to use funds for certain educational purposes.
    Sec. 2892. Department of Defense Laboratory Revitalization Demonstration
    Program.
    Sec. 2893. Authority for Port Authority of State of Mississippi to use
    Navy property at Naval Construction Battalion Center, Gulfport,
    Mississippi.
    Sec. 2894. Prohibition on joint use of Naval Air Station and Marine
    Corps Air Station, Miramar, California.
    Sec. 2895. Report regarding Army water craft support facilities and
    activities.
    Sec. 2896. Residual value reports.
    Sec. 2897. Sense of Congress and report regarding Fitzsimons Army
    Medical Center, Colorado.

      TITLE XXIX--LAND CONVEYANCES INVOLVING JOLIET ARMY AMMUNITION PLANT,
                                    ILLINOIS

    Sec. 2901. Short title.
    Sec. 2902. Definitions.

       Subtitle A--Conversion of Joliet Army Ammunition Plant to Midewin
                           National Tallgrass Prairie

    Sec. 2911. Principles of transfer.
    Sec. 2912. Transfer of management responsibilities and jurisdiction over
    Arsenal.
    Sec. 2913. Responsibility and liability.

    Sec. 2914. Establishment and administration of Midewin National
              Tallgrass Prairie.

    Sec. 2915. Special management requirements for Midewin National
    Tallgrass Prairie.
    Sec. 2916. Special transfer rules for certain Arsenal parcels intended
    for MNP.

      Subtitle B--Other Land Conveyances Involving Joliet Army Ammunition
                                      Plant

    Sec. 2921. Conveyance of certain real property at Arsenal for a national
    cemetery.
    Sec. 2922. Conveyance of certain real property at Arsenal for a county
    landfill.
    Sec. 2923. Conveyance of certain real property at Arsenal for industrial
    parks.

                      Subtitle C--Miscellaneous Provisions

    Sec. 2931. Degree of environmental cleanup.
    Sec. 2932. Retention of property used for environmental cleanup.

     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. Other defense activities.
    Sec. 3104. 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. Authority to conduct program relating to fissile materials.
    Sec. 3132. National Ignition Facility.
    Sec. 3133. Tritium production program.
    Sec. 3134. Payment of penalties.
    Sec. 3135. Fissile materials disposition.
    Sec. 3136. Tritium recycling.
    Sec. 3137. Manufacturing infrastructure for refabrication and
    certification of nuclear weapons stockpile.
    Sec. 3138. Hydronuclear experiments.
    Sec. 3139. Limitation on authority to conduct hydronuclear tests.
    Sec. 3140. Fellowship program for development of skills critical to the
    Department of Energy nuclear weapons complex.
    Sec. 3141. Limitation on use of funds for certain research and
    development purposes.
    Sec. 3142. Processing and treatment of high-level nuclear waste and
    spent nuclear fuel rods.
    Sec. 3143. Protection of workers at nuclear weapons facilities.
    Sec. 3144. Department of Energy Declassification Productivity
    Initiative.

                            Subtitle D--Other Matters

    Sec. 3151. Report on foreign tritium purchases.
    Sec. 3152. Study on nuclear test readiness postures.
    Sec. 3153. Master plan for the certification, stewardship, and
    management of warheads in the nuclear weapons stockpile.
    Sec. 3154. Prohibition on international inspections of Department of
    Energy facilities unless protection of restricted data is certified.
    Sec. 3155. Review of certain documents before declassification and
    release.
    Sec. 3156. Accelerated schedule for environmental restoration and waste
    management activities.
    Sec. 3157. Sense of Congress regarding certain environmental restoration
    requirements.
    Sec. 3158. Responsibility for Defense Programs Emergency Response
    Program.
    Sec. 3159. Requirements for Department of Energy weapons activities
    budgets for fiscal years after fiscal year 1996.
    Sec. 3160. Report on hydronuclear testing.
    Sec. 3161. Applicability of Atomic Energy Community Act of 1955 to Los
    Alamos, New Mexico.
    Sec. 3162. Sense of Congress regarding shipments of spent nuclear fuel.

              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 chromite and manganese ores and chromium ferro
    and manganese metal electrolytic.
    Sec. 3304. Restrictions on disposal of manganese ferro.
    Sec. 3305. Titanium initiative to support battle tank upgrade program.

                         Subtitle B--Programmatic Change

    Sec. 3311. Transfer of excess defense-related materials to stockpile for
    disposal.

                      TITLE XXXIV--NAVAL PETROLEUM RESERVES

             Subtitle A--Administration of Naval Petroleum Reserves

    Sec. 3401. Authorization of appropriations.
    Sec. 3402. Price requirement on sale of certain petroleum during fiscal
    year 1996.
    Sec. 3403. Extension of operating contract for Naval Petroleum Reserve
    Num bered 1.

                   Subtitle B--Sale of Naval Petroleum Reserve

    Sec. 3411. Definitions.
    Sec. 3412. Sale of Naval Petroleum Reserve Numbered 1.
    Sec. 3413. Effect of sale of reserve.
    Sec. 3414. Conditions on sale process.
    Sec. 3415. Treatment of State of California claim regarding reserve.
    Sec. 3416. Study of future of other naval petroleum reserves.

                       TITLE XXXV--PANAMA CANAL COMMISSION

                   Subtitle A--Authorization of Appropriations

    Sec. 3501. Short title.
    Sec. 3502. Authorization of expenditures.
    Sec. 3503. Expenditures in accordance with other laws.

       Subtitle B--Reconstitution of Commission as Government Corporation

    Sec. 3521. Short title.
    Sec. 3522. Reconstitution of Commission as Government corporation.
    Sec. 3523. Supervisory Board.
    Sec. 3524. General and specific powers of Commission.
    Sec. 3525. Congressional review of budget.
    Sec. 3526. Audits.
    Sec. 3527. Prescription of measurement rules and rates of tolls.
    Sec. 3528. Procedures for changes in rules of measurement and rates of
    tolls.
    Sec. 3529. Miscellaneous technical amendments.
    Sec. 3530. Conforming amendment to title 31, United States Code.

                     DIVISION D--FEDERAL ACQUISITION REFORM

    Sec. 4001. Short title.

                             TITLE XLI--COMPETITION

    Sec. 4101. Efficient competition.
    Sec. 4102. Efficient approval procedures.
    Sec. 4103. Efficient competitive range determinations.
    Sec. 4104. Preaward debriefings.
    Sec. 4105. Design-build selection procedures.

                          TITLE XLII--COMMERCIAL ITEMS

    Sec. 4201. Commercial item exception to requirement for certified cost
    or pricing data.
    Sec. 4202. Application of simplified procedures to certain commercial
    items.
    Sec. 4203. Inapplicability of certain procurement laws to commercially
    available off-the-shelf items.
    Sec. 4204. Amendment of commercial items definition.
    Sec. 4205. Inapplicability of cost accounting standards to contracts and
    subcontracts for commercial items.

                    TITLE XLIII--ADDITIONAL REFORM PROVISIONS

              Subtitle A--Additional Acquisition Reform Provisions

    Sec. 4301. Elimination of certain certification requirements.
    Sec. 4302. Authorities conditioned on FACNET capability.
    Sec. 4303. International competitiveness.
    Sec. 4304. Procurement integrity.
    Sec. 4305. Further acquisition streamlining provisions.
    Sec. 4306. Value engineering for Federal agencies.
    Sec. 4307. Acquisition workforce.
    Sec. 4308. Demonstration project relating to certain personnel
    management policies and procedures.
    Sec. 4309. Cooperative purchasing.
    Sec. 4310. Procurement notice technical amendment.
    Sec. 4311. Micro-purchases without competitive quotations.

                        Subtitle B--Technical Amendments

    Sec. 4321. Amendments related to Federal Acquisition Streamlining Act of
    1994.
    Sec. 4322. Miscellaneous amendments to Federal acquisition laws.

                 TITLE XLIV--EFFECTIVE DATES AND IMPLEMENTATION

    Sec. 4401. Effective date and applicability.
    Sec. 4402. Implementing regulations.

              DIVISION E--INFORMATION TECHNOLOGY MANAGEMENT REFORM

    Sec. 5001. Short title.
    Sec. 5002. Definitions.

       TITLE LI--RESPONSIBILITY FOR ACQUISITIONS OF INFORMATION TECHNOLOGY

                          Subtitle A--General Authority

    Sec. 5101. Repeal of central authority of the Administrator of General
    Services.

           Subtitle B--Director of the Office of Management and Budget

    Sec. 5111. Responsibility of Director.
    Sec. 5112. Capital planning and investment control.
    Sec. 5113. Performance-based and results-based management.

                         Subtitle C--Executive Agencies

    Sec. 5121. Responsibilities.
    Sec. 5122. Capital planning and investment control.
    Sec. 5123. Performance and results-based management.
    Sec. 5124. Acquisitions of information technology.
    Sec. 5125. Agency Chief Information Officer.
    Sec. 5126. Accountability.
    Sec. 5127. Significant deviations.
    Sec. 5128. Interagency support.

                       Subtitle D--Other Responsibilities

    Sec. 5131. Responsibilities regarding efficiency, security, and privacy
    of Federal computer systems.
    Sec. 5132. Sense of Congress.

                      Subtitle E--National Security Systems

    Sec. 5141. Applicability to national security systems.
    Sec. 5142. National security system defined.

          TITLE LII--PROCESS FOR ACQUISITIONS OF INFORMATION TECHNOLOGY

    Sec. 5201. Procurement procedures.
    Sec. 5202. Incremental acquisition of information technology.

          TITLE LIII--INFORMATION TECHNOLOGY ACQUISITION PILOT PROGRAMS

                      Subtitle A--Conduct of Pilot Programs

    Sec. 5301. Authority to conduct pilot programs.
    Sec. 5302. Evaluation criteria and plans.
    Sec. 5303. Report.
    Sec. 5304. Recommended legislation.
    Sec. 5305. Rule of construction.

                       Subtitle B--Specific Pilot Programs

    Sec. 5311. Share-in-savings pilot program.
    Sec. 5312. Solutions-based contracting pilot program.

         TITLE LIV--ADDITIONAL INFORMATION RESOURCES MANAGEMENT MATTERS

    Sec. 5401. On-line multiple award schedule contracting.
    Sec. 5402. Identification of excess and surplus computer equipment.
    Sec. 5403. Access of certain information in information systems to the
    directory established under section 4101 of title 44, United States
    Code.

       TITLE LV--PROCUREMENT PROTEST AUTHORITY OF THE COMPTROLLER GENERAL

    Sec. 5501. Period for processing protests.
    Sec. 5502. Availability of funds following GAO resolution of challenge
    to contracting action.

                  TITLE LVI--CONFORMING AND CLERICAL AMENDMENTS

    Sec. 5601. Amendments to title 10, United States Code.
    Sec. 5602. Amendments to title 28, United States Code.
    Sec. 5603. Amendment to title 31, United States Code.
    Sec. 5604. Amendments to title 38, United States Code.
    Sec. 5605. Provisions of title 44, United States Code, relating to
    paperwork reduction.
    Sec. 5606. Amendment to title 49, United States Code.
    Sec. 5607. Other laws.
    Sec. 5608. Clerical amendments.

          TITLE LVII--EFFECTIVE DATE, SAVINGS PROVISIONS, AND RULES OF
                                  CONSTRUCTION

    Sec. 5701. Effective date.
    Sec. 5702. Savings provisions.
    Sec. 5703. Rules of construction.

    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.

    SEC. 4. EXTENSION OF TIME FOR SUBMISSION OF REPORTS.

        In the case of any provision of this Act, or any amendment made by
    a provision of this Act, requiring the submission of a report to
    Congress (or any committee of Congress), that report shall be submitted
    not later than the later of--
            (1) the date established for submittal of the report in such
        provision or amendment; or
            (2) the date that is 45 days after the date of the enactment of
        this Act.

                DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS
                              TITLE I--PROCUREMENT
                  Subtitle A--Authorization of Appropriations

    SEC. 101. ARMY.

        Funds are hereby authorized to be appropriated for fiscal year 1996
    for procurement for the Army as follows:
            (1) For aircraft, $1,558,805,000.
            (2) For missiles, $865,555,000.
            (3) For weapons and tracked combat vehicles, $1,652,745,000.
            (4) For ammunition, $1,093,991,000.
            (5) For other procurement, $2,763,443,000.

    SEC. 102. NAVY AND MARINE CORPS.

        (a) Navy.--Funds are hereby authorized to be appropriated for
    fiscal year 1996 for procurement for the Navy as follows:
            (1) For aircraft, $4,572,394,000.
            (2) For weapons, including missiles and torpedoes,
        $1,659,827,000.
            (3) For shipbuilding and conversion, $6,643,958,000.
            (4) For other procurement, $2,414,771,000.
        (b) Marine Corps.--Funds are hereby authorized to be appropriated
    for fiscal year 1996 for procurement for the Marine Corps in the amount
    of $458,947,000.
        (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 $430,053,000.

    SEC. 103. AIR FORCE.

        Funds are hereby authorized to be appropriated for fiscal year 1996
    for procurement for the Air Force as follows:
            (1) For aircraft, $7,349,783,000.
            (2) For missiles, $2,938,883,000.
            (3) For ammunition, $343,848,000.
            (4) For other procurement, $6,268,430,000.

    SEC. 104. DEFENSE-WIDE ACTIVITIES.

        Funds are hereby authorized to be appropriated for fiscal year 1996
    for Defense-wide procurement in the amount of $2,124,379,000.

    SEC. 105. RESERVE COMPONENTS.

        Funds are hereby authorized to be appropriated for fiscal year 1996
    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, $160,000,000.
            (2) For the Air National Guard, $255,000,000.
            (3) For the Army Reserve, $85,700,000.
            (4) For the Naval Reserve, $67,000,000.
            (5) For the Air Force Reserve, $135,600,000.
            (6) For the Marine Corps Reserve, $73,700,000.

    SEC. 106. DEFENSE INSPECTOR GENERAL.

        Funds are hereby authorized to be appropriated for fiscal year 1996
    for procurement for the Inspector General of the Department of Defense
    in the amount of $1,000,000.

    SEC. 107. CHEMICAL DEMILITARIZATION PROGRAM.

        There is hereby authorized to be appropriated for fiscal year 1996
    the amount of $672,250,000 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 1996
    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 $288,033,000.

                           Subtitle B--Army Programs

        SEC. 111. PROCUREMENT OF OH-58D ARMED KIOWA WARRIOR HELICOPTERS.
        The prohibition in section 133(a)(2) of the National Defense
    Authorization Act for Fiscal Years 1990 and 1991 (Public Law 101-189;
    103 Stat. 1383) does not apply to the obligation of funds in amounts
    not to exceed $140,000,000 for the procurement of not more than 20 OH-
    58D Armed Kiowa Warrior aircraft from funds appropriated for fiscal
    year 1996 pursuant to section 101.
        SEC. 112. REPEAL OF REQUIREMENTS FOR ARMORED VEHICLE UPGRADES.
        Subsection (j) of section 21 of the Arms Export Control Act (22
    U.S.C. 2761) is repealed.

    SEC. 113. MULTIYEAR PROCUREMENT OF HELICOPTERS.

        The Secretary of the Army may, in accordance with section 2306b of
    title 10, United States Code, enter into multiyear procurement
    contracts for procurement of the following:
            (1) AH-64D Longbow Apache attack helicopters.
            (2) UH-60 Black Hawk utility helicopters.

    SEC. 114. REPORT ON AH-64D ENGINE UPGRADES.

        No later than February 1, 1996, the Secretary of the Army shall
    submit to Congress a report on plans to procure T700-701C engine
    upgrade kits for Army AH-64D helicopters. The report shall include--
            (1) a plan to provide for the upgrade of all Army AH-64D
        helicopters with T700-701C engine kits commencing in fiscal year
        1996; and
            (2) a detailed timeline and statement of funding requirements
        for the engine upgrade program described in paragraph (1).

    SEC. 115. REQUIREMENT FOR USE OF PREVIOUSLY AUTHORIZED MULTIYEAR
                  PROCUREMENT AUTHORITY FOR ARMY SMALL ARMS PROCUREMENT.

        (a) Requirement.--The Secretary of the Army (subject to the
    provision of authority in an appropriations Act) shall enter into a
    multiyear procurement contract during fiscal year 1997 in accordance
    with section 115(b)(2) of the National Defense Authorization for Fiscal
    Year 1995 (Public Law 103-337; 108 Stat. 2681).
        (b) Technical Amendment.--Section 115(b)(1) of the National Defense
    Authorization for Fiscal Year 1995 (Public Law 103-337; 108 Stat. 2681)
    is amended by striking out ``2306(h)'' and inserting in lieu thereof
    ``2306b''.

                           Subtitle C--Navy Programs

    SEC. 131. NUCLEAR ATTACK SUBMARINES.

        (a) Amounts Authorized.--(1) Of the amount authorized by section
    102 to be appropriated for Shipbuilding and Conversion, Navy, for
    fiscal year 1996--
            (A) $700,000,000 is available for construction of the third
        vessel (designated SSN-23) in the Seawolf attack submarine class,
        which shall be the final vessel in that class; and
            (B) $804,498,000 is available for long-lead and advance
        construction and procurement of components for construction of the
        fiscal year 1998 and fiscal year 1999 submarines (previously
        designated by the Navy as the New Attack Submarine), of which--
                (i) $704,498,000 shall be available for long-lead and
            advance construction and procurement for the fiscal year 1998
            submarine, which shall be built by Electric Boat Division; and
                (ii) $100,000,000 shall be available for long-lead and
            advance construction and procurement for the fiscal year 1999
            submarine, which shall be built by Newport News Shipbuilding.
        (2) Of the amount authorized by section 201(2), $10,000,000 shall
    be available only for participation of Newport News Shipbuilding in the
    design of the submarine previously designated by the Navy as the New
    Attack Submarine.
        (b) Competition, Report, and Budget Revision Limitations.--(1) Of
    the amounts specified in subsection (a)(1), not more than $200,000,000
    may be obligated or expended until the Secretary of the Navy 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 to be constructed beginning--
            (A) after fiscal year 1999, or
            (B) if four submarines are procured as provided for in the plan
        described in subsection (c), after fiscal year 2001,
    will be under one or more contracts that are entered into after
    competition between potential competitors (as defined in subsection
    (k)) in which the Secretary solicits competitive proposals and awards
    the contract or contracts on the basis of price.
        (2) Of the amounts specified in subsection (a)(1), not more than
    $1,000,000,000 may be obligated or expended until the Secretary of
    Defense, not later than March 15, 1996, accomplishes each of the
    following:
            (A) Submits to the Committee on Armed Services of the Senate
        and the Committee on National Security of the House of
        Representatives in accordance with subsection (c) the plan required
        by that subsection for a program to produce a more capable, less
        expensive nuclear attack submarine than the submarine design
        previously designated by the Navy as the New Attack Submarine.
            (B) Notwithstanding any other provision of law, or the funding
        level in the President's budget for each year after fiscal year
        1996, the Under Secretary of Defense (Comptroller) shall
        incorporate the costs of the plan required by subsection (c) in the
        Future Years Defense Program (FYDP) even if the total cost of that
        Program exceeds the President's budget.
            (C) Directs that the Under Secretary of Defense for Acquisition
        and Technology conduct oversight over the development and
        improvement of the nuclear attack submarine program of the Navy.
        Officials of the Department of the Navy exercising management
        oversight of the program shall report to the Under Secretary of
        Defense for Acquisition and Technology with respect to that
        program.
        (c) Plan for Fiscal Year 1998, 1999, 2000, and 2001 Submarines.--
    (1) The Secretary of Defense shall, not later than March 15, 1996,
    develop (and submit to the committees specified in subsection
    (b)(2)(A)) a detailed plan for development of a program that will lead
    to production of a more capable, less expensive submarine than the
    submarine previously designated as the New Attack Submarine.
        (2) As part of such plan, the Secretary shall provide for a program
    for the design, development, and procurement of four nuclear attack
    submarines to be procured during fiscal years 1998 through 2001, the
    purpose of which shall be to develop and demonstrate new technologies
    that will result in each successive submarine of those four being a
    more capable and more affordable submarine than the submarine that
    preceded it. The program shall be structured so that--
            (A) one of the four submarines is to be constructed with funds
        appropriated for each fiscal year from fiscal year 1998 through
        fiscal year 2001;
            (B) in order to ensure flexibility for innovation, the fiscal
        year 1998 and the fiscal year 2000 submarines are to be constructed
        by the Electric Boat Division and the fiscal year 1999 and the
        fiscal year 2001 submarines are to be constructed by Newport News
        Shipbuilding;
            (C) the design designated by the Navy for the submarine
        previously designated as the New Attack Submarine will be used as
        the base design by both contractors;
            (D) each contractor shall be called upon to propose
        improvements, including design improvements, for each successive
        submarine as new and better technology is demonstrated and matures
        so that--
                (i) each successive submarine is more capable and more
            affordable; and
                (ii) the design for a future class of nuclear attack
            submarines will incorporate the latest, best, and most
            affordable technology; and
            (E) the fifth and subsequent nuclear attack submarines to be
        built after the SSN-23 submarine shall be procured as required by
        subsection (b)(1).
        (3) The plan under paragraph (1) shall--
            (A) set forth a program to accomplish the design, development,
        and construction of the four submarines taking maximum advantage of
        a streamlined acquisition process, as provided under subsection
        (d);
            (B) culminate in selection of a design for a next submarine for
        serial production not earlier than fiscal year 2003, with such
        submarine to be procured as required by subsection (b)(1);
            (C) identify advanced technologies that are in various phases
        of research and development, as well as those that are commercially
        available off-the-shelf, that are candidates to be incorporated
        into the plan to design, develop, and procure the submarines;
            (D) designate the fifth submarine to be procured as the lead
        ship in the next generation submarine class, unless the Secretary
        of the Navy, in consultation with the special submarine review
        panel described in subsection (f), determines that more submarines
        should be built before the design of the new class of submarines is
        fixed, in which case each such additional submarine shall be
        procured in the same manner as is required by subsection (b)(1);
        and
            (E) identify the impact of the submarine program described in
        paragraph (1) on the remainder of the appropriation account known
        as ``Shipbuilding and Conversion, Navy'', as such impact relates
        to--
                (i) force structure levels required by the October 1993
            Department of Defense report entitled ``Report on the Bottom-Up
            Review'';
                (ii) force structure levels required by the 1995 report on
            the Surface Ship Combatant Study that was carried out for the
            Department of Defense; and
                (iii) the funding requirements for submarine construction,
            as a percentage of the total ship construction account, for
            each fiscal year throughout the FYDP.
        (4) As part of such plan, the Secretary shall provide--
            (A) cost estimates and schedules for developing new
        technologies that may be used to make submarines more capable and
        more affordable; and
            (B) an analysis of significant risks associated with fielding
        the new technologies on the schedule proposed by the Secretary and
        significant increased risks that are likely to be incurred by
        accelerating that schedule.
        (d) Streamlined Acquisition Process.--The Secretary of Defense
    shall prescribe and use streamlined acquisition policies and procedures
    to reduce the cost and increase the efficiency of the submarine program
    under this section.
        (e) Annual Revisions to Plan.--The Secretary shall submit to the
    Committee on Armed Services of the Senate and the Committee on National
    Security of the House of Representatives an annual update to the plan
    required to be submitted under subsection (b). Each such update shall
    be submitted concurrent with the President's budget submission to
    Congress for each of fiscal years 1998 through 2002.
        (f) Special Submarine Review Panel.--(1) The plan under subsection
    (c) and each annual update under subsection (e) shall be reviewed by a
    special bipartisan congressional panel working with the Navy. The panel
    shall consist of three members of the Committee on Armed Services of
    the Senate, who shall be designated by the chairman of that committee,
    and three members of the Committee on National Security of the House of
    Representatives, who shall be designated by the chairman of that
    committee. The members of the panel shall be briefed by the Secretary
    of the Navy on the status of the submarine modernization program and
    the status of submarine-related research and development under this
    section.
        (2) Not later than May 1 of each year, the panel shall report to
    the Committee on Armed Services of the Senate and the Committee on
    National Security of the House of Representatives on the panel's
    findings and recommendations regarding the progress of the Secretary in
    procuring a more capable, less expensive submarine. The panel may
    recommend any funding adjustments it believes appropriate to achieve
    this objective.
        (g) Linkage of Fiscal Year 1998 and 1999 Submarines.--Funds
    referred to in subsection (a)(1)(B) that are available for the fiscal
    year 1998 and fiscal year 1999 submarines under this section may not be
    expended during fiscal year 1996 for the fiscal year 1998 submarine
    (other than for design) unless funds are obligated or expended during
    such fiscal year for a contract in support of procurement of the fiscal
    year 1999 submarine.
        (h) Contracts Authorized.--The Secretary of the Navy is authorized,
    using funds available pursuant to paragraph (1)(B) of subsection (a),
    to enter into contracts with Electric Boat Division and Newport News
    Shipbuilding, and suppliers of components, during fiscal year 1996
    for--
            (1) the procurement of long-lead components for the fiscal year
        1998 submarine and the fiscal year 1999 submarine under this
        section; and
            (2) advance construction of such components and other
        components for such submarines.
        (i) Advanced Research Projects Agency Development of Advanced
    Technologies.--(1) Of the amount provided in section 201(4) for the
    Advanced Research Projects Agency, $100,000,000 is available only for
    development and demonstration of advanced technologies for
    incorporation into the submarines constructed as part of the plan
    developed under subsection (c). Such advanced technologies shall
    include the following:
            (A) Electric drive.
            (B) Hydrodynamic quieting.
            (C) Ship control automation.
            (D) Solid-state power electronics.
            (E) Wake reduction technologies.
            (F) Superconductor technologies.
            (G) Torpedo defense technologies.
            (H) Advanced control concept.
            (I) Fuel cell technologies.
            (J) Propulsors.
        (2) The Director of the Advanced Research Projects Agency shall
    implement a rapid prototype acquisition strategy for both land-based
    and at-sea subsystem and system demonstrations of advanced technologies
    under paragraph (1). Such acquisition strategy shall be developed and
    implemented in concert with Electric Boat Division and Newport News
    Shipbuilding and the Navy.
        (j) References to Contractors.--For purposes of this section--
            (1) the contractor referred to as ``Electric Boat Division'' is
        the Electric Boat Division of the General Dynamics Corporation; and
            (2) the contractor referred to as ``Newport News Shipbuilding''
        is the Newport News Shipbuilding and Drydock Company.
        (k) Potential Competitor Defined.--For purposes of this section,
    the term ``potential competitor'' means any source to which the
    Secretary of the Navy has awarded, within 10 years before the date of
    the enactment of this Act, a contract or contracts to construct one or
    more nuclear attack submarines.

    SEC. 132. RESEARCH FOR ADVANCED SUBMARINE TECHNOLOGY.

        Of the amount appropriated for fiscal year 1996 for the National
    Defense Sealift Fund, $50,000,000 shall be available only for the
    Director of the Advanced Research Projects Agency for advanced
    submarine technology activities.

    SEC. 133. COST LIMITATION FOR SEAWOLF SUBMARINE PROGRAM.

        (a) Limitation of Costs.--Except as provided in subsection (b), the
    total amount obligated or expended for procurement of the SSN-21, SSN-
    22, and SSN-23 Seawolf class submarines may not exceed $7,223,659,000.
        (b) Automatic Increase of Limitation Amount.--The amount of the
    limitation set forth in subsection (a) is increased by the following
    amounts:
            (1) The amounts of outfitting costs and post-delivery costs
        incurred for the submarines referred to in such subsection.
            (2) The amounts of increases in costs attributable to economic
        inflation after September 30, 1995.
            (3) The amounts of increases in costs attributable to
        compliance with changes in Federal, State, or local laws enacted
        after September 30, 1995.
        (c) Repeal of Superseded Provision.--Section 122 of the National
    Defense Authorization Act for Fiscal Year 1995 (Public Law 103-337; 108
    Stat. 2682) is repealed.
        SEC. 134. REPEAL OF PROHIBITION ON BACKFIT OF TRIDENT SUBMARINES.
        Section 124 of the National Defense Authorization Act for Fiscal
    Year 1995 (Public Law 103-337; 108 Stat. 2683) is repealed.

    SEC. 135. ARLEIGH BURKE CLASS DESTROYER PROGRAM.

        (a) Authorization for Procurement of Six Vessels.--The Secretary of
    the Navy is authorized to construct six Arleigh Burke class destroyers
    in accordance with this section. Within the amount authorized to be
    appropriated pursuant to section 102(a)(3), $2,169,257,000 is
    authorized to be appropriated for construction (including advance
    procurement) for the Arleigh Burke class destroyers.
        (b) Contracts.--(1) The Secretary is authorized to enter into
    contracts in fiscal year 1996 for the construction of three Arleigh
    Burke class destroyers.
        (2) The Secretary is authorized, in fiscal year 1997, to enter into
    contracts for the construction of the other three Arleigh Burke class
    destroyers covered by subsection (a), subject to the availability of
    appropriations for such destroyers.
        (3) In awarding contracts for the six vessels covered by subsection
    (a), the Secretary shall continue the contract award pattern and
    sequence used by the Secretary for the procurement of Arleigh Burke
    class destroyers during fiscal years 1994 and 1995.
        (4) A contract for construction of a vessel or vessels that is
    entered into in accordance with paragraph (1) shall include a clause
    that limits the liability of the Government to the contractor for any
    termination of the contract. The maximum liability of the Government
    under the clause shall be the amount appropriated for the vessel or
    vessels.
        (c) Use of Available Funds.--(1) Subject to paragraph (2), the
    Secretary may take appropriate actions to use for full funding of a
    contract entered into in accordance with subsection (b)--
            (A) any funds that, having been appropriated for shipbuilding
        and conversion programs of the Navy other than Arleigh Burke class
        destroyer programs pursuant to the authorization in section
        102(a)(3), become excess to the needs of the Navy for such programs
        by reason of cost savings achieved for such programs;
            (B) any unobligated funds that are available to the Secretary
        for shipbuilding and conversion for any fiscal year before fiscal
        year 1996; and
            (C) any funds that are appropriated after the date of the
        enactment of the Department of Defense Appropriations Act, 1996, to
        complete the full funding of the contract.
        (2) The Secretary may not, in the exercise of authority provided in
    subparagraph (A) or (B) of paragraph (1), obligate funds for a contract
    entered into in accordance with subsection (b) until 30 days after the
    date on which the Secretary submits to the congressional defense
    committees in writing a notification of the intent to obligate the
    funds. The notification shall set forth the source or sources of the
    funds and the amount of the funds from each such source that is to be
    so obligated.

    SEC. 136. ACQUISITION PROGRAM FOR CRASH ATTENUATING SEATS.

        (a) Program Authorized.--The Secretary of the Navy shall establish
    a program to procure for, and install in, H-53E military transport
    helicopters commercially developed, energy absorbing, crash attenuating
    seats that the Secretary determines are consistent with military
    specifications for seats for such helicopters.
        (b) Funding.--To the extent provided in appropriations Acts, of the
    unobligated balance of amounts appropriated for the Legacy Resource
    Management Program pursuant to the authorization of appropriations in
    section 301(5) of the National Defense Authorization Act for Fiscal
    Year 1995 (Public Law 103-337; 108 Stat. 2706), not more than
    $10,000,000 shall be available to the Secretary of the Navy, by
    transfer to the appropriate accounts, for carrying out the program
    authorized in subsection (a).

    SEC. 137. T-39N TRAINER AIRCRAFT.

        (a) Limitation.--The Secretary of the Navy may not enter into a
    contract, using funds appropriated for fiscal year 1996 for procurement
    of aircraft for the Navy, for the acquisition of the aircraft described
    in subsection (b) until 60 days after the date on which the Under
    Secretary of Defense for Acquisition and Technology submits to the
    Committee on Armed Services of the Senate and the Committee on National
    Security of the House of Representatives--
            (1) an analysis of the proposed acquisition of such aircraft;
        and
            (2) a certification that the proposed acquisition during fiscal
        year 1996 (A) is in the best interest of the Government, and (B) is
        the most cost effective means of meeting the requirements of the
        Navy for aircraft for use in the training of naval flight officers.
        (b) Covered Aircraft.--Subsection (a) applies to certain T-39
    trainer aircraft that as of November 1, 1995 (1) are used by the Navy
    under a lease arrangement for the training of naval flight officers,
    and (2) are offered for sale to the Government.

    SEC. 138. PIONEER UNMANNED AERIAL VEHICLE PROGRAM.

        Not more than one-sixth of the amount appropriated pursuant to this
    Act for the activities and operations of the Unmanned Aerial Vehicle
    Joint Program Office (UAV-JPO), and none of the unobligated balances of
    funds appropriated for fiscal years before fiscal year 1996 for the
    activities and operations of such office, may be obligated until the
    Secretary of the Navy certifies to the Committee on Armed Services of
    theSenate and the Committee on National Security of the House of
    Representatives that funds have been obligated to equip nine Pioneer
    Unmanned Aerial Vehicle systems with the Common Automatic Landing and
    Recovery System (CARS).

                         Subtitle D--Air Force Programs

    SEC. 141. B-2 AIRCRAFT PROGRAM.

        (a) Repeal of Limitations.--The following provisions of law are
    repealed:
            (1) Section 151(c) of the National Defense Authorization Act
        for Fiscal Year 1993 (Public Law 102-484; 106 Stat. 2339).
            (2) Sections 131(c) and 131(d) of the National Defense
        Authorization Act for Fiscal Year 1994 (Public Law 103-160; 107
        Stat. 1569).
            (3) Section 133(e) of the National Defense Authorization Act
        for Fiscal Year 1995 (Public Law 103-337; 108 Stat. 2688).
        (b) Conversion of Limitation to Annual Report Requirement.--Section
    112 of the National Defense Authorization Act for Fiscal Years 1990 and
    1991 (Public Law 101-189; 103 Stat. 1373) is amended--
            (1) by striking out subsection (a);
            (2) by striking out the matter in subsection (b) preceding
        paragraph (1) and inserting in lieu thereof the following:
        ``(a) Annual Reporting Requirement.--Not later than 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 report that sets forth the finding of the
    Secretary (as of January 1 of such year) on each of the following
    matters:'';
            (3) by striking out ``That'' in paragraphs (1), (2), (3), (4),
        and (5) and inserting in lieu thereof ``Whether'';
            (4) in paragraph (1), by striking out ``latest'' and all that
        follows through ``100-180'' and inserting in lieu thereof
        ``Requirements Correlation Matrix found in the user-defined
        Operational Requirements Document (as contained in Attachment B to
        a letter from the Secretary of Defense to Congress dated October
        14, 1993)'';
            (5) in paragraph (3), by striking out ``congressional
        defense'';
            (6) in paragraph (4), by striking out ``such certification to
        be submitted'';
            (7) by adding at the end the following:
        ``(b) First Report.--The Secretary shall submit the first annual
    report under subsection (a) not later than March 1, 1996.''; and
            (8) by amending the section heading to read as follows:

    ``SEC. 112. ANNUAL REPORT ON B-2 BOMBER AIRCRAFT PROGRAM.''.

        (c) Repeal of Condition on Obligation of Funds in Enhanced Bomber
    Capability Fund.--Section 133(d)(3) of the National Defense
    Authorization Act for Fiscal Year 1995 (Public Law 103-337; 108 Stat.
    2688) is amended by striking out ``If,'' and all that follows through
    ``bombers, the Secretary'' and inserting in lieu thereof ``The
    Secretary''.

    SEC. 142. PROCUREMENT OF B-2 BOMBERS.

        Of the amount authorized to be appropriated by section 103 for the
    B-2 bomber procurement program, not more than $279,921,000 may be
    obligated or expended before March 31, 1996.

    SEC. 143. MC-130H AIRCRAFT PROGRAM.

        The limitation on the obligation of funds for payment of an award
    fee and the procurement of contractor-furnished equipment for the MC-
    130H Combat Talon aircraft set forth in section 161(a) of the National
    Defense Authorization Act for Fiscal Years 1990 and 1991 (Public Law
    101-189; 103 Stat. 1388) shall cease to apply upon determination by the
    Director of Operational Test and Evaluation (and submission of a
    certification of that determination to the congressional defense
    committees) that, based on the operational test and evaluation and the
    analysis conducted on that aircraft to the date of that determination,
    such aircraft is operationally effective and meets the needs of its
    intended users.

                 Subtitle E--Chemical Demilitarization Program

        SEC. 151. REPEAL OF REQUIREMENT TO PROCEED EXPEDITIOUSLY WITH
          DEVELOPMENT OF CHEMICAL DEMILITARIZATION CRYOFRACTURE FACILITY AT
          TOOELE ARMY DEPOT, UTAH.
        Subsection (a) of section 173 of the National Defense Authorization
    Act for Fiscal Years 1990 and 1991 (Public Law 101-189; 103 Stat. 1393)
    is repealed.
        SEC. 152. DESTRUCTION OF EXISTING STOCKPILE OF LETHAL CHEMICAL
          AGENTS AND MUNITIONS.
        (a) In General.--The Secretary of Defense shall proceed with the
    program for destruction of the chemical munitions stockpile of the
    Department of Defense while maintaining the maximum protection of the
    environment, the general public, and the personnel involved in the
    actual destruction of the munitions. In carrying out such program, the
    Secretary shall use technologies and procedures that will minimize the
    risk to the public at each site.
        (b) Initiation of Demilitarization Operations.--The Secretary of
    Defense may not initiate destruction of the chemical munitions
    stockpile stored at a site until the following support measures are in
    place:
            (1) Support measures that are required by Department of Defense
        and Army chemical surety and security program regulations.
            (2) Support measures that are required by the general and site
        chemical munitions demilitarization plans specific to that
        installation.
            (3) Support measures that are required by the permits required
        by the Solid Waste Disposal Act (42 U.S.C. 6901 et seq.) and the
        Clean Air Act (42 U.S.C. 7401 et seq.) for chemical munitions
        demilitarization operations at thatinstallation, as approved by the
    appropriate State regulatory agencies.
        (c) Assessment of Alternatives.--(1) The Secretary of Defense shall
    conduct an assessment of the current chemical demilitarization program
    and of measures that could be taken to reduce significantly the total
    cost of the program, while ensuring maximum protection of 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. The assessment shall be
    conducted without regard to any limitation that would otherwise apply
    to the conduct of such an assessment under any provision of law.
        (2) The assessment shall be conducted in coordination with the
    National Research Council.
        (3) Based on the results of the assessment, the Secretary shall
    develop appropriate recommendations for revision of the chemical
    demilitarization program.
        (4) Not later than March 1, 1996, the Secretary of Defense shall
    submit to the congressional defense committees an interim report
    assessing the current status of the chemical stockpile demilitarization
    program, including the results of the Army's analysis of the physical
    and chemical integrity of the stockpile and implications for the
    chemical demilitarization program, and providing recommendations for
    revisions to that program that have been included in the budget request
    of the Department of Defense for fiscal year 1997. The Secretary shall
    submit to the congressional defense committees with the submission of
    the budget request of the Department of Defense for fiscal year 1998 a
    final report on the assessment conducted in accordance with paragraph
    (1) and recommendations for revision to the program, including an
    assessment of alternative demilitarization technologies and processes
    to the baseline incineration process and potential reconfiguration of
    the stockpile that should be incorporated in the program.
        (d) Assistance for Chemical Weapons Stockpile Communities Affected
    by Base Closure.--(1) The Secretary of Defense shall review and
    evaluate issues associated with closure and reutilization of Department
    of Defense facilities co-located with continuing chemical stockpile and
    chemical demilitarization operations.
        (2) The review shall include the following:
            (A) An analysis of the economic impacts on these communities
        and the unique reuse problems facing local communities associated
        with ongoing chemical weapons programs.
            (B) Recommendations of the Secretary on methods for expeditious
        and cost-effective transfer or lease of these facilities to local
        communities for reuse by those communities.
        (3) The Secretary shall submit to the congressional defense
    committees a report on the review and evaluation under this subsection.
    The report shall be submitted not later than 90 days after the date of
    the enactment of this Act.
        SEC. 153. ADMINISTRATION OF CHEMICAL DEMILITARIZATION PROGRAM.
        (a) Travel Funding for Members of Chemical Demilitarization
    Citizens' Advisory Commissions.--Section 172(g) of Public Law 102-484
    (50 U.S.C. 1521 note) is amended to read as follows:
        ``(g) Pay and Expenses.--Members of each commission shall receive
    no pay for their involvement in the activities of their commissions.
    Funds appropriated for the Chemical Stockpile Demilitarization Program
    may be used for travel and associated travel costs for Citizens'
    Advisory Commissioners, when such travel is conducted at the invitation
    of the Assistant Secretary of the Army (Research, Development, and
    Acquisition).''.
        (b) Quarterly Report Concerning Travel Funding for Citizens'
    Advisory Commissioners.--Section 1412(g) of the Department of Defense
    Authorization Act, 1986 (50 U.S.C. 1521(g)), is amended--
            (1) by striking out ``(g) Annual Report.--'' and inserting in
        lieu thereof ``(g) Periodic Reports.--'';
            (2) in paragraph (2)--
                (A) by striking out ``Each such report shall con- tain--''
            and inserting in lieu thereof ``Each annual report shall
            contain--''
                (B) in subparagraph (B)--
                    (i) by striking out ``and'' at the end of clause (iv);
                    (ii) by striking out the period at the end of clause
                (v) and inserting in lieu thereof ``; and''; and
                    (iii) by adding at the end the following:
                ``(vi) travel and associated travel costs for Citizens'
            Advisory Commissioners under section 172(g) of Public Law 102-
            484 (50 U.S.C. 1521 note).'';
            (3) by redesignating paragraph (3) as paragraph (4);
            (4) by inserting after paragraph (2) the following new
        paragraph (3):
        ``(3) The Secretary shall transmit to the Committee on Armed
    Services and the Committee on Appropriations of the Senate and the
    Committee on National Security and the Committee on Appropriations of
    the House of Representatives a quarterly report containing an
    accounting of all funds expended (during the quarter covered by the
    report) for travel and associated travel costs for Citizens' Advisory
    Commissioners under section 172(g) of Public Law 102-484 (50 U.S.C.
    1521 note). The quarterly report for the final quarter of the period
    covered by a report under paragraph (1) may be included in that
    report.''; and
            (5) in paragraph (4), as redesignated by paragraph (3)--
                (A) by striking out ``this subsection'' and inserting in
            lieu thereof ``paragraph (1)''; and
                (B) by adding at the end the following: ``No quarterly
            report is required under paragraph (3) after the transmittal of
            the final report under paragraph (1).''.
        (c) Director of Program.--Section 1412(e)(3) of the Department of
    Defense Authorization Act, 1986 (50 U.S.C. 1521(e)(3)), is amended by
    inserting ``or civilian equivalent'' after ``general officer''.

             TITLE II--RESEARCH, DEVELOPMENT, TEST, AND EVALUATION
                  Subtitle A--Authorization of Appropriations

    SEC. 201. AUTHORIZATION OF APPROPRIATIONS.

        Funds are hereby authorized to be appropriated for fiscal year 1996
    for the use of the Department of Defense for research, development,
    test, and evaluation as follows:
            (1) For the Army, $4,737,581,000.
            (2) For the Navy, $8,474,783,000.
            (3) For the Air Force, $12,914,868,000.
            (4) For Defense-wide activities, $9,693,180,000, of which--
                (A) $251,082,000 is authorized for the activities of the
            Director, Test and Evaluation; and
                (B) $22,587,000 is authorized for the Director of
            Operational Test and Evaluation.
        SEC. 202. AMOUNT FOR BASIC RESEARCH AND EXPLORATORY DEVELOPMENT.
        (a) Fiscal Year 1996.--Of the amounts authorized to be appropriated
    by section 201, $4,088,879,000 shall be available for basic research
    and exploratory development projects.
        (b) Basic Research and Exploratory Development Defined.--For
    purposes of this section, the term ``basic research and exploratory
    development'' means work funded in program elements for defense
    research and development under Department of Defense category 6.1 or
    6.2.
        SEC. 203. MODIFICATIONS TO STRATEGIC ENVIRONMENTAL RESEARCH AND
          DEVELOPMENT PROGRAM.
        (a) Council Membership.--Section 2902(b) of title 10, United States
    Code, is amended--
            (1) by striking out ``thirteen'' and inserting in lieu thereof
        ``12'';
            (2) by striking out paragraph (3);
            (3) by redesignating paragraphs (4), (5), (6), (7), (8), (9),
        and (10) as paragraphs (3), (4), (5), (6), (7), (8), and (9),
        respectively; and
            (4) in paragraph (8), as redesignated, by striking out ``, who
        shall be nonvoting members''.
        (b) Annual Report.--(1) Section 2902 of such title is amended in
    subsection (d)--
            (A) by striking out paragraph (3) and inserting in lieu thereof
        the following:
            ``(3) To prepare an annual report that contains the following:
                ``(A) A description of activities of the strategic
            environmental research and development program carried out
            during the fiscal year before the fiscal year in which the
            report is prepared.
                ``(B) A general outline of the activities planned for the
            program during the fiscal year in which the report is prepared.
                ``(C) 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.'';
            and
            (B) in paragraph (4), by striking out ``Federal Coordinating
        Council on Science, Engineering, and Technology'' and inserting in
        lieu thereof ``National Science and Technology Council''.
        (2) Section 2902 of such title is further amended--
            (A) by striking out subsections (f) and (h);
            (B) by redesignating subsection (g) as subsection (f); and
            (C) by adding at the end the following new subsection:
        ``(g)(1) Not later than February 1 of each year, the Council shall
    submit to the Secretary of Defense the annual report prepared pursuant
    to subsection (d)(3).
        ``(2) Not later than March 15 of each year, the Secretary of
    Defense shall submit such annual report to Congress, along with such
    comments as the Secretary considers appropriate.''.
        (3) The amendments made by this subsection shall apply with respect
    to the annual report prepared during fiscal year 1997 and each fiscal
    year thereafter.
        (c) Policies and Procedures.--Section 2902(e) of such title is
    amended in paragraph (3) by striking out ``programs, particularly'' and
    all that follows through the end of the paragraph and inserting in lieu
    thereof ``programs;''.
        (d) Competitive Procedures.--Section 2903(c) of such title is
    amended--
            (1) by striking out ``or'' after ``contracts'' and inserting in
        lieu thereof ``using competitive procedures. The Executive Director
        may enter into''; and
            (2) by striking out ``law, except that'' and inserting in lieu
        thereof ``law. In either case,''.
        (e) Continuation of Expiring Authority.--(1) Section 2903(d) of
    such title is amended in paragraph (2) by striking out the last
    sentence.
        (2) The amendment made by paragraph (1) shall take effect as of
    September 29, 1995.

    SEC. 204. DEFENSE DUAL USE TECHNOLOGY INITIATIVE.

        (a) Fiscal Year 1996 Amount.--Of the amount authorized to be
    appropriated in section 201(4), $195,000,000 shall be available for the
    defense dual use technology initiative conducted under chapter 148 of
    title 10, United States Code.
        (b) Availability of Funds for Existing Technology Reinvestment
    Projects.--The Secretary of Defense shall use amounts made available
    for the defense dual use technology initiative under subsection (a)
    only for the purpose of continuing or completing technology
    reinvestment projects that were initiated before October 1, 1995.
        (c) Notice Concerning Projects To Be Carried Out.--Of the amounts
    made available for the defense dual use technology initiative under
    subsection (a)--
            (1) $145,000,000 shall be available for obligation only after
        the date on which the Secretary of Defense notifies the
        congressional defense committees regarding the defense reinvestment
        projects to be funded using such funds; and
            (2) the remaining $50,000,000 shall be available for obligation
        only after the date on which the Secretary of Defense certifies to
        the congressional defense committees that the defense reinvestment
        projects to be funded using such funds have been determined by the
        Joint Requirements Oversight Council to be of significant military
        priority.

        Subtitle B--Program Requirements, Restrictions, and Limitations

    SEC. 211. SPACE LAUNCH MODERNIZATION.

        (a) Allocation of Funds.--Of the amount authorized to be
    appropriated pursuant to the authorization in section 201(3),
    $50,000,000 shall be available for a competitive reusable rocket
    technology program.
        (b) Limitation.--Funds made available pursuant to subsection (a)(1)
    may be obligated only to the extent that the fiscal year 1996 current
    operating plan of the National Aeronautics and Space Administration
    allocates at least an equal amount for its Reusable Space Launch
    program.

    SEC. 212. TACTICAL MANNED RECONNAISSANCE.

        (a) Limitation.--None of the amounts appropriated or otherwise made
    available pursuant to an authorization in this Act may be used by the
    Secretary of the Air Force to conduct research, development, test, or
    evaluation for a replacement aircraft, pod, or sensor payload for the
    tactical manned reconnaissance mission until the report required by
    subsection (b) is submitted to the congressional defense committees.
        (b) Report.--The Secretary of the Air Force shall submit to the
    congressional defense committees a report setting forth in detail
    information about the manner in which the funds authorized by section
    201 of this Act and section 201 of the National Defense Authorization
    Act for Fiscal Year 1995 (Public Law 103-337; 108 Stat. 2690) are
    planned to be used during fiscal year 1996 for research, development,
    test, and evaluation for the Air Force tactical manned reconnaissance
    mission. At a minimum, the report shall include the sources, by program
    element, of the funds and the purposes for which the funds are planned
    to be used.

    SEC. 213. JOINT ADVANCED STRIKE TECHNOLOGY (JAST) PROGRAM.

        (a) Allocation of Funds.--Of the amounts authorized to be
    appropriated pursuant to the authorizations in section 201,
    $200,156,000 shall be available for the Joint Advanced Strike
    Technology (JAST) program. Of that amount--
            (1) $83,795,000 shall be available for program element 63800N
        in the budget of the Department of Defense for fiscal year 1996;
            (2) $85,686,000 shall be available for program element 63800F
        in such budget; and
            (3) $30,675,000 shall be available for program element 63800E
        in such budget.
        (b) Additional Allocation.--Of the amounts made available under
    paragraphs (1), (2), and (3) of subsection (a)--
            (1) $25,000,000 shall be available from the amount authorized
        to be appropriated pursuant to the authorization in section 201(2)
        for the conduct, during fiscal year 1996, of a 6-month program
        definition phase for the A/F117X, an F-117 fighter aircraft
        modified for use by the Navy as a long-range, medium attack
        aircraft; and
            (2) $7,000,000 shall be available to provide for competitive
        engine concepts.
        (c) Limitation.--Not more than 75 percent of the amount
    appropriated for the Joint Advanced Strike Technology program pursuant
    to the authorizations in section 201 may be obligated until a period of
    30 days has expired after the report required by subsection (d) is
    submitted to the congressional defense committees.
        (d) Report.--The Secretary of Defense shall submit to the
    congressional defense committees a report, in unclassified and
    classified forms, not later than March 1, 1996, that sets forth in
    detail the following information for the period 1997 through 2005:
            (1) The total joint requirement, assuming the capability to
        successfully conduct two nearly simultaneous major regional
        contingencies, for the following:
                (A) Numbers of bombers, tactical combat aircraft, and
            attack helicopters and the characteristics required of those
            aircraft in terms of capabilities, range, and low-
            observability.
                (B) Surface- and air-launched standoff precision guided
            munitions.
                (C) Cruise missiles.
                (D) Ground-based systems, such as the Extended Range-
            Multiple Launch Rocket System and the Army Tactical Missile
            System (ATACMS), for joint warfighting capability.
            (2) The warning time assumptions for two nearly simultaneous
        major regional contingencies, and the effects on future tactical
        attack/fighter aircraft requirements using other warning time
        assumptions.
            (3) The requirements that exist for the Joint Advanced Strike
        Technology program that cannot be met by existing aircraft or by
        those in development.

    SEC. 214. DEVELOPMENT OF LASER PROGRAM.

        Of the amount authorized to be appropriated by section 201(2),
    $9,000,000 shall be used for the development by the Naval High Energy
    Laser Office of a continuous wave, superconducting radio frequency free
    electron laser program.

    SEC. 215. NAVY MINE COUNTERMEASURES PROGRAM.

        Section 216(a) of the National Defense Authorization Act for Fiscal
    Years 1992 and 1993 (Public Law 102-190; 105 Stat. 1317) is amended--
            (1) by striking out ``Director, Defense Research and
        Engineering'' and inserting in lieu thereof ``Under Secretary of
        Defense for Acquisition and Technology''; and
            (2) by striking out ``fiscal years 1995 through 1999'' and
        inserting in lieu thereof ``fiscal years 1996 through 1999''.

    SEC. 216. SPACE-BASED INFRARED SYSTEM.

        (a) Program Baseline.--The Secretary of Defense shall establish a
    program baseline for the Space-Based Infrared System. Such baseline
    shall--
            (1) include--
                (A) program cost and an estimate of the funds required for
            development and acquisition activities for each fiscal year in
            which such activities are planned to be carried out;
                (B) a comprehensive schedule with program milestones and
            exit criteria; and
                (C) optimized performance parameters for each segment of an
            integrated space-based infrared system;
            (2) be structured to achieve initial operational capability of
        the low earth orbit space segment (the Space and Missile Tracking
        System) in fiscal year 2003, with a first launch of Block I
        satellites in fiscal year 2002;
            (3) ensure integration of the Space and Missile Tracking System
        into the architecture of the Space-Based Infrared System; and
            (4) ensure that the performance parameters of all space segment
        components are selected so as to optimize the performance of the
        Space-Based Infrared System while minimizing unnecessary redundancy
        and cost.
        (b) Report on Program Baseline.--Not later than 60 days after the
    date of the enactment of this Act, the Secretary of Defense shall
    submit to the congressional defense committees a report, in classified
    and unclassified forms as necessary, on the program baseline
    established under subsection (a).
        (c) Establishment of Program Elements.--In the budget justification
    materials submitted to Congress in support of the Department of Defense
    budget for any fiscal year after fiscal year 1996 (as submitted in the
    budget of the President under section 1105(a) of title 31, United
    States Code), the amount requested for the Space-Based Infrared System
    shall be set forth in accordance with the following program elements:
            (1) Space Segment High.
            (2) Space Segment Low (Space and Missile Tracking System).
            (3) Ground Segment.
        (d) Funding for Fiscal Year 1996.--Of the amounts authorized to be
    appropriated pursuant to section 201(3) for fiscal year 1996, or
    otherwise made available to the Department of Defense for fiscal year
    1996, the following amounts shall be available for the Space-Based
    Infrared System:
            (1) $265,744,000 for demonstration and validation, of which
        $249,824,000 shall be available for the Space and Missile Tracking
        System.
            (2) $162,219,000 for engineering and manufacturing development,
        of which $9,400,000 shall be available for the Miniature Sensor
        Technology Integration program.

    SEC. 217. DEFENSE NUCLEAR AGENCY PROGRAMS.

        (a) Agency Funding.--Of the amounts authorized to be appropriated
    to the Department of Defense in section 201, $241,703,000 shall be
    available for the Defense Nuclear Agency.
        (b) Tunnel Characterization and Neutralization Program.--Of the
    amount made available under subsection (a), $3,000,000 shall be
    available for a tunnel characterization and neutralization program to
    be managed by the Defense Nuclear Agency as part of the
    counterproliferation activities of the Department of Defense.
        (c) Long-Term Radiation Tolerant Microelectronics Program.--(1) Of
    the amount made available under subsection (a), $6,000,000 shall be
    available for the establishment of a long-term radiation tolerant
    microelectronics program to be managed by the Defense Nuclear Agency
    for the purposes of--
            (A) providing for the development of affordable and effective
        hardening technologies and for incorporation of such technologies
        into systems;
            (B) sustaining the supporting industrial base; and
            (C) ensuring that a use of a nuclear weapon in regional threat
        scenarios does not interrupt or defeat the continued operability of
        systems of the Armed Forces exposed to the combined effects of
        radiation emitted by the weapon.
        (2) 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 how
    the long-term radiation tolerant microelectronics program is to be
    conducted and funded in the fiscal years after fiscal year 1996 that
    are covered by the future-years defense program submitted to Congress
    in 1995.
        (d) Thermionics Program.--Of the amount made available under
    subsection (a), $10,000,000 shall be available for the thermionics
    program, to be managed by the Defense Nuclear Agency.
        (e) Electrothermal Gun Technology Program.--Of the amount made
    available under subsection (a), $4,000,000 shall be available for the
    electrothermal gun technology program of the Defense Nuclear Agency.
        (f) Counterterror Explosives Research Program.--Of the amount made
    available under subsection (a), $4,000,000 shall be available for the
    counterterror explosives research program of the Defense Nuclear
    Agency.
        (g) Transfer of Unobligated Balance.--The Secretary of Defense
    shall transfer to the Defense Nuclear Agency, to be available for the
    thermionics program, an amount not to exceed $12,000,000 from the
    unobligated balance of funds authorized and appropriated for research,
    development, test, and evaluation for fiscal year 1995 for the Air
    Force for the Advanced Weapons Program.

    SEC. 218. COUNTERPROLIFERATION SUPPORT PROGRAM.

        (a) Funding.--Of the funds authorized to be appropriated to the
    Department of Defense under section 201(4), $138,237,000 shall be
    available for the Counterproliferation Support Program, of which
    $30,000,000 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 1996 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
    (Public Law 103-160; 107 Stat. 1845). 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.

    SEC. 219. NONLETHAL WEAPONS STUDY.

        (a) Findings.--Congress finds the following:
            (1) The role of the United States military in operations other
        than war has increased.
            (2) Weapons and instruments that are nonlethal in application
        yet immobilizing could have widespread operational utility and
        application.
            (3) The use of nonlethal weapons in operations other than war
        poses a number of important doctrine, legal, policy, and operations
        questions which should be addressed in a comprehensive and
        coordinated manner.
            (4) The development of nonlethal technologies continues to
        spread across military and agency budgets.
            (5) The Department of Defense should provide improved budgetary
        focus and management direction to the nonlethal weapons program.
        (b) Responsibility for Development of Nonlethal Weapons
    Technology.--Not later than February 15, 1996, the Secretary of Defense
    shall assign centralized responsibility for development (and any other
    functional responsibility the Secretary considers appropriate) of
    nonlethal weapons technology to an existing office within the Office of
    the Secretary of Defense or to a military service as the executive
    agent.
        (c) Report.--Not later than February 15, 1996, the Secretary of
    Defense shall submit to Congress a report setting forth the following:
            (1) The name of the office or military service assigned
        responsibility for the nonlethal weapons program by the Secretary
        of Defense pursuant to subsection (b) and a discussion of the
        rationale for such assignment.
            (2) The degree to which nonlethal weapons are required by more
        than one of the armed forces.
            (3) The time frame for the development and deployment of such
        weapons.
            (4) The appropriate role of the military departments and
        defense agencies in the development of such weapons.
            (5) The military doctrine, legal, policy, and operational
        issues that must be addressed by the Department of Defense before
        such weapons achieve operational capability.
        (d) Authorization.--Of the amount authorized to be appropriated
    under section 201(4), $37,200,000 shall be available for nonlethal
    weapons programs and nonlethal technologies programs.
        (e) Definition.--For purposes of this section, the term ``nonlethal
    weapon'' means a weapon or instrument the effect of which on human
    targets is less than fatal.
        SEC. 220. FEDERALLY FUNDED RESEARCH AND DEVELOPMENT CENTERS AND
          UNIVERSITY-AFFILIATED RESEARCH CENTERS.
        (a) Centers Covered.--Funds appropriated or otherwise made
    available for the Department of Defense for fiscal year 1996 pursuant
    to an authorization of appropriations in section 201 may be obligated
    to procure work from a federally funded research and development center
    (in this section referred to as an ``FFRDC'') or a university-
    affiliated research center (in this section referred to as a ``UARC'')
    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 the amount 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 and UARC from which work is proposed
        to be procured for the Department of Defense for fiscal year 1996;
        and
            (B) for each such center, the proposed funding level and the
        estimated personnel level for fiscal year 1996.
        (2) The total of the proposed funding levels set forth in the
    report for all FFRDCs and UARCs may not exceed the amount set forth in
    subsection (d).
        (c) Limitation Pending Submission of Report.--Not more than 15
    percent of the funds appropriated or otherwise made available for the
    Department of Defense for fiscal year 1996 pursuant to an authorization
    of appropriations in section 201 for FFRDCs and UARCs may be obligated
    to procure work from an FFRDC or UARC until the Secretary of Defense
    submits the report required by subsection (b).
        (d) Funding.--Of the amounts authorized to be appropriated by
    section 201, not more than a total of $1,668,850,000 may be obligated
    to procure services from the FFRDCs and UARCs named in the report
    required by subsection (b).
        (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 or UARC. 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.
        (f) Five-Year Plan.--(1) The Secretary of Defense, in consultation
    with the Secretaries of the military departments, shall develop a five-
    year plan to reduce and consolidate the activities performed by FFRDCs
    and UARCs and establish a framework for the future workload of such
    centers.
        (2) The plan shall--
            (A) set forth the manner in which the Secretary of Defense
        could achieve by October 1, 2000, implementation by FFRDCs and
        UARCs of only those core activities, as defined by the Secretary,
        that require the unique capabilities and arrangements afforded by
        such centers; and
            (B) include an assessment of the number of personnel needed in
        each FFRDC and UARC during each year over the five years covered by
        the plan.
        (3) Not later than February 1, 1996, the Secretary of Defense shall
    submit to the congressional defense committees a report on the plan
    required by this subsection.

    SEC. 221. JOINT SEISMIC PROGRAM AND GLOBAL SEISMIC NETWORK.

        Of the amount authorized to be appropriated under section 201(3),
    $9,500,000 shall be available for fiscal year 1996 (in program element
    61101F in the budget of the Department of Defense for fiscal year 1996)
    for continuation of the Joint Seismic Program and Global Seismic
    Network.

    SEC. 222. HYDRA-70 ROCKET PRODUCT IMPROVEMENT PROGRAM.

        (a) Funding Authorization.--Of the amount authorized to be
    appropriated under section 201(1) for Other Missile Product Improvement
    Programs, $10,000,000 is authorized to be appropriated for a Hydra-70
    rocket product improvement program and to be made available under such
    program for full qualification and operational platform certification
    of a Hydra-70 rocket described in subsection (b) for use on the Apache
    attack helicopter.
        (b) Hydra-70 Rocket Covered.--The Hydra-70 rocket referred to in
    subsection (a) is any Hydra-70 rocket that has as its propulsion
    component a 2.75-inch rocket motor that is a nondevelopmental item and
    uses a composite propellant.
        (c) Competition Required.--The Secretary of the Army shall conduct
    the product improvement program referred to in subsection (a) with full
    and open competition.
        (d) Submission of Technical Data Package Required.--Upon the full
    qualification and operational platform certification of a Hydra-70
    rocket as described in subsection (a), the contractor providing the
    rocket so qualified and certified shall submit the technical data
    package for the rocket to the Secretary of the Army. The Secretary
    shall use the technical data package in competitions for contracts for
    the procurement of Hydra-70 rockets described in subsection (b) for the
    Army.
        (e) Definitions.--For purposes of this section, the terms ``full
    and open competition'' and ``nondevelopmental item'' have the meanings
    given such terms in section 4 of the Office of Federal Procurement
    Policy Act (41 U.S.C. 403).
        SEC. 223. LIMITATION ON OBLIGATION OF FUNDS UNTIL RECEIPT OF
          ELECTRONIC COMBAT CONSOLIDATION MASTER PLAN.
        (a) Limitation.--Not more than 75 percent of the amounts
    appropriated or otherwise made available pursuant to the authorization
    of appropriations in section 201 for test and evaluation program
    elements 65896A, 65864N, 65807F, and 65804D in the budget of the
    Department of Defense for fiscal year 1996 may be obligated until 14
    days after the date on which the congressional defense committees
    receive the plan specified in subsection (b).
        (b) Plan.--The plan referred to in subsection (a) is the master
    plan for electronic combat consolidation described under Defense-Wide
    Programs under Research, Development, Test, and Evaluation in the
    Report of the Committee on Armed Services of the House of
    Representatives on H.R. 4301 (House Report 103-499), dated May 10,
    1994.
        SEC. 224. REPORT ON REDUCTIONS IN RESEARCH, DEVELOPMENT, TEST, AND
          EVALUATION.
        (a) Report Requirement.--Not later than March 15, 1996, the Under
    Secretary of Defense (Comptroller) shall submit to the congressional
    defense committees a report that sets forth in detail the allocation of
    reductions for research, development, test, and evaluation described in
    subsection (b).
        (b) Description of Reductions.--The reductions for research,
    development, test, and evaluation covered by subsection (a) are the
    following Army, Navy, Air Force, and Defense-wide reductions, as
    required by the Department of Defense Appropriations Act, 1996:
            (1) General reductions.
            (2) Reductions to reflect savings from revised economic
        assumptions.
            (3) Reductions to reflect the funding ceiling for defense
        federally funded research and development centers.
            (4) Reductions for savings through improved management of
        contractor automatic data processing costs charged through indirect
        rates on Department of Defense acquisition contracts.

    SEC. 225. ADVANCED FIELD ARTILLERY SYSTEM (CRUSADER).

        (a) Authority To Use Funds for Alternative Propellant
    Technologies.--During fiscal year 1996, the Secretary of the Army may
    use funds appropriated for the liquid propellant portion of the
    Advanced Field Artillery System (Crusader) program for fiscal year 1996
    for alternative propellant technologies and integration of those
    technologies into the design of the Crusader if--
            (1) the Secretary determines that the technical risk associated
        with liquid propellant will increase costs and delay the initial
        operational capability of the Crusader; and
            (2) the Secretary notifies the congressional defense committees
        of the proposed use of the funds and the reasons for the proposed
        use of the funds.
        (b) Limitation.--The Secretary of the Army may not spend funds for
    the liquid propellant portion of the Crusader program after August 15,
    1996, unless--
            (1) the report required by subsection (c) has been submitted by
        that date; and
            (2) such report includes documentation of significant progress,
        as determined by the Secretary, toward meeting the objectives for
        the liquid propellant portion of the program, as set forth in the
        baseline description for the Crusader program and approved by the
        Office of the Secretary of Defense on January 4, 1995.
        (c) Report Required.--Not later than August 1, 1996, the Secretary
    of the Army shall submit to the congressional defense committees a
    report containing documentation of the progress being made in meeting
    the objectives set forth in the baseline description for the Crusader
    program and approved by the Office of the Secretary of Defense on
    January 4, 1995. The report shall specifically address the progress
    being made toward meeting the following objectives:
            (1) Establishment of breech and ignition design criteria for
        rate of fire for the cannon of the Crusader.
            (2) Selection of a satisfactory ignition concept for the next
        prototype of the cannon.
            (3) Selection, on the basis of modeling and simulation, of
        design concepts to prevent chamber piston reversals, and validation
        of the selected concepts by gun and mock chamber firings.
            (4) Achievement of an understanding of the chemistry and
        physics of propellant burn resulting from the firing of liquid
        propellant into any target zone, and achievement, on the basis of
        modeling and simulation, of an ignition process that is
        predictable.
            (5) Completion of an analysis of the management of heat
        dissipation for the full range of performance requirements for the
        cannon, completion of concept designs supported by that analysis,
        and proposal of such concept designs for engineering.
            (6) Development, for integration into the next prototype of the
        cannon, of engineering designs to control pressure oscillations in
        the chamber of the cannon during firing.
            (7) Completion of an assessment of the sensitivity of liquid
        propellant to contamination by various materials to which it may be
        exposed throughout the handling and operation of the cannon, and
        documentation of predictable reactions of contaminated or
        sensitized liquid propellant.
        (d) Additional Matters To Be Covered by Report.--The report
    required by subsection (c) also shall contain the following:
            (1) An assertion that all the known hazards associated with
        liquid propellant have been identified and are controllable to
        acceptable levels.
            (2) An assessment of the technology for each component of the
        Crusader (the cannon, vehicle, and crew module), including, for
        each performance goal of the Crusader program (including the goal
        for total system weight), information about the maturity of the
        technology to achieve that goal, the maturity of the design of the
        technology, and the manner in which the design has been proven (for
        example, through simulation, bench testing, or weapon firing).
            (3) An assessment of the cost of continued development of the
        Crusader after August 1, 1996, and the cost of each unit of the
        Crusader in the year the Crusader will be completed.
        SEC. 226. DEMILITARIZATION OF CONVENTIONAL MUNITIONS, ROCKETS, AND
          EXPLOSIVES.
        Of the amount appropriated pursuant to the authorization in section
    201 for explosives demilitarization technology, $15,000,000 shall be
    available to establish an integrated program for the development and
    demonstration of conventional munitions and explosives demilitarization
    technologies that comply with applicable environmental laws for the
    demilitarization and disposal of unserviceable, obsolete, or nontreaty
    compliant munitions, rocket motors, and explosives.

    SEC. 227. DEFENSE AIRBORNE RECONNAISSANCE PROGRAM.

        (a) Limitation.--Not more than three percent of the total amount
    appropriated for research and development under the Defense Airborne
    Reconnaissance program pursuant to the authorizations of appropriations
    in section 201 may be obligated for systems engineering and technical
    assistance (SETA) contracts until--
            (1) funds are obligated (out of such appropriated funds) for--
                (A) the upgrade of U-2 aircraft senior year electro-optical
            reconnaissance sensors to the newest configuration; and
                (B) the upgrade of the U-2 SIGINT system; and
            (2) the Under Secretary of Defense for Acquisition and
        Technology submits the report required under subsection (b).
        (b) Report on U-2-Related Upgrades.--(1) Not later than April 1,
    1996, the Under Secretary of Defense for Acquisition and Technology
    shall transmit to the Committee on Armed Services of the Senate and the
    Committee on National Security of the House of Representatives a report
    on obligations of funds for upgrades relating to airborne
    reconnaissance by U-2 aircraft.
        (2) The report shall set forth the specific purposes under the
    general purposes described in subparagraphs (A) and (B) of subsection
    (a)(1) for which funds have been obligated (as of the date of the
    report) and the amounts that have been obligated (as of such date) for
    those specific purposes.

               Subtitle C--Ballistic Missile Defense Act of 1995

    SEC. 231. SHORT TITLE.

        This subtitle may be cited as the ``Ballistic Missile Defense Act
    of 1995''.

    SEC. 232. FINDINGS.

        Congress makes the following findings:
            (1) The emerging threat that is posed to the national security
        interests of the United States by the proliferation of ballistic
        missiles is significant and growing, both in terms of numbers of
        missiles and in terms of the technical capabilities of those
        missiles.
            (2) The deployment of ballistic missile defenses is a
        necessary, but not sufficient, element of a broader strategy to
        discourage both the proliferation of weapons of mass destruction
        and the proliferation of the means of their delivery and to defend
        against the consequences of such proliferation.
            (3) The deployment of effective Theater Missile Defense systems
        can deter potential adversaries of the United States from
        escalating a conflict by threatening or attacking United States
        forces or the forces or territory of coalition partners or allies
        of the United States with ballistic missiles armed with weapons of
        mass destruction to offset the operational and technical advantages
        of the United States and its coalition partners and allies.
            (4) United States intelligence officials have provided
        intelligence estimates to congressional committees that (A) the
        trend in missile proliferation is toward longer range and more
        sophisticated ballistic missiles, (B) North Korea may deploy an
        intercontinental ballistic missile capable of reaching Alaska or
        beyond within five years, and (C) although a new, indigenously
        developed ballistic missile threat to the continental United States
        is not foreseen within the next ten years, determined countries can
        acquire intercontinental ballistic missiles in the near future and
        with little warning by means other than indigenous development.
            (5) The development and deployment by the United States and its
        allies of effective defenses against ballistic missiles of all
        ranges will reduce the incentives for countries to acquire such
        missiles or to augment existing missile capabilities.
            (6) The concept of mutual assured destruction (based upon an
        offense-only form of deterrence), which is the major philosophical
        rationale underlying the ABM Treaty, is now questionable as a basis
        for stability in a multipolar world in which the United States and
        the states of the former Soviet Union are seeking to normalize
        relations and eliminate Cold War attitudes and arrangements.
            (7) The development and deployment of a National Missile
        Defense system against the threat of limited ballistic missile
        attacks--
                (A) would strengthen deterrence at the levels of forces
            agreed to by the United States and Russia under the Strategic
            Arms Reduction Talks Treaty (START-I); and
                (B) would further strengthen deterrence if reductions below
            the levels permitted under START-I should be agreed to and
            implemented in the future.
            (8) The distinction made during the Cold War, based upon the
        technology of the time, between strategic ballistic missiles and
        nonstrategic ballistic missiles, which resulted in the distinction
        made in the ABM Treaty between strategic defense and nonstrategic
        defense, has become obsolete because of technological advancement
        (including the development by North Korea of long-range Taepo-Dong
        I and Taepo-Dong II missiles) and, therefore, that distinction in
        the ABM Treaty should be reviewed.

    SEC. 233. BALLISTIC MISSILE DEFENSE POLICY.

        It is the policy of the United States--
            (1) to deploy affordable and operationally effective theater
        missile defenses to protect forward-deployed and expeditionary
        elements of the Armed Forces of the United States and to complement
        the missile defense capabilities of forces of coalition partners
        and of allies of the United States; and
            (2) to seek a cooperative, negotiated transition to a regime
        that does not feature an offense-only form of deterrence as the
        basis for strategic stability.

    SEC. 234. THEATER MISSILE DEFENSE ARCHITECTURE.

        (a) Establishment of Core Program.--To implement the policy
    established in paragraph (1) of section 233, the Secretary of Defense
    shall restructure the core theater missile defense program to consist
    of the following systems, to be carried out so as to achieve the
    specified capabilities:
            (1) The Patriot PAC-3 system, with a first unit equipped (FUE)
        during fiscal year 1998.
            (2) The Navy Lower Tier (Area) system, with a user operational
        evaluation system (UOES) capability during fiscal year 1997 and an
        initial operational capability (IOC) during fiscal year 1999.
            (3) The Theater High-Altitude Area Defense (THAAD) system, with
        a user operational evaluation system (UOES) capability not later
        than fiscal year 1998 and a first unit equipped (FUE) not later
        than fiscal year 2000.
            (4) The Navy Upper Tier (Theater Wide) system, with a user
        operational evaluation system (UOES) capability during fiscal year
        1999 and an initial operational capability (IOC) during fiscal year
        2001.
        (b) Use of Streamlined Acquisition Procedures.--The Secretary of
    Defense shall prescribe and use streamlined acquisition policies and
    procedures to reduce the cost and increase the efficiency of developing
    and deploying the theater missile defense systems specified in
    subsection (a).
        (c) Interoperability and Support of Core Systems.--To maximize
    effectiveness and flexibility of the systems comprising the core
    theater missile defense program, the Secretary of Defense shall ensure
    that those systems are integrated and complementary and are fully
    capable of exploiting external sensor and battle management support
    from systems such as--
            (A) the Cooperative Engagement Capability (CEC) system of the
        Navy;
            (B) airborne sensors; and
            (C) space-based sensors (including, in particular, the Space
        and Missile Tracking System).
        (d) Follow-on Systems.--(1) The Secretary of Defense shall prepare
    an affordable development plan for theater missile defense systems to
    be developed as follow-on systems to the core systems specified in
    subsection (a). The Secretary shall make the selection of a system for
    inclusion in the plan based on the capability of the system to satisfy
    military requirements not met by the systems in the core program and on
    the capability of the system to use prior investments in technologies,
    infrastructure, and battle-management capabilities that are
    incorporated in, or associated with, the systems in the core program.
        (2) The Secretary may not proceed with the development of a follow-
    on theater missile defense system beyond the Demonstration/Validation
    stage of development unless the Secretary designates that system as a
    part of the core program under this section and submits to the
    congressional defense committees notice of that designation. The
    Secretary shall include with any such notification a report
    describing--
            (A) the requirements for the system and the specific threats
        that such system is designed to counter;
            (B) how the system will relate to, support, and build upon
        existing core systems;
            (C) the planned acquisition strategy for the system; and
            (D) a preliminary estimate of total program cost for that
        system and the effect of development and acquisition of such system
        on Department of Defense budget projections.
        (e) Program Accountability Report.--(1) As part of the annual
    report of the Ballistic Missile Defense Organization required by
    section 224 of Public Law 101-189 (10 U.S.C. 2431 note), the Secretary
    of Defense shall describe the technical milestones, the schedule, and
    the cost of each phase of development and acquisition (together with
    total estimated program costs) for each core and follow-on theater
    missile defense program.
        (2) As part of such report, the Secretary shall describe, with
    respect to each program covered in the report, any variance in the
    technical milestones, program schedule milestones, and costs for the
    program compared with the information relating to that program in the
    report submitted in the previous year and in the report submitted in
    the first year in which that program was covered.
        (f) Reports on TMD System Limitations Under ABM Treaty.--(1)
    Whenever, after January 1, 1993, the Secretary of Defense issues a
    certification with respect to the compliance of a particular Theater
    Missile Defense system with the ABM Treaty, the Secretary shall
    transmit to the Committee on Armed Services of the Senate and the
    Committee on National Security of the House of Representatives a copy
    of such certification. Such transmittal shall be made not later than 30
    days after the date on which such certification is issued, except that
    in the case of a certification issued before the date of the enactment
    of this Act, such transmittal shall be made not later than 60 days
    after the date of the enactment of this Act.
        (2) If a certification under paragraph (1) is based on application
    of a policy concerning United States compliance with the ABM Treaty
    that differs from the policy described in section 235(b)(1), the
    Secretary shall include with the transmittal under that paragraph a
    report providing a detailed assessment of--
            (A) how the policy applied differs from the policy described in
        section 235(b)(1); and
            (B) how the application of that policy (rather than the policy
        described in section 235(b)(1)) will affect the cost, schedule, and
        performance of that system.
        SEC. 235. PROHIBITION ON USE OF FUNDS TO IMPLEMENT AN INTERNATIONAL
          AGREEMENT CONCERNING THEATER MISSILE DEFENSE SYSTEMS.
        (a) Findings.--(1) Congress hereby reaffirms--
            (A) the finding in section 234(a)(7) of the National Defense
        Authorization Act for Fiscal Year 1994 (Public Law 103-160; 107
        Stat. 1595; 10 U.S.C. 2431 note) that the ABM Treaty was not
        intended to, and does not, apply to or limit research, development,
        testing, or deployment of missile defense systems, system upgrades,
        or system components that are designed to counter modern theater
        ballistic missiles, regardless of the capabilities of such
        missiles, unless those systems, system upgrades, or system
        components are tested against or have demonstrated capabilities to
        counter modern strategic ballistic missiles; and
            (B) the statement in section 232 of the National Defense
        Authorization Act for Fiscal Year 1995 (Public Law 103-337; 108
        Stat. 2700) that the United States shall not be bound by any
        international agreement entered into by the President that would
        substantively modify the ABM Treaty unless the agreement is entered
        into pursuant to the treaty making power of the President under the
        Constitution.
        (2) Congress also finds that the demarcation standard described in
    subsection (b)(1) for compliance of a missile defense system, system
    upgrade, or system component with the ABM Treaty is based upon current
    technology.
        (b) Sense of Congress Concerning Compliance Policy.--It is the
    sense of Congress that--
            (1) unless a missile defense system, system upgrade, or system
        component (including one that exploits data from space-based or
        other external sensors) is flight tested in an ABM-qualifying
        flight test (as defined in subsection (e)), that system, system
        upgrade, or system component has not, for purposes of the ABM
        Treaty, been tested in an ABM mode nor been given capabilities to
        counter strategic ballistic missiles and, therefore, is not subject
        to any application, limitation, or obligation under the ABM Treaty;
        and
            (2) any international agreement that would limit the research,
        development, testing, or deployment of missile defense systems,
        system upgrades, or system components that are designed to counter
        modern theater ballistic missiles in a manner that would be more
        restrictive than the compliance criteria specified in paragraph (1)
        should be entered into only pursuant to the treaty making powers of
        the President under the Constitution.
        (c) Prohibition on Funding.--Funds appropriated or otherwise made
    available to the Department of Defense for fiscal year 1996 may not be
    obligated or expended to implement an agreement, or any understanding
    with respect to interpretation of the ABM Treaty, between the United
    States and any of the independent states of the former Soviet Union
    entered into after January 1, 1995, that--
            (1) would establish a demarcation between theater missile
        defense systems and anti-ballistic missile systems for purposes of
        the ABM Treaty; or
            (2) would restrict the performance, operation, or deployment of
        United States theater missile defense systems.
        (d) Exceptions.--Subsection (c) does not apply--
            (1) to the extent provided by law in an Act enacted after this
        Act;
            (2) to expenditures to implement that portion of any such
        agreement or understanding that implements the policy set forth in
        subsection (b)(1); or
            (3) to expenditures to implement any such agreement or
        understanding that is approved as a treaty or by law.
        (e) ABM-Qualifying Flight Test Defined.--For purposes of this
    section, an ABM-qualifying flight test is a flight test against a
    ballistic missile which, in that flight test, exceeds (1) a range of
    3,500 kilometers, or (2) a velocity of 5 kilometers per second.

    SEC. 236. BALLISTIC MISSILE DEFENSE COOPERATION WITH ALLIES.

        It is in the interest of the United States to develop its own
    missile defense capabilities in a manner that will permit the United
    States to complement the missile defense capabilities developed and
    deployed by its allies and possible coalition partners. Therefore, the
    Congress urges the President--
            (1) to pursue high-level discussions with allies of the United
        States and selected other states on the means and methods by which
        the parties on a bilateral basis can cooperate in the development,
        deployment, and operation of ballistic missile defenses;
            (2) to take the initiative within the North Atlantic Treaty
        Organization to develop consensus in the Alliance for a timely
        deployment of effective ballistic missile defenses by the Alliance;
        and
            (3) in the interim, to seek agreement with allies of the United
        States and selected other states on steps the parties should take,
        consistent with their national interests, to reduce the risks posed
        by the threat of limited ballistic missile attacks, such steps to
        include--
                (A) the sharing of early warning information derived from
            sensors deployed by the United States and other states;
                (B) the exchange on a reciprocal basis of technical data
            and technology to support both joint development programs and
            the sale and purchase of missile defense systems and
            components; and
                (C) operational level planning to exploit current missile
            defense capabilities and to help define future requirements.

    SEC. 237. 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.

    SEC. 238. REPEAL OF MISSILE DEFENSE ACT OF 1991.

        The Missile Defense Act of 1991 (10 U.S.C. 2431 note) is repealed.

             Subtitle D--Other Ballistic Missile Defense Provisions

    SEC. 251. BALLISTIC MISSILE DEFENSE PROGRAM ELEMENTS.

        (a) Elements Specified.--In the budget justification materials
    submitted to Congress in support of the Department of Defense budget
    for any fiscal year after fiscal year 1996 (as submitted with the
    budget of the President under section 1105(a) of title 31, United
    States Code), the amount requested for activities of the Ballistic
    Missile Defense Organization shall be set forth in accordance with the
    following program elements:
            (1) The Patriot system.
            (2) The Navy Lower Tier (Area) system.
            (3) The Theater High-Altitude Area Defense (THAAD) system.
            (4) The Navy Upper Tier (Theater Wide) system.
            (5) The Corps Surface-to-Air Missile (SAM) system.
            (6) Other Theater Missile Defense Activities.
            (7) National Missile Defense.
            (8) Follow-On and Support Technologies.
        (b) Treatment of Core Theater Missile Defense Programs.--Amounts
    requested for core theater missile defense programs specified in
    section 234 shall be specified in individual, dedicated program
    elements, and amounts appropriated for such programs shall be available
    only for activities covered by those program elements.
        (c) BM/C<SUP>3I Programs.--Amounts requested for programs,
    projects, and activities involving battle management, command, control,
    communications, and intelligence (BM/C<SUP>3I) shall be included in the
    ``Other Theater Missile Defense Activities'' program element or the
    ``National Missile Defense'' program element, as determined on the
    basis of the primary objectives involved.
        (d) Management and Support.--Each program element shall include
    requests for the amounts necessary for the management and support of
    the programs, projects, and activities contained in that program
    element.

    SEC. 252. TESTING OF THEATER MISSILE DEFENSE INTERCEPTORS.

        Subsection (a) of section 237 of the National Defense Authorization
    Act for Fiscal Year 1994 (Public Law 103-160; 107 Stat. 1600) is
    amended to read as follows:
        ``(a) Testing of Theater Missile Defense Interceptors.--(1) The
    Secretary of Defense may not approve a theater missile defense
    interceptor program proceeding beyond thelow-rate initial production
    acquisition stage until the Secretary certifies to the congressional
    defense committees that such program has successfully completed initial
    operational test and evaluation.
        ``(2) In order to be certified under paragraph (1) as having been
    successfully completed, the initial operational test and evaluation
    conducted with respect to an interceptors program must have included
    flight tests--
            ``(A) that were conducted with multiple interceptors and
        multiple targets in the presence of realistic countermeasures; and
            ``(B) the results of which demonstrate the achievement by the
        interceptors of the baseline performance thresholds.
        ``(3) For purposes of this subsection, the baseline performance
    thresholds with respect to a program are the weapons systems
    performance thresholds specified in the baseline description for the
    system established (pursuant to section 2435(a)(1) of title 10, United
    States Code) before the program entered the engineering and
    manufacturing development stage.
        ``(4) The number of flight tests described in paragraph (2) that
    are required in order to make the certification under paragraph (1)
    shall be a number determined by the Secretary of Defense to be
    sufficient for the purposes of this section.
        ``(5) The Secretary may augment live-fire testing to demonstrate
    weapons system performance goals for purposes of the certification
    under paragraph (1) through the use of modeling and simulation that is
    validated by ground and flight testing.''.

    SEC. 253. REPEAL OF MISSILE DEFENSE PROVISIONS.

        The following provisions of law are repealed:
            (1) Section 222 of the Department of Defense Authorization Act,
        1986 (Public Law 99-145; 99 Stat. 613; 10 U.S.C. 2431 note).
            (2) Section 225 of the Department of Defense Authorization Act,
        1986 (Public Law 99-145; 99 Stat. 614).
            (3) Section 226 of the National Defense Authorization Act for
        Fiscal Years 1988 and 1989 (Public Law 100-180; 101 Stat. 1057; 10
        U.S.C. 2431 note).
            (4) Section 8123 of the Department of Defense Appropriations
        Act, 1989 (Public Law 100-463; 102 Stat. 2270-40).
            (5) Section 8133 of the Department of Defense Appropriations
        Act, 1992 (Public Law 102-172; 105 Stat. 1211).
            (6) Section 234 of the National Defense Authorization Act for
        Fiscal Year 1994 (Public Law 103-160; 107 Stat. 1595; 10 U.S.C.
        2431 note).
            (7) Section 242 of the National Defense Authorization Act for
        Fiscal Year 1994 (Public Law 103-160; 107 Stat. 1603; 10 U.S.C.
        2431 note).
            (8) Section 235 of the National Defense Authorization Act for
        Fiscal Year 1995 (Public Law 103-337; 108 Stat. 2701; 10 U.S.C. 221
        note).
            (9) Section 2609 of title 10, United States Code.

            Subtitle E--Miscellaneous Reviews, Studies, and Reports

    SEC. 261. PRECISION-GUIDED MUNITIONS.

        (a) Analysis Required.--The Secretary of Defense shall perform an
    analysis of the full range of precision-guided munitions in production
    and in research, development, test, and evaluation in order to
    determine the following:
            (1) The numbers and types of precision-guided munitions that
        are needed to provide complementary capabilities against each
        target class.
            (2) The feasibility of carrying out joint development and
        procurement of additional types of munitions by more than one of
        the Armed Forces.
            (3) The feasibility of integrating a particular precision-
        guided munition on multiple service platforms.
            (4) The economy and effectiveness of continuing the acquisition
        of--
                (A) interim precision-guided munitions; or
                (B) precision-guided munitions that, as a result of being
            procured in decreasing numbers to meet decreasing quantity
            requirements, have increased in cost per unit by more than 50
            percent over the cost per unit for such munitions as of
            December 1, 1991.
        (b) Report.--(1) Not later than April 15, 1996, the Secretary shall
    submit to Congress a report on the findings and other results of the
    analysis.
        (2) The report shall include a detailed discussion of the process
    by which the Department of Defense--
            (A) approves the development of new precision-guided munitions;
            (B) avoids duplication and redundancy in the precision-guided
        munitions programs of the Army, Navy, Air Force, and Marine Corps;
            (C) ensures rationality in the relationship between the funding
        plans for precision-guided munitions modernization for fiscal years
        following fiscal year 1996 and the costs of such modernization for
        those fiscal years; and
            (D) identifies by name and function each person responsible for
        approving each new precision-guided munition for initial low-rate
        production.
        (c) Funding Limitation.--Funds authorized to be appropriated by
    this Act may not be expended for research, development, test, and
    evaluation or procurement of interim precision-guided munitions after
    April 15, 1996, unless the Secretary of Defense has submitted the
    report under subsection (b).
        (d) Interim Precision-Guided Munition Defined.--For purposes of
    subsection (c), a precision-guided munition is an interim precision-
    guided munition if the munition is being procured in fiscal year 1996,
    but funding is not proposed for additional procurement of the munition
    in the fiscal years after fiscal year 1996 that are covered by the
    future years defense program submitted to Congress in 1995 under
    section 221(a) of title 10, United States Code.

    SEC. 262. REVIEW OF C<SUP>4I BY NATIONAL RESEARCH COUNCIL.

        (a) Review by National Research Council.--Not later than 90 days
    after the date of the enactment of this Act, the Secretary of Defense
    shall request the National Research Council of the National Academy of
    Sciences to conduct a comprehensive review of current and planned
    service and defense-wide programs for command, control, communications,
    computers, and intelligence (C<SUP>4I) with a special focus on cross-
    service and inter-service issues.
        (b) Matters To Be Assessed in Review.--The review shall address the
    following:
            (1) The match between the capabilities provided by current
        service and defense-wide C<SUP>4I programs and the actual needs of
        users of these programs.
            (2) The interoperability of service and defense-wide C<SUP>4I
        systems that are planned to be operational in the future.
            (3) The need for an overall defense-wide architecture for
        C<SUP>4I.
            (4) Proposed strategies for ensuring that future C<SUP>4I
        acquisitions are compatible and interoperable with an overall
        architecture.
            (5) Technological and administrative aspects of the C<SUP>4I
        modernization effort to determine the soundness of the underlying
        plan and the extent to which it is consistent with concepts for
        joint military operations in the future.
        (c) Two-Year Period for Conducting Review.--The review shall be
    conducted over the two-year period beginning on the date on which the
    National Research Council and the Secretary of Defense enter into a
    contract or other agreement for the conduct of the review.
        (d) Reports.--(1) In the contract or other agreement for the
    conduct of the review, the Secretary of Defense shall provide that the
    National Research Council shall submit to the Department of Defense and
    Congress interim reports and progress updates on a regular basis as the
    review proceeds. A final report on the review shall set forth the
    findings, conclusions, and recommendations of the Council for defense-
    wide and service C<SUP>4I programs and shall be submitted to the
    Committee on Armed Services of the Senate, the Committee on National
    Security of the House of Representatives, and the Secretary of Defense.
        (2) To the maximum degree possible, the final report shall be
    submitted in unclassified form with classified annexes as necessary.
        (e) Interagency Cooperation With Study.--All military departments,
    defense agencies, and other components of the Department of Defense
    shall cooperate fully with the National Research Council in its
    activities in carrying out the review under this section.
        (f) Expedited Processing of Security Clearances for Study.--For the
    purpose of facilitating the commencement of the study under this
    section, the Secretary of Defense shall expedite to the fullest degree
    possible the processing of security clearances that are necessary for
    the National Research Council to conduct the study.
        (g) Funding.--Of the amount authorized to be appropriated in
    section 201 for defense-wide activities, $900,000 shall be available
    for the study under this section.
        SEC. 263. ANALYSIS OF CONSOLIDATION OF BASIC RESEARCH ACCOUNTS OF
          MILITARY DEPARTMENTS.
        (a) Analysis Required.--The Secretary of Defense shall conduct an
    analysis of the cost and effectiveness of consolidating the basic
    research accounts of the military departments. The analysis shall
    determine potential infrastructure savings and other benefits of co-
    locating and consolidating the management of basic research.
        (b) Deadline.--On or before March 1, 1996, 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
    on the analysis conducted under subsection (a).
        SEC. 264. CHANGE IN REPORTING PERIOD FROM CALENDAR YEAR TO FISCAL
          YEAR FOR ANNUAL REPORT ON CERTAIN CONTRACTS TO COLLEGES AND
          UNIVERSITIES.
        Section 2361(c)(2) of title 10, United States Code, is amended--
            (1) by striking out ``calendar year'' and inserting in lieu
        thereof ``fiscal year''; and
            (2) by striking out ``the year after the year'' and inserting
        in lieu thereof ``the fiscal year after the fiscal year''.
        SEC. 265. AERONAUTICAL RESEARCH AND TEST CAPABILITIES ASSESSMENT.
        (a) Findings.--Congress finds the following:
            (1) It is in the Nation's long-term national security interests
        for the United States to maintain preeminence in the area of
        aeronautical research and test capabilities.
            (2) Continued advances in aeronautical science and engineering
        are critical to sustaining the strategic and tactical air
        superiority of the United States and coalition forces, as well as
        United States economic security and international aerospace
        leadership.
            (3) It is in the national security and economic interests of
        the United States and the budgetary interests of the Department of
        Defense for the department to encourage the establishment of active
        partnerships between the department and other Government agencies,
        academic institutions, and private industry to develop, maintain,
        and enhance aeronautical research and test capabilities.
        (b) Review.--The Secretary of Defense shall conduct a comprehensive
    review of the aeronautical research and test facilities and
    capabilities of the United States in order to assess the current
    condition of such facilities and capabilities.
        (c) Report.--(1) Not later than March 1, 1996, the Secretary of
    Defense shall submit to the congressional defense committees a report
    setting forth in detail the findings of the review required by
    subsection (b).
        (2) The report shall include the following:
            (A) The options for providing affordable, operable, reliable,
        and responsive long-term aeronautical research and test
        capabilities for military and civilian purposes and for the
        organization and conduct of such capabilities within the Department
        or through shared operations with other Government agencies,
        academic institutions, and private industry.
            (B) The projected costs of such options, including costs of
        acquisition and technical and financial arrangements (including the
        use of Government facilities for reimbursable private use).
            (C) Recommendations on the most efficient and economic means of
        developing, maintaining, and continually modernizing aeronautical
        research and test capabilities to meet current, planned, and
        prospective military and civilian needs.

                           Subtitle F--Other Matters

    SEC. 271. ADVANCED LITHOGRAPHY PROGRAM.

        Section 216 of the National Defense Authorization Act for Fiscal
    Year 1995 (Public Law 103-337; 108 Stat. 2693) is amended--
            (1) in subsection (a), by striking out ``to help achieve'' and
        all that follows through the end of the subsection and inserting in
        lieu thereof ``to ensure that lithographic processes being
        developed by United States-owned companies or United States-
        incorporated companies operating in the United States will lead to
        superior performance electronics systems for the Department of
        Defense.'';
            (2) in subsection (b), by adding at the end the following new
        paragraph:
        ``(3) The Director of the Defense Advanced Research Projects Agency
    may set priorities and funding levels for various technologies being
    developed for the ALP and shall consider funding recommendations made
    by the Semiconductor Industry Association as being advisory in
    nature.'';
            (3) in subsection (c)--
                (A) by inserting ``Defense'' before ``Advanced''; and
                (B) by striking out ``ARPA'' both places it appears and
            inserting in lieu thereof ``DARPA''; and
            (4) by adding at the end the following:
        ``(d) Definitions.--In this section:
            ``(1) The term `United States-owned company' means a company
        the majority ownership or control of which is held by citizens of
        the United States.
            ``(2) The term `United States-incorporated company' means a
        company that the Secretary of Defense finds is incorporated in the
        United States and has a parent company that is incorporated in a
        country--
                ``(A) that affords to United States-owned companies
            opportunities, comparable to those afforded to any other
            company, to participate in any joint venture similar to those
            authorized under section 28 of the National Institute of
            Standards and Technology Act (15 U.S.C. 278n);
                ``(B) that affords to United States-owned companies local
            investment opportunities comparable to those afforded to any
            other company; and
                ``(C) that affords adequate and effective protection for
            the intellectual property rights of United States-owned
            companies.''.
        SEC. 272. ENHANCED FIBER OPTIC GUIDED MISSILE (EFOG-M) SYSTEM.
        (a) Limitations.--(1) The Secretary of the Army may not obligate
    more than $280,000,000 (based on fiscal year 1995 constant dollars) to
    develop and deliver for test and evaluation by the Army the following
    items:
            (A) 44 enhanced fiber optic guided test missiles.
            (B) 256 fully operational enhanced fiber optic guided missiles.
            (C) 12 fully operational fire units.
        (2) The Secretary of the Army may not spend funds for the enhanced
    fiber optic guided missile (EFOG-M) system after September 30, 1998, if
    the items described in paragraph (1) have not been delivered to the
    Army by that date and at a cost not greater than the amount set forth
    in paragraph (1).
        (3) The Secretary of the Army may not enter into an advanced
    development phase for the EFOG-M system unless--
            (A) an advanced concept technology demonstration of the system
        has been successfully completed; and
            (B) the Secretary certifies to the congressional defense
        committees that there is a requirement for the EFOG-M system that
        is supported by a cost and operational effectiveness analysis.
        (b) Government-Furnished Equipment.--The Secretary of the Army
    shall ensure that all Government-furnished equipment that the Army
    agrees to provide under the contract for the EFOG-M system is provided
    to the prime contractor in accordance with the terms of the contract.
        SEC. 273. STATES ELIGIBLE FOR ASSISTANCE UNDER DEFENSE EXPERIMENTAL
          PROGRAM TO STIMULATE COMPETITIVE RESEARCH.
        Subparagraph (A) of section 257(d)(2) 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 to read as follows:
            ``(A) the average annual amount of all Department of Defense
        obligations for science and engineering research and development
        that were in effect with institutions of higher education in the
        State for the three fiscal years preceding the fiscal year for
        which the designation is effective or for the last three fiscal
        years for which statistics are available is less than the amount
        determined by multiplying 60 percent times the amount equal to \1/
        50\ of the total average annual amount of all Department of Defense
        obligations for science and engineering research and development
        that were in effect with institutions of higher education in the
        United States for such three preceding or last fiscal years, as the
        case may be (to be determined in consultation with the Secretary of
        Defense);''.

    SEC. 274. CRUISE MISSILE DEFENSE INITIATIVE.

        (a) In General.--The Secretary of Defense shall undertake an
    initiative to coordinate and strengthen the cruise missile defense
    programs of the Department of Defense to ensure that the United States
    develops and deploys affordable and operationally effective defenses
    against existing and future cruise missile threats to United States
    military forces and operations.
        (b) Coordination With Ballistic Missile Defense Efforts.--In
    carrying out subsection (a), the Secretary shall ensure that, to the
    extent practicable, the cruise missile defense programs of the
    Department of Defense and the ballistic missile defense programs of the
    Department of Defense are coordinated with each other and that those
    programs are mutually supporting.
        (c) Defenses Against Existing and Near-Term Cruise Missile
    Threats.--As part of the initiative under subsection (a), the Secretary
    shall ensure that appropriate existing and planned air defense systems
    are upgraded to provide an affordable and operationally effective
    defense against existing and near-term cruise missile threats to United
    States military forces and operations.
        (d) Defenses Against Advanced Cruise Missiles.--As part of the
    initiative under subsection (a), the Secretary shall undertake a well-
    coordinated development program to support the future deployment of
    cruise missile defense systems that are affordable and operationally
    effective against advanced cruise missiles, including cruise missiles
    with low observable features.
        (e) Implementation Plan.--Not later than the date on which the
    President submits the budget for fiscal year 1997 under section 1105 of
    title 31, United States Code, the Secretary of Defense shall submit to
    the congressional defense committees a detailed plan, in unclassified
    and classified forms, as necessary, for carrying out this section. The
    plan shall include an assessment of the following:
            (1) The systems of the Department of Defense that currently
        have or could have cruise missile defense capabilities and existing
        programs of the Department of Defense to improve these
        capabilities.
            (2) The technologies that could be deployed in the near- to
        mid-term to provide significant advances over existing cruise
        missile defense capabilities and the investments that would be
        required to ready those technologies for deployment.
            (3) The cost and operational tradeoffs, if any, between (A)
        upgrading existing air and missile defense systems, and (B)
        accelerating follow-on systems with significantly improved
        capabilities against advanced cruise missiles.
            (4) The organizational and management changes that would
        strengthen and further coordinate the cruise missile defense
        programs of the Department of Defense, including the disadvantages,
        if any, of implementing such changes.
        (f) Definition.--For the purposes of this section, the term
    ``cruise missile defense programs'' means the programs, projects, and
    activities of the military departments, the Advanced Research Projects
    Agency, and the Ballistic Missile Defense Organization relating to
    development and deployment of defenses against cruise missiles.
        SEC. 275. MODIFICATION TO UNIVERSITY RESEARCH INITIATIVE SUPPORT
          PROGRAM.
        Section 802 of the National Defense Authorization Act for Fiscal
    Year 1994 (Public Law 103-160; 107 Stat. 1701) is amended--
            (1) in subsections (a) and (b), by striking out ``shall'' both
        places it appears and inserting in lieu thereof ``may''; and
            (2) in subsection (e), by striking out the sentence beginning
        with ``Such selection process''.

    SEC. 276. MANUFACTURING TECHNOLOGY PROGRAM.

        (a) In General.--Section 2525 of title 10, United States Code, is
    amended as follows:
            (1) The heading is amended by striking out the second and third
        words.
            (2) Subsection (a) is amended--
                (A) by striking out ``Science and''; and
                (B) by inserting after the first sentence the following:
            ``The Secretary shall use the joint planning process of the
            directors of the Department of Defense laboratories in
            establishing the program.''.
            (3) Subsection (c) is amended--
                (A) by inserting ``(1)'' after ``(c) Execution.--''; and
                (B) by adding at the end the following:
        ``(2) The Secretary shall seek, to the extent practicable, the
    participation of manufacturers of manufacturing equipment in the
    projects under the program.''.
            (4) Subsection (d) is amended--
                (A) in paragraph (2)--
                    (i) by striking out ``or'' at the end of subparagraph
                (A);
                    (ii) by striking out the period at the end of
                subparagraph (B) and inserting in lieu thereof ``; or'';
                and
                    (iii) by adding at the end the following new
                subparagraph:
            ``(C) will be carried out by an institution of higher
        education.''; and
                (B) by adding at the end the following new paragraphs:
        ``(3) At least 25 percent of the funds available for the program
    each fiscal year shall be used for awarding grants and entering into
    contracts, cooperative agreements, and other transactions on a cost-
    share basis under which the ratio of recipient cost to Government cost
    is two to one.
        ``(4) If the requirement of paragraph (3) cannot be met by July 15
    of a fiscal year, the Under Secretary of Defense for Acquisition and
    Technology may waive the requirement and obligate the balance of the
    funds available for the program for that fiscal year on a cost-share
    basis under which the ratio of recipient cost to Government cost is
    less than two to one. Before implementing any such waiver, the Under
    Secretary shall submit to the Committee on Armed Services of the Senate
    and the Committee on National Security of the House of Representatives
    the reasons for the waiver.''.
        (b) Clerical Amendment.--The item relating to section 2525 in the
    table of sections at the beginning of subchapter IV of chapter 148 of
    title 10, United States Code, is amended to read as follows:
    ``2525. Manufacturing Technology Program.''.
        SEC. 277. FIVE-YEAR PLAN FOR CONSOLIDATION OF DEFENSE LABORATORIES
          AND TEST AND EVALUATION CENTERS.
        (a) Five-Year Plan.--The Secretary of Defense, acting through the
    Vice Chief of Staff of the Army, the Vice Chief of Naval Operations,
    and the Vice Chief of Staff of the Air Force (in their roles as test
    and evaluation executive agent board of directors) shall develop a
    five-year plan to consolidate and restructure the laboratories and test
    and evaluation centers of the Department of Defense.
        (b) Objective.--The plan shall set forth the specific actions
    needed to consolidate the laboratories and test and evaluation centers
    into as few laboratories and centers as is practical and possible, in
    the judgment of the Secretary, by October 1, 2005.
        (c) Previously Developed Data Required To Be Used.--In developing
    the plan, the Secretary shall use the following:
            (1) Data and results obtained by the Test and Evaluation Joint
        Cross-Service Group and the Laboratory Joint Cross-Service Group in
        developing recommendations for the 1995 report of the Defense Base
        Closure and Realignment Commission.
            (2) The report dated March 1994 on the consolidation and
        streamlining of the test and evaluation infrastructure,
        commissioned by the test and evaluation board of directors, along
        with all supporting data and reports.
        (d) Matters To Be Considered.--In developing the plan, the
    Secretary shall consider, at a minimum, the following:
            (1) Consolidation of common support functions, including the
        following:
                (A) Aircraft (fixed wing and rotary) support.
                (B) Weapons support.
                (C) Space systems support.
                (D) Support of command, control, communications, computers,
            and intelligence.
            (2) The extent to which any military construction, acquisition
        of equipment, or modernization of equipment is planned at the
        laboratories and centers.
            (3) The encroachment on the laboratories and centers by
        residential and industrial expansion.
            (4) The total cost to the Federal Government of continuing to
        operate the laboratories and centers.
            (5) The cost savings and program effectiveness of locating
        laboratories and centers at the same sites.
            (6) Any loss of expertise resulting from the consolidations.
            (7) Whether any legislation is neccessary to provide the
        Secretary with any additional authority necessary to accomplish the
        downsizing and consolidation of the laboratories and centers.
        (e) Report.--Not later than May 1, 1996, the Secretary of Defense
    shall submit to the congressional defense committees a report on the
    plan. The report shall include an identification of any additional
    legislation that the Secretary considers necessary in order for the
    Secretary to accomplish the downsizing and consolidation of the
    laboratories and centers.
        (f) Limitation.--Of the amounts appropriated or otherwise made
    available pursuant to an authorization of appropriations in section 201
    for the central test and evaluation investment development program, not
    more than 75 percent may be obligated before the report required by
    subsection (e) is submitted to Congress.

    SEC. 278. LIMITATION ON T-38 AVIONICS UPGRADE PROGRAM.

        (a) Requirement.--The Secretary of Defense shall ensure that, in
    evaluating proposals submitted in response to a solicitation issued for
    a contract for the T-38 Avionics Upgrade Program, the proposal of an
    entity may not be considered unless--
            (1) in the case of an entity that conducts substantially all of
        its business in a foreign country, the foreign country provides
        equal access to similar contract solicitations in that country to
        United States entities; and
            (2) in the case of an entity that conducts business in the
        United States but that is owned or controlled by a foreign
        government or by an entity incorporated in a foreign country, the
        foreign government or foreign country of incorporation provides
        equal access to similar contract solicitations in that country to
        United States entities.
        (b) Definition.--In this section, the term ``United States entity''
    means an entity that is owned or controlled by persons a majority of
    whom are United States citizens.

    SEC. 279. GLOBAL POSITIONING SYSTEM.

        (a) Conditional Prohibition on Use of Selective Availability
    Feature.--Except as provided in subsection (b), after May 1, 1996, the
    Secretary of Defense may not (through use of the feature known as
    ``selective availability'') deny access of non-Department of Defense
    users to the full capabilities of the Global Positioning System.
        (b) Plan.--Subsection (a) shall cease to apply upon submission by
    the Secretary of Defense to the Committee on Armed Services of the
    Senate and the Committee on National Security of the House of
    Representatives of a plan for enhancement of the Global Positioning
    System that provides for--
            (1) development and acquisition of effective capabilities to
        deny hostile military forces the ability to use the Global
        Positioning System without hindering the ability of United States
        military forces and civil users to have access to and use of the
        system, together with a specific date by which those capabilities
        could be operational; and
            (2) development and acquisition of receivers for the Global
        Positioning System and other techniques for weapons and weapon
        systems that provide substantially improved resistance to jamming
        and other forms of electronic interference or disruption, together
        with a specific date by which those receivers and other techniques
        could be operational with United States military forces.
        SEC. 280. REVISION OF AUTHORITY FOR PROVIDING ARMY SUPPORT FOR THE
          NATIONAL SCIENCE CENTER FOR COMMUNICATIONS AND ELECTRONICS.
        (a) Purpose.--Subsection (b)(2) of section 1459 of the Department
    of Defense Authorization Act, 1986 (Public Law 99-145; 99 Stat. 763) is
    amended by striking out ``to make available'' and all that follows and
    inserting in lieu thereof ``to provide for the management, operation,
    and maintenance of those areas in the national science center that are
    designated for use by the Army and to provide incidental support for
    the operation of those areas in the center that are designated for
    general use.''.
        (b) Authority for Support.--Subsection (c) of such section is
    amended to read as follows:
        ``(c) National Science Center.--(1) The Secretary may manage,
    operate, and maintain facilities at the center under terms and
    conditions prescribed by the Secretary for the purpose of conducting
    educational outreach programs in accordance with chapter 111 of title
    10, United States Code.
        ``(2) The Foundation, or NSC Discovery Center, Incorporated, a
    nonprofit corporation of the State of Georgia, shall submit to the
    Secretary for review and approval all matters pertaining to the
    acquisition, design, renovation, equipping, and furnishing of the
    center, including all plans, specifications, contracts, sites, and
    materials for the center.''.
        (c) Authority for Acceptance of Gifts and Fundraising.--Subsection
    (d) of such section is amended to read as follows:
        ``(d) Gifts and Fundraising.--(1) Subject to paragraph (3), the
    Secretary may accept a conditional or unconditional donation of money
    or property that is made for the benefit of, or in connection with, the
    center.
        ``(2) Notwithstanding any other provision of law, the Secretary may
    endorse, promote, and assist the efforts of the Foundation and NSC
    Discovery Center, Incorporated, to obtain--
            ``(A) funds for the management, operation, and maintenance of
        the center; and
            ``(B) donations of exhibits, equipment, and other property for
        use in the center.
        ``(3) The Secretary may not accept a donation under this subsection
    that is made subject to--
            ``(A) any condition that is inconsistent with an applicable law
        or regulation; or
            ``(B) except to the extent provided in appropriations Acts, any
        condition that would necessitate an expenditure of appropriated
        funds.
        ``(4) The Secretary shall prescribe in regulations the criteria to
    be used in determining whether to accept a donation. The Secretary
    shall include criteria to ensure that acceptance of a donation does not
    establish an unfavorable appearance regarding the fairness and
    objectivity with which the Secretary or any other officer or employee
    of the Department of Defense performs official responsibilities and
    does not compromise or appear to compromise the integrity of a
    Government program or any official involved in that program.''.
        (d) Authorized Uses.--Such section is amended--
            (1) by striking out subsection (f);
            (2) by redesignating subsection (g) as subsection (f); and
            (3) in paragraph (1) of subsection (f), as redesignated by
        paragraph (2), by inserting ``areas designated for use by the Army
        in'' after ``The Secretary may make''.
        (e) Alternative of Additional Development and Management.--Such
    section, as amended by subsection (d), is further amended by adding at
    the end the following:
        ``(g) Alternative or Additional Development and Management of the
    Center.--(1) The Secretary may enter into an agreement with NSC
    Discovery Center, Incorporated, to develop, manage, and maintain a
    national science center under this section. In entering into an
    agreement with NSC Discovery Center, Incorporated, the Secretary may
    agree to any term or condition to which the Secretary is authorized
    under this section to agree for purposes of entering into an agreement
    with the Foundation.
        ``(2) The Secretary may exercise the authority under paragraph (1)
    in addition to, or instead of, exercising the authority provided under
    this section to enter into an agreement with the Foundation.''.

                      TITLE III--OPERATION AND MAINTENANCE
                  Subtitle A--Authorization of Appropriations

    SEC. 301. OPERATION AND MAINTENANCE FUNDING.

        Funds are hereby authorized to be appropriated for fiscal year 1996
    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, $18,746,695,000.
            (2) For the Navy, $21,493,155,000.
            (3) For the Marine Corps, $2,521,822,000.
            (4) For the Air Force, $18,719,277,000.
            (5) For Defense-wide activities, $9,910,476,000.
            (6) For the Army Reserve, $1,129,191,000.
            (7) For the Naval Reserve, $868,342,000.
            (8) For the Marine Corps Reserve, $100,283,000.
            (9) For the Air Force Reserve, $1,516,287,000.
            (10) For the Army National Guard, $2,361,808,000.
            (11) For the Air National Guard, $2,760,121,000.
            (12) For the Defense Inspector General, $138,226,000.
            (13) For the United States Court of Appeals for the Armed
        Forces, $6,521,000.
            (14) For Environmental Restoration, Defense, $1,422,200,000.
            (15) For Drug Interdiction and Counter-drug Activities,
        Defense-wide, $680,432,000.
            (16) For Medical Programs, Defense, $9,876,525,000.
            (17) For support for the 1996 Summer Olympics, $15,000,000.
            (18) For Cooperative Threat Reduction programs, $300,000,000.
            (19) For Overseas Humanitarian, Disaster, and Civic Aid
        programs, $50,000,000.

    SEC. 302. WORKING CAPITAL FUNDS.

        Funds are hereby authorized to be appropriated for fiscal year 1996
    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, $878,700,000.
            (2) For the National Defense Sealift Fund, $1,024,220,000.

    SEC. 303. ARMED FORCES RETIREMENT HOME.

        There is hereby authorized to be appropriated for fiscal year 1996
    from the Armed Forces Retirement Home Trust Fund the sum of $59,120,000
    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 1996 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.

        Of the amounts authorized to be appropriated pursuant to this Act,
    there shall be made available to the Civil Air Patrol $24,500,000, of
    which $14,704,000 shall be made available for the Civil Air Patrol
    Corporation.

                       Subtitle B--Depot-Level Activities

    SEC. 311. POLICY REGARDING PERFORMANCE OF DEPOT-LEVEL MAINTENANCE AND
                  REPAIR FOR THE DEPARTMENT OF DEFENSE.

        (a) Findings.--Congress makes the following findings:
            (1) The Department of Defense does not have a comprehensive
        policy regarding the performance of depot-level maintenance and
        repair of military equipment.
            (2) The absence of such a policy has caused the Congress to
        establish guidelines for the performance of such functions.
            (3) It is essential to the national security of the United
        States that the Department of Defense maintain an organic
        capability within the department, including skilled personnel,
        technical competencies, equipment, and facilities, to perform
        depot-level maintenance and repair of military equipment in order
        to ensure that the Armed Forces of the United States are able to
        meet training, operational, mobilization, and emergency
        requirements without impediment.
            (4) The organic capability of the Department of Defense to
        perform depot-level maintenance and repair of military equipment
        must satisfy known and anticipated core maintenance and repair
        requirements across the full range of peacetime and wartime
        scenarios.
            (5) Although it is possible that savings can be achieved by
        contracting with private-sector sources for the performance of some
        work currently performed by Department of Defense depots, the
        Department of Defense has not determined the type or amount of work
        that should be performed under contract with private-sector sources
        nor the relative costs and benefits of contracting for the
        performance of such work by those sources.
        (b) Sense of Congress.--It is the sense of Congress that there is a
    compelling need for the Department of Defense to articulate known and
    anticipated core maintenance and repair requirements, to organize the
    resources of the Department of Defense to meet those requirements
    economically and efficiently, and to determine what work should be
    performed by the private sector and how such work should be managed.
        (c) Requirement for Policy.--Not later than March 31, 1996, the
    Secretary of Defense shall develop and report to the Committee on Armed
    Services of the Senate and the Committee on National Security of the
    House of Representatives a comprehensive policy on the performance of
    depot-level maintenance and repair for the Department of Defense that
    maintains the capability described in section 2464 of title 10, United
    States Code.
        (d) Content of Policy.--In developing the policy, the Secretary of
    Defense shall do each of the following:
            (1) Identify for each military department, with the concurrence
        of the Secretary of that military department, those depot-level
        maintenance and repair activities that are necessary to ensure the
        depot-level maintenance and repair capability as required by
        section 2464 of title 10, United States Code.
            (2) Provide for performance of core depot-level maintenance and
        repair capabilities in facilities owned and operated by the United
        States.
            (3) Provide for the core capabilities to include sufficient
        skilled personnel, equipment, and facilities that--
                (A) is of the proper size (i) to ensure a ready and
            controlled source of technical competence and repair and
            maintenance capability necessary to meet the requirements of
            the National Military Strategy and other requirements for
            responding to mobilizations and military contingencies, and
            (ii) to provide for rapid augmentation in time of emergency;
            and
                (B) is assigned sufficient workload to ensure cost
            efficiency and technical proficiency in time of peace.
            (4) Address environmental liability.
            (5) In the case of depot-level maintenance and repair workloads
        in excess of the workload required to be performed by Department of
        Defense depots, provide for competition for those workloads between
        public and private entities when there is sufficient potential for
        realizing cost savings based on adequate private-sector competition
        and technical capabilities.
            (6) Address issues concerning exchange of technical data
        between the Federal Government and the private sector.
            (7) Provide for, in the Secretary's discretion and after
        consultation with the Secretaries of the military departments, the
        transfer from one military department to another, in accordance
        with merit-based selection processes, workload that supports the
        core depot-level maintenance and repair capabilities in facilities
        owned and operated by the United States.
            (8) Require that, in any competition for a workload (whether
        among private-sector sources or between depot-level activities of
        the Department of Defense and private-sector sources), bids are
        evaluated under a methodology that ensures that appropriate costs
        to the Government and the private sector are identified.
            (9) Provide for the performance of maintenance and repair for
        any new weapons systems defined as core, under section 2464 of
        title 10, United States Code, in facilities owned and operated by
        the United States.
        (e) Considerations.--In developing the policy, the Secretary shall
    take into consideration the following matters:
            (1) The national security interests of the United States.
            (2) The capabilities of the public depots and the capabilities
        of businesses in the private sector to perform the maintenance and
        repair work required by the Department of Defense.
            (3) Any applicable recommendations of the Defense Base Closure
        and Realignment Commission that are required to be implemented
        under the Defense Base Closure and Realignment Act of 1990.
            (4) The extent to which the readiness of the Armed Forces would
        be affected by a necessity to construct new facilities to
        accommodate any redistribution of depot-level maintenance and
        repair workloads that is made in accordance with the recommendation
        of the Defense Base Closure and Realignment Commission, under the
        Defense Base Closure and Realignment Act of 1990, that such
        workloads be consolidated at Department of Defense depots or
        private-sector facilities.
            (5) Analyses of costs and benefits of alternatives, including a
        comparative analysis of--
                (A) the costs and benefits, including any readiness
            implications, of any proposed policy to convert to contractor
            performance of depot-level maintenance and repair workloads
            where the workload is being performed by Department of Defense
            personnel; and
                (B) the costs and benefits, including any readiness
            implications, of a policy to transfer depot-level maintenance
            and repair workloads among depots.
        (f) Repeal of 60/40 Requirement and Requirement Relating to
    Competition.--(1) Sections 2466 and 2469 of title 10, United States
    Code, are repealed.
        (2) The table of sections at the beginning of chapter 146 of such
    title is amended by striking out the items relating to sections 2466
    and 2469.
        (3) The amendments made by paragraphs (1) and (2) shall take effect
    on the date (after the date of the enactment of this Act) on which
    legislation is enacted that contains a provision that specifically
    states one of the following:
            (A) ``The policy on the performance of depot-level maintenance
        and repair for the Department of Defense that was submitted by the
        Secretary of Defense to the Committee on Armed Services of the
        Senate and the Committee on National Security of the House of
        Representatives pursuant to section 311 of the National Defense
        Authorization Act for Fiscal Year 1996 is approved.''; or
            (B) ``The policy on the performance of depot-level maintenance
        and repair for the Department of Defense that was submitted by the
        Secretary of Defense to the Committee on Armed Services of the
        Senate and the Committee on National Security of the House of
        Representatives pursuant to section 311 of the National Defense
        Authorization Act for Fiscal Year 1996 is approved with the
        following modifications:'' (with the modifications being stated in
        matter appearing after the colon).
        (g) Annual Report.--If legislation referred to in subsection (f)(3)
    is enacted, the Secretary of Defense shall, not later than March 1 of
    each year (beginning with the year after the year in which such
    legislation is enacted), submit to Congress a report that--
            (1) specifies depot maintenance core capability requirements
        determined in accordance with the procedures established to comply
        with the policy prescribed pursuant to subsections (d)(2) and
        (d)(3);
            (2) specifies the planned amount of workload to be accomplished
        by the depot-level activities of each military department in
        support of those requirements for the following fiscal year; and
            (3) identifies the planned amount of workload, which--
                (A) shall be measured by direct labor hours and by amounts
            to be expended; and
                (B) shall be shown separately for each commodity group.
        (h) Review by General Accounting Office.--(1) The Secretary shall
    make available to the Comptroller General of the United States all
    information used by the Department of Defense in developing the policy
    under subsections (c) through (e) of this section.
        (2) Not later than 45 days after the date on which the Secretary
    submits to Congress the report required by subsection (c), the
    Comptroller General shall transmit to Congress a report containing a
    detailed analysis of the Secretary's proposed policy as reported under
    such subsection.
        (i) Report on Depot-Level Maintenance and Repair Workload.--Not
    later than March 31, 1996, the Secretary of Defense shall submit to
    Congress a report on the depot-level maintenance and repair workload of
    the Department of Defense. The report shall, to the maximum extent
    practicable, include the following:
            (1) An analysis of the need for and effect of the requirement
        under section 2466 of title 10, United States Code, that no more
        than 40 percent of the depot-level maintenance and repair work of
        the Department of Defense be contracted for performance by non-
        Government personnel, including a description of the effect on
        military readiness and the national security resulting from that
        requirement and a description of any specific difficulties
        experienced by the Department of Defense as a result of that
        requirement.
            (2) An analysis of the distribution during the five fiscal
        years ending with fiscal year 1995 of the depot-level maintenance
        and repair workload of the Department of Defense between depot-
        level activities of the Department of Defense and non-Government
        personnel, measured by direct labor hours and by amounts expended,
        and displayed, for that five-year period and for each year of that
        period, so as to show (for each military department (and separately
        for the Navy and Marine Corps)) such distribution.
            (3) A projection of the distribution during the five fiscal
        years beginning with fiscal year 1997 of the depot-level
        maintenance and repair workload of the Department of Defense
        between depot-level activities of the Department of Defense and
        non-Government personnel, measured by direct labor hours and by
        amounts expended, and displayed, for that five-year period and for
        each year of that period, so as to show (for each military
        department (and separately for the Navy and Marine Corps)) such
        distribution that would be accomplished under a new policy as
        required under subsection (c).
        (j) Other Review by General Accounting Office.--(1) The Comptroller
    General of the United States shall conduct an independent audit of the
    findings of the Secretary of Defense in the report under subsection
    (i). The Secretary of Defense shall provide to the Comptroller General
    for such purpose all information used by the Secretary in preparing
    such report.
        (2) Not later than 45 days after the date on which the Secretary of
    Defense submits to Congress the report required under subsection (i),
    the Comptroller General shall transmit to Congress a report containing
    a detailed analysis of the report submitted under that subsection.

    SEC. 312. MANAGEMENT OF DEPOT EMPLOYEES.

        (a) Depot Employees.--Chapter 146 of title 10, United States Code,
    is amended by adding at the end the following new section:

    ``Sec. 2472. Management of depot employees

        ``(b) Annual Report.--Not later than December 1 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 number of employees employed
    and expected to be employed by the Department of Defense during that
    fiscal year to perform depot-level maintenance and repair of materiel.
    The report shall indicate whether that number is sufficient to perform
    the depot-level maintenance and repair functions for which funds are
    expected to be provided for that fiscal year for performance by
    Department of Defense employees.''.
        (b) Transfer of Subsection.--Subsection (b) of section 2466 of
    title 10, United States Code, is transferred to section 2472 of such
    title, as added by subsection (a), redesignated as subsection (a), and
    inserted after the section heading.
        (c) Submission of Initial Report.--The report under subsection (b)
    of section 2472 of title 10, United States Code, as added by subsection
    (a), for fiscal year 1996 shall be submitted not later than March 15,
    1996 (notwithstanding the date specified in such subsection).
        (d) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding at the end the following new item:
    ``2472. Management of depot employees.''.
        SEC. 313. 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, 1995'' and inserting in lieu thereof
    ``September 30, 1996''.
        SEC. 314. MODIFICATION OF NOTIFICATION REQUIREMENT REGARDING USE OF
          CORE LOGISTICS FUNCTIONS WAIVER.
        Section 2464(b) of title 10, United States Code, is amended by
    striking out paragraphs (3) and (4) and inserting in lieu thereof the
    following new paragraph:
        ``(3) A waiver under paragraph (2) may not take effect until the
    end of the 30-day period beginning on the date on which the Secretary
    submits a report on the waiver to the Committee on Armed Services and
    the Committee on Appropriations of the Senate and the Committee on
    National Security and the Committee on Appropriations of the House of
    Representatives.''.

                      Subtitle C--Environmental Provisions

        SEC. 321. REVISION OF REQUIREMENTS FOR AGREEMENTS FOR SERVICES
          UNDER ENVIRONMENTAL RESTORATION PROGRAM.
        (a) Requirements.--(1) Section 2701(d) of title 10, United States
    Code, is amended to read as follows:
        ``(d) Services of Other Agencies.--
            ``(1) In general.--Subject to paragraph (2), the Secretary may
        enter into agreements on a reimbursable or other basis with any
        other Federal agency, or with any State or local government agency,
        to obtain the services of the agency to assist the Secretary in
        carrying out any of the Secretary's responsibilities under this
        section. Services which may be obtained under this subsection
        include the identification, investigation, and cleanup of any off-
        site contamination resulting from the release of a hazardous
        substance or waste at a facility under the Secretary's
        jurisdiction.
            ``(2) Limitation on reimbursable agreements.--An agreement with
        an agency under paragraph (1) may not provide for reimbursement of
        the agency for regulatory enforcement activities.''.
        (2)(A) Except as provided in subparagraph (B), the total amount of
    funds available for reimbursements under agreements entered into under
    section 2710(d) of title 10, United States Code, as amended by
    paragraph (1), in fiscal year 1996 may not exceed $10,000,000.
        (B) The Secretary of Defense may pay in fiscal year 1996 an amount
    for reimbursements under agreements referred to in subparagraph (A) in
    excess of the amount specified in that subparagraph for that fiscal
    year if--
            (i) the Secretary certifies to Congress that the payment of the
        amount under this subparagraph is essential for the management of
        the Defense Environmental Restoration Program under chapter 160 of
        title 10, United States Code; and
            (ii) a period of 60 days has expired after the date on which
        the certification is received by Congress.
        (b) Report on Services Obtained.--The Secretary of Defense shall
    include in the report submitted to Congress with respect to fiscal year
    1998 under section 2706(a) of title 10, United States Code, information
    on the services, if any, obtained by the Secretary during fiscal year
    1996 pursuant to each agreement on a reimbursable basis entered into
    with a State or local government agency under section 2701(d) of title
    10, United States Code, as amended by subsection (a). The information
    shall include a description of the services obtained under each
    agreement and the amount of the reimbursement provided for the
    services.
        SEC. 322. ADDITION OF AMOUNTS CREDITABLE TO DEFENSE ENVIRONMENTAL
          RESTORATION ACCOUNT.
        Section 2703(e) of title 10, United States Code, is amended to read
    as follows:
        ``(e) Amounts Recovered.--The following amounts shall be credited
    to the transfer account:
            ``(1) Amounts recovered under CERCLA for response actions of
        the Secretary.
            ``(2) Any other amounts recovered by the Secretary or the
        Secretary of the military department concerned from a contractor,
        insurer, surety, or other person to reimburse the Department of
        Defense for any expenditure for environmental response
        activities.''.

    SEC. 323. USE OF DEFENSE ENVIRONMENTAL RESTORATION ACCOUNT.

        (a) Goal for Certain DERA Expenditures.--It shall be the goal of
    the Secretary of Defense to limit, by the end of fiscal year 1997,
    spending for administration, support, studies, and investigations
    associated with the Defense Environmental Restoration Account to 20
    percent of the total funding for that account.
        (b) Report.--Not later than April 1, 1996, the Secretary shall
    submit to Congress a report that contains specific, detailed
    information on--
            (1) the extent to which the Secretary has attained the goal
        described in subsection (a) as of the date of the submission of the
        report; and
            (2) if the Secretary has not attained such goal by such date,
        the actions the Secretary plans to take to attain the goal.
        SEC. 324. REVISION OF AUTHORITIES RELATING TO RESTORATION ADVISORY
          BOARDS.
        (a) Regulations.--Paragraph (2) of subsection (d) of section 2705
    of title 10, United States Code, is amended to read as follows:
        ``(2)(A) The Secretary shall prescribe regulations regarding the
    establishment, characteristics, composition, and funding of restoration
    advisory boards pursuant to this subsection.
        ``(B) The issuance of regulations under subparagraph (A) shall not
    be a precondition to the establishment of restoration advisory boards
    under this subsection.''.
        (b) Funding for Administrative Expenses.--Paragraph (3) of such
    subsection is amended to read as follows:
        ``(3) The Secretary may authorize the commander of an installation
    (or, if there is no such commander, an appropriate official of the
    Department of Defense designated by the Secretary) to pay routine
    administrative expenses of a restoration advisory board established for
    that installation. Such payments shall be made from funds available
    under subsection (g).''.
        (c) Technical Assistance.--Such section is further amended by
    striking out subsection (e) and inserting in lieu thereof the following
    new subsection (e):
        ``(e) Technical Assistance.--(1) The Secretary may, upon the
    request of the technical review committee or restoration advisory board
    for an installation, authorize the commander of the installation (or,
    if there is no such commander, an appropriate official of the
    Department of Defense designated by the Secretary) to obtain for the
    committee or advisory board, as the case may be, from private sector
    sources technical assistance for interpreting scientific and
    engineering issues with regard to the nature of environmental hazards
    at the installation and the restoration activities conducted, or
    proposed to be conducted, at the installation. The commander of an
    installation (or, if there is no such commander, an appropriate
    official of the Department of Defense designated by the Secretary)
    shall use funds made available under subsection (g) for obtaining
    assistance under this paragraph.
        ``(2) The commander of an installation (or, if there is no such
    commander, an appropriate official of the Department of Defense
    designated by the Secretary) may obtain technical assistance under
    paragraph (1) for a technical review committee or restoration advisory
    board only if--
            ``(A) the technical review committee or restoration advisory
        board demonstrates that the Federal, State, and local agencies
        responsible for overseeing environmental restoration at the
        installation, and available Department of Defense personnel, do not
        have the technical expertise necessary for achieving the objective
        for which the technical assistance is to be obtained; or
            ``(B) the technical assistance--
                ``(i) is likely to contribute to the efficiency,
            effectiveness, or timeliness of environmental restoration
            activities at the installation; and
                ``(ii) is likely to contribute to community acceptance of
            environmental restoration activities at the installation.''.
        (d) Funding.--(1) Such section is further amended by adding at the
    end the following new subsection:
        ``(g) Funding.--The Secretary shall, to the extent provided in
    appropriations Acts, make funds available for administrative expenses
    and technical assistance under this section using funds in the
    following accounts:
            ``(1) In the case of a military installation not approved for
        closure pursuant to a base closure law, the Defense Environmental
        Restoration Account established under section 2703(a) of this
        title.
            ``(2) In the case of an installation approved for closure
        pursuant to such a law, the Department of Defense Base Closure
        Account 1990 established under section 2906(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).''.
        (2)(A) Subject to subparagraph (B), the total amount of funds made
    available under section 2705(g) of title 10, United States Code, as
    added by paragraph (1), for fiscal year 1996 may not exceed $6,000,000.
        (B) Amounts may not be made available under subsection (g) of such
    section 2705 after September 15, 1996, unless the Secretary of Defense
    publishes proposed final or interim final regulations required under
    subsection (d) of such section, as amended by subsection (a).
        (e) Definition.--Such section is further amended by adding after
    subsection (g) (as added by subsection (d)) the following new
    subsection:
        ``(h) Definition.--In this section, the term `base closure law'
    means the following:
            ``(1) Title II of the Defense Authorization Amendments and Base
        Closure and Realignment Act (Public Law 100-526; 10 U.S.C. 2687
        note).
            ``(2) 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).
            ``(3) Section 2687 of this title.''.
        (f) Reports on Activities of Technical Review Committees and
    Restoration Advisory Boards.--Section 2706(a)(2) of title 10, United
    States Code, is amended by adding at the end the following:
            ``(J) A statement of the activities, if any, including
        expenditures for administrative expenses and technical assistance
        under section 2705 of this title, of the technical review committee
        or restoration advisory board established for the installation
        under such section during the preceding fiscal year.''.

    SEC. 325. DISCHARGES FROM VESSELS OF THE ARMED FORCES.

        (a) Purposes.--The purposes of this section are to--
            (1) enhance the operational flexibility of vessels of the Armed
        Forces domestically and internationally;
            (2) stimulate the development of innovative vessel pollution
        control technology; and
            (3) advance the development by the United States Navy of
        environmentally sound ships.
        (b) Uniform National Discharge Standards Development.--Section 312
    of the Federal Water Pollution Control Act (33 U.S.C. 1322) is amended
    by adding at the end the following:
        ``(n) Uniform National Discharge Standards for Vessels of the Armed
    Forces.--
            ``(1) Applicability.--This subsection shall apply to vessels of
        the Armed Forces and discharges, other than sewage, incidental to
        the normal operation of a vessel of the Armed Forces, unless the
        Secretary of Defense finds that compliance with this subsection
        would not be in the national security interests of the United
        States.
            ``(2) Determination of discharges required to be controlled by
        marine pollution control devices.--
                ``(A) In general.--The Administrator and the Secretary of
            Defense, after consultation with the Secretary of the
            department in which the Coast Guard is operating, the Secretary
            of Commerce, and interested States, shall jointly determine the
            discharges incidental to the normal operation of a vessel of
            the Armed Forces for which it is reasonable and practicable to
            require use of a marine pollution control device to mitigate
            adverse impacts on the marine environment. Notwithstanding
            subsection (a)(1) of section 553 of title 5, United States
            Code, the Administrator and the Secretary of Defense shall
            promulgate the determinations in accordance with such section.
            The Secretary of Defense shall require the use of a marine
            pollution control device on board a vessel of the Armed Forces
            in any case in which it is determined that the use of such a
            device is reasonable and practicable.
                ``(B) Considerations.--In making a determination under
            subparagraph (A), the Administrator and the Secretary of
            Defense shall take into consideration--
                    ``(i) the nature of the discharge;
                    ``(ii) the environmental effects of the discharge;
                    ``(iii) the practicability of using the marine
                pollution control device;
                    ``(iv) the effect that installation or use of the
                marine pollution control device would have on the operation
                or operational capability of the vessel;
                    ``(v) applicable United States law;
                    ``(vi) applicable international standards; and
                    ``(vii) the economic costs of the installation and use
                of the marine pollution control device.
            ``(3) Performance standards for marine pollution control
        devices.--
                ``(A) In general.--For each discharge for which a marine
            pollution control device is determined to be required under
            paragraph (2), the Administrator and the Secretary of Defense,
            in consultation with the Secretary of the department in which
            the Coast Guard is operating, the Secretary of State, the
            Secretary of Commerce, other interested Federal agencies, and
            interested States, shall jointly promulgate Federal standards
            of performance for each marine pollution control device
            required with respect to the discharge. Notwithstanding
            subsection (a)(1) of section 553 of title 5, United States
            Code, the Administrator and the Secretary of Defense shall
            promulgate the standards in accordance with such section.
                ``(B) Considerations.--In promulgating standards under this
            paragraph, the Administrator and the Secretary of Defense shall
            take into consideration the matters set forth in paragraph
            (2)(B).
                ``(C) Classes, types, and sizes of vessels.--The standards
            promulgated under this paragraph may--
                    ``(i) distinguish among classes, types, and sizes of
                vessels;
                    ``(ii) distinguish between new and existing vessels;
                and
                    ``(iii) provide for a waiver of the applicability of
                the standards as necessary or appropriate to a particular
                class, type, age, or size of vessel.
            ``(4) Regulations for use of marine pollution control
        devices.--The Secretary of Defense, after consultation with the
        Administrator and the Secretary of the department in which the
        Coast Guard is operating, shall promulgate such regulations
        governing the design, construction, installation, and use of marine
        pollution control devices on board vessels of the Armed Forces as
        are necessary to achieve the standards promulgated under paragraph
        (3).
            ``(5) Deadlines; effective date.--
                ``(A) Determinations.--The Administrator and the Secretary
            of Defense shall--
                    ``(i) make the initial determinations under paragraph
                (2) not later than 2 years after the date of the enactment
                of this subsection; and
                    ``(ii) every 5 years--

                        ``(I) review the determinations; and
                        ``(II) if necessary, revise the determinations
                    based on significant new information.

                ``(B) Standards.--The Administrator and the Secretary of
            Defense shall--
                    ``(i) promulgate standards of performance for a marine
                pollution control device under paragraph (3) not later than
                2 years after the date of a determination under paragraph
                (2) that the marine pollution control device is required;
                and
                    ``(ii) every 5 years--

                        ``(I) review the standards; and
                        ``(II) if necessary, revise the standards,
                    consistent with paragraph (3)(B) and based on
                    significant new information.

                ``(C) Regulations.--The Secretary of Defense shall
            promulgate regulations with respect to a marine pollution
            control device under paragraph (4) as soon as practicable after
            the Administrator and the Secretary of Defense promulgate
            standards with respect to the device under paragraph (3), but
            not later than 1 year after the Administrator and the Secretary
            of Defense promulgate the standards. The regulations
            promulgated by the Secretary of Defense under paragraph (4)
            shall become effective upon promulgation unless another
            effective date is specified in the regulations.
                ``(D) Petition for review.--The Governor of any State may
            submit a petition requesting that the Secretary of Defense and
            the Administrator review a determination under paragraph (2) or
            a standard under paragraph (3), if there is significant new
            information, not considered previously, that could reasonably
            result in a change to the particular determination or standard
            after consideration of the matters set forth in paragraph
            (2)(B). The petition shall be accompanied by the scientific and
            technical information on which the petition is based. The
            Administrator and the Secretary of Defense shall grant or deny
            the petition not later than 2 years after the date of receipt
            of the petition.
            ``(6) Effect on other laws.--
                ``(A) Prohibition on regulation by states or political
            subdivisions of states.--Beginning on the effective date of--
                    ``(i) a determination under paragraph (2) that it is
                not reasonable and practicable to require use of a marine
                pollution control device regarding a particular discharge
                incidental to the normal operation of a vessel of the Armed
                Forces; or
                    ``(ii) regulations promulgated by the Secretary of
                Defense under paragraph (4);
            except as provided in paragraph (7), neither a State nor a
            political subdivision of a State may adopt or enforce any
            statute or regulation of the State or political subdivision
            with respect to the discharge or the design, construction,
            installation, or use of any marine pollution control device
            required to control discharges from a vessel of the Armed
            Forces.
                ``(B) Federal laws.--This subsection shall not affect the
            application of section 311 to discharges incidental to the
            normal operation of a vessel.
            ``(7) Establishment of state no-discharge zones.--
                ``(A) State prohibition.--
                    ``(i) In general.--After the effective date of--

                        ``(I) a determination under paragraph (2) that it
                    is not reasonable and practicable to require use of a
                    marine pollution control device regarding a particular
                    discharge incidental to the normal operation of a
                    vessel of the Armed Forces; or
                        ``(II) regulations promulgated by the Secretary of
                    Defense under paragraph (4);

                if a State determines that the protection and enhancement
                of the quality of some or all of the waters within the
                State require greater environmental protection, the State
                may prohibit 1 or more discharges incidental to the normal
                operation of a vessel, whether treated or not treated, into
                the waters. No prohibition shall apply until the
                Administrator makes the determinations described in
                subclauses (II) and (III) of subparagraph (B)(i).
                    ``(ii) Documentation.--To the extent that a prohibition
                under this paragraph would apply to vessels of the Armed
                Forces and not to other types of vessels, the State shall
                document the technical or environmental basis for the
                distinction.
                ``(B) Prohibition by the administrator.--
                    ``(i) In general.--Upon application of a State, the
                Administrator shall by regulation prohibit the discharge
                from a vessel of 1 or more discharges incidental to the
                normal operation of a vessel, whether treated or not
                treated, into the waters covered by the application if the
                Administrator determines that--

                        ``(I) the protection and enhancement of the quality
                    of the specified waters within the State require a
                    prohibition of the discharge into the waters;
                        ``(II) adequate facilities for the safe and
                    sanitary removal of the discharge incidental to the
                    normal operation of a vessel are reasonably available
                    for the waters to which the prohibition would apply;
                    and
                        ``(III) the prohibition will not have the effect of
                    discriminating against a vessel of the Armed Forces by
                    reason of the ownership or operation by the Federal
                    Government, or the military function, of the vessel.

                    ``(ii) Approval or disapproval.--The Administrator
                shall approve or disapprove an application submitted under
                clause (i) not later than 90 days after the date on which
                the application is submitted to the Administrator.
                Notwithstanding clause (i)(II), the Administrator shall not
                disapprove an application for the sole reason that there
                are not adequate facilities to remove any discharge
                incidental to the normal operation of a vessel from vessels
                of the Armed Forces.
                ``(C) Applicability to foreign flagged vessels.--A
            prohibition under this paragraph--
                    ``(i) shall not impose any design, construction,
                manning, or equipment standard on a foreign flagged vessel
                engaged in innocent passage unless the prohibition
                implements a generally accepted international rule or
                standard; and
                    ``(ii) that relates to the prevention, reduction, and
                control of pollution shall not apply to a foreign flagged
                vessel engaged in transit passage unless the prohibition
                implements an applicable international regulation regarding
                the discharge of oil, oily waste, or any other noxious
                substance into the waters.
            ``(8) Prohibition relating to vessels of the armed forces.--
        After the effective date of the regulations promulgated by the
        Secretary of Defense under paragraph (4), it shall be unlawful for
        any vessel of the Armed Forces subject to the regulations to--
                ``(A) operate in the navigable waters of the United States
            or the waters of the contiguous zone, if the vessel is not
            equipped with any required marine pollution control device
            meeting standards established under this subsection; or
                ``(B) discharge overboard any discharge incidental to the
            normal operation of a vessel in waters with respect to which a
            prohibition on the discharge has been established under
            paragraph (7).
            ``(9) Enforcement.--This subsection shall be enforceable, as
        provided in subsections (j) and (k), against any agency of the
        United States responsible for vessels of the Armed Forces
        notwithstanding any immunity asserted by the agency.''.
        (c) Conforming Amendments.--
            (1) Definitions.--Section 312(a) of the Federal Water Pollution
        Control Act (33 U.S.C. 1322(a)) is amended--
                (A) in paragraph (8)--
                    (i) by striking ``or''; and
                    (ii) by inserting ``or agency of the United States,''
                after ``association,'';
                (B) in paragraph (11), by striking the period at the end
            and inserting a semicolon; and
                (C) by adding at the end the following:
            ``(12) `discharge incidental to the normal operation of a
        vessel'--
                ``(A) means a discharge, including--
                    ``(i) graywater, bilge water, cooling water, weather
                deck runoff, ballast water, oil water separator effluent,
                and any other pollutant discharge from the operation of a
                marine propulsion system, shipboard maneuvering system,
                crew habitability system, or installed major equipment,
                such as an aircraft carrier elevator or a catapult, or from
                a protective, preservative, or absorptive application to
                the hull of the vessel; and
                    ``(ii) a discharge in connection with the testing,
                maintenance, and repair of a system described in clause (i)
                whenever the vessel is waterborne; and
                ``(B) does not include--
                    ``(i) a discharge of rubbish, trash, garbage, or other
                such material discharged overboard;
                    ``(ii) an air emission resulting from the operation of
                a vessel propulsion system, motor driven equipment, or
                incinerator; or
                    ``(iii) a discharge that is not covered by part 122.3
                of title 40, Code of Federal Regulations (as in effect on
                the date of the enactment of subsection (n));
            ``(13) `marine pollution control device' means any equipment or
        management practice, for installation or use on board a vessel of
        the Armed Forces, that is--
                ``(A) designed to receive, retain, treat, control, or
            discharge a discharge incidental to the normal operation of a
            vessel; and
                ``(B) determined by the Administrator and the Secretary of
            Defense to be the most effective equipment or management
            practice to reduce the environmental impacts of the discharge
            consistent with the considerations set forth in subsection
            (n)(2)(B); and
            ``(14) `vessel of the Armed Forces' means--
                ``(A) any vessel owned or operated by the Department of
            Defense, other than a time or voyage chartered vessel; and
                ``(B) any vessel owned or operated by the Department of
            Transportation that is designated by the Secretary of the
            department in which the Coast Guard is operating as a vessel
            equivalent to a vessel described in subparagraph (A).''.
            (2) Enforcement.--The first sentence of section 312(j) of the
        Federal Water Pollution Control Act (33 U.S.C. 1322(j)) is
        amended--
                (A) by striking ``of this section or'' and inserting a
            comma; and
                (B) by striking ``of this section shall'' and inserting ``,
            or subsection (n)(8) shall''.
            (3) Other definitions.--Subparagraph (A) of the second sentence
        of section 502(6) of the Federal Water Pollution Control Act (33
        U.S.C. 1362(6)) is amended by striking ```sewage from vessels'''
        and inserting ```sewage from vessels or a discharge incidental to
        the normal operation of a vessel of the Armed Forces'''.
        (d) Cooperation in Standards Development.--The Administrator of the
    Environmental Protection Agency and the Secretary of Defense may, by
    mutual agreement, with or without reimbursement, provide for the use of
    information, reports, personnel, or other resources of the
    Environmental Protection Agency or the Department of Defense to carry
    out section 312(n) of the Federal Water Pollution Control Act (as added
    by subsection (b)), including the use of the resources--
            (1) to determine--
                (A) the nature and environmental effect of discharges
            incidental to the normal operation of a vessel of the Armed
            Forces;
                (B) the practicability of using marine pollution control
            devices on vessels of the Armed Forces; and
                (C) the effect that installation or use of marine pollution
            control devices on vessels of the Armed Forces would have on
            the operation or operational capability of the vessels; and
            (2) to establish performance standards for marine pollution
        control devices on vessels of the Armed Forces.

      Subtitle D--Commissaries and Nonappropriated Fund Instrumentalities

    SEC. 331. OPERATION OF COMMISSARY SYSTEM.

        (a) Cooperation With Other Entities.--Section 2482 of title 10,
    United States Code, is amended--
            (1) in the section heading, by striking out ``private'';
            (2) by inserting ``(a) Private Operation.--'' before ``Private
        persons''; and
            (3) by adding at the end the following new subsection:
        ``(b) Contracts With Other Agencies and Instrumentalities.--(1) The
    Defense Commissary Agency, and any other agency of the Department of
    Defense that supports the operation of the commissary system, may enter
    into a contract or other agreement with another department, agency, or
    instrumentality of the Department of Defense or another Federal agency
    to provide services beneficial to the efficient management and
    operation of the commissary system.
        ``(2) A commissary store operated by a nonappropriated fund
    instrumentality of the Department of Defense shall be operated in
    accordance with section 2484 of this title. Subject to such section,
    the Secretary of Defense may authorize a transfer of goods, supplies,
    and facilities of, and funds appropriated for, the Defense Commissary
    Agency or any other agency of the Department of Defense that supports
    the operation of the commissary system to a nonappropriated fund
    instrumentality for the operation of a commissary store.''.
        (b) Clerical Amendment.--The item relating to such section in the
    table of sections at the beginning of chapter 147 of such title is
    amended to read as follows:
    ``2482. Commissary stores: operation.''.

    SEC. 332. LIMITED RELEASE OF COMMISSARY STORES SALES INFORMATION TO
                  MANUFACTURERS, DISTRIBUTORS, AND OTHER VENDORS DOING
                  BUSINESS WITH DEFENSE COMMISSARY AGENCY.

        Section 2487(b) of title 10, United States Code, is amended in the
    second sentence by inserting before the period the following: ``unless
    the agreement is between the Defense Commissary Agency and a
    manufacturer, distributor, or other vendor doing business with the
    Agency and is restricted to information directly related to merchandise
    provided by that manufacturer, distributor, or vendor''.
        SEC. 333. ECONOMICAL DISTRIBUTION OF DISTILLED SPIRITS BY
          NONAPPROPRIATED FUND INSTRUMENTALITIES.
        (a) Economical Distribution.--Subsection (a)(1) of section 2488 of
    title 10, United States Code, is amended by inserting after ``most
    competitive source'' the following: ``and distributed in the most
    economical manner''.
        (b) Determination of Most Economical Distribution Method.--Such
    section is further amended--
            (1) by redesignating subsection (c) as subsection (d); and
            (2) by inserting after subsection (b) the following new
        subsection:
        ``(c)(1) In the case of covered alcoholic beverage purchases of
    distilled spirits, to determine whether a nonappropriated fund
    instrumentality of the Department of Defense provides the most
    economical method of distribution to package stores, the Secretary of
    Defense shall consider all components of the distribution costs
    incurred by the nonappropriated fund instrumentality, such as overhead
    costs (including costs associated with management, logistics,
    administration, depreciation, and utilities), the costs of carrying
    inventory, and handling and distribution costs.
        ``(2) If the use of a private distributor would subject covered
    alcoholic beverage purchases of distilled spirits to direct or indirect
    State taxation, a nonappropriated fund instrumentality shall be
    considered to be the most economical method of distribution regardless
    of the results of the determination under paragraph (1).
        ``(3) The Secretary shall use the agencies performing audit
    functions on behalf of the armed forces and the Inspector General of
    the Department of Defense to make determinations under this
    subsection.''.
        SEC. 334. TRANSPORTATION BY COMMISSARIES AND EXCHANGES TO OVERSEAS
          LOCATIONS.
        (a) In General.--Chapter 157 of title 10, United States Code, is
    amended by adding at the end the following new section:

    ``Sec. 2643. Commissary and exchange services: transportation overseas

        ``The Secretary of Defense shall authorize the officials
    responsible for operation of commissaries and military exchanges to
    negotiate directly with private carriers for the most cost-effective
    transportation of commissary and exchange supplies by sea without
    relying on the Military Sealift Command or the Military Traffic
    Management Command. Section 2631 of this title, regarding the
    preference for vessels of the United States or belonging to the United
    States in the transportation of supplies by sea, shall apply to the
    negotiation of transportation contracts under the authority of this
    section.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding at the end the following new item:
    ``2643. Commissary and exchange services: transportation overseas.''.
        SEC. 335. DEMONSTRATION PROJECT FOR UNIFORM FUNDING OF MORALE,
          WELFARE, AND RECREATION ACTIVITIES AT CERTAIN MILITARY
          INSTALLATIONS.
        (a) Demonstration Project Required.--(1) The Secretary of Defense
    shall conduct a demonstration project to evaluate the feasibility of
    using only nonappropriated funds to support morale, welfare, and
    recreation programs at military installations in order to facilitate
    the procurement of property and services for those programs and the
    management of employees used to carry out those programs.
        (2) Under the demonstration project--
            (A) procurements of property and services for programs referred
        to in paragraph (1) may be carried out in accordance with laws and
        regulations applicable to procurements paid for with
        nonappropriated funds; and
            (B) appropriated funds available for such programs may be
        expended in accordance with laws applicable to expenditures of
        nonappropriated funds as if the appropriated funds were
        nonappropriated funds.
        (3) The Secretary shall prescribe regulations to carry out
    paragraph (2). The regulations shall provide for financial management
    and accounting of appropriated funds expended in accordance with
    subparagraph (B) of such paragraph.
        (b) Covered Military Installations.--The Secretary shall select not
    less than three and not more than six military installations to
    participate in the demonstration project.
        (c) Period of Demonstration Project.--The demonstration project
    shall terminate not later than September 30, 1998.
        (d) Effect on Employees.--For the purpose of testing fiscal
    accounting procedures, the Secretary may convert, for the duration of
    the demonstration project, the status of an employee who carries out a
    program referred to in subsection (a)(1) from the status of an employee
    paid by appropriated funds to the status of a nonappropriated fund
    instrumentality employee, except that such conversion may occur only--
            (1) if the employee whose status is to be converted--
                (A) is fully informed of the effects of such conversion on
            the terms and conditions of the employment of that employee for
            purposes of title 5, United States Code, and on the benefits
            provided to that employee under such title; and
                (B) consents to such conversion; or
            (2) in a manner which does not affect such terms and conditions
        of employment or such benefits.
        (e) Reports.--(1) Not later than six months after the date of the
    enactment of this Act, the Secretary shall submit to Congress an
    interim report on the implementation of this section.
        (2) Not later than December 31, 1998, the Secretary shall submit to
    Congress a final report on the results of the demonstration project.
    The report shall include a comparison of--
            (A) the cost incurred under the demonstration project in using
        employees paid by appropriated funds together with nonappropriated
        fund instrumentality employees to carry out the programs referred
        to in subsection (a)(1); and
            (B) an estimate of the cost that would have been incurred if
        only nonappropriated fund instrumentality employees had been used
        to carry out such programs.
        SEC. 336. OPERATION OF COMBINED EXCHANGE AND COMMISSARY STORES.
        (a) In General.--(1) Chapter 147 of title 10, United States Code,
    is amended by adding at the end the following new section:

    ``Sec. 2490a. Combined exchange and commissary stores

        ``(a) Authority.--The Secretary of Defense may authorize a
    nonappropriated fund instrumentality to operate a military exchange and
    a commissary store as a combined exchange and commissary store on a
    military installation.
        ``(b) Limitations.--(1) Not more than ten combined exchange and
    commissary stores may be operated pursuant to this section.
        ``(2) The Secretary may select a military installation for the
    operation of a combined exchange and commissary store under this
    section only if--
            ``(A) the installation is to be closed, or has been or is to be
        realigned, under a base closure law; or
            ``(B) a military exchange and a commissary store are operated
        at the installation by separate entities at the time of, or
        immediately before, such selection and it is not economically
        feasible to continue that separate operation.
        ``(c) Operation at Carswell Field.--Combined exchange and
    commissary stores operated under this section shall include the
    combined exchange and commissary store that is operated at the Naval
    Air Station Fort Worth, Joint Reserve Center, Carswell Field, Texas,
    under the authority provided in section 375 of the National Defense
    Authorization Act for Fiscal Year 1995 (Public Law 103-337; 108 Stat.
    2736).
        ``(d) Adjustments and Surcharges.--Adjustments to, and surcharges
    on, the sales price of a grocery food item sold in a combined exchange
    and commissary store under this section shall be provided for in
    accordance with the same laws that govern such adjustments and
    surcharges for items sold in a commissary store of the Defense
    Commissary Agency.
        ``(e) Use of Appropriated Funds.--(1) If a nonappropriated fund
    instrumentality incurs a loss in operating a combined exchange and
    commissary store at a military installation under this section as a
    result of the requirement set forth in subsection (d), the Secretary
    may authorize a transfer of funds available for the Defense Commissary
    Agency to the nonappropriated fund instrumentality to offset the loss.
        ``(2) The total amount of appropriated funds transferred during a
    fiscal year to support the operation of a combined exchange and
    commissary store at a military installation under this section may not
    exceed an amount that is equal to 25 percent of the amount of
    appropriated funds that was provided for the operation of the
    commissary store of the Defense Commissary Agency on that installation
    during the last full fiscal year of operation of that commissary store.
        ``(f) Definitions.--In this section:
            ``(1) The term `nonappropriated fund instrumentality' means the
        Army and Air Force Exchange Service, Navy Exchange Service Command,
        Marine Corps exchanges, or any other instrumentality of the United
        States under the jurisdiction of the Armed Forces which is
        conducted for the comfort, pleasure, contentment, or physical or
        mental improvement of members of the Armed Forces.
            ``(2) The term `base closure law' has the meaning given such
        term by section 2667(g) of this title.''.
        (2) The table of sections at the beginning of such chapter is
    amended by adding at the end the following new item:
    ``2490a. Combined exchange and commissary stores.''.

        (b) Conforming Amendment.--Section 375 of the National Defense
    Authorization Act for Fiscal Year 1995 (Public Law 103-337; 108 Stat.
    2736) is amended by striking out ``, until December 31, 1995,''.

    SEC. 337. DEFERRED PAYMENT PROGRAMS OF MILITARY EXCHANGES.

        (a) Use of Commercial Banking Institution.--(1) As soon as
    practicable after the date of the enactment of this Act, the Secretary
    of Defense shall seek to enter into an agreement with a commercial
    banking institution under which the institution agrees to finance and
    operate the deferred payment program of the Army and Air Force Exchange
    Service and the deferred payment program of the Navy Exchange Service
    Command. The Secretary shall use competitive procedures to enter into
    an agreement under this paragraph.
        (2) In order to facilitate the transition of the operation of the
    programs referred to in paragraph (1) to commercial operation under an
    agreement described in that paragraph, the Secretary may initially
    limit the scope of any such agreement so as to apply to only one of the
    programs.
        (b) Report.--Not later than December 31, 1995, the Secretary shall
    submit to Congress a report on the implementation of this section. The
    report shall also include an analysis of the impact of the deferred
    payment programs referred to in subsection (a)(1), including the impact
    of the default and collection procedures under such programs, on
    members of the Armed Forces and their families.
        SEC. 338. AVAILABILITY OF FUNDS TO OFFSET EXPENSES INCURRED BY ARMY
          AND AIR FORCE EXCHANGE SERVICE ON ACCOUNT OF TROOP REDUCTIONS IN
          EUROPE.
        Of funds authorized to be appropriated under section 301(5), not
    less than $70,000,000 shall be available to the Secretary of Defense
    for transfer to the Army and Air Force Exchange Service to offset
    expenses incurred by the Army and Air Force Exchange Service on account
    of reductions in the number of members of the United States Armed
    Forces assigned to permanent duty ashore in Europe.
        SEC. 339. STUDY REGARDING IMPROVING EFFICIENCIES IN OPERATION OF
          MILITARY EXCHANGES AND OTHER MORALE, WELFARE, AND RECREATION
          ACTIVITIES AND COMMISSARY STORES.
        (a) Study Required.--The Secretary of Defense shall conduct a study
    regarding the manner in which greater efficiencies can be achieved in
    the operation of--
            (1) military exchanges;
            (2) other instrumentalities of the United States under the
        jurisdiction of the Armed Forces which are conducted for the
        comfort, pleasure, contentment, or physical or mental improvement
        of members of the Armed Forces; and
            (3) commissary stores.
        (b) Report of Study.--Not later than March 1, 1996, the Secretary
    of Defense shall submit to Congress a report describing the results of
    the study and containing such recommendations as the Secretary
    considers appropriate to implement options identified in the study to
    achieve the greater efficiencies referred to in subsection (a).
        SEC. 340. REPEAL OF REQUIREMENT TO CONVERT SHIPS' STORES TO
          NONAPPROPRIATED FUND INSTRUMENTALITIES.
        (a) Repeal.--Section 371 of the National Defense Authorization Act
    for Fiscal Year 1994 (Public Law 103-160; 10 U.S.C. 7604 note) is
    amended--
            (1) by striking out subsections (a) and (b); and
            (2) by redesignating subsections (c) and (d) as subsections (a)
        and (b), respectively.
        (b) Inspector General Review.--Not later than April 1, 1996, the
    Inspector General of the Department of Defense shall submit to Congress
    a report that reviews the report on the costs and benefits of
    converting to operation of Navy ships' stores by nonappropriated fund
    instrumentalities that the Navy Audit Agency prepared in connection
    with the postponement of the deadline for the conversion provided for
    in section 374(a) of the National Defense Authorization Act for Fiscal
    Year 1995 (Public Law 103-337; 108 Stat. 2736).
        SEC. 341. DISPOSITION OF EXCESS MORALE, WELFARE, AND RECREATION
          FUNDS.
        Section 2219 of title 10, United States Code, is amended--
            (1) in the first sentence, by striking out ``a military
        department'' and inserting in lieu thereof ``an armed force'';
            (2) in the second sentence--
                (A) by striking out ``, department-wide''; and
                (B) by striking out ``of the military department'' and
            inserting in lieu thereof ``for that armed force''; and
            (3) by adding at the end the following: ``This section does not
        apply to the Coast Guard.''.
        SEC. 342. CLARIFICATION OF ENTITLEMENT TO USE OF MORALE, WELFARE,
          AND RECREATION FACILITIES BY MEMBERS OF RESERVE COMPONENTS AND
          DEPENDENTS.
        (a) In General.--Section 1065 of title 10, United States Code, is
    amended to read as follows:

    ``Sec. 1065. Morale, welfare, and recreation retail facilities: use by
                members of reserve components and dependents

        ``(a) Members of the Selected Reserve.--A member of the Selected
    Reserve in good standing (as determined by the Secretary concerned)
    shall be permitted to use MWR retail facilities on the same basis as
    members on active duty.
        ``(b) Members of Ready Reserve Not in Selected Reserve.--Subject to
    such regulations as the Secretary of Defense may prescribe, a member of
    the Ready Reserve (other than members of the Selected Reserve) may be
    permitted to use MWR retail facilities on the same basis as members
    serving on active duty.
        ``(c) Reserve Retirees Under Age 60.--A member or former member of
    a reserve component under 60 years of age who, but for age, would be
    eligible for retired pay under chapter 1223 of this title shall be
    permitted to use MWR retail facilities on the same basis as members of
    the armed forces entitled to retired pay under any other provision of
    law.
        ``(d) Dependents.--(1) Dependents of a member who is permitted
    under subsection (a) or (b) to use MWR retail facilities shall be
    permitted to use such facilities on the same basis as dependents of
    members on active duty.
        ``(2) Dependents of a member who is permitted under subsection (c)
    to use MWR retail facilities shall be permitted to use such facilities
    on the same basis as dependents of members of the armed forces entitled
    to retired pay under any other provision of law.
        ``(e) MWR Retail Facility Defined.--In this section, the term `MWR
    retail facilities' means exchange stores and other revenue-generating
    facilities operated by nonappropriated fund activities of the
    Department of Defense for the morale, welfare, and recreation of
    members of the armed forces.''.
        (b) Clerical Amendment.--The item relating to such section in the
    table of sections at the beginning of chapter 54 of such title is
    amended to read as follows:
    ``1065. Morale, welfare, and recreation retail facilities: use by
              members of reserve components and dependents.''.

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

        SEC. 351. COMPETITIVE PROCUREMENT OF PRINTING AND DUPLICATION
          SERVICES.
        (a) Requirement for Competitive Procurement.--Except as provided in
    subsection (b), the Secretary of Defense shall, during fiscal year 1996
    and consistent with the requirements of title 44, United States Code,
    competitively procure printing and duplication services from private-
    sector sources for the performance of at least 70 percent of the total
    printing and duplication requirements of the Defense Printing Service.
        (b) Exception for Classified Information.--The requirement of
    subsection (a) shall not apply to the procurement of services for
    printing and duplicating classified documents and information.
        SEC. 352. DIRECT VENDOR DELIVERY SYSTEM FOR CONSUMABLE INVENTORY
          ITEMS OF DEPARTMENT OF DEFENSE.
        (a) Implementation of Direct Vendor Delivery System.--Not later
    than September 30, 1997, the Secretary of Defense shall, to the maximum
    extent practicable, implement a system under which consumable inventory
    items referred to in subsection (b) are delivered to military
    installations throughout the United States directly by the vendors of
    those items. The purpose for implementing the system is to reduce the
    expense and necessity of maintaining extensive warehouses for those
    items within the Department of Defense.
        (b) Covered Items.--The items referred to in subsection (a) are the
    following:
            (1) Food and clothing.
            (2) Medical and pharmaceutical supplies.
            (3) Automotive, electrical, fuel, and construction supplies.
            (4) Other consumable inventory items the Secretary considers
        appropriate.
        SEC. 353. PAYROLL, FINANCE, AND ACCOUNTING FUNCTIONS OF THE
          DEPARTMENT OF DEFENSE.
        (a) Plan for Private Operation of Certain Functions.--(1) Not later
    than October 1, 1996, the Secretary of Defense shall submit to Congress
    a plan for the performance by private-sector sources of payroll
    functions for civilian employees of the Department of Defense other
    than employees paid from nonappropriated funds.
        (2)(A) The Secretary shall implement the plan referred to in
    paragraph (1) if the Secretary determines that the cost of performance
    by private-sector sources of the functions referred to in that
    paragraph does not exceed the cost of performance of those functions by
    employees of the Federal Government.
        (B) In computing the total cost of performance of such functions by
    employees of the Federal Government, the Secretary shall include the
    following:
            (i) Managerial and administrative costs.
            (ii) Personnel costs, including the cost of providing
        retirement benefits for such personnel.
            (iii) Costs associated with the provision of facilities and
        other support by Federal agencies.
        (C) The Defense Contract Audit Agency shall verify the costs
    computed for the Secretary under this paragraph by others.
        (3) At the same time the Secretary submits the plan required by
    paragraph (1), the Secretary shall submit to Congress a report on other
    accounting and finance functions of the Department that are appropriate
    for performance by private-sector sources.
        (b) Pilot Program for Private Operation of NAFI Functions.--(1) The
    Secretary shall carry out a pilot program to test the performance by
    private-sector sources of payroll and other accounting and finance
    functions of nonappropriated fund instrumentalities and to evaluate the
    extent to which cost savings and efficiencies would result from the
    performance of such functions by those sources.
        (2) The payroll and other accounting and finance functions
    designated by the Secretary for performance by private-sector sources
    under the pilot program shall include at least one major payroll,
    accounting, or finance function.
        (3) To carry out the pilot program, the Secretary shall enter into
    discussions with private-sector sources for the purpose of developing a
    request for proposals to be issued for performance by those sources of
    functions designated by the Secretary under paragraph (2). The
    discussions shall be conducted on a schedule that accommodates issuance
    of a request for proposals within 60 days after the date of the
    enactment of this Act.
        (4) A goal of the pilot program is to reduce by at least 25 percent
    the total costs incurred by the Department annually for the performance
    of a function referred to in paragraph (2) through the performance of
    that function by a private-sector source.
        (5) Before conducting the pilot program, the Secretary shall
    develop a plan for the program that addresses the following:
            (A) The purposes of the program.
            (B) The methodology, duration, and anticipated costs of the
        program, including the cost of an arrangement pursuant to which a
        private-sector source would receive an agreed-upon payment plus an
        additional negotiated amount not to exceed 50 percent of the dollar
        savings achieved in excess of the goal specified in paragraph (4).
            (C) A specific citation to any provisions of law, rule, or
        regulation that, if not waived, would prohibit the conduct of the
        program or any part of the program.
            (D) A mechanism to evaluate the program.
            (E) A provision for all payroll, accounting, and finance
        functions of nonappropriated fund instrumentalities of the
        Department of Defense to be performed by private-sectorsources, if
    determined advisable on the basis of a final assessment of the results
    of the program.
        (6) The Secretary shall act through the Under Secretary of Defense
    (Comptroller) in the performance of the Secretary's responsibilities
    under this subsection.
        (c) Limitation on Opening of New Operating Locations for Defense
    Finance and Accounting Service.--(1) Except as provided in paragraph
    (2), the Secretary may not establish a new operating location for the
    Defense Finance and Accounting Service during fiscal year 1996.
        (2) The Secretary may establish a new operating location for the
    Defense Finance and Accounting Service if--
            (A) for a new operating location that the Secretary planned
        before the date of the enactment of this Act to establish on or
        after that date, the Secretary reconsiders the need for
        establishing that new operating location; and
            (B) for each new operating location, including a new operating
        location referred to in subparagraph (A)--
                (i) the Secretary submits to Congress, as part of the
            report required by subsection (a)(4), an analysis of the need
            for establishing the new operating location; and
                (ii) a period of 30 days elapses after the Congress
            receives the report.
        (3) In this subsection, the term ``new operating location'' means
    an operating location that is not in operation on the date of the
    enactment of this Act, except that such term does not include an
    operating location for which, as of such date--
            (A) the Secretary has established a date for the commencement
        of operations; and
            (B) funds have been expended for the purpose of its
        establishment.
        SEC. 354. DEMONSTRATION PROGRAM TO IDENTIFY OVERPAYMENTS MADE TO
          VENDORS.
        (a) In General.--The Secretary of Defense shall conduct a
    demonstration program to evaluate the feasibility of using private
    contractors to audit accounting and procurement records of the
    Department of Defense in order to identify overpayments made to vendors
    by the Department. The demonstration program shall be conducted for the
    Defense Logistics Agency and include the Defense Personnel Support
    Center.
        (b) Program Requirements.--(1) Under the demonstration program, the
    Secretary shall, by contract, provide for one or more persons to audit
    the accounting and procurement records of the Defense Logistics Agency
    that relate to (at least) fiscal years 1993, 1994, and 1995. The
    Secretary may enter into more than one contract under the program.
        (2) A contract under the demonstration program shall require the
    contractor to use data processing techniques that are generally used in
    audits of private-sector records similar to the records audited under
    the contract.
        (c) Audit Requirements.--In conducting an audit under the
    demonstration program, a contractor shall compare Department of Defense
    purchase agreements (and related documents) with invoices submitted by
    vendors under the purchase agreements. A purpose of the comparison is
    to identify, in the case of each audited purchase agreement, the
    following:
            (1) Any payments to the vendor for costs that are not allowable
        under the terms of the purchase agreement or by law.
            (2) Any amounts not deducted from the total amount paid to the
        vendor under the purchase agreement that should have been deducted
        from that amount on account of goods and services provided to the
        vendor by the Department.
            (3) Duplicate payments.
            (4) Unauthorized charges.
            (5) Other discrepancies between the amount paid to the vendor
        and the amount actually due the vendor under the purchase
        agreement.
        (d) Bonus Payment.--To the extent provided for in a contract under
    the demonstration program, the Secretary may pay the contractor a bonus
    in addition to any other amount paid for performance of the contract.
    The amount of such bonus may not exceed the amount that is equal to 25
    percent of all amounts recovered by the United States on the basis of
    information obtained as a result of the audit performed under the
    contract. Any such bonus shall be paid out of amounts made available
    pursuant to subsection (e).
        (e) Availability of Funds.--Of the amount authorized to be
    appropriated pursuant to section 301(5), not more than $5,000,000 shall
    be available for the demonstration program.
        SEC. 355. PILOT PROGRAM ON PRIVATE OPERATION OF DEFENSE DEPENDENTS'
          SCHOOLS.
        (a) Pilot Program.--The Secretary of Defense may conduct a pilot
    program to evaluate the feasibility of using private contractors to
    operate schools of the defense dependents' education system established
    under section 1402(a) of the Defense Dependents' Education Act of 1978
    (20 U.S.C. 921(a)).
        (b) Selection of School for Program.--If the Secretary conducts the
    pilot program, the Secretary shall select one school of the defense
    dependents' education system for participation in the program and
    provide for the operation of the school by a private contractor for not
    less than one complete school year.
        (c) Report.--Not later than 30 days after the end of the first
    school year in which the pilot program is conducted, the Secretary
    shall submit to Congress a report on the results of the program. The
    report shall include the recommendation of the Secretary with respect
    to the extent to which other schools of the defense dependents'
    education system should be operated by private contractors.
        SEC. 356. PROGRAM FOR IMPROVED TRAVEL PROCESS FOR THE DEPARTMENT OF
          DEFENSE.
        (a) In General.--(1) The Secretary of Defense shall conduct a
    program to evaluate options to improve the Department of Defense travel
    process. To carry out the program, the Secretary shall compare the
    results of the tests conducted under subsection (b) to determine which
    travel process tested under such subsection is the better option to
    effectively manage travel of Department personnel.
        (2) The program shall be conducted at not less than three and not
    more than six military installations, except that an installation may
    be the subject of only one test conducted under the program.
        (3) The Secretary shall act through the Under Secretary of Defense
    (Comptroller) in the performance of the Secretary's responsibilities
    under this section.
        (b) Conduct of Tests.--(1) The Secretary shall conduct a test at an
    installation referred to in subsection (a)(2) under which the
    Secretary--
            (A) implements the changes proposed to be made with respect to
        the Department of Defense travel process by the task force on
        travel management that was established by the Secretary in July
        1994;
            (B) manages and uniformly applies that travel process
        (including the implemented changes) throughout the Department; and
            (C) provides opportunities for private-sector sources to
        provide travel reservation services and credit card services to
        facilitate that travel process.
        (2) The Secretary shall conduct a test at an installation referred
    to in subsection (a)(2) under which the Secretary--
            (A) enters into one or more contracts with a private-sector
        source pursuant to which the private-sector source manages the
        Department of Defense travel process (except for functions referred
        to in subparagraph (B)), provides for responsive, reasonably priced
        services as part of the travel process, and uniformly applies the
        travel process throughout the Department; and
            (B) provides for the performance by employees of the Department
        of only those travel functions, such as travel authorization, that
        the Secretary considers to be necessary to be performed by such
        employees.
        (3) Each test required by this subsection shall begin not later
    than 60 days after the date of the enactment of this Act and end two
    years after the date on which it began. Each such test shall also be
    conducted in accordance with the guidelines for travel management
    issued for the Department by the Under Secretary of Defense
    (Comptroller).
        (c) Evaluation Criteria.--The Secretary shall establish criteria to
    evaluate the travel processes tested under subsection (b). The criteria
    shall, at a minimum, include the extent to which a travel process
    provides for the following:
            (1) The coordination, at the time of a travel reservation, of
        travel policy and cost estimates with the mission which
        necessitates the travel.
            (2) The use of fully integrated travel solutions envisioned by
        the travel reengineering report of the Department of Defense dated
        January 1995.
            (3) The coordination of credit card data and travel reservation
        data with cost estimate data.
            (4) The elimination of the need for multiple travel approvals
        through the coordination of such data with proposed travel plans.
            (5) A responsive and flexible management information system
        that enables the Under Secretary of Defense (Comptroller) to
        monitor travel expenses throughout the year, accurately plan travel
        budgets for future years, and assess, in the case of travel of an
        employee on temporary duty, the relationship between the cost of
        the travel and the value of the travel to the accomplishment of the
        mission which necessitates the travel.
        (d) Plan for Program.--Before conducting the program, the Secretary
    shall develop a plan for the program that addresses the following:
            (1) The purposes of the program, including the achievement of
        an objective of reducing by at least 50 percent the total cost
        incurred by the Department annually to manage the Department of
        Defense travel process.
            (2) The methodology and anticipated cost of the program,
        including the cost of an arrangement pursuant to which a private-
        sector source would receive an agreed-upon payment plus an
        additional negotiated amount that does not exceed 50 percent of the
        total amount saved in excess of the objective specified in
        paragraph (1).
            (3) A specific citation to any provision or law, rule, or
        regulation that, if not waived, would prohibit the conduct of the
        program or any part of the program.
            (4) The evaluation criteria established pursuant to subsection
        (c).
            (5) A provision for implementing throughout the Department the
        travel process determined to be the better option to effectively
        manage travel of Department personnel on the basis of a final
        assessment of the results of the program.
        (e) Report.--After the first full year of the conduct of the tests
    required by subsection (b), 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 on the implementation of the
    program. The report shall include an analysis of the evaluation
    criteria established pursuant to subsection (c).
        SEC. 357. INCREASED RELIANCE ON PRIVATE-SECTOR SOURCES FOR
          COMMERCIAL PRODUCTS AND SERVICES.
        (a) In General.--The Secretary of Defense shall endeavor to carry
    out through a private-sector source any activity to provide a
    commercial product or service for the Department of Defense if--
            (1) the product or service can be provided adequately through
        such a source; and
            (2) an adequate competitive environment exists to provide for
        economical performance of the activity by such a source.
        (b) Applicability.--(1) Subsection (a) shall not apply to any
    commercial product or service with respect to which the Secretary
    determines that production, manufacture, or provision of that product
    or service by the Government is necessary for reasons of national
    security.
        (2) A determination under paragraph (1) shall be made in accordance
    with regulations prescribed under subsection (c).
        (c) Regulations.--The Secretary shall prescribe regulations to
    carry out this section. Such regulations shall be prescribed in
    consultation with the Director of the Office of Management and Budget.
        (d) Report.--(1) The Secretary shall identify activities of the
    Department (other than activities specified by the Secretary pursuant
    to subsection (b)) that are carried out by employees of the Department
    to provide commercial-type products or services for the Department.
        (2) Not later than April 15, 1996, the Secretary shall transmit to
    the congressional defense committees a report on opportunities for
    increased use of private-sector sources to provide commercial products
    and services for the Department.
        (3) The report required by paragraph (2) shall include the
    following:
            (A) A list of activities identified under paragraph (1)
        indicating, for each activity, whether the Secretary proposes to
        convert the performance of that activity to performance by private-
        sector sources and, if not, the reasons why.
            (B) An assessment of the advantages and disadvantages of using
        private-sector sources, rather than employees of the Department, to
        provide commercial products and services for the Department that
        are not essential to the warfighting mission of the Armed Forces.
            (C) A specification of all legislative and regulatory
        impediments to converting the performance of activities identified
        under paragraph (1) to performance by private-sector sources.
            (D) The views of the Secretary on the desirability of
        terminating the applicability of OMB Circular A-76 to the
        Department.
        (4) The Secretary shall carry out paragraph (1) in consultation
    with the Director of the Office of Management and Budget and the
    Comptroller General of the United States. In carrying out that
    paragraph, the Secretary shall consult with, and seek the views of,
    representatives of the private sector, including organizations
    representing small businesses.

            Subtitle F--Miscellaneous Reviews, Studies, and Reports

    SEC. 361. QUARTERLY READINESS REPORTS.

        (a) In General.--(1) Chapter 22 of title 10, United States Code, is
    amended by adding at the end the following new section:

    ``Sec. 452. Quarterly readiness reports

        ``(a) Requirement.--Not later than 30 days after the end of each
    calendar-year quarter, 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 military
    readiness. The report for any quarter shall be based on assessments
    that are provided during that quarter--
            ``(1) to any council, committee, or other body of the
        Department of Defense (A) that has responsibility for readiness
        oversight, and (B) the membership of which includes at least one
        civilian officer in the Office of the Secretary of Defense at the
        level of Assistant Secretary of Defense or higher;
            ``(2) by senior civilian and military officers of the military
        departments and the commanders of the unified and specified
        commands; and
            ``(3) as part of any regularly established process of periodic
        readiness reviews for the Department of Defense as a whole.
        ``(b) Matters To Be Included.--Each such report shall--
            ``(1) specifically describe identified readiness problems or
        deficiencies and planned remedial actions; and
            ``(2) include the key indicators and other relevant data
        related to the identified problem or deficiency.
        ``(c) Classification of Reports.--Reports under this section shall
    be submitted in unclassified form and may, as the Secretary determines
    necessary, also be submitted in classified form.''.
        (2) The table of sections at the beginning of such chapter is
    amended by adding at the end the following new item:
    ``452. Quarterly readiness reports.''.

      (b) Effective Date.--Section 452 of title 10, United States Code, as
    added by subsection (a), shall take effect with the calendar-year
    quarter during which this Act is enacted.
        SEC. 362. RESTATEMENT OF REQUIREMENT FOR SEMIANNUAL REPORTS TO
          CONGRESS ON TRANSFERS FROM HIGH-PRIORITY READINESS
          APPROPRIATIONS.
        Section 361 of the National Defense Authorization Act for Fiscal
    Year 1995 (Public Law 103-337; 108 Stat. 2732) is amended to read as
    follows:
    ``SEC. 361. SEMIANNUAL REPORTS TO CONGRESS ON TRANSFERS FROM HIGH-
    PRIORITY READINESS APPROPRIATIONS.
        ``(a) Annual Reports.--During 1996 and 1997, the Secretary of
    Defense shall submit to the congressional defense committees a report
    on transfers during the preceding fiscal year from funds available for
    each budget activity specified in subsection (d) (hereinafter in this
    section referred to as `covered budget activities'). The report each
    year shall be submitted not later than the date in that year on which
    the President submits the budget for the next fiscal year to Congress
    pursuant to section 1105 of title 31, United States Code.
        ``(b) Midyear Reports.--On May 1 of each year specified in
    subsection (a), the Secretary of Defense shall submit to the
    congressional defense committees a report providing the same
    information, with respect to the first six months of the fiscal year in
    which the report is submitted, that is provided in reports under
    subsection (a) with respect to the preceding fiscal year.
        ``(c) Matters To Be Included.--In each report under this section,
    the Secretary shall include for each covered budget activity the
    following:
            ``(1) A statement, for the period covered by the report, of--
                ``(A) the total amount of transfers into funds available
            for that activity;
                ``(B) the total amount of transfers from funds available
            for that activity; and
                ``(C) the net amount of transfers into, or out of, funds
            available for that activity.
            ``(2) A detailed explanation of the transfers into, and out of,
        funds available for that activity during the period covered by the
        report.
        ``(d) Covered Budget Activities.--The budget activities to which
    this section applies are the following:
            ``(1) The budget activity groups (known as `subactivities')
        within the Operating Forces budget activity of the annual Operation
        and Maintenance, Army, appropriation that are designated as
        follows:
                ``(A) Combat Units.
                ``(B) Tactical Support.
                ``(C) Force-Related Training/Special Activities.
                ``(D) Depot Maintenance.
                ``(E) JCS Exercises.
            ``(2) The budget activity groups (known as `subactivities')
        within the Operating Forces budget activity of the annual Operation
        and Maintenance, Navy, appropriation that are designated as
        follows:
                ``(A) Mission and Other Flight Operations.
                ``(B) Mission and Other Ship Operations.
                ``(C) Fleet Air Training.
                ``(D) Ship Operational Support and Training.
                ``(E) Aircraft Depot Maintenance.
                ``(F) Ship Depot Maintenance.
            ``(3) The budget activity groups (known as `subactivities'), or
        other activity, within the Operating Forces budget activity of the
        annual Operation and Maintenance, Air Force, appropriation that are
        designated or otherwise identified as follows:
                ``(A) Primary Combat Forces.
                ``(B) Primary Combat Weapons.
                ``(C) Global and Early Warning.
                ``(D) Air Operations Training.
                ``(E) Depot Maintenance.
                ``(F) JCS Exercises.''.
        SEC. 363. REPORT REGARDING REDUCTION OF COSTS ASSOCIATED WITH
          CONTRACT MANAGEMENT OVERSIGHT.
        (a) Report Required.--Not later than April 1, 1996, the Comptroller
    General of the United States shall submit to Congress a report
    identifying methods to reduce the cost to the Department of Defense of
    management oversight of contracts in connection with major defense
    acquisition programs.
        (b) Major Defense Acquisition Programs Defined.--For purposes of
    this section, the term ``major defense acquisition program'' has the
    meaning given that term in section 2430(a) of title 10, United States
    Code.
        SEC. 364. REVIEWS OF MANAGEMENT OF INVENTORY CONTROL POINTS AND
          MATERIEL MANAGEMENT STANDARD SYSTEM.
        (a) Review of Consolidation of Inventory Control Points.--(1) The
    Secretary of Defense shall conduct a review of the management by the
    Defense Logistics Agency of all inventory control points of the
    Department of Defense. In conducting the review, the Secretary shall
    examine the management and acquisition practices of the Defense
    Logistics Agency for inventory of repairable spare parts.
        (2) Not later than March 31, 1996, the Secretary shall submit to
    the Comptroller General of the United States and the congressional
    defense committees a report on the results the review conducted under
    paragraph (1).
        (b) Review of Materiel Management Standard System.--(1) The
    Comptroller General of the United States shall conduct a review of the
    automated data processing system of the Department of Defense known as
    the Materiel Management Standard System.
        (2) Not later than May 1, 1996, the Comptroller General shall
    submit to the congressional defense committees a report on the results
    of the review conducted under paragraph (1).
        SEC. 365. REPORT ON PRIVATE PERFORMANCE OF CERTAIN FUNCTIONS
          PERFORMED BY MILITARY AIRCRAFT.
        (a) Report Required.--Not later than May 1, 1996, the Secretary of
    Defense shall submit to Congress a report on the feasibility of
    providing for the performance by private-sector sources of functions
    necessary to be performed to fulfill the requirements of the Department
    of Defense for air transportation of personnel and cargo.
        (b) Content of Report.--The report shall include the following:
            (1) A cost-benefit analysis with respect to the performance by
        private-sector sources of functions described in subsection (a),
        including an explanation of the assumptions used in the cost-
        benefit analysis.
            (2) An assessment of the issues raised by providing for such
        performance by means of a contract entered into with a private-
        sector source.
            (3) An assessment of the issues raised by providing for such
        performance by means of converting functions described in
        subsection (a) to private ownership and operation, in whole or in
        part.
            (4) A discussion of the requirements for the performance of
        such functions in order to fulfill the requirements referred to in
        subsection (a) during wartime.
            (5) The effect on military personnel and facilities of using
        private-sector sources to fulfill the requirements referred to in
        such subsection.
            (6) The performance by private-sector sources of any other
        military aircraft functions (such as non-combat inflight fueling of
        aircraft) the Secretary considers appropriate.
        SEC. 366. STRATEGY AND REPORT ON AUTOMATED INFORMATION SYSTEMS OF
          DEPARTMENT OF DEFENSE.
        (a) Development of Strategy.--The Secretary of Defense shall
    develop a strategy for the development or modernization of automated
    information systems for the Department of Defense.
        (b) Matters to Consider.--In developing the strategy required under
    subsection (a), the Secretary shall consider the following:
            (1) The use of performance measures and management controls.
            (2) Findings of the Functional Management Review conducted by
        the Secretary.
            (3) Program management actions planned by the Secretary.
            (4) Actions and milestones necessary for completion of
        functional and economic analyses for--
                (A) the Automated System for Transportation data;
                (B) continuous acquisition and life cycle support;
                (C) electronic data interchange;
                (D) flexible computer integrated manufacturing;
                (E) the Navy Tactical Command Support System; and
                (F) the Defense Information System Network.
            (5) Progress made by the Secretary in resolving problems with
        respect to the Defense Information System Network and the Joint
        Computer-Aided Acquisition and Logistics Support System.
            (6) Tasks identified in the review conducted by the Secretary
        of the Standard Installation/Division Personnel System-3.
            (7) Such other matters as the Secretary considers appropriate.
        (c) Report on Strategy.--(1) Not later than April 15, 1996, the
    Secretary shall submit to Congress a report on the development of the
    strategy required under subsection (a).
        (2) In the case of the Air Force Wargaming Center, the Air Force
    Command Exercise System, the Cheyenne Mountain Upgrade, the
    Transportation Coordinator Automated Command and Control Information
    Systems, and the Wing Command and Control Systems, the report required
    by paragraph (1) shall provide functional economic analyses and address
    waivers exercised for compelling military importance under section
    381(d) of the National Defense Authorization Act for Fiscal Year 1995
    (Public Law 103-337; 108 Stat. 2739).
        (3) The report required by paragraph (1) shall also include the
    following:
            (A) A certification by the Secretary of the termination of the
        Personnel Electronic Record Management System or a justification
        for the continued need for such system.
            (B) Findings of the Functional Management Review conducted by
        the Secretary and program management actions planned by the
        Secretary for--
                (i) the Base Level System Modernization and the Sustaining
            Base Information System; and
                (ii) the Standard Installation/Division Personnel System-3.
            (C) An assessment of the implementation of migration systems
        and applications, including--
                (i) identification of the systems and applications by
            functional or business area, specifying target dates for
            operation of the systems and applications;
                (ii) identification of the legacy systems and applications
            that will be terminated;
                (iii) the cost of and schedules for implementing the
            migration systems and applications; and
                (iv) termination schedules.
            (D) A certification by the Secretary that each information
        system that is subject to review by the Major Automated Information
        System Review Committee of the Department is cost-effective and
        supports the corporate information management goals of the
        Department, including the results of the review conducted for each
        such system by the Committee.

                           Subtitle G--Other Matters

    SEC. 371. CODIFICATION OF DEFENSE BUSINESS OPERATIONS FUND.

        (a) Management of Working-Capital Funds.--(1) Chapter 131 of title
    10, United States Code, is amended by inserting after section 2215 the
    following new section:

    ``Sec. 2216. Defense Business Operations Fund

        ``(a) Management of Working-Capital Funds and Certain Activities.--
    The Secretary of Defense may manage the performance of the working-
    capital funds and industrial, commercial, and support type activities
    described in subsection (b) through the fund known as the Defense
    Business Operations Fund, which is established on the books of the
    Treasury. Except for the funds and activities specified in subsection
    (b), no other functions, activities, funds, or accounts of the
    Department of Defense may be managed or converted to management through
    the Fund.
        ``(b) Funds and Activities Included.--The funds and activities
    referred to in subsection (a) are the following:
            ``(1) Working-capital funds established under section 2208 of
        this title and in existence on December 5, 1991.
            ``(2) Those activities that, on December 5, 1991, were funded
        through the use of a working-capital fund established under that
        section.
            ``(3) The Defense Finance and Accounting Service.
            ``(4) The Defense Commissary Agency.
            ``(5) The Defense Reutilization and Marketing Service.
            ``(6) The Joint Logistics Systems Center.
        ``(c) Separate Accounting, Reporting, and Auditing of Funds and
    Activities.--(1) The Secretary of Defense shall provide in accordance
    with this subsection for separate accounting, reporting, and auditing
    of funds and activities managed through the Fund.
        ``(2) The Secretary shall maintain the separate identity of each
    fund and activity managed through the Fund that (before the
    establishment of the Fund) was managed as a separate Fund or activity.
        ``(3) The Secretary shall maintain separate records for each
    function for which payment is made through the Fund and which (before
    the establishment of the Fund) was paid directly through
    appropriations, including the separate identity of the appropriation
    account used to pay for the performance of the function.
        ``(d) Charges for Goods and Services Provided Through the Fund.--
    (1) Charges for goods and services provided through the Fund shall
    include the following:
            ``(A) Amounts necessary to recover the full costs of the goods
        and services, whenever practicable, and the costs of the
        development, implementation, operation, and maintenance of systems
        supporting the wholesale supply and maintenance activities of the
        Department of Defense.
            ``(B) Amounts for depreciation of capital assets, set in
        accordance with generally accepted accounting principles.
            ``(C) Amounts necessary to recover the full cost of the
        operation of the Defense Finance Accounting Service.
        ``(2) Charges for goods and services provided through the Fund may
    not include the following:
            ``(A) Amounts necessary to recover the costs of a military
        construction project (as defined in section 2801(b) of this title),
        other than a minor construction project financed by the Fund
        pursuant to section 2805(c)(1) of this title.
            ``(B) Amounts necessary to cover costs incurred in connection
        with the closure or realignment of a military installation.
            ``(C) Amounts necessary to recover the costs of functions
        designated by the Secretary of Defense as mission critical, such as
        ammunition handling safety, and amounts for ancillary tasks not
        directly related to the mission of the function or activity managed
        through the Fund.
        ``(3)(A) The Secretary of Defense may submit to a customer a bill
    for the provision of goods and services through the Fund in advance of
    the provision of those goods and services.
        ``(B) The Secretary shall submit to Congress a report on advance
    billings made pursuant to subparagraph (A)--
            ``(i) when the aggregate amount of all such billings after the
        date of the enactment of the National Defense Authorization Act for
        Fiscal Year 1996 reaches $100,000,000; and
            ``(ii) whenever the aggregate amount of all such billings after
        the date of a preceding report under this subparagraph reaches
        $100,000,000.
        ``(C) Each report under subparagraph (B) shall include, for each
    such advance billing, the following:
            ``(i) An explanation of the reason for the advance billing.
            ``(ii) An analysis of the impact of the advance billing on
        readiness.
            ``(iii) An analysis of the impact of the advance billing on the
        customer so billed.
        ``(e) Capital Asset Subaccount.--(1) Amounts charged for
    depreciation of capital assets pursuant to subsection (d)(1)(B) shall
    be credited to a separate capital asset subaccount established within
    the Fund.
        ``(2) The Secretary of Defense may award contracts for capital
    assets of the Fund in advance of the availability of funds in the
    subaccount.
        ``(f) Procedures For Accumulation of Funds.--The Secretary of
    Defense shall establish billing procedures to ensure that the balance
    in the Fund does not exceed the amount necessary to provide for the
    working capital requirements of the Fund, as determined by the
    Secretary.
        ``(g) Purchase From Other Sources.--The Secretary of Defense or the
    Secretary of a military department may purchase goods and services that
    are available for purchase from the Fund from a source other than the
    Fund if the Secretary determines that such source offers a more
    competitive rate for the goods and services than the Fund offers.
        ``(h) Annual Reports and Budget.--The Secretary of Defense shall
    annually submit to Congress, at the same time that the President
    submits the budget under section 1105 of title 31, the following:
            ``(1) A detailed report that contains a statement of all
        receipts and disbursements of the Fund (including such a statement
        for each subaccount of the Fund) for the fiscal year ending in the
        year preceding the year in which the budget is submitted.
            ``(2) A detailed proposed budget for the operation of the Fund
        for the fiscal year for which the budget is submitted.
            ``(3) A comparison of the amounts actually expended for the
        operation of the Fund for the fiscal year referred to in paragraph
        (1) with the amount proposed for the operation of the Fund for that
        fiscal year in the President's budget.
            ``(4) A report on the capital asset subaccount of the Fund that
        contains the following information:
                ``(A) The opening balance of the subaccount as of the
            beginning of the fiscal year in which the report is submitted.
                ``(B) The estimated amounts to be credited to the
            subaccount in the fiscal year in which the report is submitted.
                ``(C) The estimated amounts of outlays to be paid out of
            the subaccount in the fiscal year in which the report is
            submitted.
                ``(D) The estimated balance of the subaccount at the end of
            the fiscal year in which the report is submitted.
                ``(E) A statement of how much of the estimated balance at
            the end of the fiscal year in which the report is submitted
            will be needed to pay outlays in the immediately following
            fiscal year that are in excess of the amount to be credited to
            the subaccount in the immediately following fiscal year.
        ``(i) Definitions.--In this section:
            ``(1) The term `capital assets' means the following capital
        assets that have a development or acquisition cost of not less than
        $50,000:
                ``(A) Minor construction projects financed by the Fund
            pursuant to section 2805(c)(1) of this title.
                ``(B) Automatic data processing equipment, software.
                ``(C) Equipment other than equipment described in
            subparagraph (B).
                ``(D) Other capital improvements.
            ``(2) The term `Fund' means the Defense Business Operations
        Fund.''.
        (2) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 2215 the
    following new item:
    ``2216. Defense Business Operations Fund.''.

        (b) Conforming Repeals.--The following provisions of law are hereby
    repealed:
            (1) Subsections (b), (c), (d), and (e) of section 311 of the
        National Defense Authorization Act for Fiscal Year 1995 (Public Law
        103-337; 10 U.S.C. 2208 note).
            (2) Subsections (a) and (b) of section 333 of the National
        Defense Authorization Act for Fiscal Year 1994 (Public Law 103-160;
        10 U.S.C. 2208 note).
            (3) Section 342 of the National Defense Authorization Act for
        Fiscal Year 1993 (Public Law 102-484; 10 U.S.C. 2208 note).
            (4) Section 316 of the National Defense Authorization Act for
        Fiscal Years 1992 and 1993 (Public Law 102-190; 10 U.S.C. 2208
        note).
            (5) Section 8121 of the Department of Defense Appropriations
        Act, 1992 (Public Law 102-172; 10 U.S.C. 2208 note).
        SEC. 372. CLARIFICATION OF SERVICES AND PROPERTY THAT MAY BE
          EXCHANGED TO BENEFIT THE HISTORICAL COLLECTION OF THE ARMED
          FORCES.
        Section 2572(b)(1) of title 10, United States Code, is amended by
    striking out ``not needed by the armed forces'' and all that follows
    through the end of the paragraph and inserting in lieu thereof the
    following: ``not needed by the armed forces for any of the following
    items or services if such items or services directly benefit the
    historical collection of the armed forces:
            ``(A) Similar items held by any individual, organization,
        institution, agency, or nation.
            ``(B) Conservation supplies, equipment, facilities, or systems.
            ``(C) Search, salvage, or transportation services.
            ``(D) Restoration, conservation, or preservation services.
            ``(E) Educational programs.''.

    SEC. 373. FINANCIAL MANAGEMENT TRAINING.

        (a) Limitation.--The Secretary of Defense may enter into a capital
    lease for the establishment of a Department of Defense financial
    management training center no earlier than the date that is 30 days
    after the date on which 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, in accordance with subsection
    (b), a certification of the need for such a center and a report on
    financial management training for Department of Defense personnel.
        (b) Certification and Report.--(1) The certification and report
    referred to in subsection (a) are the following:
            (A) Certification by the Secretary of the need for such a
        center.
            (B) A report, submitted with the certification, on financial
        management training for Department of Defense personnel.
        (2) Any report under paragraph (1) shall contain the following:
            (A) The Secretary's analysis of the requirements for providing
        financial management training for employees of the Department of
        Defense.
            (B) The alternatives considered by the Secretary for meeting
        those requirements.
            (C) A detailed plan for meeting those requirements.
            (D) A financial analysis of the estimated short-term and long-
        term costs of carrying out the plan.
        (3) If, upon completing the analysis referred to in paragraph
    (2)(A) and after considering alternatives as described in paragraph
    (2)(B), the Secretary determines to meet the requirements for providing
    financial management training for employees of the Department of
    Defense through establishment of a financial management training
    center, the Secretary--
            (A) shall make the determination of the location of the center
        using a merit-based selection process; and
            (B) shall include in the report under paragraph (1) a
        description of that merit-based selection process.
        SEC. 374. PERMANENT AUTHORITY FOR USE OF PROCEEDS FROM THE SALE OF
          CERTAIN LOST, ABANDONED, OR UNCLAIMED PROPERTY.
        (a) Permanent Authority.--Section 2575 of title 10 is amended--
            (1) by striking out subsection (b) and inserting in lieu
        thereof the following:
        ``(b)(1) In the case of lost, abandoned, or unclaimed personal
    property found on a military installation, the proceeds from the sale
    of the property under this section shall be credited to the operation
    and maintenance account of that installation and used--
            ``(A) to reimburse the installation for any costs incurred by
        the installation to collect, transport, store, protect, or sell the
        property; and
            ``(B) to the extent that the amount of the proceeds exceeds the
        amount necessary for reimbursing all such costs, to support morale,
        welfare, and recreation activities under the jurisdiction of the
        armed forces that are conducted for the comfort, pleasure,
        contentment, or physical or mental improvement of members of the
        armed forces at such installation.
        ``(2) The net proceeds from the sale of other property under this
    section shall be covered into the Treasury as miscellaneous
    receipts.''; and
            (2) by adding at the end the following:
        ``(d)(1) The owner (or heirs, next of kin, or legal representative
    of the owner) of personal property the proceeds of which are credited
    to a military installation under subsection (b)(1) may file a claim
    with the Secretary of Defense for the amount equal to the proceeds
    (less costs referred to in subparagraph (A) of such subsection).
    Amounts to pay the claim shall be drawn from the morale, welfare, and
    recreation account for the installation that received the proceeds.
        ``(2) The owner (or heirs, next of kin, or legal representative of
    the owner) may file a claim with the Comptroller General of the United
    States for proceeds covered into the Treasury under subsection (b)(2).
        ``(3) Unless a claim is filed under this subsection within 5 years
    after the date of the disposal of the property to which the claim
    relates, the claim may not be considered by a court, the Secretary of
    Defense (in the case of a claim filed under paragraph (1)), or the
    Comptroller General of the United States (in the case of a claim filed
    under paragraph (2)).''.
        (b) Repeal of Authority for Demonstration Program.--Section 343 of
    the National Defense Authorization Act for Fiscal Years 1992 and 1993
    (Public Law 102-190; 105 Stat. 1343) is repealed.
        SEC. 375. SALE OF MILITARY CLOTHING AND SUBSISTENCE AND OTHER
          SUPPLIES OF THE NAVY AND MARINE CORPS.
        (a) In General.--(1) Chapter 651 of title 10, United States Code,
    is amended by adding at the end the following new section:
    ``Sec. 7606. Subsistence and other supplies: members of armed forces;
         veterans; executive or military departments and employees; prices
        ``(a)(1) The Secretary of the Navy shall procure and sell, for cash
    or credit--
            ``(A) articles designated by the Secretary to members of the
        Navy and Marine Corps; and
            ``(B) items of individual clothing and equipment to members of
        the Navy and Marine Corps, under such restrictions as the Secretary
        may prescribe.
        ``(2) An account of sales on credit shall be kept and the amount
    due reported to the Secretary. Except for articles and items acquired
    through the use of working capital funds under section 2208 of this
    title, sales of articles shall be at cost, and sales of individual
    clothing and equipment shall be at average current prices, including
    overhead, as determined by the Secretary.
        ``(b) The Secretary shall sell subsistence supplies to members of
    other armed forces at the prices at which like property is sold to
    members of the Navy and Marine Corps.
        ``(c) The Secretary may sell serviceable supplies, other than
    subsistence supplies, to members of other armed forces for the buyers'
    use in the service. The prices at which the supplies are sold shall be
    the same prices at which like property is sold to members of the Navy
    and Marine Corps.
        ``(d) A person who has been discharged honorably or under honorable
    conditions from the Army, Navy, Air Force or Marine Corps and who is
    receiving care and medical treatment from the Public Health Service or
    the Department of Veterans Affairs may buy subsistence supplies and
    other supplies, except articles of uniform, at the prices at which like
    property is sold to members of the Navy and Marine Corps.
        ``(e) Under such conditions as the Secretary may prescribe,
    exterior articles of uniform may be sold to a person who has been
    discharged honorably or under honorable conditions from the Navy or
    Marine Corps, at the prices at which like articles are sold to members
    of the Navy or Marine Corps. This subsection does not modify sections
    772 or 773 of this title.
        ``(f) Under regulations prescribed by the Secretary, payment for
    subsistence supplies shall be made in cash or by commercial credit.
        ``(g)(1) The Secretary may provide for the procurement and sale of
    stores designated by the Secretary to such civilian officers and
    employees of the United States, and such other persons, as the
    Secretary considers proper--
            ``(A) at military installations outside the United States; and
            ``(B) subject to paragraph (2), at military installations
        inside the United States where the Secretary determines that it is
        impracticable for those civilian officers, employees, and persons
        to obtain such stores from commercial enterprises without impairing
        the efficient operation of military activities.
        ``(2) Sales to civilian officers and employees inside the United
    States may be made under paragraph (1) only to civilian officers and
    employees residing within military installations.
        ``(h) Appropriations for subsistence of the Navy or Marine Corps
    may be applied to the purchase of subsistence supplies for sale to
    members of the Navy and Marine Corps on active duty for the use of such
    members and their families.''.
        (2) The table of sections at the beginning of chapter 651 of such
    title is amended by adding at the end the following:
    ``7606. Subsistence and other supplies: members of armed forces;
              veterans; executive or military departments and employees;
              prices.''.

        (b) Conforming Amendments for Other Armed Forces.--(1) Section 4621
    of such title is amended--
            (A) by striking out ``The branch, office, or officer designated
        by the Secretary of the Army'' in subsection (a) and inserting in
        lieu thereof ``The Secretary of the Army'';
            (B) by striking out ``The branch, office, or officer designated
        by the Secretary'' both places it appears in subsections (b) and
        (c) and inserting in lieu thereof ``The Secretary''; and
            (C) by inserting before the period at the end of subsection (f)
        the following: ``or by commercial credit''.
        (2) Section 9621 of such title is amended--
            (A) by striking out ``The Air Force shall'' in subsection (b)
        and inserting in lieu thereof ``The Secretary shall''; and
            (B) by inserting before the period at the end of subsection (f)
        the following: ``or by commercial credit''.
        SEC. 376. PERSONNEL SERVICES AND LOGISTICAL SUPPORT FOR CERTAIN
          ACTIVITIES HELD ON MILITARY INSTALLATIONS.
        Section 2544 of title 10, United States Code, is amended--
            (1) by redesignating subsection (g) as subsection (h); and
            (2) by inserting after subsection (f) the following new
        subsection:
        ``(g) In the case of a Boy Scout Jamboree held on a military
    installation, the Secretary of Defense may provide personnel services
    and logistical support at the military installation in addition to the
    support authorized under subsections (a) and (d).''.

    SEC. 377. RETENTION OF MONETARY AWARDS.

        (a) Monetary Awards.--Chapter 155 of title 10, United States Code,
    is amended by adding at the end the following new section:

    ``Sec. 2610. Competitions for excellence: acceptance of monetary awards

        ``(a) Acceptance Authorized.--The Secretary of Defense may accept a
    monetary award given to the Department of Defense by a nongovernmental
    entity as a result of the participation of the Department in a
    competition carried out to recognize excellence or innovation in
    providing services or administering programs.
        ``(b) Disposition of Awards.--A monetary award accepted under
    subsection (a) shall be credited to one or more nonappropriated fund
    accounts supporting morale, welfare, and recreation activities for the
    command, installation, or other activity that is recognized for the
    award. Amounts so credited may be expended only for such activities.
        ``(c) Incidental Expenses.--Subject to such limitations as may be
    provided in appropriation Acts, appropriations available to the
    Department of Defense may be used to pay incidental expenses incurred
    by the Department to participate in a competition described in
    subsection (a) or to accept a monetary award under this section.
        ``(d) Regulations and Reporting.--(1) The Secretary shall prescribe
    regulations to determine the disposition of monetary awards accepted
    under this section and the payment of incidental expenses under
    subsection (c).
        ``(2) At the end of each year, the Secretary shall submit to
    Congress a report for that year describing the disposition of monetary
    awards accepted under this section and the payment of incidental
    expenses under subsection (c).
        ``(e) Termination.--The authority of the Secretary under this
    section shall expire two years after the date of the enactment of the
    National Defense Authorization Act for Fiscal Year 1996.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding at the end the following new item:
    ``2610. Competitions for excellence: acceptance of monetary awards.''.

        SEC. 378. PROVISION OF EQUIPMENT AND FACILITIES TO ASSIST IN
          EMERGENCY RESPONSE ACTIONS.
        Section 372 of title 10, United States Code, is amended--
            (1) by inserting ``(a) In General.--'' before ``The Secretary
        of Defense''; and
            (2) by adding at the end the following new subsection:
        ``(b) Emergencies Involving Chemical and Biological Agents.--(1) In
    addition to equipment and facilities described in subsection (a), the
    Secretary may provide an item referred to in paragraph (2) to a
    Federal, State, or local law enforcement or emergency response agency
    to prepare for or respond to an emergency involving chemical or
    biological agents if the Secretary determines that the item is not
    reasonably available from another source.
        ``(2) An item referred to in paragraph (1) is any material or
    expertise of the Department of Defense appropriate for use in preparing
    for or responding to an emergency involving chemical or biological
    agents, including the following:
            ``(A) Training facilities.
            ``(B) Sensors.
            ``(C) Protective clothing.
            ``(D) Antidotes.''.
        SEC. 379. REPORT ON DEPARTMENT OF DEFENSE MILITARY AND CIVIL
          DEFENSE PREPAREDNESS TO RESPOND TO EMERGENCIES RESULTING FROM A
          CHEMICAL, BIOLOGICAL, RADIOLOGICAL, OR NUCLEAR ATTACK.
        (a) Report.--(1) Not later than March 1, 1996, the Secretary of
    Defense and the Secretary of Energy shall submit to Congress a joint
    report on the military and civil defense plans and programs of the
    Department of Defense to prepare for and respond to the effects of an
    emergency in the United States resulting from a chemical, biological,
    radiological, or nuclear attack on the United States (hereinafter in
    this section referred to as an ``attack-related civil defense
    emergency'').
        (2) The report shall be prepared in consultation with the Director
    of the Federal Emergency Management Agency.
        (b) Content of Report.--The report shall include the following:
            (1) A discussion of the military and civil defense plans and
        programs of the Department of Defense for preparing for and
        responding to an attack-related civil defense emergency arising
        from an attack of a type for which the Department of Defense has a
        primary responsibility to respond.
            (2) A discussion of the military and civil defense plans and
        programs of the Department of Defense for preparing for and
        providing a response to an attack-related civil defense emergency
        arising from an attack of a type for which the Department of
        Defense has responsibility to provide a supporting response.
            (3) A description of any actions, and any recommended
        legislation, that the Secretaries consider necessary for improving
        the preparedness of the Department of Defense to respond
        effectively to an attack-related civil defense emergency.

                  TITLE IV--MILITARY PERSONNEL AUTHORIZATIONS
                           Subtitle A--Active Forces

    SEC. 401. END STRENGTHS FOR ACTIVE FORCES.

        (a) Fiscal Year 1996.--The Armed Forces are authorized strengths
    for active duty personnel as of September 30, 1996, as follows:
            (1) The Army, 495,000, of which not more than 81,300 may be
        commissioned officers.
            (2) The Navy, 428,340, of which not more than 58,870 may be
        commissioned officers.
            (3) The Marine Corps, 174,000, of which not more than 17,978
        may be commissioned officers.
            (4) The Air Force, 388,200, of which not more than 75,928 may
        be commissioned officers.
        (b) Floor on End Strengths.--(1) Chapter 39 of title 10, United
    States Code, is amended by adding at the end the following new section:
    ``Sec. 691. Permanent end strength levels to support two major regional
         contingencies
        ``(a) The end strengths specified in subsection (b) are the minimum
    strengths necessary to enable the armed forces to fulfill a national
    defense strategy calling for the United States to be able to
    successfully conduct two nearly simultaneous major regional
    contingencies.
        ``(b) Unless otherwise provided by law, the number of members of
    the armed forces (other than the Coast Guard) on active duty at the end
    of any fiscal year shall be not less than the following:
            ``(1) For the Army, 495,000.
            ``(2) For the Navy, 395,000.
            ``(3) For the Marine Corps, 174,000.
            ``(4) For the Air Force, 381,000.
        ``(c) 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 for any fiscal year below the level specified in
    subsection (b) unless the Secretary of Defense submits to Congress
    notice of the proposed lower end strength levels and a justification
    for those levels. No action may then be taken to implement such a
    reduction for that fiscal year until the end of the six-month period
    beginning on the date of the receipt of such notice by Congress.
        ``(d) For a fiscal year for which the active duty end strength
    authorized by law pursuant to section 115(a)(1)(A) of this title for
    any of the armed forces is identical to the number applicable to that
    armed force under subsection (b), the Secretary of Defense may reduce
    that number by not more than 0.5 percent.
        ``(e) The number of members of the armed forces on active duty
    shall be counted for purposes of this section in the same manner as
    applies under section 115(a)(1) of this title.''.
        (2) The table of sections at the beginning of such chapter is
    amended by adding at the end the following new item:
    ``691. Permanent end strength levels to support two major regional
              contingencies.''.

        (c) Active Component End Strength Flexibility.--Section 115(c)(1)
    of title 10, United States Code, is amended by striking out ``0.5
    percent'' and inserting in lieu thereof ``1 percent''.
        SEC. 402. TEMPORARY VARIATION IN DOPMA AUTHORIZED END STRENGTH
          LIMITATIONS FOR ACTIVE DUTY AIR FORCE AND NAVY OFFICERS IN
          CERTAIN GRADES.
        (a) Air Force Officers.--In the administration of the limitation
    under section 523(a)(1) of title 10, United States Code, for fiscal
    years 1996 and 1997, the numbers applicable to officers of the Air
    Force serving on active duty in the grades of major, lieutenant
    colonel, and colonel shall be the numbers set forth for that fiscal
    year in the following table (rather than the numbers determined in
    accordance with the table in that section):

    ----------------------------------------------------------------------------------------------------------------
                                                             Number of officers who may be serving on active duty in
                                                                                  the grade of:
                         Fiscal year:                      ---------------------------------------------------------
                                                                  Major          Lieutenant colonel       Colonel
    ----------------------------------------------------------------------------------------------------------------
      1996................................................            15,566                  9,876           3,609
      1997................................................            15,645                  9,913           3,627
    ----------------------------------------------------------------------------------------------------------------

        (b) Navy Officers.--In the administration of the limitation under
    section 523(a)(2) of title 10, United States Code, for fiscal years
    1996 and 1997, the numbers applicable to officers of the Navy serving
    on active duty in the grades of lieutenant commander, commander, and
    captain shall be the numbers set forth for that fiscal year in the
    following table (rather than the numbers determined in accordance with
    the table in that section):

    ----------------------------------------------------------------------------------------------------------------
                                                             Number of officers who may be serving on active duty in
                                                                                  the grade of:
                         Fiscal year:                      ---------------------------------------------------------
                                                                Lieutenant
                                                                commander            Commander            Captain
    ----------------------------------------------------------------------------------------------------------------
      1996................................................            11,924                  7,390           3,234
      1997................................................            11,732                  7,297           3,188
    ----------------------------------------------------------------------------------------------------------------

        SEC. 403. CERTAIN GENERAL AND FLAG OFFICERS AWAITING RETIREMENT NOT
          TO BE COUNTED.
        (a) Distribution of Officers on Active Duty in General and Flag
    Officer Grades.--Section 525 of title 10, United States Code, is
    amended by adding at the end the following new subsection:
        ``(d) An officer continuing to hold the grade of general or admiral
    under section 601(b)(4) of this title after relief from the position of
    Chairman of the Joint Chiefs of Staff, Chief of Staff of the Army,
    Chief of Naval Operations, Chief of Staff of the Air Force, or
    Commandant of the Marine Corps shall not be counted for purposes of
    this section.''.
        (b) Number of Officers on Active Duty in Grade of General or
    Admiral.--Section 528(b) of such title is amended--
            (1) by inserting ``(1)'' after ``(b)''; and
            (2) by adding at the end the following:
        ``(2) An officer continuing to hold the grade of general or admiral
    under section 601(b)(4) of this title after relief fromthe position of
    Chairman of the Joint Chiefs of Staff, Chief of Staff of the Army,
    Chief of Naval Operations, Chief of Staff of the Air Force, or
    Commandant of the Marine Corps shall not be counted for purposes of
    this section.''.
        (c) Clarification.--Section 601(b) of such title is amended--
            (1) in the matter preceding paragraph (1), by striking out ``of
        importance and responsibility designated'' and inserting in lieu
        thereof ``designated under subsection (a) or by law'';
            (2) in paragraph (1), by striking out ``of importance and
        responsibility'';
            (3) in paragraph (2), by striking out ``designating'' and
        inserting in lieu thereof ``designated under subsection (a) or by
        law''; and
            (4) in paragraph (4), by inserting ``under subsection (a) or by
        law'' after ``designated''.

                           Subtitle B--Reserve Forces

    SEC. 411. END STRENGTHS FOR SELECTED RESERVE.

        (a) Fiscal Year 1996.--The Armed Forces are authorized strengths
    for Selected Reserve personnel of the reserve components as of
    September 30, 1996, as follows:
            (1) The Army National Guard of the United States, 373,000.
            (2) The Army Reserve, 230,000.
            (3) The Naval Reserve, 98,894.
            (4) The Marine Corps Reserve, 42,274.
            (5) The Air National Guard of the United States, 112,707.
            (6) The Air Force Reserve, 73,969.
            (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,
    1996, 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, 23,390.
            (2) The Army Reserve, 11,575.
            (3) The Naval Reserve, 17,587.
            (4) The Marine Corps Reserve, 2,559.
            (5) The Air National Guard of the United States, 10,066.
            (6) The Air Force Reserve, 628.
        SEC. 413. COUNTING OF CERTAIN ACTIVE COMPONENT PERSONNEL ASSIGNED
          IN SUPPORT OF RESERVE COMPONENT TRAINING.
        Section 414(c) of the National Defense Authorization Act for Fiscal
    Years 1992 and 1993 (Public Law 102-190; 10 U.S.C. 12001 note) is
    amended--
            (1) by inserting ``(1)'' before ``The Secretary''; and
            (2) by adding at the end the following new paragraph:
        ``(2) The Secretary of Defense may count toward the number of
    active component personnel required under paragraph (1) to be assigned
    to serve as advisers under the program under this section any active
    component personnel who are assigned to an active component unit (A)
    that was established principally for the purpose of providing dedicated
    training support to reserve component units, and (B) the primary
    mission of which is to provide such dedicated training support.''.
        SEC. 414. INCREASE IN NUMBER OF MEMBERS IN CERTAIN GRADES
          AUTHORIZED TO SERVE ON ACTIVE DUTY IN SUPPORT OF THE RESERVES.
        (a) Officers.--The table in section 12011(a) of title 10, United
    States Code, is amended to read as follows:

    ------------------------------------------------------------------------
                                                              Air     Marine
                   ``Grade                  Army     Navy    Force    Corps
    ------------------------------------------------------------------------
    Major or Lieutenant Commander.......    3,219   1,071     643      140
    Lieutenant Colonel or Commander.....    1,524     520     672       90
    Colonel or Navy Captain.............     412      188     274     30''.
    ------------------------------------------------------------------------

        (b) Senior Enlisted Members.--The table in section 12012(a) of such
    title is amended to read as follows:

    ------------------------------------------------------------------------
                                                              Air     Marine
                   ``Grade                  Army     Navy    Force    Corps
    ------------------------------------------------------------------------
    E-9.................................     603     202      366       20
    E-8.................................   2,585     429      890     94''.
    ------------------------------------------------------------------------

        SEC. 415. RESERVES ON ACTIVE DUTY IN SUPPORT OF COOPERATIVE THREAT
          REDUCTION PROGRAMS NOT TO BE COUNTED.
        Section 115(d) of title 10, United States Code, is amended by
    adding at the end the following:
            ``(8) Members of the Selected Reserve of the Ready Reserve on
        active duty for more that 180 days to support programs described in
        section 1203(b) of the Cooperative Threat Reduction Act of 1993
        (title XII of Public Law 103-160; 22 U.S.C. 5952(b)).''.
        SEC. 416. RESERVES ON ACTIVE DUTY FOR MILITARY-TO-MILITARY CONTACTS
          AND COMPARABLE ACTIVITIES NOT TO BE COUNTED.
        Section 168 of title 10, United States Code, is amended--
            (1) by redesignating subsection (f) as subsection (g); and
            (2) by inserting after subsection (e) the following new
        subsection (f):
        ``(f) Active Duty End Strengths.--(1) A member of a reserve
    component referred to in paragraph (2) shall not be counted for
    purposes of the following personnel strength limitations:
            ``(A) The end strength for active-duty personnel authorized
        pursuant to section 115(a)(1) of this title for the fiscal year in
        which the member carries out the activities referred to in
        paragraph (2).
            ``(B) The authorized daily average for members in pay grades E-
        8 and E-9 under section 517 of this title for the calendar year in
        which the member carries out such activities.
            ``(C) The authorized strengths for commissioned officers under
        section 523 of this title for the fiscal year in which the member
        carries out such activities.
        ``(2) A member of a reserve component referred to in paragraph (1)
    is any member on active duty under an order to active duty for 180 days
    or more who is engaged in activities authorized under this section.''.

                  Subtitle C--Military Training Student Loads

    SEC. 421. AUTHORIZATION OF TRAINING STUDENT LOADS.

        (a) In General.--For fiscal year 1996, the components of the Armed
    Forces are authorized average military training loads as follows:
            (1) The Army, 75,013.
            (2) The Navy, 44,238.
            (3) The Marine Corps, 26,095.
            (4) The Air Force, 33,232.
        (b) Scope.--The average military training student loads authorized
    for an armed force under subsection (a) apply to the active and reserve
    components of that armed force.
        (c) Adjustments.--The average military training student loads
    authorized in subsection (a) shall be adjusted consistent with the end
    strengths authorized in subtitles A and B. The Secretary of Defense
    shall prescribe the manner in which such adjustments shall be
    apportioned.

                  Subtitle D--Authorization of Appropriations

        SEC. 431. AUTHORIZATION OF APPROPRIATIONS FOR MILITARY PERSONNEL.
        There is hereby authorized to be appropriated to the Department of
    Defense for military personnel for fiscal year 1996 a total of
    $69,191,008,000. The authorization in the preceding sentence supersedes
    any other authorization of appropriations (definite or indefinite) for
    such purpose for fiscal year 1996.
        SEC. 432. AUTHORIZATION FOR INCREASE IN ACTIVE-DUTY END STRENGTHS.
        (a) Authorization.--There is hereby authorized to be appropriated
    to the Department of Defense for fiscal year 1996 for military
    personnel the sum of $112,000,000. Any amount appropriated pursuant to
    this section shall be allocated, in such manner as the Secretary of
    Defense prescribes, among appropriations for active-component military
    personnel for that fiscal year and shall be available only to increase
    the number of members of the Armed Forces on active duty during that
    fiscal year (compared to the number of members that would be on active
    duty but for such appropriation).
        (b) Effect on End Strengths.--The end-strength authorizations in
    section 401 shall each be deemed to be increased by such number as
    necessary to take account of additional members of the Armed Forces
    authorized by the Secretary of Defense pursuant to subsection (a).

                       TITLE V--MILITARY PERSONNEL POLICY
                      Subtitle A--Officer Personnel Policy

    SEC. 501. JOINT OFFICER MANAGEMENT.

        (a) Critical Joint Duty Assignment Positions.--Section 661(d)(2)(A)
    of title 10, United States Code, is amended by striking out ``1,000''
    and inserting in lieu thereof ``800''.
        (b) Additional Qualifying Joint Service.--Section 664 of such title
    is amended by adding at the end the following:
        ``(i) Joint Duty Credit for Certain Joint Task Force Assignments.--
    (1) In the case of an officer who completes service in a qualifying
    temporary joint task force assignment, the Secretary of Defense, with
    the advice of the Chairman of the Joint Chiefs of Staff, may (subject
    to the criteria prescribed under paragraph (4)) grant the officer--
            ``(A) credit for having completed a full tour of duty in a
        joint duty assignment; or
            ``(B) credit countable for determining cumulative service in
        joint duty assignments.
        ``(2)(A) For purposes of paragraph (1), a qualifying temporary
    joint task force assignment of an officer is a temporary assignment,
    any part of which is performed by the officer on or after the date of
    the enactment of this subsection--
            ``(i) to the headquarters staff of a United States joint task
        force that is part of a unified command or the United States
        element of the headquarters staff of a multinational force; and
            ``(ii) with respect to which the Secretary of Defense
        determines that service of the officer in that assignment is
        equivalent to that which would be gained by the officer in a joint
        duty assignment.
        ``(B) An officer may not be granted credit under this subsection
    unless the officer is recommended for such credit by the Chairman of
    the Joint Chiefs of Staff.
        ``(3) Credit under paragraph (1) (including a determination under
    paragraph (2)(A)(ii) and a recommendation under paragraph (2)(B) with
    respect to such credit) may be granted only on a case-by-case basis in
    the case of an individual officer.
        ``(4) The Secretary of Defense shall prescribe by regulation
    criteria for determining whether an officer may be granted credit under
    paragraph (1) with respect to service in a qualifying temporary joint
    task force assignment. The criteria shall apply uniformly among the
    armed forces and shall include the following requirements:
            ``(A) For an officer to be credited as having completed a full
        tour of duty in a joint duty assignment, the length of the
        officer's service in the qualifying temporary joint task force
        assignment must meet the requirements of subsection (a) or (c).
            ``(B) For an officer to be credited with service for purposes
        of determining cumulative service in joint duty assignments, the
        officer must serve at least 90 consecutive days in the qualifying
        temporary joint task force assignment.
            ``(C) The service must be performed in support of a mission
        that is directed by the President or that is assigned by the
        President to United States forces in the joint task force involved.
            ``(D) The joint task force must be constituted or designated by
        the Secretary of Defense or by the commander of a combatant command
        or of another force.
            ``(E) The joint task force must conduct combat or combat-
        related operations in a unified action under joint or multinational
        command and control.
        ``(5) Officers for whom joint duty credit is granted pursuant to
    this subsection may not be taken into account for the purposes of any
    of the following provisions of this title: section 661(d)(1), section
    662(a)(3), section 662(b), subsection (a) of this section, and
    paragraphs (7), (8), (9), (11), and (12) of section 667.
        ``(6) In the case of an officer credited with having completed a
    full tour of duty in a joint duty assignment pursuant to this
    subsection, the Secretary of Defense may waive the requirement in
    paragraph (1)(B) of section 661(c) of this title that the tour of duty
    in a joint duty assignment be performed after the officer completes a
    program of education referred to in paragraph (1)(A) of that section.
    The provisions of subparagraphs (C) and (D) of section 661(c)(3) of
    this title shall apply to such a waiver in the same manner as to a
    waiver under subparagraph (A) of that section.''.
        (c) Information in Annual Report.--Section 667 of such title is
    amended by striking out paragraph (16) and inserting after paragraph
    (15) the following new paragraph (16):
            ``(16) The number of officers granted credit for service in
        joint duty assignments under section 664(i) of this title and--
                ``(A) of those officers--
                    ``(i) the number of officers credited with having
                completed a tour of duty in a joint duty assignment; and
                    ``(ii) the number of officers granted credit for
                purposes of determining cumulative service in joint duty
                assignments; and
                ``(B) the identity of each operation for which an officer
            has been granted credit pursuant to section 664(i) of this
            title and a brief description of the mission of the
            operation.''.
        (d) Applicability of Limitation on Waiver Authority.--Section
    661(c)(3) of such title is amended--
            (1) in the third sentence of subparagraph (D), by striking out
        ``The total number'' and inserting in lieu thereof ``In the case of
        officers in grades below brigadier general and rear admiral (lower
        half), the total number''; and
            (2) by adding at the end the following new subparagraph:
        ``(E) There may not be more than 32 general and flag officers on
    active duty at the same time who were selected for the joint specialty
    while holding a general or flag officer grade and for whom a waiver was
    granted under this subparagraph.''.
        (e) Length of Second Joint Tour.--Section 664 of such title is
    amended--
            (1) in subsection (e)(2), by inserting after subparagraph (B)
        the following:
            ``(C) Service described in subsection (f)(6), except that no
        more than 10 percent of all joint duty assignments shown on the
        list published pursuant to section 668(b)(2)(A) of this title may
        be so excluded in any year.''; and
            (2) in subsection (f)--
                (A) in the matter preceding paragraph (1), by striking out
            ``completion of--'' and inserting in lieu thereof ``completion
            of any of the following:'';
                (B) by striking out ``a'' at the beginning of paragraphs
            (1), (2), (4), and (5) and inserting in lieu thereof ``A'';
                (C) by striking out ``cumulative'' in paragraph (3) and
            inserting in lieu thereof ``Cumulative'';
                (D) by striking out the semicolon at the end of paragraphs
            (1), (2), and (3) and ``; or'' at the end of paragraph (4) and
            inserting in lieu thereof a period; and
                (E) by adding at the end the following:
            ``(6) A second joint duty assignment that is less than the
        period required under subsection (a), but not less than two years,
        without regard to whether a waiver was granted for such assignment
        under subsection (b).''.
        (f) Technical Amendment.--Section 664(e)(1) of such title is
    amended by striking out ``(after fiscal year 1990)''.
        SEC. 502. RETIRED GRADE FOR OFFICERS IN GRADES ABOVE MAJOR GENERAL
          AND REAR ADMIRAL.
        (a) Applicability of Time-in-Grade Requirements.--Section 1370 of
    title 10, United States Code, is amended--
            (1) in subsection (a)(2)(A), by striking out ``and below
        lieutenant general or vice admiral''; and
            (2) in the first sentence of subsection (d)(2)(B), as added
        effective October 1, 1996, by section 1641 of the Reserve Officer
        Personnel Management Act (title XVI of Public Law 103-337; 108
        Stat. 2968), by striking out ``and below lieutenant general or vice
        admiral''.
        (b) Retirement in Highest Grade Upon Certification of Satisfactory
    Service.--Subsection (c) of such section is amended to read as follows:
        ``(c) Officers in O-9 and O-10 Grades.--(1) An officer who is
    serving in or has served in the grade of general or admiral or
    lieutenant general or vice admiral may be retired in that grade under
    subsection (a) only after the Secretary of Defense certifies in writing
    to the President and Congress that the officer served on active duty
    satisfactorily in that grade.
        ``(2) In the case of an officer covered by paragraph (1), the
    three-year service-in-grade requirement in paragraph (2)(A) of
    subsection (a) may not be reduced or waived under that subsection--
            ``(A) while the officer is under investigation for alleged
        misconduct; or
            ``(B) while there is pending the disposition of an adverse
        personnel action against the officer for alleged misconduct.''.
        (c) Repeal of Superseded Provisions.--Sections 3962(a), 5034,
    5043(c), and 8962(a) of such title are repealed.
        (d) Technical and Clerical Amendments.--(1) Sections 3962(b) and
    8962(b) of such title are amended by striking out ``(b) Upon'' and
    inserting in lieu thereof ``Upon''.
        (2) The table of sections at the beginning of chapter 505 of such
    title is amended by striking out the item relating to section 5034.
        (e) Effective Date for Amendment to Provision Taking Effect in
    1996.--The amendment made by subsection (a)(2) shall take effect on
    October 1, 1996, immediately after subsection (d) of section 1370 of
    title 10, United States Code, takes effect under section 1691(b)(1) of
    the Reserve Officer Personnel Management Act (108 Stat. 3026).
        (f) Preservation of Applicability of Limitation.--Section
    1370(a)(2)(C) of title 10, United States Code, is amended by striking
    out ``The number of officers in an armed force in a grade'' and
    inserting in lieu thereof ``In the case of a grade below the grade of
    lieutenant general or vice admiral, the number of members of one of the
    armed forces in that grade''.
        (g) Stylistic Amendments.--Section 1370 of title 10, United States
    Code, is further amended--
            (1) in subsection (a), by striking out ``(a)(1)'' and inserting
        in lieu thereof ``(a) Rule for Retirement in Highest Grade Held
        Satisfactorily.--(1)'';
            (2) in subsection (b), by inserting ``Retirement in Next Lower
        Grade.--'' after ``(b)''; and
            (3) in subsection (d), as added effective October 1, 1996, by
        section 1641 of the Reserve Officer Personnel Management Act (title
        XVI of Public Law 103-337; 108 Stat. 2968), by striking out
        ``(d)(1)'' and inserting in lieu thereof ``(d) Reserve Officers.--
        (1)''.
        SEC. 503. WEARING OF INSIGNIA FOR HIGHER GRADE BEFORE PROMOTION.
        (a) Authority and Limitations.--(1) Chapter 45 of title 10, United
    States Code, is amended by adding at the end the following new section:
    ``Sec. 777. Wearing of insignia of higher grade before promotion
        (frocking): authority; restrictions
        ``(a) Authority.--An officer who has been selected for promotion to
    the next higher grade may be authorized, under regulations and policies
    of the Department of Defense and subject to subsection (b), to wear the
    insignia for that next higher grade. An officer who is so authorized to
    wear the insignia of the next higher grade is said to be `frocked' to
    that grade.
        ``(b) Restrictions.--An officer may not be authorized to wear the
    insignia for a grade as described in subsection (a) unless--
            ``(1) the Senate has given its advice and consent to the
        appointment of the officer to that grade; and
            ``(2) the officer is serving in, or has received orders to
        serve in, a position for which that grade is authorized.
        ``(c) Benefits Not To Be Construed as Accruing.--(1) Authority
    provided to an officer as described in subsection (a) to wear the
    insignia of the next higher grade may not be construed as conferring
    authority for that officer to--
            ``(A) be paid the rate of pay provided for an officer in that
        grade having the same number of years of service as that officer;
        or
            ``(B) assume any legal authority associated with that grade.
        ``(2) The period for which an officer wears the insignia of the
    next higher grade under such authority may not be taken into account
    for any of the following purposes:
            ``(A) Seniority in that grade.
            ``(B) Time of service in that grade.
        ``(d) Limitation on Number of Officers Frocked to Specified
    Grades.--(1) The total number of colonels and Navy captains on the
    active-duty list who are authorized as described in subsection (a) to
    wear the insignia for the grade of brigadier general or rear admiral
    (lower half), as the case may be, may not exceed the following:
            ``(A) During fiscal years 1996 and 1997, 75.
            ``(B) During fiscal year 1998, 55.
            ``(C) After fiscal year 1998, 35.
        ``(2) The number of officers of an armed force on the active-duty
    list who are authorized as described in subsection (a) to wear the
    insignia for a grade to which a limitation on total number applies
    under section 523(a) of this title for a fiscal year may not exceed 1
    percent of the total number provided for the officers in that grade in
    that armed force in the administration of the limitation under that
    section for that fiscal year.''.
        (2) The table of sections at the beginning of such chapter is
    amended by adding at the end the following new item:
    ``777. Wearing of insignia of higher grade before promotion (frocking):
              authority; restrictions.''.

        (b) Temporary Variation of Limitations on Numbers of Frocked
    Officers.--In the administration of section 777(d)(2) of title 10,
    United States Code (as added by subsection (a)), the percent limitation
    applied under that section for fiscal year 1996 shall be 2 percent
    (instead of 1 percent).
        (c) Report.--Not later than September 1, 1996, the Secretary of
    Defense shall submit to Congress a report providing the assessment of
    the Secretary on the practice, known as ``frocking'', of authorizing an
    officer who has been selected for promotion to the next higher grade to
    wear the insignia for that next higher grade. The report shall include
    the Secretary's assessment of the appropriate number, if any, of
    colonels and Navy captains to be eligible under section 777(d)(1) of
    title 10, United States Code (as added by subsection (a)), to wear the
    insignia for the grade of brigadier general or rear admiral (lower
    half).
        SEC. 504. AUTHORITY TO EXTEND TRANSITION PERIOD FOR OFFICERS
          SELECTED FOR EARLY RETIREMENT.
        (a) Selective Retirement of Warrant Officers.--Section 581 of title
    10, United States Code, is amended by adding at the end the following
    new subsection:
        ``(e) The Secretary concerned may defer for not more than 90 days
    the retirement of an officer otherwise approved for early retirement
    under this section in order to prevent a personal hardship to the
    officer or for other humanitarian reasons. Any such deferral shall be
    made on a case-by-case basis considering the circumstances of the case
    of the particular officer concerned. The authority of the Secretary to
    grant such a deferral may not be delegated.''.
        (b) Selective Early Retirement of Active-Duty Officers.--Section
    638(b) of title 10, United States Code, is amended by adding at the end
    the following new paragraph:
        ``(3) The Secretary concerned may defer for not more than 90 days
    the retirement of an officer otherwise approved for early retirement
    under this section or section 638a of this title in order to prevent a
    personal hardship to the officer or for other humanitarian reasons. Any
    such deferral shall be made on a case-by-case basis considering the
    circumstances of the case of the particular officer concerned. The
    authority of the Secretary to grant such a deferral may not be
    delegated.''.

    SEC. 505. ARMY OFFICER MANNING LEVELS.

        (a) In General.--(1) Chapter 331 of title 10, United States Code,
    is amended by inserting after the table of sections the following new
    section:
    ``Sec. 3201. Officers on active duty: minimum strength based on
         requirements
        ``(a) The Secretary of the Army shall ensure that (beginning with
    fiscal year 1999) the strength at the end of each fiscal year of
    officers on active duty is sufficient to enable the Army to meet at
    least that percentage of the programmed manpower structure for officers
    for the active component of the Army that is provided for in the most
    recent Defense Planning Guidance issued by the Secretary of Defense.
        ``(b) The number of officers on active duty shall be counted for
    purposes of this section in the same manner as applies under section
    115(a)(1) of this title.
        ``(c) In this section:
            ``(1) The term `programmed manpower structure' means the
        aggregation of billets describing the full manpower requirements
        for units and organizations in the programmed force structure.
            ``(2) The term `programmed force structure' means the set of
        units and organizations that exist in the current year and that is
        planned to exist in each future year under the then-current Future-
        Years Defense Program.''.
        (2) The table of sections at the beginning of such chapter is
    amended by inserting after ``Sec.'' the following new item:
    ``3201. Officers on active duty: minimum strength based on
              requirements.''.

      (b) Assistance in Accomplishing Requirement.--The Secretary of
    Defense shall provide to the Army sufficient personnel and financial
    resources to enable the Army to meet the requirement specified in
    section 3201 of title 10, United States Code, as added by subsection
    (a).
        SEC. 506. AUTHORITY FOR MEDICAL DEPARTMENT OFFICERS OTHER THAN
          PHYSICIANS TO BE APPOINTED AS SURGEON GENERAL.
        (a) Surgeon General of the Army.--The third sentence of section
    3036(b) of title 10, United States Code, is amended by inserting after
    ``The Surgeon General'' the following: ``may be appointed from officers
    in any corps of the Army Medical Department and''.
        (b) Surgeon General of the Navy.--Section 5137 of such title is
    amended--
            (1) in the first sentence of subsection (a), by striking out
        ``in the Medical Corps'' and inserting in lieu thereof ``in any
        corps of the Navy Medical Department''; and
            (2) in subsection (b), by striking out ``in the Medical Corps''
        and inserting in lieu thereof ``who is qualified to be the Chief of
        the Bureau of Medicine and Surgery''.
        (c) Surgeon General of the Air Force.--The first sentence of
    section 8036 of such title is amended by striking out ``designated as
    medical officers under section 8067(a) of this title'' and inserting in
    lieu thereof ``in the Air Force medical department''.

    SEC. 507. DEPUTY JUDGE ADVOCATE GENERAL OF THE AIR FORCE.

        (a) Tenure and Grade of Deputy Judge Advocate General.--Section
    8037(d)(1) of such title is amended--
            (1) in the second sentence, by striking out ``two years'' and
        inserting in lieu thereof ``four years''; and
            (2) by striking out the last sentence and inserting in lieu
        thereof the following: ``An officer appointed as Deputy Judge
        Advocate General who holds a lower regular grade shall be appointed
        in the regular grade of major general.''.
        (b) Effective Date.--The amendments made by subsection (a) apply to
    any appointment to the position of Deputy Judge Advocate General of the
    Air Force that is made after the date of the enactment of this Act.
        SEC. 508. AUTHORITY FOR TEMPORARY PROMOTIONS FOR CERTAIN NAVY
          LIEUTENANTS WITH CRITICAL SKILLS.
        (a) Extension of Authority.--Subsection (f) of section 5721 of
    title 10, United States Code, is amended by striking out ``September
    30, 1995'' and inserting in lieu thereof ``September 30, 1996''.
        (b) Limitation.--Such section is further amended--
            (1) by redesignating subsection (f), as amended by subsection
        (a), as subsection (g); and
            (2) by inserting after subsection (e) the following new
        subsection (f):
        ``(f) Limitation on Number of Eligible Positions.--(1) An
    appointment under this section may only be made for service in a
    position designated by the Secretary of the Navy for purposes of this
    section. The number of positions so designated may not exceed 325.
        ``(2) Whenever the Secretary makes a change to the positions
    designated under paragraph (1), the Secretary shall submit notice of
    the change in writing to Congress.''.
        (c) Report.--Not later than April 1, 1996, the Secretary of Defense
    shall submit to Congress a report providing the Secretary's assessment
    of that continuing need for the promotion authority under section 5721
    of title 10, United States Code. The Secretary shall include in the
    report the following:
            (1) The nature and grade structure of the positions for which
        such authority has been used.
            (2) The cause or causes of the reported chronic shortages of
        qualified personnel in the required grade to fill the positions
        specified under paragraph (1).
            (3) The reasons for the perceived inadequacy of the officer
        promotion system (including ``below-the-zone'' selections) to
        provide sufficient officers in the required grade to fill those
        positions.
            (4) The extent to which a bonus program or some other program
        would be a more appropriate means of resolving the reported chronic
        shortages in engineering positions.
        (d) Clerical Amendments.--Section 5721 of title 10, United States
    Code, is amended as follows:
            (1) Subsection (a) is amended by inserting ``Promo tion
        Authority for Certain Officer With Critical Skills.--'' after
        ``(a)''.
            (2) Subsection (b) is amended by inserting ``Status of Officers
        Appointed.--'' after ``(b)''.
            (3) Subsection (c) is amended by inserting ``Board
        Recommendation Required.--'' after ``(c)''.
            (4) Subsection (d) is amended by inserting ``Acceptance and
        Effective Date of Appointment.--'' after ``(d)''.
            (5) Subsection (e) is amended by inserting ``Termination of
        Appointment.--'' after ``(e)''.
            (6) Subsection (g), as redesignated by subsection (b)(1), is
        amended by inserting ``Termination of Appointment Authority.--''
        after ``(g)''.
        (e) Effective Date.--Subsection (f) of section 5721 of title 10,
    United States Code, as added by subsection (b)(2), shall take effect at
    the end of the 30-day period beginning on the date of the enactment of
    this Act and shall apply to any appointment under that section after
    the end of such period.
        SEC. 509. RETIREMENT FOR YEARS OF SERVICE OF DIRECTORS OF
          ADMISSIONS OF MILITARY AND AIR FORCE ACADEMIES.
        (a) Military Academy.--(1) Section 3920 of title 10, United States
    Code, is amended to read as follows:
    ``Sec. 3920. More than thirty years: permanent professors and the
         Director of Admissions of the United States Military Academy
        ``(a) The Secretary of the Army may retire an officer specified in
    subsection (b) who has more than 30 years of service as a commissioned
    officer.
        ``(b) Subsection (a) applies in the case of the following officers:
            ``(1) Any permanent professor of the United States Military
        Academy.
            ``(2) The Director of Admissions of the United States Military
        Academy.''.
        (2) The item relating to such section in the table of sections at
    the beginning of chapter 367 of such title is amended to read as
    follows:
    ``3920. More than thirty years: permanent professors and the Director of
              Admissions of the United States Military Academy.''.

        (b) Air Force Academy.--(1) Section 8920 of title 10, United States
    Code, is amended to read as follows:
    ``Sec. 8920. More than thirty years: permanent professors and the
         Director of Admissions of the United States Air Force Academy
        ``(a) The Secretary of the Air Force may retire an officer
    specified in subsection (b) who has more than 30 years of service as a
    commissioned officer.
        ``(b) Subsection (a) applies in the case of the following officers:
            ``(1) Any permanent professor of the United States Air Force
        Academy.
            ``(2) The Director of Admissions of the United States Air Force
        Academy.''.
        (2) The item relating to such section in the table of sections at
    the beginning of chapter 867 of such title is amended to read as
    follows:
    ``8920. More than thirty years: permanent professors and the Director of
              Admissions of the United States Air Force Academy.''.

               Subtitle B--Matters Relating to Reserve Components

        SEC. 511. EXTENSION OF CERTAIN RESERVE OFFICER MANAGEMENT
          AUTHORITIES.
        (a) Grade Determination Authority for Certain Reserve Medical
    Officers.--Sections 3359(b) and 8359(b) of title 10, United States
    Code, are each amended by striking out ``September 30, 1995'' and
    inserting in lieu thereof ``September 30, 1996''.
        (b) Promotion Authority for Certain Reserve Officers Serving on
    Active Duty.--Sections 3380(d) and 8380(d) of title 10, United States
    Code, are each amended by striking out ``September 30, 1995'' and
    inserting in lieu thereof ``September 30, 1996''.
        (c) Years of Service for Mandatory Transfer to the Retired
    Reserve.--Section 1016(d) of the Department of Defense Authorization
    Act, 1984 (10 U.S.C. 3360) is amended by striking out ``September 30,
    1995'' and inserting in lieu thereof ``September 30, 1996''.
        SEC. 512. MOBILIZATION INCOME INSURANCE PROGRAM FOR MEMBERS OF
          READY RESERVE.
        (a) Establishment of Program.--(1) Subtitle E of title 10, United
    States Code, is amended by inserting after chapter 1213 the following
    new chapter:

          ``CHAPTER 1214--READY RESERVE MOBILIZATION INCOME INSURANCE

    ``Sec.
    ``12521. Definitions.
    ``12522. Establishment of insurance program.
    ``12523. Risk insured.
    ``12524. Enrollment and election of benefits.
    ``12525. Benefit amounts.
    ``12526. Premiums.
    ``12527. Payment of premiums.
    ``12528. Reserve Mobilization Income Insurance Fund.
    ``12529. Board of Actuaries.
    ``12530. Payment of benefits.
    ``12531. Purchase of insurance.
    ``12532. Termination for nonpayment of premiums; forfeiture.

    ``Sec. 12521. Definitions

        ``In this chapter:
            ``(1) The term `insurance program' means the Ready Reserve
        Mobilization Income Insurance Program established under section
        12522 of this title.
            ``(2) The term `covered service' means active duty performed by
        a member of a reserve component under an order to active duty for a
        period of more than 30 days which specifies that the member's
        service--
                ``(A) is in support of an operational mission for which
            members of the reserve components have been ordered to active
            duty without their consent; or
                ``(B) is in support of forces activated during a period of
            war declared by Congress or a period of national emergency
            declared by the President or Congress.
            ``(3) The term `insured member' means a member of the Ready
        Reserve who is enrolled for coverage under the insurance program in
        accordance with section 12524 of this title.
            ``(4) The term `Secretary' means the Secretary of Defense.
            ``(5) The term `Department' means the Department of Defense.
            ``(6) The term `Board of Actuaries' means the Department of
        Defense Education Benefits Board of Actuaries referred to in
        section 2006(e)(1) of this title.
            ``(7) The term `Fund' means the Reserve Mobilization Income
        Insurance Fund established by section 12528(a) of this title.

    ``Sec. 12522. Establishment of insurance program

        ``(a) Establishment.--The Secretary shall establish for members of
    the Ready Reserve (including the Coast Guard Reserve) an insurance
    program to be known as the `Ready Reserve Mobilization Income Insurance
    Program'.
        ``(b) Administration.--The insurance program shall be administered
    by the Secretary. The Secretary may prescribe in regulations such
    rules, procedures, and policies as the Secretary considers necessary or
    appropriate to carry out the insurance program.
        ``(c) Agreement With Secretary of Transportation.--The Secretary
    and the Secretary of Transportation shall enter into an agreement with
    respect to the administration of the insurance program for the Coast
    Guard Reserve.

    ``Sec. 12523. Risk insured

        ``(a) In General.--The insurance program shall insure members of
    the Ready Reserve against the risk of being ordered into covered
    service.
        ``(b) Entitlement to Benefits.--(1) An insured member ordered into
    covered service shall be entitled to payment of a benefit for each
    month (and fraction thereof) of covered service that exceeds 30 days of
    covered service, except that no member may be paid under the insurance
    program for more than 12 months of covered service served during any
    period of 18 consecutive months.
        ``(2) Payment shall be based solely on the insured status of a
    member and on the period of covered service served by the member. Proof
    of loss of income or of expenses incurred as a result of covered
    service may not be required.

    ``Sec. 12524. Enrollment and election of benefits

        ``(a) Enrollment.--(1) Except as provided in subsection (f), upon
    first becoming a member of the Ready Reserve, a member shall be
    automatically enrolled for coverage under the insurance program. An
    automatic enrollment of a member shall be void if within 60 days after
    first becoming a member of the Ready Reserve the member declines
    insurance under the program in accordance with the regulations
    prescribed by the Secretary.
        ``(2) Promptly after the insurance program is established, the
    Secretary shall offer to members of the reserve componentswho are then
    members of the Ready Reserve (other than members ineligible under
    subsection (f)) an opportunity to enroll for coverage under the
    insurance program. A member who fails to enroll within 60 days after
    being offered the opportunity shall be considered as having declined to
    be insured under the program.
        ``(3) A member of the Ready Reserve ineligible to enroll under
    subsection (f) shall be afforded an opportunity to enroll upon being
    released from active duty in accordance with regulations prescribed by
    the Secretary if the member has not previously had the opportunity to
    be enrolled under paragraph (1) or (2). A member who fails to enroll
    within 60 days after being afforded that opportunity shall be
    considered as having declined to be insured under the program.
        ``(b) Election of Benefit Amount.--The amount of a member's monthly
    benefit under an enrollment shall be the basic benefit under subsection
    (a) of section 12525 of this title unless the member elects a different
    benefit under subsection (b) of such section within 60 days after first
    becoming a member of the Ready Reserve or within 60 days after being
    offered the opportunity to enroll, as the case may be.
        ``(c) Elections Irrevocable.--(1) An election to decline insurance
    pursuant to paragraph (1) or (2) of subsection (a) is irrevocable.
        ``(2) The amount of coverage may not be increased after enrollment.
        ``(d) Election To Terminate.--A member may terminate an enrollment
    at any time.
        ``(e) Information To Be Furnished.--The Secretary shall ensure that
    members referred to in subsection (a) are given a written explanation
    of the insurance program and are advised that they have the right to
    decline to be insured and, if not declined, to elect coverage for a
    reduced benefit or an enhanced benefit under subsection (b).
        ``(f) Members Ineligible To Enroll.--Members of the Ready Reserve
    serving on active duty (or full-time National Guard duty) are not
    eligible to enroll for coverage under the insurance program. The
    Secretary may define any additional category of members of the Ready
    Reserve to be excluded from eligibility to purchase insurance under
    this chapter.

    ``Sec. 12525. Benefit amounts

        ``(a) Basic Benefit.--The basic benefit for an insured member under
    the insurance program is $1,000 per month (as adjusted under subsection
    (d)).
        ``(b) Reduced and Enhanced Benefits.--Under the regulations
    prescribed by the Secretary, a person enrolled for coverage under the
    insurance program may elect--
            ``(1) a reduced coverage benefit equal to one-half the amount
        of the basic benefit; or
            ``(2) an enhanced benefit in the amount of $1,500, $2,000,
        $2,500, $3,000, $3,500, $4,000, $4,500, or $5,000 per month (as
        adjusted under subsection (d)).
        ``(c) Amount for Partial Month.--The amount of insurance payable to
    an insured member for any period of covered service that is less than
    one month shall be determined by multiplying \1/30\ of the monthly
    benefit rate for the member by the number of days of the covered
    service served by the member during such period.
        ``(d) Adjustment of Amounts.--(1) The Secretary shall determine
    annually the effect of inflation on benefits and shall adjust the
    amounts set forth in subsections (a) and (b)(2) to maintain the
    constant dollar value of the benefit.
        ``(2) If the amount of a benefit as adjusted under paragraph (1) is
    not evenly divisible by $10, the amount shall be rounded to the nearest
    multiple of $10, except that an amount evenly divisible by $5 but not
    by $10 shall be rounded to the next lower amount that is evenly
    divisible by $10.

    ``Sec. 12526. Premiums

        ``(a) Establishment of Rates.--(1) The Secretary, in consultation
    with the Board of Actuaries, shall prescribe the premium rates for
    insurance under the insurance program.
        ``(2) The Secretary shall prescribe a fixed premium rate for each
    $1,000 of monthly insurance benefit. The premium amount shall be equal
    to the share of the cost attributable to insuring the member and shall
    be the same for all members of the Ready Reserve who are insured under
    the insurance program for the same benefit amount. The Secretary shall
    prescribe the rate on the basis of the best available estimate of risk
    and financial exposure, levels of subscription by members, and other
    relevant factors.
        ``(b) Level Premiums.--The premium rate prescribed for the first
    year of insurance coverage of an insured member shall be continued
    without change for subsequent years of insurance coverage, except that
    the Secretary, after consultation with the Board of Actuaries, may
    adjust the premium rate in order to fund inflation-adjusted benefit
    increases on an actuarially sound basis.

    ``Sec. 12527. Payment of premiums

        ``(a) Methods of Payment.--(1) The monthly premium for coverage of
    a member under the insurance program shall be deducted and withheld
    from the insured member's pay for each month.
        ``(2) An insured member who does not receive pay on a monthly basis
    shall pay the Secretary directly the premium amount applicable for the
    level of benefits for which the member is insured.
        ``(b) Advance Pay for Premium.--The Secretary concerned may advance
    to an insured member the amount equal to the first insurance premium
    payment due under this chapter. The advance may be paid out of
    appropriations for military pay. An advance to a member shall be
    collected from the member either by deducting and withholding the
    amount from basic pay payable for the member or by collecting it from
    the member directly. No disbursing or certifying officer shall be
    responsible for any loss resulting from an advance under this
    subsection.
        ``(c) Premiums To Be Deposited in Fund.--Premium amounts deducted
    and withheld from the pay of insured members and premium amounts paid
    directly to the Secretary shall be credited monthly to the Fund.

    ``Sec. 12528. Reserve Mobilization Income Insurance Fund

        ``(a) Establishment.--There is established on the books of the
    Treasury a fund to be known as the `Reserve Mobilization Income
    Insurance Fund', which shall be administered by the Secretary of the
    Treasury. The Fund shall be used for the accumulation of funds in order
    to finance the liabilities of the insurance program on an actuarially
    sound basis.
        ``(b) Assets of Fund.--There shall be deposited into the Fund the
    following:
            ``(1) Premiums paid under section 12527 of this title.
            ``(2) Any amount appropriated to the Fund.
            ``(3) Any return on investment of the assets of the Fund.
        ``(c) Availability.--Amounts in the Fund shall be available for
    paying insurance benefits under the insurance program.
        ``(d) Investment of Assets of Fund.--The Secretary of the Treasury
    shall invest such portion of the Fund as is not in the judgment of the
    Secretary of Defense required to meet current liabilities. Such
    investments shall be in public debt securities with maturities suitable
    to the needs of the Fund, as determined by the Secretary of Defense,
    and bearing interest at rates determined by the Secretary of the
    Treasury, taking into consideration current market yields on
    outstanding marketable obligations of the United States of comparable
    maturities. The income on such investments shall be credited to the
    Fund.
        ``(e) Annual Accounting.--At the beginning of each fiscal year, the
    Secretary, in consultation with the Board of Actuaries and the
    Secretary of the Treasury, shall determine the following:
            ``(1) The projected amount of the premiums to be collected,
        investment earnings to be received, and any transfers or
        appropriations to be made for the Fund for that fiscal year.
            ``(2) The amount for that fiscal year of any cumulative
        unfunded liability (including any negative amount or any gain to
        the Fund) resulting from payments of benefits.
            ``(3) The amount for that fiscal year (including any negative
        amount) of any cumulative actuarial gain or loss to the Fund.

    ``Sec. 12529. Board of Actuaries

        ``(a) Actuarial Responsibility.--The Board of Actuaries shall have
    the actuarial responsibility for the insurance program.
        ``(b) Valuations and Premium Recommendations.--The Board of
    Actuaries shall carry out periodic actuarial valuations of the benefits
    under the insurance program and determine a premium rate methodology
    for the Secretary to use in setting premium rates for the insurance
    program. The Board shall conduct the first valuation and determine a
    premium rate methodology not later than six months after the insurance
    program is established.
        ``(c) Effects of Changed Benefits.--If at the time of any actuarial
    valuation under subsection (b) there has been a change in benefits
    under the insurance program that has been made since the last such
    valuation and such change in benefits increases or decreases the
    present value of amounts payable from the Fund, the Board of Actuaries
    shall determine a premium rate methodology, and recommend to the
    Secretary a premium schedule, for the liquidation of any liability (or
    actuarial gain to the Fund) resulting from such change and any previous
    such changes so that the present value of the sum of the scheduled
    premium payments (or reduction in payments that would otherwise be
    made) equals the cumulative increase (or decrease) in the present value
    of such benefits.
        ``(d) Actuarial Gains or Losses.--If at the time of any such
    valuation the Board of Actuaries determines that there has been an
    actuarial gain or loss to the Fund as a result of changes in actuarial
    assumptions since the last valuation or as a result of any differences,
    between actual and expected experience since the last valuation, the
    Board shall recommend to the Secretary a premium rate schedule for the
    amortization of the cumulative gain or loss to the Fund resulting from
    such changes in assumptions and any previous such changes in
    assumptions or from the differences in actual and expected experience,
    respectively, through an increase or decrease in the payments that
    would otherwise be made to the Fund.
        ``(e) Insufficient Assets.--If at any time liabilities of the Fund
    exceed assets of the Fund as a result of members of the Ready Reserve
    being ordered to active duty as described in section 12521(2) of this
    title, and funds are unavailable to pay benefits completely, the
    Secretary shall request the President to submit to Congress a request
    for a special appropriation to cover the unfunded liability. If
    appropriations are not made to cover an unfunded liability in any
    fiscal year, the Secretary shall reduce the amount of the benefits paid
    under the insurance program to a total amount that does not exceed the
    assets of the Fund expected to accrue by the end of such fiscal year.
    Benefits that cannot be paid because of such a reduction shall be
    deferred and may be paid only after and to the extent that additional
    funds become available.
        ``(f) Definition of Present Value.--The Board of Actuaries shall
    define the term `present value' for purposes of this subsection.

    ``Sec. 12530. Payment of benefits

        ``(a) Commencement of Payment.--An insured member who serves in
    excess of 30 days of covered service shall be paid the amount to which
    such member is entitled on a monthly basis beginning not later than one
    month after the 30th day of covered service.
        ``(b) Method of Payment.--The Secretary shall prescribe in the
    regulations the manner in which payments shall be made to the member or
    to a person designated in accordance with subsection (c).
        ``(c) Designated Recipients.--(1) A member may designate in writing
    another person (including a spouse, parent, or other person with an
    insurable interest, as determined in accordance with the regulations
    prescribed by the Secretary) to receive payments of insurance benefits
    under the insurance program.
        ``(2) A member may direct that payments of insurance benefits for a
    person designated under paragraph (1) be deposited with a bank or other
    financial institution to the credit of the designated person.
        ``(d) Recipients in Event of Death of Insured Member.--Any
    insurance payable under the insurance program on account of a deceased
    member's period of covered service shall be paid, upon the
    establishment of a valid claim, to the beneficiary or beneficiaries
    which the deceased member designated in writing. If no such designation
    has been made, the amount shall be payable in accordance with the laws
    of the State of the member's domicile.

    ``Sec. 12531. Purchase of insurance

        ``(a) Purchase Authorized.--The Secretary may, instead of or in
    addition to underwriting the insurance program through the Fund,
    purchase from one or more insurance companies a policy or policies of
    group insurance in order to provide the benefits required under this
    chapter. The Secretary may waive any requirement for full and open
    competition in order to purchase an insurance policy under this
    subsection.
        ``(b) Eligible Insurers.--In order to be eligible to sell insurance
    to the Secretary for purposes of subsection (a), an insurance company
    shall--
            ``(1) be licensed to issue insurance in each of the 50 States
        and in the District of Columbia; and
            ``(2) as of the most recent December 31 for which information
        is available to the Secretary, have in effect at least one percent
        of the total amount of insurance that all such insurance companies
        have in effect in the United States.
        ``(c) Administrative Provisions.--(1) An insurance company that
    issues a policy for purposes of subsection (a) shall establish an
    administrative office at a place and under a name designated by the
    Secretary.
        ``(2) For the purposes of carrying out this chapter, the Secretary
    may use the facilities and services of any insurance company issuing
    any policy for purposes of subsection (a), may designate one such
    company as the representative of the other companies for such purposes,
    and may contract to pay a reasonable fee to the designated company for
    its services.
        ``(d) Reinsurance.--The Secretary shall arrange with each insurance
    company issuing any policy for purposes of subsection (a) to reinsure,
    under conditions approved by the Secretary, portions of the total
    amount of the insurance under such policy or policies with such other
    insurance companies (which meet qualifying criteria prescribed by the
    Secretary) as may elect to participate in such reinsurance.
        ``(e) Termination.--The Secretary may at any time terminate any
    policy purchased under this section.
    ``Sec. 12532. Termination for nonpayment of premiums; forfeiture
        ``(a) Termination for Nonpayment.--The coverage of a member under
    the insurance program shall terminate without prior notice upon a
    failure of the member to make required monthly payments of premiums for
    two consecutive months. The Secretary may provide in the regulations
    for reinstatement of insurance coverage terminated under this
    subsection.
        ``(b) Forfeiture.--Any person convicted of mutiny, treason, spying,
    or desertion, or who refuses to perform service in the armed forces or
    refuses to wear the uniform of any of the armed forces shall forfeit
    all rights to insurance under this chapter.''.
        (2) The tables of chapters at the beginning of subtitle E, and at
    the beginning of part II of subtitle E, of title 10, United States
    Code, are amended by inserting after the item relating to chapter 1213
    the following new item:

    ``1214. Ready Reserve Mobilization Income Insurance.............12521''.

        (b) Effective Date.--The insurance program provided for in chapter
    1214 of title 10, United States Code, as added by subsection (a), and
    the requirement for deductions and contributions for that program shall
    take effect on September 30, 1996, or on any earlier date declared by
    the Secretary and published in the Federal Register.
        SEC. 513. MILITARY TECHNICIAN FULL-TIME SUPPORT PROGRAM FOR ARMY
          AND AIR FORCE RESERVE COMPONENTS.
        (a) Requirement of Annual Authorization of End Strength.--(1)
    Section 115 of title 10, United States Code, is amended by adding at
    the end the following new subsection:
        ``(g) Congress shall authorize for each fiscal year the end
    strength for military technicians for each reserve component of the
    Army and Air Force. Funds available to the Department of Defense for
    any fiscal year may not be used for the pay of a military technician
    during that fiscal year unless the technician fills a position that is
    within the number of such positions authorized by law for that fiscal
    year for the reserve component of that technician. This subsection
    applies without regard to section 129 of this title.''.
        (2) The amendment made by paragraph (1) does not apply with respect
    to fiscal year 1995.
        (b) Authorization for Fiscal Years 1996 and 1997.--For each of
    fiscal years 1996 and 1997, the minimum number of military technicians,
    as of the last day of that fiscal year, for the Army and the Air Force
    (notwithstanding section 129 of title 10, United States Code) shall be
    the following:
            (1) Army National Guard, 25,500.
            (2) Army Reserve, 6,630.
            (3) Air National Guard, 22,906.
            (4) Air Force Reserve, 9,802.
        (c) Administration of Military Technician Program.--(1) Chapter
    1007 of title 10, United States Code, is amended by adding at the end
    the following new section:

    ``Sec. 10216. Military technicians

        ``(a) Priority for Management of Military Technicians.--(1) As a
    basis for making the annual request to Congress pursuant to section 115
    of this title for authorization of end strengths for military
    technicians of the Army and Air Force reserve components, the Secretary
    of Defense shall give priority to supporting authorizations for dual
    status military technicians in the following high-priority units and
    organizations:
            ``(A) Units of the Selected Reserve that are scheduled to
        deploy no later than 90 days after mobilization.
            ``(B) Units of the Selected Reserve that are or will deploy to
        relieve active duty peacetime operations tempo.
            ``(C) Those organizations with the primary mission of providing
        direct support surface and aviation maintenance for the reserve
        components of the Army and Air Force, to the extent that the
        military technicians in such units would mobilize and deploy in a
        skill that is compatible with their civilian position skill.
        ``(2) For each fiscal year, the Secretary of Defense shall, for the
    high-priority units and organizations referred to in paragraph (1),
    seek to achieve a programmed manning level for military technicians
    that is not less than 90 percent of the programmed manpower structure
    for those units and organizations for military technicians for that
    fiscal year.
        ``(3) Military technician authorizations and personnel in high-
    priority units and organizations specified in paragraph (1) shall be
    exempt from any requirement (imposed by law or otherwise) for
    reductions in Department of Defense civilian personnel and shall only
    be reduced as part of military force structure reductions.
        ``(b) Dual-Status Requirement.--The Secretary of Defense shall
    require the Secretary of the Army and the Secretary of the Air Force to
    establish as a condition of employment for each individual who is hired
    after the date of the enactment of this section as a military
    technician that the individual maintain membership in the Selected
    Reserve (so as to be a so-called `dual-status' technician) and shall
    require that the civilian and military position skill requirements of
    dual-status military technicians be compatible. No Department of
    Defense funds may be spent for compensation for any military technician
    hired after the date of the enactment of this section whois not a
    member of the Selected Reserve, except that compensation may be paid
    for up to six months following loss of membership in the Selected
    Reserve if such loss of membership was not due to the failure to meet
    military standards.''.
        (2) The table of sections at the beginning of such chapter is
    amended by adding at the end the following new item:
    ``10216. Military technicians.''.

        (d) Review of Reserve Component Management Headquarters.--(1) The
    Secretary of Defense shall, within six months after the date of the
    enactment of this Act, undertake steps to reduce, consolidate, and
    streamline management headquarters operations of the reserve
    components. As part of those steps, the Secretary shall identify those
    military technicians positions in such headquarters operations that are
    excess to the requirements of those headquarters.
        (2) Of the military technicians positions that are identified under
    paragraph (1), the Secretary shall reallocate up to 95 percent of the
    annual funding required to support those positions for the purpose of
    creating new positions or filling existing positions in the high-
    priority units and activities specified in section 10216(a) of title
    10, United States Code, as added by subsection (c).
        (e) Annual Defense Manpower Requirements Report.--Section 115a of
    title 10, United States Code, is amended by adding at the end the
    following new subsection:
        ``(h) In each such report, the Secretary shall include a separate
    report on the Army and Air Force military technician programs. The
    report shall include a presentation, shown by reserve component and
    shown both as of the end of the preceding fiscal year and for the next
    fiscal year, of the following:
            ``(1) The number of military technicians required to be
        employed (as specified in accordance with Department of Defense
        procedures), the number authorized to be employed under Department
        of Defense personnel procedures, and the number actually employed.
            ``(2) Within each of the numbers under paragraph (1)--
                ``(A) the number applicable to a reserve component
            management headquarter organization; and
                ``(B) the number applicable to high-priority units and
            organizations (as specified in section 10216(a) of this title).
            ``(3) Within each of the numbers under paragraph (1), the
        numbers of military technicians who are not themselves members of a
        reserve component (so-called `single-status' technicians), with a
        further display of such numbers as specified in paragraph (2).''.
        SEC. 514. REVISIONS TO ARMY GUARD COMBAT REFORM INITIATIVE TO
          INCLUDE ARMY RESERVE UNDER CERTAIN PROVISIONS AND MAKE CERTAIN
          REVISIONS.
        (a) Prior Active Duty Personnel.--Section 1111 of the Army National
    Guard Combat Readiness Reform Act of 1992 (title XI of Public Law 102-
    484) is amended--
            (1) in the section heading, by striking out the first three
        words;
            (2) by striking out subsections (a) and (b) and inserting in
        lieu thereof the following:
        ``(a) Additional Prior Active Duty Officers.--The Secretary of the
    Army shall increase the number of qualified prior active-duty officers
    in the Army National Guard by providing a program that permits the
    separation of officers on active duty with at least two, but less than
    three, years of active service upon condition that the officer is
    accepted for appointment in the Army National Guard. The Secretary
    shall have a goal of having not fewer than 150 officers become members
    of the Army National Guard each year under this section.
        ``(b) Additional Prior Active Duty Enlisted Members.--The Secretary
    of the Army shall increase the number of qualified prior active-duty
    enlisted members in the Army National Guard through the use of
    enlistments as described in section 8020 of the Department of Defense
    Appropriations Act, 1994 (Public Law 103-139). The Secretary shall
    enlist not fewer than 1,000 new enlisted members each year under
    enlistments described in that section.''; and
            (3) by striking out subsections (d) and (e).
        (b) Service in the Selected Reserve in Lieu of Active Duty Service
    for ROTC Graduates.--Section 1112(b) of such Act (106 Stat. 2537) is
    amended by striking out ``National Guard'' before the period at the end
    and inserting in lieu thereof ``Selected Reserve''.
        (c) Review of Officer Promotions.--Section 1113 of such Act (106
    Stat. 2537) is amended--
            (1) in subsection (a), by striking out ``National Guard'' both
        places it appears and inserting in lieu thereof ``Selected
        Reserve''; and
            (2) by striking out subsection (b) and inserting in lieu
        thereof the following:
        ``(b) Coverage of Selected Reserve Combat and Early Deploying
    Units.--(1) Subsection (a) applies to officers in all units of the
    Selected Reserve that are designated as combat units or that are
    designated for deployment within 75 days of mobilization.
        ``(2) Subsection (a) shall take effect with respect to officers of
    the Army Reserve, and with respect to officers of the Army National
    Guard in units not subject to subsection (a) as of the date of the
    enactment of the National Defense Authorization Act for Fiscal Year
    1996, at the end of the 90-day period beginning on such date of
    enactment.''.
        (d) Initial Entry Training and Nondeployable Personnel.--Section
    1115 of such Act (106 Stat. 2538) is amended--
            (1) in subsections (a) and (b), by striking out ``National
        Guard'' each place it appears and inserting in lieu thereof
        ``Selected Reserve''; and
            (2) in subsection (c)--
                (A) by striking out ``a member of the Army National Guard
            enters the National Guard'' and insertingin lieu thereof ``a
    member of the Army Selected Reserve enters the Army Selected Reserve'';
    and
                (B) by striking out ``from the Army National Guard''.
        (e) Accounting of Members Who Fail Physical Deployability
    Standards.--Section 1116 of such Act (106 Stat. 2539) is amended by
    striking out ``National Guard'' each place it appears and inserting in
    lieu thereof ``Selected Reserve''.
        (f) Use of Combat Simulators.--Section 1120 of such Act (106 Stat.
    2539) is amended by inserting ``and the Army Reserve'' before the
    period at the end.

    SEC. 515. ACTIVE DUTY ASSOCIATE UNIT RESPONSIBILITY.

        (a) Associate Units.--Subsection (a) of section 1131 of the
    National Defense Authorization Act for Fiscal Year 1993 (Public Law
    102-484; 106 Stat. 2540) is amended to read as follows:
        ``(a) Associate Units.--The Secretary of the Army shall require--
            ``(1) that each ground combat maneuver brigade of the Army
        National Guard that (as determined by the Secretary) is essential
        for the execution of the National Military Strategy be associated
        with an active-duty combat unit; and
            ``(2) that combat support and combat service support units of
        the Army Selected Reserve that (as determined by the Secretary) are
        essential for the execution of the National Military Strategy be
        associated with active-duty units.''.
        (b)  Responsibilities.--Subsection  (b)  of  such  section  is
    amended--
            (1) by striking out ``National Guard combat unit'' in the
        matter preceding paragraph (1) and inserting in lieu thereof
        ``National Guard unit or Army Selected Reserve unit that (as
        determined by the Secretary under subsection (a)) is essential for
        the execution of the National Military Strategy''; and
            (2) by striking out ``of the National Guard unit'' in
        paragraphs (1), (2), (3), and (4) and inserting in lieu thereof
        ``of that unit''.
        SEC. 516. LEAVE FOR MEMBERS OF RESERVE COMPONENTS PERFORMING PUBLIC
          SAFETY DUTY.
        (a) Election of Leave To Be Charged.--Subsection (b) of section
    6323 of title 5, United States Code, is amended by adding at the end
    the following: ``Upon the request of an employee, the period for which
    an employee is absent to perform service described in paragraph (2) may
    be charged to the employee's accrued annual leave or to compensatory
    time available to the employee instead of being charged as leave to
    which the employee is entitled under this subsection. The period of
    absence may not be charged to sick leave.''.
        (b) Pay for Period of Absence.--Section 5519 of such title is
    amended by striking out ``entitled to leave'' and inserting in lieu
    thereof ``granted military leave''.
        SEC. 517. DEPARTMENT OF DEFENSE FUNDING FOR NATIONAL GUARD
          PARTICIPATION IN JOINT DISASTER AND EMERGENCY ASSISTANCE
          EXERCISES.
        Section 503(a) of title 32, United States Code, is amended--
            (1) by inserting ``(1)'' after ``(a)''; and
            (2) by adding at the end the following:
        ``(2) Paragraph (1) includes authority to provide for participation
    of the National Guard in conjunction with the Army or the Air Force, or
    both, in joint exercises for instruction to prepare the National Guard
    for response to civil emergencies and disasters.''.

                       Subtitle C--Decorations and Awards

        SEC. 521. AWARD OF PURPLE HEART TO PERSONS WOUNDED WHILE HELD AS
          PRISONERS OF WAR BEFORE APRIL 25, 1962.
        (a) Award of Purple Heart.--For purposes of the award of the Purple
    Heart, the Secretary concerned (as defined in section 101 of title 10,
    United States Code) shall treat a former prisoner of war who was
    wounded before April 25, 1962, while held as a prisoner of war (or
    while being taken captive) in the same manner as a former prisoner of
    war who is wounded on or after that date while held as a prisoner of
    war (or while being taken captive).
        (b) Standards for Award.--An award of the Purple Heart under
    subsection (a) shall be made in accordance with the standards in effect
    on the date of the enactment of this Act for the award of the Purple
    Heart to persons wounded on or after April 25, 1962.
        (c) Eligible Former Prisoners of War.--A person shall be considered
    to be a former prisoner of war for purposes of this section if the
    person is eligible for the prisoner-of-war medal under section 1128 of
    title 10, United States Code.
        SEC. 522. AUTHORITY TO AWARD DECORATIONS RECOGNIZING ACTS OF VALOR
          PERFORMED IN COMBAT DURING THE VIETNAM CONFLICT.
        (a) Findings.--Congress makes the following findings:
            (1) The Ia Drang Valley (Pleiku) campaign, carried out by the
        Armed Forces in the Ia Drang Valley of Vietnam from October 23,
        1965, to November 26, 1965, is illustrative of the many battles
        during the Vietnam conflict which pitted forces of the United
        States against North Vietnamese Army regulars and Viet Cong in
        vicious fighting.
            (2) Accounts of those battles that have been published since
        the end of that conflict authoritatively document numerous and
        repeated acts of extraordinary heroism, sacrifice, and bravery on
        the part of members of the Armed Forces, many of which have never
        been officially recognized.
            (3) In some of those battles, United States military units
        suffered substantial losses, with some units sustaining casualties
        in excess of 50 percent.
            (4) The incidence of heavy casualties throughout the Vietnam
        conflict inhibited the timely collection of comprehensive and
        detailed information to support recommendations for awards
        recognizing acts of heroism, sacrifice, and bravery.
            (5) Subsequent requests to the Secretaries of the military
        departments for review of award recommendations for such acts have
        been denied because of restrictions in law and regulations that
        require timely filing of such recommendations and documented
        justification.
            (6) Acts of heroism, sacrifice, and bravery performed in combat
        by members of the Armed Forces deserve appropriate and timely
        recognition by the people of the United States.
            (7) It is appropriate to recognize acts of heroism, sacrifice,
        or bravery that are belatedly, but properly, documented by persons
        who witnessed those acts.
        (b) Waiver of Time Limitations for Recommendations for Awards.--(1)
    Any decoration covered by paragraph (2) may be awarded, without regard
    to any time limit imposed by law or regulation for a recommendation for
    such award to any person for actions by that person in the Southeast
    Asia theater of operations while serving on active duty during the
    Vietnam era. The waiver of time limitations under this paragraph
    applies only in the case of awards for acts of valor for which a
    request for consideration is submitted under subsection (c).
        (2) Paragraph (1) applies to any decoration (including any device
    in lieu of a decoration) that, during or after the Vietnam era and
    before the date of the enactment of this Act, was authorized by law or
    under regulations of the Department of Defense or the military
    department concerned to be awarded to members of the Armed Forces for
    acts of valor.
        (c) Review of Requests for Consideration of Awards.--(1) The
    Secretary of each military department shall review each request for
    consideration of award of a decoration described in subsection (b) that
    are received by the Secretary during the one-year period beginning on
    the date of enactment of this Act.
        (2) The Secretaries shall begin the review within 30 days after the
    date of the enactment of this Act and shall complete the review of each
    request for consideration not later than one year after the date on
    which the request is received.
        (3) The Secretary may use the same process for carrying out the
    review as the Secretary uses for reviewing other recommendations for
    award of decorations to members of the Armed Forces under the
    Secretary's jurisdiction for valorous acts.
        (d) Report.--(1) Upon completing the review of each such request
    under subsection (c), the Secretary shall submit a report on the review
    to the Committee on Armed Services of the Senate and the Committee on
    National Security of the House of Representatives.
        (2) The report shall include, with respect to each request for
    consideration received, the following information:
            (A) A summary of the request for consideration.
            (B) The findings resulting from the review.
            (C) The final action taken on the request for consideration.
        (e) Definition.--For purposes of this section:
            (1) The term ``Vietnam era'' has the meaning given that term in
        section 101 of title 38, United States Code.
            (2) The term ``active duty'' has the meaning given that term in
        section 101 of title 10, United States Code.
        SEC. 523. MILITARY INTELLIGENCE PERSONNEL PREVENTED BY SECRECY FROM
          BEING CONSIDERED FOR DECORATIONS AND AWARDS.
        (a) Waiver on Restrictions of Awards.--(1) Any decoration covered
    by paragraph (2) may be awarded, without regard to any time limit
    imposed by law or regulation for a recommendation for such award, to
    any person for an act, achievement, or service that the person
    performed in carrying out military intelligence duties during the
    period beginning on January 1, 1940, and ending on December 31, 1990.
        (2) Paragraph (1) applies to any decoration (including any device
    in lieu of a decoration) that, during or after the period described in
    paragraph (1) and before the date of the enactment of this Act, was
    authorized by law or under the regulations of the Department of Defense
    or the military department concerned to be awarded to a person for an
    act, achievement, or service performed by that person while serving on
    active duty.
        (b) Review of Requests for Consideration of Awards.--(1) The
    Secretary of each military department shall review each request for
    consideration of award of a decoration described in subsection (a) that
    is received by the Secretary during the one-year period beginning on
    the date of the enactment of this Act.
        (2) The Secretaries shall begin the review within 30 days after the
    date of the enactment of this Act and shall complete the review of each
    request for consideration not later than one year after the date on
    which the request is received.
        (3) The Secretary may use the same process for carrying out the
    review as the Secretary uses for reviewing other recommendations for
    awarding decorations to members of the Armed Forces under the
    Secretary's jurisdiction for acts, achievements, or service.
        (c) Report.--(1) Upon completing the review of each such request
    under subsection (b), the Secretary shall submit a report on the review
    to the Committee on Armed Services of the Senate and the Committee on
    National Security of the House of Representatives.
        (2) The report shall include, with respect to each request for
    consideration reviewed, the following information:
            (A) A summary of the request for consideration.
            (B) The findings resulting from the review.
            (C) The final action taken on the request for consideration.
            (D) Administrative or legislative recommendations to improve
        award procedures with respect to military intelligence personnel.
        (d) Definition.--For purposes of this section, the term ``active
    duty'' has the meaning given such term in section 101 of title 10,
    United States Code.
        SEC. 524. REVIEW REGARDING UPGRADING OF DISTINGUISHED-SERVICE
          CROSSES AND NAVY CROSSES AWARDED TO ASIAN-AMERICANS AND NATIVE
          AMERICAN PACIFIC ISLANDERS FOR WORLD WAR II SERVICE.
        (a) Review Required.--(1) The Secretary of the Army shall review
    the records relating to each award of the Distinguished-Service Cross,
    and the Secretary of the Navy shall review the records relating to each
    award of the Navy Cross, that was awarded to an Asian-American or a
    Native American Pacific Islander with respect to service as a member of
    the Armed Forces during World War II. The purpose of the review shall
    be to determine whether any such award should be upgraded to the Medal
    of Honor.
        (2) If the Secretary concerned determines, based upon the review
    under paragraph (1), that such an upgrade is appropriate in the case of
    any person, the Secretary shall submit to the President a
    recommendation that the President award the Medal of Honor to that
    person.
        (b) Waiver of Time Limitations.--A Medal of Honor may be awarded to
    a person referred to in subsection (a) in accordance with a
    recommendation of the Secretary concerned under that subsection without
    regard to--
            (1) section 3744, 6248, or 8744 of title 10, United States
        Code, as applicable; and
            (2) any regulation or other administrative restriction on--
                (A) the time for awarding the Medal of Honor; or
                (B) the awarding of the Medal of Honor for service for
            which a Distinguished-Service Cross or Navy Cross has been
            awarded.
        (c) Definition.--For purposes of this section, the term ``Native
    American Pacific Islander'' means a Native Hawaiian and any other
    Native American Pacific Islander within themeaning of the Native
    American Programs Act of 1974 (42 U.S.C. 2991 et seq.).
        SEC. 525. ELIGIBILITY FOR ARMED FORCES EXPEDITIONARY MEDAL BASED
          UPON SERVICE IN EL SALVADOR.
        (a) In General.--For the purpose of determining eligibility of
    members and former members of the Armed Forces for the Armed Forces
    Expeditionary Medal, the country of El Salvador during the period
    beginning on January 1, 1981 and ending on February 1, 1992, shall be
    treated as having been designated as an area and a period of time in
    which members of the Armed Forces participated in operations in
    significant numbers and otherwise met the general requirements for the
    award of that medal.
        (b) Individual Determination.--The Secretary of the military
    department concerned shall determine whether individual members or
    former members of the Armed Forces who served in El Salvador during the
    period beginning on January 1, 1981 and ending on February 1, 1992 meet
    the individual service requirements for award of the Armed Forces
    Expeditionary Medal as established in applicable regulations. Such
    determinations shall be made as expeditiously as possible after the
    date of the enactment of this Act.
        SEC. 526. PROCEDURE FOR CONSIDERATION OF MILITARY DECORATIONS NOT
          PREVIOUSLY SUBMITTED IN TIMELY FASHION.
        (a) In General.--Chapter 57 of title 10, United States Code, is
    amended by adding at the end the following new section:
    ``Sec. 1130. Consideration of proposals for decorations not previously
         submitted in timely fashion: procedures for review and
         recommendation
        ``(a) Upon request of a Member of Congress, the Secretary concerned
    shall review a proposal for the award or presentation of a decoration
    (or the upgrading of a decoration), either for an individual or a unit,
    that is not otherwise authorized to be presented or awarded due to
    limitations established by law or policy for timely submission of a
    recommendation for such award or presentation. Based upon such review,
    the Secretary shall make a determination as to the merits of approving
    the award or presentation of the decoration and the other
    determinations necessary to comply with subsection (b).
        ``(b) Upon making a determination under subsection (a) as to the
    merits of approving the award or presentation of the decoration, the
    Secretary concerned shall submit to the Committee on Armed Services of
    the Senate and the Committee on National Security of the House of
    Representatives and to the requesting member of Congress notice in
    writing of one of the following:
            ``(1) The award or presentation of the decoration does not
        warrant approval on the merits.
            ``(2) The award or presentation of the decoration warrants
        approval and a waiver by law of time restrictions prescribed by law
        is recommended.
            ``(3) The award or presentation of the decoration warrants
        approval on the merits and has been approved as an exception to
        policy.
            ``(4) The award or presentation of the decoration warrants
        approval on the merits, but a waiver of the time restrictions
        prescribed by law or policy is not recommended.
    A notice under paragraph (1) or (4) shall be accompanied by a statement
    of the reasons for the decision of the Secretary.
        ``(c) Determinations under this section regarding the award or
    presentation of a decoration shall be made in accordance with the same
    procedures that apply to the approval or disapproval of the award or
    presentation of a decoration when a recommendation for such award or
    presentation is submitted in a timely manner as prescribed by law or
    regulation.
        ``(d) In this section:
            ``(1) The term `Member of Congress' means--
                ``(A) a Senator; or
                ``(B) a Representative in, or a Delegate or Resident
            Commissioner to, Congress.
            ``(2) The term `decoration' means any decoration or award that
        may be presented or awarded to a member or unit of the armed
        forces.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding at the end the following new item:
    ``1130. Consideration of proposals for decorations not previously
              submitted in timely fashion: procedures for review and
              recommendation.''.

                     Subtitle D--Officer Education Programs

                           PART I--SERVICE ACADEMIES

        SEC. 531. REVISION OF SERVICE OBLIGATION FOR GRADUATES OF THE
          SERVICE ACADEMIES.
        (a) Military Academy.--Section 4348(a)(2)(B) of title 10, United
    States Code, is amended by striking out ``six years'' and inserting in
    lieu thereof ``five years''.
        (b) Naval Academy.--Section 6959(a)(2)(B) of such title is amended
    by striking out ``six years'' and inserting in lieu thereof ``five
    years''.
        (c) Air Force Academy.--Section 9348(a)(2)(B) of such title is
    amended by striking out ``six years'' and inserting in lieu thereof
    ``five years''.
        (d) Requirement for Review and Report.--(1) The Secretary of
    Defense shall review the effects that each of various periods of
    obligated active duty service for graduates of the United States
    Military Academy, the United States Naval Academy, and the United
    States Air Force Academy would have on the number and quality of the
    eligible and qualified applicants seeking appointment to such
    academies.
        (2) Not later than April 1, 1996, 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 on the Secretary's
    findings under the review, together with any recommended legislation
    regarding the minimum periods of obligated active duty service for
    graduates of the United States Military Academy, the United States
    Naval Academy, and the United States Air Force Academy.
        (e) Applicability.--The amendments made by this section apply to
    persons first admitted to the United States Military Academy, United
    States Naval Academy, and United States Air Force Academy after
    December 31, 1991.
        SEC. 532. NOMINATIONS TO SERVICE ACADEMIES FROM COMMONWEALTH OF THE
          NORTHERN MARIANAS ISLANDS.
        (a) Military Academy.--Section 4342(a) of title 10, United States
    Code, is amended by inserting after paragraph (9) the following new
    paragraph:
            ``(10) One cadet from the Commonwealth of the Northern Marianas
        Islands, nominated by the resident representative from the
        commonwealth.''.
        (b) Naval Academy.--Section 6954(a) of title 10, United States
    Code, is amended by inserting after paragraph (9) the following new
    paragraph:
            ``(10) One from the Commonwealth of the Northern Marianas
        Islands, nominated by the resident representative from the
        commonwealth.''.
        (c) Air Force Academy.--Section 9342(a) of title 10, United States
    Code, is amended by inserting after paragraph (9) the following new
    paragraph:
            ``(10) One cadet from the Commonwealth of the Northern Marianas
        Islands, nominated by the resident representative from the
        commonwealth.''.
        SEC. 533. REPEAL OF REQUIREMENT FOR ATHLETIC DIRECTOR AND
          NONAPPROPRIATED FUND ACCOUNT FOR THE ATHLETICS PROGRAMS AT THE
          SERVICE ACADEMIES.
        (a) United States Military Academy.--(1) Section 4357 of title 10,
    United States Code, is repealed.
        (2) The table of sections at the beginning of chapter 403 of such
    title is amended by striking out the item relating to section 4357.
        (b) United States Naval Academy.--Section 556 of the National
    Defense Authorization Act for Fiscal Year 1995 (Public Law 103-337; 108
    Stat. 2774) is amended by striking out subsections (b) and (e).
        (c) United States Air Force Academy.--(1) Section 9356 of title 10,
    United States Code, is repealed.
        (2) The table of sections at the beginning of chapter 903 of such
    title is amended by striking out the item relating to section 9356.
        SEC. 534. REPEAL OF REQUIREMENT FOR PROGRAM TO TEST PRIVATIZATION
          OF SERVICE ACADEMY PREPARATORY SCHOOLS.
        Section 536 of the National Defense Authorization Act for Fiscal
    Year 1994 (Public Law 103-160; 10 U.S.C. 4331 note) is repealed.

                    PART II--RESERVE OFFICER TRAINING CORPS

    SEC. 541. ROTC ACCESS TO CAMPUSES.

        (a) In General.--Chapter 49 of title 10, United States Code, is
    amended by adding at the end the following new section:

    ``Sec. 983. Institutions of higher education that prohibit Senior ROTC
                units: denial of Department of Defense grants and contracts

        ``(a) Denial of Department of Defense Grants and Contracts.--(1) No
    funds appropriated or otherwise available to the Department of Defense
    may be made obligated by contract or by grant (including a grant of
    funds to be available for student aid) to any institution of higher
    education that, as determined by the Secretary of Defense, has an anti-
    ROTC policy and at which, as determined by the Secretary, the Secretary
    would otherwise maintain or seek to establish a unit of the Senior
    Reserve Officer Training Corps or at which the Secretary would
    otherwise enroll or seek to enroll students for participation in a unit
    of the Senior Reserve Officer Training Corps at another nearby
    institution of higher education.
        ``(2) In the case of an institution of higher education that is
    ineligible for Department of Defense grants and contracts by reason of
    paragraph (1), the prohibition under that paragraph shall cease to
    apply to that institution upon a determination by the Secretary that
    the institution no longer has an anti-ROTC policy.
        ``(b) Notice of Determination.--Whenever the Secretary makes a
    determination under subsection (a) that an institution has an anti-ROTC
    policy, or that an institution previously determined to have an anti-
    ROTC policy no longer has such a policy, the Secretary--
            ``(1) shall transmit notice of that determination to the
        Secretary of Education and to the Committee on Armed Services of
        the Senate and the Committee on National Security of the House of
        Representatives; and
            ``(2) shall publish in the Federal Register notice of that
        determination and of the effect of that determination under
        subsection (a)(1) on the eligibility of that institution for
        Department of Defense grants and contracts.
        ``(c) Semiannual Notice in Federal Register.--The Secretary shall
    publish in the Federal Register once every six months a list of each
    institution of higher education that is currently ineligible for
    Department of Defense grants and contracts by reason of a determination
    of the Secretary under subsection (a).
        ``(d) Anti-ROTC Policy.--In this section, the term `anti-ROTC
    policy' means a policy or practice of an institution of higher
    education that--
            ``(1) prohibits, or in effect prevents, the Secretary of
        Defense from maintaining or establishing a unit of the Senior
        Reserve Officer Training Corps at that institution, or
            ``(2) prohibits, or in effect prevents, a student at that
        institution from enrolling in a unit of the Senior Reserve Officer
        Training Corps at another institution of higher education.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding at the end the following new item:
    ``983. Institutions of higher education that prohibit Senior ROTC units:
              denial of Department of Defense grants and contracts.''.

    SEC. 542. ROTC SCHOLARSHIPS FOR THE NATIONAL GUARD.

        (a) Clarification of Restriction on Active Duty.--Paragraph (2) of
    section 2107(h) of title 10, United States Code, is amended by
    inserting ``full-time'' before ``active duty'' in the second sentence.
        (b) Redesignation of ROTC Scholarships.--Such paragraph is further
    amended by inserting after the first sentence the following new
    sentence: ``A cadet designated under this paragraph who, having
    initially contracted for service as provided in subsection (b)(5)(A)
    and having received financial assistance for two years under an award
    providing for four years of financial assistance under this section,
    modifies such contract with the consent of the Secretary of the Army to
    provide for service as described in subsection (b)(5)(B), may be
    counted, for the year in which the contract is modified, toward the
    number of appointments required under the preceding sentence for
    financial assistance awarded for a period of four years.''.
        SEC. 543. DELAY IN REORGANIZATION OF ARMY ROTC REGIONAL
          HEADQUARTERS STRUCTURE.
        (a) Delay.--The Secretary of the Army may not take any action to
    reorganize the regional headquarters and basic camp structure of the
    Reserve Officers Training Corps program of the Army until six months
    after the date on which the report required by subsection (d) is
    submitted.
        (b) Cost-Benefit Analysis.--The Secretary of the Army shall conduct
    a comparative cost-benefit analysis of various options for the
    reorganization of the regional headquarters and basic camp structure of
    the Army ROTC program. As part of such analysis, the Secretary shall
    measure each reorganization option considered against a common set of
    criteria.
        (c) Selection of Reorganization Option for Implementation.--Based
    on the findings resulting from the cost-benefit analysis under
    subsection (b) and such other factors as the Secretary considers
    appropriate, the Secretary shall select one reorganization option for
    implementation. The Secretary may select an option for implementation
    only if the Secretary finds that the cost-benefit analysis and other
    factors considered clearly demonstrate that such option, better than
    any other option considered--
            (1) provides the structure to meet projected mission
        requirements;
            (2) achieves the most significant personnel and cost savings;
            (3) uses existing basic and advanced camp facilities to the
        maximum extent possible;
            (4) minimizes additional military construction costs; and
            (5) makes maximum use of the reserve components to support
        basic and advanced camp operations, thereby minimizing the effect
        of those operations on active duty units.
        (d) Report.--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 describing the reorganization
    option selected under subsection (c). The report shall include the
    results of the cost-benefit analysis under subsection (b) and a
    detailed rationale for the reorganization option selected.
        SEC. 544. DURATION OF FIELD TRAINING OR PRACTICE CRUISE REQUIRED
          UNDER THE SENIOR RESERVE OFFICERS' TRAINING CORPS PROGRAM.
        Section 2104(b)(6)(A)(ii) of title 10, United States Code, is
    amended by striking out ``not less than six weeks' duration'' and
    inserting in lieu thereof ``a duration''.
        SEC. 545. ACTIVE DUTY OFFICERS DETAILED TO ROTC DUTY AT SENIOR
          MILITARY COLLEGES TO SERVE AS COMMANDANT AND ASSISTANT COMMANDANT
          OF CADETS AND AS TACTICAL OFFICERS.
        (a) In General.--Chapter 103 of title 10, United States Code, is
    amended by adding at the end the following new section:

    ``Sec. 2111a. Detail of officers to senior military colleges

        ``(a) Detail of Officers To Serve as Commandant or Assistant
    Commandant of Cadets.--(1) Upon the request of a senior military
    college, the Secretary of Defense may detail an officer on the active-
    duty list to serve as Commandant of Cadets at that college or (in the
    case of a college with an Assistant Commandant of Cadets) detail an
    officer on the active-duty list to serve as Assistant Commandant of
    Cadets at that college (but not both).
        ``(2) In the case of an officer detailed as Commandant of Cadets,
    the officer may, upon the request of the college, be assigned from
    among the Professor of Military Science, the Professor of Naval Science
    (if any), and the Professor of Aerospace Science (if any) at that
    college or may be in addition to any other officer detailed to that
    college in support of the program.
        ``(3) In the case of an officer detailed as Assistant Commandant of
    Cadets, the officer may, upon the request of the college, be assigned
    from among officers otherwise detailed to duty at that college in
    support of the program or may be in addition to any other officer
    detailed to that college in support of the program.
        ``(b) Designation of Officers as Tactical Officers.--Upon the
    request of a senior military college, the Secretary of Defense may
    authorize officers (other than officers covered by subsection (a)) who
    are detailed to duty as instructors at that college to act
    simultaneously as tactical officers (with or without compensation) for
    the Corps of Cadets at that college.
        ``(c) Detail of Officers.--The Secretary of a military department
    shall designate officers for detail to the program at a senior military
    college in accordance with criteria provided by the college. An officer
    may not be detailed to a senior military college without the approval
    of that college.
        ``(d) Senior Military Colleges.--The senior military colleges are
    the following:
            ``(1) Texas A&M University.
            ``(2) Norwich College.
            ``(3) The Virginia Military Institute.
            ``(4) The Citadel.
            ``(5) Virginia Polytechnic Institute and State University.
            ``(6) North Georgia College.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding at the end the following new item:
    ``2111a. Detail of officers to senior military colleges.''.

            Subtitle E--Miscellaneous Reviews, Studies, and Reports

        SEC. 551. REPORT CONCERNING APPROPRIATE FORUM FOR JUDICIAL REVIEW
          OF DEPARTMENT OF DEFENSE PERSONNEL ACTIONS.
        (a) Establishment.--The Secretary of Defense shall establish an
    advisory committee to consider issues relating to the appropriate forum
    for judicial review of Department of Defense administrative personnel
    actions.
        (b) Membership.--(1) The committee shall be composed of five
    members, who shall be appointed by the Secretary of Defense after
    consultation with the Attorney General and the Chief Justice of the
    United States.
        (2) All members of the committee shall be appointed not later than
    30 days after the date of the enactment of this Act.
        (c) Duties.--The committee shall review, and provide findings and
    recommendations regarding, the following matters with respect to
    judicial review of administrative personnel actions of the Department
    of Defense:
            (1) Whether the existing forum for such review through the
        United States district courts provides appropriate and adequate
        review of such actions.
            (2) Whether jurisdiction to conduct judicial review of such
        actions should be established in a single court in order to provide
        a centralized review of such actions and, if so, in which court
        that jurisdiction should be vested.
        (d) Report.--(1) Not later than December 15, 1996, the committee
    shall submit to the Secretary of Defense a report setting forth its
    findings and recommendations, including its recommendations pursuant to
    subsection (c).
        (2) Not later than January 1, 1997, the Secretary of Defense, after
    consultation with the Attorney General, shall transmit the committee's
    report to Congress. The Secretary may include in the transmittal any
    comments on the report that the Secretary or the Attorney General
    consider appropriate.
        (e) Termination of Committee.--The committee shall terminate 30
    days after the date of the submission of its report to Congress under
    subsection (d)(2).
        SEC. 552. COMPTROLLER GENERAL REVIEW OF PROPOSED ARMY END STRENGTH
          ALLOCATIONS.
        (a) In General.--During fiscal years 1996 through 2001, the
    Comptroller General of the United States shall analyze the plans of the
    Secretary of the Army for the allocation of assigned active component
    end strengths for the Army through the requirements process known as
    Total Army Analysis 2003 and through any subsequent similar
    requirements process of the Army that is conducted before 2002. The
    Comptroller General's analysis shall consider whether the proposed
    active component end strengths and planned allocation of forces for
    that period will be sufficient to implement the national military
    strategy. In monitoring those plans, the Comptroller General shall
    determine the extent to which the Army will be able during that
    period--
            (1) to man fully the combat force based on the projected active
        component Army end strength for each of fiscal years 1996 through
        2001;
            (2) to meet the support requirements for the force and strategy
        specified in the report of the Bottom-Up Review, including
        requirements for operations other than war; and
            (3) to streamline further Army infrastructure in order to
        eliminate duplication and inefficiencies and replace active duty
        personnel in overhead positions, whenever practicable, with
        civilian or reserve personnel.
        (b) Access to Documents, Etc.--The Secretary of the Army shall
    ensure that the Comptroller General is provided access, on a timely
    basis and in accordance with the needs of the Comptroller General, to
    all analyses, models, memoranda, reports, and other documents prepared
    or used in connection with the requirements process of the Army known
    as Total Army Analysis 2003 and any subsequent similar requirements
    process of the Army that is conducted before 2002.
        (c) Annual Report.--Not later than March 1 of each year through
    2002, the Comptroller General shall submit to Congress a report on the
    findings and conclusions of the Comptroller General under this section.
        SEC. 553. REPORT ON MANNING STATUS OF HIGHLY DEPLOYABLE SUPPORT
          UNITS.
        (a) Report.--Not later than September 30, 1996, 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 units of the Armed Forces under the Secretary's
    jurisdiction--
            (1) that (as determined by the Secretary of the military
        department concerned) are high-priority support units that would
        deploy early in a contingency operation or other crisis; and
            (2) that are, as a matter of policy, managed at less than 100
        percent of their authorized strengths.
        (b) Matters To Be Included.--The Secretary shall include in the
    report--
            (1) the number of such high-priority support units (shown by
        type of unit) that are so managed;
            (2) the level of manning within such high-priority support
        units; and
            (3) with respect to each such unit, either the justification
        for manning of less than 100 percent or the status of corrective
        action.
        SEC. 554. REVIEW OF SYSTEM FOR CORRECTION OF MILITARY RECORDS.
        (a) Review of Procedures.--The Secretary of Defense shall review
    the system and procedures for the correction of military records used
    by the Secretaries of the military departments in the exercise of
    authority under section 1552 of title 10, United States Code, in order
    to identify potential improvements that could be made in the process
    for correcting military records to ensure fairness, equity, and
    (consistent with appropriate service to applicants) maximum efficiency.
    The Secretary may not delegate responsibility for the review to an
    officer or official of a military department.
        (b) Issues Reviewed.--In conducting the review, the Secretary shall
    consider (with respect to each Board for the Correction of Military
    Records) the following:
            (1) The composition of the board and of the support staff for
        the board.
            (2) Timeliness of final action.
            (3) Independence of deliberations by the civilian board.
            (4) The authority of the Secretary of the military department
        concerned to modify the recommendations of the board.
            (5) Burden of proof and other evidentiary standards.
            (6) Alternative methods for correcting military records.
            (7) Whether the board should be consolidated with the Discharge
        Review Board of the military department.
        (c) Report.--Not later than April 1, 1996, the Secretary of Defense
    shall submit a report on the results of the Secretary's review under
    this section to the Committee on Armed Services of the Senate and the
    Committee on National Security of the House of Representatives. The
    report shall contain the recommendations of the Secretary for improving
    the process for correcting military records in order to achieve the
    objectives referred to in subsection (a).
        SEC. 555. REPORT ON THE CONSISTENCY OF REPORTING OF FINGERPRINT
          CARDS AND FINAL DISPOSITION FORMS TO THE FEDERAL BUREAU OF
          INVESTIGATION.
        (a) Report.--The Secretary of Defense shall submit to Congress a
    report on the consistency with which fingerprint cards and final
    disposition forms, as described in Criminal Investigations Policy
    Memorandum 10 issued by the Defense Inspector General on March 25,
    1987, are reported by the Defense Criminal Investigative Organizations
    to the Federal Bureau of Investigation for inclusion in the Bureau's
    criminal history identification files. The report shall be prepared in
    consultation with the Director of the Federal Bureau of Investigation.
        (b) Matters To Be Included.--In the report, the Secretary shall--
            (1) survey fingerprint cards and final disposition forms filled
        out in the past 24 months by each investigative organization;
            (2) compare the fingerprint cards and final disposition forms
        filled out to all judicial and nonjudicial procedures initiated as
        a result of actions taken by each investigative service in the past
        24 months;
            (3) account for any discrepancies between the forms filled out
        and the judicial and nonjudicial procedures initiated;
            (4) compare the fingerprint cards and final disposition forms
        filled out with the information held by the Federal Bureau of
        Investigation criminal history identification files;
            (5) identify any weaknesses in the collection of fingerprint
        cards and final disposition forms and in the reporting of that
        information to the Federal Bureau of Investigation; and
            (6) determine whether or not other law enforcement activities
        of the military services collect and report such information or, if
        not, should collect and report such information.
        (c) Submission of Report.--The report shall be submitted not later
    than one year after the date of the enactment of this Act.
        (d) Definition.--For the purposes of this section, the term
    ``criminal history identification files'', with respect to the Federal
    Bureau of Investigation, means the criminal history record system
    maintained by the Federal Bureau of Investigation based on fingerprint
    identification and any other method of positive identification.

                           Subtitle F--Other Matters

        SEC. 561. EQUALIZATION OF ACCRUAL OF SERVICE CREDIT FOR OFFICERS
          AND ENLISTED MEMBERS.
        (a) Enlisted Service Credit.--Section 972 of title 10, United
    States Code, is amended--
            (1) by inserting ``(a) Enlisted Members Required To Make Up
        Time Lost.--'' before ``An enlisted member'';
            (2) by striking out paragraphs (3) and (4) and inserting in
        lieu thereof the following:
            ``(3) is confined by military or civilian authorities for more
        than one day in connection with a trial, whether before, during, or
        after the trial; or''; and
            (3) by redesignating paragraph (5) as paragraph (4).
        (b) Officer Service Credit.--Such section is further amended by
    adding at the end the following:
        ``(b) Officers Not Allowed Service Credit for Time Lost.--In the
    case of an officer of an armed force who after the date of the
    enactment of the National Defense Authorization Act for Fiscal Year
    1996--
            ``(1) deserts;
            ``(2) is absent from his organization, station, or duty for
        more than one day without proper authority, as determined by
        competent authority;
            ``(3) is confined by military or civilian authorities for more
        than one day in connection with a trial, whether before, during, or
        after the trial; or
            ``(4) is unable for more than one day, as determined by
        competent authority, to perform his duties because of intemperate
        use of drugs or alcoholic liquor, or because of disease or injury
        resulting from his misconduct;
    the period of such desertion, absence, confinement, or inability to
    perform duties may not be counted in computing, for any purpose other
    than basic pay under section 205 of title 37, the officer's length of
    service.''.
        (c) Clerical Amendments.--(1) The heading of such section is
    amended to read as follows:

    ``Sec. 972. Members: effect of time lost

        (2) The item relating to section 972 in the table of sections at
    the beginning of chapter 49 of such title is amended to read as
    follows:
    ``972. Members: effect of time lost.''.

        (d) Conforming Amendments.--(1) Section 1405(c) is amended--
            (A) by striking out ``Made Up.--Time'' and inserting in lieu
        thereof ``Made Up or Excluded.--(1) Time'';
            (B) by striking out ``section 972'' and inserting in lieu
        thereof ``section 972(a)'';
            (C) by inserting after ``of this title'' the following: ``, or
        required to be made up by an enlisted member of the Navy, Marine
        Corps, or Coast Guard under that section with respect to a period
        of time after the date of the enactment of the National Defense
        Authorization Act for Fiscal Year 1995,''; and
            (D) by adding at the end the following:
        ``(2) Section 972(b) of this title excludes from computation of an
    officer's years of service for purposes of this section any time
    identified with respect to that officer under that section.''.
        (2) Chapter 367 of such title is amended--
            (A) in section 3925(b), by striking out ``section 972'' and
        inserting in lieu thereof ``section 972(a)''; and
            (B) by adding at the end of section 3926 the following new
        subsection:
        ``(e) Section 972(b) of this title excludes from computation of an
    officer's years of service for purposes of this section any time
    identified with respect to that officer under that section.''.
        (3)(A) Chapter 571 of such title is amended by inserting after
    section 6327 the following new section:

    ``Sec. 6328. Computation of years of service: voluntary retirement

        ``(a) Enlisted Members.--Time required to be made up under section
    972(a) of this title after the date of the enactment of this section
    may not be counted in computing years of service under this chapter.
        ``(b) Officers.--Section 972(b) of this title excludes from
    computation of an officer's years of service for purposes of this
    chapter any time identified with respect to that officer under that
    section.''.
        (B) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 6327 the
    following new item:
    ``6328. Computation of years of service: voluntary retirement.''.

        (4) Chapter 867 of such title is amended--
            (A) in section 8925(b), by striking out ``section 972'' and
        inserting in lieu thereof ``section 972(a)''; and
            (B) by adding at the end of section 8926 the following new
        subsection:
        ``(d) Section 972(b) of this title excludes from computation of an
    officer's years of service for purposes of this section any time
    identified with respect to that officer under that section.''.
        (e) Effective Date and Applicability.--The amendments made by this
    section shall take effect on the date of the enactment of this Act and
    shall apply to any period of time covered by section 972 of title 10,
    United States Code, that occurs after that date.

    SEC. 562. ARMY RANGER TRAINING.

        (a) In General.--(1) Chapter 401 of title 10, United States Code,
    is amended by inserting after section 4302 the following new section:

    ``Sec. 4303. Army Ranger training: instructor staffing; safety

        ``(a) Levels of Personnel Assigned.--(1) The Secretary of the Army
    shall ensure that at all times the number of officers, and the number
    of enlisted members, permanently assigned to the Ranger Training
    Brigade (or other organizational element of the Army primarily
    responsible for Ranger student training) are not less than 90 percent
    of the required manning spaces for officers, and for enlisted members,
    respectively, for that brigade.
        ``(2) In this subsection, the term `required manning spaces' means
    the number of personnel spaces for officers, and the number of
    personnel spaces for enlisted members, that are designated in Army
    authorization documents as the number required to accomplish the
    missions of a particular unit or organization.
        ``(b) Training Safety Cells.--(1) The Secretary of the Army shall
    establish and maintain an organizational entity known as a `safety
    cell' as part of the organizational elements of the Army responsible
    for conducting each of the three major phases of the Ranger Course. The
    safety cell in each different geographic area of Ranger Course training
    shall be comprised of personnel who have sufficient continuity and
    experience in that geographic area of such training to be knowledgeable
    of the local conditions year-round, including conditions of terrain,
    weather, water, and climate and other conditions and the potential
    effect on those conditions on Ranger student training and safety.
        ``(2) Members of each safety cell shall be assigned in sufficient
    numbers to serve as advisers to the officers in charge of the major
    phase of Ranger training and shall assist those officers in making
    informed daily `go' and `no-go' decisions regarding training in light
    of all relevant conditions, including conditions of terrain, weather,
    water, and climate and other conditions.''.
        (2) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 4302 the
    following new item:
    ``4303. Army Ranger training: instructor staffing; safety.''.

        (b) Accomplishment of Required Manning Levels.--(1) If, as of the
    date of the enactment of this Act, the number of officers, and the
    number of enlisted members, permanently assigned to the Army Ranger
    Training Brigade are not each at (or above) the requirement specified
    in subsection (a) of section 4303 of title 10, United States Code, as
    added by subsection (a), the Secretary of the Army shall--
            (A) take such steps as necessary to accomplish that requirement
        within 12 months after such date of enactment; and
            (B) submit to Congress, not later than 90 days after such date
        of enactment, a plan to achieve and maintain that requirement.
        (2) The requirement specified in subsection (a) of section 4303 of
    title 10, United States Code, as added by subsection (a), shall expire
    two years after the date (on or after the date of the enactment of this
    Act) on which the required manning levels referred to in paragraph (1)
    are first attained.
        (c) GAO Assessment.--(1) Not later than one year after the date of
    the enactment of this Act, the Comptroller General shall submit to
    Congress a report providing a preliminary assessment of the
    implementation and effectiveness of all corrective actions taken by the
    Army as a result of the February 1995 accident at the Florida Ranger
    Training Camp, including an evaluation of the implementation of the
    required manning levels established by subsection (a) of section 4303
    of title 10, United States Code, as added by subsection (a).
        (2) At the end of the two-year period specified in subsection
    (b)(2), the Comptroller General shall submit to Congress a report
    providing a final assessment of the matters covered in the preliminary
    report under paragraph (1). The report shall include the Comptroller
    General's recommendation as to the need to continue required statutory
    manning levels as specified in subsection (a) of section 4303 of title
    10, United States Code, as added by subsection (a).
        (d) Sense of Congress.--In light of requirement that particularly
    dangerous training activities (such as Ranger training, Search,
    Evasion, Rescue, and Escape (SERE) training, SEAL training, and
    Airborne training) must be adequately manned and resourced to ensure
    safety and effective oversight, it is the sense of Congress--
            (1) that the Secretary of Defense, in conjunction with the
        Secretaries of the military departments, should review and, if
        necessary, enhance oversight of all such training activities; and
            (2) that organizations similar to the safety cells required to
        be established for Army Ranger training in section 4303 of title
        10, United States Code, as added by subsection (a), should (when
        appropriate) be used for all such training activities.
        SEC. 563. SEPARATION IN CASES INVOLVING EXTENDED CONFINEMENT.
        (a) Separation.--(1)(A) Chapter 59 of title 10, United States Code,
    is amended by inserting after section 1166 the following new section:
    ``Sec. 1167. Members under confinement by sentence of court-martial:
         separation after six months confinement
        ``Except as otherwise provided in regulations prescribed by the
    Secretary of Defense, a member sentenced by a court-martial to a period
    of confinement for more than six months may be separated from the
    member's armed force at any time after the sentence to confinement has
    become final under chapter 47 of this title and the person has served
    in confinement for a period of six months.''.
        (B) The table of sections at the beginning of chapter 59 of such
    title is amended by inserting after the item relating to section 1166
    the following new item:
    ``1167. Members under confinement by sentence of court-martial:
              separation after six months confinement.''.

        (2)(A) Chapter 1221 of title 10, United States Code, is amended by
    adding at the end the following:
    ``Sec. 12687. Reserves under confinement by sentence of court-martial:
          separation after six months confinement
        ``Except as otherwise provided in regulations prescribed by the
    Secretary of Defense, a Reserve sentenced by a court-martial to a
    period of confinement for more than six months may be separated from
    that Reserve's armed force at any time after the sentence to
    confinement has become final under chapter 47 of this title and the
    Reserve has served in confinement for a period of six months.''.
        (B) The table of sections at the beginning of chapter 1221 of such
    title is amended by inserting at the end thereof the following new
    item:
    ``12687. Reserves under confinement by sentence of court-martial:
              separation after six months confinement.''.

        (b) Drop From Rolls.--(1) Section 1161(b) of title 10, United
    States Code, is amended by striking out ``or (2)'' and inserting in
    lieu thereof ``(2) who may be separated under section 1178 of this
    title by reason of a sentence to confinement adjudged by a court-
    martial, or (3)''.
        (2) Section 12684 of such title is amended--
            (A) by striking out ``or'' at the end of paragraph (1);
            (B) by redesignating paragraph (2) as paragraph (3); and
            (C) by inserting after paragraph (1) the following new
        paragraph (2):
            ``(2) who may be separated under section 12687 of this title by
        reason of a sentence to confinement adjudged by a court-martial;
        or''.

    SEC. 564. LIMITATIONS ON REDUCTIONS IN MEDICAL PERSONNEL.

        (a) In General.--(1) Chapter 3 of title 10, United States Code, is
    amended by inserting after section 129b the following new section:

    ``Sec. 129c. Medical personnel: limitations on reductions

        ``(a) Limitation on Reduction.--For any fiscal year, the Secretary
    of Defense may not make a reduction in the number of medical personnel
    of the Department of Defense described in subsection (b) unless the
    Secretary makes a certification for that fiscal year described in
    subsection (c).
        ``(b) Covered Reductions.--Subsection (a) applies to a reduction in
    the number of medical personnel of the Department of Defense as of the
    end of a fiscal year to a number that is less than--
            ``(1) 95 percent of the number of such personnel at the end of
        the immediately preceding fiscal year; or
            ``(2) 90 percent of the number of such personnel at the end of
        the third fiscal year preceding the fiscal year.
        ``(c) Certification.--A certification referred to in subsection (a)
    with respect to reductions in medical personnel of the Department of
    Defense for any fiscal year is a certification by the Secretary of
    Defense to Congress that--
            ``(1) the number of medical personnel being reduced is excess
        to the current and projected needs of the Department of Defense;
        and
            ``(2) such reduction will not result in an increase in the cost
        of health care services provided under the Civilian Health and
        Medical Program of the Uniformed Services under chapter 55 of this
        title.
        ``(d) Policy for Implementing Reductions.--Whenever the Secretary
    of Defense directs that there be a reduction in the total number of
    military medical personnel of the Department of Defense, the Secretary
    shall require that the reduction be carried out so as to ensure that
    the reduction is not exclusively or disproportionately borne by any one
    of the armed forces and is not exclusively or disproportionately borne
    by either the active or the reserve components.
        ``(e) Definition.--In this section, the term `medical personnel'
    means--
            ``(1) the members of the armed forces covered by the term
        `medical personnel' as defined in section 115a(g)(2) of this title;
        and
            ``(2) the civilian personnel of the Department of Defense
        assigned to military medical facilities.''.
        (2) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 129b the
    following new item:
    ``129c. Medical personnel: limitations on reductions.''.

        (b) Special Transition Rule for Fiscal Year 1996.--For purposes of
    applying subsection (b)(1) of section 129c of title 10, United States
    Code, as added by subsection (a), during fiscal year 1996, the number
    against which the percentage limitation of 95 percent is computed shall
    be the number of medical personnel of the Department of Defense as of
    the end of fiscal year 1994 (rather than the number as of the end of
    fiscal year 1995).
        (c) Report on Planned Reductions.--(1) Not later than March 1,
    1996, 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 the reduction of the number of
    medical personnel of the Department of Defense over the five-year
    period beginning on October 1, 1996.
        (2) The Secretary shall prepare the plan through the Assistant
    Secretary of Defense having responsibility for health affairs, who
    shall consult in the preparation of the plan with the Surgeon General
    of the Army, the Surgeon General of the Navy, and the Surgeon General
    of the Air Force.
        (3) For purposes of this subsection, the term ``medical personnel
    of the Department of Defense'' shall have the meaning given the term
    ``medical personnel'' in section 129c(e) of title 10, United States
    Code, as added by subsection (a).
        (d) Repeal of Superseded Provisions of Law.--The following
    provisions of law are repealed:
            (1) Section 711 of the National Defense Authorization Act for
        Fiscal Year 1991 (10 U.S.C. 115 note).
            (2) Subsection (b) of section 718 of the National Defense
        Authorization Act for Fiscal Years 1992 and 1993 (Public Law 102-
        190; 10 U.S.C. 115 note).
            (3) Section 518 of the National Defense Authorization Act for
        Fiscal Year 1993 (Public Law 102-484; 10 U.S.C. 12001 note).
        SEC. 565. SENSE OF CONGRESS CONCERNING PERSONNEL TEMPO RATES.
        (a) Findings.--Congress makes the following findings:
            (1) Excessively high personnel tempo rates for members of the
        Armed Forces resulting from high-tempo unit operations degrades
        unit readiness and morale and eventually can be expected to
        adversely affect unit retention.
            (2) The Armed Forces have begun to develop methods to measure
        and manage personnel tempo rates.
            (3) The Armed Forces have attempted to reduce operations and
        personnel tempo for heavily tasked units by employing alternative
        capabilities and reducing tasking requirements.
        (b) Sense of Congress.--The Secretary of Defense should continue to
    enhance the knowledge within the Armed Forces of personnel tempo and to
    improve the techniques by which personnel tempo is defined and managed
    with a view toward establishing and achieving reasonable personnel
    tempo standards for all personnel, regardless of service, unit, or
    assignment.
        SEC. 566. SEPARATION BENEFITS DURING FORCE REDUCTION FOR OFFICERS
          OF COMMISSIONED CORPS OF NATIONAL OCEANIC AND ATMOSPHERIC
          ADMINISTRATION.
        (a) Separation Benefits.--Subsection (a) of section 3 of the Act of
    August 10, 1956 (33 U.S.C. 857a), is amended by adding at the end the
    following new paragraph:
            ``(15) Section 1174a, special separation benefits (except that
        benefits under subsection (b)(2)(B) of such section are subject to
        the availability of appropriations for such purpose and are
        provided at the discretion of the Secretary of Commerce).''.
        (b) Technical Corrections.--Such section is further
    amended--
            (1) by striking out ``Coast and Geodetic Survey'' in
        subsections (a) and (b) and inserting in lieu thereof
        ``commissioned officer corps of the National Oceanic and
        Atmospheric Administration''; and
            (2) in subsection (a), by striking out ``including changes in
        those rules made after the effective date of this Act'' in the
        matter preceding paragraph (1) and inserting in lieu thereof ``as
        those provisions are in effect from time to time''.
        (c) Temporary Early Retirement Authority.--Section 4403 (other than
    subsection (f)) of the National Defense Authorization Act for Fiscal
    Year 1993 (Public Law 102-484; 106 Stat. 2702; 10 U.S.C. 1293 note)
    shall apply to the commissioned officer corps of the National Oceanic
    and Atmospheric Administration in the same manner and to the same
    extent as that section applies to the Department of Defense. The
    Secretary of Commerce shall implement the provisions of that section
    with respect to such commissioned officer corps and shall apply the
    provisions of that section to the provisions of the Coast and Geodetic
    Survey Commissioned Officers' Act of 1948 relating to the retirement of
    members of such commissioned officer corps.
        (d) Effective Date.--This section shall apply only to members of
    the commissioned officer corps of the National Oceanic and Atmospheric
    Administration who are separated after September 30, 1995.
        SEC. 567. DISCHARGE OF MEMBERS OF THE ARMED FORCES WHO HAVE THE
          HIV-1 VIRUS.
        (a) In General.--(1) Section 1177 of title 10, United States Code,
    is amended to read as follows:
    ``Sec. 1177. Members infected with HIV-1 virus: mandatory discharge or
         retirement
        ``(a) Mandatory Separation.--A member of the armed forces who is
    HIV-positive shall be separated. Such separation shall be made on a
    date determined by the Secretary concerned, which shall be as soon as
    practicable after the date on which the determination is made that the
    member is HIV-positive and not later than the last day of the sixth
    month beginning after such date.
        ``(b) Form of Separation.--If a member to be separated under this
    section is eligible to retire under any provision of law or to be
    transferred to the Fleet Reserve or Fleet Marine Corps Reserve, the
    member shall be so retired or so transferred. Otherwise, the member
    shall be discharged. The characterization of the service of the member
    shall be determined without regard to the determination that the member
    is HIV-positive.
        ``(c) Deferral of Separation for Members in 18-Year Retirement
    Sanctuary.--In the case of a member to be discharged under this section
    who on the date on which the member is to be discharged is within two
    years of qualifying for retirement under any provision of law, or of
    qualifying for transfer to the Fleet Reserve or Fleet Marine Corps
    Reserve under section 6330 of this title, the member may, as determined
    by the Secretary concerned, be retained on active duty until the member
    is qualified for retirement or transfer to the Fleet Reserve or Fleet
    Marine Corps Reserve, as the case may be, and then be so retired or
    transferred, unless the member is sooner retired or discharged under
    any other provision of law.
        ``(d) Separation To Be Considered Involuntary.--A separation under
    this section shall be considered to be an involuntary separation for
    purposes of any other provision of law.
        ``(e) Entitlement to Health Care.--A member separated under this
    section shall be entitled to medical and dental care under chapter 55
    of this title to the same extent and under the same conditions as a
    person who is entitled to such care under section 1074(b) of this
    title.
        ``(f) Counseling About Available Medical Care.--A member to be
    separated under this section shall be provided information, in writing,
    before such separation of the available medical care (through the
    Department of Veterans Affairs and otherwise) to treat the member's
    condition. Such information shall include identification of specific
    medical locations near the member's home of record or point of
    discharge at which the member may seek necessary medical care.
        ``(g) HIV-Positive Members.--A member shall be considered to be
    HIV-positive for purposes of this section if there is serologic
    evidence that the member is infected with the virus known as Human
    Immunodeficiency Virus-1 (HIV-1), the virus most commonly associated
    with the acquired immune deficiency syndrome (AIDS) in the United
    States. Such serologic evidence shall be considered to exist if there
    is a reactive result given by an enzyme-linked immunosorbent assay
    (ELISA) serologic test that is confirmed by a reactive and diagnostic
    immunoelectrophoresis test (Western blot) on two separate samples. Any
    such serologic test must be one that is approved by the Food and Drug
    Administration.''.
        (2) The item relating to such section in the table of sections at
    the beginning of chapter 59 of such title is amended to read as
    follows:
    ``1177. Members infected with HIV-1 virus: mandatory discharge or
              retirement.''.

        (b) Effective Date.--Section 1177 of title 10, United States Code,
    as amended by subsection (a), applies with respect to members of the
    Armed Forces determined to be HIV-positive before, on, or after the
    date of the enactment of this Act. In the case of a member of the Armed
    Forces determined to be HIV-positive before such date, the deadline for
    separation of the member under subsection (a) of such section, as so
    amended, shall be determined from the date of the enactment of this Act
    (rather than from the date of such determination).
        SEC. 568. REVISION AND CODIFICATION OF MILITARY FAMILY ACT AND
          MILITARY CHILD CARE ACT.
        (a) In General.--(1) Subtitle A of title 10, United States Code, is
    amended by inserting after chapter 87 the following new chapter:

         ``CHAPTER 88--MILITARY FAMILY PROGRAMS AND MILITARY CHILD CARE

    ``Subchapter
                                                                        Sec.
     Military Family Programs...........................................1781
     Military Child Care................................................1791

                    ``SUBCHAPTER I--MILITARY FAMILY PROGRAMS

    ``Sec.
    ``1781. Office of Family Policy.
    ``1782. Surveys of military families.
    ``1783. Family members serving on advisory committees.
    ``1784. Employment opportunities for military spouses.
    ``1785. Youth sponsorship program.
    ``1786. Dependent student travel within the United States.
    ``1787. Reporting of child abuse.

    ``Sec. 1781. Office of Family Policy

        ``(a) Establishment.--There is in the Office of the Secretary of
    Defense an Office of Family Policy (hereinafter in this section
    referred to as the `Office'). The Office shall be under the Assistant
    Secretary of Defense for Force Management and Personnel.
        ``(b) Duties.--The Office--
            ``(1) shall coordinate programs and activities of the military
        departments to the extent that they relate to military families;
        and
            ``(2) shall make recommendations to the Secretaries of the
        military departments with respect to programs and policies
        regarding military families.
        ``(c) Staff.--The Office shall have not less than five professional
    staff members.

    ``Sec. 1782. Surveys of military families

        ``(a) Authority.--The Secretary of Defense may conduct surveys of
    members of the armed forces on active duty or in an active status,
    members of the families of such members, and retired members of the
    armed forces to determine the effectiveness of Federal programs
    relating to military families and the need for new programs.
        ``(b) Responses To Be Voluntary.--Responses to surveys conducted
    under this section shall be voluntary.
        ``(c) Federal Recordkeeping Requirements.--With respect to such
    surveys, family members of members of the armed forces and reserve and
    retired members of the armed forces shall be considered to be employees
    of the United States for purposes of section 3502(3)(A)(i) of title 44.

    ``Sec. 1783. Family members serving on advisory committees

        ``A committee within the Department of Defense which advises or
    assists the Department in the performance of any function which affects
    members of military families and which includes members of military
    families in its membership shall not be considered an advisory
    committee under section 3(2) of the Federal Advisory Committee Act (5
    U.S.C. App.) solely because of such membership.

    ``Sec. 1784. Employment opportunities for military spouses

        ``(a) Authority.--The President shall order such measures as the
    President considers necessary to increase employment opportunities for
    spouses of members of the armed forces. Such measures may include--
            ``(1) excepting, pursuant to section 3302 of title 5, from the
        competitive service positions in the Department of Defense located
        outside of the United States to provide employment opportunities
        for qualified spouses of members of the armed forces in the same
        geographical area as the permanent duty station of the members; and
            ``(2) providing preference in hiring for positions in
        nonappropriated fund activities to qualified spouses of members of
        the armed forces stationed in the same geographical area as the
        nonappropriated fund activity for positions in wage grade UA-8 and
        below and equivalent positions and for positions paid at hourly
        rates.
        ``(b) Regulations.--The Secretary of Defense shall prescribe
    regulations--
            ``(1) to implement such measures as the President orders under
        subsection (a);
            ``(2) to provide preference to qualified spouses of members of
        the armed forces in hiring for any civilian position in the
        Department of Defense if the spouse is among persons determined to
        be best qualified for the position and if the position is located
        in the same geographical area as the permanent duty station of the
        member;
            ``(3) to ensure that notice of any vacant position in the
        Department of Defense is provided in a manner reasonably designed
        to reach spouses of members of the armed forces whose permanent
        duty stations are in the same geographic area as the area in which
        the position is located; and
            ``(4) to ensure that the spouse of a member of the armed forces
        who applies for a vacant position in the Department of Defense
        shall, to the extent practicable, be considered for any such
        position located in the same geographic area as the permanent duty
        station of the member.
        ``(c) Status of Preference Eligibles.--Nothing in this section
    shall be construed to provide a spouse of a member of the armed forces
    with preference in hiring over an individual who is a preference
    eligible.

    ``Sec. 1785. Youth sponsorship program

        ``(a) Requirement.--The Secretary of Defense shall require that
    there be at each military installation a youth sponsorship program to
    facilitate the integration of dependent children of members of the
    armed forces into new surroundings when moving to that military
    installation as a result of a parent's permanent change of station.
        ``(b) Description of Programs.--The program at each installation
    shall provide for involvement of dependent children of members
    presently stationed at the military installation and shall be directed
    primarily toward children in their preteen and teenage years.

    ``Sec. 1786. Dependent student travel within the United States

        ``Funds available to the Department of Defense for the travel and
    transportation of dependent students of members of the armed forces
    stationed overseas may be obligated for transportation allowances for
    travel within or between the contiguous States.

    ``Sec. 1787. Reporting of child abuse

        ``(a) In General.--The Secretary of Defense shall request each
    State to provide for the reporting to the Secretary of any report the
    State receives of known or suspected instances of child abuse and
    neglect in which the person having care of the child is a member of the
    armed forces (or the spouse of the member).
        ``(b) Definition.--In this section, the term `child abuse and
    neglect' has the meaning provided in section 3(1) of the Child Abuse
    Prevention and Treatment Act (42 U.S.C. 5102).

                      ``SUBCHAPTER II--MILITARY CHILD CARE

    ``Sec.
    ``1791. Funding for military child care.
    ``1792. Child care employees.
    ``1793. Parent fees.
    ``1794. Child abuse prevention and safety at facilities.
    ``1795. Parent partnerships with child development centers.
    ``1796. Subsidies for family home day care.
    ``1797. Early childhood education program.
    ``1798. Definitions.

    ``Sec. 1791. Funding for military child care

        ``It is the policy of Congress that the amount of appropriated
    funds available during a fiscal year for operating expenses for
    military child development centers and programs shall be not less than
    the amount of child care fee receipts that are estimated to be received
    by the Department of Defense during that fiscal year.

    ``Sec. 1792. Child care employees

        ``(a) Required Training.--(1) The Secretary of Defense shall
    prescribe regulations implementing, a training program for child care
    employees. Those regulations shall apply uniformly among the military
    departments. Subject to paragraph (2), satisfactory completion of the
    training program shall be a condition of employment of any person as a
    child care employee.
        ``(2) Under those regulations, the Secretary shall require that
    each child care employee complete the training program not later than
    six months after the date on which the employee is employed as a child
    care employee.
        ``(3) The training program established under this subsection shall
    cover, at a minimum, training in the following:
            ``(A) Early childhood development.
            ``(B) Activities and disciplinary techniques appropriate to
        children of different ages.
            ``(C) Child abuse prevention and detection.
            ``(D) Cardiopulmonary resuscitation and other emergency medical
        procedures.
        ``(b) Training and Curriculum Specialists.--(1) The Secretary of
    Defense shall require that at least one employee at each military child
    development center be a specialist in training and curriculum
    development. The Secretary shall ensure that such employees have
    appropriate credentials and experience.
        ``(2) The duties of such employees shall include the following:
            ``(A) Special teaching activities at the center.
            ``(B) Daily oversight and instruction of other child care
        employees at the center.
            ``(C) Daily assistance in the preparation of lesson plans.
            ``(D) Assistance in the center's child abuse prevention and
        detection program.
            ``(E) Advising the director of the center on the performance of
        other child care employees.
        ``(3) Each employee referred to in paragraph (1) shall be an
    employee in a competitive service position.
        ``(c) Competitive Rates of Pay.--For the purpose of providing
    military child development centers with a qualified and stable civilian
    workforce, employees at a military installation who are directly
    involved in providing child care and are paid from nonappropriated
    funds--
            ``(1) in the case of entry-level employees, shall be paid at
        rates of pay competitive with the rates of pay paid to other entry-
        level employees at that installation who are drawn from the same
        labor pool; and
            ``(2) in the case of other employees, shall be paid at rates of
        pay substantially equivalent to the rates of pay paid to other
        employees at that installation with similar training, seniority,
        and experience.
        ``(d) Employment Preference Program for Military Spouses.--(1) The
    Secretary of Defense shall conduct a program under which qualified
    spouses of members of the armed forces shall be given a preference in
    hiring for the position of child care employee in a position paid from
    nonappropriated funds if the spouse is among persons determined to be
    best qualified for the position.
        ``(2) A spouse who is provided a preference under this subsection
    at a military child development center may not be precluded from
    obtaining another preference, in accordance with section 1794 of this
    title, in the same geographic area as the military child development
    center.
        ``(e) Competitive Service Position Defined.--In this section, the
    term `competitive service position' means a position in the competitive
    service, as defined in section 2102(a)(1) of title 5.

    ``Sec. 1793. Parent fees

        ``(a) In General.--The Secretary of Defense shall prescribe
    regulations establishing fees to be charged parents for the attendance
    of children at military child development centers. Those regulations
    shall be uniform for the military departments and shall require that,
    in the case of children who attend the centers on a regular basis, the
    fees shall be based on family income.
        ``(b) Local Waiver Authority.--The Secretary of Defense may provide
    authority to installation commanders, on a case-by-case basis, to
    establish fees for attendance of children at child development centers
    at rates lower than those prescribed under subsection (a) if the rates
    prescribed under subsection (a) are not competitive with rates at local
    non-military child development centers.

    ``Sec. 1794. Child abuse prevention and safety at facilities

        ``(a) Child Abuse Task Force.--The Secretary of Defense shall
    maintain a special task force to respond to allegations of widespread
    child abuse at a military installation. The task force shall be
    composed of personnel from appropriate disciplines, including, where
    appropriate, medicine, psychology, and childhood development. In the
    case of such allegations, the task force shall provide assistance to
    the commander of the installation, and to parents at the installation,
    in helping them to deal with such allegations.
        ``(b) National Hotline.--(1) The Secretary of Defense shall
    maintain a national telephone number for persons to use to report
    suspected child abuse or safety violations at a military child
    development center or family home day care site. The Secretary shall
    ensure that such reports may be made anonymously if so desired by the
    person making the report. The Secretary shall establish procedures for
    following up on complaints and information received over that number.
        ``(2) The Secretary shall publicize the existence of the number.
        ``(c) Assistance From Local Authorities.--The Secretary of Defense
    shall prescribe regulations requiring that, in a case of allegations of
    child abuse at a military child development center or family home day
    care site, the commander of the military installation or the head of
    the task force established under subsection (a) shall seek the
    assistance of local child protective authorities if such assistance is
    available.
        ``(d) Safety Regulations.--The Secretary of Defense shall prescribe
    regulations on safety and operating procedures at military child
    development centers. Those regulations shall apply uniformly among the
    military departments.
        ``(e) Inspections.--The Secretary of Defense shall require that
    each military child development center be inspected not less often than
    four times a year. Each such inspection shall be unannounced. At least
    one inspection a year shall be carried out by a representative of the
    installation served by the center, and one inspection a year shall be
    carried out by a representative of the major command under which that
    installation operates.
        ``(f) Remedies for Violations.--(1) Except as provided in paragraph
    (2), any violation of a safety, health, or child welfare law or
    regulation (discovered at an inspection or otherwise) at a military
    child development center shall be remedied immediately.
        ``(2) In the case of a violation that is not life threatening, the
    commander of the major command under which the installation concerned
    operates may waive the requirement that the violation be remedied
    immediately for a period of up to 90 days beginning on the date of the
    discovery of the violation. If the violation is not remedied as of the
    end of that 90-day period, the military child development center shall
    be closed until the violation is remedied. The Secretary of the
    military department concerned may waive the preceding sentence and
    authorize the center to remain open in a case in which the violation
    cannot reasonably be remedied within that 90-day period or in which
    major facility reconstruction is required.

    ``Sec. 1795. Parent partnerships with child development centers

        ``(a) Parent Boards.--The Secretary of Defense shall require that
    there be established at each military child development center a board
    of parents, to be composed of parents of children attending the center.
    The board shall meet periodically with staff of the center and the
    commander of the installation served by the center for the purpose of
    discussing problems and concerns. The board, together with the staff of
    the center, shall be responsible for coordinating the parent
    participation program described in subsection (b).
        ``(b) Parent Participation Programs.--The Secretary of Defense
    shall require the establishment of a parent participation program at
    each military child development center. As part of such program, the
    Secretary of Defense may establish fees for attendance of children at
    such a center, in the case of parents who participate in the parent
    participation program at that center, at rates lower than the rates
    that otherwise apply.

    ``Sec. 1796. Subsidies for family home day care

        ``The Secretary of Defense may use appropriated funds available for
    military child care purposes to provide assistance to family home day
    care providers so that family home day care services can be provided to
    members of the armed forces at a cost comparable to the cost of
    services provided by military child development centers. The Secretary
    shall prescribe regulations for the provision of such assistance.

    ``Sec. 1797. Early childhood education program

        ``The Secretary of Defense shall require that all military child
    development centers meet standards of operation necessary for
    accreditation by an appropriate national early childhood programs
    accrediting body.

    ``Sec. 1798. Definitions

        ``In this subchapter:
            ``(1) The term `military child development center' means a
        facility on a military installation (or on property under the
        jurisdiction of the commander of a military installation) at which
        child care services are provided for members of the armed forces or
        any other facility at which such child care services are provided
        that is operated by the Secretary of a military department.
            ``(2) The term `family home day care' means home-based child
        care services that are provided for members of the armed forces by
        an individual who (A) is certified by the Secretary of the military
        department concerned as qualified to provide those services, and
        (B) provides those services on a regular basis for compensation.
            ``(3) The term `child care employee' means a civilian employee
        of the Department of Defense who is employed to work in a military
        child development center (regardless of whether the employee is
        paid from appropriated funds or nonappropriated funds).
            ``(4) The term `child care fee receipts' means those
        nonappropriated funds that are derived from fees paid by members of
        the armed forces for child care services provided at military child
        development centers.''.
        (2) The tables of chapters at the beginning of subtitle A, and at
    the beginning of part II of subtitle A, of title 10, United States
    Code, are amended by inserting after the item relating to chapter 87
    the following new item:

    ``88. Military Family Programs and Military Child Care...........1781''.

        (b) Report on Five-Year Demand for Child Care.--(1) Not later than
    the date of the submission of the budget for fiscal year 1997 pursuant
    to section 1105 of title 31, United States Code, the Secretary of
    Defense shall submit to Congress a report on the expected demand for
    child care by military and civilian personnel of the Department of
    Defense during fiscal years 1997 through 2001.
        (2) The report shall include--
            (A) a plan for meeting the expected child care demand
        identified in the report; and
            (B) an estimate of the cost of implementing that plan.
        (3) The report shall also include a description of methods for
    monitoring family home day care programs of the military
    departments.
        (c) Plan for Implementation of Accreditation Requirement.--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 carrying out the requirements of section
    1787 of title 10,United States Code, as added by subsection (a). The
    plan shall be submitted not later than April 1, 1997.
        (d) Continuation of Delegation of Authority With Respect to Hiring
    Preference for Qualified Military Spouses.--The provisions of Executive
    Order No. 12568, issued October 2, 1986 (10 U.S.C. 113 note), shall
    apply as if the reference in that Executive order to section 806(a)(2)
    of the Department of Defense Authorization Act of 1986 refers to
    section 1784 of title 10, United States Code, as added by subsection
    (a).
        (e) Repealer.--The following provisions of law are repealed:
            (1) The Military Family Act of 1985 (title VIII of Public Law
        99-145; 10 U.S.C. 113 note).
            (2) The Military Child Care Act of 1989 (title XV of Public Law
        101-189; 10 U.S.C. 113 note).
        SEC. 569. DETERMINATION OF WHEREABOUTS AND STATUS OF MISSING
          PERSONS.
        (a) Purpose.--The purpose of this section is to ensure that any
    member of the Armed Forces (and any Department of Defense civilian
    employee or contractor employee who serves with or accompanies the
    Armed Forces in the field under orders) who becomes missing or
    unaccounted for is ultimately accounted for by the United States and,
    as a general rule, is not declared dead solely because of the passage
    of time.
        (b) In General.--(1) Part II of subtitle A of title 10, United
    States Code, is amended by inserting after chapter 75 the following new
    chapter:

                         ``CHAPTER 76--MISSING PERSONS

    ``Sec.
    ``1501. System for accounting for missing persons.
    ``1502. Missing persons: initial report.
    ``1503. Actions of Secretary concerned; initial board inquiry.
    ``1504. Subsequent board of inquiry.
    ``1505. Further review.
    ``1506. Personnel files.
    ``1507. Recommendation of status of death.
    ``1508. Judicial review.
    ``1509. Preenactment, special interest cases.
    ``1510. Applicability to Coast Guard.
    ``1511. Return alive of person declared missing or dead.
    ``1512. Effect on State law.
    ``1513. Definitions.

    ``Sec. 1501. System for accounting for missing persons

        ``(a) Office for Missing Personnel.--(1) The Secretary of Defense
    shall establish within the Office of the Secretary of Defense an office
    to have responsibility for Department of Defense policy relating to
    missing persons. Subject to the authority, direction, and control of
    the Secretary of Defense, the responsibilities of the office shall
    include--
            ``(A) policy, control, and oversight within the Department of
        Defense of the entire process for investigation and recovery
        related to missing persons (including matters related to search,
        rescue, escape, and evasion); and
            ``(B) coordination for the Department of Defense with other
        departments and agencies of the United States on all matters
        concerning missing persons.
        ``(2) In carrying out the responsibilities of the office
    established under this subsection, the head of the office shall be
    responsible for the coordination for such purposes within the
    Department of Defense among the military departments, the Joint Staff,
    and the commanders of the combatant commands.
        ``(3) The office shall establish policies, which shall apply
    uniformly throughout the Department of Defense, for personnel recovery
    (including search, rescue, escape, and evasion).
        ``(4) The office shall establish procedures to be followed by
    Department of Defense boards of inquiry, and by officials reviewing the
    reports of such boards, under this chapter.
        ``(b) Uniform DoD Procedures.--(1) The Secretary of Defense shall
    prescribe procedures, to apply uniformly throughout the Department of
    Defense, for--
            ``(A) the determination of the status of persons described in
        subsection (c); and
            ``(B) for the systematic, comprehensive, and timely collection,
        analysis, review, dissemination, and periodic update of information
        related to such persons.
        ``(2) Such procedures may provide for the delegation by the
    Secretary of Defense of any responsibility of the Secretary under this
    chapter to the Secretary of a military department.
        ``(3) Such procedures shall be prescribed in a single directive
    applicable to all elements of the Department of Defense.
        ``(4) As part of such procedures, the Secretary may provide for the
    extension, on a case-by-case basis, of any time limit specified in
    section 1502, 1503, or 1504 of this title. Any such extension may not
    be for a period in excess of the period with respect to which the
    extension is provided. Subsequent extensions may be provided on the
    same basis.
        ``(c) Covered Persons.--Section 1502 of this title applies in the
    case of the following persons:
            ``(1) Any member of the armed forces on active duty who becomes
        involuntarily absent as a result of a hostile action, or under
        circumstances suggesting that the involuntary absence is a result
        of a hostile action, and whose status is undetermined or who is
        unaccounted for.
            ``(2) Any civilian employee of the Department of Defense, and
        any employee of a contractor of the Department of Defense, who
        serves with or accompanies the armed forces in the field under
        orders who becomes involuntarily absent as a result of a hostile
        action, or under circumstances suggesting that the involuntary
        absence is a result of a hostile action, and whose status is
        undetermined or who is unaccounted for.
        ``(d) Primary Next of Kin.--The individual who is primary next of
    kin of any person prescribed in subsection (c) may for purposes of this
    chapter designate another individual to act on behalf of that
    individual as primary next of kin. The Secretary concerned shall treat
    an individual so designated as if the individual designated were the
    primary next of kin for purposes of this chapter. A designation under
    this subsection may be revoked at any time by the person who made the
    designation.
        ``(e) Termination of Applicability of Procedures When Missing
    Person Is Accounted for.--The provisionsof this chapter relating to
    boards of inquiry and to the actions by the Secretary concerned on the
    reports of those boards shall cease to apply in the case of a missing
    person upon the person becoming accounted for or otherwise being
    determined to be in a status other than missing.
        ``(f) Secretary Concerned.--In this chapter, the term `Secretary
    concerned' includes, in the case of a civilian employee of the
    Department of Defense or contractor of the Department of Defense, the
    Secretary of the military department or head of the element of the
    Department of Defense employing the employee or contracting with the
    contractor, as the case may be.

    ``Sec. 1502. Missing persons: initial report

        ``(a) Preliminary Assessment and Recommendation by Commander.--
    After receiving information that the whereabouts and status of a person
    described in section 1501(c) of this title is uncertain and that the
    absence of the person may be involuntary, the commander of the unit,
    facility, or area to or in which the person is assigned shall make a
    preliminary assessment of the circumstances. If, as a result of that
    assessment, the commander concludes that the person is missing, the
    commander shall--
            ``(1) recommend that the person be placed in a missing status;
        and
            ``(2) not later than 48 hours after receiving such information,
        transmit a report containing that recommendation to the theater
        component commander with jurisdiction over the missing person in
        accordance with procedures prescribed under section 1501(b) of this
        title.
        ``(b) Transmission Through Theater Component Commander.--Upon
    reviewing a report under subsection (a) recommending that a person be
    placed in a missing status, the theater component commander shall
    ensure that all necessary actions are being taken, and all appropriate
    assets are being used, to resolve the status of the missing person. Not
    later than 14 days after receiving the report, the theater component
    commander shall forward the report to the Secretary of Defense or the
    Secretary concerned in accordance with procedures prescribed under
    section 1501(b) of this title. The theater component commander shall
    include with such report a certification that all necessary actions are
    being taken, and all appropriate assets are being used, to resolve the
    status of the missing person.
        ``(c) Safeguarding and Forwarding of Records.--A commander making a
    preliminary assessment under subsection (a) with respect to a missing
    person shall (in accordance with procedures prescribed under section
    1501 of this title) safeguard and forward for official use any
    information relating to the whereabouts and status of the missing
    person that results from the preliminary assessment or from actions
    taken to locate the person. The theater component commander through
    whom the report with respect to the missing person is transmitted under
    subsection (b) shall ensure that all pertinent information relating to
    the whereabouts and status of the missing person that results from the
    preliminary assessment or from actions taken to locate the person is
    properly safeguarded to avoid loss, damage, or modification.

    ``Sec. 1503. Actions of Secretary concerned; initial board inquiry

        ``(a) Determination by Secretary.--Upon receiving a recommendation
    under section 1502(b) of this title that a person be placed in a
    missing status, the Secretary receiving the recommendation shall review
    the recommendation and, not later than 10 days after receiving such
    recommendation, shall appoint a board under this section to conduct an
    inquiry into the whereabouts and status of the person.
        ``(b) Inquiries Involving More Than One Missing Person.--If it
    appears to the Secretary who appoints a board under this section that
    the absence or missing status of two or more persons is factually
    related, the Secretary may appoint a single board under this section to
    conduct the inquiry into the whereabouts and status of all such
    persons.
        ``(c) Composition.--(1) A board appointed under this section to
    inquire into the whereabouts and status of a person shall consist of at
    least one individual described in paragraph (2) who has experience with
    and understanding of military operations or activities similar to the
    operation or activity in which the person
    disappeared.
        ``(2) An individual referred to in paragraph (1) is the following:
            ``(A) A military officer, in the case of an inquiry with
        respect to a member of the armed forces.
            ``(B) A civilian, in the case of an inquiry with respect to a
        civilian employee of the Department of Defense or of a contractor
        of the Department of Defense.
        ``(3) An individual may be appointed as a member of a board under
    this section only if the individual has a security clearance that
    affords the individual access to all information relating to the
    whereabouts and status of the missing persons covered by the inquiry.
        ``(4) A Secretary appointing a board under this subsection shall,
    for purposes of providing legal counsel to the board, assign to the
    board a judge advocate, or appoint to the board an attorney, who has
    expertise in the law relating to missing persons, the determination of
    death of such persons, and the rights of family members and dependents
    of such persons.
        ``(d) Duties of Board.--A board appointed to conduct an inquiry
    into the whereabouts and status of a missing person under this section
    shall--
            ``(1) collect, develop, and investigate all facts and evidence
        relating to the disappearance or whereabouts and status of the
        person;
            ``(2) collect appropriate documentation of the facts and
        evidence covered by the board's investigation;
            ``(3) analyze the facts and evidence, make findings based on
        that analysis, and draw conclusions as to the current whereabouts
        and status of the person; and
            ``(4) with respect to each person covered by the inquiry,
        recommend to the Secretary who appointed the board that--
                ``(A) the person be placed in a missing status; or
                ``(B) the person be declared to have deserted, to be absent
            without leave, or (subject to the requirements of section 1507
            of this title) to be dead.
        ``(e) Board Proceedings.--During the proceedings of an inquiry
    under this section, a board shall--
            ``(1) collect, record, and safeguard all facts, documents,
        statements, photographs, tapes, messages, maps, sketches, reports,
        and other information (whether classified or unclassified) relating
        to the whereabouts and status of each person covered by the
        inquiry;
            ``(2) gather information relating to actions taken to find the
        person, including any evidence of the whereabouts and status of the
        person arising from such actions; and
            ``(3) maintain a record of its proceedings.
        ``(f) Counsel for Missing Person.--(1) The Secretary appointing a
    board to conduct an inquiry under this section shall appoint counsel to
    represent each person covered by the inquiry or, in a case covered by
    subsection (b), one counsel to represent all persons covered by the
    inquiry. Counsel appointed under this paragraph may be referred to as
    `missing person's counsel' and represents the interests of the person
    covered by the inquiry (and not any member of the person's family or
    other interested parties).
        ``(2) To be appointed as a missing person's counsel, a person
    must--
            ``(A) have the qualifications specified in section 827(b) of
        this title (article 27(b) of the Uniform Code of Military Justice)
        for trial counsel or defense counsel detailed for a general
        court-martial;
            ``(B) have a security clearance that affords the counsel access
        to all information relating to the whereabouts and status of the
        person or persons covered by the inquiry; and
            ``(C) have expertise in the law relating to missing persons,
        the determination of the death of such persons, and the rights of
        family members and dependents of such persons.
        ``(3) A missing person's counsel--
            ``(A) shall have access to all facts and evidence considered by
        the board during the proceedings under the inquiry for which the
        counsel is appointed;
            ``(B) shall observe all official activities of the board during
        such proceedings;
            ``(C) may question witnesses before the board; and
            ``(D) shall monitor the deliberations of the board.
        ``(4) A missing person's counsel shall assist the board in ensuring
    that all appropriate information concerning the case is collected,
    logged, filed, and safeguarded.
        ``(5) A missing person's counsel shall review the report of the
    board under subsection (h) and submit to the Secretary concerned who
    appointed the board an independent review of that report. That review
    shall be made an official part of the record of the board.
        ``(g) Access to Proceedings.--The proceedings of a board during an
    inquiry under this section shall be closed to the public (including,
    with respect to the person covered by the inquiry, the primary next of
    kin, other members of the immediate family, and any other previously
    designated person of the person).
        ``(h) Report.--(1) A board appointed under this section shall
    submit to the Secretary who appointed the board a report on the inquiry
    carried out by the board. The report shall include--
            ``(A) a discussion of the facts and evidence considered by the
        board in the inquiry;
            ``(B) the recommendation of the board under subsection (d) with
        respect to each person covered by the report; and
            ``(C) disclosure of whether classified documents and
        information were reviewed by the board or were otherwise used by
        the board in forming recommendations under subparagraph (B).
        ``(2) A board shall submit a report under this subsection with
    respect to the inquiry carried out by the board not later than 30 days
    after the date of the appointment of the board to carry out the
    inquiry. The report may include a classified annex.
        ``(3) The Secretary of Defense shall prescribe procedures for the
    release of a report submitted under this subsection with respect to a
    missing person. Such procedures shall provide that the report may not
    be made public (except as provided for in subsection (j)) until one
    year after the date on which the report is submitted.
        ``(i) Determination by Secretary.--(1) Not later than 30 days after
    receiving a report from a board under subsection (h), the Secretary
    receiving the report shall review the report.
        ``(2) In reviewing a report under paragraph (1), the Secretary
    shall determine whether or not the report is complete and free of
    administrative error. If the Secretary determines that the report is
    incomplete, or that the report is not free of administrative error, the
    Secretary may return the report to the board for further action on the
    report by the board.
        ``(3) Upon a determination by the Secretary that a report reviewed
    under this subsection is complete and free of administrative error, the
    Secretary shall make a determination concerning the status of each
    person covered by the report, including whether the person shall--
            ``(A) be declared to be missing;
            ``(B) be declared to have deserted;
            ``(C) be declared to be absent without leave; or
            ``(D) be declared to be dead.
        ``(j) Report to Family Members and Other Interested Persons.--Not
    later than 30 days after the date on which the Secretary concerned
    makes a determination of the status of a person under subsection (i),
    the Secretary shall take reasonable actions to--
            ``(1) provide to the primary next of kin, the other members of
        the immediate family, and any other previously designated person of
        the person--
                ``(A) an unclassified summary of the unit commander's
            report with respect to the person under section 1502(a) of this
            title; and
                ``(B) the report of the board (including the names of the
            members of the board) under subsection (h); and
            ``(2) inform each individual referred to in paragraph (1) that
        the United States will conduct a subsequent inquiry into the
        whereabouts and status of the person on or about one year after the
        date of the first official notice of the disappearance of the
        person, unless information becomes available sooner that may result
        in a change in status of the person.
        ``(k) Treatment of Determination.--Any determination of the status
    of a missing person under subsection (i) shall be treated as the
    determination of the status of the person by all departments and
    agencies of the United States.

    ``Sec. 1504. Subsequent board of inquiry

        ``(a) Additional Board.--If information that may result in a change
    of status of a person covered by a determination under section 1503(i)
    of this title becomes available within one year after the date of the
    transmission of a report with respect to the person under section
    1502(a)(2) of this title, the Secretary concerned shall appoint a board
    under this section to conduct an inquiry into the information.
        ``(b) Date of Appointment.--The Secretary concerned shall appoint a
    board under this section to conduct an inquiry into the whereabouts and
    status of a missing person on or about one year after the date of the
    transmission of a report concerning the person under section 1502(a)(2)
    of this title.
        ``(c) Combined Inquiries.--If it appears to the Secretary concerned
    that the absence or status of two or more persons is factually related,
    the Secretary may appoint one board under this section to conduct the
    inquiry into the whereabouts and status of such persons.
        ``(d) Composition.--(1) A board appointed under this section shall
    be composed of at least three members as follows:
            ``(A) In the case of a board that will inquire into the
        whereabouts and status of one or more members of the armed forces
        (and no civilians described in subparagraph (B)), the board shall
        be composed of officers having the grade of major or lieutenant
        commander or above.
            ``(B) In the case of a board that will inquire into the
        whereabouts and status of one or more civilian employees of the
        Department of Defense or contractors of the Department of Defense
        (and no members of the armed forces), the board shall be composed
        of--
                ``(i) not less than three employees of the Department of
            Defense whose rate of annual pay is equal to or greater than
            the rate of annual pay payable for grade GS-13 of the General
            Schedule under section 5332 of title 5; and
                ``(ii) such members of the armed forces as the Secretary
            considers advisable.
            ``(C) In the case of a board that will inquire into the
        whereabouts and status of both one or more members of the armed
        forces and one or more civilians described in subparagraph (B)--
                ``(i) the board shall include at least one officer
            described in subparagraph (A) and at least one employee of the
            Department of Defense described in subparagraph (B)(i); and
                ``(ii) the ratio of such officers to such employees on the
            board shall be roughly proportional to the ratio of the number
            of members of the armed forces who are subjects of the board's
            inquiry to the number of civilians who are subjects of the
            board's inquiry.
        ``(2) The Secretary concerned shall designate one member of a board
    appointed under this section as president of the board. The president
    of the board shall have a security clearance that affords the president
    access to all information relating to the whereabouts and status of
    each person covered by the inquiry.
        ``(3) One member of each board appointed under this subsection
    shall be an individual who--
            ``(A) has an occupational specialty similar to that of one or
        more of the persons covered by the inquiry; and
            ``(B) has an understanding of and expertise in the type of
        official activities that one or more such persons were engaged in
        at the time such person or persons disappeared.
        ``(4) The Secretary who appoints a board under this subsection
    shall, for purposes of providing legal counsel to the board, assign to
    the board a judge advocate, or appoint to the board an attorney, with
    the same qualifications as specified in section 1503(c)(4) of this
    title.
        ``(e) Duties of Board.--A board appointed under this section to
    conduct an inquiry into the whereabouts and status of a person shall--
            ``(1) review the reports with respect to the person transmitted
        under section 1502(a)(2) of this title and submitted under section
        1503(h) of this title;
            ``(2) collect and evaluate any document, fact, or other
        evidence with respect to the whereabouts and status of the person
        that has become available since the determination of the status of
        the person under section 1503 of this title;
            ``(3) draw conclusions as to the whereabouts and status of the
        person;
            ``(4) determine on the basis of the activities under paragraphs
        (1) and (2) whether the status of the person should be continued or
        changed; and
            ``(5) submit to the Secretary concerned a report describing the
        findings and conclusions of the board, together with a
        recommendation for a determination by the Secretary concerning the
        whereabouts and status of the person.
        ``(f) Counsel for Missing Persons.--(1) When the Secretary
    concerned appoints a board to conduct an inquiry under this section,
    the Secretary shall appoint counsel to represent each person covered by
    the inquiry.
        ``(2) A person appointed as counsel under this subsection shall
    meet the qualifications and have the duties set forth in section
    1503(f) of this title for a missing person's counsel appointed under
    that section.
        ``(3) The review of the report of a board on an inquiry that is
    submitted by such counsel shall be made an official part of the record
    of the board with respect to the inquiry.
        ``(g) Attendance of Family Members and Certain Other Interested
    Persons at Proceedings.--(1) With respect to any person covered by an
    inquiry under this section, the primary next of kin, other members of
    the immediate family, and any other previously designated person of the
    person may attend the proceedings of the board during the inquiry.
        ``(2) The Secretary concerned shall take reasonable actions to
    notify each individual referred to in paragraph (1) of the opportunity
    to attend the proceedings of a board. Such notice shall be provided not
    less than 60 days before the first meeting of the board.
        ``(3) An individual who receives notice under paragraph (2) shall
    notify the Secretary of the intent, if any, of that individual to
    attend the proceedings of the board not later than 21 days after the
    date on which the individual receives the notice.
        ``(4) Each individual who notifies the Secretary under paragraph
    (3) of the individual's intent to attend the proceedings of the board--
            ``(A) in the case of an individual who is the primary next of
        kin or the previously designated person, may attend the proceedings
        of the board with private counsel;
            ``(B) shall have access to the personnel file of the missing
        person, to unclassified reports, if any, of the board appointed
        under section 1503 of this title to conduct the inquiry into the
        whereabouts and status of the person, and to any other unclassified
        information or documents relating to the whereabouts and status of
        the person;
            ``(C) shall be afforded the opportunity to present information
        at the proceedings of the board that such individual considers to
        be relevant to those proceedings; and
            ``(D) subject to paragraph (5), shall be given the opportunity
        to submit in writing an objection to any recommendation of the
        board under subsection (i) as to the status of the missing person.
        ``(5)(A) Individuals who wish to file objections under paragraph
    (4)(D) to any recommendation of the board shall--
            ``(i) submit a letter of intent to the president of the board
        not later than 15 days after the date on which the recommendations
        are made; and
            ``(ii) submit to the president of the board the objections in
        writing not later than 30 days after the date on which the
        recommendations are made.
        ``(B) The president of a board shall include any objections to a
    recommendation of the board that are submitted to the president of the
    board under subparagraph (A) in the report of the board containing the
    recommendation under subsection (i).
        ``(6) An individual referred to in paragraph (1) who attends the
    proceedings of a board under this subsection shall not be entitled to
    reimbursement by the United States for any costs (including travel,
    lodging, meals, local transportation, legal fees, transcription costs,
    witness expenses, and other expenses) incurred by that individual in
    attending such proceedings.
        ``(h) Availability of Information to Boards.--(1) In conducting
    proceedings in an inquiry under this section, a board may secure
    directly from any department or agency of the United States any
    information that the board considers necessary in order to conduct the
    proceedings.
        ``(2) Upon written request from the president of a board, the head
    of a department or agency of the United States shall release
    information covered by the request to the board. In releasing such
    information, the head of the department or agency shall--
            ``(A) declassify to an appropriate degree classified
        information; or
            ``(B) release the information in a manner not requiring the
        removal of markings indicating the classified nature of the
        information.
        ``(3)(A) If a request for information under paragraph (2) covers
    classified information that cannot be declassified, or if the
    classification markings cannot be removed before release from the
    information covered by the request, or if the material cannot be
    summarized in a manner that prevents the release of classified
    information, the classified information shall be made available only to
    the president of the board making the request and the counsel for the
    missing person appointed under subsection (f).
        ``(B) The president of a board shall close to persons who do not
    have appropriate security clearances the proceeding of the board at
    which classified information is discussed. Participants at a proceeding
    of a board at which classified information is discussed shall comply
    with all applicable laws and regulations relating to the disclosure of
    classified information. The Secretary concerned shall assist the
    president of a board in ensuring that classified information is not
    compromised through board proceedings.
        ``(i) Recommendation on Status.--(1) Upon completion of an inquiry
    under this subsection, a board shall make a recommendation as to the
    current whereabouts and status of each missing person covered by the
    inquiry.
        ``(2) A board may not recommend under paragraph (1) that a person
    be declared dead unless in making the recommendation the board complies
    with section 1507 of this title.
        ``(j) Report.--A board appointed under this section shall submit to
    the Secretary concerned a report on the inquiry carried out by the
    board, together with the evidence considered by the board during the
    inquiry. The report may include a classified annex.
        ``(k) Actions by Secretary Concerned.--(1) Not later than 30 days
    after the receipt of a report from a board under subsection (j), the
    Secretary shall review--
            ``(A) the report;
            ``(B) the review of the report submitted to the Secretary under
        subsection (f)(3) by the counsel for each person covered by the
        report; and
            ``(C) the objections, if any, to the report submitted to the
        president of the board under subsection (g)(5).
        ``(2) In reviewing a report under paragraph (1) (including the
    objections described in subparagraph (C) of that paragraph), the
    Secretary concerned shall determine whether or not the report is
    complete and free of administrative error. If the Secretary determines
    that the report is incomplete, or that the report is not free of
    administrative error, the Secretary may return the report to the board
    for further action on the report by the board.
        ``(3) Upon a determination by the Secretary that a report reviewed
    under this subsection is complete and free of administrative error, the
    Secretary shall make a determination concerning the status of each
    person covered by the report.
        ``(l) Report to Family Members and Other Interested Persons.--Not
    later than 60 days after the date on which the Secretary concerned
    makes a determination with respect to a missing person under subsection
    (k), the Secretary shall--
            ``(1) provide the report reviewed by the Secretary in making
        the determination to the primary next of kin, the other members of
        the immediate family, and any other previously designated person of
        the person; and
            ``(2) in the case of a person who continues to be in a missing
        status, inform each individual referred to in paragraph (1) that
        the United States will conduct a further investigation into the
        whereabouts and status of the person as specified in section 1505
        of this title.
        ``(m) Treatment of Determination.--Any determination of the status
    of a missing person under subsection (k) shall supersede the
    determination of the status of the person under section 1503 of this
    title and shall be treated as the determination of the status of the
    person by all departments and agencies of the United States.

    ``Sec. 1505. Further review

        ``(a) Subsequent Review.--The Secretary concerned shall conduct
    subsequent inquiries into the whereabouts and status of any person
    determined by the Secretary under section 1504 of this title to be in a
    missing status.
        ``(b) Frequency of Subsequent Reviews.--(1) In the case of a
    missing person who was last known to be alive or who was last suspected
    of being alive, the Secretary shall appoint a board to conduct an
    inquiry with respect to a person under this
    subsection--
            ``(A) on or about three years after the date of the initial
        report of the disappearance of the person under section 1502(a) of
        this title; and
            ``(B) not later than every three years thereafter.
        ``(2) In addition to appointment of boards under paragraph (1), the
    Secretary shall appoint a board to conduct an inquiry with respect to a
    missing person under this subsection upon receipt of information that
    could result in a change of status of the missing person. When the
    Secretary appoints a board under this paragraph, the time for
    subsequent appointments of a board under paragraph (1)(B) shall be
    determined from the date of the receipt of such information.
        ``(3) The Secretary is not required to appoint a board under
    paragraph (1) with respect to the disappearance of any person--
            ``(A) more than 30 years after the initial report of the
        disappearance of the missing person required by section 1502 of
        this title; or
            ``(B) if, before the end of such 30-year period, the missing
        person is accounted for.
        ``(c) Action Upon Discovery or Receipt of Information.--(1)
    Whenever any United States intelligence agency or other element of the
    Government finds or receives information that may be related to a
    missing person, the information shall promptly be forwarded to the
    office established under section 1501 of this title.
        ``(2) Upon receipt of information under paragraph (1), the head of
    the office established under section 1501 of this title shall as
    expeditiously as possible ensure that the information is added to the
    appropriate case file for that missing person and notify (A) the
    designated missing person's counsel for that person, and (B) the
    primary next of kin and any previously designated person for the
    missing person of the existence of that information.
        ``(3) The head of the office established under section 1501 of this
    title, with the advice of the missing person's counsel notified under
    paragraph (2), shall determine whether the information is significant
    enough to require a board review under this section.
        ``(d) Conduct of Proceedings.--If it is determined that such a
    board should be appointed, the appointment of, and activities before, a
    board appointed under this section shall be governed by the provisions
    of section 1504 of this title with respect to a board appointed under
    that section.

    ``Sec. 1506. Personnel files

        ``(a) Information in Files.--Except as provided in subsections (b),
    (c), and (d), the Secretary concerned shall, to the maximum extent
    practicable, ensure that the personnel file of a missing person
    contains all information in the possession of the United States
    relating to the disappearance and whereabouts and status of the person.
        ``(b) Classified Information.--The Secretary concerned may withhold
    classified information from a personnel file under this section. If the
    Secretary concerned withholds classified information from a personnel
    file, the Secretary shall ensure that the file contains the following:
            ``(1) A notice that the withheld information exists.
            ``(2) A notice of the date of the most recent review of the
        classification of the withheld information.
        ``(c) Protection of Privacy.--The Secretary concerned shall
    maintain personnel files under this section, and shall permit
    disclosure of or access to such files, in accordance with the
    provisions of section 552a of title 5 and with other applicable laws
    and regulations pertaining to the privacy of the persons covered by the
    files.
        ``(d) Privileged Information.--(1) The Secretary concerned shall
    withhold from personnel files under this section, as privileged
    information, debriefing reports provided by missing persons returned to
    United States control which are obtainedunder a promise of
    confidentiality made for the purpose of ensuring the fullest possible
    disclosure of information.
        ``(2) If a debriefing report contains non-derogatory information
    about the status and whereabouts of a missing person other than the
    source of the debriefing report, the Secretary concerned shall prepare
    an extract of the non-derogatory information. That extract, following a
    review by the source of the debriefing report, shall be placed in the
    personnel file of the missing person in such a manner as to protect the
    identity of the source providing the information.
        ``(3) Whenever the Secretary concerned withholds a debriefing
    report from a personnel file under this subsection, the Secretary shall
    ensure that the file contains a notice that withheld information
    exists.
        ``(e) Wrongful Withholding.--Except as provided in subsections (a)
    through (d), any person who knowingly and willfully withholds from the
    personnel file of a missing person any information relating to the
    disappearance or whereabouts and status of a missing person shall be
    fined as provided in title 18 or imprisoned not more than one year, or
    both.
        ``(f) Availability of Information.--The Secretary concerned shall,
    upon request, make available the contents of the personnel file of a
    missing person to the primary next of kin, the other members of the
    immediate family, or any other previously designated person of the
    person.

    ``Sec. 1507. Recommendation of status of death

        ``(a) Requirements Relating to Recommendation.--A board appointed
    under section 1503, 1504, or 1505 of this title may not recommend that
    a person be declared dead unless--
            ``(1) credible evidence exists to suggest that the person is
        dead;
            ``(2) the United States possesses no credible evidence that
        suggests that the person is alive; and
            ``(3) representatives of the United States--
                ``(A) have made a complete search of the area where the
            person was last seen (unless, after making a good faith effort
            to obtain access to such area, such representatives are not
            granted such access); and
                ``(B) have examined the records of the government or entity
            having control over the area where the person was last seen
            (unless, after making a good faith effort to obtain access to
            such records, such representatives are not granted such
            access).
        ``(b) Submittal of Information on Death.--If a board appointed
    under section 1503, 1504, or 1505 of this title makes a recommendation
    that a missing person be declared dead, the board shall include in the
    report of the board with respect to the person under that section the
    following:
            ``(1) A detailed description of the location where the death
        occurred.
            ``(2) A statement of the date on which the death occurred.
            ``(3) A description of the location of the body, if recovered.
            ``(4) If the body has been recovered and is not identifiable
        through visual means, a certification by a practitioner of an
        appropriate forensic science that the body recovered is that of the
        missing person.

    ``Sec. 1508. Judicial review

        ``(a) Right of Review.--A person who is the primary next of kin (or
    the previously designated person) of a person who is the subject of a
    finding described in subsection (b) may obtain judicial review in a
    United States district court of that finding, but only on the basis of
    a claim that there is information that could affect the status of the
    missing person's case that was not adequately considered during the
    administrative review process under this chapter. Any such review shall
    be as provided in section 706 of title 5.
        ``(b) Findings for Which Judicial Review May Be Sought.--Subsection
    (a) applies to the following findings:
            ``(1) A finding by a board appointed under section 1504 or 1505
        of this title that a missing person is dead.
            ``(2) A finding by a board appointed under section 1509 of this
        title that confirms that a missing person formerly declared dead is
        in fact dead.
        ``(c) Subsequent Review.--Appeals from a decision of the district
    court shall be taken to the appropriate United States court of appeals
    and to the Supreme Court as provided by law.

    ``Sec. 1509. Preenactment, special interest cases

        ``(a) Review of Status.--In the case of an unaccounted for person
    covered by section 1501(c) of this title who is described in subsection
    (b), if new information that could change the status of that person is
    found or received by a United States intelligence agency, by a
    Department of Defense agency, or by a person specified in section
    1504(g) of this title, that information shall be provided to the
    Secretary of Defense with a request that the Secretary evaluate the
    information in accordance with sections 1505(c) and 1505(d) of this
    title.
        ``(b) Cases Eligible for Review.--The cases eligible for review
    under this section are the following:
            ``(1) With respect to the Korean conflict, any unaccounted for
        person who was classified as a prisoner of war or as missing in
        action during that conflict and who (A) was known to be or
        suspected to be alive at the end of that conflict, or (B) was
        classified as missing in action and whose capture was possible.
            ``(2) With respect to the Cold War, any unaccounted for person
        who was engaged in intelligence operations (such as aerial `ferret'
        reconnaissance missions over and around the Soviet Union and China)
        during the Cold War.
            ``(3) With respect to the Indochina war era, any unaccounted
        for person who was classified as a prisoner of war or as missing in
        action during the Indochina conflict.
        ``(c) Special Rule for Persons Classified as `KIA/BNR'.--In the
    case of a person described in subsection (b) who was classified as
    `killed in action/body not recovered', the case of that person may be
    reviewed under this section only if the new information referred to in
    subsection (a) is compelling.
        ``(d) Definitions.--In this section:
            ``(1) The term `Korean conflict' means the period beginning on
        June 27, 1950, and ending on January 31, 1955.
            ``(2) The term `Cold War' means the period beginning on
        September 2, 1945, and ending on August 21, 1991.
            ``(3) The term `Indochina war era' means the period beginning
        on July 8, 1959, and ending on May 15, 1975.

    ``Sec. 1510. Applicability to Coast Guard

        ``(a) Designated Officer To Have Responsibility.--The Secretary of
    Transportation shall designate an officer of the Department of
    Transportation to have responsibility within the Department of
    Transportation for matters relating to missing persons who are members
    of the Coast Guard.
        ``(b) Procedures.--The Secretary of Transportation shall prescribe
    procedures for the determination of the status of persons described in
    section 1501(c) of this title who are members of the Coast Guard and
    for the collection, analysis, review, and update of information on such
    persons. To the maximum extent practicable, the procedures prescribed
    under this section shall be similar to the procedures prescribed by the
    Secretary of Defense under section 1501(b) of this title.

    ``Sec. 1511. Return alive of person declared missing or dead

        ``(a) Pay and Allowances.--Any person (except for a person
    subsequently determined to have been absent without leave or a
    deserter) in a missing status or declared dead under subchapter VII of
    chapter 55 of title 5 or chapter 10 of title 37 or by a board appointed
    under this chapter who is found alive and returned to the control of
    the United States shall be paid for the full time of the absence of the
    person while given that status or declared dead under the law and
    regulations relating to the pay and allowances of persons returning
    from a missing status.
        ``(b) Effect on Gratuities Paid as a Result of Status.--Subsection
    (a) shall not be interpreted to invalidate or otherwise affect the
    receipt by any person of a death gratuity or other payment from the
    United States on behalf of a person referred to in subsection (a)
    before the date of the enactment of this chapter.

    ``Sec. 1512. Effect on State law

        ``(a) Nonpreemption of State Authority.--Nothing in this chapter
    shall be construed to invalidate or limit the power of any State court
    or administrative entity, or the power of any court or administrative
    entity of any political subdivision thereof, to find or declare a
    person dead for purposes of such State or political subdivision.
        ``(b) State Defined.--In this section, the term `State' includes
    the District of Columbia, the Commonwealth of Puerto Rico, and any
    territory or possession of the United States.

    ``Sec. 1513. Definitions

        ``In this chapter:
            ``(1) The term `missing person' means--
                ``(A) a member of the Armed Forces on active duty who is in
            a missing status; or
                ``(B) a civilian employee of the Department of Defense or
            an employee of a contractor of the Department of Defense who
            serves with or accompanies the Armed Forces in the field under
            orders and who is in a missing status.
            ``(2) The term `missing status' means the status of a missing
        person who is determined to be absent in a category of any of the
        following:
                ``(A) Missing.
                ``(B) Missing in action.
                ``(C) Interned in a foreign country.
                ``(D) Captured.
                ``(E) Beleaguered.
                ``(F) Besieged.
                ``(G) Detained in a foreign country against that person's
            will.
            ``(3) The term `accounted for', with respect to a person in a
        missing status, means that--
                ``(A) the person is returned to United States control
            alive;
                ``(B) the remains of the person are recovered and, if not
            identifiable through visual means as those of the missing
            person, are identified as those of the missing person by a
            practitioner of an appropriate forensic science; or
                ``(C) credible evidence exists to support another
            determination of the person's status.
            ``(4) The term `primary next of kin', in the case of a missing
        person, means the individual authorized to direct disposition of
        the remains of the person under section 1482(c) of this title.
            ``(5) The term `member of the immediate family', in the case of
        a missing person, means the following:
                ``(A) The spouse of the person.
                ``(B) A natural child, adopted child, stepchild, or
            illegitimate child (if acknowledged by the person or parenthood
            has been established by a court of competent jurisdiction) of
            the person, except that if such child has not attained the age
            of 18 years, the term means a surviving parent or legal
            guardian of such child.
                ``(C) A biological parent of the person, unless legal
            custody of the person by the parent has been previously
            terminated by reason of a court decree or otherwise under law
            and not restored.
                ``(D) A brother or sister of the person, if such brother or
            sister has attained the age of 18 years.
                ``(E) Any other blood relative or adoptive relative of the
            person, if such relative was given sole legal custody of the
            person by a court decree or otherwise under law before the
            person attained the age of 18 years and such custody was not
            subsequently terminated before that time.
            ``(6) The term `previously designated person', in the case of a
        missing person, means an individual designated by the person under
        section 655 of this title for purposes of this chapter.
            ``(7) The term `classified information' means any information
        the unauthorized disclosure of which (as determined under
        applicable law and regulations) could reasonably be expected to
        damage the national security.
            ``(8) The term `theater component commander' means, with
        respect to any of the combatant commands, an officer of any of the
        armed forces who (A) is commander of all forces of that armed force
        assigned to that combatant command, and (B) is directly subordinate
        to the commander of the combatant command.''.
        (2) The tables of chapters at the beginning of subtitle A, and at
    the beginning of part II of subtitle A, of title 10, United States
    Code, are amended by inserting after the item relating to chapter 75
    the following new item:

    ``76. Missing Persons............................................1501''.

        (c) Conforming Amendments.--Chapter 10 of title 37, United States
    Code, is amended as follows:
            (1) Section 555 is amended--
                (A) in subsection (a), by striking out ``When a member''
            and inserting in lieu thereof ``Except as provided in
            subsection (d), when a member''; and
                (B) by adding at the end the following new subsection:
        ``(d) This section does not apply in a case to which section 1502
    of title 10 applies.''.
            (2) Section 552 is amended--
                (A) in subsection (a), by striking out ``for all
            purposes,'' in the second sentence of the matter following
            paragraph (2) and all that follows through the end of the
            sentence and inserting in lieu thereof ``for all purposes.'';
                (B) in subsection (b), by inserting ``or under chapter 76
            of title 10'' before the period at the end; and
                (C) in subsection (e), by inserting ``or under chapter 76
            of title 10'' after ``section 555 of this title''.
            (3) Section 553 is amended--
                (A) in subsection (f), by striking out ``the date the
            Secretary concerned receives evidence that'' and inserting in
            lieu thereof ``the date on which, in a case covered by section
            555 of this title, the Secretary concerned receives evidence,
            or, in a case covered by chapter 76 of title 10, the Secretary
            concerned determines pursuant to that chapter, that''; and
                (B) in subsection (g), by inserting ``or under chapter 76
            of title 10'' after ``section 555 of this title''.
            (4) Section 556 is amended--
                (A) in subsection (a), by inserting after paragraph (7) the
            following:
    ``Paragraphs (1), (5), (6), and (7) only apply with respect to a case
    to which section 555 of this title applies.'';
                (B) in subsection (b), by inserting ``, in a case to which
            section 555 of this title applies,'' after ``When the Secretary
            concerned''; and
                (C) in subsection (h)--
                    (i) in the first sentence, by striking out ``status''
                and inserting in lieu thereof ``pay''; and
                    (ii) in the second sentence, by inserting ``in a case
                to which section 555 of this title applies'' after ``under
                this section''.
        (d) Designation of Persons Having Interest in Status of Service
    Members.--(1) Chapter 37 of title 10, United States Code, is amended by
    adding at the end the following new section:
    ``Sec. 655. Designation of persons having interest in status of a
        missing member
        ``(a) The Secretary concerned shall, upon the enlistment or
    appointment of a person in the armed forces, require that the person
    specify in writing the person or persons, if any, other than that
    person's primary next of kin or immediate family, to whom information
    on the whereabouts and status of the member shall be provided if such
    whereabouts and status are investigated under chapter 76 of this title.
    The Secretary shall periodically, and whenever the member is deployed
    as part of a contingency operation or in other circumstances specified
    by the Secretary, require that such designation be reconfirmed, or
    modified, by the member.
        ``(b) The Secretary concerned shall, upon the request of a member,
    permit the member to revise the person or persons specified by the
    member under subsection (a) at any time. Any such revision shall be in
    writing.''.
        (2) The table of sections at the beginning of such chapter is
    amended by adding at the end the following new item:
    ``655. Designation of persons having interest in status of a missing
              member.''.

        (e) Accounting for Civilian Employee and Contractors of the United
    States.--(1) The Secretary of State shall carry out a comprehensive
    study of the provisions of subchapter VII of chapter 55 of title 5,
    United States Code (commonly referred to as the ``Missing Persons Act
    of 1942'') (5 U.S.C. 5561 et seq.) and any other law or regulation
    establishing procedures for the accounting for of civilian employees of
    the United States or contractors of the United States who serve with or
    accompany the Armed Forces in the field. The purpose of the study shall
    be to determine the means, if any, by which those procedures may be
    improved.
        (2) The Secretary of State shall carry out the study required under
    paragraph (1) in consultation with the Secretary of Defense, the
    Secretary of Transportation, the Director of Central Intelligence, and
    the heads of such other departments and agencies of the United States
    as the President designates for that purpose.
        (3) In carrying out the study, the Secretary of State shall examine
    the procedures undertaken when a civilian employee referred to in
    paragraph (1) becomes involuntarily absent as a result of a hostile
    action, or under circumstances suggesting that the involuntary absence
    is a result of a hostile action, and whose status is undetermined or
    who is unaccounted for, including procedures for--
            (A) search and rescue for the employee;
            (B) determining the status of the employee;
            (C) reviewing and changing the status of the employee;
            (D) determining the rights and benefits accorded to the family
        of the employee; and
            (E) maintaining and providing appropriate access to the records
        of the employee and the investigation into the status of the
        employee.
        (4) Not later than one year after the date of the enactment of this
    Act, the Secretary of State 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 study carried out by the
    Secretary under this subsection. The report shall include the
    recommendations, if any, of the Secretary for legislation to improve
    the procedures covered by the study.
        SEC. 570. ASSOCIATE DIRECTOR OF CENTRAL INTELLIGENCE FOR MILITARY
          SUPPORT.
        Section 102 of the National Security Act of 1947 (50 U.S.C. 403) is
    amended by adding at the end the following:
        ``(e) In the event that neither the Director nor Deputy Director of
    Central Intelligence is a commissioned officer of the Armed Forces, a
    commissioned officer of the Armed Forces appointed to the position of
    Associate Director of Central Intelligence for Military Support, while
    serving in such position, shall not be counted against the numbers and
    percentages of commissioned officers of the rank and grade of such
    officer authorized for the armed force of which such officer is a
    member.''.

          Subtitle G--Support for Non-Department of Defense Activities

    SEC. 571. REPEAL OF CERTAIN CIVIL-MILITARY PROGRAMS.

        (a) Repeal of Civil-Military Cooperative Action Program.--The
    following provisions of law are repealed:
            (1) Section 410 of title 10, United States Code.
            (2) Section 1081(a) of the National Defense Authorization Act
        for Fiscal Year 1993 (Public Law 102-484; 10 U.S.C. 410 note).
        (b) Repeal of Related Provision.--Section 1045 of the National
    Defense Authorization Act for Fiscal Year 1993 (Public Law 102-484; 10
    U.S.C. 410 note), relating to a pilot outreach program to reduce demand
    for illegal drugs, is repealed.
        (c) Technical and Conforming Amendments.--Chapter 20 of title 10,
    United States Code, is amended--
            (1) by striking out the table of subchapters after the chapter
        heading;
            (2) by striking out the subchapter heading for subchapter I;
        and
            (3) by striking out the subchapter heading for subchapter II
        and the table of sections following that subchapter heading.
        SEC. 572. TRAINING ACTIVITIES RESULTING IN INCIDENTAL SUPPORT AND
          SERVICES FOR ELIGIBLE ORGANIZATIONS AND ACTIVITIES OUTSIDE THE
          DEPARTMENT OF DEFENSE.
        (a) In General.--(1) Chapter 101 of title 10, United States Code,
    is amended by adding at the end the following new section:
    ``Sec. 2012. Support and services for eligible organizations and
         activities outside Department of Defense
        ``(a) Authority To Provide Services and Support.--Under regulations
    prescribed by the Secretary of Defense, the Secretary of a military
    department may in accordance with this section authorize units or
    individual members of the armed forces under that Secretary's
    jurisdiction to provide support and services to non-Department of
    Defense organizations and activities specified in subsection (e), but
    only if--
            ``(1) such assistance is authorized by a provision of law
        (other than this section); or
            ``(2) the provision of such assistance is incidental to
        military training.
        ``(b) Scope of Covered Activities Subject to Section.--This section
    does not--
            ``(1) apply to the provision by the Secretary concerned, under
        regulations prescribed by the Secretary of Defense, of customary
        community relations and public affairs activities conducted in
        accordance with Department of Defense policy; or
            ``(2) prohibit the Secretary concerned from encouraging members
        of the armed forces under the Secretary's jurisdiction to provide
        volunteer support for community relations activities under
        regulations prescribed by the Secretary of Defense.
        ``(c) Requirement for Specific Request.--Assistance under
    subsection (a) may only be provided if--
            ``(1) the assistance is requested by a responsible official of
        the organization to which the assistance is to be provided; and
            ``(2) the assistance is not reasonably available from a
        commercial entity or (if so available) the official submitting the
        request for assistance certifies that the commercial entity that
        would otherwise provide such services has agreed to the provision
        of such services by the armed forces.
        ``(d) Relationship to Military Training.--(1) Assistance under
    subsection (a) may only be provided if the following requirements are
    met:
            ``(A) The provision of such assistance--
                ``(i) in the case of assistance by a unit, will accomplish
            valid unit training requirements; and
                ``(ii) in the case of assistance by an individual member,
            will involve tasks directly related to the specific military
            occupational specialty of the member.
            ``(B) The provision of such assistance will not adversely
        affect the quality of training or otherwise interfere with the
        ability of a member or unit of the armed forces to perform the
        military functions of the member or unit.
            ``(C) The provision of such assistance will not result in a
        significant increase in the cost of the training.
        ``(2) Subparagraph (A)(i) of paragraph (1) does not apply in a case
    in which the assistance to be provided consists primarily of military
    manpower and the total amount of such assistance in the case of a
    particular project does not exceed 100 man-hours.
        ``(e) Eligible Entities.--The following organizations and
    activities are eligible for assistance under this section:
            ``(1) Any Federal, regional, State, or local governmental
        entity.
            ``(2) Youth and charitable organizations specified in section
        508 of title 32.
            ``(3) Any other entity as may be approved by the Secretary of
        Defense on a case-by-case basis.
        ``(f) Regulations.--The Secretary of Defense shall prescribe
    regulations governing the provision of assistance under this section.
    The regulations shall include the following:
            ``(1) Rules governing the types of assistance that may be
        provided.
            ``(2) Procedures governing the delivery of assistance that
        ensure, to the maximum extent practicable, that such assistance is
        provided in conjunction with, rather than separate from, civilian
        efforts.
            ``(3) Procedures for appropriate coordination with civilian
        officials to ensure that the assistance--
                ``(A) meets a valid need; and
                ``(B) does not duplicate other available public services.
            ``(4) Procedures to ensure that Department of Defense resources
        are not applied exclusively to the program receiving the
        assistance.
        ``(g) Advisory Councils.--(1) The Secretary of Defense shall
    encourage the establishment of advisory councils at regional, State,
    and local levels, as appropriate, in order to obtain recommendations
    and guidance concerning assistance under this section from persons who
    are knowledgeable about regional, State, and local conditions and
    needs.
        ``(2) The advisory councils should include officials from relevant
    military organizations, representatives of appropriate local, State,
    and Federal agencies, representatives of civic and social service
    organizations, business representatives, and labor representatives.
        ``(3) The Federal Advisory Committee Act (5 U.S.C. App.) shall not
    apply to such councils.
        ``(h) Construction of Provision.--Nothing in this section shall be
    construed as authorizing--
            ``(1) the use of the armed forces for civilian law enforcement
        purposes or for response to natural or manmade disasters; or
            ``(2) the use of Department of Defense personnel or resources
        for any program, project, or activity that is prohibited by law.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding at the end the following new item:
    ``2012. Support and services for eligible organizations and activities
              outside Department of Defense.''.
        SEC. 573. NATIONAL GUARD CIVILIAN YOUTH OPPORTUNITIES PILOT
          PROGRAM.
        (a) Termination.--The authority under subsection (a) of section
    1091 of the National Defense Authorization Act for Fiscal Year 1993
    (Public Law 102-484; 32 U.S.C. 501 note) to carry out a pilot program
    under that section is hereby continued through the end of the 18-month
    period beginning on the date of the enactment of this Act and such
    authority shall terminate as of the end of that period.
        (b) Limitation on Number of Programs.--During the period beginning
    on the date of the enactment of this Act and ending on the termination
    of the pilot program under subsection (a), the number of programs
    carried out under subsection (d) of that section as part of the pilot
    program may not exceed the number of such programs as of September 30,
    1995.
        SEC. 574. TERMINATION OF FUNDING FOR OFFICE OF CIVIL-MILITARY
          PROGRAMS IN OFFICE OF THE SECRETARY OF DEFENSE.
        No funds may be obligated or expended after the date of the
    enactment of this Act (1) for the office that as of the date of the
    enactment of this Act is designated, within the Office of the Assistant
    Secretary of Defense for Reserve Affairs, as the Office of Civil-
    Military Programs, or (2) for any other entity within the Office of the
    Secretary of Defense that has an exclusive or principal mission of
    providing centralized direction for activities under section 2012 of
    title 10, United States Code, as added by section 572.

              TITLE VI--COMPENSATION AND OTHER PERSONNEL BENEFITS
                         Subtitle A--Pay and Allowances

    SEC. 601. MILITARY PAY RAISE FOR FISCAL YEAR 1996.

        (a) Rescission of Prior Section 1009 Adjustment.--The adjustment
    made as of January 1, 1996, pursuant to section 4 of Executive Order
    No. 12984 (issued December 28, 1995), in elements of compensation of
    members of the uniformed services pursuant to section 1009 of title 37,
    United States Code, is hereby rescinded.
        (b) Increase in Basic Pay and BAS.--The rates of basic pay and
    basic allowance for subsistence of members of the uniformed services,
    as in effect on December 31, 1995, are hereby increased by 2.4 percent.
        (c) Increase in BAQ.--The rates of basic allowance for quarters of
    members of the uniformed services, as in effect on December 31, 1995,
    are hereby increased by 5.2 percent.
        (d) Effective Date.--This section shall take effect as of January
    1, 1996.
        SEC. 602. LIMITATION ON BASIC ALLOWANCE FOR SUBSISTENCE FOR MEMBERS
          RESIDING WITHOUT DEPENDENTS IN GOVERNMENT QUARTERS.
        (a) Percentage Limitation.--Subsection (b) of section 402 of title
    37, United States Code, is amended by adding after the last sentence
    the following new paragraph:
        ``(4) In the case of enlisted members of the Army, Navy, Air Force,
    or Marine Corps who, when present at their permanent duty station,
    reside without dependents in Government quarters, the Secretary
    concerned may not provide a basic allowance for subsistence to more
    than 12 percent of such members under the jurisdiction of the Secretary
    concerned. The Secretary concerned may exceed such percentage if the
    Secretary determines that compliance would increase costs to the
    Government, would impose financial hardships on members otherwise
    entitled to a basic allowance for subsistence, or would reduce the
    quality of life for such members. This paragraph shall not apply to
    members described in the first sentence when the members are not
    residing at their permanent duty station. The Secretary concerned shall
    achieve the percentage limitation specified in this paragraph as soon
    as possible after the date of the enactment of this paragraph, but in
    no case later than September 30, 1996.''.
        (b) Stylistic Amendments.--Such subsection is further
    amended--
            (1) by redesignating paragraphs (1), (2), and (3) as
        subparagraphs (A), (B), and (C);
            (2) by inserting ``(1)'' after ``(b)'';
            (3) by designating the text composed of the second, third, and
        fourth sentences as paragraph (2); and
            (4) by designating the text composed of the fifth and sixth
        sentences as paragraph (3).
        (c) Conforming Amendments.--(1) Subsection (e) of such section is
    amended--
            (A) in paragraph (1), by striking out ``the third sentence of
        subsection (b)'' and inserting in lieu thereof ``subsection
        (b)(2)''; and
            (B) in paragraph (2), by striking out ``subsection (b)'' and
        inserting in lieu thereof ``subsection (b)(2)''.
        (2) Section 1012 of title 37, United States Code, is amended by
    striking out ``the last sentence of section 402(b)'' and inserting in
    lieu thereof ``section 402(b)(3)''.
        (d) Report Required.--Not later than March 31, 1996, the Secretary
    of Defense shall submit to Congress a report identifying, for the Army,
    Navy, Air Force, and Marine Corps--
            (1) the number of members who reside without dependents in
        Government quarters at their permanent duty stations and receive a
        basic allowance for subsistence under section 402 of title 37,
        United States Code;
            (2) such number as a percentage of the total number of members
        who reside without dependents in Government
        quarters;
            (3) a recommended maximum percentage of the members residing
        without dependents in Government quarters at their permanent duty
        station who should receive a basic allowance for subsistence; and
            (4) the reasons such maximum percentage is recommended.
        SEC. 603. ELECTION OF BASIC ALLOWANCE FOR QUARTERS INSTEAD OF
          ASSIGNMENT TO INADEQUATE QUARTERS.
        (a) Election Authorized.--Section 403(b) of title 37, United States
    Code, is amended--
            (1) by inserting ``(1)'' after ``(b)'';
            (2) by designating the second sentence as paragraph (2) and, as
        so designated, by striking out ``However, subject'' and inserting
        in lieu thereof ``Subject''; and
            (3) by adding at the end the following new paragraph:
        ``(3) A member without dependents who is in pay grade E-6 and who
    is assigned to quarters of the United States that do not meet the
    minimum adequacy standards established by the Department of Defense for
    members in such pay grade, or to a housing facility under the
    jurisdiction of a uniformed service that does not meet such standards,
    may elect not to occupy such quarters or facility and instead to
    receive the basic allowance for quarters prescribed for the member's
    pay grade by this section.''.
        (b) Effective Date.--The amendments made by this section shall take
    effect on July 1, 1996.
        SEC. 604. PAYMENT OF BASIC ALLOWANCE FOR QUARTERS TO MEMBERS IN PAY
          GRADE E-6 WHO ARE ASSIGNED TO SEA DUTY.
        (a) Payment Authorized.--Section 403(c)(2) of title 37, United
    States Code, is amended--
            (1) in the first sentence, by striking out ``E-7'' and
        inserting in lieu thereof ``E-6''; and
            (2) in the second sentence, by striking out ``E-6'' and
        inserting in lieu thereof ``E-5''.
        (b) Effective Date.--The amendments made by this section shall take
    effect on July 1, 1996.
        SEC. 605. LIMITATION ON REDUCTION OF VARIABLE HOUSING ALLOWANCE FOR
          CERTAIN MEMBERS.
        (a) Limitation on Reduction in VHA.--(1) Subsection (c)(3) of
    section 403a of title 37, United States Code, is amended by adding at
    the end the following new sentence: ``However, so long as a member of a
    uniformed service retains uninterrupted eligibility to receive a
    variable housing allowance within an area and the member's certified
    housing costs are not reduced (as indicated by certifications provided
    by the member under subsection (b)(4)), the monthly amount of a
    variable housing allowance under this section for the member within
    that area may not be reduced as a result of systematic adjustments
    required by changes in housing costs within that area.''.
        (2) The amendment made by paragraph (1) shall apply for fiscal
    years after fiscal year 1995.
        (b) Effect on Total Amount Available for VHA.--Subsection (d)(3) of
    such section is amended by inserting after the first sentence the
    following new sentence: ``In addition, the total amount determined
    under paragraph (1) shall be adjusted to ensure that sufficient amounts
    are available to allow payment of any additional amounts of variable
    housing allowance necessary as a result of the requirements of the
    second sentence of subsection (c)(3).''.
        (c) Report on Implementation.--Not later than June 1, 1996, the
    Secretary of Defense shall submit to Congress a report describing the
    procedures to be used to implement the amendments made by this section
    and the costs of such amendments.
        (d) Resolving VHA Inadequacies in High Housing Cost Areas.--If the
    Secretary of Defense determines that, despite the amendments made by
    this section, inadequacies exist in the provision of variable housing
    allowances under section 403a of title 37, United States Code, the
    Secretary shall submit to Congress a report containing a legislative
    proposal to address the inadequacies. The Secretary shall make the
    determination required by this subsection and submit the report, if
    necessary, not later than May 31, 1996.
        SEC. 606. CLARIFICATION OF LIMITATION ON ELIGIBILITY FOR FAMILY
          SEPARATION ALLOWANCE.
        Section 427(b)(4) of title 37, United States Code, is amended in
    the first sentence by inserting ``paragraph (1)(A) of'' after ``not
    entitled to an allowance under''.

               Subtitle B--Bonuses and Special and Incentive Pays

    SEC. 611. EXTENSION OF CERTAIN BONUSES FOR RESERVE FORCES.

        (a) Selected Reserve Reenlistment Bonus.--Section 308b(f) of title
    37, United States Code, is amended by striking out ``September 30,
    1996'' and inserting in lieu thereof ``September 30, 1997''.
        (b) Selected Reserve Enlistment Bonus.--Section 308c(e) of title
    37, United States Code, is amended by striking out ``September 30,
    1996'' and inserting in lieu thereof ``September 30, 1997''.
        (c) Selected Reserve Affiliation Bonus.--Section 308e(e) of title
    37, United States Code, is amended by striking out ``September 30,
    1996'' and inserting in lieu thereof ``September 30, 1997''.
        (d) Ready Reserve Enlistment and Reenlistment Bonus.--Section
    308h(g) of title 37, United States Code, is amended by striking out
    ``September 30, 1996'' and inserting in lieu thereof ``September 30,
    1997''.
        (e) Prior Service Enlistment Bonus.--Section 308i(i) of title 37,
    United States Code, is amended by striking out ``September 30, 1996''
    and inserting in lieu thereof ``September 30, 1997''.
        SEC. 612. EXTENSION OF CERTAIN BONUSES AND SPECIAL PAY 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, 1996'' and inserting in lieu thereof ``September 30, 1997''.
        (b) Accession Bonus for Registered Nurses.--Section 302d(a)(1) of
    title 37, United States Code, is amended by striking out ``September
    30, 1996'' and inserting in lieu thereof ``September 30, 1997''.
        (c) Incentive Special Pay for Nurse Anesthetists.--Section
    302e(a)(1) of title 37, United States Code, is amended by striking out
    ``September 30, 1996'' and inserting in lieu thereof ``September 30,
    1997''.
        SEC. 613. EXTENSION OF AUTHORITY 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, 1995,''
    and inserting in lieu thereof ``September 30, 1997''.
        (b) Reenlistment Bonus for Active Members.--Section 308(g) of title
    37, United States Code, is amended by striking out ``September 30,
    1996'' and inserting in lieu thereof ``September 30, 1997''.
        (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, 1996'' and inserting in lieu
    thereof ``September 30, 1997''.
        (d) Special Pay for Enlisted Members of the Selected Reserve
    Assigned to Certain High Priority Units.--Section 308d(c) of title 37,
    United States Code, is amended by striking out ``September 30, 1996''
    and inserting in lieu thereof ``September 30, 1997''.
        (e) 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, 1996'' and inserting in lieu
    thereof ``September 30, 1997''.
        (f) Nuclear Career Accession Bonus.--Section 312b(c) of title 37,
    United States Code, is amended by striking out ``September 30, 1996''
    and inserting in lieu thereof ``September 30, 1997''.
        (g) Nuclear Career Annual Incentive Bonus.--Section 312c(d) of
    title 37, United States Code, is amended by striking out ``October 1,
    1996'' and inserting in lieu thereof ``October 1, 1997''.
        (h) 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, 1996'' and
    inserting in lieu thereof ``October 1, 1997''.
        (i) Coverage of Period of Lapsed Agreement Authority.--(1) In the
    case of an officer described in section 301b(b) of title 37, United
    States Code, who executes an agreement described in paragraph (2)
    during the 90-day period beginning on the date of the enactment of this
    Act, the Secretary concerned may treat the agreement for purposes of
    the retention bonus authorized under the agreement as having been
    executed and accepted on the first date on which the officer would have
    qualified for such an agreement had the amendment made by subsection
    (a) taken effect on October 1, 1995.
        (2) An agreement referred to in this subsection is a service
    agreement with the Secretary concerned that is a condition for the
    payment of a retention bonus under section 301b of title 37, United
    States Code.
        (3) For purposes of this subsection, the term ``Secretary
    concerned'' has the meaning given that term in section 101(5) of title
    37, United States Code.
        SEC. 614. CODIFICATION AND EXTENSION OF SPECIAL PAY FOR CRITICALLY
          SHORT WARTIME HEALTH SPECIALISTS IN THE SELECTED RESERVES.
        (a) Special Pay Authorized.--(1) Chapter 5 of title 37, United
    States Code, is amended by inserting after section 302f the following
    new section:
    ``Sec. 302g. Special pay: Selected Reserve health care professionals in
        critically short wartime specialties
        ``(a) Special Pay Authorized.--An officer of a reserve component of
    the armed forces described in subsection (b) who executes a written
    agreement under which the officer agrees to serve in the Selected
    Reserve of an armed force for a period of not less than one year nor
    more than three years, beginning on the date the officer accepts the
    award of special pay under this section, may be paid special pay at an
    annual rate not to exceed $10,000.
        ``(b) Eligible Officers.--An officer referred to in subsection (a)
    is an officer in a health care profession who is qualified in a
    specialty designated by regulations as a critically short wartime
    specialty.
        ``(c) Time for Payment.--Special pay under this section shall be
    paid annually at the beginning of each twelve-month period for which
    the officer has agreed to serve.
        ``(d) Refund Requirement.--An officer who voluntarily terminates
    service in the Selected Reserve of an armed force before the end of the
    period for which a payment was made to such officer under this section
    shall refund to the United States the full amount of the payment made
    for the period on which the payment was based.
        ``(e) Inapplicability of Discharge in Bankruptcy.--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 receiving special pay under the agreement from the debt
    arising under the agreement.
        ``(f) Termination of Agreement Authority.--No agreement under this
    section may be entered into after September 30, 1997.''.
        (2) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 302f the
    following new item:
    ``302g. Special pay: Selected Reserve health care professionals in
              critically short wartime specialties.''.

        (b) Conforming Amendment.--Section 303a of title 37, United States
    Code, is amended by striking out ``302, 302a, 302b, 302c, 302d, 302e,''
    each place it appears and inserting in lieu thereof ``302 through
    302g,''.
        (c) Conforming Repeal.--(1) Section 613 of the National Defense
    Authorization Act, Fiscal Year 1989 (Public Law 100-456; 37 U.S.C. 302
    note) is repealed.
        (2) The provisions of section 613 of the National Defense
    Authorization Act, Fiscal Year 1989, as in effect on the day before the
    date of the enactment of this Act, shall continue to apply to
    agreements entered into under such section before such date.
        SEC. 615. HAZARDOUS DUTY INCENTIVE PAY FOR WARRANT OFFICERS AND
          ENLISTED MEMBERS SERVING AS AIR WEAPONS CONTROLLERS.
        (a) Inclusion of Additional Members.--Subsection (a)(11) of section
    301 of title 37, United States Code, is amended by striking out ``an
    officer (other than a warrant officer)'' and inserting in lieu thereof
    ``a member''.
        (b) Calculation of Hazardous Duty Incentive Pay.--The table in
    subparagraph (A) of subsection (c)(2) of such section is amended to
    read as follows:

                                                     Years of service as an air weapons controller
                                  ----------------------------------------------------------------------------------
             ``Pay grade             2 or
                                     less     Over 2    Over 3    Over 4    Over 6    Over 8    Over 10
    ``O-7 and above..............      $200      $200      $200      $200      $200      $200      $200
    ``O-6........................       225       250       300       325       350       350       350
    ``O-5........................       200       250       300       325       350       350       350
    ``O-4........................       175       225       275       300       350       350       350
    ``O-3........................       125       156       188       206       350       350       350
    ``O-2........................       125       156       188       206       250       300       300
    ``O-1........................       125       156       188       206       250       250       250
    ``W-4........................       200       225       275       300       325       325       325
    ``W-3........................       175       225       275       300       325       325       325
    ``W-2........................       150       200       250       275       325       325       325
    ``W-1........................       100       125       150       175       325       325       325
    ``E-9........................       200       225       250       275       300       300       300
    ``E-8........................       200       225       250       275       300       300       300
    ``E-7........................       175       200       225       250       275       275       275
    ``E-6........................       156       175       200       225       250       250       250
    ``E-5........................       125       156       175       188       200       200       200
    ``E-4 and below..............       125       156       175       188       200       200       200
                                  ----------------------------------------------------------------------------------

    ----------------------------------------------------------------------------------------------------------------
                                                 Years of service as an air weapons controller--Continued
         ``Pay grade--Continued      -------------------------------------------------------------------------------
                                       Over 12   Over 14   Over 16   Over 18   Over 20   Over 22   Over 24   Over 25
    ----------------------------------------------------------------------------------------------------------------
    ``O-7 and above.................      $200      $200      $200      $200      $200      $200      $200      $110
    ``O-6...........................       350       350       350       350       300       250       250       225
    ``O-5...........................       350       350       350       350       300       250       250       225
    ``O-4...........................       350       350       350       350       300       250       250       225
    ``O-3...........................       350       350       350       300       275       250       225       200
    ``O-2...........................       300       300       300       275       245       210       200       180
    ``O-1...........................       250       250       250       245       210       200       180       150
    ``W-4...........................       325       325       325       325       276       250       225       200
    ``W-3...........................       325       325       325       325       325       250       225       200
    ``W-2...........................       325       325       325       325       275       250       225       200
    ``W-1...........................       325       325       325       325       275       250       225       200
    ``E-9...........................       300       300       300       300       275       230       200       200
    ``E-8...........................       300       300       300       300       265       230       200       200
    ``E-7...........................       300       300       300       300       265       230       200       200
    ``E-6...........................       300       300       300       300       265       230       200       200
    ``E-5...........................       250       250       250       250       225       200       175       150
    ``E-4 and below.................       200       200       200       200       175       150       125    125''.
    ----------------------------------------------------------------------------------------------------------------

        (c) Conforming Amendments.--Subsection (c)(2) of such section is
    further amended--
            (1) by striking out ``an officer'' each place it appears and
        inserting in lieu thereof ``a member''; and
            (2) by striking out ``the officer'' each place it appears and
        inserting in lieu thereof ``the member''.

    SEC. 616. AVIATION CAREER INCENTIVE PAY.

        (a) Years of Operational Flying Duties Required.--Paragraph (4) of
    section 301a(a) of title 37, United States Code, is amended in the
    first sentence by striking out ``9'' and inserting in lieu thereof
    ``8''.
        (b) Exercise of Waiver Authority.--Paragraph (5) of such section is
    amended by inserting after the second sentence the following new
    sentence: ``The Secretary concerned may not delegate the authority in
    the preceding sentence to permit the payment of incentive pay under
    this subsection.''.
        SEC. 617. CLARIFICATION OF AUTHORITY TO PROVIDE SPECIAL PAY FOR
          NURSES.
        Section 302c(d)(1) of title 37, United States Code, is amended--
            (1) by striking out ``or'' after ``Air Force,''; and
            (2) by inserting before the semicolon the following: ``, an
        officer of the Nurse Corps of the Army or Navy, or an officer of
        the Air Force designated as a nurse''.
        SEC. 618. CONTINUOUS ENTITLEMENT TO CAREER SEA PAY FOR CREW MEMBERS
          OF SHIPS DESIGNATED AS TENDERS.
        Subparagraph (A) of section 305a(d)(1) of title 37, United States
    Code, is amended to read as follows:
            ``(A) while permanently or temporarily assigned to a ship,
        ship-based staff, or ship-based aviation unit and--
                ``(i) while serving on a ship the primary mission of which
            is accomplished while under way;
                ``(ii) while serving as a member of the off-crew of a two-
            crewed submarine; or
                ``(iii) while serving as a member of a tender-class ship
            (with the hull classification of submarine or destroyer); or''.
        SEC. 619. INCREASE IN MAXIMUM RATE OF SPECIAL DUTY ASSIGNMENT PAY
          FOR ENLISTED MEMBERS SERVING AS RECRUITERS.
        (a) Special Maximum Rate for Recruiters.--Section 307(a) of title
    37, United States Code, is amended by adding at the end the following
    new sentence: ``In the case of a member who is serving as a military
    recruiter and is eligible for special duty assignment pay under this
    subsection on account of such duty, the Secretary concerned may
    increase the monthly rate of special duty assignment pay for the member
    to not more than $375.''.
        (b) Effective Date.--The amendment made by subsection (a) shall
    take effect on January 1, 1996.

                Subtitle C--Travel and Transportation Allowances

        SEC. 621. REPEAL OF REQUIREMENT REGARDING CALCULATION OF ALLOWANCES
          ON BASIS OF MILEAGE TABLES.
        Section 404(d)(1)(A) of title 37, United States Code, is amended by
    striking out ``, based on distances established over the shortest
    usually traveled route, under mileage tables prepared under the
    direction of the Secretary of Defense''.

    SEC. 622. DEPARTURE ALLOWANCES.

        (a) Eligibility When Evacuation Authorized But Not Ordered.--
    Section 405a(a) of title 37, United States Code, is amended by striking
    out ``ordered'' each place it appears and inserting in lieu thereof
    ``authorized or ordered''.
        (b) Application of Amendment.--The amendment made by subsection (a)
    shall apply with respect to persons authorized or ordered to depart as
    described in section 405a(a) of title 37, United States Code, on or
    after October 1, 1995.
        SEC. 623. TRANSPORTATION OF NONDEPENDENT CHILD FROM MEMBER'S
          STATION OVERSEAS AFTER LOSS OF DEPENDENT STATUS WHILE OVERSEAS.
        Section 406(h)(1) of title 37, United States Code, is amended in
    the last sentence--
            (1) by striking out ``who became 21 years of age'' and
        inserting in lieu thereof ``who, by reason of age or graduation
        from (or cessation of enrollment in) an institution of higher
        education, would otherwise cease to be a dependent of the member'';
        and
            (2) by inserting ``still'' after ``shall''.
        SEC. 624. AUTHORIZATION OF DISLOCATION ALLOWANCE FOR MOVES IN
          CONNECTION WITH BASE REALIGNMENTS AND CLOSURES.
        (a) Dislocation Allowance Authorized.--Subsection (a) of section
    407 of title 37, United States Code, is amended--
            (1) by striking out ``or'' at the end of paragraph (3);
            (2) by striking out the period at the end of paragraph (4)(B)
        and inserting in lieu thereof ``; or''; and
            (3) by inserting after paragraph (4)(B) the following new
        paragraph:
            ``(5) the member is ordered to move in connection with the
        closure or realignment of a military installation and, as a result,
        the member's dependents actually move or, in the case of a member
        without dependents, the member actually moves.''.
        (b) Conforming Amendments.--(1) The last sentence of such
    subsection is amended--
            (A) by striking out ``clause (3) or (4)(B)'' and inserting in
        lieu thereof ``paragraph (3) or (4)(B)''; and
            (B) by striking out ``clause (1)'' and inserting in lieu
        thereof ``paragraph (1) or (5)''.
        (2) Subsection (b) of such section is amended--
            (A) by striking out ``subsection (a)(3) or (a)(4)(B)'' in the
        first sentence and inserting in lieu thereof ``paragraph (3) or
        (4)(B) of subsection (a)''; and
            (B) by striking out ``subsection (a)(1)'' in the second
        sentence and inserting in lieu thereof ``paragraph (1) or (5) of
        subsection (a)''.

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

        SEC. 631. EFFECTIVE DATE FOR MILITARY RETIREE COST-OF-LIVING
          ADJUSTMENTS FOR FISCAL YEARS 1996, 1997, AND 1998.
        (a) Adjustment of Effective Dates.--Subparagraph (B) of section
    1401a(b)(2) of title 10, United States Code, is amended to read as
    follows:
                ``(B) Special rules for fiscal years 1996 and 1998.--
                    ``(i) Fiscal year 1996.--In the case of the increase in
                retired pay that, pursuant to paragraph (1), becomes
                effective on December 1, 1995, the initial month for which
                such increase is payable as part of such retired pay shall
                (notwithstanding such December 1 effective date) be March
                1996.
                    ``(ii) Fiscal year 1998.--In the case of the increase
                in retired pay that, pursuant to paragraph (1), becomes
                effective on December 1, 1997, the initial month for which
                such increase is payable as part of such retired pay shall
                (notwithstanding such December 1 effective date) be
                September 1998.''.
        (b) Contingent Alternative Date for Fiscal Year 1998.--(1) If a
    civil service retiree cola that becomes effective during fiscal year
    1998 becomes effective on a date other than the date on which a
    military retiree cola during that fiscal year is specified to become
    effective under subparagraph (B) of section 1401a(b)(2) of title 10,
    United States Code, as amended by subsection (a), then the increase in
    military retired and retainer pay shall become payable as part of such
    retired and retainer pay effective on the same date on which such civil
    service retiree cola becomes effective (notwithstanding the date
    otherwise specified in such subparagraph (B)).
        (2) Paragraph (1) does not apply with respect to the retired pay of
    a person retired under chapter 61 of title 10, United States Code.
        (3) For purposes of this subsection:
            (A) The term ``civil service retiree cola'' means an increase
        in annuities under the Civil Service Retirement System either under
        section 8340(b) of title 5, United States Code, or pursuant to a
        law providing a general increase in such annuities.
            (B) The term ``military retiree cola'' means an adjustment in
        retired and retainer pay pursuant to section 1401a(b) of title 10,
        United States Code.
        (c) Repeal of Prior Conditional Enactment.--Section 8114A(b) of
    Public Law 103-335 (108 Stat. 2648) is repealed.
        SEC. 632. DENIAL OF NON-REGULAR SERVICE RETIRED PAY FOR RESERVES
          RECEIVING CERTAIN COURT-MARTIAL SENTENCES.
        (a) In General.--(1) Chapter 1223 of title 10, United States Code,
    is amended by adding at the end the following new section:
    ``Sec. 12740. Eligibility: denial upon certain punitive discharges or
          dismissals
        ``A person who--
            ``(1) is convicted of an offense under the Uniform Code of
        Military Justice (chapter 47 of this title) and whose sentence
        includes death; or
            ``(2) is separated pursuant to sentence of a court-martial with
        a dishonorable discharge, a bad conduct discharge, or (in the case
        of an officer) a dismissal,
    is not eligible for retired pay under this chapter.''.
        (2) The table of sections at the beginning of such chapter is
    amended by adding at the end the following new item:
    ``12740. Eligibility: denial upon certain punitive discharges or
              dismissals.''.

      (b) Effective Date.--Section 12740 of title 10, United States Code,
    as added by subsection (a), shall apply with respect to court-martial
    sentences adjudged after the date of the enactment of this Act.
        SEC. 633. REPORT ON PAYMENT OF ANNUITIES FOR CERTAIN MILITARY
          SURVIVING SPOUSES.
        (a) Study Required.--(1) The Secretary of Defense shall conduct a
    study to determine the number of potential beneficiaries there would be
    if Congress were to enact authority for the Secretary of the military
    department concerned to pay an annuity to the qualified surviving
    spouse of each member of the Armed Forces who--
            (A) died before March 21, 1974, and was entitled to retired or
        retainer pay on the date of death; or
            (B) was a member of a reserve component who died during the
        period beginning on September 21, 1972, and ending on October 1,
        1978, and at the time of death would have been entitled to retired
        pay under chapter 67 of title 10, United States Code, but for the
        fact that he was under 60 years of age.
        (2) A qualified surviving spouse for purposes of paragraph (1) is a
    surviving spouse who has not remarried and who is not eligible for an
    annuity under section 4 of Public Law 92-425
    (10 U.S.C. 1448 note).
        (b) Required Determinations.--As part of the study under subsection
    (a), the Secretary shall determine the following:
            (1) The number of unremarried surviving spouses of deceased
        members and deceased former members of the Armed Forces referred to
        in subparagraph (A) of subsection (a)(1) who would be eligible for
        an annuity under authority described in such subsection.
            (2) The number of unremarried surviving spouses of deceased
        members and deceased former members of reserve components referred
        to in subparagraph (B) of subsection (a)(1) who would be eligible
        for an annuity under authority described in such subsection.
            (3) The number of persons in each group of unremarried former
        spouses described in paragraphs (1) and (2) who are receiving a
        widow's insurance benefit or a widower's insurance benefit under
        title II of the Social Security Act on the basis of employment of a
        deceased member or deceased former member referred to in subsection
        (a)(1).
        (c) Report.--Not later than March 1, 1996, 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 results of the study under this section. The Secretary shall
    include in the report a recommendation on the amount of the annuity
    that should be authorized to be paid under any authority described in
    subsection (a)(1), together with a recommendation on whether the
    annuity should be adjusted annually to offset increases in the cost of
    living.
        SEC. 634. PAYMENT OF BACK QUARTERS AND SUBSISTENCE ALLOWANCES TO
          WORLD WAR II VETERANS WHO SERVED AS GUERRILLA FIGHTERS IN THE
          PHILIPPINES.
        (a) In General.--The Secretary of the military department concerned
    shall pay, upon request, to an individual described in subsection (b)
    the amount determined with respect to that individual under subsection
    (c).
        (b) Covered Individuals.--A payment under subsection (a) shall be
    made to any individual who as a member of the Armed Forces during World
    War II--
            (1) was captured on the Island of Bataan in the territory of
        the Philippines by Japanese forces;
            (2) participated in the Bataan Death March;
            (3) escaped from captivity; and
            (4) served as a guerrilla fighter in the Philippines during the
        period from January 1942 through February 1945.
        (c) Amount To Be Paid.--The amount of a payment under subsection
    (a) shall be the amount of quarters and subsistence allowance which
    accrued to an individual described in subsection (b) during the period
    specified in paragraph (4) of subsection (b) and which was not paid to
    that individual. The Secretary shall apply interest compounded at the
    three-month Treasury bill rate.
        (d) Payment to Survivors.--In the case of any individual described
    in subsection (b) who is deceased, payment under this section with
    respect to that individual shall be made to that individual's nearest
    surviving relative, as determined by the Secretary concerned.
        SEC. 635. AUTHORITY FOR RELIEF FROM PREVIOUS OVERPAYMENTS UNDER
          MINIMUM INCOME WIDOWS PROGRAM.
        (a) Authority.--The Secretary of Defense may waive recovery by the
    United States of any overpayment by the United States described in
    subsection (b). In the case of any such waiver, any debt to the United
    States arising from such overpayment is forgiven.
        (b) Covered Overpayments.--Subsection (a) applies in the case of an
    overpayment by the United States that--
            (1) was made before the date of the enactment of this Act under
        section 4 of Public Law 92-425 (10 U.S.C. 1448 note); and
            (2) is attributable to failure by the Department of Defense to
        apply the eligibility provisions of subsection (a) of such section
        in the case of the person to whom the overpayment was made.
        SEC. 636. TRANSITIONAL COMPENSATION FOR DEPENDENTS OF MEMBERS OF
          THE ARMED FORCES SEPARATED FOR DEPENDENT ABUSE.
        (a) Coverage of Program.--Subsection (a) of section 1059 of title
    10, United States Code, is amended by adding at the end the following:
    ``Upon establishment of such a program, the program shall apply in the
    case of each such member described in subsection (b) who is under the
    jurisdiction of the Secretary establishing the program.''.
        (b) Clarification of Payment to Dependents of Members Not
    Discharged.--Subsection (d) of such section is amended--
            (1) in the matter preceding paragraph (1)--
                (A) by striking out ``any case of a separation from active
            duty as described in subsection (b)'' and inserting in lieu
            thereof ``the case of any individual described in subsection
            (b)''; and
                (B) by striking ``former member'' and inserting in lieu
            thereof ``individual'';
            (2) in paragraph (1)--
                (A) by striking out ``former member'' and inserting in lieu
            thereof ``individual''; and
                (B) by striking out ``member'' and inserting in lieu
            thereof ``individual'';
            (3) in paragraph (2), by striking out ``former member'' both
        places it appears and inserting in lieu thereof ``individual
        described in subsection (b)'';
            (4) in paragraph (3), by striking out ``former member'' and
        inserting in lieu thereof ``individual described in subsection
        (b)''; and
            (5) in paragraph (4), by striking out ``member'' both places it
        appears and inserting in lieu thereof ``individual described in
        subsection (b)''.
        (c) Effective Date.--Section 554(b) of the National Defense
    Authorization Act for Fiscal Year 1994 (10 U.S.C. 1059 note) is
    amended--
            (1) in paragraph (1), by striking out ``on or after the date of
        the enactment of this Act'' and inserting in lieu thereof ``after
        November 29, 1993''; and
            (2) by striking out paragraph (2) and inserting in lieu thereof
        the following:
        ``(2) Payments of transitional compensation under that section in
    the case of any person eligible to receive payments under that section
    shall be made for each month after November 1993 for which that person
    may be paid transitional compensation in accordance with that
    section.''.

                           Subtitle E--Other Matters

        SEC. 641. PAYMENT TO SURVIVORS OF DECEASED MEMBERS FOR ALL LEAVE
          ACCRUED.
        (a) Inapplicability of 60-Day Limitation.--Section 501(d) of title
    37, United States Code, is amended--
            (1) in paragraph (1), by striking out the third sentence; and
            (2) by striking out paragraph (2) and inserting in lieu thereof
        the following new paragraph:
        ``(2) The limitations in the second sentence of subsection (b)(3),
    subsection (f), and the second sentence of subsection (g) shall not
    apply with respect to a payment made under this subsection.''.
        (b) Conforming Amendment.--Section 501(f) of such title is amended
    by striking out ``, (d),'' in the first sentence.
        SEC. 642. REPEAL OF REPORTING REQUIREMENTS REGARDING COMPENSATION
          MATTERS.
        (a) Report on Travel and Transportation Allowances for
    Dependents.--(1) Section 406 of title 37, United States Code, is
    amended--
            (A) by striking out subsection (i); and
            (B) by redesignating subsections (j), (k), (l), (m), and (n) as
        subsections (i), (j), (k), (l), and (m), respectively.
        (2) Section 2634(d) of title 10, United States Code, is amended by
    striking out ``section 406(l) of title 37'' and inserting in lieu
    thereof ``section 406(k) of title 37''.
        (b) Annual Review of Pay and Allowances.--Section 1008(a) of title
    37, United States Code, is amended by striking out the second sentence.
        (c) Report on Quadrennial Review of Adjustments in Compensation.--
    Section 1009(f) of such title is amended by striking out ``of this
    title,'' and all that follows through the period at the end and
    inserting in lieu thereof ``of this title.''.
        SEC. 643. RECOUPMENT OF ADMINISTRATIVE EXPENSES IN GARNISHMENT
          ACTIONS.
        (a) In General.--Subsection (j) of section 5520a of title 5, United
    States Code, is amended by striking out paragraph (2) and inserting in
    lieu thereof the following new paragraph:
        ``(2) Such regulations shall provide that an agency's
    administrative costs incurred in executing legal process to which the
    agency is subject under this section shall be deducted from the amount
    withheld from the pay of the employee concerned pursuant to the legal
    process.''.
        (b) Involuntary Allotments of Pay of Members of the Uniformed
    Services.--Subsection (k) of such section is amended--
            (1) by redesignating paragraph (3) as paragraph (4); and
            (2) by inserting after paragraph (2) the following new
        paragraph:
        ``(3) Regulations under this subsection may also provide that the
    administrative costs incurred in establishing and maintaining an
    involuntary allotment be deducted from the amount withheld from the pay
    of the member of the uniformed services concerned pursuant to such
    regulations.''.
        (c) Disposition of Amounts Withheld for Administrative Expenses.--
    Such section is further amended by adding at the end the following:
        ``(l) The amount of an agency's administrative costs deducted under
    regulations prescribed pursuant to subsection (j)(2) or (k)(3) shall be
    credited to the appropriation, fund, or account from which such
    administrative costs were paid.''.
        SEC. 644. REPORT ON EXTENDING TO JUNIOR NONCOMMISSIONED OFFICERS
          PRIVILEGES PROVIDED FOR SENIOR NONCOMMISSIONED OFFICERS.
        (a) Report Required.--Not later than February 1, 1996, the
    Secretary of Defense shall submit to Congress a report containing the
    determinations of the Secretary regarding whether, in order to improve
    the working conditions of noncommissioned officers in pay grades E-5
    and E-6, any of the privileges afforded noncommissioned officers in any
    of the pay grades above E-6 should be extended to noncommissioned
    officers in pay grades E-5 and
    E-6.
        (b) Specific Recommendation Regarding Election of BAS.--The
    Secretary shall include in the report a determination on whether
    noncommissioned officers in pay grades E-5 and E-6 should be afforded
    the same privilege as noncommissioned officers in pay grades above E-6
    to elect to mess separately and receive the basic allowance for
    subsistence.
        (c) Additional Matters.--The report shall also contain a discussion
    of the following matters:
            (1) The potential costs of extending additional privileges to
        noncommissioned officers in pay grades E-5 and E-6.
            (2) The effects on readiness that would result from extending
        the additional privileges.
            (3) The options for extending the privileges on an incremental
        basis over an extended period.
        (d) Recommended Legislation.--The Secretary shall include in the
    report any recommended legislation that the Secretary considers
    necessary in order to authorize extension of a privilege as determined
    appropriate under subsection (a).
        SEC. 645. STUDY REGARDING JOINT PROCESS FOR DETERMINING LOCATION OF
          RECRUITING STATIONS.
        (a) Study Required.--The Secretary of Defense shall conduct a study
    regarding the feasibility of--
            (1) using a joint process among the Armed Forces for
        determining the location of recruiting stations and the number of
        military personnel required to operate such stations; and
            (2) basing such determinations on market research and analysis
        conducted jointly by the Armed Forces.
        (b) Report.--Not later than March 31, 1996, the Secretary of
    Defense shall submit to Congress a report describing the results of the
    study. The report shall include a recommended method for measuring the
    efficiency of individual recruiting stations, such as cost per
    accession or other efficiency standard, as determined by the Secretary.
        SEC. 646. AUTOMATIC MAXIMUM COVERAGE UNDER SERVICEMEN'S GROUP LIFE
          INSURANCE.
        Effective April 1, 1996, section 1967 of title 38, United States
    Code, is amended--
            (1) in subsections (a) and (c), by striking out ``$100,000''
        each place it appears and inserting in lieu thereof in each
        instance ``$200,000'';
            (2) by striking out subsection (e); and
            (3) by redesignating subsection (f) as subsection (e).
        SEC. 647. TERMINATION OF SERVICEMEN'S GROUP LIFE INSURANCE FOR
          MEMBERS OF THE READY RESERVE WHO FAIL TO PAY PREMIUMS.
        (a) Authority.--Section 1969(a)(2) of title 38, United States Code,
    is amended--
            (1) by inserting ``(A)'' after ``(2)''; and
            (2) by adding at the end the following:
        ``(B) If an individual who is required pursuant to subparagraph (A)
    to make a direct remittance of costs to the Secretary concerned fails
    to make the required remittance within 60 days of the date on which
    such remittance is due, such individual's insurance with respect to
    which such remittance is required shall be terminated by the Secretary
    concerned. Such termination shall be made by written notice to the
    individual's official address and shall be effective 60 days after the
    date of such notice. Such termination of insurance may be vacated if,
    before the effective date of termination, the individual remits all
    amounts past due for such insurance and demonstrates to the
    satisfaction of the Secretary concerned that the failure to make timely
    remittances was justifiable.''.
        (b) Conforming Amendment.--Section 1968(a) is amended by inserting
    ``(or discontinued pursuant to section 1969(a)(2)(B) of this title)''
    in the matter preceding paragraph (1) after ``upon the written request
    of the insured''.
        (c) Effective Date.--The amendments made by this section shall take
    effect on April 1, 1996.

                       TITLE VII--HEALTH CARE PROVISIONS

                        Subtitle A--Health Care Services

        SEC. 701. MODIFICATION OF REQUIREMENTS REGARDING ROUTINE PHYSICAL
          EXAMINATIONS AND IMMUNIZATIONS UNDER CHAMPUS.
        Section 1079(a) of title 10, United States Code, is amended by
    striking out paragraph (2) and inserting in lieu thereof the following
    new paragraph:
            ``(2) consistent with such regulations as the Secretary of
        Defense may prescribe regarding the content of health promotion and
        disease prevention visits, the schedule of pap smears and
        mammograms, and the types and schedule of immunizations--
                ``(A) for dependents under six years of age, both health
            promotion and disease prevention visits and immunizations may
            be provided; and
                ``(B) for dependents six years of age or older, health
            promotion and disease prevention visits may be provided in
            connection with immunizations or with diagnostic or preventive
            pap smears and mammograms;''.
        SEC. 702. CORRECTION OF INEQUITIES IN MEDICAL AND DENTAL CARE AND
          DEATH AND DISABILITY BENEFITS FOR CERTAIN RESERVES.
        (a) Medical and Dental Care.--Section 1074a(a) of title 10, United
    States Code, is amended by adding at the end the following new
    paragraph:
            ``(3) Each member of the armed forces who incurs or aggravates
        an injury, illness, or disease in the line of duty 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 from the member's
        residence.''.
        (b) Recovery, Care, and Disposition of Remains.--Section 1481(a)(2)
    of title 10, United States Code, is amended--
            (1) in subparagraph (C), by striking out ``or'' at the end of
        the subparagraph;
            (2) by redesignating subparagraph (D) as subparagraph (E); and
            (3) by inserting after subparagraph (C) the following new
        subparagraph:
                ``(D) 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 from the member's residence; or''.
        (c) Entitlement to Basic Pay.--(1) Subsection (g)(1) of section 204
    of title 37, United States Code, is amended--
            (A) in subparagraph (B), by striking out ``or'' at the end of
        the subparagraph;
            (B) in subparagraph (C), by striking out the period at the end
        of the subparagraph and inserting in lieu thereof ``; or''; and
            (C) by inserting after subparagraph (C) the following new
        subparagraph:
            ``(D) in line of duty 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 from the member's residence.''.
        (2) Subsection (h)(1) of such section is amended--
            (A) in subparagraph (B), by striking out ``or'' at the end of
        the subparagraph;
            (B) in subparagraph (C), by striking out the period at the end
        of the subparagraph and inserting in lieu thereof ``; or''; and
            (C) by inserting after subparagraph (C) the following new
        subparagraph:
            ``(D) in line of duty 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 from the member's residence.''.
        (d) Compensation for Inactive-Duty Training.--Section 206(a)(3) of
    title 37, United States Code, is amended--
            (1) in subparagraph (A), by striking out ``or'' at the end of
        clause (ii);
            (2) in subparagraph (B), by striking out the period at the end
        of the subparagraph and inserting in lieu thereof ``; or''; and
            (3) by inserting after subparagraph (B) the following new
        subparagraph:
                ``(C) in line of duty 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 from the member's
            residence.''.
        SEC. 703. MEDICAL CARE FOR SURVIVING DEPENDENTS OF RETIRED RESERVES
          WHO DIE BEFORE AGE 60.
        (a) Change in Eligibility Requirements.--Paragraph (2) of section
    1076(b) of title 10, United States Code, is amended--
            (1) by striking out ``death (A) would'' and inserting in lieu
        thereof ``death would''; and
            (2) by striking out ``, and (B) had elected to participate in
        the Survivor Benefit Plan established under subchapter II of
        chapter 73 of this title''.
        (b) Conforming Amendments.--Such paragraph is further amended--
            (1) in the matter following paragraph (2), by striking out
        ``clause (2)'' the first place it appears and inserting in lieu
        thereof ``paragraph (2)''; and
            (2) by striking out the second sentence.
        SEC. 704. MEDICAL AND DENTAL CARE FOR MEMBERS OF THE SELECTED
          RESERVE ASSIGNED TO EARLY DEPLOYING UNITS OF THE ARMY SELECTED
          RESERVE.
        (a) Annual Medical and Dental Screenings and Care.--Section 1074a
    of title 10, United States Code, is amended--
            (1) in subsection (c), by striking out ``this section'' and
        inserting in lieu thereof ``subsection (b)''; and
            (2) by adding at the end the following new subsection:
        ``(d)(1) The Secretary of the Army shall provide to members of the
    Selected Reserve of the Army who are assigned to units scheduled for
    deployment within 75 days after mobilization the following medical and
    dental services:
            ``(A) An annual medical screening.
            ``(B) For members who are over 40 years of age, a full physical
        examination not less often than once every two years.
            ``(C) An annual dental screening.
            ``(D) The dental care identified in an annual dental screening
        as required to ensure that a member meets the dental standards
        required for deployment in the event of mobilization.
        ``(2) The services provided under this subsection shall be provided
    at no cost to the member.''.
        (b) Conforming Repeals.--Sections 1117 and 1118 of the Army
    National Guard Combat Readiness Reform Act of 1992 (title XI of Public
    Law 102-484; 10 U.S.C. 3077 note) are repealed.
        SEC. 705. DENTAL INSURANCE FOR MEMBERS OF THE SELECTED RESERVE.
        (a) Program Authorization.--(1) Chapter 55 of title 10, United
    States Code, is amended by inserting after section 1076a the following
    new section:

    ``Sec. 1076b. Selected Reserve dental insurance

        ``(a) Authority To Establish Plan.--The Secretary of Defense shall
    establish a dental insurance plan for members of the Selected Reserve
    of the Ready Reserve. The plan shall provide for voluntary enrollment
    and for premium sharing between the Department of Defense and the
    members enrolled in the plan. The plan shall be administered under
    regulations prescribed by the Secretary of Defense.
        ``(b) Premium Sharing.--(1) A member enrolling in the dental
    insurance plan shall pay a share of the premium charged for the
    insurance coverage. The member's share may not exceed $25 per month.
        ``(2) The Secretary of Defense may reduce the monthly premium
    required to be paid by enlisted members under paragraph (1) if the
    Secretary determines that the reduction is appropriate in order to
    assist enlisted members to participate in the dental insurance plan.
        ``(3) A member's share of the premium for coverage by the dental
    insurance plan shall be deducted and withheld from the basic pay
    payable to the member for inactive duty training and from the basic pay
    payable to the member for active duty.
        ``(4) The Secretary of Defense shall pay the portion of the premium
    charged for coverage of a member under the dental insurance plan that
    exceeds the amount paid by the member.
        ``(c) Benefits Available Under the Plan.--The dental insurance plan
    shall provide benefits for basic dental care and treatment, including
    diagnostic services, preventative services, basic restorative services,
    and emergency oral examinations.
        ``(d) Termination of Coverage.--The coverage of a member by the
    dental insurance plan shall terminate on the last day of the month in
    which the member is discharged, transfers to the Individual Ready
    Reserve, Standby Reserve, or Retired Reserve, or is ordered to active
    duty for a period of more than 30 days.''.
        (2) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 1076a the
    following:
    ``1076b. Selected Reserve dental insurance.''.

        (b) Implementation.--Beginning not later than October 1, 1996, the
    Secretary of Defense shall offer members of the Selected Reserve the
    opportunity to enroll in the dental insurance plan required under
    section 1076b of title 10, United States Code (as added by subsection
    (a)). During fiscal year 1996, the Secretary shall collect such
    information and complete such planning and other preparations as are
    necessary to offer and administer the dental insurance plan by that
    date. The activities undertaken by the Secretary under this subsection
    during fiscal year 1996 may include--
            (1) surveys; and
            (2) tests, in not more than three States, of a dental insurance
        plan or alternative dental insurance plans meeting the requirements
        of section 1076b of title 10, United States Code.
        SEC. 706. PERMANENT AUTHORITY TO CARRY OUT SPECIALIZED TREATMENT
          FACILITY PROGRAM.
        Section 1105 of title 10, United States Code, is amended by
    striking out subsection (h).

                          Subtitle B--TRICARE Program

        SEC. 711. DEFINITION OF TRICARE PROGRAM.
        For purposes of this subtitle, 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. 712. PRIORITY USE OF MILITARY TREATMENT FACILITIES FOR PERSONS
          ENROLLED IN MANAGED CARE INITIATIVES.
        Section 1097(c) of title 10, United States Code, is amended in the
    third sentence by striking out ``However, the Secretary may'' and
    inserting in lieu thereof ``Notwithstanding the preferences established
    by sections 1074(b) and 1076 of this title, the Secretary shall''.
        SEC. 713. STAGGERED PAYMENT OF ENROLLMENT FEES FOR TRICARE PROGRAM.
        Section 1097(e) of title 10, United States Code, is amended by
    adding at the end the following new sentence: ``Without imposing
    additional costs on covered beneficiaries who participate in contracts
    for health care services under this section or health care plans
    offered under section 1099 of this title, the Secretary shall permit
    such covered beneficiaries to pay, on a quarterly basis, any enrollment
    fee required for such participation.''.
        SEC. 714. REQUIREMENT OF BUDGET NEUTRALITY FOR TRICARE PROGRAM TO
          BE BASED ON ENTIRE PROGRAM.
        (a) Change in Budget Neutrality Requirements.--Subsection (c) of
    section 731 of the National Defense Authorization Act for Fiscal Year
    1994 (Public Law 103-160; 10 U.S.C. 1073 note) is amended--
            (1) by striking out ``each managed health care initiative that
        includes the option'' and inserting in lieu thereof ``the TRICARE
        program''; and
            (2) by striking out ``covered beneficiaries who enroll in the
        option'' and inserting in lieu thereof ``members of the uniformed
        services and covered beneficiaries who participate in the TRICARE
        program''.
        (b) Addition of Definition of TRICARE Program.--Subsection (d) of
    such section is amended to read as follows:
        ``(d) Definitions.--For purposes of this section:
            ``(1) 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.
            ``(2) 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. 715. TRAINING IN HEALTH CARE MANAGEMENT AND ADMINISTRATION FOR
          TRICARE LEAD AGENTS.
        (a) Provision of Training.--Not later than six months after the
    date of the enactment of this Act, the Secretary of Defense shall
    implement a professional educational program to provide appropriate
    training in health care management and administration--
            (1) to each commander of a military medical treatment facility
        of the Department of Defense who is selected to serve as a lead
        agent to coordinate the delivery of health care by military and
        civilian providers under the TRICARE program; and
            (2) to appropriate members of the support staff of the
        treatment facility who will be responsible for daily operation of
        the TRICARE program.
        (b) Report on Implementation.--Not later than six months after the
    date of the enactment of this Act, the Secretary of Defense shall
    submit to Congress a report describing the professional educational
    program implemented pursuant to this section.
        SEC. 716. PILOT PROGRAM OF INDIVIDUALIZED RESIDENTIAL MENTAL HEALTH
          SERVICES.
        (a) Program Required.--(1) During fiscal year 1996, the Secretary
    of Defense, in consultation with the other administering Secretaries
    under chapter 55 of title 10, United States Code, shall implement a
    pilot program to provide residential and wraparound services to
    children described in paragraph (2) who are in need of mental health
    services. The Secretary shall implement the pilot program for an
    initial period of at least two years in a military health care region
    in which the TRICARE program has been implemented.
        (2) A child shall be eligible for selection to participate in the
    pilot program if the child is a dependent (as described in subparagraph
    (D) or (I) of section 1072(2) of title 10, United States Code) who--
            (A) is eligible for health care under section 1079 or 1086 of
        such title; and
            (B) has a serious emotional disturbance that is generally
        regarded as amenable to treatment.
        (b) Wraparound Services Defined.--For purposes of this section, the
    term ``wraparound services'' means individualized mental health
    services that are provided principally to allow a child to remain in
    the family home or other least-restrictive and least-costly setting,
    but also are provided as an aftercare planning service for children who
    have received acute or residential care. Such term includes
    nontraditional mental health services that will assist the child to be
    maintained in the least-restrictive and least-costly setting.
        (c) Pilot Program Agreement.--Under the pilot program the Secretary
    of Defense shall enter into one or more agreements that require a
    mental health services provider under the agreement--
            (1) to provide wraparound services to a child described in
        subsection (a)(2);
            (2) to continue to provide such services as needed during the
        period of the agreement even if the child moves to another location
        within the same TRICARE program region during that period; and
            (3) to share financial risk by accepting as a maximum annual
        payment for such services a case-rate reimbursement not in excess
        of the amount of the annual standard CHAMPUS residential treatment
        benefit payable (as determined in accordance with section 8.1 of
        chapter 3 of volume II of the CHAMPUS policy manual).
        (d) Report.--Not later than March 1, 1998, 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 program carried out under this section. The report shall
    contain--
            (1) an assessment of the effectiveness of the program; and
            (2) the Secretary's views regarding whether the program should
        be implemented throughout the military health care system.
        SEC. 717. EVALUATION AND REPORT ON TRICARE PROGRAM EFFECTIVENESS.
        (a) Evaluation Required.--The Secretary of Defense shall arrange
    for an on-going evaluation of the effectiveness of the TRICARE program
    in meeting the goals of increasing the access of covered beneficiaries
    under chapter 55 of title 10, United States Code, to health care and
    improving the quality of health care provided to covered beneficiaries,
    without increasing the costs incurred by the Government or covered
    beneficiaries. The evaluation shall specifically address--
            (1) the impact of the TRICARE program on military retirees with
        regard to access, costs, and quality of health care services; and
            (2) identify noncatchment areas in which the health maintenance
        organization option of the TRICARE program is available or is
        proposed to become available.
        (b) Entity To Conduct Evaluation.--The Secretary may use a
    federally funded research and development center to conduct the
    evaluation required by subsection (a).
        (c) Annual Report.--Not later than March 1, 1997, and each March 1
    thereafter, the Secretary shall submit to Congress a report describing
    the results of the evaluation under subsection (a) during the preceding
    year.
        SEC. 718. SENSE OF CONGRESS REGARDING ACCESS TO HEALTH CARE UNDER
          TRICARE PROGRAM FOR COVERED BENEFICIARIES WHO ARE MEDICARE
          ELIGIBLE.
        (a) Findings.--Congress finds the following:
            (1) Medical care provided in facilities of the uniformed
        services is generally less expensive to the Federal Government than
        the same care provided at Government expense in the private sector.
            (2) Covered beneficiaries under the military health care
        provisions of chapter 55, United States Code, who are eligible for
        medicare under title XVIII of the Social Security Act (42 U.S.C.
        1395 et seq.) deserve health care options that empower them to
        choose the health plan that best fits their needs.
        (b) Sense of Congress.--In light of the findings specified in
    subsection (a), it is the sense of Congress that--
            (1) the Secretary of Defense should develop a program to ensure
        that such covered beneficiaries who reside in a region in which the
        TRICARE program has been implemented continue to have adequate
        access to health care services after the implementation of the
        TRICARE program; and
            (2) as a means of ensuring such access, the budget for fiscal
        year 1997 submitted by the President under section 1105 of title
        31, United States Code, should provide for reimbursement by the
        Health Care Financing Administration to the Department of Defense
        for health care services provided to such covered beneficiaries in
        medical treatment facilities of the Department of Defense.

              Subtitle C--Uniformed Services Treatment Facilities

        SEC. 721. DELAY OF TERMINATION OF STATUS OF CERTAIN FACILITIES AS
          UNIFORMED SERVICES TREATMENT FACILITIES.
        Section 1252(e) of the Department of Defense Authorization Act,
    1984 (42 U.S.C. 248d(e)) is amended by striking out ``December 31,
    1996'' in the first sentence and inserting in lieu thereof ``September
    30, 1997''.
        SEC. 722. LIMITATION ON EXPENDITURES TO SUPPORT UNIFORMED SERVICES
          TREATMENT FACILITIES.
        Subsection (f) of section 1252 of the Department of Defense
    Authorization Act, 1984 (42 U.S.C. 248d), is amended to read as
    follows:
        ``(f) Limitation on Expenditures.--The total amount of expenditures
    by the Secretary of Defense to carry out this section and section 911
    of the Military Construction Authorization Act, 1982 (42 U.S.C. 248c),
    for fiscal year 1996 may not exceed $300,000,000, adjusted by the
    Secretary to reflect the inflation factor used by the Department of
    Defense for such fiscal year.''.
        SEC. 723. APPLICATION OF CHAMPUS PAYMENT RULES IN CERTAIN CASES.
        Section 1074 of title 10, United States Code, is amended by adding
    at the end the following new subsection:
        ``(d)(1) The Secretary of Defense may require, by regulation, a
    private CHAMPUS provider to apply the CHAMPUS payment rules (subject to
    any modifications considered appropriate by the Secretary) in imposing
    charges for health care that the private CHAMPUS provider provides to a
    member of the uniformed services who is enrolled in a health care plan
    of a facility deemed to be a facility of the uniformed services under
    section 911(a) of the Military Construction Authorization Act, 1982 (42
    U.S.C. 248c(a)) when the health care is provided outside the catchment
    area of the facility.
        ``(2) In this subsection:
            ``(A) The term `private CHAMPUS provider' means a private
        facility or health care provider that is a health care provider
        under the Civilian Health and Medical Program of the Uniformed
        Services.
            ``(B) The term `CHAMPUS payment rules' means the payment rules
        referred to in subsection (c).
        ``(3) The Secretary of Defense shall prescribe regulations under
    this subsection after consultation with the other administering
    Secretaries.''.
        SEC. 724. APPLICATION OF FEDERAL ACQUISITION REGULATION TO
          PARTICIPATION AGREEMENTS WITH UNIFORMED SERVICES TREATMENT
          FACILITIES.
        (a) Section 718(c) of the National Defense Authorization Act for
    Fiscal Year 1991 (Public Law 101-510; 104 Stat. 1587) is amended--
            (1) in the second sentence of paragraph (1), by striking out
        ``A participation agreement'' and inserting in lieu thereof
        ``Except as provided in paragraph (4), a participation agreement'';
            (2) by redesignating paragraph (4) as paragraph (6); and
            (3) by inserting after paragraph (3) the following new
        paragraph:
            ``(4) Application of federal acquisition regulation.--On and
        after the date of the enactment of this paragraph, Uniformed
        Services Treatment Facilities and any participation agreement
        between Uniformed Services Treatment Facilities and the Secretary
        of Defense shall be subject to the Federal Acquisition Regulation
        issued pursuant to section 25(c) of the Office of Federal
        Procurement Policy Act (41 U.S.C. 421(c)) notwithstanding any
        provision to the contrary in such a participation agreement. The
        requirements regarding competition in the Federal Acquisition
        Regulation shall apply with regard to the negotiation of any new
        participation agreement between the Uniformed Services Treatment
        Facilities and the Secretary of Defense under this subsection or
        any other provision of law.''.
        (b) Sense of Congress.--(1) Congress finds that the Uniformed
    Services Treatment Facilities provide quality health care to the
    120,000 Department of Defense beneficiaries enrolled in the Uniformed
    Services Family Health Plan provided by these facilities.
        (2) In light of such finding, it is the sense of Congress that the
    Uniformed Services Family Health Plan provided by the Uniformed
    Services Treatment Facilities should not be terminated for convenience
    under provisions of the Federal Acquisition Regulation by the Secretary
    of Defense before the expiration of the current participation
    agreements.
        (3) For purposes of this subsection, the term ``Uniformed Services
    Treatment Facility'' means a facility deemed to be a facility of the
    uniformed services by virtue of section 911(a) of the Military
    Construction Authorization Act, 1982 (42 U.S.C. 248c(a)).
        SEC. 725. DEVELOPMENT OF PLAN FOR INTEGRATING UNIFORMED SERVICES
          TREATMENT FACILITIES IN MANAGED CARE PROGRAMS OF DEPARTMENT OF
          DEFENSE.
        Section 718(c) of the National Defense Authorization Act for Fiscal
    Year 1991 (Public Law 101-510; 104 Stat. 1587) is amended by inserting
    after paragraph (4), as added by section 722, the following new
    paragraph:
            ``(5) Plan for integrating facilities.--(A) The Secretary of
        Defense shall develop a plan under which Uniformed Services
        Treatment Facilities could be included, before the expiration date
        of the participation agreements entered into under this section, in
        the exclusive health care provider networks established by the
        Secretary for the geographic regions in which the facilities are
        located. The Secretary shall address in the plan the feasibility of
        implementing the managed care plan of the Uniformed Services
        Treatment Facilities, known as Option II, on a mandatory basis for
        all USTF Medicare-eligible beneficiaries and the potential cost
        savings to the Military Health Care Program that could be achieved
        under such option.
            ``(B) The Secretary shall submit the plan developed under this
        paragraph to Congress not later than March 1, 1996.
            ``(C) The plan developed under this paragraph shall be
        consistent with the requirements specified in paragraph (4). If the
        plan is not submitted to Congress by the expiration date of the
        participation agreements entered into under this section, the
        participation agreements shall remain in effect, at the option of
        the Uniformed Services Treatment Facilities, until the end of the
        180-day period beginning on the date the plan is finally submitted.
            ``(D) For purposes of this paragraph, the term `USTF Medicare-
        eligible beneficiaries' means covered beneficiaries under chapter
        55 of title 10, United States Code, who are enrolled in a managed
        health plan offered by the Uniformed Services Treatment Facilities
        and entitled to hospital insurance benefits under part A of title
        XVIII of the Social Security Act (42 U.S.C. 1395c et seq.).''.

    SEC. 726. EQUITABLE IMPLEMENTATION OF UNIFORM COST SHARING REQUIREMENTS
                  FOR UNIFORMED SERVICES TREATMENT FACILITIES.

        (a) Time for Fee Implementation.--The uniform managed care benefit
    fee and copayment schedule developed by the Secretary of Defense for
    use in all managed care initiatives of the military health service
    system, including the managed care program of the Uniformed Services
    Treatment Facilities, shall be extended to the managed care program of
    a Uniformed Services Treatment Facility only after the later of--
            (1) the implementation of the TRICARE regional program covering
        the service area of the Uniformed Services Treatment Facility; or
            (2) October 1, 1996.
        (b) Submission of Actuarial Estimates.--Paragraph (2) of subsection
    (a) shall operate as a condition on the extension of the uniform
    managed care benefit fee and copayment schedule to the Uniformed
    Services Treatment Facilities only if the Uniformed Services Treatment
    Facilities submit to the Comptroller General of the United States,
    within 30 days after the date of the enactment of this Act, actuarial
    estimates in support of their contention that the extension of such
    fees and copayments will have an adverse effect on the operation of the
    Uniformed Services Treatment Facilities and the enrollment of
    participants.
        (c) Evaluation.--(1) Except as provided in paragraph (2), not later
    than 90 days after the date of the enactment of this Act, the
    Comptroller General shall submit to Congress the results of an
    evaluation of the effect on the Uniformed Services Treatment Facilities
    of the extension of the uniform benefit fee and copayment schedule to
    the Uniformed Services Treatment Facilities. The evaluation shall
    include an examination of whether the benefit fee and copayment
    schedule may--
            (A) cause adverse selection of enrollees;
            (B) be inappropriate for a fully at-risk program similar to
        civilian health maintenance organizations; or
            (C) result in an enrolled population dissimilar to the general
        beneficiary population.
        (2) The Comptroller General shall not be required to prepare or
    submit the evaluation under paragraph (1) if the Uniformed Services
    Treatment Facilities fail to satisfactorily comply with subsection (b),
    as determined by the Comptroller General.
        SEC. 727. ELIMINATION OF UNNECESSARY ANNUAL REPORTING REQUIREMENT
          REGARDING UNIFORMED SERVICES TREATMENT FACILITIES.
        Section 1252 of the Department of Defense Authorization Act, 1984
    (42 U.S.C. 248d), is amended by striking out subsection (d).

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

        SEC. 731. MAXIMUM ALLOWABLE PAYMENTS TO INDIVIDUAL HEALTH-CARE
          PROVIDERS UNDER CHAMPUS.
        (a) Maximum Payment.--Subsection (h) of section 1079 of title 10,
    United States Code, is amended by striking out paragraph (1) and
    inserting in lieu thereof the following new paragraph:
        ``(1) Payment for a charge for services by an individual health
    care professional (or other noninstitutional health care provider) for
    which a claim is submitted under a plan contracted for under subsection
    (a) may not exceed the lesser of--
            ``(A) the amount equivalent to the 80th percentile of billed
        charges made for similar services in the same locality during the
        base period; or
            ``(B) an amount determined to be appropriate, to the extent
        practicable, in accordance with the same reimbursement rules as
        apply to payments for similar services under title XVIII of the
        Social Security Act (42 U.S.C. 1395 et seq.).''.
        (b) Comparison to Medicare Payments.--Such subsection is further
    amended by adding at the end the following new paragraph:
        ``(3) For the purposes of paragraph (1)(B), the appropriate payment
    amount shall be determined by the Secretary of Defense, in consultation
    with the other administering Secretaries.''.
        (c) Exceptions and Limitations.--Such subsection is further amended
    by inserting after paragraph (3), as added by subsection (b), the
    following new paragraphs:
        ``(4) The Secretary of Defense, in consultation with the other
    administering Secretaries, shall prescribe regulations to provide for
    such exceptions to the payment limitations under paragraph (1) as the
    Secretary determines to be necessary to assure that covered
    beneficiaries retain adequate access to health care services. Such
    exceptions may include the payment of amounts higher than the amount
    allowed under paragraph (1) when enrollees in managed care programs
    obtain covered emergency services from nonparticipating providers. To
    provide a suitable transition from the payment methodologies in effect
    before the date of the enactment of this paragraph to the methodology
    required by paragraph (1), the amount allowable for any service may not
    be reduced by more than 15 percent below the amount allowed for the
    same service during the immediately preceding 12-month period (or other
    period as established by the Secretary of Defense).
        ``(5) The Secretary of Defense, in consultation with the other
    administering Secretaries, shall prescribe regulations to establish
    limitations (similar to the limitations established under title XVIII
    of the Social Security Act (42 U.S.C. 1395 et seq.)) on beneficiary
    liability for charges of an individual health care professional (or
    other noninstitutional health care provider).''.
        (d) Conforming Amendment.--Paragraph (2) of such subsection is
    amended by striking out ``paragraph (1)'' and inserting in lieu thereof
    ``paragraph (1)(A)''.
        (e) Report on Effect of Amendments.--Not later than March 1, 1996,
    the Secretary of Defense shall submit to Congress a report analyzing
    the effect of the amendments made by this section on the ability or
    willingness of individual health care professionals and other
    noninstitutional health care providers to participate in the Civilian
    Health and Medical Program of the Uniformed Services.
        SEC. 732. NOTIFICATION OF CERTAIN CHAMPUS COVERED BENEFICIARIES OF
          LOSS OF CHAMPUS ELIGIBILITY.
        Section 1086(d) of title 10, United States Code, is amended by
    adding at the end the following new paragraph:
        ``(4) The administering Secretaries shall develop a mechanism by
    which persons described in paragraph (1) who satisfy only the criteria
    specified in subparagraphs (A) and (B) of paragraph (2), but not
    subparagraph (C) of such paragraph, are promptly notified of their
    ineligibility for health benefits under this section. In developing the
    notification mechanism, the administering Secretaries shall consult
    with the administrator of the Health Care Financing Administration.''.
        SEC. 733. PERSONAL SERVICES CONTRACTS FOR MEDICAL TREATMENT
          FACILITIES OF THE COAST GUARD.
        (a) Contracting Authority.--Section 1091(a) of title 10, United
    States Code, is amended--
            (1) by inserting after ``Secretary of Defense'' the following:
        ``, with respect to medical treatment facilities of the Department
        of Defense, and the Secretary of Transportation, with respect to
        medical treatment facilities of the Coast Guard when the Coast
        Guard is not operating as a service in the Navy,''; and
            (2) by striking out ``medical treatment facilities of the
        Department of Defense'' and inserting in lieu thereof ``such
        facilities''.
        (b) Ratification of Existing Contracts.--Any exercise of authority
    under section 1091 of title 10, United States Code, to enter into a
    personal services contract on behalf of the Coast Guard before the
    effective date of the amendments made by subsection (a) is hereby
    ratified.
        (c) Effective Date.--The amendments made by subsection (a) shall
    take effect as of October 1, 1995.

    SEC. 734. IDENTIFICATION OF THIRD-PARTY PAYER SITUATIONS.

        Section 1095 of title 10, United States Code, is amended by adding
    at the end the following new subsection:
        ``(k)(1) To improve the administration of this section and sections
    1079(j)(1) and 1086(d) of this title, the Secretary of Defense, in
    consultation with the other administering Secretaries, may prescribe
    regulations providing for the collection of information regarding
    insurance, medical service, or health plans of third-party payers held
    by covered beneficiaries.
        ``(2) The collection of information under regulations prescribed
    under paragraph (1) shall be conducted in the same manner as is
    provided in section 1862(b)(5) of the Social Security Act (42 U.S.C.
    1395y(b)(5)). The Secretary may provide for obtaining from the
    Commissioner of Social Security employment information comparable to
    the information provided to the Administrator of the Health Care
    Financing Administration pursuant to such section. Such regulations may
    require the mandatory disclosure of Social Security account numbers for
    all covered beneficiaries.
        ``(3) The Secretary may disclose relevant employment information
    collected under this subsection to fiscal intermediaries or other
    designated contractors.
        ``(4) The Secretary may provide for contacting employers of covered
    beneficiaries to obtain group health plan information comparable to the
    information authorized to be obtained under section 1862(b)(5)(C) of
    the Social Security Act (42 U.S.C. 1395y(b)(5)(C)). Notwithstanding
    clause (iii) of such section, clause (ii) of such section regarding the
    imposition of civil money penalties shall apply to the collection of
    information under this paragraph.
        ``(5) Information obtained under this subsection may not be
    disclosed for any purpose other than to carry out the purpose of this
    section and sections 1079(j)(1) and 1086(d) of this title.''.
        SEC. 735. REDESIGNATION OF MILITARY HEALTH CARE ACCOUNT AS DEFENSE
          HEALTH PROGRAM ACCOUNT AND TWO-YEAR AVAILABILITY OF CERTAIN
          ACCOUNT FUNDS.
        (a) Redesignation.--Section 1100 of title 10, United States Code,
    is amended--
            (1) in subsection (a)(1)--
                (A) by striking out ``Military Health Care Account'' and
            inserting in lieu thereof ``Defense Health Program Account'';
            and
                (B) by striking out ``the Civilian Health and Medical
            Program of the Uniformed Services'' and inserting in lieu
            thereof ``medical and health care programs of the Department of
            Defense''; and
            (2) in subsection (b)--
                (A) by striking out ``entering into a contract'' and
            inserting in lieu thereof ``conducting programs and activities
            under this chapter, including contracts entered into''; and
                (B) by inserting a comma after ``title''.
        (b) Two Year Availability of Certain Appropriations.--Subsection
    (a)(2) of such section is amended to read as follows:
        ``(2) Of the total amount appropriated for a fiscal year for
    programs and activities carried out under this chapter, the amount
    equal to three percent of such total amount shall remain available for
    obligation until the end of the following fiscal year.''.
        (c) Conforming Amendments.--Such section is further amended--
            (1) by striking out subsections (c), (d), and (f); and
            (2) by redesignating subsection (e) as subsection (c).
        (d) Clerical Amendments.--(1) The heading of such section is
    amended to read as follows:

    ``Sec. 1100. Defense Health Program Account''.

        (2) 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:
    ``1100. Defense Health Program Account.''.

        SEC. 736. EXPANSION OF FINANCIAL ASSISTANCE PROGRAM FOR HEALTH-CARE
          PROFESSIONALS IN RESERVE COMPONENTS TO INCLUDE DENTAL
          SPECIALTIES.
        Section 16201(b) of title 10, United States Code, is amended--
            (1) in the subsection heading, by inserting ``and Dentists''
        after ``Physicians'';
            (2) in paragraph (1)(A), by inserting ``or dental school''
        after ``medical school'';
            (3) in paragraphs (1)(B) and (2)(B), by inserting ``or dental
        officer'' after ``medical officer''; and
            (4) in paragraph (1)(C), by striking out ``physicians in a
        medical specialty'' and inserting in lieu thereof ``physicians or
        dentists in a medical or dental specialty''.
        SEC. 737. APPLICABILITY OF LIMITATION ON PRICES OF PHARMACEUTICALS
          PROCURED FOR COAST GUARD.
        (a) Inclusion of Coast Guard.--Section 8126(b) of title 38, United
    States Code, is amended by adding at the end the following new
    paragraph:
            ``(4) The Coast Guard.''.
        (b) Effective Date; Application of Amendment.--The amendment made
    by subsection (a) shall take effect as if included in the enactment of
    section 603 of the Veterans Health Care Act of 1992 (Public Law 102-
    585; 106 Stat. 4971).
        SEC. 738. RESTRICTION ON USE OF DEPARTMENT OF DEFENSE FACILITIES
          FOR ABORTIONS.
        (a) In General.--Section 1093 of title 10, United States Code, is
    amended--
            (1) by inserting ``(a) Restriction on Use of Funds.--'' before
        ``Funds available''; and
            (2) by adding at the end the following:
        ``(b) Restriction on Use of Facilities.--No medical treatment
    facility or other facility of the Department of Defense may be used to
    perform an abortion except where the life of the mother would be
    endangered if the fetus were carried to term or in a case in which the
    pregnancy is the result of an act of rape or incest.''.
        (b) Clerical Amendments.--(1) The heading of such section is
    amended to read as follows:

    ``Sec. 1093. Performance of abortions: restrictions''.

        (2) 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:
    ``1093. Performance of abortions: restrictions.''.

                           Subtitle E--Other Matters

    SEC. 741. TRISERVICE NURSING RESEARCH.

        (a) Program Authorized.--Chapter 104 of title 10, United States
    Code, is amended by adding at the end the following new section:

    ``Sec. 2116. Military nursing research

        ``(a) Definitions.--In this section:
            ``(1) The term `military nursing research' means research on
        the furnishing of care and services by nurses in the armed forces.
            ``(2) The term `TriService Nursing Research Program' means the
        program of military nursing research authorized under this section.
        ``(b) Program Authorized.--The Secretary of Defense may establish
    at the University a program of military nursing research.
        ``(c) TriService Research Group.--The TriService Nursing Research
    Program shall be administered by a TriService Nursing Research Group
    composed of Army, Navy, and Air Force nurses who are involved in
    military nursing research and are designated by the Secretary concerned
    to serve as members of the group.
        ``(d) Duties of Group.--The TriService Nursing Research Group
    shall--
            ``(1) develop for the Department of Defense recommended
        guidelines for requesting, reviewing, and funding proposed military
        nursing research projects; and
            ``(2) make available to Army, Navy, and Air Force nurses and
        Department of Defense officials concerned with military nursing
        research--
                ``(A) information about nursing research projects that are
            being developed or carried out in the Army, Navy, and Air
            Force; and
                ``(B) expertise and information beneficial to the
            encouragement of meaningful nursing research.
        ``(e) Research Topics.--For purposes of this section, military
    nursing research includes research on the following issues:
            ``(1) Issues regarding how to improve the results of nursing
        care and services provided in the armed forces in time of peace.
            ``(2) Issues regarding how to improve the results of nursing
        care and services provided in the armed forces in time of war.
            ``(3) Issues regarding how to prevent complications associated
        with battle injuries.
            ``(4) Issues regarding how to prevent complications associated
        with the transporting of patients in the military medical
        evacuation system.
            ``(5) Issues regarding how to improve methods of training
        nursing personnel.
            ``(6) Clinical nursing issues, including such issues as
        prevention and treatment of child abuse and spouse abuse.
            ``(7) Women's health issues.
            ``(8) Wellness issues.
            ``(9) Preventive medicine issues.
            ``(10) Home care management issues.
            ``(11) Case management issues.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    chapter 104 of such title is amended by adding at the end the
    following:
    ``2116. Military nursing research.''.
        SEC. 742. TERMINATION OF PROGRAM TO TRAIN MILITARY PSYCHOLOGISTS TO
          PRESCRIBE PSYCHOTROPIC MEDICATIONS.
        (a) Termination.--Not later than June 30, 1997, the Secretary of
    Defense shall terminate the demonstration pilot program for training
    military psychologists in the prescription of psychotropic medications,
    which is referred to in section 8097 of the Department of Defense
    Appropriations Act, 1991 (Public Law 101-511; 104 Stat. 1897).
        (b) Prohibition on Additional Enrollees Pending Termination.--After
    the date of the enactment of this Act, the Secretary of Defense may not
    enroll any new participants for the demonstration pilot program
    described in subsection (a).
        (c) Effect on Current Participants.--The requirement to terminate
    the demonstration pilot program described in subsection (a) shall not
    be construed to affect the training or utilization of military
    psychologists in the prescription of psychotropic medications who are
    participating in the demonstration pilot program on the date of the
    enactment of this Act or who have completed such training before that
    date.
        (d) Evaluation.--As soon as possible after the date of the
    enactment of this Act, but not later than April 1, 1997, the
    Comptroller General of the United States shall submit to Congress a
    report evaluating the success of the demonstration pilot program
    described in subsection (a). The report shall include--
            (1) a cost-benefit analysis of the program;
            (2) a discussion of the utilization requirements under the
        program; and
            (3) recommendations regarding--
                (A) whether the program should be extended so as to
            continue to provide training to military psychologists in the
            prescription of psychotropic medications; and
                (B) any modifications that should be made in the manner in
            which military psychologists are trained and used to prescribe
            psychotropic medications so as to improve the training provided
            under the program, if the program is extended.
        SEC. 743. WAIVER OF COLLECTION OF PAYMENTS DUE FROM CERTAIN PERSONS
          UNAWARE OF LOSS OF CHAMPUS ELIGIBILITY.
        (a) Authority To Waive Collection.--The administering Secretaries
    may waive the collection of payments otherwise due from a person
    described in subsection (b) as a result of the receipt by the person of
    health benefits under section 1086 of title 10, United States Code,
    after the termination of the person's eligibility for such benefits.
        (b) Persons Eligible for Waiver.--A person shall be eligible for
    relief under subsection (a) if the person--
            (1) is a person described in paragraph (1) of subsection (d) of
        section 1086 of title 10, United States Code;
            (2) in the absence of such paragraph, would have been eligible
        for health benefits under such section; and
            (3) at the time of the receipt of such benefits, satisfied the
        criteria specified in subparagraphs (A) and (B) of paragraph (2) of
        such subsection.
        (c) Extent of Waiver Authority.--The authority to waive the
    collection of payments pursuant to this section shall apply with regard
    to health benefits provided under section 1086 of title 10, United
    States Code, to persons described in subsection (b) during the period
    beginning on January 1, 1967, and ending on the later of--
            (1) the termination date of any special enrollment period
        provided under title XVIII of the Social Security Act (42 U.S.C.
        1395 et seq.) specifically for such persons; and
            (2) July 1, 1996.
        (d) Definitions.--For purposes of this section, the term
    ``administering Secretaries'' has the meaning given such term in
    section 1072(3) of title 10, United States Code.
        SEC. 744. DEMONSTRATION PROGRAM TO TRAIN MILITARY MEDICAL PERSONNEL
          IN CIVILIAN SHOCK TRAUMA UNITS.
        (a) Demonstration Program.--(1) Not later than April 1, 1996, the
    Secretary of Defense shall implement a demonstration program to
    evaluate the feasibility of providing shock trauma training for
    military medical personnel through one or more public or nonprofit
    hospitals. The Secretary shall carry out the program pursuant to an
    agreement with such hospitals.
        (2) Under the agreement with a hospital, the Secretary shall assign
    military medical personnel participating in the demonstration program
    to temporary duty in shock trauma units operated by the hospitals that
    are parties to the agreement.
        (3) The agreement shall require, as consideration for the services
    provided by military medical personnel under the agreement, that the
    hospital provide appropriate care to members of the Armed Forces and to
    other persons whose care in the hospital would otherwise require
    reimbursement by the Secretary. The value of the services provided by
    the hospitals shall be at least equal to the value of the services
    provided by military medical personnel under the agreement.
        (b) Termination of Program.--The authority of the Secretary of
    Defense to conduct the demonstration program under this section, and
    any agreement entered into under the demonstration program, shall
    expire on March 31, 1998.
        (c) Report and Evaluation of Program.--(1) Not later than March 1
    of each year in which the demonstration program is conducted under this
    section, the Secretary of Defense shall submit to Congress a report
    describing the scope and activities of the demonstration program during
    the preceding year.
        (2) Not later than May 1, 1998, the Comptroller General of the
    United States shall submit to Congress a report evaluating the
    effectiveness of the demonstration program in providing shock trauma
    training for military medical personnel.
        SEC. 745. STUDY REGARDING DEPARTMENT OF DEFENSE EFFORTS TO
          DETERMINE APPROPRIATE FORCE LEVELS OF WARTIME MEDICAL PERSONNEL.
        (a) Study Required.--The Comptroller General of the United States
    shall conduct a study to evaluate the reasonableness of the models used
    by each military department for determining the appropriate wartime
    force level for medical personnel in the department. The study shall
    include the following:
            (1) An assessment of the modeling techniques used by each
        department.
            (2) An analysis of the data used in the models to identify
        medical personnel requirements.
            (3) An identification of the ability of the models to integrate
        personnel of reserve components to meet department requirements.
            (4) An evaluation of the ability of the Secretary of Defense to
        integrate the various modeling efforts into a comprehensive,
        coordinated plan for obtaining the optimum force level for wartime
        medical personnel.
        (b) Report of Study.--Not later than June 30, 1996, the Comptroller
    General shall report to Congress on the results of the study conducted
    under subsection (a).
        SEC. 746. REPORT ON IMPROVED ACCESS TO MILITARY HEALTH CARE FOR
          COVERED BENEFICIARIES ENTITLED TO MEDICARE.
        Not later than March 1, 1996, the Secretary of Defense shall submit
    to Congress a report evaluating the feasibility, costs, and
    consequences for the military health care system of improving access to
    the system for covered beneficiaries under chapter 55 of title 10,
    United States Code, who have limitedaccess to military medical
    treatment facilities and are ineligible for the Civilian Health and
    Medical Program of the Uniformed Services under section 1086(d)(1) of
    such title. The alternatives that the Secretary shall consider to
    improve access for such covered beneficiaries shall include--
            (1) whether CHAMPUS should serve as a second payer for covered
        beneficiaries who are entitled to hospital insurance benefits under
        part A of title XVIII of the Social Security Act (42 U.S.C. 1395c
        et seq.); and
            (2) whether such covered beneficiaries should be offered
        enrollment in the Federal Employees Health Benefits program under
        chapter 89 of title 5, United States Code.
        SEC. 747. REPORT ON EFFECT OF CLOSURE OF FITZSIMONS ARMY MEDICAL
          CENTER, COLORADO, ON PROVISION OF CARE TO MILITARY PERSONNEL,
          RETIRED MILITARY PERSONNEL, AND THEIR DEPENDENTS.
        (a) Effect of Closure on Members Experiencing Health Difficulties
    Associated With Persian Gulf Syndrome.--Not later than 90 days after
    the date of the enactment of this Act, the Secretary of Defense shall
    submit to Congress a report that--
            (1) assesses the effects of the closure of Fitzsimons Army
        Medical Center, Colorado, on the capability of the Department of
        Defense to provide appropriate and adequate health care to members
        and former members of the Armed Forces who suffer from undiagnosed
        illnesses (or combination of illnesses) as a result of service in
        the Armed Forces in the Southwest Asia theater of operations during
        the Persian Gulf conflict; and
            (2) describes the plans of the Secretary of Defense and the
        Secretary of the Army to ensure that adequate and appropriate
        health care is provided to such members for such illnesses (or
        combination of illnesses).
        (b) Effect of Closure on Other Covered Beneficiaries.--The report
    required by subsection (a) shall also include--
            (1) an assessment of the effects of the closure of Fitzsimons
        Army Medical Center on the capability of the Department of Defense
        to provide appropriate and adequate health care to the dependents
        of members and former members of the Armed Forces and retired
        members and their dependents who currently obtain care at the
        medical center; and
            (2) a description of the plans of the Secretary of Defense and
        the Secretary of the Army to ensure that adequate and appropriate
        health care is provided to such persons, as called for in the
        recommendations of the Secretary of Defense for the closure of
        Fitzsimons Army Medical Center.
        SEC. 748. SENSE OF CONGRESS ON CONTINUITY OF HEALTH CARE SERVICES
          FOR COVERED BENEFICIARIES ADVERSELY AFFECTED BY CLOSURES OF
          MILITARY MEDICAL TREATMENT FACILITIES.
        (a) Findings.--Congress finds the following:
            (1) Military installations selected for closure in the 1991 and
        1993 rounds of the base closure process will soon close.
            (2) Additional military installations have been selected for
        closure in the 1995 round of the base closure process.
            (3) Some of the military installations selected for closure
        include military medical treatment facilities.
            (4) As a result of these base closures, tens of thousands of
        covered beneficiaries under chapter 55 of title 10, United States
        Code, who reside in the vicinity of such installations will be left
        without immediate access to military medical treatment facilities.
        (b) Sense of Congress.--In light of the findings specified in
    subsection (a), it is the sense of Congress that the Secretary of
    Defense should take all appropriate steps necessary to ensure the
    continuation of medical and pharmaceutical benefits for covered
    beneficiaries adversely affected by the closure of military
    installations.
        SEC. 749. STATE RECOGNITION OF MILITARY ADVANCE MEDICAL DIRECTIVES.
        (a) Requirement for Recognition by States.--(1) Chapter 53 of title
    10, United States Code, is amended by inserting after section 1044b the
    following new section:
    ``Sec. 1044c. Advance medical directives of members and dependents:
          requirement for recognition by States
        ``(a) Instruments To Be Given Legal Effect Without Regard to State
    Law.--An advance medical directive executed by a person eligible for
    legal assistance--
            ``(1) is exempt from any requirement of form, substance,
        formality, or recording that is provided for advance medical
        directives under the laws of a State; and
            ``(2) shall be given the same legal effect as an advance
        medical directive prepared and executed in accordance with the laws
        of the State concerned.
        ``(b) Advance Medical Directives.--For purposes of this section, an
    advance medical directive is any written declaration that--
            ``(1) sets forth directions regarding the provision,
        withdrawal, or withholding of life-prolonging procedures, including
        hydration and sustenance, for the declarant whenever the declarant
        has a terminal physical condition or is in a persistent vegetative
        state; or
            ``(2) authorizes another person to make health care decisions
        for the declarant, under circumstances stated in the declaration,
        whenever the declarant is incapable of making informed health care
        decisions.
        ``(c) Statement To Be Included.--(1) Under regulations prescribed
    by the Secretary concerned, an advance medical directive prepared by an
    attorney authorized to provide legal assistance shall contain a
    statement that sets forth the provisions of subsection (a).
        ``(2) Paragraph (1) shall not be construed to make inapplicable the
    provisions of subsection (a) to an advance medical directive that does
    not include a statement described in that paragraph.
        ``(d) States Not Recognizing Advance Medical Directives.--
    Subsection (a) does not make an advance medical directive enforceable
    in a State that does not otherwise recognize and enforce advance
    medical directives under the laws of the State.
        ``(e) Definitions.--In this section:
            ``(1) The term `State' includes the District of Columbia, the
        Commonwealth of Puerto Rico, and a possession of the United States.
            ``(2) The term `person eligible for legal assistance' means a
        person who is eligible for legal assistance under section 1044 of
        this title.
            ``(3) The term `legal assistance' means legal services
        authorized under section 1044 of this title.''.
        (2) The table of sections at the beginning of such chapter is
    amended by inserting after the item relating to section 1044b the
    following:
    ``1044c. Advance medical directives of members and dependents:
              requirement for recognition by States.''.

        (b) Effective Date.--Section 1044c of title 10, United States Code,
    shall take effect on the date of the enactment of this Act and shall
    apply to advance medical directives referred to in that section that
    are executed before, on, or after that date.

      TITLE VIII--ACQUISITION POLICY, ACQUISITION MANAGEMENT, AND RELATED
                                    MATTERS
                         Subtitle A--Acquisition Reform

        SEC. 801. INAPPLICABILITY OF LIMITATION ON EXPENDITURE OF
          APPROPRIATIONS TO CONTRACTS AT OR BELOW SIMPLIFIED ACQUISITION
          THRESHOLD.
        Section 2207 of title 10, United States Code, is amended--
            (1) by inserting ``(a)'' before ``Money appropriated''; and
            (2) by adding at the end the following new subsection:
        ``(b) This section does not apply to a contract that is for an
    amount not greater than the simplified acquisition threshold (as
    defined in section 4(11) of the Office of Federal Procurement Policy
    Act (41 U.S.C. 403(11))).''.
        SEC. 802. AUTHORITY TO DELEGATE CONTRACTING AUTHORITY.
        (a) Repeal of Duplicative Authority and Restriction.--Section 2356
    of title 10, United States Code, is repealed.
        (b) Clerical Amendment.--The table of sections at the beginning of
    chapter 139 of title 10, United States Code, is amended by striking out
    the item relating to section 2356.
        SEC. 803. CONTROL IN PROCUREMENTS OF CRITICAL AIRCRAFT AND SHIP
          SPARE PARTS.
        (a) Repeal.--Section 2383 of title 10, United States Code, is
    repealed.
        (b) Clerical Amendment.--The table of sections at the beginning of
    chapter 141 of such title is amended by striking out the item relating
    to section 2383.

    SEC. 804. FEES FOR CERTAIN TESTING SERVICES.

        Section 2539b(c) of title 10, United States Code, is amended by
    inserting ``and indirect'' after ``recoup the direct'' in the second
    sentence.
        SEC. 805. COORDINATION AND COMMUNICATION OF DEFENSE RESEARCH
          ACTIVITIES.
        Section 2364 of title 10, United States Code, is amended--
            (1) in subsection (b)(5), by striking out ``milestone O,
        milestone I, and milestone II'' and inserting in lieu thereof
        ``acquisition program''; and
            (2) in subsection (c), by striking out paragraphs (2), (3), and
        (4) and inserting in lieu thereof the following:
            ``(2) The term `acquisition program decision' has the meaning
        prescribed by the Secretary of Defense in regulations.''.
        SEC. 806. ADDITION OF CERTAIN ITEMS TO DOMESTIC SOURCE LIMITATION.
        (a) Limitation.--(1) Paragraph (3) of section 2534(a) of title 10,
    United States Code, is amended to read as follows:
            ``(3) Components for naval vessels.--(A) The following
        components:
                ``(i) Air circuit breakers.
                ``(ii) Welded shipboard anchor and mooring chain with a
            diameter of four inches or less.
                ``(iii) Vessel propellers with a diameter of six feet or
            more.
            ``(B) The following components of vessels, to the extent they
        are unique to marine applications: gyrocompasses, electronic
        navigation chart systems, steering controls, pumps, propulsion and
        machinery control systems, and totally enclosed lifeboats.''.
        (2) Subsection (b) of section 2534 of such title is amended by
    adding at the end the following:
            ``(3) Manufacturer of vessel propellers.--In the case of a
        procurement of vessel propellers referred to in subsection
        (a)(3)(A)(ii), the manufacturer of the propellers meets the
        requirements of this subsection only if--
                ``(A) the manufacturer meets the requirements set forth in
            paragraph (1); and
                ``(B) all castings incorporated into such propellers are
            poured and finished in the United States.''.
        (3) Paragraph (1) of section 2534(c) of such title is amended to
    read as follows:
            ``(1) Components for naval vessels.--Subsection (a) does not
        apply to a procurement of spare or repair parts needed to support
        components for naval vessels produced or manufactured outside the
        United States.''.
        (4) Section 2534 of such title is amended by adding at the end the
    following new subsection:
        ``(h) Implementation of Naval Vessel Component Limitation.--In
    implementing subsection (a)(3)(B), the Secretary of Defense--
            ``(1) may not use contract clauses or certifications; and
            ``(2) shall use management and oversight techniques that
        achieve the objective of the subsection without imposing a
        significant management burden on the Government or the contractor
        involved.''.
        (5) Subsection (a)(3)(B) of section 2534 of title 10, United States
    Code, as amended by paragraph (1), shall apply only to contracts
    entered into after March 31, 1996.
        (b) Extension of Limitation Relating to Ball Bearings and Roller
    Bearings.--Section 2534(c)(3) of such title is amended by striking out
    ``October 1, 1995'' and inserting in lieu thereof ``October 1, 2000''.
        (c) Termination of Vessel Propeller Limitation.--Section 2534(c) of
    such title is amended by adding at the end the following new paragraph:
            ``(4) Vessel propellers.--Subsection (a)(3)(A)(iii) and this
        paragraph shall cease to be effective on the date occurring two
        years after the date of the enactment of the National Defense
        Authorization Act for Fiscal Year 1996.''.
        (d) Inapplicability of Simplified Acquisition Limitation to
    Contracts for Ball Bearings and Roller Bearings.--Section 2534(g) of
    title 10, United States Code, is amended--
            (1) by inserting ``(1)'' before ``This section''; and
            (2) by adding at the end the following new paragraph:
        ``(2) Paragraph (1) does not apply to contracts for items described
    in subsection (a)(5) (relating to ball bearings and roller bearings),
    notwithstanding section 33 of the Office of Federal Procurement Policy
    Act (41 U.S.C. 429).''.

    SEC. 807. ENCOURAGEMENT OF USE OF LEASING AUTHORITY.

        (a) In General.--(1) Section 2401a of title 10, United States Code,
    is amended--
            (A) by inserting before ``The Secretary of Defense'' the
        following subsection heading: ``(b) Limitation on Contracts With
        Terms of 18 Months or More.--'';
            (B) by inserting after the section heading the following:
        ``(a) Leasing of Commercial Vehicles and Equipment.--The Secretary
    of Defense may use leasing in the acquisition of commercial vehicles
    and equipment whenever the Secretary determines that leasing of such
    vehicles is practicable and efficient.''; and
            (C) by amending the section heading to read as follows:

    ``Sec. 2401a. Lease of vehicles, equipment, vessels, and aircraft''.

        (2) The item relating to section 2401a in the table of sections at
    the beginning of chapter 141 of such title is amended to read as
    follows:
    ``2401a. Lease of vehicles, equipment, vessels, and aircraft.''.

        (b) Report.--Not later than 90 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 setting forth changes in
    legislation that would be required to facilitate the use of leasing in
    the acquisition of equipment by the Department of Defense.
        (c) Pilot Program.--(1) The Secretary of the Army may conduct a
    pilot program for leasing commercial utility cargo vehicles in
    accordance with this subsection.
        (2) Under the pilot program--
            (A) the Secretary may trade existing commercial utility cargo
        vehicles of the Army for credit against the costs of leasing new
        replacement commercial utility cargo vehicles for the Army;
            (B) the quantities and trade-in value of commercial utility
        cargo vehicles to be traded in shall be subject to negotiation
        between the Secretary and the lessors of the new replacement
        commercial utility cargo vehicles;
            (C) the lease agreement for a new commercial utility cargo
        vehicle may be executed with or without an option to purchase at
        the end of the lease period;
            (D) the lease period for a new commercial utility cargo vehicle
        may not exceed the warranty period for the vehicle; and
            (E) up to 40 percent of the validated requirement for
        commercial utility cargo vehicles may be satisfied by leasing such
        vehicles, except that one or more options for satisfying the
        remainder of the validated requirement may be provided for and
        exercised (subject to the requirements of paragraph (6)).
        (3) In awarding contracts under the pilot program, the Secretary
    shall comply with section 2304 of title 10, United States Code.
        (4) The pilot program may not be commenced until--
            (A) the Secretary submits to the Committee on Armed Services of
        the Senate and the Committee on National Security of the House of
        Representatives a report that contains the plans of the Secretary
        for implementing the program and that sets forth in detail the
        savings in operating and support costs expected to be derived from
        retiring older commercial utility cargo vehicles, as compared to
        the expected costs of leasing newer commercial utility cargo
        vehicles; and
            (B) a period of 30 calendar days has elapsed after submission
        of such report.
        (5) Not later than one year after the date on which the first lease
    under the pilot program is entered into, 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 status of the pilot program. Such report shall be based on at
    least six months of experience in operating the pilot program.
        (6) The Secretary may exercise an option provided for under
    paragraph (2) only after a period of 60 days has elapsed after the
    submission of the report.
        (7) No lease of commercial utility cargo vehicles may be entered
    into under the pilot program after September 30, 2000.
        SEC. 808. COST REIMBURSEMENT RULES FOR INDIRECT COSTS ATTRIBUTABLE
          TO PRIVATE SECTOR WORK OF DEFENSE CONTRACTORS.
        (a) Defense Capability Preservation Agreement.--The Secretary of
    Defense may enter into an agreement, to be known as a ``defense
    capability preservation agreement'', with a defense contractor under
    which the cost reimbursement rules described in subsection (b) shall be
    applied. Such an agreement may be entered into in any case in which the
    Secretary determines that the application of such cost reimbursement
    rules would facilitate the achievement of the policy objectives set
    forth in section 2501(b) of title 10, United States Code.
        (b) Cost Reimbursement Rules.--(1) The cost reimbursement rules
    applicable under an agreement entered into under subsection (a) are as
    follows:
            (A) The Department of Defense shall, in determining the
        reimbursement due a contractor for its indirect costs of performing
        a defense contract, allow the contractor to allocate indirect costs
        to its private sector work only to the extent of the contractor's
        allocable indirect private sector costs, subject to subparagraph
        (C).
            (B) For purposes of subparagraph (A), the allocable indirect
        private sector costs of a contractor are those costs of the
        contractor that are equal to the sum of--
                (i) the incremental indirect costs attributable to such
            work; and
                (ii) the amount by which the revenue attributable to such
            private sector work exceeds the sum of--
                    (I) the direct costs attributable to such private
                sector work; and
                    (II) the incremental indirect costs attributable to
                such private sector work.
            (C) The total amount of allocable indirect private sector costs
        for a contract in any year of the agreement may not exceed the
        amount of indirect costs that a contractor would have allocated to
        its private sector work during that year in accordance with the
        contractor's established accounting practices.
        (2) The cost reimbursement rules set forth in paragraph (1) may be
    modified by the Secretary of Defense if the Secretary of Defense
    determines that modifications are appropriate to the particular
    situation to facilitate achievement of the policy set forth in section
    2501(b) of title 10, United States Code.
        (c) Implementation.--Not later than 90 days after the date of the
    enactment of this Act, the Secretary of Defense shall establish
    application procedures and procedures for expeditious consideration of
    defense capability preservation agreements as authorized by this
    section.
        (d) Contracts Covered.--An agreement entered into with a contractor
    under subsection (a) shall apply to each Department of Defense contract
    with the contractor in effect on the date on which the agreement is
    entered into and each Department of Defense contract that is awarded to
    the contractor during the term of the agreement.
        (e) Reports.--Not later than one year after the date of the
    enactment of this Act, the Secretary of Defense shall submit to the
    congressional defense committees a report setting forth--
            (1) the number of applications received and the number of
        applications approved for defense capability preservation
        agreements; and
            (2) any changes to the authority in this section that the
        Secretary recommends to further facilitate the policy set forth in
        section 2501(b) of title 10, United States Code.

    SEC. 809. SUBCONTRACTS FOR OCEAN TRANSPORTATION SERVICES.

        Notwithstanding any other provision of law, neither section 901(b)
    of the Merchant Marine Act, 1936 (46 U.S.C. 1241(b)) nor section 2631
    of title 10, United States Code, shall be included before May 1, 1996,
    on any list promulgated under section 34(b) of the Office of Federal
    Procurement Policy Act (41 U.S.C. 430(b)).

    SEC. 810. PROMPT RESOLUTION OF AUDIT RECOMMENDATIONS.

        Section 6009 of the Federal Acquisition Streamlining Act of 1994
    (Public Law 103-355; 108 Stat. 3367) is amended to read as follows:
        ``SEC. 6009. PROMPT MANAGEMENT DECISIONS AND IMPLEMENTATION OF
          AUDIT RECOMMENDATIONS.
        ``(a) Management Decisions.--(1) The head of a Federal agency shall
    make management decisions on all findings and recommendations set forth
    in an audit report of the inspector general of the agency within a
    maximum of six months after the issuance of the report.
        ``(2) The head of a Federal agency shall make management decisions
    on all findings and recommendations set forth in an audit report of any
    auditor from outside the Federal Government within a maximum of six
    months after the date on which the head of the agency receives the
    report.
        ``(b) Completion of Final Action.--The head of a Federal agency
    shall complete final action on each management decision required with
    regard to a recommendation in an inspector general's report under
    subsection (a)(1) within 12 months after the date of the inspector
    general's report. If the head of the agency fails to complete final
    action with regard to a management decision within the 12-month period,
    the inspector general concerned shall identify the matter in each of
    the inspector general's semiannual reports pursuant to section 5(a)(3)
    of the Inspector General Act of 1978 (5 U.S.C. App.) until final action
    on the management decision is completed.''.
        SEC. 811. TEST PROGRAM FOR NEGOTIATION OF COMPREHENSIVE
          SUBCONTRACTING PLANS.
        (a) Revision of Authority.--Subsection (a) of section 834 of
    National Defense Authorization Act for Fiscal Years 1990 and 1991 (15
    U.S.C. 637 note) is amended by striking out paragraph (1) and inserting
    in lieu thereof the following:
        ``(1) The Secretary of Defense shall establish a test program under
    which contracting activities in the military departments and the
    Defense Agencies are authorized to undertake one or more demonstration
    projects to determine whether the negotiation and administration of
    comprehensive subcontracting plans will reduce administrative burdens
    on contractors while enhancing opportunities provided under Department
    of Defense contracts for small business concerns and small business
    concerns owned and controlled by socially and economically
    disadvantaged individuals. In selecting the contracting activities to
    undertake demonstration projects, the Secretary shall take such action
    as is necessary to ensure that a broad range of the supplies and
    services acquired by the Department of Defense are included in the test
    program.''.
        (b) Covered Contractors.--Subsection (b) of such section is amended
    by striking out paragraph (3) and inserting in lieu thereof the
    following:
        ``(3) A Department of Defense contractor referred to in paragraph
    (1) is, with respect to a comprehensive subcontracting plan negotiated
    in any fiscal year, a business concern that,during the immediately
    preceding fiscal year, furnished the Department of Defense with
    supplies or services (including professional services, research and
    development services, and construction services) pursuant to at least
    three Department of Defense contracts having an aggregate value of at
    least $5,000,000.''.
        (c) Technical Amendments.--Such section is amended--
            (1) by striking out subsection (g); and
            (2) by redesignating subsection (h) as subsection (g).
        SEC. 812. PROCUREMENT OF ITEMS FOR EXPERIMENTAL OR TEST PURPOSES.
        Section 2373(b) of title 10, United States Code, is amended by
    inserting ``only'' after ``applies'' in the second sentence.
        SEC. 813. USE OF FUNDS FOR ACQUISITION OF DESIGNS, PROCESSES,
          TECHNICAL DATA, AND COMPUTER SOFTWARE.
        Section 2386(3) of title 10, United States Code, is amended to read
    as follows:
            ``(3) Design and process data, technical data, and computer
        software.''.
        SEC. 814. INDEPENDENT COST ESTIMATES FOR MAJOR DEFENSE ACQUISITION
          PROGRAMS.
        Section 2434(b)(1)(A) of title 10, United States Code, is amended
    to read as follows:
                ``(A) be prepared--
                    ``(i) by an office or other entity that is not under
                the supervision, direction, or control of the military
                department, Defense Agency, or other component of the
                Department of Defense that is directly responsible for
                carrying out the development or acquisition of the program;
                or
                    ``(ii) if the decision authority for the program has
                been delegated to an official of a military department,
                Defense Agency, or other component of the Department of
                Defense, by an office or other entity that is not directly
                responsible for carrying out the development or acquisition
                of the program; and''.

    SEC. 815. CONSTRUCTION, REPAIR, ALTERATION, FURNISHING, AND EQUIPPING
                  OF NAVAL VESSELS.

        (a) Applicability of Certain Law.--Chapter 633 of title 10, United
    States Code, is amended by inserting after section 7297 the following:

    ``Sec. 7299. Contracts: applicability of Walsh-Healey Act

        ``Each contract for the construction, alteration, furnishing, or
    equipping of a naval vessel is subject to the Walsh-Healey Act (41
    U.S.C. 35 et seq.) unless the President determines that this
    requirement is not in the interest of national defense.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by inserting after the item relating to section
    7297 the following:
    ``7299. Contracts: applicability of Walsh-Healey Act.''.

                           Subtitle B--Other Matters

    SEC. 821. 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 1996 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. 822. DEFENSE FACILITY-WIDE PILOT PROGRAM.

        (a) Authority To Conduct Defense Facility-Wide Pilot Program.--The
    Secretary of Defense may conduct a pilot program, to be known as the
    ``defense facility-wide pilot program'', for the purpose of determining
    the potential for increasing the efficiency and effectiveness of the
    acquisition process in facilities by using commercial practices on a
    facility-wide basis.
        (b) Designation of Participating Facilities.--(1) Subject to
    paragraph (2), the Secretary may designate up to two facilities as
    participants in the defense facility-wide pilot program.
        (2) The Secretary may designate for participation in the pilot
    program only those facilities that are authorized to be so designated
    in a law authorizing appropriations for national defense programs that
    is enacted after the date of the enactment of this Act.
        (c) Scope of Program.--At a facility designated as a participant in
    the pilot program, the pilot program shall consist of the following:
            (1) All contracts and subcontracts for defense supplies and
        services that are performed at the facility.
            (2) All Department of Defense contracts and all subcontracts
        under Department of Defense contracts performed elsewhere that the
        Secretary determines are directly and substantially related to the
        production of defense supplies and services at the facility and are
        necessary for the pilot program.
        (d) Criteria for Designation of Participating Facilities.--The
    Secretary shall establish criteria for selecting a facility for
    designation as a participant in the pilot program. In developing such
    criteria, the Secretary shall consider the following:
            (1) The number of existing and anticipated contracts and
        subcontracts performed at the facility--
                (A) for which contractors are required to provide certified
            cost or pricing data pursuant to section 2306a of title 10,
            United States Code; and
                (B) which are administered with the application of cost
            accounting standards under section 26(f) of the Office of
            Federal Procurement Policy Act (41 U.S.C. 422(f)).
            (2) The relationship of the facility to other organizations and
        facilities performing under contracts with the Department of
        Defense and subcontracts under such contracts.
            (3) The impact that the participation of the facility under the
        pilot program would have on competing domestic manufacturers.
            (4) Such other factors as the Secretary considers appropriate.
        (e) Notification.--(1) The Secretary shall transmit to the
    Committee on Armed Services of the Senate and the Committee on National
    Security of the House of Representatives a written notification of each
    facility proposed to be designated by the Secretary for participation
    in the pilot program.
        (2) The Secretary shall include in the notification regarding a
    facility designated for participation in the program a management plan
    addressing the following:
            (A) The proposed treatment of research and development
        contracts or subcontracts to be performed at the facility during
        the pilot program.
            (B) The proposed treatment of the cost impact of the use of
        commercial practices on the award and administration of contracts
        and subcontracts performed at the facility.
            (C) The proposed method for reimbursing the contractor for
        existing and new contracts.
            (D) The proposed method for measuring the performance of the
        facility for meeting the management goals of the Secretary.
            (E) Estimates of the annual amount and the total amount of the
        contracts and subcontracts covered under the pilot program.
        (3)(A) The Secretary shall ensure that the management plan for a
    facility provides for attainment of the following objectives:
            (i) A significant reduction of the cost to the Government for
        programs carried out at the facility.
            (ii) A reduction of the schedule associated with programs
        carried out at the facility.
            (iii) An increased use of commercial practices and procedures
        for programs carried out at the facility.
            (iv) Protection of a domestic manufacturer competing for
        contracts at such facility from being placed at a significant
        competitive disadvantage by the participation of the facility in
        the pilot program.
        (B) The management plan for a facility shall also require that all
    or substantially all of the contracts to be awarded and performed at
    the facility after the designation of that facility under subsection
    (b), and all or substantially all of the subcontracts to be awarded
    under those contracts and performed at the facility after the
    designation, be--
            (i) for the production of supplies or services on a firm-fixed
        price basis;
            (ii) awarded without requiring the contractors or
        subcontractors to provide certified cost or pricing data pursuant
        to section 2306a of title 10, United States Code; and
            (iii) awarded and administered without the application of cost
        accounting standards under section 26(f) of the Office of Federal
        Procurement Policy Act (41 U.S.C. 422(f)).
        (f) Exemption From Certain Requirements.--In the case of a contract
    or subcontract that is to be performed at a facility designated for
    participation in the defense facility-wide pilot program and that is
    subject to section 2306a of title 10, United States Code, or section
    26(f) of the Office of Federal Procurement Policy Act (41 U.S.C.
    422(f)), the Secretary of Defense may exempt such contract or
    subcontract from the requirement to obtain certified cost or pricing
    data under such section 2306a or the requirement to apply mandatory
    cost accounting standards under such section 26(f) if the Secretary
    determines that the contract or subcontract--
            (1) is within the scope of the pilot program (as described in
        subsection (c)); and
            (2) is fairly and reasonably priced based on information other
        than certified cost and pricing data.
        (g) Special Authority.--The authority provided under subsection (a)
    includes authority for the Secretary of Defense--
            (1) to apply any amendment or repeal of a provision of law made
        in this Act to the pilot program before the effective date of such
        amendment or repeal; and
            (2) to apply to a procurement of items other than commercial
        items under such program--
                (A) the authority provided in section 34 of the Office of
            Federal Procurement Policy Act (41 U.S.C. 430) to waive a
            provision of law in the case of commercial items, and
                (B) any exception applicable under this Act or the Federal
            Acquisition Streamlining Act of 1994 (Public Law 103-355) (or
            an amendment made by a provision of either Act) in the case of
            commercial items,
        before the effective date of such provision (or amendment) to the
        extent that the Secretary determines necessary to test the
        application of such waiver or exception to procurements of items
        other than commercial items.
        (h) Applicability.--(1) Subsections (f) and (g) apply to the
    following contracts, if such contracts are within the scope of the
    pilot program at a facility designated for the pilot program under
    subsection (b):
            (A) A contract that is awarded or modified during the period
        described in paragraph (2).
            (B) A contract that is awarded before the beginning of such
        period, that is to be performed (or may be performed), in whole or
        in part, during such period, and thatmay be modified as appropriate
    at no cost to the Government.
        (2) The period referred to in paragraph (1), with respect to a
    facility designated under subsection (b), is the period that--
            (A) begins 45 days after the date of the enactment of the Act
        authorizing the designation of that facility in accordance with
        paragraph (2) of such subsection; and
            (B) ends on September 30, 2000.
        (i) Commercial Practices Encouraged.--With respect to contracts and
    subcontracts within the scope of the defense facility-wide pilot
    program, the Secretary of Defense may, to the extent the Secretary
    determines appropriate and in accordance with applicable law, adopt
    commercial practices in the administration of contracts and
    subcontracts. Such commercial practices may include the following:
            (1) Substitution of commercial oversight and inspection
        procedures for Government audit and access to records.
            (2) Incorporation of commercial oversight, inspection, and
        acceptance procedures.
            (3) Use of alternative dispute resolution techniques (including
        arbitration).
            (4) Elimination of contract provisions authorizing the
        Government to make unilateral changes to contracts.
        SEC. 823. TREATMENT OF DEPARTMENT OF DEFENSE CABLE TELEVISION
          FRANCHISE AGREEMENTS.
        Not later than 180 days after the date of the enactment of this
    Act, the chief judge of the United States Court of Federal Claims shall
    transmit to Congress a report containing an advisory opinion on the
    following two questions:
            (1) Is it within the power of the executive branch to treat
        cable television franchise agreements for the construction,
        installation, or capital improvement of cable television systems at
        military installations of the Department of Defense as contracts
        under part 49 of the Federal Acquisition Regulation without
        violating title VI of the Communications Act of 1934 (47 U.S.C. 521
        et seq.)?
            (2) If the answer to the question in paragraph (1) is in the
        affirmative, is the executive branch required by law to so treat
        such franchise agreements?

    SEC. 824. EXTENSION OF PILOT MENTOR-PROTEGE PROGRAM.

        Section 831(j)(1) of the National Defense Authorization Act for
    Fiscal Year 1991 (10 U.S.C. 2301 note) is amended by striking out
    ``1995'' and inserting in lieu thereof ``1996''.

          TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT
                          Subtitle A--General Matters

        SEC. 901. ORGANIZATION OF THE OFFICE OF THE SECRETARY OF DEFENSE.
        (a) Findings.--Congress makes the following findings:
            (1) The statutory provisions that as of the date of the
        enactment of this Act govern the organization of the Office of the
        Secretary of Defense have evolved from enactment of a number of
        executive branch legislative proposals and congressional
        initiatives over a period of years.
            (2) The May 1995 report of the congressionally mandated
        Commission on Roles and Missions of the Armed Forces included a
        number of recommendations relating to the Office of the Secretary
        of Defense.
            (3) The Secretary of Defense has decided to create a special
        Department task force and to conduct other reviews to review many
        of the Commission's recommendations.
            (4) The Secretary of Defense has decided to institute a 5
        percent per year reduction of civilian personnel assigned to the
        Office of the Secretary of Defense, including the Washington
        Headquarters Service and the Defense Support Activities, for the
        period from fiscal year 1996 through fiscal year 2001.
            (5) Over the ten-year period from 1986 through 1995, defense
        spending in real dollars has been reduced by 34 percent and
        military end-strengths have been reduced by 28 percent. During the
        same period, the number of civilian employees of the Office of the
        Secretary of Defense has increased by 22 percent.
            (6) To achieve greater efficiency and to revalidate the role
        and mission of the Office of the Secretary of Defense, a
        comprehensive review of the organizations and functions of that
        Office and of the personnel needed to carry out those functions is
        required.
        (b) Review.--The Secretary of Defense shall conduct a further
    review of the organizations and functions of the Office of the
    Secretary of Defense, including the Washington Headquarters Service and
    the Defense Support Activities, and the personnel needed to carry out
    those functions. The review shall include the following:
            (1) An assessment of the appropriate functions of the Office
        and whether the Office of the Secretary of Defense or some of its
        component parts should be organized along mission lines.
            (2) An assessment of the adequacy of the present organizational
        structure to efficiently and effectively support the Secretary in
        carrying out his responsibilities in a manner that ensures civilian
        authority in the Department of Defense.
            (3) An assessment of the advantages and disadvantages of the
        use of political appointees to fill the positions of the various
        Under Secretaries of Defense, Assistant Secretaries of Defense, and
        Deputy Under Secretaries of Defense.
            (4) An assessment of the extent of unnecessary duplication of
        functions between the Office of the Secretary of Defense and the
        Joint Staff.
            (5) An assessment of the extent of unnecessary duplication of
        functions between the Office of the Secretary of Defense and the
        military departments.
            (6) An assessment of the appropriate number of positions
        referred to in paragraph (3) and of Deputy Assistant Secretaries of
        Defense.
            (7) An assessment of whether some or any of the functions
        currently performed by the Office of Humanitarian and Refugee
        Affairs are more properly or effectively performed by another
        agency of Government or elsewhere within the Department of Defense.
            (8) An assessment of the efficacy of the Joint Requirements
        Oversight Council and whether it is advisable or necessary to
        establish a statutory charter for this organization.
            (9) An assessment of any benefits or efficiencies derived from
        decentralizing certain functions currently performed by the Office
        of the Secretary of Defense.
            (10) An assessment of the appropriate size, number, and
        functional responsibilities of the Defense Agencies and other
        Department of Defense support organizations.
        (c) Report.--Not later than March 1, 1996, the Secretary of Defense
    shall submit to the congressional defense committees a report
    containing --
            (1) his findings and conclusions resulting from the review
        under subsection (b); 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.
        (d) Personnel Reduction.--(1) Effective October 1, 1999, the number
    of OSD personnel may not exceed 75 percent of the number of OSD
    personnel as of October 1, 1994.
        (2) For purposes of this subsection, 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).
        (3) In carrying out reductions in the number of personnel assigned
    to, or employed in, the Office of the Department of Defense in order to
    comply with paragraph (1), the Secretary may not reassign functions
    solely in order to evade the requirement contained in that paragraph.
        (4) If the Secretary of Defense determines, and certifies to
    Congress, that the limitation in paragraph (1) would adversely affect
    United States national security, the limitation under paragraph (1)
    shall be applied by substituting ``80 percent'' for ``75 percent''.
        SEC. 902. REDUCTION IN NUMBER OF ASSISTANT SECRETARY OF DEFENSE
          POSITIONS.
        (a) Reduction.--Section 138(a) of title 10, United States Code, is
    amended by striking out ``eleven'' and inserting in lieu thereof
    ``ten''.
        (b) Conforming Amendment.--Section 5315 of title 5, United States
    Code, is amended by striking out ``(11)'' after ``Assistant Secretaries
    of Defense'' and inserting in lieu thereof ``(10)''.
        SEC. 903. DEFERRED REPEAL OF VARIOUS STATUTORY POSITIONS AND
          OFFICES IN OFFICE OF THE SECRETARY OF DEFENSE.
        (a) Effective Date.--The amendments made by this section shall take
    effect on January 31, 1997.
        (b) Termination of Specification by Law of ASD Positions.--
    Subsection (b) of section 138 of title 10, United States Code, is
    amended to read as follows:
        ``(b) The Assistant Secretaries shall perform such duties and
    exercise such powers as the Secretary of Defense may prescribe.''.
        (c) Repeal of Certain OSD Presidential Appointment Positions.--The
    following sections of chapter 4 of such title are repealed:
            (1) Section 133a, relating to the Deputy Under Secretary of
        Defense for Acquisition and Technology.
            (2) Section 134a, relating to the Deputy Under Secretary of
        Defense for Policy.
            (3) Section 137, relating to the Director of Defense Research
        and Engineering.
            (4) Section 142, relating to the Assistant to the Secretary of
        Defense for Nuclear and Chemical and Biological Defense Programs.
        (d) Director of Military Relocation Assistance Programs.--Section
    1056 of such title is amended by striking out subsection (d).
        (e) Conforming Amendments Relating to Repeal of Various OSD
    Positions.--Chapter 4 of such title is further amended--
            (1) in section 131(b)--
                (A) by striking out paragraphs (6) and (8); and
                (B) by redesignating paragraphs (7), (9), (10), and (11),
            as paragraphs (6), (7), (8), and (9), respectively;
            (2) in section 138(d), by striking out ``the Under Secretaries
        of Defense, and the Director of Defense Research and Engineering''
        and inserting in lieu thereof ``and the Under Secretaries of
        Defense''; and
            (3) in the table of sections at the beginning of the chapter,
        by striking out the items relating to sections 133a, 134a, 137, and
        142.
        (f) Conforming Amendments Relating to Repeal of Specification of
    ASD Positions.--
            (1) Section 176(a)(3) of title 10, United States Code, is
        amended--
                (A) by striking out ``Assistant Secretary of Defense for
            Health Affairs'' and inserting in lieu thereof ``official in
            the Department of Defense with principal responsibility for
            health affairs''; and
                (B) by striking out ``Chief Medical Director of the
            Department of Veterans Affairs'' and inserting in lieu thereof
            ``Under Secretary for Health of the Department of Veterans
            Affairs''.
            (2) Section 1216(d) of such title is amended by striking out
        ``Assistant Secretary of Defense for Health Affairs'' and inserting
        in lieu thereof ``official in the Department of Defense with
        principal responsibility for health affairs''.
            (3) Section 1587(d) of such title is amended by striking out
        ``Assistant Secretary of Defense for Manpower and Logistics'' and
        inserting in lieu thereof ``official in the Department of Defense
        with principal responsibility for personnel and readiness''.
            (4) The text of section 10201 of such title is amended to read
        as follows:
        ``The official in the Department of Defense with responsibility for
    overall supervision of reserve component affairs of the Department of
    Defense is the official designated by the Secretary of Defense to have
    that responsibility.''.
            (5) Section 1211(b)(2) of the National Defense Authorization
        Act for Fiscal Years 1988 and 1989 (P.L. 100-180; 101 Stat 1155; 10
        U.S.C. 167 note) is amended by striking out ``the Assistant
        Secretary of Defense for Special Operations and Low Intensity
        Conflict'' and inserting in lieu thereof ``the official designated
        by the Secretary of Defense to have principal responsibility for
        matters relating to special operations and low intensity
        conflict''.
        (g) Repeal of Minimum Number of Senior Staff for Specified
    Assistant Secretary of Defense.--Section 355 of the National Defense
    Authorization Act for Fiscal Year 1991 (Public Law 101-510; 104 Stat.
    1540) is repealed.
        SEC. 904. REDESIGNATION OF THE POSITION OF ASSISTANT TO THE
          SECRETARY OF DEFENSE FOR ATOMIC ENERGY.
        (a) In General.--(1) Section 142 of title 10, United States Code,
    is amended--
            (A) by striking out the section heading and inserting in lieu
        thereof the following:
    ``Sec. 142. Assistant to the Secretary of Defense for Nuclear and
        Chemical and Biological Defense Programs'';
            (B) in subsection (a), by striking out ``Assistant to the
        Secretary of Defense for Atomic Energy'' and inserting in lieu
        thereof ``Assistant to the Secretary of Defense for Nuclear and
        Chemical and Biological Defense Programs''; and
            (C) by striking out subsection (b) and inserting in lieu
        thereof the following:
        ``(b) The Assistant to the Secretary shall--
            ``(1) advise the Secretary of Defense on nuclear energy,
        nuclear weapons, and chemical and biological defense;
            ``(2) serve as the Staff Director of the Nuclear Weapons
        Council established by section 179 of this title; and
            ``(3) perform such additional duties as the Secretary may
        prescribe.''.
        (2) The item relating to such section in the table of sections at
    the beginning of chapter 4 of such title is amended to read as follows:
    ``142. Assistant to the Secretary of Defense for Nuclear and Chemical
              and Biological Defense Programs.''.

        (b) Conforming Amendments.--(1) Section 179(c)(2) of title 10,
    United States Code, is amended by striking out ``The Assistant to the
    Secretary of Defense for Atomic Energy'' and inserting in lieu thereof
    ``The Assistant to the Secretary of Defense for Nuclear and Chemical
    and Biological Defense Programs''.
        (2) Section 5316 of title 5, United States Code, is amended by
    striking out ``The Assistant to the Secretary of Defense for Atomic
    Energy, Department of Defense.'' and inserting in lieu thereof the
    following:
            ``Assistant to the Secretary of Defense for Nuclear and
        Chemical and Biological Defense Programs, Department of Defense.''.

    SEC. 905. JOINT REQUIREMENTS OVERSIGHT COUNCIL.

        (a) In General.--(1) Chapter 7 of title 10, United States Code, is
    amended by adding at the end the following new section:

    ``Sec. 181. Joint Requirements Oversight Council

        ``(a) Establishment.--The Secretary of Defense shall establish a
    Joint Requirements Oversight Council in the Department of Defense.
        ``(b) Mission.--In addition to other matters assigned to it by the
    President or Secretary of Defense, the Joint Requirements Oversight
    Council shall--
            ``(1) assist the Chairman of the Joint Chiefs of Staff in
        identifying and assessing the priority of joint military
        requirements (including existing systems and equipment) to meet the
        national military strategy;
            ``(2) assist the Chairman in considering alternatives to any
        acquisition program that has been identified to meet military
        requirements by evaluating the cost, schedule, and performance
        criteria of the program and of the identified alternatives; and
            ``(3) as part of its mission to assist the Chairman in
        assigning joint priority among existing and future programs meeting
        valid requirements, ensure that the assignment of such priorities
        conforms to and reflects resource levels projected by the Secretary
        of Defense through defense planning guidance.
        ``(c) Composition.--(1) The Joint Requirements Oversight Council is
    composed of--
            ``(A) the Chairman of the Joint Chiefs of Staff, who is the
        chairman of the Council;
            ``(B) an Army officer in the grade of general;
            ``(C) a Navy officer in the grade of admiral;
            ``(D) an Air Force officer in the grade of general; and
            ``(E) a Marine Corps officer in the grade of general.
        ``(2) Members of the Council, other than the Chairman of the Joint
    Chiefs of Staff, shall be selected by the Chairman of the Joint Chiefs
    of Staff, after consultation with the Secretary of Defense, from
    officers in the grade of general or admiral, as the case may be, who
    are recommended for such selection by the Secretary of the military
    department concerned.
        ``(3) The functions of the Chairman of the Joint Chiefs of Staff as
    chairman of the Council may only be delegated to the Vice Chairman of
    the Joint Chiefs of Staff.''.
        (2) The table of sections at the beginning of such chapter is
    amended by adding at the end the following new item:
    ``181. Joint Requirements Oversight Council.''.

        (b) Effective Date.--The amendments made by this section shall take
    effect on January 31, 1997.
        SEC. 906. RESTRUCTURING OF DEPARTMENT OF DEFENSE ACQUISITION
          ORGANIZATION AND WORKFORCE.
        (a) Restructuring Report.--Not later than March 1, 1996, the
    Secretary of Defense shall submit to Congress a report on the
    acquisition organization and workforce of the Department of Defense.
    The report shall include--
            (1) the plan described in subsection (b); and
            (2) the assessment of streamlining and restructuring options
        described in subsection (c).
        (b) Plan for Restructuring.--(1) The Secretary shall include in the
    report under subsection (a) a plan on how to restructure the current
    acquisition organization of the Department of Defense in a manner that
    would enable the Secretary to accomplish the following:
            (A) Reduce the number of military and civilian personnel
        assigned to, or employed in, acquisition organizations of the
        Department of Defense (as defined by the Secretary) by 25 percent
        over a period of five years, beginning on October 1, 1995.
            (B) Eliminate duplication of functions among existing
        acquisition organizations of the Department of Defense.
            (C) Maximize opportunity for consolidation among acquisition
        organizations of the Department of Defense to reduce management
        overhead.
        (2) In the report, the Secretary shall also identify any statutory
    requirement or congressional directive that inhibits any proposed
    restructuring plan or reduction in the size of the defense acquisition
    organization.
        (3) In designing the plan under paragraph (1), the Secretary shall
    give full consideration to the process efficiencies expected to be
    achieved through the implementation of the Federal Acquisition
    Streamlining Act of 1994 (Public Law 103-355), the Federal Acquisition
    Reform Act of 1995 (division D of this Act), and other ongoing
    initiatives to increase the use of commercial practices and reduce
    contract overhead in the defense procurement system.
        (c) Assessment of Specified Restructuring Options.--The Secretary
    shall include in the report under subsection (a) a detailed assessment
    of each of the following options for streamlining and restructuring the
    existing defense acquisition organization, together with a specific
    recommendation as to whether each such option should be implemented:
            (1) Consolidation of certain functions of the Defense Contract
        Audit Agency and the Defense Contract Management Command.
            (2) Contracting for performance of a significant portion of the
        workload of the Defense Contract Audit Agency and other Defense
        Agencies that perform acquisition functions.
            (3) Consolidation or selected elimination of Department of
        Defense acquisition organizations.
            (4) Any other defense acquisition infrastructure streamlining
        or restructuring option the Secretary may determine.
        (d) Reduction of Acquisition Workforce.--(1) The Secretary of
    Defense shall accomplish reductions in defense acquisition personnel
    positions during fiscal year 1996 so that the total number of such
    personnel as of October 1, 1996, is less than the total number of such
    personnel as of October 1, 1995, by at least 15,000.
        (2) For purposes of this subsection, the term ``defense acquisition
    personnel'' means military and civilian personnel assigned to, or
    employed in, acquisition organizations of the Department of Defense (as
    specified in Department of Defense Instruction numbered 5000.58 dated
    January 14, 1992) with the exception of personnel who possess technical
    competence in trade-skill maintenance and repair positions involved in
    performing depot maintenance functions.
        SEC. 907. REPORT ON NUCLEAR POSTURE REVIEW AND ON PLANS FOR NUCLEAR
          WEAPONS MANAGEMENT IN EVENT OF ABOLITION OF DEPARTMENT OF ENERGY.
        (a) Report Required.--The Secretary of Defense shall submit to
    Congress a report concerning the nuclear weapons complex. The report
    shall set forth--
            (1) the Secretary's views on the effectiveness of the
        Department of Energy in managing the nuclear weapons complex,
        including the fulfillment of the requirements for nuclear weapons
        established for the Department of Energy in the Nuclear Posture
        Review; and
            (2) the Secretary's recommended plan for the incorporation into
        the Department of Defense of the national security programs of the
        Department of Energy if the Department of Energy should be
        abolished and those programs be transferred to the Department of
        Defense.
        (b) Definition.--For purposes of this section, the term ``Nuclear
    Posture Review'' means the Department of Defense Nuclear Posture Review
    as contained in the report entitled ``Report of the Secretary of
    Defense to the President and the Congress'', dated February 19, 1995,
    or in subsequent such reports.
        (c) Submission Of Report.--The report under subsection (a) shall be
    submitted not later than March 15, 1996.
        SEC. 908. REDESIGNATION OF ADVANCED RESEARCH PROJECTS AGENCY.
        (a) Redesignation.--The agency in the Department of Defense known
    as the Advanced Research Projects Agency shall after the date of the
    enactment of this Act be designated as the Defense Advanced Research
    Projects Agency.
        (b) References.--Any reference in any law, regulation, document,
    record, or other paper of the United States or in any provision of this
    Act to the Advanced Research Projects Agency shall be considered to be
    a reference to the Defense Advanced Research Projects Agency.

                        Subtitle B--Financial Management

        SEC. 911. TRANSFER AUTHORITY REGARDING FUNDS AVAILABLE FOR FOREIGN
          CURRENCY FLUCTUATIONS.
        (a) Transfers to Military Personnel Accounts Authorized.--Section
    2779 of title 10, United States Code, is amended by adding at the end
    the following:
        ``(c) Transfers to Military Personnel Accounts.--The Secretary of
    Defense may transfer funds to military personnel appropriations for a
    fiscal year out of funds available to the Department of Defense for
    that fiscal year under the appropriation `Foreign Currency
    Fluctuations, Defense'.''.
        (b) Revision and Codification of Authority for Transfers to Foreign
    Currency Fluctuations Account.--Section 2779 of such title, as amended
    by subsection (a), is further amended by adding at the end the
    following:
        ``(d) Transfers to Foreign Currency Fluctuations Account.--(1) The
    Secretary of Defense may transfer to the appropriation `Foreign
    Currency Fluctuations, Defense' unobligated amounts of funds
    appropriated for operation and maintenance and unobligated amounts of
    funds appropriated for military personnel.
        ``(2) Any transfer from an appropriation under paragraph (1) shall
    be made not later than the end of the second fiscal year following the
    fiscal year for which the appropriation is provided.
        ``(3) Any transfer made pursuant to the authority provided in this
    subsection shall be limited so that the amount in the appropriation
    `Foreign Currency Fluctuations, Defense' does not exceed $970,000,000
    at the time the transfer is made.''.
        (c) Conditions of Availability for Transferred Funds.--Section 2779
    of such title, as amended by subsection (b), is further amended by
    adding at the end the following:
        ``(e) Conditions of Availability for Transferred Funds.--Amounts
    transferred under subsection (c) or (d) shall be merged with and be
    available for the same purposes and for the same period as the
    appropriations to which transferred.''.
        (d) Repeal of Superseded Provisions.--(1) Section 767A of Public
    Law 96-527 (94 Stat. 3093) is repealed.
        (2) Section 791 of the Department of Defense Appropriation Act,
    1983 (enacted in section 101(c) of Public Law 97-377; 96 Stat. 1865) is
    repealed.
        (e) Technical Amendments.--Section 2779 of title 10, United States
    Code, is amended--
            (1) in subsection (a), by striking out ``(a)(1)'' and inserting
        in lieu thereof ``(a) Transfers Back to Foreign Currency
        Fluctuations Appropriation.--(1)'';
            (2) in subsection (a)(2), by striking out ``2d fiscal year''
        and inserting in lieu thereof ``second fiscal year''; and
            (3) in subsection (b), by striking out ``(b)(1)'' and inserting
        in lieu thereof ``(b) Funding for Losses in Military Construction
        and Family Housing.--(1)''.
        (f) Effective Date.--Subsections (c) and (d) of section 2779 of
    title 10, United States Code, as added by subsections (a) and (b), and
    the repeals made by subsection (d), shall apply only with respect to
    amounts appropriated for a fiscal year after fiscal year 1995.

    SEC. 912. DEFENSE MODERNIZATION ACCOUNT.

        (a) Establishment and Use.--(1) Chapter 131 of title 10, United
    States Code, is amended by inserting after section 2215 the following
    new section:

    ``Sec. 2216. Defense Modernization Account

        ``(a) Establishment.--There is established in the Treasury an
    account to be known as the `Defense Modernization Account'.
        ``(b) Transfers to Account.--(1)(A) Upon a determination by the
    Secretary of a military department or the Secretary of Defense with
    respect to Defense-wide appropriations accounts of the availability and
    source of funds described in subparagraph (B), that Secretary may
    transfer to the Defense Modernization Account during any fiscal year
    any amount of funds available to the Secretary described in that
    subparagraph. Such funds may be transferred to that account only after
    the Secretary concerned notifies the congressional defense committees
    in writing of the amount and source of the proposed transfer.
        ``(B) This subsection applies to the following funds available to
    the Secretary concerned:
            ``(i) Unexpired funds in appropriations accounts that are
        available for procurement and that, as a result of economies,
        efficiencies, and other savings achieved in carrying out a
        particular procurement, are excess to the requirements of that
        procurement.
            ``(ii) Unexpired funds that are available during the final 30
        days of a fiscal year for support of installations and facilities
        and that, as a result of economies, efficiencies, and other
        savings, are excess to the requirements for support of
        installations and facilities.
        ``(C) Any transfer under subparagraph (A) shall be made under
    regulations prescribed by the Secretary of Defense.
        ``(2) Funds referred to in paragraph (1) may not be transferred to
    the Defense Modernization Account if--
            ``(A) the funds are necessary for programs, projects, and
        activities that, as determined by the Secretary, have a higher
        priority than the purposes for which the funds would be available
        if transferred to that account; or
            ``(B) the balance of funds in the account, after transfer of
        funds to the account, would exceed $1,000,000,000.
        ``(3) Amounts credited to the Defense Modernization Account shall
    remain available for transfer until the end of the third fiscal year
    that follows the fiscal year in which the amounts are credited to the
    account.
        ``(4) The period of availability of funds for expenditure provided
    for in sections 1551 and 1552 of title 31 may not be extended by
    transfer into the Defense Modernization Account.
        ``(c) Scope of Use of Funds.--Funds transferred to the Defense
    Modernization Account from funds appropriated for a military
    department, Defense Agency, or other element of the Department of
    Defense shall be available in accordance with subsections (f) and (g)
    only for transfer to funds available for that military department,
    Defense Agency, or other element.
        ``(d) Authorized Use of Funds.--Funds available from the Defense
    Modernization Account pursuant to subsection (f) or (g) may be used for
    the following purposes:
            ``(1) For increasing, subject to subsection (e), the quantity
        of items and services procured under a procurement program in order
        to achieve a more efficient production or delivery rate.
            ``(2) For research, development, test, and evaluation and for
        procurement necessary for modernization of an existing system or of
        a system being procured under an ongoing procurement program.
        ``(e) Limitations.--(1) Funds in the Defense Modernization Account
    may not be used to increase the quantity of an item or services
    procured under a particular procurement program to the extent that
    doing so would--
            ``(A) result in procurement of a total quantity of items or
        services in excess of--
                ``(i) a specific limitation provided by law on the quantity
            of the items or services that may be procured; or
                ``(ii) the requirement for the items or services as
            approved by the Joint Requirements Oversight Council and
            reported to Congress by the Secretary of Defense; or
            ``(B) result in an obligation or expenditure of funds in excess
        of a specific limitation provided by law on the amount that may be
        obligated or expended, respectively, for that procurement program.
        ``(2) Funds in the Defense Modernization Account may not be used
    for a purpose or program for which Congress has not authorized
    appropriations.
        ``(3) Funds may not be transferred from the Defense Modernization
    Account in any year for the purpose of--
            ``(A) making an expenditure for which there is no corresponding
        obligation; or
            ``(B) making an expenditure that would satisfy an unliquidated
        or unrecorded obligation arising in a prior fiscal year.
        ``(f) Transfer of Funds.--(1) The Secretary of Defense may transfer
    funds in the Defense Modernization Account to appropriations available
    for purposes set forth in subsection (d).
        ``(2) Funds in the Defense Modernization Account may not be
    transferred under paragraph (1) until 30 days after the date on which
    the Secretary concerned notifies the congressional defense committees
    in writing of the amount and purpose of the proposed transfer.
        ``(3) The total amount of transfers from the Defense Modernization
    Account during any fiscal year under this subsection may not exceed
    $500,000,000.
        ``(g) Availability of Funds by Appropriation.--In addition to
    transfers under subsection (f), funds in the Defense Modernization
    Account may be made available for purposes set forth in subsection (d)
    in accordance with the provisions of appropriations Acts, but only to
    the extent authorized in an Act other than an appropriations Act.
        ``(h) Secretary To Act Through Comptroller.--The Secretary of
    Defense shall carry out this section through the Under Secretary of
    Defense (Comptroller), who shall be authorized to implement this
    section through the issuance of any necessary regulations, policies,
    and procedures after consultation with the General Counsel and
    Inspector General of the Department of Defense.
        ``(i) Quarterly Reports.--(1) Not later than 15 days after the end
    of each calendar quarter, the Secretary of Defense shall submit to the
    congressional committees specified in paragraph (2) a report on the
    Defense Modernization Account. Each such report shall set forth the
    following:
            ``(A) The amount and source of each credit to the account
        during that quarter.
            ``(B) The amount and purpose of each transfer from the account
        during that quarter.
            ``(C) The balance in the account at the end of the quarter and,
        of such balance, the amount attributable to transfers to the
        account from each Secretary concerned.
        ``(2) The committees referred to in paragraph (1) are the
    congressional defense committees and the Committee on Governmental
    Affairs of the Senate and the Committee on Government Reform and
    Oversight of the House of Representatives.
        ``(j) Definitions.--In this section:
            ``(1) The term `Secretary concerned' includes the Secretary of
        Defense with respect to Defense-wide appropriations accounts.
            ``(2) The term `unexpired funds' means funds appropriated for a
        definite period that remain available for obligation.
            ``(3) The term `congressional defense committees' means--
                ``(A) the Committee on Armed Services and the Committee on
            Appropriations of the Senate; and
                ``(B) the Committee on National Security and the Committee
            on Appropriations of the House of Representatives.''.
        (2) The table of sections at the beginning of chapter 131 of such
    title is amended by inserting after the item relating to section 2215
    the following new item:

    ``2216. Defense Modernization Account.''.

        (b) Effective Date.--Section 2216 of title 10, United States Code
    (as added by subsection (a)), shall apply only to funds appropriated
    for fiscal years after fiscal year 1995.
        (c) Expiration of Authority and Account.--(1) The authority under
    section 2216(b) of title 10, United States Code (as added by subsection
    (a)), to transfer funds into the Defense Modernization Account
    terminates at the close of September 30, 2003.
        (2) Three years after the termination date specified in paragraph
    (1), the Defense Modernization Account shall be closed and any
    remaining balance in the account shall be canceled and thereafter shall
    not be available for any purpose.
        (d) GAO Reviews.--(1) The Comptroller General of the United States
    shall conduct two reviews of the administration of the Defense
    Modernization Account. In each review, the Comptroller General shall
    assess the operations and benefits of the account.
        (2) Not later than March 1, 2000, the Comptroller General shall--
            (A) complete the first review; and
            (B) submit to the specified committees of Congress an initial
        report on the administration and benefits of the Defense
        Modernization Account.
        (3) Not later than March 1, 2003, the Comptroller General shall--
            (A) complete the second review; and
            (B) submit to the specified committees of Congress a final
        report on the administration and benefits of the Defense
        Modernization Account.
        (4) Each such report shall include any recommended legislation
    regarding the account that the Comptroller General considers
    appropriate.
        (5) For purposes of this subsection, the term ``specified
    committees of Congress'' means the congressional committees referred to
    in section 2216(i)(2) of title 10, United States Code, as added by
    subsection (a).
        SEC. 913. DESIGNATION AND LIABILITY OF DISBURSING AND CERTIFYING
          OFFICIALS.
        (a) Disbursing Officials.--(1) Section 3321(c) of title 31, United
    States Code, is amended by striking out paragraph (2) and inserting in
    lieu thereof the following:
            ``(2) The Department of Defense.''.
        (2) Section 2773 of title 10, United States Code, is amended--
            (A) in subsection (a)--
                (i) in paragraph (1), by striking out ``With the approval
            of a Secretary of a military department when the Secretary
            considers it necessary, a disbursing official of the military
            department'' and inserting in lieu thereof ``Subject to
            paragraph (3), a disbursing official of the Department of
            Defense''; and
                (ii) by adding at the end the following new paragraph:
        ``(3) A disbursing official may make a designation under paragraph
    (1) only with the approval of the Secretary of Defense or, in the case
    of a disbursing official of a military department, the Secretary of
    that military department.''; and
            (B) in subsection (b)(1), by striking out ``any military
        department'' and inserting in lieu thereof ``the Department of
        Defense''.
        (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 to read as follows:
        ``(b) In addition to officers and employees referred to in
    subsection (a)(1)(B) of this section as having authorization to certify
    vouchers, 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.''.
        (c) Conforming Amendments.--(1) Section 1012 of title 37, United
    States Code, is amended by striking out ``Secretary concerned'' both
    places it appears and inserting in lieu thereof ``Secretary of
    Defense''.
        (2) Section 1007(a) of title 37, United States Code, is amended by
    striking out ``Secretary concerned'' and inserting in lieu thereof
    ``Secretary of Defense, or upon the denial of relief of an officer
    pursuant to section 3527 of title 31''.
        (3)(A) Section 7863 of title 10, United States Code, is amended--
            (i) in the first sentence, by striking out ``disbursements of
        public moneys or'' and ``the money was paid or''; and
            (ii) in the second sentence, by striking out ``disbursement
        or''.
        (B)(i) The heading of such section is amended to read as follows:

    ``Sec. 7863. Disposal of public stores by order of commanding
                officer''.

        (ii) The item relating to such section in the table of sections at
    the beginning of chapter 661 of such title is amended to read as
    follows:

    ``7863. Disposal of public stores by order of commanding officer.''.

        (4) Section 3527(b)(1) of title 31, United States Code, is
    amended--
            (A) by striking out ``a disbursing official of the armed
        forces'' and inserting in lieu thereof ``an official of the armed
        forces referred to in subsection (a)'';
            (B) by striking out ``records,'' and inserting in lieu thereof
        ``records, or a payment described in section 3528(a)(4)(A) of this
        title,'';
            (C) by redesignating subparagraphs (A), (B), and (C) as clauses
        (i), (ii), and (iii), and realigning such clauses four ems from the
        left margin;
            (D) by inserting before clause (i), as so redesignated, the
        following:
            ``(A) in the case of a physical loss or deficiency--'';
            (E) in clause (iii), as so redesignated, by striking out the
        period at the end and inserting in lieu thereof ``; or''; and
            (F) by adding at the end the following:
            ``(B) in the case of a payment described in section
        3528(a)(4)(A) of this title, the Secretary of Defense or the
        Secretary of the appropriate military department, after taking a
        diligent collection action, finds that the criteria of section
        3528(b)(1) of this title are satisfied.''.
        (5) Section 3528 of title 31, United States Code, is amended by
    striking out subsection (d).

    SEC. 914. FISHER HOUSE TRUST FUNDS.

        (a) Establishment.--(1) Chapter 131 of title 10, United States
    Code, is amended by adding at the end the following new section:

    ``Sec. 2221. Fisher House trust funds

        ``(a) Establishment.--The following trust funds are established on
    the books of the Treasury:
            ``(1) The Fisher House Trust Fund, Department of the Army.
            ``(2) The Fisher House Trust Fund, Department of the Air Force.
        ``(b) Investment.--Funds in the trust funds may be invested in
    securities of the United States. Earnings and gains realized from the
    investment of funds in a trust fund shall be credited to the trust
    fund.
        ``(c) Use of Funds.--(1) Amounts in the Fisher House Trust Fund,
    Department of the Army, 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 Army.
        ``(2) Amounts in the Fisher House Trust Fund, Department of the Air
    Force, 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 Air Force.
        ``(3) The use of funds under this section is subject to section
    1321(b)(2) of title 31.
        ``(d) Fisher House Defined.--In this section, the term `Fisher
    house' means a housing facility that--
            ``(1) is located in proximity to a medical treatment facility
        of the Army or the Air Force; and
            ``(2) is available for residential use on a temporary basis by
        patients at such facilities, members of the family of such
        patients, and others providing the equivalent of familial support
        for such patients.''.
        (2) The table of sections at the beginning of such chapter is
    amended by adding at the end the following new item:
    ``2221. Fisher House trust funds.''.

        (b) Corpus of Trust Funds.--(1) The Secretary of the Treasury
    shall--
            (A) close the accounts established with the funds that were
        required by section 8019 of Public Law 102-172 (105 Stat. 1175) and
        section 9023 of Public Law 102-396 (106 Stat. 1905) to be
        transferred to an appropriated trust fund; and
            (B) transfer the amounts in such accounts to the Fisher House
        Trust Fund, Department of the Army, established by subsection
        (a)(1) of section 2221 of title 10, United States Code, as added by
        subsection (a).
        (2) The Secretary of the Air Force shall transfer to the Fisher
    House Trust Fund, Department of the Air Force, established by
    subsection (a)(2) of section 2221 of title 10, United States Code (as
    added by section (a)), all amounts in the accounts for Air Force
    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 subsection (d) of such section 2221).
        (c) Conforming Amendments.--Section 1321 of title 31, United States
    Code, is amended--
            (1) by adding at the end of subsection (a) the following:
            ``(92) Fisher House Trust Fund, Department of the Army.
            ``(93) Fisher House Trust Fund, Department of the Air Force.'';
        and
            (2) in subsection (b)--
                (A) by inserting ``(1)'' after ``(b)'';
                (B) in the second sentence, by striking out ``Amounts
            accruing to these funds (except to the trust fund `Armed Forces
            Retirement Home Trust Fund')'' and inserting in lieu thereof
            ``Except as provided in paragraph (2), amounts accruing to
            these funds'';
                (C) by striking out the third sentence; and
                (D) by adding at the end the following:
        ``(2) Expenditures from the following trust funds may be made only
    under annual appropriations and only if the appropriations are
    specifically authorized by law:
            ``(A) Armed Forces Retirement Home Trust Fund.
            ``(B) Fisher House Trust Fund, Department of the Army.
            ``(C) Fisher House Trust Fund, Department of the Air Force.''.
        (d) Repeal of Superseded Provisions.--The following provisions of
    law are repealed:
            (1) Section 8019 of Public Law 102-172 (105 Stat. 1175).
            (2) Section 9023 of Public Law 102-396 (106 Stat. 1905).
            (3) Section 8019 of Public Law 103-139 (107 Stat. 1441).
            (4) Section 8017 of Public Law 103-335 (108 Stat. 2620; 10
        U.S.C. 1074 note).
        SEC. 915. LIMITATION ON USE OF AUTHORITY TO PAY FOR EMERGENCY AND
          EXTRAORDINARY EXPENSES.
        Section 127 of title 10, United States Code, is amended--
            (1) by redesignating subsection (c) as subsection (d); and
            (2) by inserting after subsection (b) the following new
        subsection (c):
        ``(c)(1) Funds may not be obligated or expended in an amount in
    excess of $500,000 under the authority of subsection (a) or (b) until
    the Secretary of Defense has notified the Committee on Armed Services
    and the Committee on Appropriations of the Senate and the Committee on
    National Security and the Committee on Appropriations of the House of
    Representatives of the intent to obligate or expend the funds, and--
            ``(A) in the case of an obligation or expenditure in excess of
        $1,000,000, 15 days have elapsed since the date of the
        notification; or
            ``(B) in the case of an obligation or expenditure in excess of
        $500,000, but not in excess of $1,000,000, 5 days have elapsed
        since the date of the notification.
        ``(2) Subparagraph (A) or (B) of paragraph (1) shall not apply to
    an obligation or expenditure of funds otherwise covered by such
    subparagraph if the Secretary of Defense determines that the national
    security objectives of the United States will be compromised by the
    application of the subparagraph to the obligation or expenditure. If
    the Secretary makes a determination with respect to an obligation or
    expenditure under the preceding sentence, the Secretary shall
    immediately notify the committees referred to in paragraph (1) that
    such obligation or expenditure is necessary and provide any relevant
    information (in classified form, if necessary) jointly to the chairman
    and ranking minority member (or their designees) of such committees.
        ``(3) A notification under paragraph (1) and information referred
    to in paragraph (2) shall include the amount to be obligated or
    expended, as the case may be, and the purpose of the obligation or
    expenditure.''.

                          TITLE X--GENERAL PROVISIONS

                         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 1996 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 on conference to accompany the bill H.R. 1530 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. IMPROVED FUNDING MECHANISMS FOR UNBUDGETED OPERATIONS.
        (a) Revision of Funding Mechanism.--(1) Section 127a of title 10,
    United States Code, is amended to read as follows:
    ``Sec. 127a. Operations for which funds are not provided in advance:
         funding mechanisms
        ``(a) In General.--(1) The Secretary of Defense shall use the
    procedures prescribed by this section with respect to any operation
    specified in paragraph (2) that involves--
            ``(A) the deployment (other than for a training exercise) of
        elements of the Armed Forces for a purpose other than a purpose for
        which funds have been specifically provided in advance; or
            ``(B) the provision of humanitarian assistance, disaster
        relief, or support for law enforcement (including immigration
        control) for which funds have not been specifically provided in
        advance.
        ``(2) This section applies to--
            ``(A) any operation the incremental cost of which is expected
        to exceed $50,000,000; and
            ``(B) any other operation the expected incremental cost of
        which, when added to the expected incremental costs of other
        operations that are currently ongoing, is expected to result in a
        cumulative incremental cost of ongoing operations of the Department
        of Defense in excess of $100,000,000.
    Any operation the incremental cost of which is expected not to exceed
    $10,000,000 shall be disregarded for the purposes of subparagraph (B).
        ``(3) Whenever an operation to which this section applies is
    commenced or subsequently becomes covered by this section, the
    Secretary of Defense shall designate and identify that operation for
    the purposes of this section and shall promptly notify Congress of that
    designation (and of the identification of the operation).
        ``(4) This section does not provide authority for the President or
    the Secretary of Defense to carry out any operation, but establishes
    mechanisms for the Department of Defense by which funds are provided
    for operations that the armed forces are required to carry out under
    some other authority.
        ``(b) Waiver of Requirement To Reimburse Support Units.--(1) The
    Secretary of Defense shall direct that, when a unit of the Armed Forces
    participating in an operation described in subsection (a) receives
    services from an element of the Department of Defense that operates
    through the Defense Business Operations Fund (or a successor fund),
    such unit of the Armed Forces may not be required to reimburse that
    element for the incremental costs incurred by that element in providing
    such services, notwithstanding any other provision of law or any
    Government accounting practice.
        ``(2) The amounts which but for paragraph (1) would be required to
    be reimbursed to an element of the Department of Defense (or a fund)
    shall be recorded as an expense attributable to the operation and shall
    be accounted for separately.
        ``(c) Transfer Authority.--(1) Whenever there is an operation of
    the Department of Defense described in subsection (a), the Secretary of
    Defense may transfer amounts describedin paragraph (3) to accounts from
    which incremental expenses for that operation were incurred in order to
    reimburse those accounts for those incremental expenses. Amounts so
    transferred shall be merged with and be available for the same purposes
    as the accounts to which transferred.
        ``(2) The total amount that the Secretary of Defense may transfer
    under the authority of this section in any fiscal year is $200,000,000.
        ``(3) Transfers under this subsection may only be made from amounts
    appropriated to the Department of Defense for any fiscal year that
    remain available for obligation, other than amounts within any
    operation and maintenance appropriation that are available for (A) an
    account (known as a budget activity 1 account) that is specified as
    being for operating forces, or (B) an account (known as a budget
    activity 2 account) that is specified as being for mobilization.
        ``(4) The authority provided by this subsection is in addition to
    any other authority provided by law authorizing the transfer of amounts
    available to the Department of Defense. However, the Secretary may not
    use any such authority under another provision of law for a purpose
    described in paragraph (1) if there is authority available under this
    subsection for that purpose.
        ``(5) The authority provided by this subsection to transfer amounts
    may not be used to provide authority for an activity that has been
    denied authorization by Congress.
        ``(6) 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.
        ``(d) Report Upon Designation of an Operation.--Within 45 days
    after the Secretary of Defense identifies an operation pursuant to
    subsection (a)(2), the Secretary of Defense shall submit to Congress a
    report that sets forth the following:
            ``(1) The manner by which the Secretary proposes to obtain
        funds for the cost to the United States of the operation, including
        a specific discussion of how the Secretary proposes to restore
        balances in--
                ``(A) the Defense Business Operations Fund (or a successor
            fund), or
                ``(B) the accounts from which the Secretary transfers funds
            under the authority of subsection (c), to the levels that would
            have been anticipated but for the provisions of subsection (c).
            ``(2) If the operation is described in subsection (a)(1)(B), a
        justification why the budgetary resources of another department or
        agency of the Federal Government, instead of resources of the
        Department of Defense, are not being used for carrying out the
        operation.
            ``(3) The objectives of the operation.
            ``(4) The estimated duration of the operation and of any
        deployment of armed forces personnel in such operation.
            ``(5) The estimated incremental cost of the operation to the
        United States.
            ``(6) The exit criteria for the operation and for the
        withdrawal of the elements of the armed forces involved in the
        operation.
        ``(e) Limitations.--(1) The Secretary may not restore balances in
    the Defense Business Operations Fund through increases in rates charged
    by that fund in order to compensate for costs incurred and not
    reimbursed due to subsection (b).
        ``(2) The Secretary may not restore balances in the Defense
    Business Operations Fund or any other fund or account through the use
    of unobligated amounts in an operation and maintenance appropriation
    that are available within that appropriation for (A) an account (known
    as a budget activity 1 account) that is specified as being for
    operating forces, or (B) an account (known as a budget activity 2
    account) that is specified as being for mobilization.
        ``(f) Submission of Requests for Supplemental Appropriations.--It
    is the sense of Congress that whenever there is an operation described
    in subsection (a), the President should, not later than 90 days after
    the date on which notification is provided pursuant to subsection
    (a)(3), submit to Congress a request for the enactment of supplemental
    appropriations for the then-current fiscal year in order to provide
    funds to replenish the Defense Business Operations Fund or any other
    fund or account of the Department of Defense from which funds for the
    incremental expenses of that operation were derived under this section
    and should, as necessary, submit subsequent requests for the enactment
    of such appropriations.
        ``(g) Incremental Costs.--For purposes of this section, incremental
    costs of the Department of Defense with respect to an operation are the
    costs of the Department that are directly attributable to the operation
    (and would not have been incurred but for the operation). Incremental
    costs do not include the cost of property or services acquired by the
    Department that are paid for by a source outside the Department or out
    of funds contributed by such a source.
        ``(h) Relationship to War Powers Resolution.--This section may not
    be construed as altering or superseding the War Powers Resolution. This
    section does not provide authority to conduct any military operation.
        ``(i) GAO Compliance Reviews.--The Comptroller General of the
    United States shall from time to time, and when requested by a
    committee of Congress, conduct a review of the defense funding
    structure under this section to determine whether the Department of
    Defense is complying with the requirements and limitations of this
    section.''.
        (2) The item relating to section 127a in the table of sections at
    the beginning of chapter 3 of such title is amended to read as follows:

    ``127a. Operations for which funds are not provided in advance: funding
              mechanisms.''.

        (b) Effective Date.--The amendment to section 127a of title 10,
    United States Code, made by subsection (a) shall take effect on the
    date of the enactment of this Act and shall apply to any operation of
    the Department of Defense that is in effect on or after that date,
    whether such operation is begun before, on, or after such date of
    enactment. In the case of an operation begun before such date, any
    reference in such section to the commencement of such operation shall
    be treated as referring to the effective date under the preceding
    sentence.

    SEC. 1004. OPERATION PROVIDE COMFORT.

        (a) Authorization of Amounts Available.--Within the total amounts
    authorized to be appropriated in titles III and IV, there is hereby
    authorized to be appropriated for fiscal year 1996 for costs associated
    with Operation Provide Comfort--
            (1) $136,300,000 for operation and maintenance costs; and
            (2) $7,000,000 for incremental military personnel costs.
        (b) Report.--Not more than $70,000,000 of the amount appropriated
    under subsection (a) may be obligated until the Secretary of Defense
    submits to the congressional defense committees a report on Operation
    Provide Comfort which includes the following:
            (1) A detailed presentation of the projected costs to be
        incurred by the Department of Defense for Operation Provide Comfort
        during fiscal year 1996, together with a discussion of missions and
        functions expected to be performed by the Department as part of
        that operation during that fiscal year.
            (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 Operation
        Provide Comfort during fiscal year 1996.
            (3) A discussion of available options to reduce the involvement
        of the Department of Defense in those aspects of Operation Provide
        Comfort that are not directly related to the military mission of
        the Department of Defense.
            (4) A plan establishing an exit strategy for United States
        involvement in, and support for, Operation Provide Comfort.
        (c) Operation Provide Comfort.--For purposes of this section, 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. 1005. OPERATION ENHANCED SOUTHERN WATCH.

        (a) Authorization of Amounts Available.--Within the total amounts
    authorized to be appropriated in titles III and IV, there is hereby
    authorized to be appropriated for fiscal year 1996 for costs associated
    with Operation Enhanced Southern Watch--
            (1) $433,400,000 for operation and maintenance costs; and
            (2) $70,400,000 for incremental military personnel costs.
        (b) Report.--(1) Of the amounts specified in subsection (a), not
    more than $250,000,000 may be obligated until the Secretary of Defense
    submits to the congressional defense committees a report designating
    Operation Enhanced Southern Watch, or significant elements thereof, as
    a forward presence operation for which funding should be budgeted as
    part of the annual defense budget process in the same manner as other
    activities of the Armed Forces involving forward presence or forward
    deployed forces.
        (2) The report shall set forth the following:
            (A) The expected duration and annual costs of the various
        elements of Operation Enhanced Southern Watch.
            (B) Those elements of Operation Enhanced Southern Watch that
        are semi-permanent in nature and should be budgeted in the future
        as part of the annual defense budget process in the same manner as
        other activities of the Armed Forces involving forward presence or
        forward deployed forces.
            (C) The political and military objectives associated with
        Operation Enhanced Southern Watch.
            (D) The contributions (both in-kind and actual) by other
        nations to the costs of conducting Operation Enhanced Southern
        Watch.
        (c) Operation Enhanced Southern Watch.--For purposes of this
    section, 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.
    SEC. 1006. AUTHORITY FOR OBLIGATION OF CERTAIN UNAUTHORIZED FISCAL YEAR
    1995 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 1995 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 1995 defense appropriations that
    are in excess of the amounts provided for such programs, projects, and
    activities in fiscal year 1995 defense authorizations.
        (c) Definitions.--For the purposes of this section:
            (1) Fiscal year 1995 defense appropriations.--The term ``fiscal
        year 1995 defense appropriations'' means amounts appropriated or
        otherwise made available to the Department of Defense for fiscal
        year 1995 in the Department of Defense Appropriations Act, 1995
        (Public Law 103-335).
            (2) Fiscal year 1995 defense authorizations.--The term ``fiscal
        year 1995 defense authorizations'' means amounts authorized to be
        appropriated for the Department of Defense for fiscal year 1995 in
        the National Defense Authorization Act for Fiscal Year 1995 (Public
        Law 103-337).
    SEC. 1007. AUTHORIZATION OF PRIOR EMERGENCY SUPPLEMENTAL APPROPRIATIONS
    FOR FISCAL YEAR 1995.
        (a) Adjustment to Previous Authorizations.--Amounts authorized to
    be appropriated to the Department of Defense for fiscal year 1995 in
    the National Defense Authorization Act for Fiscal Year 1995 (Public Law
    103-337) 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 title I of the Emergency
    Supplemental Appropriations and Rescissions for the Department of
    Defense to Preserve and Enhance Military Readiness Act of 1995 (Public
    Law 104-6; 109 Stat. 73).
        (b) New Authorization.--The appropriation provided in section 104
    of such Act (109 Stat. 79) is hereby authorized.
    SEC. 1008. AUTHORIZATION REDUCTIONS TO REFLECT SAVINGS FROM REVISED
    ECONOMIC ASSUMPTIONS.
        (a) Reduction.--The total amount authorized to be appropriated in
    titles I, II, and III of this Act is hereby reduced by $832,000,000 to
    reflect savings from revised economic assumptions. Such reduction shall
    be made from accounts in those titles as follows:
            Operation and Maintenance, Army, $54,000,000.
            Operation and Maintenance, Navy, $80,000,000.
            Operation and Maintenance, Marine Corps, $9,000,000.
            Operation and Maintenance, Air Force, $51,000,000.
            Operation and Maintenance, Defense-Wide, $36,000,000.
            Operation and Maintenance, Army Reserve, $4,000,000.
            Operation and Maintenance, Navy Reserve, $4,000,000.
            Operation and Maintenance, Marine Corps Reserve, $1,000,000.
            Operation and Maintenance, Air Force Reserve, $3,000,000.
            Operation and Maintenance, Army National Guard, $7,000,000.
            Operation and Maintenance, Air National Guard, $7,000,000.
            Drug Interdiction and Counter-Drug Activities, Defense,
        $5,000,000.
            Environmental Restoration, Defense, $11,000,000.
            Overseas Humanitarian, Disaster, and Civic Aid, $1,000,000.
            Former Soviet Union Threat Reduction, $2,000,000.
            Defense Health Program, $51,000,000.
            Aircraft Procurement, Army, $9,000,000.
            Missile Procurement, Army, $5,000,000.
            Procurement of Weapons and Tracked Combat Vehicles, Army,
        $10,000,000.
            Procurement of Ammunition, Army, $6,000,000.
            Other Procurement, Army, $17,000,000.
            Aircraft Procurement, Navy, $29,000,000.
            Weapons Procurement, Navy, $13,000,000.
            Shipbuilding and Conversion, Navy, $42,000,000.
            Other Procurement, Navy, $18,000,000.
            Procurement, Marine Corps, $4,000,000.
            Aircraft Procurement, Air Force, $50,000,000.
            Missile Procurement, Air Force, $29,000,000.
            Other Procurement, Air Force, $45,000,000.
            Procurement, Defense-Wide, $16,000,000.
            Chemical Agents and Munitions Destruction, Defense, $5,000,000.
            Research, Development, Test and Evaluation, Army, $20,000,000.
            Research, Development, Test and Evaluation, Navy, $50,000,000.
            Research, Development, Test and Evaluation, Air Force,
        $79,000,000.
            Research, Development, Test and Evaluation, Defense-Wide,
        $57,000,000.
            Research, Development, Test and Evaluation, Defense,
        $2,000,000.
        (b) Reductions To Be Applied Proportionally.--Reductions under this
    section shall be applied proportionally to each budget activity,
    activity group, and subactivity group and to each program, project, and
    activity within each account.

                    Subtitle B--Naval Vessels and Shipyards

    SEC. 1011. IOWA CLASS BATTLESHIPS.

        (a) Return to Naval Vessel Register.--The Secretary of the Navy
    shall list on the Naval Vessel Register, and maintain on such register,
    at least two of the Iowa-class battleships that were stricken from the
    register in February 1995.
        (b) Support.--The Secretary shall retain the existing logistical
    support necessary for support of at least two operational Iowa class
    battleships in active service, including technical manuals, repair and
    replacement parts, and ordnance.
        (c) Selection of Ships.--The Secretary shall select for listing on
    the Naval Vessel Register under subsection (a) Iowa class battleships
    that are in good material condition and can provide adequate fire
    support for an amphibious assault.
        (d) Replacement Fire-Support Capability.--(1) If the Secretary of
    the Navy makes a certification described in paragraph (2), the
    requirements of subsections (a) and (b) shall terminate, effective 60
    days after the date of the submission of such certification.
        (2) A certification referred to in paragraph (1) is a certification
    submitted by the Secretary of the Navy in writing to the Committee on
    Armed Services of the Senate and the Committee on National Security of
    the House of Representatives that the Navy has within the fleet an
    operational surface fire-support capability that equals or exceeds the
    fire-support capability that the Iowa class battleships listed on the
    Naval Vessel Register pursuant to subsection (a) would, if in active
    service, be ableto provide for Marine Corps amphibious assaults and
    operations ashore.
        SEC. 1012. TRANSFER OF NAVAL VESSELS TO CERTAIN FOREIGN COUNTRIES.
        (a) Transfers by Grant.--The Secretary of the Navy is authorized to
    transfer on a grant basis under section 516 of the Foreign Assistance
    Act of 1961 (22 U.S.C. 2321j) frigates of the Oliver Hazard Perry class
    to other countries as follows:
            (1) To the Government of Bahrain, the guided missile frigate
        Jack Williams (FFG 24).
            (2) To the Government of Egypt, the frigate Copeland (FFG 25).
            (3) To the Government of Turkey, the frigates Clifton Sprague
        (FFG 16) and Antrim (FFG 20).
        (b) Transfers by Lease or Sale.--The Secretary of the Navy is
    authorized to transfer on a lease basis under section 61 of the Arms
    Export Control Act (22 U.S.C. 2796) or on a sale basis under section 21
    of the Arms Export Control Act (22 U.S.C. 2761) frigates of the Oliver
    Hazard Perry class to other countries as follows:
            (1) To the Government of Egypt, the frigate Duncan (FFG 10).
            (2) To the Government of Oman, the guided missile frigate
        Mahlon S. Tisdale (FFG 27).
            (3) To the Government of Turkey, the frigate Flatley (FFG 21).
            (4) To the Government of the United Arab Emirates, the guided
        missile frigate Gallery (FFG 26).
        (c) Financing for Transfers by Lease.--Section 23 of the Arms
    Export Control Act (22 U.S.C. 2763) may be used to provide financing
    for any transfer by lease under subsection (b) in the same manner as if
    such transfer were a procurement by the recipient nation of a defense
    article.
        (d) Costs of Transfers.--Any expense incurred by the United States
    in connection with a transfer authorized by subsection (a) or (b) shall
    be charged to the recipient.
        (e) Expiration of Authority.--The authority to transfer a vessel
    under subsection (a) and under subsection (b) shall expire at the end
    of the two-year period beginning on the date of the enactment of this
    Act, except that a lease entered into during that period under any
    provision of subsection (b) may be renewed.
        (f) Repair and Refurbishment in United States Shipyards.--The
    Secretary of the Navy shall require, as a condition of the transfer of
    a vessel under this section, that the country to which the vessel is
    transferred have such repair or refurbishment of the vessel as is
    needed, before the vessel joins the naval forces of that country,
    performed at a shipyard located in the United States, including a
    United States Navy shipyard.
        (g) Prohibition on Certain Transfers of Vessels on Grant Basis.--
    (1) Section 516 of the Foreign Assistance Act of 1961 (22 U.S.C. 2321j)
    is amended by adding at the end the following new subsection:
        ``(g) Prohibition on Certain Transfers of Vessels on Grant Basis.--
    (1) The President may not transfer on a grant basis under this section
    a vessel that is in excess of 3,000 tons or that is less than 20 years
    of age.
        ``(2) If the President determines that it is in the national
    security interests of the United States to transfer a particular vessel
    on a grant basis under this section, the President may request that
    Congress enact legislation exempting the transfer from the prohibition
    in paragraph (1).''.
        (2) The amendment made by paragraph (1) shall apply with respect to
    the transfer of a vessel on or after the date of the enactment of this
    Act (other than a vessel the transfer of which is authorized by
    subsection (a) or by law before the date of the enactment of this Act).

    SEC. 1013. CONTRACT OPTIONS FOR LMSR VESSELS.

        (a) Findings.--Congress makes the following findings:
            (1) A requirement for the Department of the Navy to acquire 19
        large, medium-speed, roll-on/roll-off (LMSR) vessels was
        established by the Secretary of Defense in the Mobility
        Requirements Study conducted after the Persian Gulf War pursuant to
        section 909 of the National Defense Authorization Act for Fiscal
        Year 1991 (Public Law 101-510; 104 Stat. 1623) and was revalidated
        by the Secretary of Defense in the report entitled ``Mobility
        Requirements Study Bottom-Up Review Update'', submitted to Congress
        in April 1995.
            (2) The Strategic Sealift Program is a vital element of the
        national military strategy calling for the Nation to be able to
        fight and win two nearly simultaneous major regional contingencies.
            (3) The Secretary of the Navy has entered into contracts with
        shipyards covering acquisition of a total of 17 such LMSR vessels,
        of which five are vessel conversions and 12 are new construction
        vessels. Under those contracts, the Secretary has placed orders for
        the acquisition of 11 vessels and has options for the acquisition
        of six more, all of which would be new construction vessels. The
        options allow the Secretary to place orders for one vessel to be
        constructed at each of two shipyards for award before December 31,
        1995, December 31, 1996, and December 31, 1997, respectively.
            (4) Acquisition of an additional two such LMSR vessels, for a
        total of 19 vessels (the requirement described in paragraph (1))
        would contribute to preservation of the industrial base of United
        States shipyards capable of building auxiliary and sealift vessels.
        (b) Sense of Congress.--It is the sense of Congress that the
    Secretary of the Navy should plan for, and budget to provide for, the
    acquisition as soon as possible of a total of 19 large, medium-speed,
    roll-on/roll-off (LMSR) vessels (the number determined to be required
    in the Mobility Requirements Study referred to in subsection (a)(1)),
    rather than only 17 such vessels (the number of vessels under contract
    as of May 1995).
        (c) Additional New Construction Contract Option.--The Secretary of
    the Navy should negotiate with each of the two shipyards holding new
    construction contracts referred to in subsection (a)(3) (Department of
    the Navy contracts numbered N00024-93-C-2203 and N00024-93-C-2205) for
    an option under each such contract for construction of one additional
    such LMSR vessel, with such option to be available to the Secretary for
    exercise during 1995, 1996, or 1997, subject to the availability of
    funds authorized and appropriated for such purpose. Nothing in this
    subsection shall be construed to preclude the Secretary of the Navy
    from competing the award of the two options between the two shipyards
    holding new construction contracts referred to in subsection (a)(3).
        (d) Report.--The Secretary of the Navy shall submit to the
    congressional defense committees, by March 31, 1996, a report stating
    the intentions of the Secretary regarding the acquisition of options
    for the construction of two additional LMSR vessels as described in
    subsection (c).

    SEC. 1014. NATIONAL DEFENSE RESERVE FLEET.

        (a) Availability of National Defense Sealift Fund.--Section 2218 of
    title 10, United States Code, is amended--
            (1) in subsection (c)(1)--
                (A) by striking out ``only for--'' in the matter preceding
            subparagraph (A) and inserting in lieu thereof ``only for the
            following purposes:'';
                (B) by capitalizing the first letter of the first word of
            subparagraphs (A), (B), (C), and (D);
                (C) by striking out the semicolon at the end of
            subparagraphs (A) and (B) and inserting in lieu thereof a
            period;
                (D) by striking out ``; and'' at the end of subparagraph
            (C) and inserting in lieu thereof a period; and
                (E) by adding at the end the following new subparagraph:
            ``(E) Expenses for maintaining the National Defense Reserve
        Fleet under section 11 of the Merchant Ship Sales Act of 1946 (50
        U.S.C. App. 1744), and for the costs of acquisition of vessels for,
        and alteration and conversion of vessels in (or to be placed in),
        the fleet, but only for vessels built in United States
        shipyards.''; and
            (2) in subsection (i), by inserting ``(other than subsection
        (c)(1)(E))'' after ``Nothing in this section''.
        (b) Clarification of Exemption of NDRF Vessels From Retrofit
    Requirement.--Section 11 of the Merchant Ship Sales Act of 1946 (50
    U.S.C. App. 1744) is amended by adding at the end the following new
    subsection:
        ``(e) Vessels in the National Defense Reserve Fleet are exempt from
    the provisions of section 3703a of title 46, United States Code.''.
        (c) Authority To Use National Defense Sealift Fund To Convert Two
    Vessels.--Of the amount authorized to be appropriated in section 302
    for fiscal year 1996 for the National Defense Sealift Fund under
    section 2218 of title 10, United States Code, not more than $20,000,000
    shall be available for conversion work on the following two roll-on/
    roll-off vessels, which were acquired by the Maritime Administration
    during fiscal year 1995:
            (1) M/V Cape Knox (ON-1036323).
            (2) M/V Cape Kennedy (ON-1036324).

    SEC. 1015. NAVAL SALVAGE FACILITIES.

        Chapter 637 of title 10, United States Code, is amended to read as
    follows:

                       ``CHAPTER 637--SALVAGE FACILITIES

    ``Sec.
    ``7361. Authority to provide for necessary salvage facilities.
    ``7362. Acquisition and transfer of vessels and equipment.
    ``7363. Settlement of claims.
    ``7364. Disposition of receipts.

    ``Sec. 7361. Authority to provide for necessary salvage facilities

        ``(a) Authority.--The Secretary of the Navy may provide, by
    contract or otherwise, necessary salvage facilities for public and
    private vessels.
        ``(b) Coordination With Secretary of Transportation.--The Secretary
    shall submit to the Secretary of Transportation for comment each
    proposed contract for salvage facilities that affects the interests of
    the Department of Transportation.
        ``(c) Limitation.--The Secretary of the Navy may enter into a term
    contract under subsection (a) only if the Secretary determines that
    available commercial salvage facilities are inadequate to meet the
    requirements of national defense.
        ``(d) Public Notice.--The Secretary may not enter into a contract
    under subsection (a) until the Secretary has provided public notice of
    the intent to enter into such a contract.

    ``Sec. 7362. Acquisition and transfer of vessels and equipment

        ``(a) Authority.--The Secretary of the Navy may acquire or transfer
    for operation by private salvage companies such vessels and equipment
    as the Secretary considers necessary.
        ``(b) Agreement on Use.--Before any salvage vessel or salvage gear
    is transferred by the Secretary to a private party, the private party
    must agree in writing with the Secretary that the vessel or gear will
    be used to support organized offshore salvage facilities for a period
    of as many years as the Secretary considers appropriate.
        ``(c) Reference to Authority To Advance Funds for Immediate Salvage
    Operations.--For authority for the Secretary of the Navy to advance to
    private salvage companies such funds as the Secretary considers
    necessary to provide for the immediate financing of salvage operations,
    see section 2307(g)(2) of this title.

    ``Sec. 7363. Settlement of claims

        ``The Secretary of the Navy may settle any claim by the United
    States for salvage services rendered by the Department of the Navy and
    may receive payment of any such claim.

    ``Sec. 7364. Disposition of receipts

        ``Amounts received under this chapter shall be credited to
    appropriations for maintaining naval salvage facilities. However, any
    amount received under this chapter in any fiscal year in excess of
    naval salvage costs incurred by the Navy during that fiscal year shall
    be deposited into the general fund of the Treasury.''.
    SEC. 1016. VESSELS SUBJECT TO REPAIR UNDER PHASED MAINTENANCE
    CONTRACTS.
        (a) In General.--The Secretary of the Navy shall ensure that any
    vessel that is covered by the contract referred to in subsection (b)
    remains covered by that contract, regardless of the operating command
    to which the vessel is subsequently assigned, unless the vessel is
    taken out of service for the Department of the Navy.
        (b) Covered Contract.--The contract referred to in subsection (a)
    is the contract entered into before the date of the enactment of this
    Act for the phased maintenance of AE class ships.
    SEC. 1017. CLARIFICATION OF REQUIREMENTS RELATING TO REPAIRS OF
    VESSELS.
        Section 7310(a) of title 10, United States Code, is amended by
    inserting ``or Guam'' after ``the United States'' the second place it
    appears.
    SEC. 1018. SENSE OF CONGRESS CONCERNING NAMING OF AMPHIBIOUS SHIPS.
        It is the sense of Congress that the Secretary of the Navy--
            (1) should name the vessel to be designated LHD-7 as the U.S.S.
        Iwo Jima; and
            (2) should name the vessel to be designated LPD-17, and each
        subsequent ship of the LPD-17 class, after a Marine Corps battle or
        a member of the Marine Corps.
    SEC. 1019. SENSE OF CONGRESS CONCERNING NAMING OF NAVAL VESSEL.
        It is the sense of Congress that the Secretary of the Navy should
    name an appropriate ship of the United States Navy the U.S.S. Joseph
    Vittori, in honor of Marine Corporal Joseph Vittori (1929-1951) of
    Beverly, Massachusetts, who was posthumously awarded the Medal of Honor
    for actions against the enemy in Korea on September 15-16, 1951.

    SEC. 1020. TRANSFER OF RIVERINE PATROL CRAFT.

        (a) Authority To Transfer Vessel.--Notwithstanding subsections (a)
    and (d) of section 7306 of title 10, United States Code, but subject to
    subsections (b) and (c) of that section, the Secretary of the Navy may
    transfer a vessel described in subsection (b) to Tidewater Community
    College, Portsmouth, Virginia, for scientific and educational purposes.
        (b) Vessel.--The authority under subsection (a) applies in the case
    of a riverine patrol craft of the U.S.S. Swift class.
        (c) Limitation.--The transfer authorized by subsection (a) may be
    made only if the Secretary determines that the vessel to be transferred
    is of no further use to the United States for national security
    purposes.
        (d) Terms and Conditions.--The Secretary may require such terms and
    conditions in connection with the transfer authorized by this section
    as the Secretary considers appropriate.

                      Subtitle C--Counter-Drug Activities

    SEC. 1021. REVISION AND CLARIFICATION OF AUTHORITY FOR FEDERAL SUPPORT
    OF DRUG INTERDICTION AND COUNTER-DRUG ACTIVITIES OF THE NATIONAL GUARD.
        (a) Funding Assistance Authorized.--Subsection (a) of section 112
    of title 32, United States Code, is amended to read as follows:
        ``(a) Funding Assistance.--The Secretary of Defense may provide
    funds to the Governor of a State who submits to the Secretary a State
    drug interdiction and counter-drug activities plan satisfying the
    requirements of subsection (c). Such funds shall be used for--
            ``(1) the pay, allowances, clothing, subsistence, gratuities,
        travel, and related expenses, as authorized by State law, of
        personnel of the National Guard of that State used, while not in
        Federal service, for the purpose of drug interdiction and counter-
        drug activities;
            ``(2) the operation and maintenance of the equipment and
        facilities of the National Guard of that State used for the purpose
        of drug interdiction and counter-drug activities; and
            ``(3) the procurement of services and leasing of equipment for
        the National Guard of that State used for the purpose of drug
        interdiction and counter-drug activities.''.
        (b) Reorganization of Section.--Such section is further amended--
            (1) by redesignating subsection (f) as subsection (h);
            (2) by redesignating subsection (d) as subsection (g) and
        transferring that subsection to appear before subsection (h), as
        redesignated by paragraph (1); and
            (3) by redesignating subsections (b) and (c) as subsections (c)
        and (d), respectively.
        (c) State Drug Interdiction and Counter-drug Activities Plan.--
    Subsection (c) of such section, as redesignated by subsection (b)(3),
    is amended--
            (1) in the matter preceding paragraph (1), by striking out ``A
        plan referred to in subsection (a)'' and inserting in lieu thereof
        ``A State drug interdiction and counter-drug activities plan'';
            (2) by striking out ``and'' at the end of paragraph (2); and
            (3) in paragraph (3)--
                (A) by striking out ``annual training'' and inserting in
            lieu thereof ``training'';
                (B) by striking out the period at the end and inserting in
            lieu thereof a semicolon; and
                (C) by adding at the end the following new paragraphs:
            ``(4) include a certification by the Attorney General of the
        State (or, in the case of a State with no position of Attorney
        General, a civilian official of the State equivalent to a State
        attorney general) that the use of the National Guard of the State
        for the activities proposed under the plan is authorized by, and is
        consistent with, State law; and
            ``(5) certify that the Governor of the State or a civilian law
        enforcement official of the State designated by the Governor has
        determined that any activities included in the plan that are
        carried out in conjunction with Federal law enforcement agencies
        serve a State law enforcement purpose.''.
        (d) Examination of State Plan.--Subsection (d) of such section, as
    redesignated by subsection (b)(3), is amended--
            (1) in paragraph (1)--
                (A) by striking out ``subsection (b)'' and inserting in
            lieu thereof ``subsection (c)''; and
                (B) by inserting after ``Before funds are provided to the
            Governor of a State under this section'' the following: ``and
            before members of the National Guard of that State are ordered
            to full-time National Guard duty as authorized in subsection
            (b)''; and
            (2) in paragraph (3)--
                (A) in subparagraph (A), by striking out ``subsection (b)''
            and inserting in lieu thereof ``subsection (c)''; and
                (B) by striking out subparagraph (B) and inserting in lieu
            thereof the following:
            ``(B) pursuant to the plan submitted for a previous fiscal
        year, funds were provided to the State in accordance with
        subsection (a) or personnel of the National Guard of the State were
        ordered to perform full-time National Guard duty in accordance with
        subsection (b).''.
        (e) Use of Personnel Performing Full-Time National Guard Duty.--
    Such section is further amended by inserting after subsection (a) the
    following new subsection (b):
        ``(b) Use of Personnel Performing Full-Time National Guard Duty.--
    Under regulations prescribed by the Secretary of Defense, personnel of
    the National Guard of a State may, in accordance with the State drug
    interdiction and counter-drug activities plan referred to in subsection
    (c), be ordered to perform full-time National Guard duty under section
    502(f) of this title for the purpose of carrying out drug interdiction
    and counter-drug activities.''.
        (f) End Strength Limitation.--Such section is further amended by
    inserting after subsection (e) the following new subsection (f):
        ``(f) End Strength Limitation.--(1) Except as provided in paragraph
    (2), at the end of a fiscal year there may not be more than 4000
    members of the National Guard--
            ``(A) on full-time National Guard duty under section 502(f) of
        this title to perform drug interdiction or counter-drug activities
        pursuant to an order to duty for a period of more than 180 days; or
            ``(B) on duty under State authority to perform drug
        interdiction or counter-drug activities pursuant to an order to
        duty for a period of more than 180 days with State pay and
        allowances being reimbursed with funds provided under subsection
        (a)(1).
        ``(2) The Secretary of Defense may increase the end strength
    authorized under paragraph (1) by not more than 20 percent for any
    fiscal year if the Secretary determines that such an increase is
    necessary in the national security interests of the United States.''.
        (g) Definitions.--Subsection (h) of such section, as redesignated
    by subsection (b)(1), is amended by striking out paragraph (1) and
    inserting in lieu thereof the following:
            ``(1) The term `drug interdiction and counter-drug activities',
        with respect to the National Guard of a State, means the use of
        National Guard personnel in drug interdiction and counter-drug law
        enforcement activities authorized by the law of the State and
        requested by the Governor of the State.''.
        (h) Technical Amendments.--Subsection (e) of such section is
    amended--
            (1) in paragraph (1), by striking out ``sections 517 and 524''
        and inserting in lieu thereof ``sections 12011 and 12012''; and
            (2) in paragraph (2), by striking out ``the Committees on Armed
        Services of the Senate and House of Representatives'' and inserting
        in lieu thereof ``the Committee on Armed Services of the Senate and
        the Committee on National Security of the House of
        Representatives''.

                         Subtitle D--Civilian Personnel

    SEC. 1031. MANAGEMENT OF DEPARTMENT OF DEFENSE CIVILIAN PERSONNEL.
        Section 129 of title 10, United States Code, is amended--
            (1) in subsection (a)--
                (A) by striking out ``man-year constraint or limitation''
            and inserting in lieu thereof ``constraint or limitation in
            terms of man years, end strength, full-time equivalent
            positions, or maximum number of employees''; and
                (B) by adding at the end the following new sentence: ``The
            Secretary of Defense and the Secretaries of the military
            departments may not be required to make a reduction in the
            number of full-time equivalent positions in the Department of
            Defense unless such reduction is necessary due to a reduction
            in funds available to the Department or is required under a law
            that is enacted after the date of the enactment of the National
            Defense Authorization Act for Fiscal Year 1996 and that refers
            specifically to this subsection.'';
            (2) in subsection (b)(2), by striking out ``any end-strength''
        and inserting in lieu thereof ``any constraint orlimitation in
    terms of man years, end strength, full-time equivalent positions, or
    maximum number of employees''; and
            (3) by adding at the end the following new subsection:
        ``(d) With respect to each budget activity within an appropriation
    for a fiscal year for operations and maintenance, the Secretary of
    Defense shall ensure that there are employed during that fiscal year
    employees in the number and with the combination of skills and
    qualifications that are necessary to carry out the functions within
    that budget activity for which funds are provided for that fiscal
    year.''.
    SEC. 1032. CONVERSION OF MILITARY POSITIONS TO CIVILIAN POSITIONS.
        (a) Conversion Requirement.--(1) By September 30, 1997, the
    Secretary of Defense shall convert at least 10,000 military positions
    to civilian positions.
        (2) At least 3,000 of the military positions converted to satisfy
    the requirement of paragraph (1) shall be converted to civilian
    positions not later than September 30, 1996.
        (3) In this subsection:
            (A) The term ``military position'' means a position that, as of
        the date of the enactment of this Act, is authorized to be filled
        by a member of the Armed Forces on active duty.
            (B) The term ``civilian position'' means a position that is
        required to be filled by a civilian employee of the Department of
        Defense.
        (b) Implementation Plan.--Not later than March 31, 1996, 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 the implementation of subsection (a).
    SEC. 1033. ELIMINATION OF 120-DAY LIMITATION ON DETAILS OF CERTAIN
    EMPLOYEES.
        (a) Elimination of Limitation.--Subsection (b) of section 3341 of
    title 5, United States Code, is amended--
            (1) by inserting ``(1)'' after ``(b)''; and
            (2) by adding at the end the following:
        ``(2) The 120-day limitation in paragraph (1) for details and
    renewals of details does not apply to the Department of Defense in the
    case of a detail--
            ``(A) made in connection with the closure or realignment of a
        military installation pursuant to a base closure law or an
        organizational restructuring of the Department as part of a
        reduction in the size of the armed forces or the civilian workforce
        of the Department; and
            ``(B) in which the position to which the employee is detailed
        is eliminated on or before the date of the closure, realignment, or
        restructuring.
        ``(c) For purposes of this section--
            ``(1) the term `base closure law' means--
                ``(A) section 2687 of title 10;
                ``(B) title II of the Defense Authorization Amendments and
            Base Closure and Realignment Act (10 U.S.C. 2687 note); and
                ``(C) the Defense Base Closure and Realignment Act of 1990
            (10 U.S.C. 2687 note); and
            ``(2) the term `military installation'--
                ``(A) in the case of an installation covered by section
            2687 of title 10, has the meaning given such term in subsection
            (e)(1) of such section;
                ``(B) in the case of an installation covered by the Act
            referred to in subparagraph (B) of paragraph (1), has the
            meaning given such term in section 209(6) of such Act; and
                ``(C) in the case of an installation covered by the Act
            referred to in subparagraph (C) of that paragraph, has the
            meaning given such term in section 2910(4) of such Act.''.
        (b) Applicability.--The amendments made by subsection (a) apply to
    details made before the date of the enactment of this Act but still in
    effect on that date and details made on or after that date.
    SEC. 1034. AUTHORITY FOR CIVILIAN EMPLOYEES OF DEPARTMENT OF DEFENSE TO
    PARTICIPATE VOLUNTARILY IN REDUCTIONS IN FORCE.
        Section 3502 of title 5, United States Code, is amended by adding
    at the end the following:
        ``(f)(1) The Secretary of Defense or the Secretary of a military
    department may--
            ``(A) release in a reduction in force an employee who
        volunteers for the release even though the employee is not
        otherwise subject to release in the reduction in force under the
        criteria applicable under the other provisions of this section; and
            ``(B) for each employee voluntarily released in the reduction
        in force under subparagraph (A), retain an employee in a similar
        position who would otherwise be released in the reduction in force
        under such criteria.
        ``(2) A voluntary release of an employee in a reduction in force
    pursuant to paragraph (1) shall be treated as an involuntary release in
    the reduction in force.
        ``(3) An employee with critical knowledge and skills (as defined by
    the Secretary concerned) may not participate in a voluntary release
    under paragraph (1) 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) The authority under paragraph (1) may not be exercised after
    September 30, 1996.''.

    SEC. 1035. AUTHORITY TO PAY SEVERANCE PAYMENTS IN LUMP SUMS.

        Section 5595 of title 5, United States Code, is amended by adding
    at the end the following:
        ``(i)(1) In the case of an employee of the Department of Defense
    who is entitled to severance pay under this section, the Secretary of
    Defense or the Secretary of the military department concerned may, upon
    application by the employee, pay thetotal amount of the severance pay
    to the employee in one lump sum.
        ``(2)(A) If an employee paid severance pay in a lump sum under this
    subsection is reemployed by the Government of the United States or the
    government of the District of Columbia at such time that, had the
    employee been paid severance pay in regular pay periods under
    subsection (b), the payments of such pay would have been discontinued
    under subsection (d) upon such reemployment, the employee shall repay
    to the Department of Defense (for the military department that formerly
    employed the employee, if applicable) an amount equal to the amount of
    severance pay to which the employee was entitled under this section
    that would not have been paid to the employee under subsection (d) by
    reason of such reemployment.
        ``(B) The period of service represented by an amount of severance
    pay repaid by an employee under subparagraph (A) shall be considered
    service for which severance pay has not been received by the employee
    under this section.
        ``(C) Amounts repaid to an agency under this paragraph shall be
    credited to the appropriation available for the pay of employees of the
    agency for the fiscal year in which received. Amounts so credited shall
    be merged with, and shall be available for the same purposes and the
    same period as, the other funds in that appropriation.
        ``(3) If an employee fails to repay to an agency an amount required
    to be repaid under paragraph (2)(A), that amount is recoverable from
    the employee as a debt due the United States.
        ``(4) This subsection applies with respect to severance pay payable
    under this section for separations taking effect on or after the date
    of the enactment of the National Defense Authorization Act for Fiscal
    Year 1996 and before October 1, 1999.''.

    SEC. 1036. CONTINUED HEALTH INSURANCE COVERAGE.

        Section 8905a(d)(4) of title 5, United States Code, is amended--
            (1) in subparagraph (A), by inserting ``, or a voluntary
        separation from a surplus position,'' after ``an involuntary
        separation from a position''; and
            (2) by adding at the end the following new subparagraph:
        ``(C) For the purpose of this paragraph, `surplus position' means a
    position which is identified in pre-reduction-in-force planning as no
    longer required, and which is expected to be eliminated under formal
    reduction-in-force procedures.''.
    SEC. 1037. REVISION OF AUTHORITY FOR APPOINTMENTS OF INVOLUNTARILY
    SEPARATED MILITARY RESERVE TECHNICIANS.
        (a) Revision of Authority.--Section 3329 of title 5, United States
    Code, as added by section 544 of the National Defense Authorization Act
    for Fiscal Year 1993 (Public Law 102-484; 106 Stat. 2415), is amended--
            (1) in subsection (b), by striking out ``be offered'' and
        inserting in lieu thereof ``be provided placement consideration in
        a position described in subsection (c) through a priority placement
        program of the Department of Defense''; and
            (2) by striking out subsection (c) and inserting in lieu
        thereof the following new subsection (c):
        ``(c)(1) The position for which placement consideration shall be
    provided to a former military technician under subsection (b) shall be
    a position--
            ``(A) in either the competitive service or the excepted
        service;
            ``(B) within the Department of Defense; and
            ``(C) in which the person is qualified to serve, taking into
        consideration whether the employee in that position is required to
        be a member of a reserve component of the armed forces as a
        condition of employment.
        ``(2) To the maximum extent practicable, the position shall also be
    in a pay grade or other pay classification sufficient to ensure that
    the rate of basic pay of the former military technician, upon
    appointment to the position, is not less than the rate of basic pay
    last received by the former military technician for technician service
    before separation.''.
        (b) Technical and Clerical Amendments.--(1) The section 3329 of
    title 5, United States Code, that was added by section 4431 of the
    National Defense Authorization Act for Fiscal Year 1993 (Public Law
    102-484; 106 Stat. 2719) is redesignated as section 3330 of such title.
        (2) The table of sections at the beginning of chapter 33 of such
    title is amended by striking out the item relating to section 3329, as
    added by section 4431(b) of such Act (106 Stat. 2720), and inserting in
    lieu thereof the following new item:
    ``3330. Government-wide list of vacant positions.''.

    SEC. 1038. WEARING OF UNIFORM BY NATIONAL GUARD TECHNICIANS.

        (a) Requirement.--Section 709(b) of title 32, United States Code,
    is amended to read as follows:
        ``(b) Except as prescribed by the Secretary concerned, a technician
    employed under subsection (a) shall, while so employed--
            ``(1) be a member of the National Guard;
            ``(2) hold the military grade specified by the Secretary
        concerned for that position; and
            ``(3) wear the uniform appropriate for the member's grade and
        component of the armed forces while performing duties as a
        technician.''.
        (b) Uniform Allowances for Officers.--Section 417 of title 37,
    United States Code, is amended by adding at the end the following:
        ``(d)(1) For purposes of sections 415 and 416 of this title, a
    period for which an officer of an armed force, while employed as a
    National Guard technician, is required to wear a uniform under section
    709(b) of title 32 shall be treated as a period of active duty (other
    than for training).
        ``(2) A uniform allowance may not be paid, and uniforms may not be
    furnished, to an officer under section 1593 of title 10 or section 5901
    of title 5 for a period of employmentreferred to in paragraph (1) for
    which an officer is paid a uniform allowance under section 415 or 416
    of this title.''.
        (c) Clothing or Allowances for Enlisted Members.--Section 418 of
    title 37, United States Code, is amended--
            (1) by inserting ``(a)'' before ``The President''; and
            (2) by adding at the end the following:
        ``(b) In determining the quantity and kind of clothing or
    allowances to be furnished pursuant to regulations prescribed under
    this section to persons employed as National Guard technicians under
    section 709 of title 32, the President shall take into account the
    requirement under subsection (b) of such section for such persons to
    wear a uniform.
        ``(c) A uniform allowance may not be paid, and uniforms may not be
    furnished, under section 1593 of title 10 or section 5901 of title 5 to
    a person referred to in subsection (b) for a period of employment
    referred to in that subsection for which a uniform allowance is paid
    under section 415 or 416 of this title.''.
    SEC. 1039. MILITARY LEAVE FOR MILITARY RESERVE TECHNICIANS FOR CERTAIN
    DUTY OVERSEAS.
        Section 6323 of title 5, United States Code, is amended by adding
    at the end the following new subsection:
        ``(d)(1) A military reserve technician described in section
    8401(30) is entitled at such person's request to leave without loss of,
    or reduction in, pay, leave to which such person is otherwise entitled,
    credit for time or service, or performance or efficiency rating for
    each day, not to exceed 44 workdays in a calendar year, in which such
    person is on active duty without pay, as authorized pursuant to section
    12315 of title 10, under section 12301(b) or 12301(d) of title 10
    (other than active duty during a war or national emergency declared by
    the President or Congress) for participation in noncombat operations
    outside the United States, its territories and possessions.
        ``(2) An employee who requests annual leave or compensatory time to
    which the employee is otherwise entitled, for a period during which the
    employee would have been entitled upon request to leave under this
    subsection, may be granted such annual leave or compensatory time
    without regard to this section or section 5519.''.
    SEC. 1040. PERSONNEL ACTIONS INVOLVING EMPLOYEES OF NONAPPROPRIATED
    FUND INSTRUMENTALITIES.
        (a) Clarification of Definition of Nonappropriated Fund
    Instrumentality Employee.--Subsection (a)(1) of section 1587 of title
    10, United States Code, is amended by adding at the end the following
    new sentence: ``Such term includes a civilian employee of a support
    organization within the Department of Defense or a military department,
    such as the Defense Finance and Accounting Service, who is paid from
    nonappropriated funds on account of the nature of the employee's
    duties.''.
        (b) Direct Reporting of Violations.--Subsection (e) of such section
    is amended in the second sentence by inserting before the period the
    following: ``and to permit the reporting of alleged violations of
    subsection (b) directly to the Inspector General of the Department of
    Defense''.
        (c) Technical Amendment.--Subsection (a)(1) of such section is
    further amended by striking out ``Navy Resale and Services Support
    Office'' and inserting in lieu thereof ``Navy Exchange Service
    Command''.
        (d) Clerical Amendments.--(1) The heading of such section is
    amended to read as follows:
    ``Sec. 1587. Employees of nonappropriated fund instrumentalities:
         reprisals''.
        (2) The item relating to such section in the table of sections at
    the beginning of chapter 81 of such title is amended to read as
    follows:
    ``1587. Employees of nonappropriated fund instrumentalities:
              reprisals.''.
    SEC. 1041. COVERAGE OF NONAPPROPRIATED FUND EMPLOYEES UNDER AUTHORITY
    FOR FLEXIBLE AND COMPRESSED WORK SCHEDULES.
        Paragraph (2) of section 6121 of title 5, United States Code, is
    amended to read as follows:
            ``(2) `employee' has the meaning given the term in subsection
        (a) of section 2105 of this title, except that such term also
        includes an employee described in subsection (c) of that
        section;''.
    SEC. 1042. LIMITATION ON PROVISION OF OVERSEAS LIVING QUARTERS
    ALLOWANCES FOR NONAPPROPRIATED FUND INSTRUMENTALITY EMPLOYEES.
        (a) Conforming Allowance to Allowances for Other Civilian
    Employees.--Subject to subsection (b), an overseas living quarters
    allowance paid from nonappropriated funds and provided to a
    nonappropriated fund instrumentality employee after the date of the
    enactment of this Act may not exceed the amount of a quarters allowance
    provided under subchapter III of chapter 59 of title 5 to a similarly
    situated civilian employee of the Department of Defense paid from
    appropriated funds.
        (b) Application to Certain Current Employees.--In the case of a
    nonappropriated fund instrumentality employee who, as of the date of
    the enactment of this Act, receives an overseas living quarters
    allowance under any other authority, subsection (a) shall apply to such
    employee only after the earlier of--
            (1) September 30, 1997; or
            (2) the date on which the employee otherwise ceases to be
        eligible for such an allowance under such other authority.
        (c) Nonappropriated Fund Instrumentality Employee Defined.--For
    purposes of this section, the term ``nonappropriated fund
    instrumentality employee'' has the meaning given such term in section
    1587(a)(1) of title 10, United States Code.

    SEC. 1043. ELECTIONS RELATING TO RETIREMENT COVERAGE.

        (a) In General.--
            (1) Civil service retirement system.--Section 8347(q) of title
        5, United States Code, is amended--
                (A) in paragraph (1)--
                    (i) by striking ``of the Department of Defense or the
                Coast Guard'' in the matter before subparagraph (A); and
                    (ii) by striking ``3 days'' and inserting ``1 year'';
                and
                (B) in paragraph (2)(C)--
                    (i) by striking ``3 days'' and inserting ``1 year'';
                and
                    (ii) by striking ``in the Department of Defense or the
                Coast Guard, respectively,''.
            (2) Federal employees' retirement system.--Section 8461(n) of
        title 5, United States Code, is amended--
                (A) in paragraph (1)--
                    (i) by striking ``of the Department of Defense or the
                Coast Guard'' in the matter before subparagraph (A); and
                    (ii) by striking ``3 days'' and inserting ``1 year'';
                and
                (B) in paragraph (2)(C)--
                    (i) by striking ``3 days'' and inserting ``1 year'';
                and
                    (ii) by striking ``in the Department of Defense or the
                Coast Guard, respectively,''.
        (b) Regulations.--Not later than 6 months after the date of the
    enactment of this Act, the Office of Personnel Management (and each of
    the other administrative authorities, within the meaning of subsection
    (c)(2)(C)(iii)) shall prescribe any regulations (or make any
    modifications in existing regulations) necessary to carry out this
    section and the amendments made by this section, including regulations
    to provide for the notification of individuals who may be affected by
    the enactment of this section. All regulations (and modifications to
    regulations) under the preceding sentence shall take effect on the same
    date.
        (c) Applicability; Related Provisions.--
            (1) Prospective rules.--Except as otherwise provided in this
        subsection, the amendments made by this section shall apply with
        respect to moves occurring on or after the effective date of the
        regulations under subsection (b). Moves occurring on or after the
        date of the enactment of this Act and before the effective date of
        such regulations shall be subject to applicable provisions of title
        5, United States Code, disregarding the amendments made by this
        section, except that any individual making an election pursuant to
        this sentence shall be ineligible to make an election otherwise
        allowable under paragraph (2).
            (2) Retroactive rules.--
                (A) In general.--The regulations under subsection (b) shall
            include provisions for the application of sections 8347(q) and
            8461(n) of title 5, United States Code, as amended by this
            section, with respect to any individual who, at any time after
            December 31, 1965, and before the effective date of such
            regulations, moved between positions in circumstances that
            would have qualified such individual to make an election under
            the provisions of such section 8347(q) or 8461(n), as so
            amended, if such provisions had then been in effect.
                (B) Deadline; related provisions.--An election pursuant to
            this paragraph--
                    (i) shall be made within 1 year after the effective
                date of the regulations under subsection (b), and
                    (ii) shall have the same force and effect as if it had
                been timely made at the time of the move,
            except that no such election may be made by any individual--
                    (I) who has previously made, or had an opportunity to
                make, an election under section 8347(q) or 8461(n) of title
                5, United States Code (as in effect before being amended by
                this section); however, this subclause shall not be
                considered to render an individual ineligible, based on an
                opportunity arising out of a move occurring during the
                period described in the second sentence of paragraph (1),
                if no election has in fact been made by such individual
                based on such move;
                    (II) who has not, since the move on which eligibility
                for the election is based, remained continuously subject
                (disregarding any break in service of less than 3 days) to
                CSRS or FERS or both seriatim (if the move was from a NAFI
                position) or any retirement system (or 2 or more such
                systems seriatim) established for employees described in
                section 2105(c) of such title (if the move was to a NAFI
                position); or
                    (III) if such election would be based on a move to the
                Civil Service Retirement System from a retirement system
                established for employees described in section 2105(c) of
                such title.
                (C) Transfers of contributions.--
                    (i) In general.--If an individual makes an election
                under this paragraph to be transferred back to a retirement
                system in which such individual previously participated (in
                this section referred to as the ``previous system''), all
                individual contributions (including interest) and
                Government contributions to the retirement system in which
                such individual is then currently participating (in this
                section referred to as the ``current system''), excluding
                those made to the Thrift Savings Plan or any other defined
                contribution plan, which are attributable to periods of
                service performed since the move on which the election is
                based, shall be paidto the fund, account, or other
    repository for contributions made under the previous system. For
    purposes of this section, the term ``current system'' shall be
    considered also to include any retirement system (besides the one in
    which the individual is participating at the time of making the
    election) in which such individual previously participated since the
    move on which the election is based.
                    (ii) Condition subsequent relating to repayment of
                lump-sum credit.--In the case of an individual who has
                received such individual's lump-sum credit (within the
                meaning of section 8401(19) of title 5, United States Code,
                or a similar payment) from such individual's previous
                system, the payment described in clause (i) shall not be
                made (and the election to which it relates shall be
                ineffective) unless such lump-sum credit is redeposited or
                otherwise paid at such time and in such manner as shall be
                required under applicable regulations. Regulations to carry
                out this clause shall include provisions for the
                computation of interest (consistent with section 8334(e)
                (2) and (3) of title 5, United States Code), if no
                provisions for such computation otherwise exist.
                    (iii) Condition subsequent relating to deficiency in
                payments relative to amounts needed to ensure that benefits
                are fully funded.--

                        (I) In general.--Except as provided in subclause
                    (II), the payment described in clause (i) shall not be
                    made (and the election to which it relates shall be
                    ineffective) if the actuarial present value of the
                    future benefits that would be payable under the
                    previous system with respect to service performed by
                    such individual after the move on which the election
                    under this paragraph is based and before the effective
                    date of the election, exceeds the total amounts
                    required to be transferred to the previous system under
                    the preceding provisions of this subparagraph with
                    respect to such service, as determined by the authority
                    administering such previous system (in this section
                    referred to as the ``administrative authority'').
                        (II) Payment of deficiency.--A determination of a
                    deficiency under this clause shall not render an
                    election ineffective if the individual pays or arranges
                    to pay, at a time and in a manner satisfactory to such
                    administrative authority, the full amount of the
                    deficiency described in subclause (I).

                (D) Alternative election for an individual then
            participating in fers.--
                    (i) Applicability.--This subparagraph applies with
                respect to any individual who--

                        (I) is then currently participating in FERS; and
                        (II) would then otherwise be eligible to make an
                    election under subparagraphs (A) through (C) of this
                    paragraph, determined disregarding the matter in
                    subclause (I) of subparagraph (B) before the first
                    semicolon therein.

                    (ii) Election.--An individual described in clause (i)
                may, instead of making an election for which such
                individual is otherwise eligible under this paragraph,
                elect to have all prior qualifying NAFI service of such
                individual treated as creditable service for purposes of
                any annuity under FERS payable out of the Civil Service
                Retirement and Disability Fund.
                    (iii) Qualifying nafi service.--For purposes of this
                subparagraph, the term ``qualifying NAFI service'' means
                any service which, but for this subparagraph, would be
                creditable for purposes of any retirement system
                established for employees described in section 2105(c) of
                title 5, United States Code.
                    (iv) Service ceases to be creditable for nafi
                retirement system purposes.--Any qualifying NAFI service
                that becomes creditable for FERS purposes by virtue of an
                election made under this subparagraph shall not be
                creditable for purposes of any retirement system referred
                to in clause (iii).
                    (v) Conditions.--An election under this subparagraph
                shall be subject to requirements, similar to those set
                forth in subparagraph (C), to ensure that--

                        (I) appropriate transfers of individual and
                    Government contributions are made to the Civil Service
                    Retirement and Disability Fund; and
                        (II) the actuarial present value of future benefits
                    under FERS attributable to service made creditable by
                    such election is fully funded.

                (E) Alternative election for an individual then
            participating in a nafi retirement system.--
                    (i) Applicability.--This subparagraph applies with
                respect to any individual who--

                        (I) is then currently participating in any
                    retirement system established for employees described
                    in section 2105(c) of title 5, United States Code (in
                    this subparagraph referred to as a ``NAFI retirement
                    system''); and
                        (II) would then otherwise be eligible to make an
                    election under subparagraphs (A) through (C) of this
                    paragraph (determined disregarding the matter in
                    subclause (I) of subparagraph (B) before the first
                    semicolon therein) based on a move from FERS.

                    (ii) Election.--An individual described in clause (i)
                may, instead of making an election for which such
                individual is otherwise eligible under this paragraph,
                elect to have all prior qualifying FERS service of such
                individual treated as creditable service for purposes of
                determining eligibility for benefits under a NAFI
                retirement system, but not for purposes of computing the
                amount of any such benefits except as provided in clause
                (v)(II).
                    (iii) Qualifying fers service.--For purposes of this
                subparagraph, the term ``qualifying FERS service'' means
                any service which, but for this subparagraph, would be
                creditable for purposes of the Federal Employees'
                Retirement System.
                    (iv) Service ceases to be creditable for purposes of
                fers.--Any qualifying FERS service that becomes creditable
                for NAFI purposes by virtue of an election made under this
                subparagraph shall not be creditable for purposes of the
                Federal Employees' Retirement System.
                    (v) Funding requirements.--

                        (I) In general.--Except as provided in subclause
                    (II), nothing in this section or in any other provision
                    of law or any other authority shall be considered to
                    require any payment or transfer of monies in order for
                    an election under this subparagraph to be effective.
                        (II) Contribution required only if individual
                    elects to have service made creditable for computation
                    purposes as well.--Under regulations prescribed by the
                    appropriate administrative authority, an individual
                    making an election under this subparagraph may further
                    elect to have the qualifying FERS service made
                    creditable for computationpurposes under a NAFI
    retirement system, but only if the individual pays or arranges to pay,
    at a time and in a manner satisfactory to such administrative
    authority, the amount necessary to fully fund the actuarial present
    value of future benefits under the NAFI retirement system attributable
    to the qualifying FERS service.
            (3) Information.--The regulations under subsection (b) shall
        include provisions under which any individual--
                (A) shall, upon request, be provided information or
            assistance in determining whether such individual is eligible
            to make an election under paragraph (2) and, if so, the exact
            amount of any payment which would be required of such
            individual in connection with any such election; and
                (B) may seek any other information or assistance relating
            to any such election.
        (d) Creditability of NAFI Service for RIF Purposes.--
            (1) In general.--Clause (ii) of section 3502(a)(C) of title 5,
        United States Code, is amended by striking ``January 1, 1987'' and
        inserting ``January 1, 1966''.
            (2) Effective date.--Notwithstanding any provision of
        subsection (c), the amendment made by paragraph (1) shall--
                (A) take effect on the date of the enactment of this Act;
            and
                (B) apply with respect to any reduction in force carried
            out on or after such date.
    SEC. 1044. EXTENSION OF TEMPORARY AUTHORITY TO PAY CIVILIAN EMPLOYEES
    WITH RESPECT TO THE EVACUATION FROM GUANTANAMO, CUBA.
        (a) Extension of Authority.--The Secretary of Defense may, until
    the end of January 31, 1996, and without regard to the time limitations
    specified in subsection (a) of section 5523 of title 5, United States
    Code, make payments under the provisions of such section from funds
    available for the pay of civilian personnel in the case of employees,
    or an employee's dependents or immediate family, evacuated from
    Guantanamo Bay, Cuba, pursuant to the August 26, 1994 order of the
    Secretary. This section shall take effect as of October 1, 1995, and
    shall apply with respect to payments made for periods occurring on or
    after that date.
        (b) Monthly Report.--On the first day of each month beginning after
    the date of the enactment of this Act and ending before March 1996, the
    Secretary of the Navy shall transmit to the Committee on Armed Services
    of the Senate and the Committee on National Security of the House of
    Representatives a report regarding the payment of employees pursuant to
    subsection (a). Each such report shall include, for the month preceding
    the month in which the report is transmitted, a statement of the
    following:
            (1) The number of the employees paid pursuant to such section.
            (2) The positions of employment of the employees.
            (3) The number and location of the employees' dependents and
        immediate families.
            (4) The actions taken by the Secretary to eliminate the
        conditions which necessitated the payments.

                Subtitle E--Miscellaneous Reporting Requirements

    SEC. 1051. REPORT ON FISCAL YEAR 1997 BUDGET SUBMISSION REGARDING GUARD
    AND RESERVE COMPONENTS.
        (a) Report.--The Secretary of Defense shall submit to the
    congressional defense committees, at the same time that the President
    submits the budget for fiscal year 1997 under section 1105(a) of title
    31, United States Code, a report on amounts requested in that budget
    for the Guard and Reserve components.
        (b) Content.--The report shall include the following:
            (1) A description of the anticipated effect that the amounts
        requested (if approved by Congress) will have to enhance the
        capabilities of each of the Guard and Reserve components.
            (2) A listing, with respect to each such component, of each of
        the following:
                (A) The amount requested for each major weapon system for
            which funds are requested in the budget for that component.
                (B) The amount requested for each item of equipment (other
            than a major weapon system) for which funds are requested in
            the budget for that component.
                (C) The amount requested for each military construction
            project, together with the location of each such project, for
            which funds are requested in the budget for that component.
        (c) Inclusion of Information in Next FYDP.--The Secretary of
    Defense shall specifically display in the next future-years defense
    program (or program revision) submitted to Congress after the date of
    the enactment of this Act the amounts programmed for procurement of
    equipment and for military construction for each of the Guard and
    Reserve components.
        (d) Definition.--For purposes of this section, the term ``Guard and
    Reserve components'' means the following:
            (1) The Army Reserve.
            (2) The Army National Guard of the United States.
            (3) The Naval Reserve.
            (4) The Marine Corps Reserve.
            (5) The Air Force Reserve.
            (6) The Air National Guard of the United States.
    SEC. 1052. REPORT ON DESIRABILITY AND FEASIBILITY OF PROVIDING
    AUTHORITY FOR USE OF FUNDS DERIVED FROM RECOVERED LOSSES RESULTING FROM
    CONTRACTOR FRAUD.
        (a) Report.--Not later than April 1, 1996, the Secretary of Defense
    shall submit to Congress a report on the desirabilityand feasibility of
    authorizing by law the retention and use by the Department of Defense
    of a specified portion (not to exceed three percent) of amounts
    recovered by the Government during any fiscal year from losses and
    expenses incurred by the Department of Defense as a result of
    contractor fraud at military installations.
        (b) Matters To Be Included.--The report shall include the views of
    the Secretary of Defense regarding--
            (1) the degree to which such authority would create enhanced
        incentives for the discovery, investigation, and resolution of
        contractor fraud at military installations; and
            (2) the appropriate allocation for funds that would be
        available for expenditure pursuant to such authority.
    SEC. 1053. REPORT OF NATIONAL POLICY ON PROTECTING THE NATIONAL
    INFORMATION INFRASTRUCTURE AGAINST STRATEGIC ATTACKS.
        Not later than 120 days after the date of the enactment of this
    Act, the President shall submit to Congress a report setting forth the
    results of a review of the national policy on protecting the national
    information infrastructure against strategic attacks. The report shall
    include the following:
            (1) A description of the national policy and architecture
        governing the plans for establishing procedures, capabilities,
        systems, and processes necessary to perform indications, warning,
        and assessment functions regarding strategic attacks by foreign
        nations, groups, or individuals, or any other entity against the
        national information infrastructure.
            (2) An assessment of the future of the National Communications
        System (NCS), which has performed the central role in ensuring
        national security and emergency preparedness communications for
        essential United States Government and private sector users,
        including a discussion of--
                (A) whether there is a Federal interest in expanding or
            modernizing the National Communications System in light of the
            changing strategic national security environment and the
            revolution in information technologies; and
                (B) the best use of the National Communications System and
            the assets and experience it represents as an integral part of
            a larger national strategy to protect the United States against
            a strategic attack on the national information infrastructure.
    SEC. 1054. REPORT ON DEPARTMENT OF DEFENSE BOARDS AND COMMISSIONS.
        (a) Study.--The Secretary of Defense shall conduct a study of the
    boards and commissions described in subsection (c). As part of such
    study, the Secretary shall determine, with respect to each such board
    or commission that received support from the Department of Defense
    during fiscal year 1995, whether that board or commission merits
    continued support from the Department.
        (b) Report.--Not later than April 1, 1996, 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
    on the results of the study. The report shall include the following:
            (1) A list of each board and commission described in subsection
        (c) that received support from the Department of Defense during
        fiscal year 1995.
            (2) With respect to the boards and commissions specified on the
        list under paragraph (1)--
                (A) a list of each such board or commission concerning
            which the Secretary determined under subsection (a) that
            continued support from the Department of Defense is merited;
            and
                (B) a list of each such board or commission concerning
            which the Secretary determined under subsection (a) that
            continued support from the Department if not merited.
            (3) For each board and commission specified on the list under
        paragraph (2)(A), a description of--
                (A) the purpose of the board or commission;
                (B) the nature and cost of the support provided by the
            Department to the board or commission during fiscal year 1995;
                (C) the nature and duration of the support that the
            Secretary proposes to provide to the board or commission;
                (D) the anticipated cost to the Department of providing
            such support; and
                (E) a justification of the determination that the board or
            commission merits the continued support of the Department.
            (4) For each board and commission specified on the list under
        paragraph (2)(B), a description of--
                (A) the purpose of the board or commission;
                (B) the nature and cost of the support provided by the
            Department to the board or commission during fiscal year 1995;
            and
                (C) a justification of the determination that the board or
            commission does not merit the continued support of the
            Department.
        (c) Covered Boards and Commissions.--Subsection (a) applies to any
    board or commission (including any board or commission authorized by
    law) that operates within or for the Department of Defense and that--
            (1) provides only policy-making assistance or advisory services
        for the Department; or
            (2) carries out only activities that are not routine
        activities, on-going activities, or activities necessary to the
        routine, on-going operations of the Department.
        (d) Support Defined.--For purposes of this section, the term
    ``support'' includes the provision of any of the following:
            (1) Funds.
            (2) Equipment, materiel, or other assets.
            (3) Services of personnel.
    SEC. 1055. DATE FOR SUBMISSION OF ANNUAL REPORT ON SPECIAL ACCESS
    PROGRAMS.
        Section 119(a) of title 10, United States Code, is amended by
    striking out ``February 1'' and inserting in lieu thereof ``March 1''.

      Subtitle F--Repeal of Certain Reporting and Other Requirements and
                                  Authorities

    SEC. 1061. REPEAL OF MISCELLANEOUS PROVISIONS OF LAW.

        (a) Volunteers Investing in Peace and Security Program.--(1)
    Chapter 89 of title 10, United States Code, is repealed.
        (2) The tables of chapters at the beginning of subtitle A, and at
    the beginning of part II of subtitle A, of such title are each amended
    by striking out the item relating to chapter 89.
        (b) Security and Control of Supplies.--(1) Chapter 171 of such
    title is repealed.
        (2) The tables of chapters at the beginning of subtitle A, and at
    the beginning of part IV of subtitle A, of such title are each amended
    by striking out the item relating to chapter 171.
        (c) Annual Authorization of Military Training Student Loads.--
    Section 115 of such title is amended--
            (1) in subsection (a), by striking out paragraph (3);
            (2) in subsection (b)--
                (A) by inserting ``or'' at the end of paragraph (1);
                (B) by striking out ``; or'' at the end of paragraph (2)
            and inserting in lieu thereof a period; and
                (C) by striking out paragraph (3); and
            (3) by striking out subsection (f).
        (d) Portions of Annual Manpower Requirements Report.--Section 115a
    of such title is amended--
            (1) in subsection (b)(2), by striking out subparagraph (C);
            (2) by striking out subsection (d);
            (3) by redesignating subsection (e) as subsection (d) and
        striking out paragraphs (4) and (5) thereof;
            (4) by striking out subsection (f); and
            (5) by redesignating subsection (g) as subsection (e).
        (e) Obsolete Authority for Payment of Stipends for Members of
    Certain Advisory Committees and Boards of Visitors of Service
    Academies.--(1) The second sentence of each of sections 173(b) and
    174(b) of such title is amended to read as follows: ``Other members and
    part-time advisers shall (except as otherwise specifically authorized
    by law) serve without compensation for such service.''.
        (2) Sections 4355(h), 6968(h), and 9355(h) of such title are
    amended by striking out ``is entitled to not more than $5 a day and''.
        (f) Annual Budget Information Concerning Recruiting Costs.--(1)
    Section 227 of such title is repealed.
        (2) The table of sections at the beginning of chapter 9 of such
    title is amended by striking out the item relating to section 227.
        (g) Expired Authority Relating to Peacekeeping Activities.--(1)
    Section 403 of such title is repealed.
        (2) The table of sections at the beginning of subchapter I of
    chapter 20 of such title is amended by striking out the item relating
    to section 403.
        (h) Procurement of Gasohol for Department of Defense Motor
    Vehicles.--(1) Subsection (a) of section 2398 of such title is
    repealed.
        (2) Such section is further amended--
            (A) by redesignating subsections (b) and (c) as subsections (a)
        and (b), respectively; and
            (B) in subsection (b), as so redesignated, by striking out
        ``subsection (b)'' and inserting in lieu thereof ``subsection
        (a)''.
        (i) Requirement of Notice of Certain Disposals and Gifts by
    Secretary of Navy.--Section 7545 of such title is amended--
            (1) by striking out subsection (c); and
            (2) by redesignating subsection (d) as subsection (c).
        (j) Annual Report on Biological Defense Research Program.--(1)
    Section 2370 of such title is repealed.
        (2) The table of sections at the beginning of chapter 139 of such
    title is amended by striking out the item relating to such section.
        (k) Reports and Notifications Relating to Chemical and Biological
    Agents.--Subsection (a) of section 409 of Public Law 91-121 (50 U.S.C.
    1511) is repealed.
        (l) Annual Report on Balanced Technology Initiative.--Subsection
    (e) of section 211 of the National Defense Authorization Act for Fiscal
    Years 1990 and 1991 (Public Law 101-189; 103 Stat. 1394) is repealed.
        (m) Report on Environmental Restoration Costs for Installations To
    Be Closed Under 1990 Base Closure Law.--Section 2827 of the National
    Defense Authorization Act for Fiscal Years 1992 and 1993 (Public Law
    102-190; 10 U.S.C. 2687 note) is amended by striking out subsection
    (b).
        (n) Limitation on American Diplomatic Facilities in Germany.--
    Section 1432 of the National Defense Authorization Act for Fiscal Year
    1994 (Public Law 103-160; 107 Stat. 1833) is repealed.

    SEC. 1062. REPORTS REQUIRED BY TITLE 10, UNITED STATES CODE.

        (a) Annual Report on Relocation Assistance Programs.--Section 1056
    of title 10, United States Code, is amended--
            (1) by striking out subsection (f); and
            (2) by redesignating subsection (g) as subsection (f).
        (b) Notice of Salary Increases for Foreign National Employees.--
    Section 1584 of such title is amended--
            (1) by striking out subsection (b); and
            (2) in subsection (a), by striking out ``(a) Waiver of
        Employment Restrictions for Certain Personnel.--''.
        (c) Notice Regarding Contracts Performed for Periods Exceeding 10
    Years.--(1) Section 2352 of such title is repealed.
        (2) The table of sections at the beginning of chapter 139 of such
    title is amended by striking out the item relating to section 2352.
        (d) Report on Low-Rate Production Under Naval Vessel and Military
    Satellite Programs.--Section 2400(c) of such title is amended--
            (1) by striking out paragraph (2); and
            (2) in paragraph (1)--
                (A) by striking out ``(1)''; and
                (B) by redesignating clauses (A) and (B) as clauses (1) and
            (2), respectively.
        (e) Report on Waivers of Prohibition on Employment of Felons.--
    Section 2408(a)(3) of such title is amended by striking out the second
    sentence.
        (f) Report on Determination Not To Debar for Fraudulent Use of
    Labels.--Section 2410f(a) of such title is amended by striking out the
    second sentence.
        (g) Notice of Military Construction Contracts on Guam.--Section
    2864(b) of such title is amended by striking out ``after the 21-day
    period'' and all that follows through ``determination''.
    SEC. 1063. REPORTS REQUIRED BY DEFENSE AUTHORIZATION AND APPROPRIATIONS
    ACTS.
        (a) Public Law 99-661 Requirement for Report on Funding for
    Nicaraguan Democratic Resistance.--Section 1351 of the National Defense
    Authorization Act for Fiscal Year 1987 (Public Law 99-661; 100 Stat.
    3995; 10 U.S.C. 114 note) is amended--
            (1) by striking out subsection (b); and
            (2) in subsection (a), by striking out ``(a) Limitation.--''.
        (b) Annual Report on Overseas Military Facility Investment Recovery
    Account.--Section 2921 of the Military Construction Authorization Act
    for Fiscal Year 1991 (division B of Public Law 101-510; 10 U.S.C. 2687
    note) is amended--
            (1) by striking out subsection (f); and
            (2) by redesignating subsections (g) and (h) as subsections (f)
        and (g), respectively.
        (c) Science, Mathematics, and Engineering Education Master Plan.--
    Section 829 of the National Defense Authorization Act for Fiscal Years
    1992 and 1993 (Public Law 102-190; 105 Stat. 1444; 10 U.S.C. 2192 note)
    is repealed.
        (d) Report Regarding Heating Facility Modernization at
    Kaiserslautern.--Section 8008 of the Department of Defense
    Appropriations Act, 1994 (Public Law 103-139; 107 Stat. 1438), is
    amended by inserting ``but without regard to the notification
    requirement in subsection (b)(2) of such section,'' after ``section
    2690 of title 10, United States Code,''.

    SEC. 1064. REPORTS REQUIRED BY OTHER PROVISIONS OF LAW.

        (a) Requirement Under Arms Export Control Act for Quarterly Report
    on Price and Availability Estimates.--Section 28 of the Arms Export
    Control Act (22 U.S.C. 2768) is repealed.
        (b) Annual Report on National Security Agency Executive
    Personnel.--Section 12(a) of the National Security Agency Act of 1959
    (50 U.S.C. 402 note) is amended by striking out paragraph (5).
        (c) Reports Concerning Certain Federal Contracting and Financial
    Transactions.--Section 1352 of title 31, United States Code, is
    amended--
            (1) in subsection (b)(6)(A), by inserting ``(other than the
        Secretary of Defense and Secretary of a military department)''
        after ``The head of each agency''; and
            (2) in subsection (d)(1), by inserting ``(other than in the
        case of the Department of Defense or a military department)'' after
        ``paragraph (3) of this subsection''.
        (d) Annual Report on Water Resources Project Agreements.--Section
    221 of the Flood Control Act of 1970 (42 U.S.C. 1962d-5b) is amended--
            (1) by striking out subsection (e); and
            (2) by redesignating subsection (f) as subsection (e).
        (e) Annual Report on Construction of Tennessee-Tombigbee
    Waterway.--Section 185 of the Water Resources Development Act of 1976
    (33 U.S.C. 544c) is amended by striking out the second sentence.
        (f) Annual Report on Monitoring of Navy Home Port Waters.--Section
    7 of the Organotin Antifouling Paint Control Act of 1988 (33 U.S.C.
    2406) is amended--
            (1) by striking out subsection (d); and
            (2) by redesignating subsections (e) and (f) as subsections (d)
        and (e), respectively.

              Subtitle G--Department of Defense Education Programs

    SEC. 1071. CONTINUATION OF UNIFORMED SERVICES UNIVERSITY OF THE HEALTH
    SCIENCES.
        (a) Policy.--Congress reaffirms--
            (1) the prohibition set forth in subsection (a) of 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) regarding
        closure of the Uniformed Services University of the Health
        Sciences; and
            (2) the expression of the sense of Congress set forth in
        subsection (b) of such section regarding the budgetary commitment
        to continuation of the University.
        (b) Personnel Strength.--During the five-year period beginning on
    October 1, 1995, the personnel staffing levels for the Uniformed
    Services University of the Health Sciences may not be reduced below the
    personnel staffing levels for the University as of October 1, 1993.
        (c) Budgetary Commitment to Continuation.--It is the sense of
    Congress that the Secretary of Defense should budget for the operation
    of the Uniformed Services University of the Health Sciences during
    fiscal year 1997 at a level at least equal to the level of operations
    conducted at the University during fiscal year 1995.
    SEC. 1072. ADDITIONAL GRADUATE SCHOOLS AND PROGRAMS AT UNIFORMED
    SERVICES UNIVERSITY OF THE HEALTH SCIENCES.
        (a) Additional Schools and Programs.--Subsection (h) of section
    2113 of title 10, United States Code, is amended to read as follows:
        ``(h) The Secretary of Defense may establish the following
    educational programs at the University:
            ``(1) Postdoctoral, postgraduate, and technological institutes.
            ``(2) A graduate school of nursing.
            ``(3) Other schools or programs that the Secretary determines
        necessary in order to operate the University in a cost-effective
        manner.''.
        (b) Conforming Amendments To Reflect Advisory Nature of Board of
    Regents.--(1) Section 2112(b) of such title is amended by striking out
    ``, upon recommendation of the Board of Regents,''.
        (2) Section 2113 of such title is amended--
            (A) in subsection (a)--
                (i) by striking out ``a Board of Regents (hereinafter in
            this chapter referred to as the `Board')'' in the first
            sentence and inserting in lieu thereof ``the Secretary of
            Defense''; and
                (ii) by inserting after the first sentence the following
            new sentence: ``To assist the Secretary in an advisory
            capacity, there is a Board of Regents for the University.'';
            (B) in subsection (d), by striking out ``Board'' the first
        place it appears and inserting in lieu thereof ``Secretary'';
            (C) in subsection (e), by striking out ``of Defense'';
            (D) in subsection (f)(1), by striking out ``of Defense'';
            (E) in subsection (g)--
                (i) by striking out ``Board is authorized to'' in the first
            sentence and inserting in lieu thereof ``Secretary may'';
                (ii) by striking out ``Board is also authorized to'' in the
            third sentence and inserting in lieu thereof ``Secretary may'';
            and
                (iii) by striking out ``Board may also, subject to the
            approval of the Secretary of Defense,'' in the fifth sentence
            and inserting in lieu thereof ``Secretary may''; and
            (F) by striking out ``Board'' each place it appears in
        subsections (f), (i), and (j) and inserting in lieu thereof
        ``Secretary''.
        (3) Section 2114(e)(1) of such title is amended by striking out
    ``Board, upon approval of the Secretary of Defense,'' and inserting in
    lieu thereof ``Secretary of Defense''.
        (c) Clerical Amendments.--(1) The heading of section 2113 of such
    title is amended to read as follows:

    ``Sec. 2113. Administration of University''.

        (2) The item relating to such section in the table of sections at
    the beginning of chapter 104 of such title is amended to read as
    follows:
    ``2113. Administration of University.''.
    SEC. 1073. FUNDING FOR ADULT EDUCATION PROGRAMS FOR MILITARY PERSONNEL
    AND DEPENDENTS OUTSIDE THE UNITED STATES.
        Of amounts appropriated pursuant to section 301, $600,000 shall be
    available to carry out adult education programs, consistent with the
    Adult Education Act (20 U.S.C. 1201 et seq.), for the following:
            (1) Members of the Armed Forces who are serving in locations--
                (A) that are outside the United States; and
                (B) for which amounts are not required to be allotted under
            section 313(b) of such Act (20 U.S.C. 1201b(b)).
            (2) The dependents of such members.
    SEC. 1074. 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
    1996.--(1) Of the amounts authorized to be appropriated in section
    301(5)--
            (A) $30,000,000 shall be available for providing educational
        agencies assistance (as defined in paragraph (4)(A)) to local
        educational agencies; and
            (B) $5,000,000 shall be available for making educational
        agencies payments (as defined in paragraph (4)(B)) to local
        educational agencies.
        (2) Not later than June 30, 1996, the Secretary of Defense shall--
            (A) notify each local educational agency that is eligible for
        educational agencies assistance for fiscal year 1996 of that
        agency's eligibility for such assistance and the amount of such
        assistance for which that agency is eligible; and
            (B) notify each local educational agency that is eligible for
        an educational agencies payment for fiscal year 1996 of that
        agency's eligibility for such payment and the amount of the payment
        for which that agency is eligible.
        (3) The Secretary of Defense shall disburse funds made available
    under subparagraphs (A) and (B) of paragraph (1) not later than 30 days
    after the date on which notification to the eligible local educational
    agencies is provided pursuant to paragraph (2).
        (4) In this section:
            (A) The term ``educational agencies assistance'' means
        assistance authorized under subsection (b) of section 386 of the
        National Defense Authorization Act for Fiscal Year 1993 (Public Law
        102-484; 20 U.S.C. 238 note).
            (B) The term ``educational agencies payments'' means payments
        authorized under subsection (d) of that section, as amended by
        subsection (d).
        (b) Special Rule for 1994 Payments.--The Secretary of Education
    shall not consider any payment to a local educational agency by the
    Department of Defense, that is available to such agency for current
    expenditures and used for capital expenses, as funds available to such
    agency for purposes of making a determination for fiscal year 1994
    under section 3(d)(2)(B)(i) of the Act of September 30, 1950 (Public
    Law 874, 81st Congress) (as such Act was in effect on September 30,
    1994).
        (c) Reduction in Impact Threshold.--Subsection (c)(1) of section
    386 of the National Defense Authorization Act for Fiscal Year 1993
    (Public Law 102-484; 20 U.S.C. 238 note) is amended--
            (1) by striking out ``30 percent'' and inserting in lieu
        thereof ``20 percent''; and
            (2) by striking out ``counted under subsection (a) or (b) of
        section 3 of the Act of September 30, 1950 (Public Law 874, Eighty-
        first Congress; 20 U.S.C. 238)'' and inserting in lieu thereof
        ``counted under section 8003(a) of the Elementary and Secondary
        Education Act of 1965 (20 U.S.C. 7703(a))''.
        (d) Adjustments Related to Base Closures and Realignments.--
    Subsection (d) of section 386 of the National Defense Authorization Act
    for Fiscal Year 1993 (Public Law 102-484; 28 U.S.C. 238 note) is
    amended to read as follows:
        ``(d) Adjustments Related to Base Closures and Realignments.--To
    assist communities in making adjustments resulting from reductions in
    the size of the Armed Forces, the Secretary of Defense shall, in
    consultation with the Secretary of Education, make payments to local
    educational agencies that, during the period between the end of the
    school year preceding the fiscal year for which the payments are
    authorized and the beginning of the school year immediately preceding
    that school year, had an overall reduction of not less than 20 percent
    in the number of military dependent students as a result of the closure
    or realignment of military installations.''.
        (e) Extension of Reporting Requirement.--Subsection (e)(1) of
    section 386 of the National Defense Authorization Act for Fiscal Year
    1993 (Public Law 102-484; 20 U.S.C. 238 note) is amended by striking
    out ``and 1995'' and inserting in lieu thereof ``1995, and 1996''.
        (f) Payments for Eligible Federally Connected Children.--Subsection
    (f) of section 8003 of the Elementary and Secondary Education Act of
    1965 (20 U.S.C. 7703) is amended--
            (1) in paragraph (2)--
                (A) in the matter preceding clause (i) of subparagraph (A),
            by striking ``only if such agency'' and inserting ``if such
            agency is eligible for a supplementary payment in accordance
            with subparagraph (B) or such agency''; and
                (B) by adding at the end the following new subparagraph:
                ``(D) A local educational agency shall only be eligible to
            receive additional assistance under this subsection if the
            Secretary determines that--
                    ``(i) such agency is exercising due diligence in
                availing itself of State and other financial assistance;
                and
                    ``(ii) the eligibility of such agency under State law
                for State aid with respect to the free public education of
                children described in subsection (a)(1) and the amount of
                such aid are determined on a basis no less favorable to
                such agency than the basis used in determining the
                eligibility of local educational agencies for State aid,
                and the amount of such aid, with respect to the free public
                education of other children in the State.''; and
            (2) in paragraph (3)--
                (A) in subparagraph (A)--
                    (i) in the matter preceding clause (i), by inserting
                ``(other than any amount received under paragraph (2)(B))''
                after ``subsection'';
                    (ii) in subclause (I) of clause (i), by striking ``or
                the average per-pupil expenditure of all the States'';
                    (iii) by amending clause (ii) to read as follows:
                    ``(ii) The Secretary shall next multiply the amount
                determined under clause (i) by the total number of students
                in average daily attendance at the schools of the local
                educational agency.''; and
                    (iv) by amending clause (iii) to read as follows:
                    ``(iii) The Secretary shall next subtract from the
                amount determined under clause (ii) all funds available to
                the local educational agency for current expenditures, but
                shall not so subtract funds provided--

                        ``(I) under this Act; or
                        ``(II) by any department or agency of the Federal
                    Government (other than the Department) that are used
                    for capital expenses.''; and

                (B) by amending subparagraph (B) to read as follows:
                ``(B) Special rule.--With respect to payments under this
            subsection for a fiscal year for a local educational agency
            described in clause (ii) or (iii) of paragraph (2)(A), the
            maximum amount of payments under this subsection shall be equal
            to--
                    ``(i) the product of--

                        ``(I) the average per-pupil expenditure in all
                    States multiplied by 0.7, except that such amount may
                    not exceed 125 percent of the average per-pupil
                    expenditure in all local educational agencies in the
                    State; multiplied by
                        ``(II) the number of students described in
                    subparagraph (A) or (B) of subsection (a)(1) for such
                    agency; minus

                    ``(ii) the amount of payments such agency receives
                under subsections (b) and (d) for such year.''.
        (g) Current Year Data.--Paragraph (4) of section 8003(f) of such
    Act (20 U.S.C. 7703(f)) is amended to read as follows:
            ``(4) Current year data.--For purposes of providing assistance
        under this subsection the Secretary--
                ``(A) shall use student and revenue data from the fiscal
            year for which the local educational agency is applying for
            assistance under this subsection; and
                ``(B) shall derive the per pupil expenditure amount for
            such year for the local educational agency's comparable school
            districts by increasing or decreasing the per pupil expenditure
            data for the second fiscal year preceding the fiscal year for
            which the determination is made by the same percentage increase
            or decrease reflected between the per pupil expenditure data
            for the fourth fiscal year preceding the fiscal year for which
            the determination is made and the per pupil expenditure data
            for such second year.''.
        (h) Technical Amendments To Correct References to Repealed Law.--
    Section 386 of the National Defense Authorization Act for Fiscal Year
    1993 (Public Law 102-484; 20 U.S.C. 238 note) is amended--
            (1) in subsection (e)(2)--
                (A) in subparagraph (C), by inserting after ``et seq.),''
            the following: ``title VIII of the Elementary and Secondary
            Education Act of 1965 (20 U.S.C. 7701 et seq.),''; and
                (B) in subparagraph (D)(iii), by striking out ``under
            subsections (a) and (b) of section 3 of such Act (20 U.S.C.
            238)''; and
            (2) in subsection (h)--
                (A) in paragraph (1), by striking out ``section 14101 of
            the Elementary and Secondary Education Act of 1965'' and
            inserting in lieu thereof ``section 8013(9) of the Elementary
            and Secondary Education Act of 1965 (20 U.S.C. 7713(9))''; and
                (B) by striking out paragraph (3) and inserting in lieu
            thereof the following new paragraph:
            ``(3) The term `State' means each of the 50 States and the
        District of Columbia.''.
    SEC. 1075. SHARING OF PERSONNEL OF DEPARTMENT OF DEFENSE DOMESTIC
    DEPENDENT SCHOOLS AND DEFENSE DEPENDENTS' EDUCATION SYSTEM.
        Section 2164(e) of title 10, United States Code, is amended by
    adding at the end the following:
        ``(4)(A) The Secretary may, without regard to the provisions of any
    law relating to the number, classification, or compensation of
    employees--
            ``(i) transfer employees from schools established under this
        section to schools in the defense dependents' education system in
        order to provide the services referred to in subparagraph (B) to
        such system; and
            ``(ii) transfer employees from such system to schools
        established under this section in order to provide such services to
        those schools.
        ``(B) The services referred to in subparagraph (A) are the
    following:
            ``(i) Administrative services.
            ``(ii) Logistical services.
            ``(iii) Personnel services.
            ``(iv) Such other services as the Secretary considers
        appropriate.
        ``(C) Transfers under this paragraph shall extend for such periods
    as the Secretary considers appropriate. The Secretary shall provide
    appropriate compensation for employees so transferred.
        ``(D) The Secretary may provide that the transfer of an employee
    under this paragraph occur without reimbursement of the school or
    system concerned.
        ``(E) In this paragraph, the term `defense dependents' education
    system' means the program established and operated under section
    1402(a) of the Defense Dependents' Education Act of 1978 (20 U.S.C.
    921(a)).''.
    SEC. 1076. INCREASE IN RESERVE COMPONENT MONTGOMERY GI BILL EDUCATIONAL
    ASSISTANCE ALLOWANCE WITH RESPECT TO SKILLS OR SPECIALTIES FOR WHICH
    THERE IS A CRITICAL SHORTAGE OF PERSONNEL.
        Section 16131 of title 10, United States Code, is amended by adding
    at the end the following new subsection:
        ``(j)(1) In the case of a person who has a skill or specialty
    designated by the Secretary concerned as a skill or specialty in which
    there is a critical shortage of personnel or for which it is difficult
    to recruit or, in the case of critical units, retain personnel, the
    Secretary concerned may increase the rate of the educational assistance
    allowance applicable to that person to such rate in excess of the rate
    prescribed under subparagraphs (A) through (D) of subsection (b)(1) as
    the Secretary of Defense considers appropriate, but the amount of any
    such increase may not exceed $350 per month.
        ``(2) In the case of a person who has a skill or specialty
    designated by the Secretary concerned as a skill or specialty in which
    there is a critical shortage of personnel or for which it is difficult
    to recruit or, in the case of critical units, retain personnel, who is
    eligible for educational benefits under chapter 30 (other than section
    3012) of title 38 and who meets the eligibility criteria specified in
    subparagraphs (A) and (B) of section 16132(a)(1) of this title, the
    Secretary concerned may increase the rate of the educational assistance
    allowance applicable to that person to such rate in excess of the rate
    prescribed under section 3015 of title 38 as the Secretary of Defense
    considers appropriate, but the amount of any such increase may not
    exceed $350 per month.
        ``(3) The authority provided by paragraphs (1) and (2) shall be
    exercised by the Secretaries concerned under regulations prescribed by
    the Secretary of Defense.''.
    SEC. 1077. DATE FOR ANNUAL REPORT ON RESERVE COMPONENT MONTGOMERY GI
    BILL EDUCATIONAL ASSISTANCE PROGRAM.
        Section 16137 of title 10, United States Code, is amended by
    striking out ``December 15 of each year'' and inserting in lieu thereof
    ``March 1 of each year''.
    SEC. 1078. SCOPE OF EDUCATION PROGRAMS OF COMMUNITY COLLEGE OF THE AIR
    FORCE.
        (a) Limitation to Members of the Air Force.--Section 9315(a)(1) of
    title 10, United States Code, is amended by striking out ``for enlisted
    members of the armed forces'' and inserting in lieu thereof ``for
    enlisted members of the Air Force''.
        (b) Effective Date.--The amendment made by subsection (a) shall
    apply with respect to enrollments in the Community College of the Air
    Force after March 31, 1996.
    SEC. 1079. AMENDMENTS TO EDUCATION LOAN REPAYMENT PROGRAMS.
        (a) General Education Loan Repayment Program.--Section 2171(a)(1)
    of title 10, United States Code, is amended--
            (1) by striking out ``or'' at the end of subparagraph (A);
            (2) by redesignating subparagraph (B) as subparagraph (C); and
            (3) by inserting after subparagraph (A) the following new
        subparagraph (B):
            ``(B) any loan made under part D of such title (the William D.
        Ford Federal Direct Loan Program, 20 U.S.C. 1087a et seq.); or''.
        (b) Education Loan Repayment Program for Enlisted Members of
    Selected Reserve With Critical Specialties.--Section 16301(a)(1) of
    such title is amended--
            (1) by striking out ``or'' at the end of subparagraph (A);
            (2) by redesignating subparagraph (B) as subparagraph (C); and
            (3) by inserting after subparagraph (A) the following new
        subparagraph (B):
            ``(B) any loan made under part D of such title (the William D.
        Ford Federal Direct Loan Program, 20 U.S.C. 1087a et seq.); or''.
        (c) Education Loan Repayment Program for Health Professions
    Officers Serving in Selected Reserve With Wartime Critical Medical
    Skill Shortages.--Section 16302(a) of such title is amended--
            (1) by redesignating paragraphs (2) through (4) as paragraphs
        (3) through (5) respectively; and
            (2) by inserting after paragraph (1) the following new
        paragraph (2):
            ``(2) any loan made under part D of such title (the William D.
        Ford Federal Direct Loan Program, 20 U.S.C. 1087a et seq.); or''.

                           Subtitle H--Other Matters

    SEC. 1081. NATIONAL DEFENSE TECHNOLOGY AND INDUSTRIAL BASE, DEFENSE
    REINVESTMENT, AND DEFENSE CONVERSION PROGRAMS.
        (a) National Security Objectives for National Technology and
    Industrial Base.--(1) Section 2501 of title 10, United States Code, is
    amended--
            (A) in subsection (a)--
                (i) by striking out ``Defense Policy'' in the subsection
            heading and inserting in lieu thereof ``National Security'';
            and
                (ii) by striking out paragraph (5);
            (B) by striking out subsection (b); and
            (C) by redesignating subsection (c) as subsection (b).
        (2) The heading of such section is amended to read as follows:
    ``Sec. 2501. National security objectives concerning national
         technology and industrial base''.
        (b) National Defense Technology and Industrial Base Council.--
    Section 2502(c) of such title is amended--
            (1) in paragraph (1), by striking out subparagraph (B) and
        inserting in lieu thereof the following new subparagraph:
                ``(B) programs for achieving such national security
            objectives; and'';
            (2) by striking out paragraph (2); and
            (3) by redesignating paragraph (3) as paragraph (2).
        (c) Modification of Defense Dual-Use Critical Technology
    Partnerships Program.--Section 2511 of such title is amended to read as
    follows:

    ``Sec. 2511. Defense dual-use critical technology program

        ``(a) Establishment of Program.--The Secretary of Defense shall
    conduct a program to further the national security objectives set forth
    in section 2501(a) of this title by encouraging and providing for
    research, development, and application of dual-use critical
    technologies. The Secretary may make grants, enter into contracts, or
    enter into cooperative agreements and other transactions pursuant to
    section 2371 of this title in furtherance of the program. The Secretary
    shall identify projects to be conducted as part of the program.
        ``(b) Assistance Authorized.--The Secretary of Defense may provide
    technical and other assistance to facilitate the achievement of the
    purposes of projects conducted under the program. In providing such
    assistance, the Secretary shall make available, as appropriate for the
    work to be performed, equipment and facilities of Department of Defense
    laboratories (including the scientists and engineers at those
    laboratories) for purposes of projects selected by the Secretary.
        ``(c) Financial Commitment of Non-Federal Government
    Participants.--(1) The total amount of funds provided by the Federal
    Government for a project conducted under the program may not exceed 50
    percent of the total cost of the project. However, the Secretary of
    Defense may agree to a project in which the total amount of funds
    provided by the Federal Government exceeds 50 percent if the Secretary
    determines the project is particularly meritorious, but the project
    would not otherwise have sufficient non-Federal funding or in-kind
    contributions.
        ``(2) The Secretary may prescribe regulations to provide for
    consideration of in-kind contributions by non-Federal Government
    participants in a project conducted under the program for the purpose
    of calculating the share of the project costs that has been or is being
    undertaken by such participants. In such regulations, the Secretary may
    authorize a participant that is a small business concern to use funds
    received under the Small Business Innovation Research Program or the
    Small Business Technology Transfer Program to help pay the costs of
    project activities. Any such funds so used may be considered in
    calculating the amount of the financial commitment undertaken by the
    non-Federal Government participants unless the Secretary determines
    that the small business concern has not made a significant equity
    percentage contribution in the project from non-Federal sources.
        ``(3) The Secretary shall consider a project proposal submitted by
    a small business concern without regard to the ability of the small
    business concern to immediately meet its share of the anticipated
    project costs. Upon the selection of a project proposal submitted by a
    small business concern, the small business concern shall have a period
    of not less than 120 days in which to arrange to meet its financial
    commitment requirements under the project from sources other than a
    person of a foreign country. If the Secretary determines upon the
    expiration of that period that the small business concern will be
    unable to meet its share of the anticipated project costs, the
    Secretary shall revoke the selection of the project proposal submitted
    by the small business concern.
        ``(d) Selection Process.--Competitive procedures shall be used in
    the conduct of the program.
        ``(e) Selection Criteria.--The criteria for the selection of
    projects under the program shall include the following:
            ``(1) The extent to which the proposed project advances and
        enhances the national security objectives set forth in section
        2501(a) of this title.
            ``(2) The technical excellence of the proposed project.
            ``(3) The qualifications of the personnel proposed to
        participate in the research activities of the proposed project.
            ``(4) An assessment of timely private sector investment in
        activities to achieve the goals and objectives of the proposed
        project other than through the project.
            ``(5) The potential effectiveness of the project in the further
        development and application of each technology proposed to be
        developed by the project for the national technology and industrial
        base.
            ``(6) The extent of the financial commitment of eligible firms
        to the proposed project.
            ``(7) The extent to which the project does not unnecessarily
        duplicate projects undertaken by other agencies.
        ``(f) Regulations.--The Secretary of Defense shall prescribe
    regulations for the purposes of this section.''.
        (d) Federal Defense Laboratory Diversification Program.--Section
    2519 of such title is amended--
            (1) in subsection (b), by striking out ``referred to in section
        2511(b) of this title''; and
            (2) in subsection (f), by striking out ``section 2511(f)'' and
        inserting in lieu thereof ``section 2511(e)''.
        (e) Manufacturing Science and Technology Program.--Subsection (b)
    of section 2525 of such title is amended to read as follows:
        ``(b) Purpose of Program.--The Secretary of Defense shall use the
    program--
            ``(1) to provide centralized guidance and direction (including
        goals, milestones, and priorities) to the military departments and
        the Defense Agencies on all matters relating to manufacturing
        technology;
            ``(2) to direct the development and implementation of
        Department of Defense plans, programs, projects, activities, and
        policies that promote the development and application of advanced
        technologies to manufacturing processes, tools, and equipment;
            ``(3) to improve the manufacturing quality, productivity,
        technology, and practices of businesses and workers providing goods
        and services to the Department of Defense;
            ``(4) to promote dual-use manufacturing processes;
            ``(5) to disseminate information concerning improved
        manufacturing improvement concepts, including information on such
        matters as best manufacturing practices, product data exchange
        specifications, computer-aided acquisition and logistics support,
        and rapid acquisition of manufactured parts;
            ``(6) to sustain and enhance the skills and capabilities of the
        manufacturing work force;
            ``(7) to promote high-performance work systems (with
        development and dissemination of production technologies that build
        upon the skills and capabilities of the work force), high levels of
        worker education and training; and
            ``(8) to ensure appropriate coordination between the
        manufacturing technology programs and industrial preparedness
        programs of the Department of Defense and similar programs
        undertaken by other departments and agencies of the Federal
        Government or by the private sector.''.
        (f) Repeal of Various Assistance Programs.--Sections 2512, 2513,
    2520, 2521, 2522, 2523, and 2524 of such title are repealed.
        (g) Repeal of Military-Civilian Integration and Technology Transfer
    Advisory Board.--Section 2516 of such title is repealed.
        (h) Repeal of Obsolete Definitions.--Section 2491 of such title is
    amended--
            (1) by striking out paragraphs (11) and (12); and
            (2) by redesignating paragraphs (13), (14), (15), and (16) as
        paragraphs (11), (12), (13), and (14), respectively.
        (i) Clerical Amendments.--(1) The table of sections at the
    beginning of subchapter II of chapter 148 of such title is amended by
    striking out the item relating to section 2501 and inserting in lieu
    thereof the following new item:
    ``2501. National security objectives concerning national technology and
              industrial base.''.

        (2) The table of sections at the beginning of subchapter III of
    such chapter is amended--
            (A) by striking out the item relating to section 2511 and
        inserting in lieu thereof the following new item:
    ``2511. Defense dual-use critical technology program.''; and

            (B) by striking out the items relating to sections 2512, 2513,
        2516, and 2520.
        (3) The table of sections at the beginning of subchapter IV of such
    chapter is amended by striking out the items relating to sections 2521,
    2522, 2523, and 2524.

    SEC. 1082. AMMUNITION INDUSTRIAL BASE.

        (a) Review of Ammunition Procurement Programs.--The Secretary of
    Defense shall carry out a review of the programs of the Department of
    Defense for the procurement of ammunition. The review shall include the
    Department of Defense management of ammunition procurement programs,
    including the procedures of the Department for the planning for,
    budgeting for, administration, and carrying out of such programs. The
    Secretary shall begin the review not later than 30 days after the date
    of the enactment of this Act.
        (b) Matters To Be Reviewed.--The review under subsection (a) shall
    include an assessment of the following:
            (1) The practicability and desirability of (A) continuing to
        use centralized procurement practices (through a single executive
        agent) for the procurement of ammunition required by the Armed
        Forces, and (B) using such centralized procurement practices for
        the procurement of all such ammunition.
            (2) The capability of the ammunition production facilities of
        the Government to meet the requirements of the Armed Forces for
        procurement of ammunition.
            (3) The practicability and desirability of converting those
        ammunition production facilities to ownership or operation by
        private sector entities.
            (4) The practicability and desirability of integrating the
        budget planning for the procurement of ammunition among the Armed
        Forces.
            (5) The practicability and desirability of establishing an
        advocate within the Department of Defense for matters relating to
        the ammunition industrial base, with such an advocate to be
        responsible for--
                (A) establishing the quantity and price of ammunition
            procured by the Armed Forces; and
                (B) establishing and implementing policy to ensure the
            continuing capability of the ammunition industrial base in the
            United States to meet the requirements of the Armed Forces.
            (6) The practicability and desirability of providing
        information on the ammunition procurement practices of the Armed
        Forces to Congress through a single source.
        (c) Report.--Not later than April 1, 1996, the Secretary shall
    submit to the congressional defense committees a report on the review
    carried out under subsection (a). The report shall include the
    following:
            (1) The results of the review.
            (2) A discussion of the methodologies used in carrying out the
        review.
            (3) An assessment of various methods of ensuring the continuing
        capability of the ammunition industrial base of the United States
        to meet the requirements of the Armed Forces.
            (4) Recommendations of means (including legislation) of
        implementing those methods in order to ensure such continuing
        capability.
    SEC. 1083. POLICY CONCERNING EXCESS DEFENSE INDUSTRIAL CAPACITY.
        No funds appropriated pursuant to an authorization of
    appropriations in this Act may be used for capital investment in, or
    the development and construction of, a Government-owned, Government-
    operated defense industrial facility unless the Secretary of Defense
    certifies to the Congress that no similar capability or minimally used
    capacity exists in any other Government-owned, Government-operated
    defense industrial facility.
    SEC. 1084. SENSE OF CONGRESS CONCERNING ACCESS TO SECONDARY SCHOOL
    STUDENT INFORMATION FOR RECRUITING PURPOSES.
        (a) Sense of Congress.--It is the sense of Congress that--
            (1) the States (with respect to public schools) and entities
        operating private secondary schools should not have a policy of
        denying, or otherwise effectively preventing, the Secretary of
        Defense from obtaining for military recruiting purposes--
                (A) entry to any secondary school or access to students at
            any secondary school equal to that of other employers; or
                (B) access to directory information pertaining to students
            at secondary schools equal to that of other employers (other
            than in a case in which an objection has been raised as
            described in paragraph (2)); and
            (2) any State, and any entity operating a private secondary
        school, that releases directory information secondary school
        students should--
                (A) give public notice of the categories of such
            information to be released; and
                (B) allow a reasonable period after such notice has been
            given for a student or (in the case of an individual younger
            than 18 years of age) a parent to inform the school that any or
            all of such information should not be released without
            obtaining prior consent from the student or the parent, as the
            case may be.
        (b) Report on DOD Procedures.--Not later than March 1, 1996, the
    Secretary of Defense shall submit to Congress a report on Department of
    Defense procedures for determining if and when a State or an entity
    operating a private secondary school has denied or prevented access to
    students or information as described in subsection (a)(1).
        (c) Definitions.--For purposes of this section:
            (1) The term ``directory information'' means, with respect to a
        student, the student's name, address, telephone listing, date and
        place of birth, level of education, degrees received, and (if
        available) the most recent previous educational program enrolled in
        by the student.
            (2) The term ``student'' means an individual enrolled in any
        program of education who is 17 years of age or older.
    SEC. 1085. DISCLOSURE OF INFORMATION CONCERNING UNACCOUNTED FOR UNITED
    STATES PERSONNEL FROM THE KOREAN CONFLICT, THE VIETNAM ERA, AND THE
    COLD WAR.
        Section 1082 of the National Defense Authorization Act for Fiscal
    Years 1992 and 1993 (Public Law 102-190; 50 U.S.C. 401 note) is
    amended--
            (1) in subsection (b)(3)(A), by striking out ``cannot be
        located after a reasonable effort.'' and inserting in lieu thereof
        ``cannot be located by the Secretary of Defense--
                ``(i) in the case of a person missing from the Vietnam era,
            after a reasonable effort; and
                ``(ii) in the case of a person missing from the Korean
            Conflict or Cold War, after a period of 90 days from the date
            on which any record or other information referred to in
            paragraph (2) is received by the Department of Defense for
            disclosure review from the Archivist of the United States, the
            Library of Congress, or the Joint United States-Russian
            Commission on POW/MIAs.''; and
            (2) in subsection (c)(1), by striking out ``not later than
        September 30, 1995'' and inserting in lieu thereof ``not later than
        January 2, 1996''.

    SEC. 1086. OPERATIONAL SUPPORT AIRLIFT AIRCRAFT FLEET.

        (a) Submittal of JCS Report on Aircraft.--Not later than February
    1, 1996, the Secretary of Defense shall submit to Congress the report
    that, as of the date of the enactment of this Act, is in preparation by
    the Chairman of the Joint Chiefs of Staff on operational support
    airlift aircraft.
        (b) Content of Report.--(1) The report referred to in subsection
    (a) shall contain findings and recommendations on the following:
            (A) Requirements for the modernization and safety of the
        operational support airlift aircraft fleet.
            (B) The disposition of aircraft that would be excess to that
        fleet upon fulfillment of the requirements referred to in
        subparagraph (A).
            (C) Plans and requirements for the standardization of the
        fleet, including plans and requirements for the provision of a
        single manager for all logistical support and operational
        requirements.
            (D) Central scheduling of all operational support airlift
        aircraft.
            (E) Needs of the Department for helicopter support in the
        National Capital Region, including the acceptable uses of that
        support.
        (2) In preparing the report, the Chairman of the Joint Chiefs of
    Staff shall take into account the recommendation of the Commission on
    Roles and Missions of the Armed Forces to reduce the size of the
    operational support airlift aircraft fleet.
        (c) Regulations.--(1) Upon completion of the report referred to in
    subsection (a), the Secretary shall prescribe regulations, consistent
    with the findings and recommendations set forth in the report, for the
    operation, maintenance, disposition, and use of operational support
    airlift aircraft.
        (2) The regulations shall, to the maximum extent practicable,
    provide for, and encourage the use of, commercial airlines in lieu of
    the use of such aircraft.
        (3) The regulations shall apply uniformly throughout the
    Department.
        (4) The regulations shall not require exclusive use of such
    aircraft for any particular class of government personnel.
        (d) Reductions in Flying Hours.--(1) The Secretary shall ensure
    that the number of hours flown during fiscal year 1996 by operational
    support airlift aircraft does not exceed the number equal to 85 percent
    of the number of hours flown during fiscal year 1995 by operational
    support airlift aircraft.
        (2) The Secretary should ensure that the number of hours flown in
    the National Capital Region during fiscal year 1996 by helicopters of
    the operational support airlift aircraft fleet does not exceed the
    number equal to 85 percent of the number of hours flown in the National
    Capital Region during fiscal year 1995 by helicopters of the
    operational support airlift aircraft fleet.
        (e) Restriction on Availability of Funds.--Of the funds
    appropriated pursuant to section 301 for the operation and use of
    operational support airlift aircraft, not more than 50 percent is
    available for obligation until the Secretary submits to Congress the
    report referred to in subsection (a).
        (f) Definitions.--In this section:
            (1) The term ``operational support airlift aircraft'' means
        aircraft of the Department of Defense designated within the
        Department as operational support airlift aircraft.
            (2) The term ``National Capital Region'' has the meaning given
        such term in section 2674(f)(2) of title 10, United States Code.

    SEC. 1087. CIVIL RESERVE AIR FLEET.

        Section 9512 of title 10, United States Code, is amended by
    striking out ``full Civil Reserve Air Fleet'' in subsections (b)(2) and
    (e) and inserting in lieu thereof ``Civil Reserve Air Fleet''.
    SEC. 1088. DAMAGE OR LOSS TO PERSONAL PROPERTY DUE TO EMERGENCY
    EVACUATION OR EXTRAORDINARY CIRCUMSTANCES.
        (a) Settlement of Claims of Personnel.--Section 3721(b)(1) of title
    31, United States Code, is amended by inserting after the first
    sentence the following: ``If, however, the claim arose from an
    emergency evacuation or from extraordinary circumstances, the amount
    settled and paid under the authority of the preceding sentence may
    exceed $40,000, but may not exceed $100,000.''.
        (b) Applicability.--The amendment made by subsection (a) shall
    apply to claims arising before, on, or after the date of the enactment
    of this Act.
        (c) Representments of Previously Presented Claims.--(1) A claim
    under subsection (b) of section 3721 of title 31, United States Code,
    that was settled under such section before the date of the enactment of
    this Act may be represented under such section, as amended by
    subsection (a), to the head of the agency concerned to recover the
    amount equal to the difference between the actual amount of the damage
    or loss and the amount settled and paid under the authority of such
    section before the date of the enactment of this Act, except that--
            (A) the claim shall be represented in writing within two years
        after the date of the enactment of this Act;
            (B) a determination of the actual amount of the damage or loss
        shall have been made by the head of the agency concerned pursuant
        to settlement of the claim under the authority of such section
        before the date of the enactment of this Act;
            (C) the claimant shall have proof of the determination referred
        to in subparagraph (B); and
            (D) the total of all amounts paid in settlement of the claim
        under the authority of such section may not exceed $100,000.
        (2) Subsection (k) of such section shall not apply to bar
    representment of a claim described in paragraph (1), but shall apply to
    such a claim that is represented and settled under that section after
    the date of the enactment of this Act.
    SEC. 1089. AUTHORITY TO SUSPEND OR TERMINATE COLLECTION ACTIONS AGAINST
    DECEASED MEMBERS.
        Section 3711 of title 31, United States Code, is amended by adding
    at the end the following:
        ``(g)(1) The Secretary of Defense may suspend or terminate an
    action by the Secretary or by the Secretary of a military department
    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 Army, Navy,
    Air Force, or Marine Corps if the Secretary determines that, under the
    circumstances applicable with respect to the deceased person, it is
    appropriate to do so.
        ``(2) In this subsection, the term `active duty' has the meaning
    given that term in section 101 of title 10.''.
    SEC. 1090. CHECK CASHING AND EXCHANGE TRANSACTIONS FOR DEPENDENTS OF
    UNITED STATES GOVERNMENT PERSONNEL.
        (a) Authority To Carry Out Transactions.--Subsection (b) of section
    3342 of title 31, United States Code, is amended--
            (1) by redesignating paragraphs (3), (4), and (5) as paragraphs
        (4), (5), and (6), respectively; and
            (2) by inserting after paragraph (2) the following new
        paragraph:
            ``(3) a dependent of personnel of the Government, but only--
                ``(A) at a United States installation at which adequate
            banking facilities are not available; and
                ``(B) in the case of negotiation of negotiable instruments,
            if the dependent's sponsor authorizes, in writing, the
            presentation of negotiable instruments to the disbursing
            official for negotiation.''.
        (b) Pay Offset.--Subsection (c) of such section is amended--
            (1) by redesignating paragraph (3) as paragraph (4); and
            (2) by inserting after paragraph (2) the following new
        paragraph (3):
        ``(3) The amount of any deficiency resulting from cashing a check
    for a dependent under subsection (b)(3), including any charges assessed
    against the disbursing official by a financial institution for
    insufficient funds to pay the check, may be offset from the pay of the
    dependent's sponsor.''.
        (c) Definitions.--Such section is further amended by adding at the
    end the following:
        ``(e) Regulations prescribed under subsection (d) shall include
    regulations that define the terms `dependent' and `sponsor' for the
    purposes of this section. In the regulations, the term `dependent',
    with respect to a member of a uniformed service, shall have the meaning
    given that term in section 401 of title 37.''.

    SEC. 1091. DESIGNATION OF NATIONAL MARITIME CENTER.

        (a) Designation of National Maritime Center.--The NAUTICUS
    building, located at one Waterside Drive, Norfolk, Virginia, shall be
    known and designated as the ``National Maritime Center''.
        (b) Reference to National Maritime Center.--Any reference in a law,
    map, regulation, document, paper, or other record of the United States
    to the building referred to in subsection (a) shall be deemed to be a
    reference to the ``National Maritime Center''.
    SEC. 1092. SENSE OF CONGRESS REGARDING HISTORIC PRESERVATION OF MIDWAY
    ISLANDS.
        (a) Findings.--Congress makes the following findings:
            (1) September 2, 1995, marks the 50th anniversary of the United
        States victory over Japan in World War II.
            (2) The Battle of Midway proved to be the turning point in the
        war in the Pacific, as United States Navy forces inflicted such
        severe losses on the Imperial Japanese Navy during the battle that
        the Imperial Japanese Navy never again took the offensive against
        United States or allied forces.
            (3) During the Battle of Midway, an outnumbered force of the
        United States Navy, consisting of 29 ships and other units of the
        Armed Forces under the command of Admiral Nimitz and Admiral
        Spruance, out-maneuvered and out-fought 350 ships of the Imperial
        Japanese Navy.
            (4) It is in the public interest to erect a memorial to the
        Battle of Midway that is suitable to express the enduring gratitude
        of the American people for victory in the battle and to inspire
        future generations of Americans with the heroism and sacrifice of
        the members of the Armed Forces who achieved that victory.
        (b) Sense of Congress.--It is the sense of Congress that--
            (1) the Midway Islands and the surrounding seas deserve to be
        memorialized;
            (2) the historic structures related to the Battle of Midway
        should be maintained, in accordance with the National Historic
        Preservation Act (16 U.S.C. 470-470t), and subject to the
        availability of appropriations for that purpose.
            (3) appropriate access to the Midway Islands by survivors of
        the Battle of Midway, their families, and other visitors should be
        provided in a manner that ensures the public health and safety on
        the Midway Islands and the conservation of the natural resources of
        those islands in accordance with existing Federal law.

    SEC. 1093. SENSE OF SENATE REGARDING FEDERAL SPENDING.

        It is the sense of the Senate that in pursuit of a balanced Federal
    budget, Congress should exercise fiscal restraint, particularly in
    authorizing spending not requested by the executive branch and in
    proposing new programs.
    SEC. 1094. EXTENSION OF AUTHORITY FOR VESSEL WAR RISK INSURANCE.
        Section 1214 of the Merchant Marine Act, 1936 (46 App. U.S.C.
    1294), is amended by striking ``June 30, 1995'' and inserting in lieu
    thereof ``June 30, 2000''.

                   TITLE XI--UNIFORM CODE OF MILITARY JUSTICE

    SEC. 1101. SHORT TITLE.

        This title may be cited as the ``Military Justice Amendments of
    1995''.

    SEC. 1102. REFERENCES TO UNIFORM CODE OF MILITARY JUSTICE.

        Except as otherwise expressly provided, whenever in this title 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 chapter 47 of title 10,
    United States Code (the Uniform Code of Military Justice).

                              Subtitle A--Offenses

    SEC. 1111. REFUSAL TO TESTIFY BEFORE COURT-MARTIAL.

        Section 847(b) (article 47(b)) is amended--
            (1) in the first sentence, by inserting ``indictment or'' after
        ``shall be tried on''; and
            (2) in the second sentence, by striking out ``shall be'' and
        all that follows and inserting in lieu thereof ``shall be fined or
        imprisoned, or both, at the court's discretion.''.

    SEC. 1112. FLIGHT FROM APPREHENSION.

        (a) In General.--Section 895 (article 95) is amended to read as
    follows:

    ``Sec. 895. Art. 95. Resistance, flight, breach of arrest, and escape

        ``Any person subject to this chapter who--
            ``(1) resists apprehension;
            ``(2) flees from apprehension;
            ``(3) breaks arrest; or
            ``(4) escapes from custody or confinement;
    shall be punished as a court-martial may direct.''.
        (b) Clerical Amendment.--The item relating to section 895 (article
    95) in the table of sections at the beginning of subchapter X is
    amended to read as follows:
    ``895. Art. 95. Resistance, flight, breach of arrest, and escape.''.

    SEC. 1113. CARNAL KNOWLEDGE.

        (a) Gender Neutrality.--Subsection (b) of section 920 (article 120)
    is amended to read as follows:
        ``(b) Any person subject to this chapter who, under circumstances
    not amounting to rape, commits an act of sexual intercourse with a
    person--
            ``(1) who is not that person's spouse; and
            ``(2) who has not attained the age of sixteen years;
    is guilty of carnal knowledge and shall be punished as a court-martial
    may direct.''.
        (b) Mistake of Fact.--Such section (article) is further amended by
    adding at the end the following new subsection:
        ``(d)(1) In a prosecution under subsection (b), it is an
    affirmative defense that--
            ``(A) the person with whom the accused committed the act of
        sexual intercourse had at the time of the alleged offense attained
        the age of twelve years; and
            ``(B) the accused reasonably believed that that person had at
        the time of the alleged offense attained the age of sixteen years.
        ``(2) The accused has the burden of proving a defense under
    paragraph (1) by a preponderance of the evidence.''.

                             Subtitle B--Sentences

    SEC. 1121. EFFECTIVE DATE FOR FORFEITURES OF PAY AND ALLOWANCES AND
    REDUCTIONS IN GRADE BY SENTENCE OF COURT-MARTIAL.
        (a) Effective Date of Specified Punishments.--Subsection (a) of
    section 857 (article 57) is amended to read as follows:
        ``(a)(1) Any forfeiture of pay or allowances or reduction in grade
    that is included in a sentence of a court-martial takes effect on the
    earlier of--
            ``(A) the date that is 14 days after the date on which the
        sentence is adjudged; or
            ``(B) the date on which the sentence is approved by the
        convening authority.
        ``(2) On application by an accused, the convening authority may
    defer a forfeiture of pay or allowances or reduction in grade that
    would otherwise become effective under paragraph (1)(A) until the date
    on which the sentence is approved by the convening authority. Such a
    deferment may be rescinded at any time by the convening authority.
        ``(3) A forfeiture of pay or allowances shall be applicable to pay
    and allowances accruing on and after the date on which the sentence
    takes effect.
        ``(4) In this subsection, the term `convening authority', with
    respect to a sentence of a court-martial, means any person authorized
    to act on the sentence under section 860 of this title (article 60).''.
        (b) Applicability.--The amendment made by subsection (a) shall
    apply to a case in which a sentence is adjudged by a court-martial on
    or after the first day of the first month that begins at least 30 days
    after the date of the enactment of this Act.
    SEC. 1122. REQUIRED FORFEITURE OF PAY AND ALLOWANCES DURING
    CONFINEMENT.
        (a) Effect of Punitive Separation or Confinement for More Than Six
    Months.--(1) Subchapter VIII is amended by inserting after section 858a
    (article 58a) the following:
    ``Sec. 858b. Art. 58b. Sentences: forfeiture of pay and allowances
         during confinement
        ``(a)(1) A court-martial sentence described in paragraph (2) shall
    result in the forfeiture of pay and allowances due that member during
    any period of confinement or parole. The forfeiture pursuant to this
    section shall take effect on the date determined under section 857(a)
    of this title (article 57(a)) and may be deferred as provided in that
    section. The pay and allowances forfeited, in the case of a general
    court-martial, shall be all pay and allowances due that member during
    such period and, in the case of a special court-martial, shall be two-
    thirds of all pay and allowances due that member during such period.
        ``(2) A sentence covered by this section is any sentence that
    includes--
            ``(A) confinement for more than six months or death; or
            ``(B) confinement for six months or less and a dishonorable or
        bad-conduct discharge or dismissal.
        ``(b) In a case involving an accused who has dependents, the
    convening authority or other person acting under section 860 of this
    title (article 60) may waive any or all of the forfeitures of pay and
    allowances required by subsection (a) for a period not to exceed six
    months. Any amount of pay or allowances that, except for a waiver under
    this subsection, would be forfeited shall be paid, as the convening
    authority or other person taking action directs, to the dependents of
    the accused.
        ``(c) If the sentence of a member who forfeits pay and allowances
    under subsection (a) is set aside or disapproved or, as finally
    approved, does not provide for a punishment referred to in subsection
    (a)(2), the member shall be paid the pay and allowances which the
    member would have been paid, except for the forfeiture, for the period
    during which the forfeiture was in effect.''.
        (2) The table of sections at the beginning of subchapter VIII is
    amended by adding at the end the following new item:
    ``858b. 58b. Sentences: forfeiture of pay and allowances during
              confinement.''.

        (b) Applicability.--The section (article) added by the amendment
    made by subsection (a)(1) shall apply to a case in which a sentence is
    adjudged by a court-martial on or after the first day of the first
    month that begins at least 30 days after the date of the enactment of
    this Act.
        (c) Conforming Amendment.--(1) Section 804 of title 37, United
    States Code, is repealed.
        (2) The table of sections at the beginning of chapter 15 of such
    title is amended by striking out the item relating to section 804.

    SEC. 1123. DEFERMENT OF CONFINEMENT.

        (a) Deferment.--Subchapter VIII is amended--
            (1) by inserting after subsection (c) of section 857 (article
        57) the following:

    ``Sec. 857a. Art. 57a. Deferment of sentences'';

            (2) by redesignating the succeeding two subsections as
        subsection (a) and (b);
            (3) in subsection (b), as redesignated by paragraph (2), by
        striking out ``postpone'' and inserting in lieu thereof ``defer'';
        and
            (4) by inserting after subsection (b), as redesignated by
        paragraph (2), the following:
        ``(c) In any case in which a court-martial sentences a person to
    confinement and the sentence to confinement has been ordered executed,
    but in which review of the case under section 867(a)(2) of this title
    (article 67(a)(2)) is pending, the Secretary concerned may defer
    further service of the sentence to confinement while that review is
    pending.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such subchapter is amended by inserting after the item relating to
    section 857 (article 57) the following new item:
    ``857a. 57a. Deferment of sentences.''.

                  Subtitle C--Pretrial and Post-Trial Actions

    SEC. 1131. ARTICLE 32 INVESTIGATIONS.

        Section 832 (article 32) is amended--
            (1) by redesignating subsection (d) as subsection (e); and
            (2) by inserting after subsection (c) the following new
        subsection (d):
        ``(d) If evidence adduced in an investigation under this article
    indicates that the accused committed an uncharged offense, the
    investigating officer may investigate the subject matter of that
    offense without the accused having first been charged with the offense
    if the accused--
            ``(1) is present at the investigation;
            ``(2) is informed of the nature of each uncharged offense
        investigated; and
            ``(3) is afforded the opportunities for representation, cross-
        examination, and presentation prescribed in subsection (b).''.
    SEC. 1132. SUBMISSION OF MATTERS TO THE CONVENING AUTHORITY FOR
    CONSIDERATION.
        Section 860(b)(1) (article 60(b)(1)) is amended by inserting after
    the first sentence the following: ``Any such submission shall be in
    writing.''.
    SEC. 1133. COMMITMENT OF ACCUSED TO TREATMENT FACILITY BY REASON OF
    LACK OF MENTAL CAPACITY OR MENTAL RESPONSIBILITY.
        (a) Applicable Procedures.--(1) Subchapter IX is amended by
    inserting after section 876a (article 76a) the following:
    ``Sec. 876b. Art. 76b. Lack of mental capacity or mental
         responsibility: commitment of accused for examination and
         treatment
        ``(a) Persons Incompetent To Stand Trial.--(1) In the case of a
    person determined under this chapter to be presently suffering from a
    mental disease or defect rendering the person mentally incompetent to
    the extent that the person is unable to understand the nature of the
    proceedings against that person or to conduct or cooperate
    intelligently in the defense of the case, the general court-martial
    convening authority for that person shall commit the person to the
    custody of the Attorney General.
        ``(2) The Attorney General shall take action in accordance with
    section 4241(d) of title 18.
        ``(3) If at the end of the period for hospitalization provided for
    in section 4241(d) of title 18, it is determined that the committed
    person's mental condition has not so improved as to permit the trial to
    proceed, action shall be taken in accordance with section 4246 of such
    title.
        ``(4)(A) When the director of a facility in which a person is
    hospitalized pursuant to paragraph (2) determines that the person has
    recovered to such an extent that the person is able to understand the
    nature of the proceedings against the personand to conduct or cooperate
    intelligently in the defense of the case, the director shall promptly
    transmit a notification of that determination to the Attorney General
    and to the general court-martial convening authority for the person.
    The director shall send a copy of the notification to the person's
    counsel.
        ``(B) Upon receipt of a notification, the general court-martial
    convening authority shall promptly take custody of the person unless
    the person covered by the notification is no longer subject to this
    chapter. If the person is no longer subject to this chapter, the
    Attorney General shall take any action within the authority of the
    Attorney General that the Attorney General considers appropriate
    regarding the person.
        ``(C) The director of the facility may retain custody of the person
    for not more than 30 days after transmitting the notifications required
    by subparagraph (A).
        ``(5) In the application of section 4246 of title 18 to a case
    under this subsection, references to the court that ordered the
    commitment of a person, and to the clerk of such court, shall be deemed
    to refer to the general court-martial convening authority for that
    person. However, if the person is no longer subject to this chapter at
    a time relevant to the application of such section to the person, the
    United States district court for the district where the person is
    hospitalized or otherwise may be found shall be considered as the court
    that ordered the commitment of the person.
        ``(b) Persons Found Not Guilty by Reason of Lack of Mental
    Responsibility.--(1) If a person is found by a court-martial not guilty
    only by reason of lack of mental responsibility, the person shall be
    committed to a suitable facility until the person is eligible for
    release in accordance with this section.
        ``(2) The court-martial shall conduct a hearing on the mental
    condition in accordance with subsection (c) of section 4243 of title
    18. Subsections (b) and (d) of that section shall apply with respect to
    the hearing.
        ``(3) A report of the results of the hearing shall be made to the
    general court-martial convening authority for the person.
        ``(4) If the court-martial fails to find by the standard specified
    in subsection (d) of section 4243 of title 18 that the person's release
    would not create a substantial risk of bodily injury to another person
    or serious damage of property of another due to a present mental
    disease or defect--
            ``(A) the general court-martial convening authority may commit
        the person to the custody of the Attorney General; and
            ``(B) the Attorney General shall take action in accordance with
        subsection (e) of section 4243 of title 18.
        ``(5) Subsections (f), (g), and (h) of section 4243 of title 18
    shall apply in the case of a person hospitalized pursuant to paragraph
    (4)(B), except that the United States district court for the district
    where the person is hospitalized shall be considered as the court that
    ordered the person's commitment.
        ``(c) General Provisions.--(1) Except as otherwise provided in this
    subsection and subsection (d)(1), the provisions of section 4247 of
    title 18 apply in the administration of this section.
        ``(2) In the application of section 4247(d) of title 18 to hearings
    conducted by a court-martial under this section or by (or by order of)
    a general court-martial convening authority under this section, the
    reference in that section to section 3006A of such title does not
    apply.
        ``(d) Applicability.--(1) The provisions of chapter 313 of title 18
    referred to in this section apply according to the provisions of this
    section notwithstanding section 4247(j) of title 18.
        ``(2) If the status of a person as described in section 802 of this
    title (article 2) terminates while the person is, pursuant to this
    section, in the custody of the Attorney General, hospitalized, or on
    conditional release under a prescribed regimen of medical, psychiatric,
    or psychological care or treatment, the provisions of this section
    establishing requirements and procedures regarding a person no longer
    subject to this chapter shall continue to apply to that person
    notwithstanding the change of status.''.
        (2) The table of sections at the beginning of such subchapter is
    amended by inserting after the item relating to section 876a (article
    76a) the following:
    ``876b. 76b. Lack of mental capacity or mental responsibility:
              commitment of accused for examination and treatment.''.

        (b) Conforming Amendment.--Section 802 (article 2) is amended by
    adding at the end the following new subsection:
        ``(e) The provisions of this section are subject to section
    876b(d)(2) of this title (article 76b(d)(2)).''.
        (c) Effective Date.--Section 876b of title 10, United States Code
    (article 76b of the Uniform Code of Military Justice), as added by
    subsection (a), shall take effect at the end of the six-month period
    beginning on the date of the enactment of this Act and shall apply with
    respect to charges referred to courts-martial after the end of that
    period.

                         Subtitle D--Appellate Matters

    SEC. 1141. APPEALS BY THE UNITED STATES.

        (a) Appeals Relating to Disclosure of Classified Information.--
    Section 862(a)(1) (article 62(a)(1)) is amended to read as follows:
        ``(a)(1) In a trial by court-martial in which a military judge
    presides and in which a punitive discharge may be adjudged, the United
    States may appeal the following (other than an order or ruling that is,
    or that amounts to, a finding of not guilty with respect to the charge
    or specification):
            ``(A) An order or ruling of the military judge which terminates
        the proceedings with respect to a charge or specification.
            ``(B) An order or ruling which excludes evidence that is
        substantial proof of a fact material in the proceeding.
            ``(C) An order or ruling which directs the disclosure of
        classified information.
            ``(D) An order or ruling which imposes sanctions for
        nondisclosure of classified information.
            ``(E) A refusal of the military judge to issue a protective
        order sought by the United States to prevent the disclosure of
        classified information.
            ``(F) A refusal by the military judge to enforce an order
        described in subparagraph (E) that has previously been issued by
        appropriate authority.''.
        (b) Definitions.--Section 801 (article 1) is amended by inserting
    after paragraph (14) the following new paragraphs:
            ``(15) The term `classified information' means (A) any
        information or material that has been determined by an official of
        the United States pursuant to law, an Executive order, or
        regulation to require protection against unauthorized disclosure
        for reasons of national security, and (B) any restricted data, as
        defined in section 11(y) of the Atomic Energy Act of 1954 (42
        U.S.C. 2014(y)).
            ``(16) The term `national security' means the national defense
        and foreign relations of the United States.''.
    SEC. 1142. REPEAL OF TERMINATION OF AUTHORITY FOR CHIEF JUSTICE OF THE
    UNITED STATES TO DESIGNATE ARTICLE III JUDGES FOR TEMPORARY SERVICE ON
    COURT OF APPEALS FOR THE ARMED FORCES.
        Subsection (i) of section 1301 of the National Defense
    Authorization Act for Fiscal Years 1990 and 1991 (Public Law 101-189;
    10 U.S.C. 942 note) is repealed.

                           Subtitle E--Other Matters

    SEC. 1151. ADVISORY COMMITTEE ON CRIMINAL LAW JURISDICTION OVER
    CIVILIANS ACCOMPANYING THE ARMED FORCES IN TIME OF ARMED CONFLICT.
        (a) Establishment.--Not later than 45 days after the date of the
    enactment of this Act, the Secretary of Defense and the Attorney
    General shall jointly appoint an advisory committee to review and make
    recommendations concerning the appropriate forum for criminal
    jurisdiction over civilians accompanying the Armed Forces in the field
    outside the United States in time of armed conflict.
        (b) Membership.--The committee shall be composed of at least five
    individuals, including experts in military law, international law, and
    Federal civilian criminal law. In making appointments to the committee,
    the Secretary and the Attorney General shall ensure that the members of
    the committee reflect diverse experiences in the conduct of prosecution
    and defense functions.
        (c) Duties.--The committee shall do the following:
            (1) Review historical experiences and current practices
        concerning the use, training, discipline, and functions of
        civilians accompanying the Armed Forces in the field.
            (2) Based upon such review and other information available to
        the committee, develop specific recommendations concerning the
        advisability and feasibility of establishing United States criminal
        law jurisdiction over persons who as civilians accompany the Armed
        Forces in the field outside the United States during time of armed
        conflict not involving a war declared by Congress, including
        whether such jurisdiction should be established through any of the
        following means (or a combination of such means depending upon the
        degree of the armed conflict involved):
                (A) Establishing court-martial jurisdiction over such
            persons.
                (B) Extending the jurisdiction of the Article III courts to
            cover such persons.
                (C) Establishing an Article I court to exercise criminal
            jurisdiction over such persons.
            (3) Develop such additional recommendations as the committee
        considers appropriate as a result of the review.
        (d) Report.--(1) Not later than December 15, 1996, the advisory
    committee shall transmit to the Secretary of Defense and the Attorney
    General a report setting forth its findings and recommendations,
    including the recommendations required under subsection (c)(2).
        (2) Not later than January 15, 1997, the Secretary of Defense and
    the Attorney General shall jointly transmit the report of the advisory
    committee to Congress. The Secretary and the Attorney General may
    include in the transmittal any joint comments on the report that they
    consider appropriate, and either such official may include in the
    transmittal any separate comments on the report that such official
    considers appropriate.
        (e) Definitions.--For purposes of this section:
            (1) The term ``Article I court'' means a court established
        under Article I of the Constitution.
            (2) The term ``Article III court'' means a court established
        under Article III of the Constitution.
        (f) Termination of Committee.--The advisory committee shall
    terminate 30 days after the date on which the report of the committee
    is submitted to Congress under subsection (d)(2).
    SEC. 1152. TIME AFTER ACCESSION FOR INITIAL INSTRUCTION IN THE UNIFORM
    CODE OF MILITARY JUSTICE.
        Section 937(a)(1) (article 137(a)(1)) is amended by striking out
    ``within six days'' and inserting in lieu thereof ``within fourteen
    days''.

    SEC. 1153. TECHNICAL AMENDMENT.

        Section 866(f) (article 66(f)) is amended by striking out ``Courts
    of Military Review'' both places it appears and inserting in lieu
    thereof ``Courts of Criminal Appeals''.

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

    SEC. 1201. 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. 1202. FISCAL YEAR 1996 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 elimination of strategic offensive weapons in Russia,
        Ukraine, Belarus, and Kazakhstan, $90,000,000.
            (2) For weapons security in Russia, $42,500,000.
            (3) For the Defense Enterprise Fund, $0.
            (4) For nuclear infrastructure elimination in Ukraine, Belarus,
        and Kazakhstan, $35,000,000.
            (5) For planning and design of a storage facility for Russian
        fissile material, $29,000,000.
            (6) For planning and design of a chemical weapons destruction
        facility in Russia, $73,000,000.
            (7) For activities designated as Defense and Military Contacts/
        General Support/Training in Russia, Ukraine, Belarus, and
        Kazakhstan, $10,000,000.
            (8) For activities designated as Other Assessments/Support
        $20,500,000.
        (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 the
    paragraphs 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.
        (c) Reimbursement of Pay Accounts.--Funds appropriated pursuant to
    the authorization of appropriations in section 301 for Cooperative
    Threat Reduction programs may be transferred to military personnel
    accounts for reimbursement of those accounts for the amount of pay and
    allowances paid to reserve component personnel for service while
    engaged in any activity under a Cooperative Threat Reduction program.
    SEC. 1203. PROHIBITION ON USE OF FUNDS FOR PEACEKEEPING EXERCISES AND
    RELATED ACTIVITIES WITH RUSSIA.
        None of the funds appropriated pursuant to the authorization in
    section 301 for Cooperative Threat Reduction programs may be obligated
    or expended for the purpose of conducting with Russia any peacekeeping
    exercise or other peacekeeping-related activity.
    SEC. 1204. REVISION TO AUTHORITY FOR ASSISTANCE FOR WEAPONS
    DESTRUCTION.
        Section 211 of Public Law 102-228 (22 U.S.C. 2551 note) is amended
    by adding at the end the following new subsection:
        ``(c) As part of a transmission to Congress under subsection (b) of
    a certification that a proposed recipient of United States assistance
    under this title is committed to carrying out the matters specified in
    each of paragraphs (1) through (6) of that subsection, the President
    shall include a statement setting forth, in unclassified form (together
    with a classified annex if necessary), the determination of the
    President, with respect to each such paragraph, as to whether that
    proposed recipient is at that time in fact carrying out the matter
    specified in that paragraph.''.

    SEC. 1205. PRIOR NOTICE TO CONGRESS OF OBLIGATION OF FUNDS.

        (a) Annual Requirement.--(1) Not less than 15 days before any
    obligation of any funds appropriated for any fiscal year for a program
    specified under section 1201 as a Cooperative Threat Reduction program,
    the Secretary of Defense shall submit to the congressional committees
    specified in paragraph (2) a report on that proposed obligation for
    that program for that fiscal year.
        (2) The congressional committees referred to in paragraph (1) are
    the following:
            (A) The Committee on Armed Services, the Committee on Foreign
        Relations, and the Committee on Appropriations of the Senate.
            (B) The Committee on National Security, the Committee on
        International Relations, and the Committee on Appropriations of the
        House of Representatives.
        (b) Matters To Be Specified in Reports.--Each such report shall
    specify--
            (1) the activities and forms of assistance for which the
        Secretary of Defense plans to obligate funds;
            (2) the amount of the proposed obligation; and
            (3) the projected involvement (if any) of any department or
        agency of the United States (in addition to the Department of
        Defense) and of the private sector of the United States in the
        activities and forms of assistance for which the Secretary of
        Defense plans to obligate such funds.

    SEC. 1206. REPORT ON ACCOUNTING FOR UNITED STATES ASSISTANCE.

        (a) Report.--(1) The Secretary of Defense shall submit to Congress
    an annual report on the efforts made by the United States (including
    efforts through the use of audits, examinations, and on-site
    inspections) to ensure that assistance provided under Cooperative
    Threat Reduction programs is fully accounted for and that such
    assistance is being used for its intended purposes.
        (2) A report shall be submitted under this section not later than
    January 31 of each year until the Cooperative Threat Reduction programs
    are completed.
        (b) Information To Be Included.--Each report under this section
    shall include the following:
            (1) A list of cooperative threat reduction assistance that has
        been provided before the date of the report.
            (2) A description of the current location of the assistance
        provided and the current condition of such assistance.
            (3) A determination of whether the assistance has been used for
        its intended purpose.
            (4) A description of the activities planned to be carried out
        during the next fiscal year to ensure that cooperative threat
        reduction assistance provided during that fiscal year is fully
        accounted for and is used for its intended purpose.
        (c) Comptroller General Assessment.--Not later than 30 days after
    the date on which a report of the Secretary under subsection (a) is
    submitted to Congress, the Comptroller General of the United States
    shall submit to Congress a report giving the Comptroller General's
    assessment of the report and making any recommendations that the
    Comptroller General considers appropriate.
    SEC. 1207. LIMITATION ON ASSISTANCE TO NUCLEAR WEAPONS SCIENTISTS OF
    FORMER SOVIET UNION.
        Amounts appropriated pursuant to the authorization of
    appropriations in section 301 for Cooperative Threat Reduction programs
    may not be obligated for any program established primarily to assist
    nuclear weapons scientists in states of the former Soviet Union until
    30 days after the date on which the Secretary of Defense certifies in
    writing to Congress that the funds to be obligated will not be used (1)
    to contribute to the modernization of the strategic nuclear forces of
    such states, or (2) for research, development, or production of weapons
    of mass destruction.
    SEC. 1208. LIMITATION RELATING TO OFFENSIVE BIOLOGICAL WARFARE PROGRAM
    OF RUSSIA.
        (a) Limitation.--Of the amount appropriated pursuant to the
    authorization of appropriations in section 301 for Cooperative Threat
    Reduction programs that is available for the purpose stated in section
    1202(a)(6), $60,000,000 may not be obligated or expended until the
    President submits to Congress either a certification as provided in
    subsection (b) or a certification as provided in subsection (c).
        (b) Certification With Respect to Offensive Biological Warfare
    Program of Russia.--A certification under this subsection is a
    certification by the President of each of the following:
            (1) That Russia is in compliance with its obligations under the
        Biological Weapons Convention.
            (2) That Russia has agreed with the United States and the
        United Kingdom on a common set of procedures to govern visits by
        officials of the United States and United Kingdom to military
        biological facilities of Russia, as called for under the Joint
        Statement on Biological Weapons issued by officials of the United
        States, the United Kingdom, and Russia on September 14, 1992.
            (3) That visits by officials of the United States and United
        Kingdom to the four declared military biological facilities of
        Russia have occurred.
        (c) Alternative Certification.--A certification under this
    subsection is a certification by the President that the President is
    unable to make a certification under subsection (b).
        (d) Use of Funds Upon Alternative Certification.--If the President
    makes a certification under subsection (c), the $60,000,000 specified
    in subsection (a)--
            (1) shall not be available for the purpose stated in section
        1202(a)(6); and
            (2) shall be available for activities in Ukraine, Kazakhstan,
        and Belarus--
                (A) for the elimination of strategic offensive weapons (in
            addition to the amount specified in section 1202(a)(1)); and
                (B) for nuclear infrastructure elimination (in addition to
            the amount specified in section 1202(a)(4)).
    SEC. 1209. LIMITATION ON USE OF FUNDS FOR CHEMICAL WEAPONS DESTRUCTION
    FACILITY.
        (a) Limitation.--Of the amount appropriated pursuant to the
    authorization of appropriations in section 301 for Cooperative Threat
    Reduction programs that is available for planning and design of a
    chemical weapons destruction facility, not more than one-half of such
    amount may be obligated or expended until the President certifies to
    Congress the following:
            (1) That the United States and Russia have completed a joint
        laboratory study to determine the feasibility of an appropriate
        technology for destruction of chemical weapons of Russia.
            (2) That Russia is making reasonable progress, with the
        assistance of the United States (if necessary), toward the
        completion of a comprehensive implementation plan for managing and
        funding the dismantlement and destruction of Russia's chemical
        weapons stockpile.
            (3) That the United States and Russia have made substantial
        progress toward resolution, to the satisfaction of the United
        States, of outstanding compliance issues under the 1989 Wyoming
        Memorandum of Understanding and the 1990 Bilateral Destruction
        Agreement.
        (b) Definitions.--In this section:
            (1) The term ``1989 Wyoming Memorandum of Understanding'' means
        the Memorandum of Understanding between the Government of the
        United States of America and the Government of the Union of Soviet
        Socialist Republics Regarding a Bilateral Verification Experiment
        and Data Exchange Related to Prohibition on Chemical Weapons,
        signed at Jackson Hole, Wyoming, on September 23, 1989.
            (2) The term ``1990 Bilateral Destruction Agreement'' means the
        Agreement between the United States of America and the Union of
        Soviet Socialist Republics on destruction and nonproduction of
        chemical weapons and on measures to facilitate the multilateral
        convention on banning chemical weapons signed on June 1, 1990.

                 TITLE XIII--MATTERS RELATING TO OTHER NATIONS
                      Subtitle A--Peacekeeping Provisions

    SEC. 1301. LIMITATION ON USE OF DEPARTMENT OF DEFENSE FUNDS FOR UNITED
    STATES SHARE OF COSTS OF UNITED NATIONS PEACEKEEPING ACTIVITIES.
        (a) In General.--Chapter 20 of title 10, United States Code, is
    amended by inserting after section 404 the following new section:
    ``Sec. 405. Use of Department of Defense funds for United States share
        of costs of United Nations peacekeeping activities: limitation
        ``(a) Prohibition on Use of Funds.--Funds available to the
    Department of Defense may not be used to make a financial contribution
    (directly or through another department or agency of the United States)
    to the United Nations--
            ``(1) for the costs of a United Nations peacekeeping activity;
        or
            ``(2) for any United States arrearage to the United Nations.
        ``(b) Application of Prohibition.--The prohibition in subsection
    (a) applies to voluntary contributions, as well as to contributions
    pursuant to assessment by the United Nations for the United States
    share of the costs of a peacekeeping activity.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    subchapter I of such chapter is amended by adding at the end the
    following new item:
    ``405. Use of Department of Defense funds for United States share of
              costs of United Nations peacekeeping activities:
              limitation.''.

                  Subtitle B--Humanitarian Assistance Programs

    SEC. 1311. OVERSEAS HUMANITARIAN, DISASTER, AND CIVIC AID PROGRAMS.
        (a) Covered Programs.--For purposes of section 301 and other
    provisions of this Act, programs of the Department of Defense
    designated as Overseas Humanitarian, Disaster, and Civic Aid (OHDACA)
    programs are the programs provided by sections 401, 402, 404, 2547, and
    2551 of title 10, United States Code.
        (b) GAO Report.--Not later than March 1, 1996, the Comptroller
    General of the United States shall provide to the congressional defense
    committees a report on--
            (1) existing funding mechanisms available to cover the costs
        associated with the Overseas Humanitarian, Disaster, and Civic
        Assistance activities through funds provided to the Department of
        State or the Agency for International Development, and
            (2) if such mechanisms do not exist, actions necessary to
        institute such mechanisms, including any changes in existing law or
        regulations.

    SEC. 1312. HUMANITARIAN ASSISTANCE.

        Section 2551 of title 10, United States Code, is amended--
            (1) by striking out subsections (b) and (c);
            (2) by redesignating subsection (d) as subsection (b);
            (3) by striking out subsection (e) and inserting in lieu
        thereof the following:
        ``(c) Status Reports.--(1) The Secretary of Defense shall submit to
    the congressional committees specified in subsection (f) an annual
    report on the provision of humanitarian assistance pursuant to this
    section for the prior fiscal year. The report shall be submitted each
    year at the time of the budget submission by the President for the next
    fiscal year.
        ``(2) Each report required by paragraph (1) shall cover all
    provisions of law that authorize appropriations for humanitarian
    assistance to be available from the Department of Defense for the
    purposes of this section.
        ``(3) Each report under this subsection shall set forth the
    following information regarding activities during the previous fiscal
    year:
            ``(A) The total amount of funds obligated for humanitarian
        relief under this section.
            ``(B) The number of scheduled and completed transportation
        missions for purposes of providing humanitarian assistance under
        this section.
            ``(C) A description of any transfer of excess nonlethal
        supplies of the Department of Defense made available for
        humanitarian relief purposes under section 2547 of this title. The
        description shall include the date of the transfer, the entity to
        whom the transfer is made, and the quantity of items
        transferred.'';
            (4) by redesignating subsection (f) as subsection (d) and in
        that subsection striking out ``the Committees on'' and all that
        follows through ``House of Representatives of the'' and inserting
        in lieu thereof ``the congressional committees specified in
        subsection (f) and the Committees on Appropriations of the Senate
        and House of Representatives of the'';
            (5) by redesignating subsection (g) as subsection (e); and
            (6) by adding at the end the following new subsection:
        ``(f) Congressional Committees.--The congressional committees
    referred to in subsections (c)(1) and (d) are the following:
            ``(1) The Committee on Armed Services and the Committee on
        Foreign Relations of the Senate.
            ``(2) The Committee on National Security and the Committee on
        International Relations of the House of Representatives.''.

    SEC. 1313. LANDMINE CLEARANCE PROGRAM.

        (a) Inclusion in General Humanitarian Assistance Program.--
    Subsection (e) of section 401 of title 10, United States Code, is
    amended--
            (1) by striking out ``means--'' and inserting in lieu thereof
        ``means:'';
            (2) by revising the first word in each of paragraphs (1)
        through (4) so that the first letter of such word is upper case;
            (3) by striking out the semicolon at the end of paragraphs (1)
        and (2) and inserting in lieu thereof a period;
            (4) by striking out ``; and'' at the end of paragraph (3) and
        inserting in lieu thereof a period; and
            (5) by adding at the end the following new paragraph:
            ``(5) Detection and clearance of landmines, including
        activities relating to the furnishing of education, training, and
        technical assistance with respect to the detection and clearance of
        landmines.''.
        (b) Limitation on Landmine Assistance by Members of Armed Forces.--
    Subsection (a) of such section is amended by adding at the end the
    following new paragraph:
        ``(4) The Secretary of Defense shall ensure that no member of the
    Armed Forces, while providing assistance under this section that is
    described in subsection (e)(5)--
            ``(A) engages in the physical detection, lifting, or destroying
        of landmines (unless the member does so for the concurrent purpose
        of supporting a United States military operation); or
            ``(B) provides such assistance as part of a military operation
        that does not involve the Armed Forces.''.
        (c) Repeal.--Section 1413 of the National Defense Authorization Act
    for Fiscal Year 1995 (Public Law 103-337; 108 Stat. 2913; 10 U.S.C. 401
    note) is repealed.

                Subtitle C--Arms Exports and Military Assistance

    SEC. 1321. DEFENSE EXPORT LOAN GUARANTEES.

        (a) Establishment of Program.--(1) Chapter 148 of title 10, United
    States Code, is amended by adding at the end the following new
    subchapter:

                ``SUBCHAPTER VI--DEFENSE EXPORT LOAN GUARANTEES

    ``Sec.
    ``2540. Establishment of loan guarantee program.
    ``2540a. Transferability.
    ``2540b. Limitations.
    ``2540c. Fees charged and collected.
    ``2540d. Definitions.

    ``Sec. 2540. Establishment of loan guarantee program

        ``(a) Establishment.--In order to meet the national security
    objectives in section 2501(a) of this title, the Secretary of Defense
    shall establish a program under which the Secretary may issue
    guarantees assuring a lender against losses of principal or interest,
    or both principal and interest, arising out of the financing of the
    sale or long-term lease of defense articles, defense services, or
    design and construction services to a country referred to in subsection
    (b).
        ``(b) Covered Countries.--The authority under subsection (a)
    applies with respect to the following countries:
            ``(1) A member nation of the North Atlantic Treaty Organization
        (NATO).
            ``(2) A country designated as of March 31, 1995, as a major
        non-NATO ally pursuant to section 2350a(i)(3) of this title.
            ``(3) A country in Central Europe that, as determined by the
        Secretary of State--
                ``(A) has changed its form of national government from a
            nondemocratic form of government to a democratic form of
            government since October 1, 1989; or
                ``(B) is in the process of changing its form of national
            government from a nondemocratic form of government to a
            democratic form of government.
            ``(4) A noncommunist country that was a member nation of the
        Asia Pacific Economic Cooperation (APEC) as of October 31, 1993.
        ``(c) Authority Subject to Provisions of Appropriations.--The
    Secretary may guarantee a loan under this subchapter only to such
    extent or in such amounts as may be provided in advance in
    appropriations Acts.

    ``Sec. 2540a. Transferability

        ``A guarantee issued under this subchapter shall be fully and
    freely transferable.

    ``Sec. 2540b. Limitations

        ``(a) Terms and Conditions of Loan Guarantees.--In issuing a
    guarantee under this subchapter for a medium-term or long-term loan,
    the Secretary may not offer terms and conditions more beneficial than
    those that would be provided to the recipient by the Export-Import Bank
    of the United States under similar circumstances in conjunction with
    the provision of guarantees for nondefense articles and services.
        ``(b) Losses Arising From Fraud or Misrepresentation.--No payment
    may be made under a guarantee issued under this subchapter for a loss
    arising out of fraud or misrepresentation for which the party seeking
    payment is responsible.
        ``(c) No Right of Acceleration.--The Secretary of Defense may not
    accelerate any guaranteed loan or increment, and may not pay any
    amount, in respect of a guarantee issued under this subchapter, other
    than in accordance with the original payment terms of the loan.

    ``Sec. 2540c. Fees charged and collected

        ``(a) Exposure Fees.--The Secretary of Defense shall charge a fee
    (known as `exposure fee') for each guarantee issued under this
    subchapter.
        ``(b) Amount of Exposure Fee.--To the extent that the cost of the
    loan guarantees under this subchapter is not otherwise provided for in
    appropriations Acts, the fee imposed under subsection (a) with respect
    to a loan guarantee shall be fixed in an amount that is sufficient to
    meet potential liabilities of the United States under the loan
    guarantee.
        ``(c) Payment Terms.--The fee under subsection (a) for each
    guarantee shall become due as the guarantee is issued. In the case of a
    guarantee for a loan which is disbursed incrementally, and for which
    the guarantee is correspondingly issued incrementally as portions of
    the loan are disbursed, the fee shall be paid incrementally in
    proportion to the amount of the guarantee that is issued.
        ``(d) Administrative Fees.--The Secretary of Defense shall charge a
    fee for each guarantee issued under this subchapter to reflect the
    additional administrative costs of the Department of Defense that are
    directly attributable to the administration of the program under this
    subchapter. Such fees shall be credited to a special account in the
    Treasury. Amounts in the special account shall be available, to the
    extent and in amounts provided in appropriations Acts, for paying the
    costs of administrative expenses of the Department of Defense that are
    attributable to the loan guarantee program under this subchapter.

    ``Sec. 2540d. Definitions

        ``In this subchapter:
            ``(1) The terms `defense article', `defense services', and
        `design and construction services' have the meanings given those
        terms in section 47 of the Arms Export Control Act (22 U.S.C.
        2794).
            ``(2) The term `cost', with respect to a loan guarantee, has
        the meaning given that term in section 502 of the Congressional
        Budget and Impoundment Control Act of 1974 (2 U.S.C. 661a).''.
        (2) The table of subchapters at the beginning of such chapter is
    amended by adding at the end the following new item:

    ``VI. Defense Export Loan Guarantees.............................2540''.

        (b) Report.--Not later than two years after the date of the
    enactment of this Act, the President shall submit to Congress a report
    on the loan guarantee program established pursuant to section 2540 of
    title 10, United States Code, as added by subsection (a). The report
    shall include--
            (1) an analysis of the costs and benefits of the loan guarantee
        program; and
            (2) any recommendations for modification of the program that
        the President considers appropriate, including--
                (A) any recommended addition to the list of countries for
            which a guarantee may be issued under the program; and
                (B) any proposed legislation necessary to authorize a
            recommended modification.
        (c) First Year Costs.--The Secretary of Defense shall make
    available, from amounts appropriated to the Department of Defense for
    fiscal year 1996 for operations and maintenance, such amounts as may be
    necessary, not to exceed $500,000, for the expenses of the Department
    of Defense during fiscal year 1996 that are directly attributable to
    the administration of the defense export loan guarantee program under
    subchapter VI of chapter 148 of title 10, United States Code, as added
    by subsection (a).
        (d) Replenishment of Operations and Maintenance Accounts for First
    Year Costs.--The Secretary of Defense shall, using funds in the special
    account referred to in section 2540c(d) of title 10, United States Code
    (as added by subsection (b)), replenish operations and maintenance
    accounts for amounts expended from such accounts for expenses referred
    to in subsection (c).
    SEC. 1322. NATIONAL SECURITY IMPLICATIONS OF UNITED STATES EXPORT
    CONTROL POLICY.
        (a) Findings.--Congress makes the following findings:
            (1) Export controls remain an important element of the national
        security policy of the United States.
            (2) It is in the national security interest that United States
        export control policy be effective in preventing the transfer, to
        potential adversaries or combatants of the United States, of
        technology that threatens the national security or defense of the
        United States.
            (3) It is in the national security interest that the United
        States monitor aggressively the export of militarily critical
        technology in order to prevent its diversion to potential
        adversaries or combatants of the United States.
            (4) The Department of Defense relies increasingly on commercial
        and dual-use technologies, products, and processes to support
        United States military capabilities and economic strength.
            (5) The maintenance of the military advantage of the United
        States depends on effective export controls on dual-use items and
        technologies that are critical to the military capabilities of the
        Armed Forces.
        (b)  Sense of Congress.--It is the sense of Congress that--
            (1) the Secretary of Defense should evaluate license
        applications for the export of militarily critical commodities the
        export of which is controlled for national security reasons if
        those commodities are to be exported to certain countries of
        concern;
            (2) the Secretary of Defense should identify the dual-use items
        and technologies that are critical to the military capabilities of
        the Armed Forces, including the military use made of such items and
        technologies;
            (3) upon identification by the Secretary of Defense of the
        dual-use items and technologies referred to in paragraph (2), the
        President should ensure effective export controls or use unilateral
        export controls on dual-use items and technologies that are
        critical to the military capabilities of the Armed Forces
        (regardless of the availability of such items or technologies
        overseas) with respect to the countries that--
                (A) pose a threat to the national security interests of the
            United States; and
                (B) are not members in good standing of bilateral or
            multilateral agreements to which the United States is a party
            on the use of such items and technologies; and
            (4) the President, upon recommendation of the Secretary of
        Defense, should ensure effective controls on the re-export by other
        countries of dual-use items and technologies that are critical to
        the military capabilities of the Armed Forces.
        (c) Annual Report.--(1) Not later than December 1 of each year
    through 1999, the President shall submit to the committees specified in
    paragraph (4) a report on the effect of the export control policy of
    the United States on the national security interests of the United
    States.
        (2) The report shall include the following:
            (A) A list setting forth each country determined by the
        Secretary of Defense, the intelligence community, and other
        appropriate agencies to be a rogue nation or potential adversary or
        combatant of the United States.
            (B) For each country so listed, a list of--
                (i) the categories of items that the United States
            currently prohibits for export to the country;
                (ii) the categories of items that may be exported from the
            United States with an individual license, and in such cases,
            any licensing conditions normally required and the policy
            grounds used for approvals and denials; and
                (iii) the categories of items that may be exported under a
            general license designated ``G-DEST''.
            (C) For each category of items listed under subparagraph (B)--
                (i) a statement whether a prohibition, control, or
            licensing requirement on a category of items is imposed
            pursuant to an international multilateral agreement or is
            unilateral;
                (ii) a statement whether a prohibition, control, or
            licensing requirement on a category of items is imposed by the
            other members of an international agreement or is unilateral;
                (iii) when the answer under either clause (i) or clause
            (ii) is unilateral, a statement concerning the efforts being
            made to ensure that the prohibition, control, or licensing
            requirement is made multilateral; and
                (iv) a statement on what impact, if any, a unilateral
            prohibition is having, or would have, on preventing the rogue
            nation or potential adversary from attaining the items in
            question for military purposes.
            (D) A description of United States policy on sharing satellite
        imagery that has military significance and a discussion of the
        criteria for determining the imagery that has that significance.
            (E) A description of the relationship between United States
        policy on the export of space launch vehicle technology and the
        Missile Technology Control Regime.
            (F) An assessment of United States efforts to support the
        inclusion of additional countries in the Missile Technology Control
        Regime.
            (G) An assessment of the ongoing efforts made by potential
        participant countries in the Missile Technology Control Regime to
        meet the guidelines established by the Missile Technology Control
        Regime.
            (H) A discussion of the history of the space launch vehicle
        programs of other countries, including a discussion of the military
        origins and purposes of such programs and the current level of
        military involvement in such programs.
        (3) The President shall submit the report in unclassified form, but
    may include a classified annex.
        (4) The committees referred to in paragraph (1) 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.
        (5) For purposes of this subsection, the term ``Missile Technology
    Control Regime'' means the policy statement announced on April 16,
    1987, between the United States, the United Kingdom, the Federal
    Republic of Germany, France, Italy, Canada, and Japan to restrict
    sensitive missile-relevant transfers based on the Missile Technology
    Control Regime Annex, and any amendment thereto.
    SEC. 1323. DEPARTMENT OF DEFENSE REVIEW OF EXPORT LICENSES FOR CERTAIN
    BIOLOGICAL PATHOGENS.
        (a) Department of Defense Review.--Any application to the Secretary
    of Commerce for a license for the export of a class 2, class 3, or
    class 4 biological pathogen to a country identified to the Secretary
    under subsection (c) as a country that is known or suspected to have a
    biological weapons program shall be referred to the Secretary of
    Defense for review. The Secretary of Defense shall notify the Secretary
    of Commerce within 15 days after receipt of an application under the
    preceding sentence whether the export of such biological pathogen
    pursuant to the license would be contrary to the national security
    interests of the United States.
        (b) Denial of License if Contrary to National Security Interest.--A
    license described in subsection (a) shall be denied by the Secretary of
    Commerce if it is determined that the export of such biological
    pathogen to that country would be contrary to the national security
    interests of the United States.
        (c) Identification of Countries Known or Suspected To Have a
    Program To Develop Offensive Biological Weapons.--(1) The Secretary of
    Defense shall determine, for the purposes of this section, those
    countries that are known or suspected to have a program to develop
    offensive biological weapons. Upon making such determination, the
    Secretary shall provide to the Secretary of Commerce a list of those
    countries.
        (2) The Secretary of Defense shall update the list under paragraph
    (1) on a regular basis. Whenever a country is added to or deleted from
    such list, the Secretary shall notify the Secretary of Commerce.
        (3) Determination under this subsection of countries that are known
    or suspected to have a program to develop offensive biological weapons
    shall be made in consultation with the Secretary of State and the
    intelligence community.
        (d) Definition.--For purposes of this section, the term ``class 2,
    class 3, or class 4 biological pathogen'' means any biological pathogen
    that is characterized by the Centers for Disease Control as a class 2,
    class 3, or class 4 biological pathogen.
    SEC. 1324. ANNUAL REPORTS ON IMPROVING EXPORT CONTROL MECHANISMS AND ON
    MILITARY ASSISTANCE.
        (a) Joint Reports by Secretaries of State and Commerce.--Not later
    than April 1 of each of 1996 and 1997, the Secretary of State and the
    Secretary of Commerce shall submit to Congress a joint report, prepared
    in consultation with the Secretary of Defense, relating to United
    States export-control mechanisms. Each such report shall set forth
    measures to be taken to strengthen United States export-control
    mechanisms, including--
            (1) steps being taken by each Secretary (A) to share on a
        regular basis the export licensing watchlist of that Secretary's
        department with the other Secretary, and (B) to incorporate the
        export licensing watchlist data received from the other Secretary
        into the watchlist of that Secretary's department;
            (2) steps being taken by each Secretary to incorporate into the
        watchlist of that Secretary's department similar data from systems
        maintained by the Department of Defense and the United States
        Customs Service; and
            (3) a description of such further measures to be taken to
        strengthen United States export-control mechanisms as the
        Secretaries consider to be appropriate.
        (b) Reports by Inspectors General.--(1) Not later than April 1 of
    each of 1996 and 1997, the Inspector General of the Department of State
    and the Inspector General of the Department of Commerce shall each
    submit to Congress a report providing that official's evaluation of the
    effectiveness during the preceding year of the export licensing
    watchlist screening process of that official's department. The reports
    shall be submitted in both a classified and unclassified version.
        (2) Each report of an Inspector General under paragraph (1) shall
    (with respect to that official's department)--
            (A) set forth the number of export licenses granted to parties
        on the export licensing watchlist;
            (B) set forth the number of end-use checks performed with
        respect to export licenses granted to parties on the export
        licensing watchlist the previous year;
            (C) assess the screening process used in granting an export
        license when an applicant is on the export licensing watchlist; and
            (D) assess the extent to which the export licensing watchlist
        contains all relevant information and parties required by statute
        or regulation.
        (c) Annual Military Assistance Report.--The Foreign Assistance Act
    of 1961 is amended by inserting after section 654 (22 U.S.C. 2414) the
    following new section:
    ``SEC. 655. ANNUAL REPORT ON MILITARY ASSISTANCE, MILITARY EXPORTS, AND
    MILITARY IMPORTS.
        ``(a) Report Required.--Not later than February 1 of each of 1996
    and 1997, the President shall transmit to Congress a report concerning
    military assistance authorized or furnished for the fiscal year ending
    the previous September 30.
        ``(b) Information Relating to Military Assistance and Military
    Exports.--Each such report shall show the aggregate dollar value and
    quantity of defense articles (including excess defense articles) and
    defense services, and of military education and training, authorized or
    furnished by the United States to each foreign country and
    international organization. The report shall specify, by category,
    whether those articles and services, and that education and training,
    were furnished by grant under chapter 2 or chapter 5 of part II of this
    Act or by sale under chapter 2 of the Arms Export Control Act or were
    authorized by commercial sale licensed under section 38 of the Arms
    Export Control Act.
        ``(c) Information Relating to Military Imports.--Each such report
    shall also include the total amount of military items of non-United
    States manufacture that were imported into the United States during the
    fiscal year covered by the report. The report shall show the country of
    origin, the type of item being imported, and the total amount of
    items.''.
    SEC. 1325. REPORT ON PERSONNEL REQUIREMENTS FOR CONTROL OF TRANSFER OF
    CERTAIN WEAPONS.
        Not later than 30 days after the date of the enactment of this Act,
    the Secretary of Defense and the Secretary of Energy shall submit to
    the committees of Congress referred to in subsection (c) of section
    1154 of the National Defense Authorization Act for Fiscal Year 1994
    (Public Law 103-160; 107 Stat. 1761) the report required under
    subsection (a) of that section. The Secretary of Defense and the
    Secretary of Energy shall include with the report an explanation of the
    failure of such Secretaries to submit the report in accordance with
    such subsection (a) and with all other previous requirements for the
    submittal of the report.

     Subtitle D--Burdensharing and Other Cooperative Activities Involving
                                Allies and NATO

    SEC. 1331. ACCOUNTING FOR BURDENSHARING CONTRIBUTIONS.

        (a) Authority To Manage Contributions in Local Currency, Etc.--
    Subsection (b) of section 2350j of title 10, United States Code, is
    amended to read as follows:
        ``(b) Accounting.--Contributions accepted under subsection (a)
    which are not related to security assistance may be accepted, managed,
    and expended in dollars or in the currency of the host nation (or, in
    the case of a contribution from a regional organization, in the
    currency in which the contribution was provided). Any such contribution
    shall be placed in an account established for such purpose and shall
    remain available until expended for the purposes specified in
    subsection (c). The Secretary of Defense shall establish a separate
    account for such purpose for each country or regional organization from
    which such contributions are accepted under subsection (a).''.
        (b) Conforming Amendment.--Subsection (d) of such section is
    amended by striking out ``credited under subsection (b) to an
    appropriation account of the Department of Defense'' and inserting in
    lieu thereof ``placed in an account established under subsection (b)''.
        (c) Technical Amendment.--Such section is further amended--
            (1) in subsection (e)(1), by striking out ``a report to the
        congressional defense committees'' and inserting in lieu thereof
        ``to the congressional committees specified in subsection (g) a
        report''; and
            (2) by adding at the end the following new subsection:
        ``(g) Congressional Committees.--The congressional committees
    referred to in subsection (e)(1) are--
            ``(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.''.
    SEC. 1332. AUTHORITY TO ACCEPT CONTRIBUTIONS FOR EXPENSES OF RELOCATION
    WITHIN HOST NATION OF UNITED STATES ARMED FORCES OVERSEAS.
        (a) In General.--(1) Subchapter II of chapter 138 of title 10,
    United States Code, is amended by adding at the end the following new
    section:
    ``Sec. 2350k. Relocation within host nation of elements of armed forces
          overseas
        ``(a) Authority To Accept Contributions.--The Secretary of Defense
    may accept contributions from any nation because of or in support of
    the relocation of elements of the armed forces from or to any location
    within that nation. Such contributions may be accepted in dollars or in
    the currency of the host nation. Any such contribution shall be placed
    in an account established for such purpose and shall remain available
    until expended for the purposes specified in subsection (b). The
    Secretary shall establish a separate account for such purpose for each
    country from which such contributions are accepted.
        ``(b) Use of Contributions.--The Secretary may use a contribution
    accepted under subsection (a) only for payment of costs incurred in
    connection with the relocation concerning which the contribution was
    made. Those costs include the following:
            ``(1) Design and construction services, including development
        and review of statements of work, master plans and designs,
        acquisition of construction, and supervision and administration of
        contracts relating thereto.
            ``(2) Transportation and movement services, including packing,
        unpacking, storage, and transportation.
            ``(3) Communications services, including installation and
        deinstallation of communications equipment, transmission of
        messages and data, and rental of transmission capability.
            ``(4) Supply and administration, including acquisition of
        expendable office supplies, rental of office space, budgeting and
        accounting services, auditing services, secretarial services, and
        translation services.
            ``(5) Personnel costs, including salary, allowances and
        overhead of employees whether full-time or part-time, temporary or
        permanent (except for military personnel), and travel and temporary
        duty costs.
            ``(6) All other clearly identifiable expenses directly related
        to relocation.
        ``(c) Method of Contribution.--Contributions may be accepted in any
    of the following forms:
            ``(1) Irrevocable letter of credit issued by a financial
        institution acceptable to the Treasurer of the United States.
            ``(2) Drawing rights on a commercial bank account established
        and funded by the host nation, which account is blocked such that
        funds deposited cannot be withdrawn except by or with the approval
        of the United States.
            ``(3) Cash, which shall be deposited in a separate trust fund
        in the United States Treasury pending expenditure and which shall
        accrue interest in accordance with section 9702 of title 31.
        ``(d) Annual Report to Congress.--Not later than 30 days after the
    end of each fiscal year, the Secretary shall submit to Congress a
    report specifying--
            ``(1) the amount of the contributions accepted by the Secretary
        during the preceding fiscal year under subsection (a) and the
        purposes for which the contributions were made; and
            ``(2) the amount of the contributions expended by the Secretary
        during the preceding fiscal year and the purposes for which the
        contributions were expended.''.
        (2) The table of sections at the beginning of subchapter II of
    chapter 138 of such title is amended by adding at the end the following
    new item:
    ``2350k. Relocation within host nation of elements of armed forces
              overseas.''.

        (b) Effective Date.--Section 2350k of title 10, United States Code,
    as added by subsection (a), shall take effect on the date of the
    enactment of this Act and shall apply to contributions for relocation
    of elements of the Armed Forces in or to any nation received on or
    after such date.
    SEC. 1333. REVISED GOAL FOR ALLIED SHARE OF COSTS FOR UNITED STATES
    INSTALLATIONS IN EUROPE.
        Section 1304(a) of the National Defense Authorization Act for
    Fiscal Year 1995 (Public Law 103-337; 108 Stat. 2890) is amended--
            (1) by inserting ``(1)'' after ``so that''; and
            (2) by inserting before the period at the end the following:
        ``, and (2) by September 30, 1997, those nations have assumed 42.5
        percent of such costs''.
    SEC. 1334. EXCLUSION OF CERTAIN FORCES FROM EUROPEAN END STRENGTH
    LIMITATION.
        (a) Exclusion of Members Performing Duties Under Military-To-
    Military Contact Program.--Paragraph (3) of section 1002(c) of the
    Department of Defense Authorization Act, 1985 (22 U.S.C. 1928 note) is
    amended to read as follows:
        ``(3) For purposes of this subsection, the following members of the
    Armed Forces are excluded in calculating the end strength level of
    members of the Armed Forces of the United States assigned to permanent
    duty ashore in European member nations of NATO:
            ``(A) Members assigned to permanent duty ashore in Iceland,
        Greenland, and the Azores.
            ``(B) Members performing duties in Europe for more than 179
        days under a military-to-military contact program under section 168
        of title 10, United States Code.''.
    SEC. 1335. COOPERATIVE RESEARCH AND DEVELOPMENT AGREEMENTS WITH NATO
    ORGANIZATIONS.
        Section 2350b(e) of title 10, United States Code, is amended--
            (1) in paragraph (1), by inserting ``or a NATO organization''
        after ``a participant (other than the United States)''; and
            (2) in paragraph (2), by striking out ``a cooperative project''
        and inserting in lieu thereof ``such a cooperative project or a
        NATO organization''.
    SEC. 1336. SUPPORT SERVICES FOR THE NAVY AT THE PORT OF HAIFA, ISRAEL.
        (a) Sense of Congress.--It is the sense of Congress that the
    Secretary of Defense should promptly seek to undertake such actions as
    are necessary--
            (1) to ensure that suitable port services are available to the
        Navy at the Port of Haifa, Israel; and
            (2) to ensure the availability to the Navy of suitable services
        at that port in light of the continuing increase in commercial
        activities at the port.
        (b) Report.--Not later than 30 days after the date of the enactment
    of this Act, the Secretary of the Navy shall submit to Congress a
    report on the availablity of port services for the Navy in the eastern
    Mediterranean Sea region. The report shall specify--
            (1) the services required by the Navy when calling at the port
        of Haifa, Israel; and
            (2) the availability of those services at ports elsewhere in
        the region.

                           Subtitle E--Other Matters

    SEC. 1341. PROHIBITION ON FINANCIAL ASSISTANCE TO TERRORIST COUNTRIES.
        (a) Prohibition.--Subchapter I of chapter 134 of title 10, United
    States Code, is amended by adding at the end the following:
    ``Sec. 2249a. Prohibition on providing financial assistance to
          terrorist countries
        ``(a) Prohibition.--Funds available to the Department of Defense
    may not be obligated or expended to provide financial assistance to--
            ``(1) any country with respect to which the Secretary of State
        has made a determination under section 6(j)(1)(A) of the Export
        Administration Act of 1979 (50 App. 2405(j));
            ``(2) any country identified in the latest report submitted to
        Congress under section 140 of the Foreign Relations Authorization
        Act, Fiscal Years 1988 and 1989 (22 U.S.C. 2656f), as providing
        significant support for international terrorism; or
            ``(3) any other country that, as determined by the President--
                ``(A) grants sanctuary from prosecution to any individual
            or group that has committed an act of international terrorism;
            or
                ``(B) otherwise supports international terrorism.
        ``(b) Waiver.--(1) The President may waive the application of
    subsection (a) to a country if the President determines--
            ``(A) that it is in the national security interests of the
        United States to do so; or
            ``(B) that the waiver should be granted for humanitarian
        reasons.
        ``(2) The President shall--
            ``(A) notify 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 at least 15 days before the waiver takes effect;
        and
            ``(B) publish a notice of the waiver in the Federal Register.
        ``(c) Definition.--In this section, the term `international
    terrorism' has the meaning given that term in section 140(d)of the
    Foreign Relations Authorization Act, Fiscal Years 1988 and 1989 (22
    U.S.C. 2656f(d)).''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    subchapter I of such chapter is amended by adding at the end the
    following:
    ``2249a. Prohibition on providing financial assistance to terrorist
              countries.''.
    SEC. 1342. JUDICIAL ASSISTANCE TO THE INTERNATIONAL TRIBUNAL FOR
    YUGOSLAVIA AND TO THE INTERNATIONAL TRIBUNAL FOR RWANDA.
        (a) Surrender of Persons.--
            (1) Application of united states extradition laws.--Except as
        provided in paragraphs (2) and (3), the provisions of chapter 209
        of title 18, United States Code, relating to the extradition of
        persons to a foreign country pursuant to a treaty or convention for
        extradition between the United States and a foreign government,
        shall apply in the same manner and extent to the surrender of
        persons, including United States citizens, to--
                (A) the International Tribunal for Yugoslavia, pursuant to
            the Agreement Between the United States and the International
            Tribunal for Yugoslavia; and
                (B) the International Tribunal for Rwanda, pursuant to the
            Agreement Between the United States and the International
            Tribunal for Rwanda.
            (2) Evidence on hearings.--For purposes of applying section
        3190 of title 18, United States Code, in accordance with paragraph
        (1), the certification referred to in that section may be made by
        the principal diplomatic or consular officer of the United States
        resident in such foreign countries where the International Tribunal
        for Yugoslavia or the International Tribunal for Rwanda may be
        permanently or temporarily situated.
            (3) Payment of fees and costs.--(A) The provisions of the
        Agreement Between the United States and the International Tribunal
        for Yugoslavia and of the Agreement Between the United States and
        the International Tribunal for Rwanda shall apply in lieu of the
        provisions of section 3195 of title 18, United States Code, with
        respect to the payment of expenses arising from the surrender by
        the United States of a person to the International Tribunal for
        Yugoslavia or the International Tribunal for Rwanda, respectively,
        or from any proceedings in the United States relating to such
        surrender.
            (B) The authority of subparagraph (A) may be exercised only to
        the extent and in the amounts provided in advance in appropriations
        Acts.
            (4) Nonapplicability of the federal rules.--The Federal Rules
        of Evidence and the Federal Rules of Criminal Procedure do not
        apply to proceedings for the surrender of persons to the
        International Tribunal for Yugoslavia or the International Tribunal
        for Rwanda.
        (b) Assistance to Foreign and International Tribunals and to
    Litigants Before Such Tribunals.--Section 1782(a) of title 28, United
    States Code, is amended by inserting in the first sentence after
    ``foreign or international tribunal'' the following: ``, including
    criminal investigations conducted before formal accusation''.
        (c) Definitions.--For purposes of this section:
            (1) International tribunal for yugoslavia.--The term
        ``International Tribunal for Yugoslavia'' means the International
        Tribunal for the Prosecution of Persons Responsible for Serious
        Violations of International Humanitarian Law in the Territory of
        the Former Yugoslavia, as established by United Nations Security
        Council Resolution 827 of May 25, 1993.
            (2) International tribunal for rwanda.--The term
        ``International Tribunal for Rwanda'' means the International
        Tribunal for the Prosecution of Persons Responsible for Genocide
        and Other Serious Violations of International Humanitarian Law
        Committed in the Territory of Rwanda and Rwandan Citizens
        Responsible for Genocide and Other Such Violations Committed in the
        Territory of Neighboring States, as established by United Nations
        Security Council Resolution 955 of November 8, 1994.
            (3) Agreement between the united states and the international
        tribunal for yugoslavia.--The term ``Agreement Between the United
        States and the International Tribunal for Yugoslavia'' means the
        Agreement on Surrender of Persons Between the Government of the
        United States and the International Tribunal for the Prosecution of
        Persons Responsible for Serious Violations of International Law in
        the Territory of the Former Yugoslavia, signed at The Hague,
        October 5, 1994.
            (4) Agreement between the united states and the international
        tribunal for rwanda.--The term ``Agreement between the United
        States and the International Tribunal for Rwanda'' means the
        Agreement on Surrender of Persons Between the Government of the
        United States and the International Tribunal for the Prosecution of
        Persons Responsible for Genocide and Other Serious Violations of
        International Humanitarian Law Committed in the Territory of Rwanda
        and Rwandan Citizens Responsible for Genocide and Other Such
        Violations Committed in the Territory of Neighboring States, signed
        at The Hague, January 24, 1995.
    SEC. 1343. SEMIANNUAL REPORTS CONCERNING UNITED STATES-PEOPLE'S
    REPUBLIC OF CHINA JOINT DEFENSE CONVERSION COMMISSION.
        (a) Reports Required.--The Secretary of Defense shall submit to
    Congress a semiannual report on the United States-People's Republic of
    China Joint Defense Conversion Commission. Each such report shall
    include the following:
            (1) A description of the extent to which the activities
        conducted in, through, or as a result of the Commission could have
        directly or indirectly assisted, or may directly or indirectly
        assist, the military modernization efforts of the People's Republic
        of China.
            (2) A discussion of the activities and operations of the
        Commission, including--
                (A) United States funding;
                (B) a listing of participating United States officials;
                (C) specification of meeting dates and locations
            (prospective and retrospective);
                (D) summary of discussions; and
                (E) copies of any agreements reached.
            (3) A discussion of the relationship between the ``defense
        conversion'' activities of the People's Republic of China and its
        defense modernization efforts.
            (4) A discussion of the extent to which United States business
        activities pursued, or proposed to be pursued, under the imprimatur
        of the Commission, or the importation of western technology in
        general, contributes to the modernization of China's military
        industrial base, including any steps taken by the United States or
        by United States commercial entities to safeguard the technology or
        intellectual property rights associated with any materials or
        information transferred.
            (5) An assessment of the benefits derived by the United States
        from its participation in the Commission, including whether or to
        what extent United States participation in the Commission has
        resulted or will result in the following:
                (A) Increased transparency in the current and projected
            military budget and doctrine of the People's Republic of China.
                (B) Improved behavior and cooperation by the People's
            Republic of China in the areas of missile and nuclear
            proliferation.
                (C) Increased transparency in the plans of the People's
            Republic of China's for nuclear and missile force modernization
            and testing.
            (6) Efforts undertaken by the Secretary of Defense to--
                (A) establish a list of enterprises controlled by the
            People's Liberation Army, including those which have been
            successfully converted to produce products solely for civilian
            use; and
                (B) provide estimates of the total revenues of those
            enterprises.
            (7) A description of current or proposed mechanisms for
        improving the ability of the United States to track the flow of
        revenues from the enterprises specified on the list established
        under paragraph (6)(A).
        (b) Submittal of Reports.--A report shall be submitted under
    subsection (a) not later than August 1 of each year with respect to the
    first six months of that year and shall be submitted not later than
    February 1 of each year with respect to the last six months of the
    preceding year. The first report under such subsection shall be
    submitted not less than 60 days after the date of the enactment of this
    Act and shall apply with respect to the six-month period preceding the
    date of the enactment of this Act.
        (c) Final Report Upon Termination of Commission.--Upon the
    termination of the United States-People's Republic of China Joint
    Defense Conversion Commission, the Secretary of Defense shall submit a
    final report under this section covering the period from the end of the
    period covered by the last such report through the termination of the
    Commission, and subsection (a) shall cease to apply after the
    submission of such report.

                        TITLE XIV--ARMS CONTROL MATTERS

    SEC. 1401. REVISION OF DEFINITION OF LANDMINE FOR PURPOSES OF LANDMINE
    EXPORT MORATORIUM.
        Section 1423(d) of the National Defense Authorization Act for
    Fiscal Year 1994 (Public Law 103-160; 107 Stat. 1832) is amended--
            (1) by redesignating paragraphs (1), (2), and (3) as
        subparagraphs (A), (B), and (C), respectively;
            (2) in subparagraph (C), as so redesignated, by striking out
        ``by remote control or'';
            (3) by inserting ``(1)'' before ``For purposes of''; and
            (4) by adding at the end the following new paragraph:
        ``(2) The term does not include command detonated antipersonnel
    land mines (such as the M18A1 `Claymore' mine).''.
    SEC. 1402. REPORTS ON MORATORIUM ON USE BY ARMED FORCES OF
    ANTIPERSONNEL LANDMINES.
        Not later than April 30 of each of 1996, 1997, and 1998, the
    Chairman of the Joint Chiefs of Staff shall submit to the congressional
    defense committees a report on the projected effects of a moratorium on
    the defensive use of antipersonnel mines and antitank mines by the
    Armed Forces. The report shall include a discussion of the following
    matters:
            (1) The extent to which current doctrine and practices of the
        Armed Forces on the defensive use of antipersonnel mines and
        antitank mines adhere to applicable international law.
            (2) The effects that a moratorium would have on the defensive
        use of the current United States inventory of remotely delivered,
        self-destructing antitank systems, antipersonnel mines, and
        antitank mines.
            (3) The reliability of the self-destructing antipersonnel mines
        and self-destructing antitank mines of the United States.
            (4) The cost of clearing the antipersonnel minefields currently
        protecting Naval Station Guantanamo Bay, Cuba, and other United
        States installations.
            (5) The cost of replacing antipersonnel mines in such
        minefields with substitute systems such as the Claymore mine, and
        the level of protection that would be afforded by use of such a
        substitute.
            (6) The extent to which the defensive use of antipersonnel
        mines and antitank mines by the Armed Forces is a source of
        civilian casualties around the world, and the extent to which the
        United States, and the Department of Defense particularly,
        contributes to alleviating the illegal and indiscriminate use of
        such munitions.
            (7) The extent to which the threat to the security of United
        States forces during operations other than war and combat
        operations would increase as a result of such a moratorium.
    SEC. 1403. EXTENSION AND AMENDMENT OF COUNTER-PROLIFERATION
    AUTHORITIES.
        (a) One-Year Extension of Program.--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 (a), by striking out ``during fiscal years
        1994 and 1995'';
            (2) in subsection (e)(1), by striking out ``fiscal years 1994
        and 1995'' and inserting in lieu thereof ``a fiscal year during
        which the authority of the Secretary of Defense to provide
        assistance under this section is in effect''; and
            (3) by adding at the end the following new subsection:
        ``(f) Termination of Authority.--The authority of the Secretary of
    Defense to provide assistance under this section terminates at the
    close of fiscal year 1996.''.
        (b) Program Authorities.--(1) Subsections (b)(2) and (d)(3) of such
    section are amended by striking out ``the On-Site Inspection Agency''
    and inserting in lieu thereof ``the Department of Defense''.
        (2) Subsection (c)(3) of such section is amended by striking out
    ``will be counted'' and all that follows and inserting in lieu thereof
    ``will be counted as discretionary spending in the national defense
    budget function (function 050).''.
        (c) Amount of Assistance.--Subsection (d) of such section is
    amended--
            (1) in paragraph (1)--
                (A) by striking out ``for fiscal year 1994'' the first
            place it appears and all that follows through the period at the
            end of the second sentence and inserting in lieu thereof ``for
            any fiscal year shall be derived from amounts made available to
            the Department of Defense for that fiscal year.''; and
                (B) by striking out ``referred to in this paragraph''; and
            (2) in paragraph (3)--
                (A) by striking out ``may not exceed'' and all that follows
            through ``1995''; and
                (B) by inserting before the period at the end the
            following: ``, may not exceed $25,000,000 for fiscal year 1994,
            $20,000,000 for fiscal year 1995, or $15,000,000 for fiscal
            year 1996''.
    SEC. 1404. LIMITATION ON RETIREMENT OR DISMANTLEMENT OF STRATEGIC
    NUCLEAR DELIVERY SYSTEMS.
        (a) Sense of Congress.--It is the sense of Congress that, unless
    and until the START II Treaty enters into force, the Secretary of
    Defense should not take any action to retire or dismantle, or to
    prepare 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) Limitation on Use of Funds.--Funds available to the Department
    of Defense may not be obligated or expended during fiscal year 1996 for
    retiring or dismantling, or for preparing to retire or dismantle, any
    of the strategic nuclear delivery systems specified in subsection (a).
    SEC. 1405. CONGRESSIONAL FINDINGS AND SENSE OF CONGRESS CONCERNING
    TREATY VIOLATIONS.
        (a) Reaffirmation of Prior Findings Concerning the Krasnoyarsk
    Radar.--Congress, noting its previous findings with respect to the
    large phased-array radar of the Soviet Union known as the ``Krasnoyarsk
    radar'' stated in paragraphs (1) through (4) of section 902(a) of the
    National Defense Authorization Act for Fiscal Years 1988 and 1989
    (Public Law 100-180; 101 Stat. 1135) (and reaffirmed in section 1006(a)
    of the National Defense Authorization Act for Fiscal Years 1990 and
    1991 (Public Law 101-189; 103 Stat. 1543)), hereby reaffirms those
    findings as follows:
            (1) The 1972 Anti-Ballistic Missile Treaty prohibits each party
        from deploying ballistic missile early warning radars except at
        locations along the periphery of its national territory and
        oriented outward.
            (2) The 1972 Anti-Ballistic Missile Treaty prohibits each party
        from deploying an ABM system to defend its national territory and
        from providing a base for any such nationwide defense.
            (3) Large phased-array radars were recognized during
        negotiation of the Anti-Ballistic Missile Treaty as the critical
        long lead-time element of a nationwide defense against ballistic
        missiles.
            (4) In 1983 the United States discovered the construction, in
        the interior of the Soviet Union near the town of Krasnoyarsk, of a
        large phased-array radar that has subsequently been judged to be
        for ballistic missile early warning and tracking.
        (b) Further Reference to 1987 Congressional Statements.--Congress
    further notes that in section 902 of the National Defense Authorization
    Act for Fiscal Years 1988 and 1989 (Public Law 100-180; 101 Stat. 1135)
    Congress also--
            (1) noted that the President had certified that the Krasnoyarsk
        radar was an unequivocal violation of the 1972 Anti-Ballistic
        Missile Treaty; and
            (2) stated it to be the sense of the Congress that the Soviet
        Union was in violation of its legal obligation under that treaty.
        (c) Further Reference to 1989 Congressional Statements.--Congress
    further notes that in section 1006(b) of the National Defense
    Authorization Act for Fiscal Years 1990 and 1991 (Public Law 101-189;
    103 Stat. 1543) Congress also--
            (1) again noted that in 1987 the President declared that radar
        to be a clear violation of the 1972 Anti-Ballistic Missile Treaty
        and noted that on October 23, 1989, the Foreign Minister of the
        Soviet Union conceded that the Krasnoyarsk radar is a violation of
        the 1972 Anti-Ballistic Missile Treaty; and
            (2) stated it to be the sense of the Congress that the Soviet
        Union should dismantle the Krasnoyarsk radar expeditiously and
        without conditions and that until such radar was completely
        dismantled it would remain a clear violation of the 1972 Anti-
        Ballistic Missile Treaty.
        (d) Additional Findings.--Congress also finds, with respect to the
    Krasnoyarsk radar, that retired Soviet General Y.V. Votintsev, Director
    of the Soviet National Air Defense Forces from 1967 to 1985, has
    publicly stated--
            (1) that he was directed by the Chief of the Soviet General
        staff to locate the large phased-array radar at Krasnoyarsk despite
        the recognition by Soviet authorities that the location of such a
        radar at that location would be a clear violation of the 1972 Anti-
        Ballistic Missile Treaty; and
            (2) that Marshal D.F. Ustinov, Soviet Minister of Defense,
        threatened to relieve from duty any Soviet officer who continued to
        object to the construction of a large-phased array radar at
        Krasnoyarsk.
        (e) Sense of Congress Concerning Soviet Treaty Violations.--It is
    the sense of Congress that the government of the Soviet Union
    intentionally violated its legal obligations under the 1972 Anti-
    Ballistic Missile Treaty in order to advance its national security
    interests.
        (f) Sense of Congress Concerning Compliance by Russia With Arms
    Control Obligations.--In light of subsections (a) through (e), it is
    the sense of Congress that the United States should remain vigilant in
    ensuring compliance by Russia with its arms control obligations and
    should, when pursuing future arms control agreements with Russia, bear
    in mind violations of arms control obligations by the Soviet Union.
    SEC. 1406. SENSE OF CONGRESS ON RATIFICATION OF CHEMICAL WEAPONS
    CONVENTION AND START II TREATY.
        (a) Findings.--Congress makes the following findings:
            (1) Proliferation of chemical or nuclear weapons materials
        poses a danger to United States national security, and the threat
        or use of such materials by terrorists would directly threaten
        United States citizens at home and abroad.
            (2) Events such as the March 1995 terrorist release of a
        chemical nerve agent in the Tokyo subway, the threatened use of
        chemical weapons during the 1991 PersianGulf War, and the
    widespread use of chemical weapons during the Iran-Iraq War of the
    1980's are all potent reminders of the menace posed by chemical
    weapons, of the fact that the threat of chemical weapons is not
    sufficiently addressed, and of the need to outlaw the development,
    production, and possession of chemical weapons.
            (3) The Chemical Weapons Convention negotiated and signed by
        President Bush would make it more difficult for would-be
        proliferators, including terrorists, to acquire or use chemical
        weapons, if ratified and fully implemented, as signed, by all
        signatories.
            (4) United States military authorities, including Chairman of
        the Joint Chiefs of Staff General John Shalikashvili, have stated
        that United States military forces will deter and respond to
        chemical weapons threats with a robust chemical defense and an
        overwhelming superior conventional response, as demonstrated in the
        Persian Gulf War, and have testified in support of the ratification
        of the Chemical Weapons Convention.
            (5) The United States intelligence community has testified that
        the Convention will provide new and important sources of
        information, through regular data exchanges and routine and
        challenge inspections, to improve the ability of the United States
        to assess the chemical weapons status in countries of concern.
            (6) The Convention has not entered into force for lack of the
        requisite number of ratifications.
            (7) Russia has signed the Convention, but has not yet ratified
        it.
            (8) There have been reports by Russian sources of continued
        Russian production and testing of chemical weapons, including a
        statement by a spokesman of the Russian Ministry of Defense on
        December 5, 1994, that ``We cannot say that all chemical weapons
        production and testing has stopped altogether.''.
            (9) The Convention will impose a legally binding obligation on
        Russia and other nations that possess chemical weapons and that
        ratify the Convention to cease offensive chemical weapons
        activities and to destroy their chemical weapons stockpiles and
        production facilities.
            (10) The United States must be prepared to exercise fully its
        rights under the Convention, including the request of challenge
        inspections when warranted, and to exercise leadership in pursuing
        punitive measures against violators of the Convention, when
        warranted.
            (11) The United States should strongly encourage full
        implementation at the earliest possible date of the terms and
        conditions of the United States-Russia bilateral chemical weapons
        destruction agreement signed in 1990.
            (12) The START II Treaty negotiated and signed by President
        Bush would help reduce the danger of potential proliferators,
        including terrorists, acquiring nuclear warheads and materials, and
        would contribute to United States-Russian bilateral efforts to
        secure and dismantle nuclear warheads, if ratified and fully
        implemented as signed by both parties.
            (13) It is in the national security interest of the United
        States to take effective steps to make it more difficult for
        proliferators or would-be terrorists to obtain chemical or nuclear
        materials for use in weapons.
            (14) The President has urged prompt Senate action on, and
        advice and consent to ratification of, the START II Treaty and the
        Chemical Weapons Convention.
            (15) The Chairman of the Joint Chiefs of Staff has testified to
        Congress that ratification and full implementation of both treaties
        by all parties is in the United States national interest and has
        strongly urged prompt Senate advice and consent to their
        ratification.
        (b) Sense of Congress.--It is the sense of Congress that the United
    States, Russia, and all other parties to the START II Treaty and the
    Chemical Weapons Convention should promptly ratify and fully implement,
    as negotiated, both treaties.

    SEC. 1407. IMPLEMENTATION OF ARMS CONTROL AGREEMENTS.

        (a) Funding.--Of the amounts appropriated pursuant to
    authorizations in sections 102, 103, 104, 201, and 301, the Secretary
    of Defense may use an amount not to exceed $239,941,000 for
    implementing arms control agreements to which the United States is a
    party.
        (b) Limitation.--(1) Funds made available pursuant to subsection
    (a) for the costs of implementing an arms control agreement may not
    (except as provided in paragraph (2)) be used to reimburse expenses
    incurred by any other party to the agreement for which (without regard
    to any executive agreement or any policy not part of an arms control
    agreement)--
            (A) the other party is responsible under the terms of the arms
        control agreement; and
            (B) the United States has no responsibility under the
        agreement.
        (2) The limitation in paragraph (1) does not apply to a use of
    funds to carry out an arms control expenses reimbursement policy of the
    United States described in subsection (c).
        (c) Covered Arms Control Expenses Reimbursement Policies.--
    Subsection (b)(2) applies to a policy of the United States to reimburse
    expenses incurred by another party to an arms control agreement if--
            (1) the policy does not modify any obligation imposed by the
        arms control agreement;
            (2) the President--
                (A) issued or approved the policy before the date of the
            enactment of this Act; or
                (B) entered into an agreement on the policy with the
            government of another country or approved an agreement on the
            policy entered into by an official of the United States and the
            government of another country; and
            (3) the President has notified the designated congressional
        committees of the policy or the policy agreement (as the case may
        be), in writing, at least 30 days before the date on which the
        President issued or approved the policy or has entered into or
        approved the policy agreement.
        (d) Definitions.--For the purposes of this section:
            (1) The term ``arms control agreement'' means an arms control
        treaty or other form of international arms control agreement.
            (2) The term ``executive agreement'' means an international
        agreement entered into by the President that is not authorized by
        law or entered into as a Treaty to which the Senate has given its
        advice and consent to ratification.
            (3) The term ``designated congressional committees'' means the
        following:
                (A) The Committee on Foreign Relations, the Committee on
            Armed Services, and the Committee on Appropriations of the
            Senate.
                (B) The Committee on International Relations, the Committee
            on National Security, and the Committee on Appropriations of
            the House of Representatives.

    SEC. 1408. IRAN AND IRAQ ARMS NONPROLIFERATION.

        (a) Sanctions Against Transfers of Persons.--Section 1604(a) of the
    Iran-Iraq Arms Non-Proliferation Act of 1992 (title XVI of Public Law
    102-484; 50 U.S.C. 1701 note) is amended by inserting ``to acquire
    chemical, biological, or nuclear weapons or'' before ``to acquire''.
        (b) Sanctions Against Transfers of Foreign Countries.--Section
    1605(a) of such Act is amended by inserting ``to acquire chemical,
    biological, or nuclear weapons or'' before ``to acquire''.
        (c) Clarification of United States Assistance.--Subparagraph (A) of
    section 1608(7) of such Act is amended to read as follows:
                ``(A) any assistance under the Foreign Assistance Act of
            1961 (22 U.S.C. 2151 et seq.), other than urgent humanitarian
            assistance or medicine;''.
        (d) Notification of Certain Waivers Under MTCR Procedures.--Section
    73(e)(2) of the Arms Export Control Act (22 U.S.C. 2797b(e)(2)) is
    amended--
            (1) by striking out ``the Congress'' and inserting in lieu
        thereof ``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''; and
            (2) by striking out ``20 working days'' and inserting in lieu
        thereof ``45 working days''.

                  TITLE XV--TECHNICAL AND CLERICAL AMENDMENTS

    SEC. 1501. AMENDMENTS RELATED TO RESERVE OFFICER PERSONNEL MANAGEMENT
    ACT.
        (a) Public Law 103-337.--The Reserve Officer Personnel Management
    Act (title XVI of the National Defense Authorization Act for Fiscal
    Year 1995 (Public Law 103-337)) is amended as follows:
            (1) Section 1624 (108 Stat. 2961) is amended--
                (A) by striking out ``641'' and all that follows through
            ``(2)'' and inserting in lieu thereof ``620 is amended''; and
                (B) by redesignating as subsection (d) the subsection added
            by the amendment made by that section.
            (2) Section 1625 (108 Stat. 2962) is amended by striking out
        ``Section 689'' and inserting in lieu thereof ``Section 12320''.
            (3) Section 1626(1) (108 Stat. 2962) is amended by striking out
        ``(W-5)'' in the second quoted matter therein and inserting in lieu
        thereof ``, W-5,''.
            (4) Section 1627 (108 Stat. 2962) is amended by striking out
        ``Section 1005(b)'' and inserting in lieu thereof ``Section
        12645(b)''.
            (5) Section 1631 (108 Stat. 2964) is amended--
                (A) in subsection (a), by striking out ``Section 510'' and
            inserting in lieu thereof ``Section 12102''; and
                (B) in subsection (b), by striking out ``Section 591'' and
            inserting in lieu thereof ``Section 12201''.
            (6) Section 1632 (108 Stat. 2965) is amended by striking out
        ``Section 593(a)'' and inserting in lieu thereof ``Section
        12203(a)''.
            (7) Section 1635(a) (108 Stat. 2968) is amended by striking out
        ``section 1291'' and inserting in lieu thereof ``section 1691(b)''.
            (8) Section 1671 (108 Stat. 3013) is amended--
                (A) in subsection (b)(3), by striking out ``512, and 517''
            and inserting in lieu thereof ``and 512''; and
                (B) in subsection (c)(2), by striking out the comma after
            ``861'' in the first quoted matter therein.
            (9) Section 1684(b) (108 Stat. 3024) is amended by striking out
        ``section 14110(d)'' and inserting in lieu thereof ``section
        14111(c)''.
        (b) Subtitle E of Title 10.--Subtitle E of title 10, United States
    Code, is amended as follows:
            (1) The tables of chapters preceding part I and at the
        beginning of part IV are amended by striking out ``Repayments'' in
        the item relating to chapter 1609 and inserting in lieu thereof
        ``Repayment Programs''.
            (2)(A) The heading for section 10103 is amended to read as
        follows:

    ``Sec. 10103. Basic policy for order into Federal service''.

            (B) The item relating to section 10103 in the table of sections
        at the beginning of chapter 1003 is amended to read as follows:

    ``10103. Basic policy for order into Federal service.''.
            (3) The table of sections at the beginning of chapter 1005 is
        amended by striking out the third word in the item relating to
        section 10142.
            (4) The table of sections at the beginning of chapter 1007 is
        amended--
                (A) by striking out the third word in the item relating to
            section 10205; and
                (B) by capitalizing the initial letter of the sixth word in
            the item relating to section 10211.
            (5) The table of sections at the beginning of chapter 1011 is
        amended by inserting ``Sec.'' at the top of the column of section
        numbers.
            (6) Section 10507 is amended--
                (A) by striking out ``section 124402(b)'' and inserting in
            lieu thereof ``section 12402(b)''; and
                (B) by striking out ``Air Forces'' and inserting in lieu
            thereof ``Air Force''.
            (7)(A) Section 10508 is repealed.
            (B) The table of sections at the beginning of chapter 1011 is
        amended by striking out the item relating to section 10508.
            (8) Section 10542 is amended by striking out subsection (d).
            (9) Section 12004(a) is amended by striking out ``active-
        status'' and inserting in lieu thereof ``active status''.
            (10) Section 12012 is amended by inserting ``the'' in the
        section heading before the penultimate word.
            (11)(A) The heading for section 12201 is amended to read as
        follows:

    ``Sec. 12201. Reserve officers: qualifications for appointment''.

            (B) The item relating to that section in the table of sections
        at the beginning of chapter 1205 is amended to read as follows:
    ``12201. Reserve officers: qualifications for appointment.''.

            (12)(A) The heading for section 12209 is amended to read as
        follows:

    ``Sec. 12209. Officer candidates: enlisted Reserves''.

            (B) The heading for section 12210 is amended to read as
        follows:

    ``Sec. 12210. Attending Physician to the Congress: reserve grade while
                so serving''.

            (13)(A) The headings for sections 12211, 12212, 12213, and
        12214 are amended by inserting ``the'' after ``National Guard of''
            (B) The table of sections at the beginning of chapter 1205 is
        amended by inserting ``the'' in the items relating to sections
        12211, 12212, 12213, and 12214 after ``National Guard of''.
            (14) Section 12213(a) is amended by striking out ``section
        593'' and inserting in lieu thereof ``section 12203''.
            (15) The table of sections at the beginning of chapter 1207 is
        amended by striking out ``promotions'' in the item relating to
        section 12243 and inserting in lieu thereof ``promotion''.
            (16) The table of sections at the beginning of chapter 1209 is
        amended--
                (A) in the item relating to section 12304, by striking out
            the colon and inserting in lieu thereof a semicolon; and
                (B) in the item relating to section 12308, by striking out
            the second, third, and fourth words.
            (17) Section 12307 is amended by striking out ``Ready Reserve''
        in the second sentence and inserting in lieu thereof ``Retired
        Reserve''.
            (18)(A) The table of sections at the beginning of chapter 1211
        is amended by inserting ``the'' in the items relating to sections
        12401, 12402, 12403, and 12404 after ``Army and Air National Guard
        of''.
            (B) The headings for sections 12402, 12403, and 12404 are
        amended by inserting ``the'' after ``Army and Air National Guard
        of''
            (19) Section 12407(b) is amended--
                (A) by striking out ``of those jurisdictions'' and
            inserting in lieu thereof ``State''; and
                (B) by striking out ``jurisdictions'' and inserting in lieu
            thereof ``States''.
            (20) Section 12731(f) is amended by striking out ``the date of
        the enactment of this subsection'' and inserting in lieu thereof
        ``October 5, 1994,''.
            (21) Section 12731a(c)(3) is amended by inserting a comma after
        ``Defense Conversion''.
            (22) Section 14003 is amended by inserting ``lists'' in the
        section heading immediately before the colon.
            (23) The table of sections at the beginning of chapter 1403 is
        amended by striking out ``selection board'' in the item relating to
        section 14105 and inserting in lieu thereof ``promotion board''.
            (24) The table of sections at the beginning of chapter 1405 is
        amended--
                (A) in the item relating to section 14307, by striking out
            ``Numbers'' and inserting in lieu thereof ``Number'';
                (B) in the item relating to section 14309, by striking out
            the colon and inserting in lieu thereof a semicolon; and
                (C) in the item relating to section 14314, by capitalizing
            the initial letter of the antepenultimate word.
            (25) Section 14315(a) is amended by striking out ``a Reserve
        officer'' and inserting in lieu thereof ``a reserve officer''.
            (26) Section 14317(e) is amended--
                (A) by inserting ``Officers Ordered to Active Duty in Time
            of War or National Emergency.--'' after ``(e)''; and
                (B) by striking out ``section 10213 or 644'' and inserting
            in lieu thereof ``section 123 or 10213''.
            (27) The table of sections at the beginning of chapter 1407 is
        amended--
                (A) in the item relating to section 14506, by inserting
            ``reserve'' after ``Marine Corps and''; and
                (B) in the item relating to section 14507, by inserting
            ``reserve'' after ``Removal from the''; and
                (C) in the item relating to section 14509, by inserting
            ``in grades'' after ``reserve officers''.
            (28) Section 14501(a) is amended by inserting ``Officers Below
        the Grade of Colonel or Navy Captain.--'' after ``(a)''.
            (29) The heading for section 14506 is amended by inserting a
        comma after ``Air Force''.
            (30) Section 14508 is amended by striking out ``this'' after
        ``from an active status under'' in subsections (c) and (d).
            (31) Section 14515 is amended by striking out ``inactive
        status'' and inserting in lieu thereof ``inactive-status''.
            (32) Section 14903(b) is amended by striking out ``chapter''
        and inserting in lieu thereof ``title''.
            (33) The table of sections at the beginning of chapter 1606 is
        amended in the item relating to section 16133 by striking out
        ``limitations'' and inserting in lieu thereof ``limitation''.
            (34) Section 16132(c) is amended by striking out ``section''
        and inserting in lieu thereof ``sections''.
            (35) Section 16135(b)(1)(A) is amended by striking out
        ``section 2131(a)'' and inserting in lieu thereof ``section
        16131(a)''.
            (36) Section 18236(b)(1) is amended by striking out ``section
        2233(e)'' and inserting in lieu thereof ``section 18233(e)''.
            (37) Section 18237 is amended--
                (A) in subsection (a), by striking out ``section
            2233(a)(1)'' and inserting in lieu thereof ``section
            18233(a)(1)''; and
                (B) in subsection (b), by striking out ``section 2233(a)''
            and inserting in lieu thereof ``section 18233(a)''.
        (c) Other Provisions of Title 10.--Effective as of December 1, 1994
    (except as otherwise expressly provided), and as if included as
    amendments made by the Reserve Officer Personnel Management Act (title
    XVI of Public Law 103-360) as originally enacted, title 10, United
    States Code, is amended as follows:
            (1) Section 101(d)(6)(B)(i) is amended by striking out
        ``section 175'' and inserting in lieu thereof ``section 10301''.
            (2) Section 114(b) is amended by striking out ``chapter 133''
        and inserting in lieu thereof ``chapter 1803''.
            (3) Section 115(d) is amended--
                (A) in paragraph (1), by striking out ``section 673'' and
            inserting in lieu thereof ``section 12302'';
                (B) in paragraph (2), by striking out ``section 673b'' and
            inserting in lieu thereof ``section 12304''; and
                (C) in paragraph (3), by striking out ``section 3500 or
            8500'' and inserting in lieu thereof ``section 12406''.
            (4) Section 123(a) is amended--
                (A) by striking out ``281, 592, 1002, 1005, 1006, 1007,
            1374, 3217, 3218, 3219, 3220, 3352(a) (last sentence),'',
            ``5414, 5457, 5458, 5506,'', and ``8217, 8218, 8219,''; and
                (B) by striking out ``and 8855'' and inserting in lieu
            thereof ``8855, 10214, 12003, 12004, 12005, 12007, 12202,
            12213(a) (second sentence), 12642, 12645, 12646, 12647, 12771,
            12772, and 12773''.
            (5) Section 582(1) is amended by striking out ``section
        672(d)'' in subparagraph (B) and ``section 673b'' in subparagraph
        (D) and inserting in lieu thereof ``section 12301(d)'' and
        ``section 12304'', respectively.
            (6) Section 641(1)(B) is amended by striking out ``10501'' and
        inserting in lieu thereof ``10502, 10505, 10506(a), 10506(b),
        10507''.
            (7) The table of sections at the beginning of chapter 39 is
        amended by striking out the items relating to sections 687 and 690.
            (8) Sections 1053(a)(1) and 1064 are amended by striking out
        ``chapter 67'' and inserting in lieu thereof ``chapter 1223''.
            (9) Section 1063(a)(1) is amended by striking out ``section
        1332(a)(2)'' and inserting in lieu thereof ``section 12732(a)(2)''.
            (10) Section 1074b(b)(2) is amended by striking out ``section
        673c'' and inserting in lieu thereof ``section 12305''.
            (11) Section 1076(b)(2)(A) is amended by striking out ``before
        the effective date of the Reserve Officer Personnel Management
        Act'' and inserting in lieu thereof ``before December 1, 1994''.
            (12) Section 1176(b) is amended by striking out ``section
        1332'' in the matter preceding paragraph (1) and in paragraphs (1)
        and (2) and inserting in lieu thereof ``section 12732''.
            (13) Section 1208(b) is amended by striking out ``section
        1333'' and inserting in lieu thereof ``section 12733''.
            (14) Section 1209 is amended by striking out ``section 1332'',
        ``section 1335'', and ``chapter 71'' and inserting in lieu thereof
        ``section 12732'', ``section 12735'', and ``section 12739'',
        respectively.
            (15) Section 1407 is amended--
                (A) in subsection (c)(1) and (d)(1), by striking out
            ``section 1331'' and inserting in lieu thereof ``section
            12731''; and
                (B) in the heading for paragraph (1) of subsection (d), by
            striking out ``chapter 67'' and inserting in lieu thereof
            ``chapter 1223''.
            (16) Section 1408(a)(5) is amended by striking out ``section
        1331'' and inserting in lieu thereof ``section 12731''.
            (17) Section 1431(a)(1) is amended by striking out ``section
        1376(a)'' and inserting in lieu thereof ``section 12774(a)''.
            (18) Section 1463(a)(2) is amended by striking out ``chapter
        67'' and inserting in lieu thereof ``chapter 1223''.
            (19) Section 1482(f)(2) is amended by inserting ``section''
        before ``12731 of this title''.
            (20) The table of sections at the beginning of chapter 533 is
        amended by striking out the item relating to section 5454.
            (21) Section 2006(b)(1) is amended by striking out ``chapter
        106 of this title'' and inserting in lieu thereof ``chapter 1606 of
        this title''.
            (22) Section 2121(c) is amended by striking out ``section 3353,
        5600, or 8353'' and inserting in lieu thereof ``section 12207'',
        effective on the effective date specified in section 1691(b)(1) of
        Public Law 103-337.
            (23) Section 2130a(b)(3) is amended by striking out ``section
        591'' and inserting in lieu thereof ``section 12201''.
            (24) The table of sections at the beginning of chapter 337 is
        amended by striking out the items relating to section 3351 and
        3352.
            (25) Sections 3850, 6389(c), 6391(c), and 8850 are amended by
        striking out ``section 1332'' and inserting in lieu thereof
        ``section 12732''.
            (26) Section 5600 is repealed, effective on the effective date
        specified in section 1691(b)(1) of Public Law 103-337.
            (27) Section 5892 is amended by striking out ``section 5457 or
        section 5458'' and inserting in lieu thereof ``section 12004 or
        section 12005''.
            (28) Section 6410(a) is amended by striking out ``section
        1005'' and inserting in lieu thereof ``section 12645''.
            (29) The table of sections at the beginning of chapter 837 is
        amended by striking out the items relating to section 8351 and
        8352.
            (30) Section 8360(b) is amended by striking out ``section
        1002'' and inserting in lieu thereof ``section 12642''.
            (31) Section 8380 is amended by striking out ``section 524'' in
        subsections (a) and (b) and inserting in lieu thereof ``section
        12011''.
            (32) Sections 8819(a), 8846(a), and 8846(b) are amended by
        striking out ``sections 1005 and 1006'' and inserting in lieu
        thereof ``sections 12645 and 12646''.
            (33) Section 8819 is amended by striking out ``section 1005''
        and ``section 1006'' and inserting in lieu thereof ``section
        12645'' and ``section 12646'', respectively.
        (d) Cross References in Other Defense Laws.--
            (1) Section 337(b) of the National Defense Authorization Act
        for Fiscal Year 1995 (Public Law 103-337; 108 Stat. 2717) is
        amended by inserting before the period at the end the following:
        ``or who after November 30, 1994, transferred to the Retired
        Reserve under section 10154(2) of title 10, United States Code,
        without having completed the years of service required under
        section 12731(a)(2) of such title for eligibility for retired pay
        under chapter 1223 of such title''.
            (2) Section 525 of the National Defense Authorization Act for
        Fiscal Years 1992 and 1993 (Public Law 102-190, 105 Stat. 1363) is
        amended by striking out ``section 690'' and inserting in lieu
        thereof ``section 12321''.
            (3) Subtitle B of title XLIV of the National Defense
        Authorization Act for Fiscal Year 1993 (Public Law 102-484; 10
        U.S.C. 12681 note) is amended--
                (A) in section 4415, by striking out ``section 1331a'' and
            inserting in lieu thereof ``section 12731a'';
                (B) in subsection 4416--
                    (i) in subsection (a), by striking out ``section 1331''
                and inserting in lieu thereof ``section 12731'';
                    (ii) in subsection (b)--

                        (I) by inserting ``or section 12732'' in paragraph
                    (1) after ``under that section''; and
                        (II) by inserting ``or 12731(a)'' in paragraph (2)
                    after ``section 1331(a)'';

                    (iii) in subsection (e)(2), by striking out ``section
                1332'' and inserting in lieu thereof ``section 12732''; and
                    (iv) in subsection (g), by striking out ``section
                1331a'' and inserting in lieu thereof ``section 12731a'';
                and
                (C) in section 4418--
                    (i) in subsection (a), by striking out ``section 1332''
                and inserting in lieu thereof ``section 12732''; and
                    (ii) in subsection (b)(1)(A), by striking out ``section
                1333'' and inserting in lieu thereof ``section 12733''.
            (4) Title 37, United States Code, is amended--
                (A) in section 302f(b), by striking out ``section 673c of
            title 10'' in paragraphs (2) and (3)(A) and inserting in lieu
            thereof ``section 12305 of title 10''; and
                (B) in section 433(a), by striking out ``section 687 of
            title 10'' and inserting in lieu thereof ``section 12319 of
            title 10''.
        (e) Cross References in Other Laws.--
            (1) Title 14, United States Code, is amended--
                (A) in section 705(f), by striking out ``600 of title 10''
            and inserting in lieu thereof ``12209 of title 10''; and
                (B) in section 741(c), by striking out ``section 1006 of
            title 10'' and inserting in lieu thereof ``section 12646 of
            title 10''.
            (2) Title 38, United States Code, is amended--
                (A) in section 3011(d)(3), by striking out ``section 672,
            673, 673b, 674, or 675 of title 10'' and inserting in lieu
            thereof ``section 12301, 12302, 12304, 12306, or 12307 of title
            10'';
                (B) in sections 3012(b)(1)(B)(iii) and 3701(b)(5)(B), by
            striking out ``section 268(b) of title 10'' and inserting in
            lieu thereof ``section 10143(a) of title 10'';
                (C) in section 3501(a)(3)(C), by striking out ``section
            511(d) of title 10'' and inserting in lieu thereof ``section
            12103(d) of title 10''; and
                (D) in section 4211(4)(C), by striking out ``section
            672(a), (d), or (g), 673, or 673b of title 10'' and inserting
            in lieu thereof ``section 12301(a), (d), or (g), 12302, or
            12304 of title 10''.
            (3) Section 702(a)(1) of the Soldiers' and Sailors' Civil
        Relief Act of 1940 (50 U.S.C. App. 592(a)(1)) is amended--
                (A) by striking out ``section 672 (a) or (g), 673, 673b,
            674, 675, or 688 of title 10'' and inserting in lieu thereof
            ``section 688, 12301(a), 12301(g), 12302, 12304, 12306, or
            12307 of title 10''; and
                (B) by striking out ``section 672(d) of such title'' and
            inserting in lieu thereof ``section 12301(d) of such title''.
            (4) Section 463A of the Higher Education Act of 1965 (20 U.S.C.
        1087cc-1) is amended in subsection (a)(10) by striking out ``(10
        U.S.C. 2172)'' and inserting in lieu thereof ``(10 U.S.C. 16302)''.
            (5) Section 179 of the National and Community Service Act of
        1990 (42 U.S.C. 12639) is amended in subsection (a)(2)(C) by
        striking out ``section 216(a) of title 5'' and inserting in lieu
        thereof ``section 10101 of title 10''.
        (f) Effective Dates.--
            (1) Section 1636 of the Reserve Officer Personnel Management
        Act shall take effect on the date of the enactment of this Act.
            (2) The amendments made by sections 1672(a), 1673(a) (with
        respect to chapters 541 and 549), 1673(b)(2), 1673(b)(4), 1674(a),
        and 1674(b)(7) shall take effect on the effective date specified in
        section 1691(b)(1) of the Reserve Officer Personnel Management Act
        (notwithstanding section 1691(a) of such Act).
            (3) The amendments made by this section shall take effect as if
        included in the Reserve Officer Personnel Management Act as enacted
        on October 5, 1994.
    SEC. 1502. AMENDMENTS TO REFLECT NAME CHANGE OF COMMITTEE ON ARMED
    SERVICES OF THE HOUSE OF REPRESENTATIVES.
        (a) Title 10, United States Code.--Title 10, United States Code, is
    amended as follows:
            (1) Sections 503(b)(5), 520a(d), 526(d)(1), 619a(h)(2),
        806a(b), 838(b)(7), 946(c)(1)(A), 1098(b)(2), 2313(b)(4),
        2361(c)(1), 2371(h), 2391(c), 2430(b), 2432(b)(3)(B), 2432(c)(2),
        2432(h)(1), 2667(d)(3),2672a(b), 2687(b)(1), 4342(g),
    7307(b)(1)(A), and 9342(g) are amended by striking out ``Committees on
    Armed Services of the Senate and House of Representatives'' and
    inserting in lieu thereof ``Committee on Armed Services of the Senate
    and the Committee on National Security of the House of
    Representatives''.
            (2) Sections 178(c)(1)(A), 942(e)(5), 2350f(c), 7426(e),
        7431(a), 7431(b)(1), 7431(c), 7438(b), 12302(b), 18235(a), and
        18236(a) are amended by striking out ``Committees on Armed Services
        of the Senate and the House of Representatives'' and inserting in
        lieu thereof ``Committee on Armed Services of the Senate and the
        Committee on National Security of the House of Representatives''.
            (3) Section 113(j)(1) is amended by striking out ``Committees
        on Armed Services and Committees on Appropriations of the Senate
        and'' and inserting in lieu thereof ``Committee on Armed Services
        and the Committee on Appropriations of the Senate and the Committee
        on National Security and the Committee on Appropriations of the''.
            (4) Section 119(g) is amended by striking out paragraphs (1)
        and (2) and inserting in lieu thereof the following:
            ``(1) the Committee on Armed Services and the Committee on
        Appropriations, and the Defense Subcommittee of the Committee on
        Appropriations, of the Senate; and
            ``(2) the Committee on National Security and the Committee on
        Appropriations, and the National Security Subcommittee of the
        Committee on Appropriations, of the House of Representatives.''.
            (5) Section 127(c) is amended by striking out ``Committees on
        Armed Services and Appropriations of the Senate and'' and inserting
        in lieu thereof ``Committee on Armed Services and the Committee on
        Appropriations of the Senate and the Committee on National Security
        and the Committee on Appropriations of''.
            (6) Section 135(e) is amended--
                (A) by inserting ``(1)'' after ``(e)'';
                (B) by striking out ``the Committees on Armed Services and
            the Committees on Appropriations of the Senate and House of
            Representatives are each'' and inserting in lieu thereof ``each
            congressional committee specified in paragraph (2) is''; and
                (C) by adding at the end the following:
        ``(2) The committees referred to in paragraph (1) are--
            ``(A) the Committee on Armed Services and the Committee on
        Appropriations of the Senate; and
            ``(B) the Committee on National Security and the Committee on
        Appropriations of the House of Representatives.''.
            (7) Section 179(e) is amended by striking out ``to the
        Committees on Armed Services and Appropriations of the Senate and''
        and inserting in lieu thereof ``to the Committee on Armed Services
        and the Committee on Appropriations of the Senate and the Committee
        on National Security and the Committee on Appropriations of the''.
            (8) Sections 401(d) and 402(d) are amended by striking out
        ``submit to the'' and all that follows through ``Foreign Affairs''
        and inserting in lieu thereof ``submit 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''.
            (9) Section 2367(d)(2) is amended by striking out ``the
        Committees on Armed Services and the Committees on Appropriations
        of the Senate and'' and inserting in lieu thereof ``the Committee
        on Armed Services and the Committee on Appropriations of the Senate
        and the Committee on National Security and the Committee on
        Appropriations of the''.
            (10) Sections 2306b(g), 2801(c)(4), and 18233a(a)(1) are
        amended by striking out ``the Committees on Armed Services and on
        Appropriations of the Senate and'' and inserting in lieu thereof
        ``the Committee on Armed Services and the Committee on
        Appropriations of the Senate and the Committee on National Security
        and the Committee on Appropriations of the''.
            (11) Section 1599(e)(2) is amended--
                (A) in subparagraph (A), by striking out ``The Committees
            on Armed Services and Appropriations'' and inserting in lieu
            thereof ``The Committee on National Security, the Committee on
            Appropriations,''; and
                (B) in subparagraph (B), by striking out ``The Committees
            on Armed Services and Appropriations'' and inserting in lieu
            thereof ``The Committee on Armed Services, the Committee on
            Appropriations,''.
            (12) Sections 4355(a)(3), 6968(a)(3), and 9355(a)(3) are
        amended by striking out ``Armed Services'' and inserting in lieu
        thereof ``National Security''.
            (13) Section 1060(d) is amended by striking out ``Committee on
        Armed Services and the Committee on Foreign Affairs'' and inserting
        in lieu thereof ``Committee on National Security and the Committee
        on International Relations''.
            (14) Section 2215 is amended--
                (A) by inserting ``(a) Certification Required.--'' at the
            beginning of the text of the section;
                (B) by striking out ``to the Committees'' and all that
            follows through ``House of Representatives'' and inserting in
            lieu thereof ``to the congressional committees specified in
            subsection (b)''; and
                (C) by adding at the end the following:
        ``(b) Congressional Committees.--The committees referred to in
    subsection (a) are--
            ``(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.''.
            (15) Section 2218 is amended--
                (A) in subsection (j), by striking out ``the Committees on
            Armed Services and on Appropriations of the Senate and the
            House of Representatives'' and inserting in lieu thereof ``the
            congressional defense committees''; and
                (B) by adding at the end of subsection (k) the following
            new paragraph:
            ``(4) The term `congressional defense committees' means--
                ``(A) the Committee on Armed Services and the Committee on
            Appropriations of the Senate; and
                ``(B) the Committee on National Security and the Committee
            on Appropriations of the House of Representatives.''.
            (16) Section 2342(b) is amended--
                (A) in the matter preceding paragraph (1), by striking out
            ``section--'' and inserting in lieu thereof ``section unless--
            '';
                (B) in paragraph (1), by striking out ``unless''; and
                (C) in paragraph (2), by striking out ``notifies the'' and
            all that follows through ``House of Representatives'' and
            inserting in lieu thereof ``the Secretary submits 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 notice of the intended designation''.
            (17) Section 2350a(f)(2) is amended by striking out ``submit to
        the Committees'' and all that follows through ``House of
        Representatives'' and inserting in lieu thereof ``submit 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''.
            (18) Section 2366 is amended--
                (A) in subsection (d), by striking out ``the Committees on
            Armed Services and on Appropriations of the Senate and House of
            Representatives'' and inserting in lieu thereof ``the
            congressional defense committees''; and
                (B) by adding at the end of subsection (e) the following
            new paragraph:
            ``(7) The term `congressional defense committees' means--
                ``(A) the Committee on Armed Services and the Committee on
            Appropriations of the Senate; and
                ``(B) the Committee on National Security and the Committee
            on Appropriations of the House of Representatives.''.
            (19) Section 2399(h)(2) is amended by striking out ``means''
        and all the follows and inserting in lieu thereof the following:
        ``means--
                ``(A) the Committee on Armed Services and the Committee on
            Appropriations of the Senate; and
                ``(B) the Committee on National Security and the Committee
            on Appropriations of the House of Representatives.''.
            (20) Section 2401(b)(1) is amended--
                (A) in subparagraph (B), by striking out ``the Committees
            on Armed Services and on Appropriations of the Senate and'' and
            inserting in lieu thereof ``the Committee on Armed Services and
            the Committee on Appropriations of the Senate and the Committee
            on National Security and the Committees on Appropriations of
            the''; and
                (B) in subparagraph (C), by striking out ``the Committees
            on Armed Services and on Appropriations of the Senate and House
            of Representatives'' and inserting in lieu thereof ``those
            committees''.
            (21) Section 2403(e) is amended--
                (A) by inserting ``(1)'' before ``Before making'';
                (B) by striking out ``shall notify the Committees on Armed
            Services and on Appropriations of the Senate and House of
            Representatives'' and inserting in lieu thereof ``shall submit
            to the congressional committees specified in paragraph (2)
            notice''; and
                (C) by adding at the end the following new paragraph:
        ``(2) The committees referred to in paragraph (1) are--
            ``(A) the Committee on Armed Services and the Committee on
        Appropriations of the Senate; and
            ``(B) the Committee on National Security and the Committee on
        Appropriations of the House of Representatives.''.
            (22) Section 2515(d) is amended--
                (A) by striking out ``Reporting'' and all that follows
            through ``same time'' and inserting in lieu thereof ``Annual
            Report.--(1) The Secretary of Defense shall submit to the
            congressional committees specified in paragraph (2) an annual
            report on the activities of the Office. The report shall be
            submitted each year at the same time''; and
                (B) by adding at the end the following new paragraph:
        ``(2) The committees referred to in paragraph (1) are--
            ``(A) the Committee on Armed Services and the Committee on
        Appropriations of the Senate; and
            ``(B) the Committee on National Security and the Committee on
        Appropriations of the House of Representatives.''.
            (23) Section 2662 is amended--
                (A) in subsection (a)--
                    (i) in the matter preceding paragraph (1), by striking
                out ``the Committees on Armed Services of the Senate and
                House of Representatives'' and inserting in lieu thereof
                ``the Committee on Armed Services of the Senate and the
                Committee on National Security of the House of
                Representatives''; and
                    (ii) in the matter following paragraph (6), by striking
                out ``to be submitted to the Committees on Armed Services
                of the Senate and House of Representatives'';
                (B) in subsection (b), by striking out ``shall report
            annually to the Committees on Armed Services of the Senate and
            the House of Representatives'' and inserting in lieu thereof
            ``shall submit annually to the congressional committees named
            in subsection (a) a report'';
                (C) in subsection (e), by striking out ``the Committees on
            Armed Services of the Senate and the House of Representatives''
            and inserting in lieu thereof ``the congressional committees
            named in subsection (a)''; and
                (D) in subsection (f), by striking out ``the Committees on
            Armed Services of the Senate and the House of Representatives
            shall'' and inserting in lieu thereof ``the congressional
            committees named in subsection (a) shall''.
            (24) Section 2674(a) is amended--
                (A) in paragraph (2), by striking out ``Committees on Armed
            Services of the Senate and the House of Representatives, the
            Committee on Environment and Public Works of the Senate, and
            the Committee on Public Works and Transportation of the House
            of Representatives'' and inserting in lieu thereof
            ``congressional committees specified in paragraph (3)''; and
                (B) by adding at the end the following new paragraph:
        ``(3) The committees referred to in paragraph (2) are--
            ``(A) the Committee on Armed Services and the Committee on
        Environment and Public Works of the Senate; and
            ``(B) the Committee on National Security and the Committee on
        Transportation and Infrastructure of the House of
        Representatives.''.
            (25) Section 2813(c) is amended by striking out ``Committees on
        Armed Services and the Committees on Appropriations of the Senate
        and House of Representatives'' and inserting in lieu thereof
        ``appropriate committees of Congress''.
            (26) Sections 2825(b)(1) and 2832(b)(2) are amended by striking
        out ``Committees on Armed Services and the Committees on
        Appropriations of the Senate and of the House of Representatives''
        and inserting in lieu thereof ``appropriate committees of
        Congress''.
            (27) Section 2865(e)(2) and 2866(c)(2) are amended by striking
        out ``Committees on Armed Services and Appropriations of the Senate
        and House of Representatives'' and inserting in lieu thereof
        ``appropriate committees of Congress''.
            (28)(A) Section 7434 of such title is amended to read as
        follows:

    ``Sec. 7434. Annual report to congressional committees

        ``Not later than October 31 of each year, 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
    on the production from the naval petroleum reserves during the
    preceding calendar year.''.
            (B) The item relating to such section in the table of contents
        at the beginning of chapter 641 is amended to read as follows:
    ``7434. Annual report to congressional committees.''.

        (b) Title 37, United States Code.--Sections 301b(i)(2) and 406(i)
    of title 37, United States Code, are amended by striking out
    ``Committees on Armed Services of the Senate and House of
    Representatives'' and inserting in lieu thereof ``Committee on Armed
    Services of the Senate and the Committee on National Security of the
    House of Representatives''.
        (c) Annual Defense Authorization Acts.--
            (1) The National Defense Authorization Act for Fiscal Year 1994
        (Public Law 103-160) is amended in sections 2922(b) and 2925(b) (10
        U.S.C. 2687 note) by striking out ``Committees on Armed Services of
        the Senate and House of Representatives'' and inserting in lieu
        thereof ``Committee on Armed Services of the Senate and the
        Committee on National Security of the House of Representatives''.
            (2) The National Defense Authorization Act for Fiscal Year 1993
        (Public Law 102-484) is amended--
                (A) in section 326(a)(5) (10 U.S.C. 2301 note) and section
            1304(a) (10 U.S.C. 113 note), by striking out ``Com- mittees on
            Armed Services of the Senate and House of Representatives'' and
            inserting in lieu thereof ``Committee on Armed Services of the
            Senate and the Committee on National Security of the House of
            Representatives''; and
                (B) in section 1505(e)(2)(B) (22 U.S.C. 5859a), by striking
            out ``the Committee on Armed Services, the Committee on
            Appropriations, the Committee on Foreign Affairs, and the
            Committee on Energy and Commerce'' and inserting in lieu
            thereof ``the Committee on National Security, the Committee on
            Appropriations, the Committee on International Relations, and
            the Committee on Commerce''.
            (3) Section 1097(a)(1) of the National Defense Authorization
        Act for Fiscal Years 1992 and 1993 (Public Law 102-190; 22 U.S.C.
        2751 note) is amended by striking out ``the Committees on Armed
        Services and Foreign Affairs'' and inserting in lieu thereof ``the
        Committee on National Security and the Committee on International
        Relations''.
            (4) The National Defense Authorization Act for Fiscal Year 1991
        (Public Law 101-510) is amended as follows:
                (A) Section 402(a) and section 1208(b)(3) (10 U.S.C. 1701
            note) are amended by striking out ``Committees on Armed
            Services of the Senate and the House of Representatives'' and
            inserting in lieu thereof ``Committee on Armed Services of the
            Senate and the Committee on National Security of the House of
            Representatives''.
                (B) Section 1403 (50 U.S.C. 404b) is amended--
                    (i) in subsection (a), by striking out ``the Committees
                on'' and all that follows through ``each year'' and
                inserting in lieu thereof ``the congressional committees
                specified in subsection (d) each year''; and
                    (ii) by adding at the end the following new subsection:
        ``(d) Specified Congressional Committees.--The congressional
    committees referred to in subsection (a) are the following:
            ``(1) The Committee on Armed Services, the Committee on
        Appropriations, and the Select Committee on Intelligence of the
        Senate.
            ``(2) The Committee on National Security, the Committee on
        Appropriations, and the Permanent Select Committee on Intelligence
        of the House of Representatives.''.
                (C) Section 1457 (50 U.S.C. 404c) is amended--
                    (i) in subsection (a), by striking out ``shall submit
                to the'' and all that follows through ``each year'' and
                inserting in lieu thereof ``shall submit to the
                congressional committees specified in subsection (d) each
                year'';
                    (ii) in subsection (c)--

                        (I) by striking out ``(1) Except as provided in
                    paragraph (2), the President'' and inserting in lieu
                    thereof ``The President''; and
                        (II) by striking out paragraph (2); and

                    (iii) by adding at the end the following new
                subsection:
        ``(d) Specified Congressional Committees.--The congressional
    committees referred to in subsection (a) are the following:
            ``(1) The Committee on Armed Services and the Committee on
        Foreign Relations of the Senate.
            ``(2) The Committee on National Security and the Committee on
        International Relations of the House of Representatives.''.
                (D) Section 2921 (10 U.S.C. 2687 note) is amended--
                    (i) in subsection (e)(3)(A), by striking out ``the
                Committee on Armed Services, the Committee on
                Appropriations, and the Defense Subcommittees'' and
                inserting in lieu thereof ``the Committee on National
                Security, the Committee on Appropriations, and the National
                Security Subcommittee''; and
                    (ii) in subsection (g)(2), by striking out ``the
                Committee on Armed Services of the Senate and House of
                Representatives'' and inserting in lieu thereof ``the
                Committee on Armed Services of the Senate and the Committee
                on National Security of the House of Representatives''.
            (5) Section 613(h)(1) of the National Defense Authorization
        Act, Fiscal Year 1989 (Public Law 100-456; 37 U.S.C. 302 note), is
        amended by striking out ``the Committees on Armed Services of the
        Senate and the House of Representatives'' and inserting in lieu
        thereof ``the Committee on Armed Services of the Senate and the
        Committee on National Security of the House of Representatives''.
            (6) Section 1412 of the Department of Defense Authorization
        Act, 1986 (Public Law 99-145; 50 U.S.C. 1521), is amended in
        subsections (b)(4) and (k)(2), by striking out ``Committees on
        Armed Services of the Senate and House of Representatives'' and
        inserting in lieu thereof ``Committee on Armed Services of the
        Senate and the Committee on National Security of the House of
        Representatives''.
            (7) Section 1002(d) of the Department of Defense Authorization
        Act, 1985 (Public Law 98-525; 22 U.S.C. 1928 note), is amended by
        striking out ``the Committees on Armed Services of the Senate and
        the House of Representatives'' and inserting in lieu thereof ``the
        Committee on Armed Services of the Senate, the Committee on
        National Security of the House of Representatives''.
            (8) Section 1252 of the Department of Defense Authorization
        Act, 1984 (42 U.S.C. 248d), is amended--
                (A) in subsection (d), by striking out ``Committees on
            Appropriations and on Armed Services of the Senate and the
            House of Representatives'' and inserting in lieu thereof
            ``Committee on Appropriations and the Committee on Armed
            Services of the Senate and the Committee on Appropriations and
            the Committee on National Security of the House of
            Representatives''; and
                (B) in subsection (e), by striking out ``Committees on
            Appropriations and on Armed Services of the Senate and the
            House of Representatives'' and inserting in lieu thereof
            ``congressional committees specified in subsection (d)''.
        (d) Base Closure Law.--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 as follows:
            (1) Sections 2902(e)(2)(B)(ii) and 2908(b) are amended by
        striking out ``Armed Services'' the first place it appears and
        inserting in lieu thereof ``National Security''.
            (2) Section 2910(2) is amended by striking out ``the Committees
        on Armed Services and the Committees on Appropriations of the
        Senate and of the House of Representatives'' and inserting in lieu
        thereof ``the Committee on Armed Services and the Committee on
        Appropriations of the Senate and the Committee on National Security
        and the Committee on Appropriations of the House of
        Representatives''.
        (e) National Defense Stockpile.--The Strategic and Critical
    Materials Stock Piling Act is amended--
            (1) in section 6(d) (50 U.S.C. 98e(d))--
                (A) in paragraph (1), by striking out ``Committees on Armed
            Services of the Senate and House of Representatives'' and
            inserting in lieu thereof ``Committee on Armed Services of the
            Senate and the Committee on National Security of the House of
            Representatives''; and
                (B) in paragraph (2), by striking out ``the Committees on
            Armed Services of the Senate and House of Representatives'' and
            inserting in lieu thereof ``such congressional committees'';
            and
            (2) in section 7(b) (50 U.S.C. 98f(b)), by striking out
        ``Committees on Armed Services of the Senate and House of
        Representatives'' and inserting in lieu thereof ``Committee on
        Armed Services of the Senate and the Committee on National Security
        of the House of Representatives''.
        (f) Other Defense-Related Provisions.--
            (1) Section 8125(g)(2) of the Department of Defense
        Appropriations Act, 1989 (Public Law 100-463; 10 U.S.C. 113 note),
        is amended by striking out ``Committees on Appropriations and Armed
        Services of the Senate and House of Representatives'' and inserting
        in lieu thereof ``Committee on Appropriations and the Committee on
        Armed Services of the Senate and the Committee on Appropriations
        and the Committee on National Security of the House of
        Representatives''.
            (2) Section 9047A of the Department of Defense Appropriations
        Act, 1993 (Public Law 102-396; 10 U.S.C. 2687 note), is amended by
        striking out ``the Committees on Appropriations and Armed Services
        of the House of Representatives and the Senate'' and inserting in
        lieu thereof ``the Committee on Appropriations and the Committee on
        Armed Services of the Senate and the Committee on Appropriations
        and the Committee on National Security of the House of
        Representatives''.
            (3) Section 3059(c)(1) of the Defense Drug Interdiction
        Assistance Act (subtitle A of title III of Public Law 99-570; 10
        U.S.C. 9441 note) is amended by striking out ``Committees on
        Appropriations and on Armed Services of the Senate and the House of
        Representatives'' and inserting in lieu thereof ``Committee on
        Armed Services and the Committee on Appropriations of the Senate
        and the Committee on National Security and the Committee on
        Appropriations of the House of Representatives''.
            (4) Section 7606(b) of the Anti-Drug Abuse Act of 1988 (Public
        Law 100-690; 10 U.S.C. 9441 note) is amended by striking out
        ``Committees on Appropriations and the Committee on Armed Services
        of the Senate and the House of Representatives'' and inserting in
        lieu thereof ``Committee on Armed Services and the Committee on
        Appropriations of the Senate and the Committee on National Security
        and the Committee on Appropriations of the House of
        Representatives''.
            (5) Section 104(d)(5) of the National Security Act of 1947 (50
        U.S.C. 403-4(d)(5)) is amended by striking out ``Committees on
        Armed Services of the Senate and House of Representatives'' and
        inserting in lieu thereof ``Committee on Armed Services of the
        Senate and the Committee on National Security of the House of
        Representatives''.
            (6) Section 8 of the Inspector General Act of 1978 (5 U.S.C.
        App.) is amended--
                (A) in subsection (b)(3), by striking out ``Committees on
            Armed Services and Government Operations'' and inserting in
            lieu thereof ``Committee on National Security and the Committee
            on Government Reform and Oversight'';
                (B) in subsection (b)(4), by striking out ``Committees on
            Armed Services and Governmental Affairs of the Senate and the
            Committees on Armed Services and Government Operations of the
            House of Representatives'' and inserting in lieu thereof
            ``congressional committees specified in paragraph (3)'';
                (C) in subsection (f)(1), by striking out ``Committees on
            Armed Services and Government Operations'' and inserting in
            lieu thereof ``Committee on National Security and the Committee
            on Government Reform and Oversight''; and
                (D) in subsection (f)(2), by striking out ``Committees on
            Armed Services and Governmental Affairs of the Senate and the
            Committees on Armed Services and Government Operations of the
            House of Representatives'' and inserting in lieu thereof
            ``congressional committees specified in paragraph (1)''.
            (7) Section 204(h)(3) of the Federal Property and
        Administrative Services Act of 1949 (40 U.S.C. 485(h)(3)) is
        amended by striking out ``Committees on Armed Services of the
        Senate and of the House of Representatives'' and inserting in lieu
        thereof ``Committee on Armed Services of the Senate and the
        Committee on National Security of the House of Representatives''.
    SEC. 1503. MISCELLANEOUS AMENDMENTS TO TITLE 10, UNITED STATES CODE.
        (a) Subtitle A.--Subtitle A of title 10, United States Code, is
    amended as follows:
            (1) Section 113(i)(2)(B) is amended by striking out ``the five
        years covered'' and all that follows through ``section 114(g)'' and
        inserting in lieu thereof ``the period covered by the future-years
        defense program submitted to Congress during that year pursuant to
        section 221''.
            (2) Section 136(c) is amended by striking out ``Comptroller''
        and inserting in lieu thereof ``Under Secretary of Defense
        (Comptroller)''.
            (3) Section 526 is amended--
                (A) in subsection (a), by striking out paragraphs (1), (2),
            and (3) and inserting in lieu thereof the following:
            ``(1) For the Army, 302.
            ``(2) For the Navy, 216.
            ``(3) For the Air Force, 279.'';
                (B) by striking out subsection (b);
                (C) by redesignating subsections (c), (d), and (e) as
            subsections (b), (c), and (d);
                (D) in subsection (b), as so redesignated, by striking out
            ``that are applicable on and after October 1, 1995''; and
                (E) in paragraph (2)(B) of subsection (c), as redesignated
            by subparagraph (C), is amended--
                    (i) by striking out ``the'' after ``in the'';
                    (ii) by inserting ``to'' after ``reserve component,
                or''; and
                    (iii) by inserting ``than'' after ``in a grade other''.
            (4) Section 528(a) is amended by striking out ``after September
        30, 1995,''.
            (5) Section 573(a)(2) is amended by striking out ``active duty
        list'' and inserting in lieu thereof ``active-duty list''.
            (6) Section 661(d)(2) is amended--
                (A) in subparagraph (B), by striking out ``Until January 1,
            1994'' and all that follows through ``each position so
            designated'' and inserting in lieu thereof ``Each position
            designated by the Secretary under subparagraph (A)'';
                (B) in subparagraph (C), by striking out ``the second
            sentence of''; and
                (C) by striking out subparagraph (D).
            (7) Section 706(c)(1) is amended by striking out ``section 4301
        of title 38'' and inserting in lieu thereof ``chapter 43 of title
        38''.
            (8) Section 1059 is amended by striking out ``subsection (j)''
        in subsections (c)(2) and (g)(3) and inserting in lieu thereof
        ``subsection (k)''.
            (9) Section 1060a(f)(2)(B) is amended by striking out ``(as
        defined in section 101(a)(22) of the Immigration and Nationality
        Act (8 U.S.C. 1101(a)(22)))'' and inserting inlieu thereof ``, as
    determined in accordance with the Immigration and Nationality Act (8
    U.S.C. 1101 et seq.)''.
            (10) Section 1151 is amended--
                (A) in subsection (b), by striking out ``(20 U.S.C. 2701 et
            seq.)'' in paragraphs (2)(A) and (3)(A) and inserting in lieu
            thereof ``(20 U.S.C. 6301 et seq.)''; and
                (B) in subsection (e)(1)(B), by striking out ``not later
            than one year after the date of the enactment of the National
            Defense Authorization Act for Fiscal Year 1995'' and inserting
            in lieu thereof ``not later than October 5, 1995''.
            (11) Section 1152(g)(2) is amended by striking out ``not later
        than 180 days after the date of the enactment of the National
        Defense Authorization Act for Fiscal Year 1995'' and inserting in
        lieu thereof ``not later than April 3, 1994,''.
            (12) Section 1177(b)(2) is amended by striking out ``provison
        of law'' and inserting in lieu thereof ``provision of law''.
            (13) The heading for chapter 67 is amended by striking out
        ``NONREGULAR'' and inserting in lieu thereof ``NON-REGULAR''.
            (14) Section 1598(a)(2)(A) is amended by striking out ``2701''
        and inserting in lieu thereof ``6301''.
            (15) Section 1745(a) is amended by striking out ``section
        4107(d)'' both places it appears and inserting in lieu thereof
        ``section 4107(b)''.
            (16) Section 1746(a) is amended--
                (A) by striking out ``(1)'' before ``The Secretary of
            Defense''; and
                (B) by redesignating subparagraphs (A) and (B) as
            paragraphs (1) and (2), respectively.
            (17) Section 2006(b)(2)(B)(ii) is amended by striking out
        ``section 1412 of such title'' and inserting in lieu thereof
        ``section 3012 of such title''.
            (18) Section 2011(a) is amended by striking out ``to'' and
        inserting in lieu thereof ``To''.
            (19) Section 2194(e) is amended by striking out ``(20 U.S.C.
        2891(12))'' and inserting in lieu thereof ``(20 U.S.C. 8801)''.
            (20) Sections 2217(b) and 2220(a)(2) are amended by striking
        out ``Comptroller of the Department of Defense'' and inserting in
        lieu thereof ``Under Secretary of Defense (Comptroller)''.
            (21) Section 2401(c)(2) is amended by striking out ``pursuant
        to'' and all that follows through ``September 24, 1983,''.
            (22) Section 2410f(b) is amended by striking out ``For purposes
        of'' and inserting in lieu thereof ``In''.
            (23) Section 2410j(a)(2)(A) is amended by striking out ``2701''
        and inserting in lieu thereof ``6301''.
            (24) Section 2457(e) is amended by striking out ``title III of
        the Act of March 3, 1933 (41 U.S.C. 10a),'' and inserting in lieu
        thereof ``the Buy American Act (41 U.S.C. 10a)''.
            (25) Section 2465(b)(3) is amended by striking out ``under
        contract'' and all that follows through the period and inserting in
        lieu thereof ``under contract on September 24, 1983.''.
            (26) Section 2471(b) is amended--
                (A) in paragraph (2), by inserting ``by'' after ``as
            determined''; and
                (B) in paragraph (3), by inserting ``of'' after ``arising
            out''.
            (27) Section 2524(e)(4)(B) is amended by inserting a comma
        before ``with respect to''.
            (28) The heading of section 2525 is amended by capitalizing the
        initial letter of the second, fourth, and fifth words.
            (29) Chapter 152 is amended by striking out the table of
        subchapters at the beginning and the headings for subchapters I and
        II.
            (30) Section 2534(c) is amended by capitalizing the initial
        letter of the third and fourth words of the subsection heading.
            (31) The table of sections at the beginning of subchapter I of
        chapter 169 is amended by adding a period at the end of the item
        relating to section 2811.
        (b) Other Subtitles.--Subtitles B, C, and D of title 10, United
    States Code, are amended as follows:
            (1) Sections 3022(a)(1), 5025(a)(1), and 8022(a)(1) are amended
        by striking out ``Comptroller of the Department of Defense'' and
        inserting in lieu thereof ``Under Secretary of Defense
        (Comptroller)''.
            (2) Section 6241 is amended by inserting ``or'' at the end of
        paragraph (2).
            (3) Section 6333(a) is amended by striking out the first period
        after ``section 1405'' in formula C in the table under the column
        designated ``Column 2''.
            (4) The item relating to section 7428 in the table of sections
        at the beginning of chapter 641 is amended by striking out
        ``Agreement'' and inserting in lieu thereof ``Agreements''.
            (5) The item relating to section 7577 in the table of sections
        at the beginning of chapter 649 is amended by striking out
        ``Officers'' and inserting in lieu thereof ``officers''.
            (6) The center heading for part IV in the table of chapters at
        the beginning of subtitle D is amended by inserting a comma after
        ``SUPPLY''.

    SEC. 1504. MISCELLANEOUS AMENDMENTS TO ANNUAL DEFENSE AUTHORIZATION
                  ACTS.

        (a) Public Law 103-337.--Effective as of October 5, 1994, and as if
    included therein as enacted, the National Defense Authorization Act for
    Fiscal Year 1995 (Public Law 103-337) is amended as follows:
            (1) Section 322(1) (108 Stat. 2711) is amended by striking out
        ``Service'' in both sets of quoted matter and inserting in lieu
        thereof ``Services''.
            (2) Section 531(g)(2) (108 Stat. 2758) is amended by inserting
        ``item relating to section 1034 in the'' after ``The''.
            (3) Section 541(c)(1) is amended--
                (A) in subparagraph (B), by inserting a comma after ``chief
            warrant officer''; and
                (B) in the matter after subparagraph (C), by striking out
            ``this''.
            (4) Section 721(f)(2) (108 Stat. 2806) is amended by striking
        out ``revaluated'' and inserting in lieu thereof ``reevaluated''.
            (5) Section 722(d)(2) (108 Stat. 2808) is amended by striking
        out ``National Academy of Science'' and inserting in lieu thereof
        ``National Academy of Sciences''.
            (6) Section 904(d) (108 Stat. 2827) is amended by striking out
        ``subsection (c)'' the first place it appears and inserting in lieu
        thereof ``subsection (b)''.
            (7) Section 1202 (108 Stat. 2882) is amended--
                (A) by striking out ``(title XII of Public Law 103-60'' and
            inserting in lieu thereof ``(title XII of Public Law 103-160'';
            and
                (B) in paragraph (2), by inserting ``in the first
            sentence'' before ``and inserting in lieu thereof''.
            (8) Section 1312(a)(2) (108 Stat. 2894) is amended by striking
        out ``adding at the end'' and inserting in lieu thereof ``inserting
        after the item relating to section 123a''.
            (9) Section 2813(c) (108 Stat. 3055) is amended by striking out
        ``above paragraph (1)'' both places it appears and inserting in
        lieu thereof ``preceding subparagraph (A)''.
        (b) Public Law 103-160.--The National Defense Authorization Act for
    Fiscal Year 1994 (Public Law 103-160) is amended in section 1603(d) (22
    U.S.C. 2751 note)--
            (1) in the matter preceding paragraph (1), by striking out the
        second comma after ``Not later than April 30 of each year'';
            (2) in paragraph (4), by striking out ``contributes'' and
        inserting in lieu thereof ``contribute''; and
            (3) in paragraph (5), by striking out ``is'' and inserting in
        lieu thereof ``are''.
        (c) Public Law 102-484.--The National Defense Authorization Act for
    Fiscal Year 1993 (Public Law 102-484) is amended as follows:
            (1) Section 326(a)(5) (106 Stat. 2370; 10 U.S.C. 2301 note) is
        amended by inserting ``report'' after ``each''.
            (2) Section 3163(1)(E) is amended by striking out ``paragraphs
        (1) through (4)'' and inserting in lieu thereof ``subparagraphs (A)
        through (D)''.
            (3) Section 4403(a) (10 U.S.C. 1293 note) is amended by
        striking out ``through 1995'' and inserting in lieu thereof
        ``through fiscal year 1999''.
        (d) Public Law 102-190.--Section 1097(d) of the National Defense
    Authorization Act for Fiscal Years 1992 and 1993 (Public Law 102-190;
    105 Stat. 1490) is amended by striking out ``the Federal Republic of
    Germany, France'' and inserting in lieu thereof ``France, Germany''.

    SEC. 1505. MISCELLANEOUS AMENDMENTS TO OTHER LAWS.

        (a) Officer Personnel Act of 1947.--Section 437 of the Officer
    Personnel Act of 1947 is repealed.
        (b) Title 5, United States Code.--Title 5, United States Code, is
    amended--
            (1) in section 8171--
                (A) in subsection (a), by striking out ``903(3)'' and
            inserting in lieu thereof ``903(a)'';
                (B) in subsection (c)(1), by inserting ``section'' before
            ``39(b)''; and
                (C) in subsection (d), by striking out ``(33 U.S.C. 18 and
            21, respectively)'' and inserting in lieu thereof ``(33 U.S.C.
            918 and 921)'';
            (2) in sections 8172 and 8173, by striking out ``(33 U.S.C.
        2(2))'' and inserting in lieu thereof ``(33 U.S.C. 902(2))''; and
            (3) in section 8339(d)(7), by striking out ``Court of Military
        Appeals'' and inserting in lieu thereof ``Court of Appeals for the
        Armed Forces''.
        (c) Public Law 90-485.--Effective as of August 13, 1968, and as if
    included therein as originally enacted, section 1(6) of Public Law 90-
    485 (82 Stat. 753) is amended--
            (1) by striking out the close quotation marks after the end of
        clause (4) of the matter inserted by the amendment made by that
        section; and
            (2) by adding close quotation marks at the end.
        (d) Title 37, United States Code.--Section 406(b)(1)(E) of title
    37, United States Code, is amended by striking out ``of this
    paragraph''.
        (e) Base Closure Laws.--(1) 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--
            (A) in section 2905(b)(1)(C), by striking out ``of the
        Administrator to grant approvals and make determinations under
        section 13(g) of the Surplus Property Act of 1944 (50 U.S.C. App.
        1622(g))'' and inserting in lieu thereof ``to dispose of surplus
        property for public airports under sections 47151 through 47153 of
        title 49, United States Code'';
            (B) in section 2906(d)(1), by striking out ``section
        204(b)(4)(C)'' and inserting in lieu thereof ``section
        204(b)(7)(C)''; and
            (C) in section 2910--
                (i) by designating the second paragraph (10), as added by
            section 2(b) of the Base Closure Community Redevelopment and
            Homeless Assistance Act of 1994 (Public Law 103-421; 108 Stat.
            4352), as paragraph (11); and
                (ii) in such paragraph, as so designated, by striking out
            ``section 501(h)(4) of the Stewart B. McKinney Homeless
            Assistance Act (42 U.S.C. 11411(h)(4))'' and inserting in lieu
            thereof ``section 501(i)(4) of the Stewart B. McKinney Homeless
            Assistance Act (42 U.S.C. 11411(i)(4))''.
        (2) Section 2921(d)(1) of the National Defense Authorization Act
    for Fiscal Year 1991 (Public Law 101-510; 10 U.S.C. 2687 note) is
    amended by striking out ``section 204(b)(4)(C)'' and inserting in lieu
    thereof ``section 204(b)(7)(C)''.
        (3) Section 204 of the Defense Authorization Amendments and Base
    Closure and Realignment Act (Public Law 100-526; 10 U.S.C. 2687 note)
    is amended--
            (A) in subsection (b)(1)(C), by striking out ``of the
        Administrator to grant approvals and make determinations under
        section 13(g) of the Surplus Property Act of 1944 (50 U.S.C. App.
        1622(g))'' and inserting in lieu thereof ``to dispose of surplus
        property for public airports under sections 47151 through 47153 of
        title 49, United States Code''; and
            (B) in subsection (b)(7)(A)(i), by striking out ``paragraph
        (3)'' and inserting in lieu thereof ``paragraphs (3) through (6)''.
        (f) Public Law 103-421.--Section 2(e)(5) of Public Law 103-421 (108
    Stat. 4354) is amended--
            (1) by striking out ``(A)'' after ``(5)''; and
            (2) by striking out ``clause'' in subparagraph (B)(iv) and
        inserting in lieu thereof ``clauses''.
        (g) Atomic Energy Act.--Section 123a. of the Atomic Energy Act (42
    U.S.C. 2153a.) is amended by striking out ``144b., or 144d.'' and
    inserting ``, 144b., or 144d.''.

    SEC. 1506. COORDINATION WITH OTHER AMENDMENTS.

        For purposes of applying amendments made by provisions of this Act
    other than provisions of this title, this title shall be treated as
    having been enacted immediately before the other provisions of this
    Act.

    TITLE XVI--CORPORATION FOR THE PROMOTION OF RIFLE PRACTICE AND FIREARMS
                                     SAFETY

    SEC. 1601. SHORT TITLE.

        This title may be cited as the ``Corporation for the Promotion of
    Rifle Practice and Firearms Safety Act''.

             Subtitle A--Establishment and Operation of Corporation

    SEC. 1611. ESTABLISHMENT OF THE CORPORATION.

        (a) Establishment.--There is established a private, nonprofit
    corporation to be known as the ``Corporation for the Promotion of Rifle
    Practice and Firearms Safety'' (in this title referred to as the
    ``Corporation'').
        (b) Private, Nonprofit Status.--(1) The Corporation shall not be
    considered to be a department, agency, or instrumentality of the
    Federal Government. An officer or employee of the Corporation shall not
    be considered to be an officer or employee of the Federal Government.
        (2) The Corporation shall be operated in a manner and for purposes
    that qualify the Corporation for exemption from taxation under section
    501(a) of the Internal Revenue Code of 1986 as an organization
    described in section 501(c)(3) of such Code.
        (c) Board of Directors.--(1) The Corporation shall have a Board of
    Directors consisting of not less than nine members.
        (2) The Board of Directors may adopt bylaws, policies, and
    procedures for the Corporation and may take any other action that the
    Board of Directors considers necessary for the management and operation
    of the Corporation.
        (3) Each member of the Board of Directors shall serve for a term of
    two years. Members of the Board of Directors are eligible for
    reappointment.
        (4) A vacancy on the Board of Directors shall be filled by a
    majority vote of the remaining members of the Board.
        (5) The Secretary of the Army shall appoint the initial Board of
    Directors. Four of the members of the initial Board of Directors, to be
    designated by the Secretary at the time of appointment, shall
    (notwithstanding paragraph (3)) serve for a term of one year.
        (d) Director of Civilian Marksmanship.--(1) The Board of Directors
    shall appoint an individual to serve as the Director of Civilian
    Marksmanship.
        (2) The Director shall be responsible for the performance of the
    daily operations of the Corporation and the functions described in
    section 1612.

    SEC. 1612. CONDUCT OF CIVILIAN MARKSMANSHIP PROGRAM.

        (a) Functions.--The Corporation shall have responsibility for the
    overall supervision, oversight, and control of the Civilian
    Marksmanship Program, pursuant to the transfer of the program under
    subsection (d), including the performance of the following:
            (1) The instruction of citizens of the United States in
        marksmanship.
            (2) The promotion of practice and safety in the use of
        firearms, including the conduct of matches and competitions in the
        use of those firearms.
            (3) The award to competitors of trophies, prizes, badges, and
        other insignia.
            (4) The provision of security and accountability for all
        firearms, ammunition, and other equipment under the custody and
        control of the Corporation.
            (5) The issue, loan, or sale of firearms, ammunition, supplies,
        and appliances under section 1614.
            (6) The procurement of necessary supplies, appliances, clerical
        services, other related services, and labor to carry out the
        Civilian Marksmanship Program.
        (b) Priority for Youth Activities.--In carrying out the Civilian
    Marksmanship Program, the Corporation shall give priority to activities
    that benefit firearms safety, training, and competition for youth and
    that reach as many youth participants as possible.
        (c) Access to Surplus Property.--(1) The Corporation may obtain
    surplus property and supplies from the Defense Reutilization Marketing
    Service to carry out the Civilian Marksmanship Program.
        (2) Any transfer of property and supplies to the Corporation under
    paragraph (1) shall be made without cost to the Corporation.
        (d) Transfer of Civilian Marksmanship Program to Corporation.--(1)
    The Secretary of the Army shall provide for the transition of the
    Civilian Marksmanship Program, as defined in section 4308(e) of title
    10, United States Code (as such section was in effect on the day before
    the date of the enactment of this Act), from conduct by the Department
    of the Army to conduct by the Corporation. The transition shall be
    completed not later than September 30, 1996.
        (2) To carry out paragraph (1), the Secretary shall provide such
    assistance and take such action as is necessary to maintain the
    viability of the program and to maintain the security of firearms,
    ammunition, and other property that are transferred or reserved for
    transfer to the Corporation under section 1615, 1616, or 1621.
    SEC. 1613. ELIGIBILITY FOR PARTICIPATION IN CIVILIAN MARKSMANSHIP
    PROGRAM.
        (a) Certification Requirement.--(1) Before a person may participate
    in any activity sponsored or supported by the Corporation, the person
    shall be required to certify by affidavit the following:
            (A) The person has not been convicted of any Federal or State
        felony or violation of section 922 of title 18, United States Code.
            (B) The person is not a member of any organization that
        advocates the violent overthrow of the United States Government.
        (2) The Director of Civilian Marksmanship may require any person to
    attach to the person's affidavit a certificationfrom the appropriate
    State or Federal law enforcement agency for purposes of paragraph
    (1)(A).
        (b) Ineligibility Resulting From Certain Convictions.--A person who
    has been convicted of a Federal or State felony or a violation of
    section 922 of title 18, United States Code, shall not be eligible to
    participate in any activity sponsored or supported by the Corporation
    through the Civilian Marksmanship Program.
        (c) Authority To Limit Participation.--The Director of Civilian
    Marksmanship may limit participation as necessary to ensure--
            (1) quality instruction in the use of firearms;
            (2) the safety of participants; and
            (3) the security of firearms, ammunition, and equipment.
    SEC. 1614. ISSUANCE, LOAN, AND SALE OF FIREARMS AND AMMUNITION BY THE
    CORPORATION.
        (a) Issuance and Loan.--For purposes of training and competition,
    the Corporation may issue or loan, with or without charges to recover
    administrative costs, caliber .22 rimfire and caliber .30 surplus
    rifles, caliber .22 and .30 ammunition, air rifles, targets, and other
    supplies and appliances necessary for activities related to the
    Civilian Marksmanship Program to the following:
            (1) Organizations affiliated with the Corporation that provide
        training in the use of firearms to youth.
            (2) The Boy Scouts of America.
            (3) 4-H Clubs.
            (4) Future Farmers of America.
            (5) Other youth-oriented organizations.
        (b) Sales.--(1) The Corporation may sell at fair market value
    caliber .22 rimfire and caliber .30 surplus rifles, caliber .22 and .30
    ammunition, air rifles, repair parts, and accouterments to
    organizations affiliated with the Corporation that provide training in
    the use of firearms.
        (2) Subject to subsection (e), the Corporation may sell at fair
    market value caliber .22 rimfire and caliber .30 surplus rifles,
    ammunition, targets, repair parts and accouterments, and other supplies
    and appliances necessary for target practice to citizens of the United
    States over 18 years of age who are members of a gun club affiliated
    with the Corporation. In addition to any other requirement, the
    Corporation shall establish procedures to obtain a criminal records
    check of the person with appropriate Federal and State law enforcement
    agencies.
        (c) Limitations on Sales.--(1) The Corporation may not offer for
    sale any repair part designed to convert any firearm to fire in a fully
    automatic mode.
        (2) The Corporation may not sell rifles, ammunition, or any other
    item available for sale to individuals under the Civilian Marksmanship
    Program to a person who has been convicted of a felony or a violation
    of section 922 of title 18, United States Code.
        (d) Oversight and Accountability.--The Corporation shall be
    responsible for ensuring adequate oversight and accountability of all
    firearms issued or loaned under this section. The Corporation shall
    prescribe procedures for the security of issued or loaned firearms in
    accordance with Federal, State, and local laws.
        (e) Applicability of Other Law.--(1) Subject to paragraph (2),
    sales under subsection (b)(2) are subject to applicable Federal, State,
    and local laws.
        (2) Paragraphs (1), (2), (3), and (5) of section 922(a) of title
    18, United States Code, do not apply to the shipment, transportation,
    receipt, transfer, sale, issuance, loan, or delivery by the Corporation
    of any item that the Corporation is authorized to issue, loan, sell, or
    receive under this title.

    SEC. 1615. TRANSFER OF FIREARMS AND AMMUNITION FROM THE ARMY TO THE
                  CORPORATION.

        (a) Transfers Required.--The Secretary of the Army shall, in
    accordance with subsection (b), transfer to the Corporation all
    firearms and ammunition that on the day before the date of the
    enactment of this Act are under the control of the Director of the
    Civilian Marksmanship Program, including--
            (1) all firearms on loan to affiliated clubs and State
        associations;
            (2) all firearms in the possession of the Civilian Marksmanship
        Support Detachment; and
            (3) all M-1 Garand and caliber .22 rimfire rifles stored at
        Anniston Army Depot, Anniston, Alabama.
        (b) Time for Transfer.--The Secretary shall transfer firearms and
    ammunition under subsection (a) as and when necessary to enable the
    Corporation--
            (1) to issue or loan such items in accordance with section
        1614(a); or
            (2) to sell such items to purchasers in accordance with section
        1614(b).
        (c) Parts.--The Secretary may make available to the Corporation any
    part from a rifle designated to be demilitarized in the inventory of
    the Department of the Army.
        (d) Vesting of Title in Transferred Items.--Title to an item
    transferred to the Corporation under this section shall vest in the
    Corporation--
            (1) upon the issuance of the item to a recipient eligible under
        section 1614(a) to receive the item; or
            (2) immediately before the Corporation delivers the item to a
        purchaser of the item in accordance with a contract for a sale of
        the item that is authorized under section 1614(b).
        (e) Costs of Transfers.--Any transfer of firearms, ammunition, or
    parts to the Corporation under this section shall be made without cost
    to the Corporation, except that the Corporation shall assume the cost
    of preparation and transportation of firearms and ammunition
    transferred under this section.
    SEC. 1616. RESERVATION BY THE ARMY OF FIREARMS AND AMMUNITION FOR THE
    CORPORATION.
        (a) Reservation of Firearms and Ammunition.--The Secretary of the
    Army shall reserve for the Corporation the following:
            (1) All firearms referred to in section 1615(a).
            (2) Ammunition for such firearms.
            (3) All M-16 rifles used to support the small arms firing
        school that are held by the Department of the Army on the date of
        the enactment of this Act.
            (4) Any parts from, and accessories and accouterments for,
        surplus caliber .30 and caliber .22 rimfire rifles.
        (b) Storage of Firearms and Ammunition.--Firearms stored at
    Anniston Army Depot, Anniston, Alabama, before the date of the
    enactment of this Act and used for the Civilian Marksmanship Program
    shall remain at that facility, or another storage facility designated
    by the Secretary of the Army, without cost to the Corporation, until
    the firearms are issued, loaned, or sold by, or otherwise transferred
    to, the Corporation.
        (c) Limitation on Demilitarization of M-1 Rifles.--After the date
    of the enactment of this Act, the Secretary may not demilitarize any M-
    1 Garand rifle in the inventory of the Army unless that rifle is
    determined by the Defense Logistics Agency to be unserviceable.
        (d) Exception for Transfers to Federal and State Agencies for
    Counterdrug Purposes.--The requirement specified in subsection (a) does
    not supersede the authority provided in section 1208 of the National
    Defense Authorization Act for Fiscal Years 1990 and 1991 (Public Law
    101-189; 10 U.S.C. 372 note).

    SEC. 1617. ARMY LOGISTICAL SUPPORT FOR THE PROGRAM.

        (a) Logistical Support.--The Secretary of the Army shall provide
    logistical support to the Civilian Marksmanship Program and for
    competitions and other activities conducted by the Corporation. The
    Corporation shall reimburse the Secretary for incremental direct costs
    incurred in providing such support. Such reimbursements shall be
    credited to the appropriations account of the Department of the Army
    that is charged to provide such support.
        (b) Reserve Component Personnel.--The Secretary shall provide,
    without cost to the Corporation, for the use of members of the National
    Guard and Army Reserve to support the National Matches as part of the
    performance of annual training pursuant to titles 10 and 32, United
    States Code.
        (c) Use of Department of Defense Facilities for National Matches.--
    The National Matches may continue to be held at those Department of
    Defense facilities at which the National Matches were held before the
    date of the enactment of this Act.
        (d) Regulations.--The Secretary shall prescribe regulations to
    carry out this section.

    SEC. 1618. GENERAL AUTHORITIES OF THE CORPORATION.

        (a) Donations and Fees.--(1) The Corporation may solicit, accept,
    hold, use, and dispose of donations of money, property, and services
    received by gift, devise, bequest, or otherwise.
        (2) The Corporation may impose, collect, and retain such fees as
    are reasonably necessary to cover the direct and indirect costs of the
    Corporation to carry out the Civilian Marksmanship Program.
        (3) Amounts collected by the Corporation under the authority of
    this subsection, including the proceeds from the sale of firearms,
    ammunition, targets, and other supplies and appliances, may be used
    only to support the Civilian Marksmanship Program.
        (b) Corporate Seal.--The Corporation may adopt, alter, and use a
    corporate seal, which shall be judicially noticed.
        (c) Contracts.--The Corporation may enter into contracts, leases,
    agreements, or other transactions.
        (d) Obligations and Expenditures.--The Corporation may determine
    the character of, and necessity for, its obligations and expenditures
    and the manner in which they shall be incurred, allowed, and paid and
    may incur, allow, and pay such obligations and expenditures.
        (e) Related Authority.--The Corporation may take such other actions
    as are necessary or appropriate to carry out the authority provided in
    this section.
    SEC. 1619. DISTRIBUTION OF CORPORATE ASSETS IN EVENT OF DISSOLUTION.
        (a) Distribution.--If the Corporation dissolves, then--
            (1) upon the dissolution of the Corporation, title to all
        firearms stored at Anniston Army Depot, Anniston, Alabama, on the
        date of the dissolution, all M-16 rifles that are transferred to
        the Corporation under section 1615(a)(2), that are referred to in
        section 1616(a)(3), or that are otherwise under the control of the
        Corporation, and all trophies received by the Corporation from the
        National Board for the Promotion of Rifle Practice as of such date,
        shall vest in the Secretary of the Army, and the Secretary shall
        have the immediate right to the possession of such items;
            (2) assets of the Corporation, other than assets described in
        paragraph (1), may be distributed by the Corporation to an
        organization that--
                (A) is exempt from taxation under section 501(a) of the
            Internal Revenue Code of 1986 as an organization described in
            section 501(c)(3) of such Code; and
                (B) performs functions similar to the functions described
            in section 1612(a); and
            (3) all assets of the Corporation that are not distributed
        pursuant to paragraphs (1) and (2) shall be sold, and the proceeds
        from the sale of such assets shall be deposited in the Treasury.
        (b) Prohibition.--Assets of the Corporation that are distributed
    pursuant to the authority of subsection (a) may not be distributed to
    an individual.

                      Subtitle B--Transitional Provisions

    SEC. 1621. TRANSFER OF FUNDS AND PROPERTY TO THE CORPORATION.
        (a) Funds.--(1) On the date of the submission of a certification in
    accordance with section 1623 or, if earlier, October 1, 1996, the
    Secretary of the Army shall transfer to the Corporation--
            (A) the amounts that are available to the National Board for
        the Promotion of Rifle Practice from sales programs and fees
        collected in connection with competitions sponsored by the Board;
        and
            (B) all funds that are in the nonappropriated fund account
        known as the National Match Fund.
        (2) The funds transferred under paragraph (1)(A) shall be used to
    carry out the Civilian Marksmanship Program.
        (3) Transfers under paragraph (1)(B) shall be made without cost to
    the Corporation.
        (b) Property.--The Secretary of the Army shall, as soon as
    practicable, transfer to the Corporation the following:
            (1) All automated data equipment, all other office equipment,
        targets, target frames, vehicles, and all other property under the
        control of the Director of Civilian Marksmanship and the Civilian
        Marksmanship Support Detachment on the day before the date of the
        enactment of this Act (other than property to which section 1615(a)
        applies).
            (2) Title to property under the control of the National Match
        Fund on such day.
            (3) All supplies and appliances under the control of the
        Director of the Civilian Marksmanship Program on such day.
        (c) Offices.--The Corporation may use the office space of the
    Office of the Director of Civilian Marksmanship until the date on which
    the Secretary of the Army completes the transfer of the Civilian
    Marksmanship Program to the Corporation. The Corporation shall assume
    control of the leased property occupied as of the date of the enactment
    of this Act by the Civilian Marksmanship Support Detachment, located at
    the Erie Industrial Park, Port Clinton, Ohio.
        (d) Costs of Transfers.--Any transfer of items to the Corporation
    under this section shall be made without cost to the Corporation.
    SEC. 1622. CONTINUATION OF ELIGIBILITY FOR CERTAIN CIVIL SERVICE
    BENEFITS FOR FORMER FEDERAL EMPLOYEES OF CIVILIAN MARKSMANSHIP PROGRAM.
        (a) Continuation of Eligibility.--Notwithstanding any other
    provision of law, a Federal employee who is employed by the Department
    of Defense to support the Civilian Marksmanship Program as of the day
    before the date of the transfer of the Program to the Corporation and
    is offered employment by the Corporation as part of the transition
    described in section 1612(d) may, if the employee becomes employed by
    the Corporation, continue to be eligible during continuous employment
    with the Corporation for the Federal health, retirement, and similar
    benefits (including life insurance) for which the employee would have
    been eligible had the employee continued to be employed by the
    Department of Defense. The employer's contribution for such benefits
    shall be paid by the Corporation.
        (b) Regulations.--The Director of the Office of Personnel
    Management shall prescribe regulations to carry out subsection (a).

    SEC. 1623. CERTIFICATION OF COMPLETION OF TRANSITION.

        (a) Certification Requirement.--Upon completion of the appointment
    of the Board of Directors for the Corporation under section 1611(c)(5)
    and of the transition required under section 1612(d), 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 certification of the completion of such actions.
        (b) Publication of Certification.--The Secretary shall take such
    actions as are necessary to ensure that the certification is published
    in the Federal Register promptly after the submission of the
    certification under subsection (a).
    SEC. 1624. REPEAL OF AUTHORITY FOR CONDUCT OF CIVILIAN MARKSMANSHIP
    PROGRAM BY THE ARMY.
        (a) Repeals.--(1) Sections 4307, 4308, 4310, and 4311 of title 10,
    United States Code, are repealed.
        (2) The table of sections at the beginning of chapter 401 of such
    title is amended by striking out the items relating to sections 4307,
    4308, 4310, and 4311.
        (b) Conforming Amendments.--(1) Section 4313 of title 10, United
    States Code, is amended--
            (A) by striking out subsection (b); and
            (B) in subsection (a)--
                (i) by striking out ``(a) Junior Competitors.--'' and
            inserting in lieu thereof ``(a) Allowances for Participation of
            Junior Competitors.--''; and
                (ii) in paragraph (3), by striking out ``(3) For the
            purposes of this subsection'' and inserting in lieu thereof
            ``(b) Junior Competitor Defined.--For the purposes of
            subsection (a)''.
        (2) Section 4316 of such title is amended by striking out ``,
    including fees charged and amounts collected pursuant to subsections
    (b) and (c) of section 4308,''.
        (3) Section 925(a)(2)(A) of title 18, United States Code, is
    amended by inserting after ``section 4308 of title 10'' the following:
    ``before the repeal of such section by section 1624(a) of the
    Corporation for the Promotion of Rifle Practice and Firearms Safety
    Act''.
        (c) Effective Date.--The amendments made by this section shall take
    effect on the earlier of--
            (1) the date on which the Secretary of the Army submits a
        certification in accordance with section 1623; or
            (2) October 1, 1996.

                DIVISION B--MILITARY CONSTRUCTION AUTHORIZATIONS

    SEC. 2001. SHORT TITLE.

        This division may be cited as the ``Military Construction
    Authorization Act for Fiscal Year 1996''.

                                TITLE XXI--ARMY

    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), 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
    ------------------------------------------------------------------------
                                          Installation or
                  State                       location            Amount
    ------------------------------------------------------------------------
    Alabama..........................  Fort Rucker..........      $5,900,000
                                       Redstone Arsenal.....      $5,000,000
    Arizona..........................  Fort Huachuca........     $16,000,000
    California.......................  Fort Irwin...........     $25,500,000
                                       Presidio of San            $3,000,000
                                        Francisco.
    Colorado.........................  Fort Carson..........     $30,850,000
    District of Columbia.............  Fort McNair..........     $13,500,000
    Georgia..........................  Fort Benning.........     $37,900,000
                                       Fort Gordon..........      $5,750,000
                                       Fort Stewart.........      $8,400,000
    Hawaii...........................  Schofield Barracks...     $30,000,000
    Kansas...........................  Fort Riley...........      $7,000,000
    Kentucky.........................  Fort Campbell........     $10,000,000
                                       Fort Knox............      $5,600,000
    New Jersey.......................  Picatinny Arsenal....      $5,500,000
    New Mexico.......................  White Sands Missile        $2,050,000
                                        Range.
    New York.........................  Fort Drum............      $8,800,000
                                       United States              $8,300,000
                                        Military Academy.
                                       Watervliet Arsenal...        $680,000
    North Carolina...................  Fort Bragg...........     $29,700,000
    Oklahoma.........................  Fort Sill............     $14,300,000
    South Carolina...................  Naval Weapons
                                        Station, Charleston.     $25,700,000
                                       Fort Jackson.........     $32,000,000
    Texas............................  Fort Hood............     $32,500,000
                                       Fort Bliss...........     $56,900,000
                                       Fort Sam Houston.....      $7,000,000
    Virginia.........................  Fort Eustis..........     $16,400,000
    Washington.......................  Fort Lewis...........     $32,100,000
    CONUS Classified.................  Classified Location..      $1,900,000
                                                             ---------------
                                           Total:...........    $478,230,000

    ------------------------------------------------------------------------

        (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            Amount
    ------------------------------------------------------------------------
    Korea............................  Camp Casey...........      $4,150,000
                                       Camp Hovey...........     $13,500,000
                                       Camp Pelham..........      $5,600,000
                                       Camp Stanley.........      $6,800,000
                                       Yongsan..............      $4,500,000
    Overseas Classified..............  Classified Location..     $48,000,000
    Worldwide........................  Host Nation Support..     $20,000,000
                                                             ---------------
                                           Total:...........    $102,550,000

    ------------------------------------------------------------------------

    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               Amount
    ----------------------------------------------------------------------------------------------------------------
    Kentucky................................  Fort Knox.................  150 units.................     $19,000,000
    New York................................  United States Military
                                               Academy, West Point......  119 units.................     $16,500,000
    Virginia................................  Fort Lee..................  135 units.................     $19,500,000
    Washington..............................  Fort Lewis................  84 units..................     $10,800,000
                                                                                                     ---------------
                                                                              Total:................     $65,800,000

    ----------------------------------------------------------------------------------------------------------------

        (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 design activities with respect to the
    construction or improvement of family housing units in an amount not to
    exceed $2,000,000.

    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 in an amount not to exceed $48,856,000.

    SEC. 2104. AUTHORIZATION OF APPROPRIATIONS, ARMY.

        (a) In General.--Subject to subsection (c), funds are hereby
    authorized to be appropriated for fiscal years beginning after
    September 30, 1995, for military construction, land acquisition, and
    military family housing functions of the Department of the Army in the
    total amount of $2,147,427,000 as follows:
            (1) For military construction projects inside the United States
        authorized by section 2101(a), $478,230,000.
            (2) For military construction projects outside the United
        States authorized by section 2101(b), $102,550,000.
            (3) For unspecified minor military construction projects
        authorized by section 2805 of title 10, United States Code,
        $9,000,000.
            (4) For architectural and engineering services and construction
        design under section 2807 of title 10, United States Code,
        $34,194,000.
            (5) For military family housing functions:
                (A) For construction and acquisition, planning and design,
            and improvements of military family housing and facilities,
            $116,656,000.
                (B) For support of military family housing (including the
            functions described in section 2833 of title 10, United States
            Code), $1,337,596,000.
            (6) For the Homeowners Assistance Program, as authorized by
        section 2832 of title 10, United States Code, $75,586,000, to
        remain available until expended.
        (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 the total amount authorized to be appropriated under
    paragraphs (1) and (2) of subsection (a).
        (c) Adjustment.--The total amount authorized to be appropriated
    pursuant to paragraphs (1) through (6) of subsection (a) is the sum of
    the amounts authorized to be appropriated in such paragraphs, reduced
    by $6,385,000, which represents the combination of project savings
    resulting from favorable bids, reduced overhead costs, and
    cancellations due to force structure changes.

                                TITLE XXII--NAVY

    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 project described in section 2204(b)(2), other amounts
    appropriated pursuant to authorizations enacted after this Act for that
    project, 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
    ------------------------------------------------------------------------
    California.......................  Marine Corps Air-
                                        Ground Combat
                                        Center, Twentynine
                                        Palms...............      $2,490,000
                                       Marine Corps Base,
                                        Camp Pendleton......     $27,584,000
                                       Naval Command,
                                        Control, and Ocean
                                        Surveillance Center,
                                        San Diego...........      $3,170,000
                                       Naval Air Station,
                                        Lemoore.............      $7,600,000
                                       Naval Air Station,
                                        North Island........     $99,150,000
                                       Naval Air Warfare
                                        Center Weapons
                                        Division, China Lake      $3,700,000
                                       Naval Air Warfare
                                        Center Weapons
                                        Division, Point Mugu      $1,300,000
                                       Naval Construction
                                        Batallion Center,
                                        Port Hueneme........     $16,700,000
                                       Naval Station, San
                                        Diego...............     $19,960,000
    Florida..........................  Naval School
                                        Explosive Ordinance
                                        Disposal, Eglin Air
                                        Force Base..........     $16,150,000
                                       Naval Technical
                                        Training Center,
                                        Corry Station,
                                        Pensacola...........      $2,565,000
    Georgia..........................  Strategic Weapons
                                        Facility, Atlantic,
                                        Kings Bay...........      $2,450,000
    Hawaii...........................  Honolulu Naval
                                        Computer and
                                        Telecommunications
                                        Area, Master Station
                                        Eastern Pacific.....      $1,980,000
                                       Intelligence Center
                                        Pacific, Pearl
                                        Harbor..............      $2,200,000
                                       Naval Submarine Base,
                                        Pearl Harbor........     $22,500,000
    Illinois.........................  Naval Training
                                        Center, Great Lakes.     $12,440,000
    Indiana..........................  Crane Naval Surface
                                        Warfare Center......      $3,300,000
    Maryland.........................  Naval Academy,
                                        Annapolis...........      $3,600,000
    New Jersey.......................  Naval Air Warfare
                                        Center Aircraft
                                        Division, Lakehurst.      $1,700,000
    North Carolina...................  Marine Corps Air
                                        Station, Cherry
                                        Point...............     $11,430,000
                                       Marine Corps Air
                                        Station, New River..     $14,650,000
                                       Marine Corps Base,
                                        Camp LeJeune........     $59,300,000
    Pennsylvania.....................  Philadelphia Naval
                                        Shipyard............      $6,000,000
    South Carolina...................  Marine Corps Air
                                        Station, Beaufort...     $15,000,000
    Texas............................  Naval Air Station,
                                        Corpus Christi......      $4,400,000
                                       Naval Air Station,
                                        Kingsville..........      $2,710,000
                                       Naval Station,
                                        Ingleside...........      $2,640,000
    Virginia.........................  Fleet and Industrial
                                        Supply Center,
                                        Williamsburg........      $8,390,000
                                       Henderson Hall,
                                        Arlington...........      $1,900,000
                                       Marine Corps Combat
                                        Development Command,
                                        Quantico............      $3,500,000
                                       Naval Hospital,
                                        Portsmouth..........      $9,500,000
                                       Naval Station,
                                        Norfolk.............     $10,580,000
                                       Naval Weapons
                                        Station, Yorktown...      $1,300,000
    Washington.......................  Naval Undersea
                                        Warfare Center
                                        Division, Keyport...      $5,300,000
                                       Puget Sound Naval
                                        Shipyard, Bremerton.     $19,870,000
    West Virginia....................  Naval Security Group
                                        Detachment..........      $7,200,000
    CONUS Classified.................  Classified Locations.      $1,200,000
                                                             ---------------
                                           Total:...........    $435,409,000

    ------------------------------------------------------------------------

        (b) Outside the United States.--Using amounts appropriated pursuant
    to the authorization of appropriations in section 2204(a)(2), 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
    ------------------------------------------------------------------------
    Guam.............................  Naval Computer and
                                        Telecommunications
                                        Area, Master Station
                                        Western Pacific.....      $2,250,000
                                       Navy Public Works
                                        Center, Guam........     $16,180,000
    Italy............................  Naval Air Station,
                                        Sigonella...........     $12,170,000
                                       Naval Support
                                        Activity, Naples....     $24,950,000
    Puerto Rico......................  Naval Security Group
                                        Activity, Sabana
                                        Seca................      $2,200,000
                                       Naval Station,
                                        Roosevelt Roads.....     $11,500,000
                                                             ---------------
                                           Total............     $69,250,000

    ------------------------------------------------------------------------

    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
    ----------------------------------------------------------------------------------------------------------------
    California..............................  Marine Corps Base, Camp
                                               Pendleton................  138 units.................     $20,000,000
                                              Marine Corps Base, Camp
                                               Pendleton................  Community Center..........      $1,438,000
                                              Marine Corps Base, Camp
                                               Pendleton................  Housing Office............        $707,000
                                              Naval Air Station, Lemoore  240 units.................     $34,900,000
                                              Pacific Missile Test
                                               Center, Point Mugu.......  Housing Office............      $1,020,000
                                              Public Works Center, San
                                               Diego....................  346 units.................     $49,310,000
    Hawaii..................................  Naval Complex, Oahu.......  252 units.................     $48,400,000
    Maryland................................  Naval Air Test Center,
                                               Patuxent River...........  Warehouse.................        $890,000
                                              US Naval Academy,
                                               Annapolis................  Housing Office............        $800,000
    North Carolina..........................  Marine Corps Air Station,
                                               Cherry Point.............  Community Center..........      $1,003,000
    Pennsylvania............................  Navy Ships Parts Control
                                               Center, Mechanicsburg....  Housing Office............        $300,000
    Puerto Rico.............................  Naval Station, Roosevelt
                                               Roads....................  Housing Office............        $710,000
    Virginia................................  Naval Surface Warfare
                                               Center, Dahlgren.........  Housing Office............        $520,000
                                              Public Works Center,
                                               Norfolk..................  320 units.................     $42,500,000
                                              Public Works Center,
                                               Norfolk..................  Housing Office............      $1,390,000
    West Virginia...........................  Security Group Naval
                                               Detachment, Sugar Grove..   23 units.................      $3,590,000
                                                                                                     ---------------
                                                                              Total:................    $207,478,000

    ----------------------------------------------------------------------------------------------------------------

        (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 $24,390,000.

    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 $290,831,000.

    SEC. 2204. AUTHORIZATION OF APPROPRIATIONS, NAVY.

        (a) In General.--Subject to subsection (c), funds are hereby
    authorized to be appropriated for fiscal years beginning after
    September 30, 1995, for military construction, land acquisition, and
    military family housing functions of the Department of the Navy in the
    total amount of $2,119,317,000 as follows:
            (1) For military construction projects inside the United States
        authorized by section 2201(a), $427,709,000.
            (2) For military construction projects outside the United
        States authorized by section 2201(b), $69,250,000.
            (3) For unspecified minor construction projects authorized by
        section 2805 of title 10, United States Code, $7,200,000.
            (4) For architectural and engineering services and construction
        design under section 2807 of title 10, United States Code,
        $50,515,000.
            (5) For military family housing functions:
                (A) For construction and acquisition, planning and design,
            and improvement of military family housing and facilities,
            $522,699,000.
                (B) For support of military housing (including functions
            described in section 2833 of title 10, United States Code),
            $1,048,329,000.
        (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); and
            (2) $7,700,000 (the balance of the amount authorized under
        section 2201(a) for the construction of a bachelor enlisted
        quarters at the Naval Construction Batallion Center, Port Hueneme,
        California).
        (c) Adjustment.--The total amount authorized to be appropriated
    pursuant to paragraphs (1) through (5) of subsection (a) is the sum of
    the amounts authorized to be appropriated in such paragraphs, reduced
    by $6,385,000, which represents the combination of project savings
    resulting from favorable bids, reduced overhead costs, and
    cancellations due to force structure changes.
    SEC. 2205. REVISION OF FISCAL YEAR 1995 AUTHORIZATION OF APPROPRIATIONS
    TO CLARIFY AVAILABILITY OF FUNDS FOR LARGE ANECHOIC CHAMBER FACILITY,
    PATUXENT RIVER NAVAL WARFARE CENTER, MARYLAND.
        Section 2204(a) of the Military Construction Authorization Act for
    Fiscal Year 1995 (division B of Public Law 103-337; 108 Stat. 3033) is
    amended--
            (1) in the matter preceding paragraph (1), by striking out
        ``$1,591,824,000'' and inserting in lieu thereof
        ``$1,601,824,000''; and
            (2) by adding at the end the following:
            ``(6) For the construction of the large anechoic 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.''.
    SEC. 2206. AUTHORITY TO CARRY OUT LAND ACQUISITION PROJECT, HAMPTON
    ROADS, VIRGINIA.
        The table in section 2201(a) of the Military Construction
    Authorization Act for Fiscal Year 1993 (division B of Public Law 102-
    484; 106 Stat. 2589) is amended--
            (1) in the item relating to Damneck, Fleet Combat Training
        Center, Virginia, by striking out ``$19,427,000'' in the amount
        column and inserting in lieu thereof ``$14,927,000''; and
            (2) by inserting after the item relating to Damneck, Fleet
        Combat Training Center, Virginia, the following new item:

    ------------------------------------------------------------------------

    ------------------------------------------------------------------------
                                     Hampton Roads..........      $4,500,000
    ------------------------------------------------------------------------

    SEC. 2207. ACQUISITION OF LAND, HENDERSON HALL, ARLINGTON, VIRGINIA.

        (a) Authority To Acquire.--Using amounts appropriated pursuant to
    the authorization of appropriations in section 2204(a)(1), the
    Secretary of the Navy may acquire all right, title, and interest of any
    party in and to a parcel of real property, including an abandoned
    mausoleum, consisting of approximately 0.75 acres and located in
    Arlington, Virginia, the site of Henderson Hall.
        (b) Demolition of Mausoleum.--Using amounts appropriated pursuant
    to the authorization of appropriations in section 2204(a)(1), the
    Secretary may--
            (1) demolish the mausoleum located on the parcel acquired under
        subsection (a); and
            (2) provide for the removal and disposition in an appropriate
        manner of the remains contained in the mausoleum.
        (c) Authority To Design Public Works Facility.--Using amounts
    appropriated pursuant to the authorization of appropriations in section
    2204(a)(1), the Secretary may obtain architectural and engineering
    services and construction design for a warehouse and office facility
    for the Marine Corps to be constructed on the property acquired under
    subsection (a).
        (d) Description of Property.--The exact acreage and legal
    description of the real property authorized to be acquired 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 Secretary.
        (e) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the acquisition
    under subsection (a) as the Secretary considers appropriate to protect
    the interests of the United States.
    SEC. 2208. ACQUISITION OR CONSTRUCTION OF MILITARY FAMILY HOUSING IN
    VICINITY OF SAN DIEGO, CALIFORNIA.
        (a) Authority To Use Litigation Proceeds.--Upon final settlement in
    the case of Rossmoor Liquidating Trust against United States, in the
    United States District Court for the Central District of California
    (Case No. CV 82-0956 LEW (Px)), the Secretary of the Treasury shall
    deposit in a separate account any funds paid to the United States in
    settlement of such case. At the request of the Secretary of the Navy,
    the Secretary of the Treasury shall make available amounts in the
    account to the Secretary of the Navy solely for the acquisition or
    construction of military family housing, including the acquisition of
    land necessary for such acquisition or construction, for members of the
    Armed Forces and their dependents stationed in, or in the vicinity of,
    San Diego, California. In using amounts in the account, the Secretary
    of the Navy may use the authorities provided in subchapter IV of
    chapter 169 of title 10, United States Code, as added by section 2801
    of this Act.
        (b) Units Authorized.--Not more than 150 military family housing
    units may be acquired or constructed with funds referred to in
    subsection (a). The units authorized by this subsection are in addition
    to any other units of military family housing authorized to be acquired
    or constructed in, or in the vicinity of, San Diego, California.
        (c) Payment of Excess Into Treasury.--The Secretary of the Treasury
    shall deposit into the Treasury as miscellaneous receipts funds
    referred to in subsection (a) that have not been obligated for
    construction under this section within four years after receipt
    thereof.
        (d) Limitation.--The Secretary may not enter into any contract for
    the acquisition or construction of military family housing under this
    section until after the expiration of the 21-day period beginning on
    the day after the day on which the Secretary transmits to the
    congressional defense committees a report containing the details of
    such contract.
        (e) Repeal of Existing Authority.--Section 2848 of the Military
    Construction Authorization Act for Fiscal Years 1990 and 1991 (division
    B of Public Law 101-189; 103 Stat. 1666) is repealed.

                             TITLE XXIII--AIR FORCE

    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), and, in
    the case of the project described in section 2304(b)(2), other amounts
    appropriated pursuant to authorizations enacted after this Act for that
    project, 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          $5,200,000
                                        Base.
    Alaska...........................  Eielson Air Force
                                        Base................      $7,850,000
                                       Elmendorf Air Force
                                        Base................      $9,100,000
                                       Tin City Long Range
                                        RADAR Site..........      $2,500,000
    Arizona..........................  Davis-Monthan Air          $4,800,000
                                        Force Base.
                                       Luke Air Force Base..      $5,200,000
    Arkansas.........................  Little Rock Air Force      $2,500,000
                                        Base.
    California.......................  Beale Air Force Base.      $7,500,000
                                       Edwards Air Force         $33,800,000
                                        Base.
                                       Travis Air Force Base     $26,700,000
                                       Vandenberg Air Force       $6,000,000
                                        Base.
    Colorado.........................  Buckley Air National       $5,500,000
                                        Guard Base.
                                       Peterson Air Force         $4,390,000
                                        Base.
                                       US Air Force Academy.     $12,874,000
    Delaware.........................  Dover Air Force Base.      $5,500,000
    District of Columbia.............  Bolling Air Force         $12,100,000
                                        Base.
    Florida..........................  Cape Canaveral Air         $1,600,000
                                        Force Station.
                                       Eglin Air Force Base.     $13,500,000
                                       Tyndall Air Force          $1,200,000
                                        Base.
    Georgia..........................  Moody Air Force Base.     $25,190,000
                                       Robins Air Force Base     $12,400,000
    Hawaii...........................  Hickam Air Force Base     $10,700,000
    Idaho............................  Mountain Home Air         $18,650,000
                                        Force Base.
    Illinois.........................  Scott Air Force Base.     $12,700,000
    Kansas...........................  McConnell Air Force        $9,450,000
                                        Base.
    Louisiana........................  Barksdale Air Force        $2,500,000
                                        Base.
    Maryland.........................  Andrews Air Force         $12,886,000
                                        Base.
    Mississippi......................  Columbus Air Force         $1,150,000
                                        Base.
                                       Keesler Air Force          $6,500,000
                                        Base.
    Missouri.........................  Whiteman Air Force        $24,600,000
                                        Base.
    Nevada...........................  Nellis Air Force Base     $17,500,000
    New Jersey.......................  McGuire Air Force         $16,500,000
                                        Base.
    New Mexico.......................  Cannon Air Force Base     $13,420,000
                                       Holloman Air Force         $6,000,000
                                        Base.
                                       Kirtland Air Force         $9,156,000
                                        Base.
    North Carolina...................  Pope Air Force Base..      $8,250,000
                                       Seymour Johnson Air        $5,530,000
                                        Force Base.
    North Dakota.....................  Grand Forks Air Force     $14,800,000
                                        Base.
                                       Minot Air Force Base.      $1,550,000
    Ohio.............................  Wright Patterson Air       $4,100,000
                                        Force Base.
    Oklahoma.........................  Altus Air Force Base.      $4,800,000
                                       Tinker Air Force Base     $11,100,000
    South Carolina...................  Charleston Air Force      $12,500,000
                                        Base.
                                       Shaw Air Force Base..      $1,300,000
    South Dakota.....................  Ellsworth Air Force        $7,800,000
                                        Base.
    Tennessee........................  Arnold Air Force Base      $5,000,000
    Texas............................  Dyess Air Force Base.      $5,400,000
                                       Goodfellow Air Force       $1,000,000
                                        Base.
                                       Kelly Air Force Base.      $3,244,000
                                       Laughlin Air Force         $1,400,000
                                        Base.
                                       Randolph Air Force         $3,100,000
                                        Base.
                                       Sheppard Air Force         $1,500,000
                                        Base.
    Utah.............................  Hill Air Force Base..      $8,900,000
    Virginia.........................  Langley Air Force          $1,000,000
                                        Base.
    Washington.......................  Fairchild Air Force       $15,700,000
                                        Base.
                                       McChord Air Force          $9,900,000
                                        Base.
    Wyoming..........................  F.E. Warren Air Force      $9,000,000
                                        Base.
    CONUS Classified.................  Classified Location..        $700,000
                                                             ---------------
                                           Total:...........    $504,690,000

    ------------------------------------------------------------------------

        (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 may 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..........................  Spangdahlem Air Base.      $8,380,000
                                       Vogelweh Annex.......      $2,600,000
    Greece...........................  Araxos Radio Relay         $1,950,000
                                        Site.
    Italy............................  Aviano Air Base......      $2,350,000
                                       Ghedi Radio Relay          $1,450,000
                                        Site.
    Turkey...........................  Ankara Air Station...      $7,000,000
                                       Incirlik Air Base....      $4,500,000
    United Kingdom...................  Lakenheath Royal Air
                                        Force Base..........      $1,820,000
                                       Mildenhall Royal Air       $2,250,000
                                        Force Base.
    Overseas Classified..............  Classified Location..     $17,100,000
                                                             ---------------
                                           Total:...........     $49,400,000

    ------------------------------------------------------------------------

    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/Country                      Installation                   Purpose               Amount
    ----------------------------------------------------------------------------------------------------------------
    Alaska..................................  Elmendorf Air Force Base..  Housing Office/Maintenance      $3,000,000
                                                                           Facility.
    Arizona.................................  Davis-Monthan Air Force     80 units..................      $9,498,000
                                               Base.
    Arkansas................................  Little Rock Air Force Base  Replace 1 General Officer         $210,000
                                                                           Quarters.
    California..............................  Beale Air Force Base......  Family Housing Office.....        $842,000
                                              Edwards Air Force Base....  127 units.................     $20,750,000
                                              Vandenberg Air Force Base.  Family Housing Office.....        $900,000
                                              Vandenberg Air Force Base.  143 units.................     $20,200,000
    Colorado................................  Peterson Air Force Base...  Family Housing Office.....        $570,000
    District of Columbia....................  Bolling Air Force Base....  32 units..................      $4,100,000
    Florida.................................  Eglin Air Force Base......  Family Housing Office.....        $500,000
                                              Eglin Auxiliary Field 9...  Family Housing Office.....        $880,000
                                              MacDill Air Force Base....  Family Housing Office.....        $646,000
                                              Patrick Air Force Base....  70 units..................      $7,947,000
                                              Tyndall Air Force Base....  82 units..................      $9,800,000
    Georgia.................................  Moody Air Force Base......  1 Officer & 1 General             $513,000
                                                                           Officer Quarter.
                                              Robins Air Force Base.....  83 units..................      $9,800,000
    Guam....................................  Andersen Air Force Base...  Housing Maintenance             $1,700,000
                                                                           Facility.
    Idaho...................................  Mountain Home Air Force     Housing Management                $844,000
                                               Base.                       Facility.
    Kansas..................................  McConnell Air Force Base..  39 units..................      $5,193,000
    Louisiana...............................  Barksdale Air Force Base..  62 units..................     $10,299,000
    Massachusetts...........................  Hanscom Air Force Base....  32 units..................      $4,900,000
    Mississippi.............................  Keesler Air Force Base....  98 units..................      $9,300,000
    Missouri................................  Whiteman Air Force Base...  72 units..................      $9,948,000
    Nevada..................................  Nellis Air Force Base.....  102 units.................     $16,357,000
    New Mexico..............................  Holloman Air Force Base...  1 General Officer Quarters        $225,000
                                              Kirtland Air Force Base...  105 units.................     $11,000,000
    North Carolina..........................  Pope Air Force Base.......  104 units.................      $9,984,000
                                              Seymour Johnson Air Force   1 General Officer Quarters        $204,000
                                               Base.
    South Carolina..........................  Shaw Air Force Base.......  Housing Maintenance               $715,000
                                                                           Facility.
    Texas...................................  Dyess Air Force Base......  Housing Maintenance               $580,000
                                                                           Facility.
                                              Lackland Air Force Base...  67 units..................      $6,200,000
                                              Sheppard Air Force Base...  Management Office.........        $500,000
                                              Sheppard Air Force Base...  Housing Maintenance               $600,000
                                                                           Facility.
    Turkey..................................  Incirlik Air Base.........  150 units.................     $10,146,000
    Washington..............................  McChord Air Force Base....  50 units..................      $9,504,000
                                                                                                     ---------------
                                                                              Total:................    $198,355,000

    ----------------------------------------------------------------------------------------------------------------

        (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 $8,989,000.

    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
    $90,959,000.

    SEC. 2304. AUTHORIZATION OF APPROPRIATIONS, AIR FORCE.

        (a) In General.--Subject to subsection (c), funds are hereby
    authorized to be appropriated for fiscal years beginning after
    September 30, 1995, for military construction, land acquisition, and
    military family housing functions of the Department of the Air Force in
    the total amount of $1,735,086,000 as follows:
            (1) For military construction projects inside the United States
        authorized by section 2301(a), $504,690,000.
            (2) For military construction projects outside the United
        States authorized by section 2301(b), $49,400,000.
            (3) For unspecified minor construction projects authorized by
        section 2805 of title 10, United States Code, $9,030,000.
            (4) For architectural and engineering services and construction
        design under section 2807 of title 10, United States Code,
        $30,835,000.
            (5) For military housing functions:
                (A) For construction and acquisition, planning and design
            and improvement of military family housing and facilities,
            $298,303,000.
                (B) For support of military family housing (including the
            functions described in section 2833 of title 10, United States
            Code), $849,213,000.
        (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--
            (1) the total amount authorized to be appropriated under
        paragraphs (1) and (2) of subsection (a); and
            (2) $5,400,000 (the balance of the amount authorized under
        section 2301(a) for the construction of a corrosion control
        facility at Tinker Air Force Base, Oklahoma).
        (c) Adjustment.--The total amount authorized to be appropriated
    pursuant to paragraphs (1) through (5) of subsection (a) is the sum of
    the amounts authorized to be appropriated in such paragraphs, reduced
    by $6,385,000, which represents the combination of project savings
    resulting from favorable bids, reduced overhead costs, and
    cancellations due to force structure changes.
    SEC. 2305. RETENTION OF ACCRUED INTEREST ON FUNDS DEPOSITED FOR
    CONSTRUCTION OF FAMILY HOUSING, SCOTT AIR FORCE BASE, ILLINOIS.
        (a) Retention of Interest.--Section 2310 of the Military
    Construction Authorization Act for Fiscal Year 1994 (division B of
    Public Law 103-160; 107 Stat. 1874) is amended--
            (1) by redesignating subsection (b) as subsection (c); and
            (2) by inserting after subsection (a) the following new
        subsection:
        ``(b) Retention of Interest.--Interest accrued on the funds
    transferred to the County pursuant to subsection (a) shall be retained
    in the same account as the transferred funds and shall be available to
    the County for the same purpose as the transferred funds.''.
        (b) Limitation on Units Constructed.--Subsection (c) of such
    section, as redesignated by subsection (a)(1), is amended by adding at
    the end the following new sentence: ``The number of units constructed
    using the transferred funds (and interest accrued on such funds) may
    not exceed the number of units of military family housing authorized
    for Scott Air Force Base in section 2302(a) of the Military
    Construction Authorization Act for Fiscal Year 1993.''.
        (c) Effect of Completion of Construction.--Such section is further
    amended by adding at the end the following new subsection:
        ``(d) Completion of Construction.--Upon the completion of the
    construction authorized by this section, all funds remaining from the
    funds transferred pursuant to subsection (a), and the remaining
    interest accrued on such funds, shall be deposited in the general fund
    of the Treasury of the United States.''.
        (d) Reports on Accrued Interest.--Such section is further amended
    by adding at the end the following new subsection:
        ``(e) Reports on Accrued Interest.--Not later than March 1 of each
    year following a year in which funds available to the County under this
    section are used by the County for the purpose referred to in
    subsection (c), the Secretary shall submit to the congressional defense
    committees a report setting forth the amount of interest that accrued
    on such funds during the preceding year.''.

                          TITLE XXIV--DEFENSE AGENCIES

    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 2405(a)(1), and, in
    the case of the project described in section 2405(b)(2), other amounts
    appropriated pursuant to authorizations enacted after this Act for that
    project, 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/State                   location            Amount
    ------------------------------------------------------------------------
    Ballistic Missile Defense
     Organization
    Texas............................  Fort Bliss...........     $13,600,000

    Defense Finance & Accounting
     Service
    Ohio.............................  Columbus Center......     $72,403,000

    Defense Intelligence Agency
    District of Columbia.............  Bolling Air Force
                                        Base................        $498,000

    Defense Logistics Agency
    Alabama..........................  Defense Distribution
                                        Anniston............      $3,550,000
    California.......................  Defense Distribution
                                        Stockton............     $15,000,000
                                       DFSC, Point Mugu.....        $750,000
    Delaware.........................  DFSC, Dover Air Force
                                        Base................     $15,554,000
    Florida..........................  DFSC, Eglin Air Force
                                        Base................      $2,400,000
    Louisiana........................  DFSC, Barksdale Air
                                        Force Base..........     $13,100,000
    New Jersey.......................  DFSC, McGuire Air
                                        Force Base..........     $12,000,000
    Pennsylvania.....................  Defense Distribution
                                        New Cumberland--DDSP      $4,600,000
    Virginia.........................  Defense Distribution
                                        Depot--DDNV.........     $10,400,000

    Defense Mapping Agency
    Missouri.........................  Defense Mapping
                                        Agency Aerospace
                                        Center..............     $40,300,000

    Defense Medical Facility Office
    Alabama..........................  Maxwell Air Force
                                        Base................     $10,000,000
    Arizona..........................  Luke Air Force Base..      $8,100,000
    California.......................  Fort Irwin...........      $6,900,000
                                       Marine Corps Base,
                                        Camp Pendleton......      $1,700,000
                                       Vandenberg Air Force
                                        Base................      $5,700,000
    Delaware.........................  Dover Air Force Base.      $4,400,000
    Georgia..........................  Fort Benning.........      $5,600,000
    Louisiana........................  Barksdale Air Force
                                        Base................      $4,100,000
    Maryland.........................  Bethesda Naval
                                        Hospital............      $1,300,000
                                       Walter Reed Army
                                        Institute of
                                        Research............      $1,550,000
    Texas............................  Fort Hood............      $5,500,000
                                       Lackland Air Force
                                        Base................      $6,100,000
    Virginia.........................  Northwest Naval
                                        Security Group
                                        Activity............      $4,300,000

    National Security Agency
    Maryland.........................  Fort Meade...........     $18,733,000

    Office of the Secretary of
     Defense
    Inside the United States.........  Classified location..     $11,500,000

    Department of Defense Dependents
     Schools
    Alabama..........................  Maxwell Air Force
                                        Base................      $5,479,000
    Georgia..........................  Fort Benning.........      $1,116,000
    South Carolina...................  Fort Jackson.........        $576,000

    Special Operations Command
    California.......................  Camp Pendleton.......      $5,200,000
    Florida..........................  Eglin Air Force Base
                                        (Duke Field)........      $2,400,000
                                       Eglin Auxiliary Field
                                        9...................     $14,150,000
    North Carolina...................  Fort Bragg...........     $23,800,000
    Pennsylvania.....................  Olmstead Field,
                                        Harrisburg IAP......      $1,643,000
    Virginia.........................  Dam Neck.............      $4,500,000
                                       Naval Amphibious
                                        Base, Little Creek..      $6,100,000
                                                             ---------------

                                           Total:...........    $364,602,000
    ------------------------------------------------------------------------

        (b) Outside the United States.--Using amounts appropriated pursuant
    to the authorization of appropriations in section 2405(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
    ------------------------------------------------------------------------
              Agency/Country             Installation name        Amount
    ------------------------------------------------------------------------
    Defense Logistics Agency
    Puerto Rico......................  Defense Fuel Support
                                        Point, Roosevelt
                                        Roads...............      $6,200,000
    Spain............................  DFSC Rota............      $7,400,000

    Defense Medical Facility Office
    Italy............................  Naval Support
                                        Activity, Naples....      $5,000,000

    Department of Defense Dependents
     Schools
    Germany..........................  Ramstein Air Force
                                        Base................     $19,205,000
    Italy............................  Naval Air Station,
                                        Sigonella...........      $7,595,000

    National Security Agency
    United Kingdom...................  Menwith Hill Station.        $677,000

    Special Operations Command
    Guam.............................  Naval Station, Guam..      $8,800,000
                                                             ---------------
                                           Total:...........     $54,877,000
    ------------------------------------------------------------------------

    SEC. 2402. MILITARY FAMILY HOUSING PRIVATE INVESTMENT.

        (a) Availability of Funds for Investment.--Of the amount authorized
    to be appropriated pursuant to section 2405(a)(11)(A), $22,000,000
    shall be available for crediting to the Department of Defense Family
    Housing Improvement Fund established by section 2883(a)(1) of title 10,
    United States Code (as added by section 2801 of this Act).
        (b) Use of Funds.--The Secretary of Defense may use funds credited
    to the Department of Defense Family Housing Improvement Fund under
    subsection (a) to carry out any activities authorized by subchapter IV
    of chapter 169 of such title (as added by such section) with respect to
    military family housing.

    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 appropriations in
    section 2405(a)(11)(A), the Secretary of Defense may improve existing
    military family housing units in an amount not to exceed $3,772,000.

    SEC. 2404. ENERGY CONSERVATION PROJECTS.

        Using amounts appropriated pursuant to the authorization of
    appropriations in section 2405(a)(9), the Secretary of Defense may
    carry out energy conservation projects under section 2865 of title 10,
    United States Code.

    SEC. 2405. AUTHORIZATION OF APPROPRIATIONS, DEFENSE AGENCIES.

        (a) In General.--Funds are hereby authorized to be appropriated for
    fiscal years beginning after September 30, 1995, 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 $4,629,491,000 as follows:
            (1) For military construction projects inside the United States
        authorized by section 2401(a), $329,599,000.
            (2) For military construction projects outside the United
        States authorized by section 2401(b), $54,877,000.
            (3) For military construction projects at Portsmouth Naval
        Hospital, Virginia, 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), $47,900,000.
            (4) For military construction projects at Elmendorf Air Force
        Base, Alaska, 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), $28,100,000.
            (5) 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), $27,000,000.
            (6) For unspecified minor construction projects under section
        2805 of title 10, United States Code, $23,007,000.
            (7) For contingency construction projects of the Secretary of
        Defense under section 2804 of title 10, United States Code,
        $11,037,000.
            (8) For architectural and engineering services and construction
        design under section 2807 of title 10, United States Code,
        $68,837,000.
            (9) For energy conservation projects authorized by section
        2404, $40,000,000.
            (10) 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),
        $3,897,892,000.
            (11) For military family housing functions:
                (A) For construction and acquisition and improvement of
            military family housing and facilities, $25,772,000.
                (B) For support of military housing (including functions
            described in section 2833 of title 10, United States Code),
            $40,467,000, of which not more than $24,874,000 may be
            obligated or expended for the leasing of military family
            housing units worldwide.
        (b) Limitation of 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); and
            (2) $35,003,000 (the balance of the amount authorized under
        section 2401(a) for the construction of a center of the Defense
        Finance and Accounting Service at Columbus, Ohio).
    SEC. 2406. LIMITATIONS ON USE OF DEPARTMENT OF DEFENSE BASE CLOSURE
    ACCOUNT 1990.
        (a) Set Aside for 1995 Round.--Of the amounts appropriated pursuant
    to the authorization of appropriations in section 2405(a)(10),
    $784,569,000 shall be available only for the purposes described in
    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) with
    respect to military installations approved for closure or realignment
    in 1995.
        (b) Construction.--Amounts appropriated pursuant to the
    authorization of appropriations in section 2405(a)(10) may not be
    obligated to carry out a construction project with respect to military
    installations approved for closure or realignment in 1995 until after
    the date on which the Secretary of Defense submits to Congress a five-
    year program for executing the 1995 base realignment and closure plan.
    The limitation contained in this subsection shall not prohibit site
    surveys, environmental baseline surveys, environmental analysis under
    the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.),
    and planning and design work conducted in anticipation of such
    construction.
    SEC. 2407. MODIFICATION OF AUTHORITY TO CARRY OUT FISCAL YEAR 1995
    PROJECTS.
        The table in section 2401 of the Military Construction
    Authorization Act for Fiscal Year 1995 (division B of Public Law 103-
    337; 108 Stat. 3040), under the agency heading relating to Chemical
    Weapons and Munitions Destruction, is amended--
            (1) in the item relating to Pine Bluff Arsenal, Arkansas, by
        striking out ``$3,000,000'' in the amount column and inserting in
        lieu thereof ``$115,000,000''; and
            (2) in the item relating to Umatilla Army Depot, Oregon, by
        striking out ``$12,000,000'' in the amount column and inserting in
        lieu thereof ``$186,000,000''.
    SEC. 2408. REDUCTION IN AMOUNTS AUTHORIZED TO BE APPROPRIATED FOR
    FISCAL YEAR 1994 CONTINGENCY CONSTRUCTION PROJECTS.
        Section 2403(a) of the Military Construction Authorization Act for
    Fiscal Year 1994 (division B of Public Law 103-160; 107 Stat. 1876) is
    amended--
            (1) in the matter preceding paragraph (1), by striking out
        ``$3,268,394,000'' and inserting in lieu thereof
        ``$3,260,263,000''; and
            (2) in paragraph (10), by striking out ``$12,200,000'' and
        inserting in lieu thereof ``$4,069,000''.

          TITLE XXV--NORTH ATLANTIC TREATY ORGANIZATION INFRASTRUCTURE

    SEC. 2501. AUTHORIZED NATO CONSTRUCTION AND LAND ACQUISITION PROJECTS.
        The Secretary of Defense may make contributions for the North
    Atlantic Treaty Organization Infrastructure 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, 1995, 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 Organization Infrastructure program, as authorized by
    section 2501, in the amount of $161,000,000.

                TITLE XXVI--GUARD AND RESERVE FORCES FACILITIES

    SEC. 2601. AUTHORIZED GUARD AND RESERVE CONSTRUCTION AND LAND
    ACQUISITION PROJECTS.
        There are authorized to be appropriated for fiscal years beginning
    after September 30, 1995, 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 133
    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,
            $134,802,000; and
                (B) for the Army Reserve, $73,516,000.
            (2) For the Department of the Navy, for the Naval and Marine
        Corps Reserve, $19,055,000.
            (3) For the Department of the Air Force--
                (A) for the Air National Guard of the United States,
            $170,917,000; and
                (B) for the Air Force Reserve, $36,232,000.
    SEC. 2602. REDUCTION IN AMOUNT AUTHORIZED TO BE APPROPRIATED FOR FISCAL
    YEAR 1994 AIR NATIONAL GUARD PROJECTS.
        Section 2601(3)(A) of the Military Construction Authorization Act
    for Fiscal Year 1994 (division B of Public Law 103-160; 107 Stat. 1878)
    is amended by striking out ``$236,341,000'' and inserting in lieu
    thereof ``$229,641,000''.
    SEC. 2603. CORRECTION IN AUTHORIZED USES OF FUNDS FOR ARMY NATIONAL
    GUARD PROJECTS IN MISSISSIPPI.
        (a) In General.--Subject to subsection (b), amounts appropriated
    pursuant to the authorization of appropriations in section 2601(1)(A)
    of the Military Construction Authorization Act for Fiscal Year 1994
    (division B of Public Law 103-160; 107 Stat. 1878) for the addition or
    alteration of Army National Guard Armories at various locations in the
    State of Mississippi shall be available for the addition, alteration,
    or new construction of armory facilities and an operation and
    maintenance shop facility (including the acquisition of land for such
    facilities) at various locations in the State of Mississippi.
        (b) Notice and Wait.--The amounts referred to in subsection (a)
    shall not be available for construction with respect to a facility
    referred to in that subsection until 21 days after the date on which
    the Secretary of the Army submits to Congress a report describing the
    construction (including any land acquisition) to be carried out with
    respect to the facility.

            TITLE XXVII--EXPIRATION AND EXTENSION OF AUTHORIZATIONS

    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 Infrastructure program (and authorizations
    of appropriations therefor) shall expire on the later of--
            (1) October 1, 1998; or
            (2) the date of the enactment of an Act authorizing funds for
        military construction for fiscal year 1999.
        (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 Infrastructure program (and authorizations of
    appropriations therefor), for which appropriated funds have been
    obligated before the later of--
            (1) October 1, 1998; or
            (2) the date of the enactment of an Act authorizing funds for
        fiscal year 1999 for military construction projects, land
        acquisition, family housing projects and facilities, or
        contributions to the North Atlantic Treaty Organization
        Infrastructure program.
    SEC. 2702. 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 2601 of that Act or in section 2201 of that Act (as amended by
    section 2206 of this Act), shall remain in effect until October 1,
    1996, or thedate of the enactment of an Act authorizing funds for
    military construction for fiscal year 1997, whichever is later.
        (b) Tables.--The tables referred to in subsection (a) are as
    follows:

                                     Army: Extension of 1993 Project Authorizations
    ----------------------------------------------------------------------------------------------------------------
                     State                   Installation or Location             Project                 Amount
    ----------------------------------------------------------------------------------------------------------------
    Arkansas..............................  Pine Bluff Arsenal.......  Ammunition Demilitarization       $15,000,000
                                                                        Support Facility.
    Hawaii................................  Schofield Barracks.......  Add/Alter Sewage Treatment        $17,500,000
                                                                        Plant.
    ----------------------------------------------------------------------------------------------------------------

                                     Navy: Extension of 1993 Project Authorizations
    ----------------------------------------------------------------------------------------------------------------
                     State                   Installation or Location             Project                 Amount
    ----------------------------------------------------------------------------------------------------------------
    California............................  Camp Pendleton Marine      Sewage Treatment Plant            $19,740,000
                                             Corps Base.                Modifications.
    Maryland..............................  Patuxent River Naval       Large Anechoic Chamber, Phase     $60,990,000
                                             Warfare Center.            I.
    Mississippi...........................  Meridian Naval Air         Child Development Center.....      $1,100,000
                                             Station.
    Virginia..............................  Hampton Roads............  Land Acquisition.............      $4,500,000
    ----------------------------------------------------------------------------------------------------------------

                                   Air Force: Extension of 1993 Project Authorizations
    ----------------------------------------------------------------------------------------------------------------
                     State                   Installation or Location             Project                 Amount
    ----------------------------------------------------------------------------------------------------------------
    Arkansas..............................  Little Rock Air Force      Fire Training Facility.......        $710,000
                                             Base.
    District of Columbia..................  Bolling Air Force Base...  Civil Engineer Complex.......      $9,400,000
    Mississippi...........................  Keesler Air Force Base...  Alter Student Dormitory......      $3,100,000
    North Carolina........................  Pope Air Force Base......  Construct Bridge Road and          $4,000,000
                                                                        Utilities.
                                            Pope Air Force Base......  Munitions Storage Complex....      $4,300,000
    Virginia..............................  Langley Air Force Base...  Base Engineer Complex........      $5,300,000
    Guam..................................  Andersen Air Base........  Landfill.....................     $10,000,000
    Portugal..............................  Lajes Field..............  Water Wells..................        $865,000
                                            Lajes Field..............  Fire Training Facility.......        $950,000
    ----------------------------------------------------------------------------------------------------------------

                              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
    Oregon................................  La Grande................  Organizational Maintenance         $1,220,000
                                                                        Shop.
                                            La Grande................  Armory Addition..............      $3,049,000
    Pennsylvania..........................  Indiana..................  Armory.......................      $1,700,000
    Rhode Island..........................  North Kingston...........  Add/Alter Armory.............      $3,330,000
    ----------------------------------------------------------------------------------------------------------------

                                 Army Reserve: Extension of 1993 Project Authorizations
    ----------------------------------------------------------------------------------------------------------------
                     State                   Installation or Location             Project                 Amount
    ----------------------------------------------------------------------------------------------------------------
    West Virginia.........................  Bluefield................  United States Army Reserve         $1,921,000
                                                                        Center.
                                            Clarksburg...............  United States Army Reserve         $1,566,000
                                                                        Center.
                                            Grantville...............  United States Army Reserve         $2,785,000
                                                                        Center.
                                            Lewisburg................  United States Army Reserve         $1,631,000
                                                                        Center.
                                            Weirton..................  United States Army Reserve         $3,481,000
                                                                        Center.
    ----------------------------------------------------------------------------------------------------------------

    SEC. 2703. 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 tables in subsection (b), as provided in section 2101
    or 2601 of that Act, and extended by section 2702 of the Military
    Construction Authorization Act for Fiscal Year 1995 (division B of
    Public Law 103-337; 108 Stat. 3047), shall remain in effect until
    October 1, 1996, or the date of the enactment of an Act authorizing
    funds for military construction for fiscal year 1997, whichever is
    later.
        (b) Tables.--The tables referred to in subsection (a) are as
    follows:

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

                              Army National Guard: Extension of 1992 Project Authorization
    ----------------------------------------------------------------------------------------------------------------
                     State                   Installation or Location             Project                 Amount
    ----------------------------------------------------------------------------------------------------------------
    Ohio..................................  Toledo...................  Armory.......................      $3,183,000
    ----------------------------------------------------------------------------------------------------------------

                                  Army Reserve: Extension of 1992 Project Authorization
    ----------------------------------------------------------------------------------------------------------------
                     State                   Installation or Location             Project                 Amount
    ----------------------------------------------------------------------------------------------------------------
    Tennessee.............................  Jackson..................  Joint Training Facility......      $1,537,000
    ----------------------------------------------------------------------------------------------------------------

                        TITLE XXVIII--GENERAL PROVISIONS
             Subtitle A--Military Housing Privatization Initiative

    SEC. 2801. ALTERNATIVE AUTHORITY FOR CONSTRUCTION AND IMPROVEMENT OF
    MILITARY HOUSING.
        (a) Alternative Authority To Construct and Improve Military
    Housing.--(1) Chapter 169 of title 10, United States Code, is amended
    by adding at the end the following new subchapter:

    ``SUBCHAPTER IV--ALTERNATIVE AUTHORITY FOR ACQUISITION AND IMPROVEMENT
                              OF MILITARY HOUSING

    ``Sec.
    ``2871. Definitions.
    ``2872. General authority.
    ``2873. Direct loans and loan guarantees.
    ``2874. Leasing of housing to be constructed.
    ``2875. Investments in nongovernmental entities.
    ``2876. Rental guarantees.
    ``2877. Differential lease payments.
    ``2878. Conveyance or lease of existing property and facilities.
    ``2879. Interim leases.
    ``2880. Unit size and type.
    ``2881. Ancillary supporting facilities.
    ``2882. Assignment of members of the armed forces to housing units.
    ``2883. Department of Defense Housing Funds.
    ``2884. Reports.
    ``2885. Expiration of authority.

    ``Sec. 2871. Definitions

        ``In this subchapter:
            ``(1) The term `ancillary supporting facilities' means
        facilities related to military housing units, including child care
        centers, day care centers, tot lots, community centers, housing
        offices, dining facilities, unit offices, and other similar
        facilities for the support of military housing.
            ``(2) The term `base closure law' means the following:
                ``(A) Section 2687 of this title.
                ``(B) Title II of the Defense Authorization Amendments and
            Base Closure and Realignment Act (Public Law 100-526; 10 U.S.C.
            2687 note).
                ``(C) 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).
            ``(3) The term `construction' means the construction of
        military housing units and ancillary supporting facilities or the
        improvement or rehabilitation of existing units or ancillary
        supporting facilities.
            ``(4) The term `contract' includes any contract, lease, or
        other agreement entered into under the authority of this
        subchapter.
            ``(5) The term `Fund' means the Department of Defense Family
        Housing Improvement Fund or the Department of Defense Military
        Unaccompanied Housing Improvement Fund established under section
        2883(a) of this title.
            ``(6) The term `military unaccompanied housing' means military
        housing intended to be occupied by members of the armed forces
        serving a tour of duty unaccompanied by dependents.
            ``(7) The term `United States' includes the Commonwealth of
        Puerto Rico.

    ``Sec. 2872. General authority

        ``In addition to any other authority provided under this chapter
    for the acquisition or construction of military family housing or
    military unaccompanied housing, the Secretary concerned may exercise
    any authority or any combination of authorities provided under this
    subchapter in order to provide for the acquisition or construction by
    private persons of the following:
            ``(1) Family housing units on or near military installations
        within the United States and its territories and possessions.
            ``(2) Military unaccompanied housing units on or near such
        military installations.

    ``Sec. 2873. Direct loans and loan guarantees

        ``(a) Direct Loans.--(1) Subject to subsection (c), the Secretary
    concerned may make direct loans to persons in the private sector in
    order to provide funds to such persons for the acquisition or
    construction of housing units that the Secretary determines are
    suitable for use as military family housing or as military
    unaccompanied housing.
        ``(2) The Secretary concerned shall establish such terms and
    conditions with respect to loans made under this subsection as the
    Secretary considers appropriate to protect the interests of the United
    States, including the period and frequency for repayment of such loans
    and the obligations of the obligors on such loans upon default.
        ``(b) Loan Guarantees.--(1) Subject to subsection (c), the
    Secretary concerned may guarantee a loan made to any person in the
    private sector if the proceeds of the loan are to be used by the person
    to acquire, or construct housing units that the Secretary determines
    are suitable for use as military family housing or as military
    unaccompanied housing.
        ``(2) The amount of a guarantee on a loan that may be provided
    under paragraph (1) may not exceed the amount equal to the lesser of--
            ``(A) the amount equal to 80 percent of the value of the
        project; or
            ``(B) the amount of the outstanding principal of the loan.
        ``(3) The Secretary concerned shall establish such terms and
    conditions with respect to guarantees of loans under this subsection as
    the Secretary considers appropriate to protect the interests of the
    United States, including the rights and obligations of obligors of such
    loans and the rights and obligations of the United States with respect
    to such guarantees.
        ``(c) Limitation on Direct Loan and Guarantee Authority.--Direct
    loans and loan guarantees may be made under this section only to the
    extent that appropriations of budget authority to cover their cost (as
    defined in section 502(5) of the Federal Credit Reform Act of 1990 (2
    U.S.C. 661a(5))) are made in advance, or authority is otherwise
    provided in appropriation Acts. If such appropriation or other
    authority is provided, there may be established a financingaccount (as
    defined in section 502(7) of such Act (2 U.S.C. 661a(7))), which shall
    be available for the disbursement of direct loans or payment of claims
    for payment on loan guarantees under this section and for all other
    cash flows to and from the Government as a result of direct loans and
    guarantees made under this section.

    ``Sec. 2874. Leasing of housing to be constructed

        ``(a) Build and Lease Authorized.--The Secretary concerned may
    enter into contracts for the lease of military family housing units or
    military unaccompanied housing units to be constructed under this
    subchapter.
        ``(b) Lease Terms.--A contract under this section may be for any
    period that the Secretary concerned determines appropriate and may
    provide for the owner of the leased property to operate and maintain
    the property.

    ``Sec. 2875. Investments in nongovernmental entities

        ``(a) Investments Authorized.--The Secretary concerned may make
    investments in nongovernmental entities carrying out projects for the
    acquisition or construction of housing units suitable for use as
    military family housing or as military unaccompanied housing.
        ``(b) Forms of Investment.--An investment under this section may
    take the form of an acquisition of a limited partnership interest by
    the United States, a purchase of stock or other equity instruments by
    the United States, a purchase of bonds or other debt instruments by the
    United States, or any combination of such forms of investment.
        ``(c) Limitation on Value of Investment.--(1) The cash amount of an
    investment under this section in a nongovernmental entity may not
    exceed an amount equal to 33\1/3\ percent of the capital cost (as
    determined by the Secretary concerned) of the project or projects that
    the entity proposes to carry out under this section with the
    investment.
        ``(2) If the Secretary concerned conveys land or facilities to a
    nongovernmental entity as all or part of an investment in the entity
    under this section, the total value of the investment by the Secretary
    under this section may not exceed an amount equal to 45 percent of the
    capital cost (as determined by the Secretary) of the project or
    projects that the entity proposes to carry out under this section with
    the investment.
        ``(3) In this subsection, the term `capital cost', with respect to
    a project for the acquisition or construction of housing, means the
    total amount of the costs included in the basis of the housing for
    Federal income tax purposes.
        ``(d) Collateral Incentive Agreements.--The Secretary concerned
    shall enter into collateral incentive agreements with nongovernmental
    entities in which the Secretary makes an investment under this section
    to ensure that a suitable preference will be afforded members of the
    armed forces and their dependents in the lease or purchase, as the case
    may be, of a reasonable number of the housing units covered by the
    investment.

    ``Sec. 2876. Rental guarantees

        ``The Secretary concerned may enter into agreements with private
    persons that acquire or construct military family housing units or
    military unaccompanied housing units under this subchapter in order to
    assure--
            ``(1) the occupancy of such units at levels specified in the
        agreements; or
            ``(2) rental income derived from rental of such units at levels
        specified in the agreements.

    ``Sec. 2877. Differential lease payments

        ``Pursuant to an agreement entered into by the Secretary concerned
    and a private lessor of military family housing or military
    unaccompanied housing to members of the armed forces, the Secretary may
    pay the lessor an amount in addition to the rental payments for the
    housing made by the members as the Secretary determines appropriate to
    encourage the lessor to make the housing available to members of the
    armed forces as military family housing or as military unaccompanied
    housing.
    ``Sec. 2878. Conveyance or lease of existing property and facilities
        ``(a) Conveyance or Lease Authorized.--The Secretary concerned may
    convey or lease property or facilities (including ancillary supporting
    facilities) to private persons for purposes of using the proceeds of
    such conveyance or lease to carry out activities under this subchapter.
        ``(b) Inapplicability to Property at Installation Approved for
    Closure.--The authority of this section does not apply to property or
    facilities located on or near a military installation approved for
    closure under a base closure law.
        ``(c) Terms and Conditions.--(1) The conveyance or lease of
    property or facilities under this section shall be for such
    consideration and upon such terms and conditions as the Secretary
    concerned considers appropriate for the purposes of this subchapter and
    to protect the interests of the United States.
        ``(2) As part or all of the consideration for a conveyance or lease
    under this section, the purchaser or lessor (as the case may be) shall
    enter into an agreement with the Secretary to ensure that a suitable
    preference will be afforded members of the armed forces and their
    dependents in the lease or sublease of a reasonable number of the
    housing units covered by the conveyance or lease, as the case may be,
    or in the lease of other suitable housing units made available by the
    purchaser or lessee.
        ``(d) Inapplicability of Certain Property Management Laws.--The
    conveyance or lease of property or facilities under this section shall
    not be subject to the following provisions of law:
            ``(1) Section 2667 of this title.
            ``(2) The Federal Property and Administrative Services Act of
        1949 (40 U.S.C. 471 et seq.).
            ``(3) Section 321 of the Act of June 30, 1932 (commonly known
        as the Economy Act) (40 U.S.C. 303b).
            ``(4) Section 501 of the Stewart B. McKinney Homeless
        Assistance Act (42 U.S.C. 11401).

    ``Sec. 2879. Interim leases

        ``Pending completion of a project to acquire or construct military
    family housing units or military unaccompanied housing units under this
    subchapter, the Secretary concerned may provide for the interim lease
    of such units of the project as are complete. The term of a lease under
    this section may not extend beyond the date of the completion of the
    project concerned.

    ``Sec. 2880. Unit size and type

        ``(a) Conformity With Similar Housing Units in Locale.--The
    Secretary concerned shall ensure that the room patterns and floor areas
    of military family housing units and military unaccompanied housing
    units acquired or constructed under this subchapter are generally
    comparable to the room patterns and floor areas of similar housing
    units in the locality concerned.
        ``(b) Inapplicability of Limitations on Space by Pay Grade.--(1)
    Section 2826 of this title shall not apply to military family housing
    units acquired or constructed under this subchapter.
        ``(2) The regulations prescribed under section 2856 of this title
    shall not apply to any military unaccompanied housing unit acquired or
    constructed under this subchapter unless the unit is located on a
    military installation.

    ``Sec. 2881. Ancillary supporting facilities

        ``Any project for the acquisition or construction of military
    family housing units or military unaccompanied housing units under this
    subchapter may include the acquisition or construction of ancillary
    supporting facilities for the housing units concerned.
    ``Sec. 2882. Assignment of members of the armed forces to housing units
        ``(a) In General.--The Secretary concerned may assign members of
    the armed forces to housing units acquired or constructed under this
    subchapter.
        ``(b) Effect of Certain Assignments on Entitlement to Housing
    Allowances.--(1) Except as provided in paragraph (2), housing referred
    to in subsection (a) shall be considered as quarters of the United
    States or a housing facility under the jurisdiction of a uniformed
    service for purposes of section 403(b) of title 37.
        ``(2) A member of the armed forces who is assigned in accordance
    with subsection (a) to a housing unit not owned or leased by the United
    States shall be entitled to a basic allowance for quarters under
    section 403 of title 37 and, if in a high housing cost area, a variable
    housing allowance under section 403a of that title.
        ``(c) Lease Payments Through Pay Allotments.--The Secretary
    concerned may require members of the armed forces who lease housing in
    housing units acquired or constructed under this subchapter to make
    lease payments for such housing pursuant to allotments of the pay of
    such members under section 701 of title 37.

    ``Sec. 2883. Department of Defense Housing Funds

        ``(a) Establishment.--There are hereby established on the books of
    the Treasury the following accounts:
            ``(1) The Department of Defense Family Housing Improvement
        Fund.
            ``(2) The Department of Defense Military Unaccompanied Housing
        Improvement Fund.
        ``(b) Commingling of Funds Prohibited.--(1) The Secretary of
    Defense shall administer each Fund separately.
        ``(2) Amounts in the Department of Defense Family Housing
    Improvement Fund may be used only to carry out activities under this
    subchapter with respect to military family housing.
        ``(3) Amounts in the Department of Defense Military Unaccompanied
    Housing Improvement Fund may be used only to carry out activities under
    this subchapter with respect to military unaccompanied housing.
        ``(c) Credits to Funds.--(1) There shall be credited to the
    Department of Defense Family Housing Improvement Fund the following:
            ``(A) Amounts authorized for and appropriated to that Fund.
            ``(B) Subject to subsection (f), any amounts that the Secretary
        of Defense transfers, in such amounts as provided in appropriation
        Acts, to that Fund from amounts authorized and appropriated to the
        Department of Defense for the acquisition or construction of
        military family housing.
            ``(C) Proceeds from the conveyance or lease of property or
        facilities under section 2878 of this title for the purpose of
        carrying out activities under this subchapter with respect to
        military family housing.
            ``(D) Income derived from any activities under this subchapter
        with respect to military family housing, including interest on
        loans made under section 2873 of this title, income and gains
        realized from investments under section 2875 of this title, and any
        return of capital invested as part of such investments.
        ``(2) There shall be credited to the Department of Defense Military
    Unaccompanied Housing Improvement Fund the following:
            ``(A) Amounts authorized for and appropriated to that Fund.
            ``(B) Subject to subsection (f), any amounts that the Secretary
        of Defense transfers, in such amounts as provided in appropriation
        Acts, to that Fund from amounts authorized and appropriated to the
        Department of Defense for the acquisition or construction of
        military unaccompanied housing.
            ``(C) Proceeds from the conveyance or lease of property or
        facilities under section 2878 of this title for the purpose of
        carrying out activities under this subchapter with respect to
        military unaccompanied housing.
            ``(D) Income derived from any activities under this subchapter
        with respect to military unaccompanied housing, including interest
        on loans made under section 2873 of this title, income and gains
        realized from investmentsunder section 2875 of this title, and any
    return of capital invested as part of such investments.
        ``(d) Use of Amounts in Funds.--(1) In such amounts as provided in
    appropriation Acts and except as provided in subsection (e), the
    Secretary of Defense may use amounts in the Department of Defense
    Family Housing Improvement Fund to carry out activities under this
    subchapter with respect to military family housing, including
    activities required in connection with the planning, execution, and
    administration of contracts entered into under the authority of this
    subchapter.
        ``(2) In such amounts as provided in appropriation Acts and except
    as provided in subsection (e), the Secretary of Defense may use amounts
    in the Department of Defense Military Unaccompanied Housing Improvement
    Fund to carry out activities under this subchapter with respect to
    military unaccompanied housing, including activities required in
    connection with the planning, execution, and administration of
    contracts entered into under the authority of this subchapter.
        ``(3) Amounts made available under this subsection shall remain
    available until expended. The Secretary of Defense may transfer amounts
    made available under this subsection to the Secretaries of the military
    departments to permit such Secretaries to carry out the activities for
    which such amounts may be used.
        ``(e) Limitation on Obligations.--The Secretary may not incur an
    obligation under a contract or other agreement entered into under this
    subchapter in excess of the unobligated balance, at the time the
    contract is entered into, of the Fund required to be used to satisfy
    the obligation.
        ``(f) Notification Required for Transfers.--A transfer of
    appropriated amounts to a Fund under paragraph (1)(B) or (2)(B) of
    subsection (c) may be made only after the end of the 30-day period
    beginning on the date the Secretary of Defense submits written notice
    of, and justification for, the transfer to the appropriate committees
    of Congress.
        ``(g) Limitation on Amount of Budget Authority.--The total value in
    budget authority of all contracts and investments undertaken using the
    authorities provided in this subchapter shall not exceed--
            ``(1) $850,000,000 for the acquisition or construction of
        military family housing; and
            ``(2) $150,000,000 for the acquisition or construction of
        military unaccompanied housing.

    ``Sec. 2884. Reports

        ``(a) Project Reports.--(1) The Secretary of Defense shall transmit
    to the appropriate committees of Congress a report describing--
            ``(A) each contract for the acquisition or construction of
        family housing units or unaccompanied housing units that the
        Secretary proposes to solicit under this subchapter; and
            ``(B) each conveyance or lease proposed under section 2878 of
        this title.
        ``(2) The report shall describe the proposed contract, conveyance,
    or lease and the intended method of participation of the United States
    in the contract, conveyance, or lease and provide a justification of
    such method of participation. The report shall be submitted not later
    than 30 days before the date on which the Secretary issues the contract
    solicitation or offers the conveyance or lease.
        ``(b) Annual Reports.--The Secretary of Defense shall include each
    year in the materials that the Secretary submits to Congress in support
    of the budget submitted by the President pursuant to section 1105 of
    title 31 the following:
            ``(1) A report on the expenditures and receipts during the
        preceding fiscal year covering the Funds established under section
        2883 of this title.
            ``(2) A methodology for evaluating the extent and effectiveness
        of the use of the authorities under this subchapter during such
        preceding fiscal year.
            ``(3) A description of the objectives of the Department of
        Defense for providing military family housing and military
        unaccompanied housing for members of the armed forces.

    ``Sec. 2885. Expiration of authority

        ``The authority to enter into a contract under this subchapter
    shall expire five years after the date of the enactment of the National
    Defense Authorization Act for Fiscal Year 1996.''.
        (2) The table of subchapters at the beginning of such chapter is
    amended by inserting after the item relating to subchapter III the
    following new item:

    ``IV. Alternative Authority for Acquisition and Improvement of
    Military Housing.................................................2871''.

        (b) Final Report.--Not later than March 1, 2000, the Secretary of
    Defense shall submit to the congressional defense committees a report
    on the use by the Secretary of Defense and the Secretaries of the
    military departments of the authorities provided by subchapter IV of
    chapter 169 of title 10, United States Code, as added by subsection
    (a). The report shall assess the effectiveness of such authority in
    providing for the construction and improvement of military family
    housing and military unaccompanied housing.
    SEC. 2802. EXPANSION OF AUTHORITY FOR LIMITED PARTNERSHIPS FOR
    DEVELOPMENT OF MILITARY FAMILY HOUSING.
        (a) Participation of Other Military Departments.--(1) Subsection
    (a)(1) of section 2837 of title 10, United States Code, is amended by
    striking out ``of the naval service'' and inserting in lieu thereof
    ``of the armed forces''.
        (2) Subsection (b)(1) of such section is amended by striking out
    ``of the naval service'' and inserting in lieu thereof ``of the armed
    forces''.
        (b) Administration.--(1) Subsection (a)(1) of such section is
    further amended by striking out ``the Secretary of the Navy'' in the
    first sentence and inserting in lieu thereof ``the Secretary of a
    military department''.
        (2) Subsections (a)(2), (b), (c), (g), and (h) of such section are
    amended by striking out ``Secretary'' each place it appears and
    inserting in lieu thereof ``Secretary concerned''.
        (c) Account.--Subsection (d) of such section is amended to read as
    follows:
        ``(d) Account.--(1) There is hereby established on the books of the
    Treasury an account to be known as the `Defense Housing Investment
    Account'.
        ``(2) There shall be deposited into the Account--
            ``(A) such funds as may be authorized for and appropriated to
        the Account;
            ``(B) any proceeds received by the Secretary concerned from the
        repayment of investments or profits on investments of the Secretary
        under subsection (a); and
            ``(C) any unobligated balances which remain in the Navy Housing
        Investment Account as of the date of the enactment of the National
        Defense Authorization Act for Fiscal Year 1996.
        ``(3) From such amounts as are provided in advance in appropriation
    Acts, funds in the Account shall be available to the Secretaries
    concerned in amounts determined by the Secretary of Defense for
    contracts, investments, and expenses necessary for the implementation
    of this section.
        ``(4) The Secretary concerned may not enter into a contract in
    connection with a limited partnership under subsection (a) or a
    collateral incentive agreement under subsection (b) unless a sufficient
    amount of the unobligated balance of the funds in the Account is
    available to the Secretary, as of the time the contract is entered
    into, to satisfy the total obligations to be incurred by the United
    States under the contract.''.
        (d) Termination of Navy Housing Investment Board.--Such section is
    further amended--
            (1) by striking out subsection (e); and
            (2) in subsection (h)--
                (A) by striking out ``Authorities'' in the subsection
            heading and inserting in lieu thereof ``Authority'';
                (B) by striking out ``(1)''; and
                (C) by striking out paragraph (2).
        (e) Report.--Subsection (f) of such section is amended--
            (1) by striking out ``the Secretary carries out activities''
        and inserting in lieu thereof ``activities are carried out''; and
            (2) by striking out ``the Secretary shall'' and inserting in
        lieu thereof ``the Secretaries concerned shall jointly''.
        (f) Extension of Authority.--Subsection (h) of such section is
    further amended by striking out ``September 30, 1999'' and inserting in
    lieu thereof ``September 30, 2000''.
        (g) Conforming Amendment.--Subsection (g) of such section is
    further amended by striking out ``Navy'' in the subsection heading.

      Subtitle B--Other Military Construction Program and Military Family
                                Housing Changes

    SEC. 2811. SPECIAL THRESHOLD FOR UNSPECIFIED MINOR CONSTRUCTION
    PROJECTS TO CORRECT LIFE, HEALTH, OR SAFETY DEFICIENCIES.
        (a) Special Threshold.--Section 2805 of title 10, United States
    Code, is amended--
            (1) in subsection (a)(1), by adding at the end the following
        new sentence: ``However, if the military construction project is
        intended solely to correct a deficiency that is life-threatening,
        health-threatening, or safety-threatening, a minor military
        construction project may have an approved cost equal to or less
        than $3,000,000.''; and
            (2) in subsection (c)(1), by striking out ``not more than
        $300,000.'' and inserting in lieu thereof ``not more than--
            ``(A) $1,000,000, in the case of an unspecified military
        construction project intended solely to correct a deficiency that
        is life-threatening, health-threatening, or safety-threatening; or
            ``(B) $300,000, in the case of any other unspecified military
        construction project.''.
        (b) Technical Amendment.--Section 2861(b)(6) of such title is
    amended by striking out ``section 2805(a)(2)'' and inserting in lieu
    thereof ``section 2805(a)(1)''.
    SEC. 2812. CLARIFICATION OF SCOPE OF UNSPECIFIED MINOR CONSTRUCTION
    AUTHORITY.
        Section 2805(a)(1) of title 10, United States Code, as amended by
    section 2811 of this Act, is further amended by striking out ``(1) that
    is for a single undertaking at a military installation, and (2)'' in
    the second sentence.
    SEC. 2813. TEMPORARY AUTHORITY TO WAIVE NET FLOOR AREA LIMITATION FOR
    FAMILY HOUSING ACQUIRED IN LIEU OF CONSTRUCTION.
        Section 2824(c) of title 10, United States Code, is amended by
    adding at the end the following new sentence: ``The Secretary concerned
    may waive the limitation set forth in the preceding sentence to family
    housing units acquired under this section during the five-year period
    beginning on the date of the enactment of the National Defense
    Authorization Act for Fiscal Year 1996.''.
    SEC. 2814. REESTABLISHMENT OF AUTHORITY TO WAIVE NET FLOOR AREA
    LIMITATION ON ACQUISITION BY PURCHASE OF CERTAIN MILITARY FAMILY
    HOUSING.
        Section 2826(e) of title 10, United States Code, is amended by
    striking out the second sentence.
    SEC. 2815. TEMPORARY AUTHORITY TO WAIVE LIMITATIONS ON SPACE BY PAY
    GRADE FOR MILITARY FAMILY HOUSING UNITS.
        Section 2826 of title 10, United States Code, is amended by adding
    at the end the following new subsection:
        ``(i)(1) The Secretary concerned may waive the provisions of
    subsection (a) with respect to military family housing units
    constructed, acquired, or improved during the five-year period
    beginning on the date of the enactment of the National Defense
    Authorization Act for Fiscal Year 1996.
        ``(2) The total number of military family housing units
    constructed, acquired, or improved during any fiscal year in theperiod
    referred to in paragraph (1) shall be the total number of such units
    authorized by law for that fiscal year.''.

    SEC. 2816. RENTAL OF FAMILY HOUSING IN FOREIGN COUNTRIES.

        Section 2828(e) of title 10, United States Code, is amended--
            (1) in paragraph (1)--
                (A) by striking out ``300 units'' in the first sentence and
            inserting in lieu thereof ``450 units''; and
                (B) by striking out ``220 such units'' in the second
            sentence and inserting in lieu thereof ``350 such units''; and
            (2) in paragraph (2), by striking out ``300 units'' and
        inserting in lieu thereof ``450 units''.
    SEC. 2817. CLARIFICATION OF SCOPE OF REPORT REQUIREMENT ON COST
    INCREASES UNDER CONTRACTS FOR MILITARY FAMILY HOUSING CONSTRUCTION.
        Subsection (d) of section 2853 of title 10, United States Code, is
    amended to read as follows:
        ``(d) The limitation on cost increases in subsection (a) does not
    apply to the settlement of a contractor claim under a contract.''.
    SEC. 2818. AUTHORITY TO CONVEY DAMAGED OR DETERIORATED MILITARY FAMILY
    HOUSING.
        (a) Authority.--(1) Subchapter III of chapter 169 of title 10,
    United States Code, is amended by inserting after section 2854 the
    following new section:
    ``Sec. 2854a. Conveyance of damaged or deteriorated military family
          housing; use of proceeds
        ``(a) Authority To Convey.--(1) The Secretary concerned may convey
    any family housing facility that, due to damage or deterioration, is in
    a condition that is uneconomical to repair. Any conveyance of a family
    housing facility under this section may include a conveyance of the
    real property associated with the facility conveyed.
        ``(2) The authority of this section does not apply to family
    housing facilities located at military installations approved for
    closure under a base closure law or family housing facilities located
    at an installation outside the United States at which the Secretary of
    Defense terminates operations.
        ``(3) The aggregate total value of the family housing facilities
    conveyed by the Department of Defense under the authority in this
    subsection in any fiscal year may not exceed $5,000,000.
        ``(4) For purposes of this subsection, a family housing facility is
    in a condition that is uneconomical to repair if the cost of the
    necessary repairs for the facility would exceed the amount equal to 70
    percent of the cost of constructing a family housing facility to
    replace such facility.
        ``(b) Consideration.--(1) As consideration for the conveyance of a
    family housing facility under subsection (a), the person to whom the
    facility is conveyed shall pay the United States an amount equal to the
    fair market value of the facility conveyed, including any real property
    conveyed along with the facility.
        ``(2) The Secretary concerned shall determine the fair market value
    of any family housing facility and associated real property that is
    conveyed under subsection (a). Such determination shall be final.
        ``(c) Notice and Wait Requirements.--The Secretary concerned may
    not enter into an agreement to convey a family housing facility under
    this section until--
            ``(1) the Secretary submits to the appropriate committees of
        Congress, in writing, a justification for the conveyance under the
        agreement, including--
                ``(A) an estimate of the consideration to be provided the
            United States under the agreement;
                ``(B) an estimate of the cost of repairing the family
            housing facility to be conveyed; and
                ``(C) an estimate of the cost of replacing the family
            housing facility to be conveyed; and
            ``(2) a period of 21 calendar days has elapsed after the date
        on which the justification is received by the committees.
        ``(d) Inapplicability of Certain Property Disposal Laws.--The
    following provisions of law do not apply to the conveyance of a family
    housing facility under this section:
            ``(1) The Federal Property and Administrative Services Act of
        1949 (40 U.S.C. 471 et seq.).
            ``(2) Title V of the Stewart B. McKinney Homeless Assistance
        Act (42 U.S.C. 11411 et seq.).
        ``(e) Use of Proceeds.--(1) The proceeds of any conveyance of a
    family housing facility under this section shall be credited to the
    appropriate fund established under section 2883 of this title and shall
    be available--
            ``(A) to construct family housing units to replace the family
        housing facility conveyed under this section, but only to the
        extent that the number of units constructed with such proceeds does
        not exceed the number of units of military family housing of the
        facility conveyed;
            ``(B) to repair or restore existing military family housing;
        and
            ``(C) to reimburse the Secretary concerned for the costs
        incurred by the Secretary in conveying the family housing facility.
        ``(2) Notwithstanding section 2883(d) of this title, proceeds
    derived from a conveyance of a family housing facility under this
    section shall be available under paragraph (1) without any further
    appropriation.
        ``(f) Description of Property.--The exact acreage and legal
    description of any family housing facility conveyed under this section,
    including any real property associated with such facility, shall be
    determined by such means as the Secretary concerned considers
    satisfactory, including by survey in the case of real property.
        ``(g) Additional Terms and Conditions.--The Secretary concerned may
    require such additional terms and conditions in connection with the
    conveyance of family housing facilities under this section as the
    Secretary considers appropriate to protect the interests of the United
    States.''.
        (2) The table of sections at the beginning of such subchapter is
    amended by inserting after the item relating to section 2854 the
    following new item:
    ``2854a. Conveyance of damaged or deteriorated military family housing;
              use of proceeds.''.

        (b) Conforming Amendment.--Section 204(h) of the Federal Property
    and Administrative Services Act of 1949 (40 U.S.C. 485(h)) is amended--
            (1) by redesignating paragraph (4) as paragraph (5); and
            (2) by inserting after paragraph (3) the following new
        paragraph (4):
        ``(4) This subsection does not apply to damaged or deteriorated
    military family housing facilities conveyed under section 2854a of
    title 10, United States Code.''.
    SEC. 2819. ENERGY AND WATER CONSERVATION SAVINGS FOR THE DEPARTMENT OF
    DEFENSE.
        (a) Inclusion of Water Efficient Maintenance in Energy Performance
    Plan.--Paragraph (3) of section 2865(a) of title 10, United States
    Code, is amended by striking out ``energy efficient maintenance'' and
    inserting in lieu thereof ``energy efficient maintenance or water
    efficient maintenance''.
        (b) Scope of Term.--Paragraph (4) of such section is amended--
            (1) in the matter preceding subparagraph (A), by striking out
        ```energy efficient maintenance''' and inserting in lieu thereof
        ```energy efficient maintenance or water efficient maintenance''';
            (2) in subparagraph (A), by striking out ``systems or
        industrial processes,'' in the matter preceding clause (i) and
        inserting in lieu thereof ``systems, industrial processes, or water
        efficiency applications,''; and
            (3) in subparagraph (B), by inserting ``or water cost savings''
        before the period at the end.
    SEC. 2820. EXTENSION OF AUTHORITY TO ENTER INTO LEASES OF LAND FOR
    SPECIAL OPERATIONS ACTIVITIES.
        (a) Extension of Authority.--Subsection (d) of section 2680 of
    title 10, United States Code, is amended in the first sentence by
    striking out ``September 30, 1995'' and inserting in lieu thereof
    ``September 30, 2000''.
        (b) Reporting Requirement.--Such section is further amended by
    adding at the end the following new subsection:
        ``(e) Reports.--Not later than March 1 of each year, the Secretary
    of Defense shall submit to the Committee on the Armed Services of the
    Senate and the Committee on National Security of the House of
    Representatives a report that--
            ``(1) identifies each leasehold interest acquired during the
        previous fiscal year under subsection (a); and
            ``(2) contains a discussion of each project for the
        construction or modification of facilities carried out pursuant to
        subsection (c) during such fiscal year.''.
        (c) Conforming Repeal.--Section 2863 of the National Defense
    Authorization Act for Fiscal Years 1992 and 1993 (Public Law 102-190;
    10 U.S.C. 2680 note) is amended by striking out subsection (b).
    SEC. 2821. DISPOSITION OF AMOUNTS RECOVERED AS A RESULT OF DAMAGE TO
    REAL PROPERTY.
        (a) In General.--Chapter 165 of title 10, United States Code, is
    amended by inserting after section 2781 the following new section:
    ``Sec. 2782. Damage to real property: disposition of amounts recovered
        ``Except as provided in section 2775 of this title, amounts
    recovered for damage caused to real property under the jurisdiction of
    the Secretary of a military department or, with respect to the Defense
    Agencies, under the jurisdiction of the Secretary of Defense shall be
    credited to the account available for the repair or replacement of the
    real property at the time of recovery. In such amounts as are provided
    in advance in appropriation Acts, amounts so credited shall be
    available for use for the same purposes and under the same
    circumstances as other funds in the account.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by inserting after the item relating to section
    2781 the following new item:
    ``2782. Damage to real property: disposition of amounts recovered.''.
    SEC. 2822. PILOT PROGRAM TO PROVIDE INTEREST RATE BUY DOWN AUTHORITY ON
    LOANS FOR HOUSING WITHIN HOUSING SHORTAGE AREAS AT MILITARY
    INSTALLATIONS.
        (a) Short Title.--This section may be cited as the ``Military
    Housing Assistance Act of 1995''.
        (b) Mortgage Assistance Payment Authority of the Secretary of
    Veterans Affairs.--(1) Chapter 37 of title 38, United States Code, is
    amended by inserting after section 3707 the following:

    ``Sec. 3708. Authority to buy down interest rates: pilot program

        ``(a) In order to enable the purchase of housing in areas where the
    supply of suitable military housing is inadequate, the Secretary may
    conduct a pilot program under which the Secretary may make periodic or
    lump sum assistance payments on behalf of an eligible veteran for the
    purpose of buying down the interest rate on a loan to that veteran that
    is guaranteed under this chapter for a purpose described in paragraph
    (1), (6), or (10) of section 3710(a) of this title.
        ``(b) An individual is an eligible veteran for the purposes of this
    section if--
            ``(1) the individual is a veteran, as defined in section
        3701(b)(4) of this title;
            ``(2) the individual submits an application for a loan
        guaranteed under this chapter within one year of an assignment of
        the individual to duty at a military installation in the United
        States designated by the Secretary of Defense as a housing shortage
        area;
            ``(3) at the time the loan referred to in subsection (a) is
        made, the individual is an enlisted member, warrant officer, or an
        officer (other than a warrant officer) at a pay grade of O-3 or
        below;
            ``(4) the individual has not previously used any of the
        individual's entitlement to housing loan benefits under this
        chapter; and
            ``(5) the individual receives comprehensive prepurchase
        counseling from the Secretary (or the designee of the Secretary)
        before making application for a loan guaranteed under this chapter.
        ``(c) Loans with respect to which the Secretary may exercise the
    buy down authority under subsection (a) shall--
            ``(1) provide for a buy down period of not more than three
        years in duration;
            ``(2) specify the maximum and likely amounts of increases in
        mortgage payments that the loans would require; and
            ``(3) be subject to such other terms and conditions as the
        Secretary may prescribe by regulation.
        ``(d) The Secretary shall promulgate underwriting standards for
    loans for which the interest rate assistance payments may be made under
    subsection (a). Such standards shall be based on the interest rate for
    the second year of the loan.
        ``(e) The Secretary or lender shall provide comprehensive
    prepurchase counseling to eligible veterans explaining the features of
    interest rate buy downs under subsection (a), including a hypothetical
    payment schedule that displays the increases in monthly payments to the
    mortgagor over the first five years of the mortgage term. For the
    purposes of this subsection, the Secretary may assign personnel to
    military installations referred to in subsection (b)(2).
        ``(f) There is authorized to be appropriated $3,000,000 annually to
    carry out this section.
        ``(g) The Secretary may not guarantee a loan under this chapter
    after September 30, 1998, on which the Secretary is obligated to make
    payments under this section.''.
        (2) The table of sections at the beginning of chapter 37 of title
    38, United States Code, is amended by inserting after the item relating
    to section 3707 to following new item:
    ``3708. Authority to buy down interest rates: pilot program.''.

        (c) Authority of Secretary of Defense.--
            (1) Reimbursement for buy down costs.--The Secretary of Defense
        shall reimburse the Secretary of Veterans Affairs for amounts paid
        by the Secretary of Veterans Affairs to mortgagees under section
        3708 of title 38, United States Code, as added by subsection (b).
            (2) Designation of housing shortage areas.--For purposes of
        section 3708 of title 38, United States Code, the Secretary of
        Defense may designate as a housing shortage area a military
        installation in the United States at which the Secretary determines
        there is a shortage of suitable housing to meet the military family
        needs of members of the Armed Forces and the dependents of such
        members.
            (3) Report.--Not later than March 30, 1998, the Secretary shall
        submit to Congress a report regarding the effectiveness of the
        authority provided in section 3708 of title 38, United States Code,
        in ensuring that members of the Armed Forces and their dependents
        have access to suitable housing. The report shall include the
        recommendations of the Secretary regarding whether the authority
        provided in this subsection should be extended beyond the date
        specified in paragraph (5).
            (4) Earmark.--Of the amount provided in section 2405(a)(11)(B),
        $10,000,000 for fiscal year 1996 shall be available to carry out
        this subsection.
            (5) Sunset.--This subsection shall not apply with respect to
        housing loans guaranteed after September 30, 1998, for which
        assistance payments are paid under section 3708 of title 38, United
        States Code.

                Subtitle C--Defense Base Closure and Realignment

    SEC. 2831. DEPOSIT OF PROCEEDS FROM LEASES OF PROPERTY LOCATED AT
    INSTALLATIONS BEING CLOSED OR REALIGNED.
        (a) Exception to Existing Requirements.--Section 2667(d) of title
    10, United States Code, is amended--
            (1) in paragraph (1)(A)(ii), by inserting ``or (5)'' after
        ``paragraph (4)''; and
            (2) by adding at the end the following new paragraph:
        ``(5) Money rentals received by the United States from a lease
    under subsection (f) shall be deposited into the account established
    under section 2906(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).''.
        (b) Corresponding Amendments to Base Closure Laws.--(1) Section
    207(a)(7) of the Defense Authorization Amendments and Base Closure and
    Realignment Act (Public Law 100-526; 10 U.S.C. 2687 note) is amended by
    striking out ``transfer or disposal'' and inserting in lieu thereof
    ``lease, transfer, or disposal''.
        (2) Section 2906(a)(2) of the Defense Base Closure and Realignment
    Act of 1990 (part A of title XXIX of Public Law 101-510; 10 U.S.C. 2867
    note) is amended--
            (A) in subparagraph (C), by striking out ``transfer or
        disposal'' and inserting in lieu thereof ``lease, transfer, or
        disposal''; and
            (B) in subparagraph (D), by striking out ``transfer or
        disposal'' and inserting in lieu thereof ``lease, transfer, or
        disposal''.
    SEC. 2832. IN-KIND CONSIDERATION FOR LEASES AT INSTALLATIONS TO BE
    CLOSED OR REALIGNED.
        Section 2667(f) of title 10, United States Code, is amended by
    adding at the end the following new paragraph:
        ``(4) The Secretary concerned may accept under subsection (b)(5)
    services of a lessee for an entire installation to be closed or
    realigned under a base closure law, or for any part of such
    installation, without regard to the requirement in subsection (b)(5)
    that a substantial part of the installation be leased.''.
    SEC. 2833. INTERIM LEASES OF PROPERTY APPROVED FOR CLOSURE OR
    REALIGNMENT.
        Section 2667(f) of title 10, United States Code, is amended by
    adding after paragraph (4), as added by section 2832 of this Act, the
    following new paragraph:
        ``(5)(A) Notwithstanding the National Environmental Policy Act of
    1969 (42 U.S.C. 4321 et seq.), the scope of any environmental impact
    analysis necessary to support an interim lease of property under this
    subsection shall be limited to the environmental consequences of
    activities authorized under the proposed lease and the cumulative
    impacts of other past, present, and reasonably foreseeable future
    actions during the period of the proposed lease.
        ``(B) Interim leases entered into under this subsection shall be
    deemed not to prejudice the final disposal decision with respect to the
    property, even if final disposal of the property is delayed until
    completion of the term of the interim lease. An interim lease under
    this subsection shall not be entered into without prior consultation
    with the redevelopment authority concerned.
        ``(C) Subparagraphs (A) and (B) shall not apply to an interim lease
    under this subsection if authorized activities under the lease would--
            ``(i) significantly affect the quality of the human
        environment; or
            ``(ii) irreversibly alter the environment in a way that would
        preclude any reasonable disposal alternative of the property
        concerned.''.
    SEC. 2834. AUTHORITY TO LEASE PROPERTY REQUIRING ENVIRONMENTAL
    REMEDIATION AT INSTALLATIONS APPROVED FOR CLOSURE OR REALIGNMENT.
        Section 120(h)(3) of the Comprehensive Environmental Response,
    Compensation, and Liability Act of 1980 (42 U.S.C.9620(h)(3)) is
    amended in the matter following subparagraph (C)--
            (1) by striking out the first sentence; and
            (2) by adding at the end, flush to the paragraph margin, the
        following:
        ``The requirements of subparagraph (B) shall not apply in any case
        in which the person or entity to whom the real property is
        transferred is a potentially responsible party with respect to such
        property. The requirements of subparagraph (B) shall not apply in
        any case in which the transfer of the property occurs or has
        occurred by means of a lease, without regard to whether the lessee
        has agreed to purchase the property or whether the duration of the
        lease is longer than 55 years. In the case of a lease entered into
        after September 30, 1995, with respect to real property located at
        an installation approved for closure or realignment under a base
        closure law, the agency leasing the property, in consultation with
        the Administrator, shall determine before leasing the property that
        the property is suitable for lease, that the uses contemplated for
        the lease are consistent with protection of human health and the
        environment, and that there are adequate assurances that the United
        States will take all remedial action referred to in subparagraph
        (B) that has not been taken on the date of the lease.''.
    SEC. 2835. FINAL FUNDING FOR DEFENSE BASE CLOSURE AND REALIGNMENT
    COMMISSION.
        Section 2902(k) 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 paragraph:
        ``(3)(A) The Secretary may transfer not more than $300,000 from
    unobligated funds in the account referred to in subparagraph (B) for
    the purpose of assisting the Commission in carrying out its duties
    under this part during October, November, and December 1995. Funds
    transferred under the preceding sentence shall remain available until
    December 31, 1995.
        ``(B) The account referred to in subparagraph (A) is the Department
    of Defense Base Closure Account established under section 207(a) of the
    Defense Authorization Amendments and Base Closure and Realignment Act
    (Public Law 100-526; 10 U.S.C. 2687 note).''.
    SEC. 2836. EXERCISE OF AUTHORITY DELEGATED BY THE ADMINISTRATOR OF
    GENERAL SERVICES.
        Section 2905(b)(2) 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--
            (1) in subparagraph (A)--
                (A) by striking out ``Subject to subparagraph (C)'' in the
            matter preceding clause (i) and inserting in lieu thereof
            ``Subject to subparagraph (B)''; and
                (B) by striking out ``in effect on the date of the
            enactment of this Act'' each place it appears in clauses (i)
            and (ii);
            (2) by striking out subparagraphs (B) and (C) and inserting in
        lieu thereof the following new subparagraph (B):
        ``(B) The Secretary may, with the concurrence of the Administrator
    of General Services--
            ``(i) prescribe general policies and methods for utilizing
        excess property and disposing of surplus property pursuant to the
        authority delegated under paragraph (1); and
            ``(ii) issue regulations relating to such policies and methods,
        which shall supersede the regulations referred to in subparagraph
        (A) with respect to that authority.''; and
            (3) by redesignating subparagraphs (D) and (E) as subparagraphs
        (C) and (D), respectively.
    SEC. 2837. LEASE BACK OF PROPERTY DISPOSED FROM INSTALLATIONS APPROVED
    FOR CLOSURE OR REALIGNMENT.
        (a) Authority.--Section 2905(b)(4) 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--
            (1) by redesignating subparagraphs (C), (D), and (E) as
        subparagraphs (D), (E), and (F), respectively; and
            (2) by inserting after subparagraph (B) the following new
        subparagraph (C):
        ``(C)(i) The Secretary may transfer real property at an
    installation approved for closure or realignment under this part
    (including property at an installation approved for realignment which
    will be retained by the Department of Defense or another Federal agency
    after realignment) to the redevelopment authority for the installation
    if the redevelopment authority agrees to lease, directly upon transfer,
    one or more portions of the property transferred under this
    subparagraph to the Secretary or to the head of another department or
    agency of the Federal Government. Subparagraph (B) shall apply to a
    transfer under this subparagraph.
        ``(ii) A lease under clause (i) shall be for a term of not to
    exceed 50 years, but may provide for options for renewal or extension
    of the term by the department or agency concerned.
        ``(iii) A lease under clause (i) may not require rental payments by
    the United States.
        ``(iv) A lease under clause (i) shall include a provision
    specifying that if the department or agency concerned ceases requiring
    the use of the leased property before the expiration of the term of the
    lease, the remainder of the lease term may be satisfied by the same or
    another department or agency of the Federal Government using the
    property for a use similar to the use under the lease. Exercise of the
    authority provided by this clause shall be made in consultation with
    the redevelopment authority concerned.''.
        (b) Use of Funds To Improve Leased Property.--Notwithstanding any
    other provision of law, a department or agency of the Federal
    Government that enters into a lease of property under section
    2905(b)(4)(C) 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), as
    amended by subsection (a), may improve the leased property using
    fundsappropriated or otherwise available to the department or agency
    for such purpose.
    SEC. 2838. IMPROVEMENT OF BASE CLOSURE AND REALIGNMENT PROCESS
    REGARDING DISPOSAL OF PROPERTY.
        (a) Applicability.--Subparagraph (A) of section 2905(b)(7) 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 to read as
    follows:
        ``(A) The disposal of buildings and property located at
    installations approved for closure or realignment under this part after
    October 25, 1994, shall be carried out in accordance with this
    paragraph rather than paragraph (6).''.
        (b) Agreements Under Redevelopment Plans.--Subparagraph (F)(ii)(I)
    of such section is amended in the second sentence by striking out ``the
    approval of the redevelopment plan by the Secretary of Housing and
    Urban Development under subparagraph (H) or (J)'' and inserting in lieu
    thereof ``the decision regarding the disposal of the buildings and
    property covered by the agreements by the Secretary of Defense under
    subparagraph (K) or (L)''.
        (c) Revision of Redevelopment Plans.--Subparagraph (I) of such
    section is amended--
            (1) in clause (i)(II), by inserting ``the Secretary of Defense
        and'' before ``the Secretary of Housing and Urban Development'';
        and
            (2) in clause (ii), by striking out ``the Secretary of Housing
        and Urban Development'' and inserting in lieu thereof ``such
        Secretaries''.
        (d) Disposal of Buildings and Property.--(1) Subparagraph (K) of
    such section is amended to read as follows:
        ``(K)(i) Upon receipt of a notice under subparagraph (H)(iv) or
    (J)(ii) of the determination of the Secretary of Housing and Urban
    Development that a redevelopment plan for an installation meets the
    requirements set forth in subparagraph (H)(i), the Secretary of Defense
    shall dispose of the buildings and property at the installation.
        ``(ii) For purposes of carrying out an environmental assessment of
    the closure or realignment of an installation, the Secretary of Defense
    shall treat the redevelopment plan for the installation (including the
    aspects of the plan providing for disposal to State or local
    governments, representatives of the homeless, and other interested
    parties) as part of the proposed Federal action for the installation.
        ``(iii) The Secretary of Defense shall dispose of buildings and
    property under clause (i) in accordance with the record of decision or
    other decision document prepared by the Secretary in accordance with
    the National Environmental Policy Act of 1969 (42 U.S.C. 4331 et seq.).
    In preparing the record of decision or other decision document, the
    Secretary shall give substantial deference to the redevelopment plan
    concerned.
        ``(iv) The disposal under clause (i) of buildings and property to
    assist the homeless shall be without consideration.
        ``(v) In the case of a request for a conveyance under clause (i) of
    buildings and property for public benefit under section 203(k) of the
    Federal Property and Administrative Services Act of 1949 (40 U.S.C.
    484(k)) or sections 47151 through 47153 of title 49, United States
    Code, the sponsoring Federal agency shall use the eligibility criteria
    set forth in such section or such subchapter (as the case may be) to
    determine the eligibility of the applicant and use proposed in the
    request for the public benefit conveyance. The determination of such
    eligibility should be made before submission of the redevelopment plan
    concerned under subparagraph (G).''.
        (2) Subparagraph (L) of such section is amended by striking out
    clauses (iii) and (iv) and inserting in lieu thereof the following new
    clauses (iii) and (iv):
        ``(iii) Not later than 90 days after the date of the receipt of a
    revised plan for an installation under subparagraph (J), the Secretary
    of Housing and Urban Development shall--
            ``(I) notify the Secretary of Defense and the redevelopment
        authority concerned of the buildings and property at an
        installation under clause (i)(IV) that the Secretary of Housing and
        Urban Development determines are suitable for use to assist the
        homeless; and
            ``(II) notify the Secretary of Defense of the extent to which
        the revised plan meets the criteria set forth in subparagraph
        (H)(i).
        ``(iv)(I) Upon notice from the Secretary of Housing and Urban
    Development with respect to an installation under clause (iii), the
    Secretary of Defense shall dispose of buildings and property at the
    installation in consultation with the Secretary of Housing and Urban
    Development and the redevelopment authority concerned.
        ``(II) For purposes of carrying out an environmental assessment of
    the closure or realignment of an installation, the Secretary of Defense
    shall treat the redevelopment plan submitted by the redevelopment
    authority for the installation (including the aspects of the plan
    providing for disposal to State or local governments, representatives
    of the homeless, and other interested parties) as part of the proposed
    Federal action for the installation. The Secretary of Defense shall
    incorporate the notification of the Secretary of Housing and Urban
    Development under clause (iii)(I) as part of the proposed Federal
    action for the installation only to the extent, if any, that the
    Secretary of Defense considers such incorporation to be appropriate and
    consistent with the best and highest use of the installation as a
    whole, taking into consideration the redevelopment plan submitted by
    the redevelopment authority.
        ``(III) The Secretary of Defense shall dispose of buildings and
    property under subclause (I) in accordance with the record of decision
    or other decision document prepared by the Secretary in accordance with
    the National Environmental Policy Act of 1969 (42 U.S.C. 4331 et seq.).
    In preparing the record of decision or other decision document, the
    Secretary shall give deference to the redevelopment plan submitted by
    the redevelopment authority for the installation.
        ``(IV) The disposal under subclause (I) of buildings and property
    to assist the homeless shall be without consideration.
        ``(V) In the case of a request for a conveyance under subclause (I)
    of buildings and property for public benefit under section 203(k) of
    the Federal Property and Administrative Services Act of 1949 (40 U.S.C.
    484(k)) or sections 47151 through 47153 of title 49, United States
    Code, the sponsoring Federal agency shall use the eligibility criteria
    set forth in such section or such subchapter (as the case may be) to
    determine the eligibility of the applicant and use proposed in the
    request for the public benefit conveyance. The determination of such
    eligibility should be made before submission of the redevelopment plan
    concerned under subparagraph (G).''.
        (e) Conforming Amendment.--Subparagraph (M)(i) of such section is
    amended by inserting ``or (L)'' after ``subparagraph (K)''.
        (f) Clarification of Participants In Process.--Such section is
    further amended by adding at the end the following new subparagraph:
        ``(P) For purposes of this paragraph, the term `other interested
    parties', in the case of an installation, includes any parties eligible
    for the conveyance of property of the installation under section 203(k)
    of the Federal Property and Administrative Services Act of 1949 (40
    U.S.C. 484(k)) or sections 47151 through 47153 of title 49, United
    States Code, whether or not the parties assist the homeless.''.
    SEC. 2839. AGREEMENTS FOR CERTAIN SERVICES AT INSTALLATIONS BEING
    CLOSED.
        (a) 1988 Law.--Section 204(b)(8) of the Defense Authorization
    Amendments and Base Closure and Realignment Act (Public Law 100-526; 10
    U.S.C. 2687 note) is amended by striking out subparagraph (A) and
    inserting in lieu thereof the following new subparagraph:
        ``(A) Subject to subparagraph (C), the Secretary may enter into
    agreements (including contracts, cooperative agreements, or other
    arrangements for reimbursement) with local governments for the
    provision of police or security services, fire protection services,
    airfield operation services, or other community services by such
    governments at military installations to be closed under this title if
    the Secretary determines that the provision of such services under such
    agreements is in the best interests of the Department of Defense.''.
        (b) 1990 Law.--Section 2905(b)(8) of the Defense Base Closure and
    Realignment Act of 1990 (part A of title XXIX of Public Law 101-510; 10
    U.S.C. 2867 note) is amended by striking out subparagraph (A) and
    inserting in lieu thereof the following new subparagraph:
        ``(A) Subject to subparagraph (C), the Secretary may enter into
    agreements (including contracts, cooperative agreements, or other
    arrangements for reimbursement) with local governments for the
    provision of police or security services, fire protection services,
    airfield operation services, or other community services by such
    governments at military installations to be closed under this part if
    the Secretary determines that the provision of such services under such
    agreements is in the best interests of the Department of Defense.''.
    SEC. 2840. AUTHORITY TO TRANSFER PROPERTY AT MILITARY INSTALLATIONS TO
    BE CLOSED TO PERSONS WHO CONSTRUCT OR PROVIDE MILITARY FAMILY HOUSING.
        (a) 1988 Law.--Section 204 of the Defense Authorization Amendments
    and Base Closure and Realignment Act (Public Law 100-526; 10 U.S.C.
    2687 note) is amended by adding at the end the following new
    subsection:
        ``(e) Transfer Authority in Connection With Construction or
    Provision of Military Family Housing.--(1) Subject to paragraph (2),
    the Secretary may enter into an agreement to transfer by deed real
    property or facilities located at or near an installation closed or to
    be closed under this title with any person who agrees, in exchange for
    the real property or facilities, to transfer to the Secretary housing
    units that are constructed or provided by the person and located at or
    near a military installation at which there is a shortage of suitable
    housing to meet the requirements of members of the Armed Forces and
    their dependents. The Secretary may not select real property for
    transfer under this paragraph if the property is identified in the
    redevelopment plan for the installation as items essential to the reuse
    or redevelopment of the installation.
        ``(2) A transfer of real property or facilities may be made under
    paragraph (1) only if--
            ``(A) the fair market value of the housing units to be received
        by the Secretary in exchange for the property or facilities to be
        transferred is equal to or greater than the fair market value of
        such property or facilities, as determined by the Secretary; or
            ``(B) in the event the fair market value of the housing units
        is less than the fair market value of property or facilities to be
        transferred, the recipient of the property or facilities agrees to
        pay to the Secretary the amount equal to the excess of the fair
        market value of the property or facilities over the fair market
        value of the housing units.
        ``(3) Notwithstanding section 207(a)(7), the Secretary may deposit
    funds received under paragraph (2)(B) in the Department of Defense
    Family Housing Improvement Fund established under section 2873(a) of
    title 10, United States Code.
        ``(4) The Secretary shall submit to the appropriate committees of
    Congress a report describing each agreement proposed to be entered into
    under paragraph (1), including the consideration to be received by the
    United States under the agreement. The Secretary may not enter into the
    agreement until the end of the 21-day period beginning on the date the
    appropriate committees of Congress receive the report regarding the
    agreement.
        ``(5) The Secretary may require any additional terms and conditions
    in connection with an agreement authorized by this subsection as the
    Secretary considers appropriate to protect the interests of the United
    States.''.
        (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:
        ``(f) Transfer Authority in Connection With Construction or
    Provision of Military Family Housing.--(1) Subject to paragraph (2),
    the Secretary may enter into an agreement to transfer by deed real
    property or facilities located at or near an installation closed or to
    be closed under this part with any person who agrees, in exchange for
    the real property or facilities, to transfer to the Secretary housing
    units that are constructed or provided by the person and located at or
    near a military installation at which there is a shortage of suitable
    housing to meet the requirements of members of the Armed Forces and
    their dependents. The Secretary may not select real property for
    transfer under this paragraph if the property is identified in the
    redevelopment plan for the installation as property essential to the
    reuse or redevelopment of the installation.
        ``(2) A transfer of real property or facilities may be made under
    paragraph (1) only if--
            ``(A) the fair market value of the housing units to be received
        by the Secretary in exchange for the property or facilities to be
        transferred is equal to or greater than the fair market value of
        such property or facilities, as determined by the Secretary; or
            ``(B) in the event the fair market value of the housing units
        is less than the fair market value of property or facilities to be
        transferred, the recipient of the property or facilities agrees to
        pay to the Secretary the amount equal to the excess of the fair
        market value of the property or facilities over the fair market
        value of the housing units.
        ``(3) Notwithstanding paragraph (2) of section 2906(a), the
    Secretary may deposit funds received under paragraph (2)(B) in the
    Department of Defense Family Housing Improvement Fund established under
    section 2873(a) of title 10, United States Code.
        ``(4) The Secretary shall submit to the congressional defense
    committees a report describing each agreement proposed to be entered
    into under paragraph (1), including the consideration to be received by
    the United States under the agreement. The Secretary may not enter into
    the agreement until the end of the 30-day period beginning on the date
    the congressional defense committees receive the report regarding the
    agreement.
        ``(5) The Secretary may require any additional terms and conditions
    in connection with an agreement authorized by this subsection as the
    Secretary considers appropriate to protect the interests of the United
    States.''.
        (c) Regulations.--Not later than nine months after the date of the
    enactment of this Act, the Secretary of Defense shall prescribe any
    regulations necessary to carry out subsection (e) of section 204 of the
    Defense Authorization Amendments and Base Closure and Realignment Act
    (Public Law 100-526; 10 U.S.C. 2687 note), as added by subsection (a),
    and subsection (f) of 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), as added by subsection (b).
    SEC. 2841. USE OF SINGLE BASE CLOSURE AUTHORITIES FOR DISPOSAL OF
    PROPERTY AND FACILITIES AT FORT HOLABIRD, MARYLAND.
        (a) Consolidation of Base Closure Authorities.--In the case of the
    property and facilities at Fort Holabird, Maryland, described in
    subsection (b), the Secretary of Defense shall dispose of such property
    and facilities in accordance with section 2905(b)(7) 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), as amended by section 2838 of
    this Act.
        (b) Covered Property and Facilities.--Subsection (a) applies to the
    following property and facilities at Fort Holabird, Maryland:
            (1) Property and facilities that were approved for closure or
        realignment under title II of the Defense Authorization Amendments
        and Base Closure and Realignment Act (Public Law 100-526; 10 U.S.C.
        2687 note), but have not been disposed of as of the date of the
        enactment of this Act, including buildings 305 and 306 and the
        parking lots and other property associated with such buildings.
            (2) Property and facilities that were approved in 1995 for
        closure or realignment 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).
        (c) Use of Surveys and Other Evaluations of Property.--In carrying
    out the disposal of the property and facilities referred to in
    subsection (b)(1), the Secretary shall utilize any surveys and other
    evaluations of such property and facilities that were prepared by the
    Corps of Engineers before the date of the enactment of this Act as part
    of the process for the disposal of such property and facilities.

                     Subtitle D--Land Conveyances Generally

                            PART I--ARMY CONVEYANCES

    SEC. 2851. TRANSFER OF JURISDICTION, FORT SAM HOUSTON, TEXAS.

        (a) Transfer of Land for National Cemetery.--The Secretary of the
    Army may transfer, without reimbursement, to the administrative
    jurisdiction of the Secretary of Veterans Affairs a parcel of real
    property (including any improvements thereon) consisting of
    approximately 53 acres and comprising a portion of Fort Sam Houston,
    Texas.
        (b) Use of Land.--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) 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.
        (d) Additional Terms and Conditions.--The Secretary of the Army may
    require such additional terms and conditions in connection with the
    transfer under this section as theSecretary of the Army considers
    appropriate to protect the interests of the United States.

    SEC. 2852. TRANSFER OF JURISDICTION, FORT BLISS, TEXAS.

        (a) Transfer of Land for National Cemetery.--The Secretary of the
    Army may transfer, without reimbursement, to the administrative
    jurisdiction of the Secretary of Veterans Affairs a parcel of real
    property (including any improvements thereon) consisting of
    approximately 22 acres and comprising a portion of Fort Bliss, Texas.
        (b) Use of Land.--The Secretary of Veterans Affairs shall use the
    real property transferred under subsection (a) as an addition to the
    Fort Bliss National Cemetery and administer such real property pursuant
    to chapter 24 of title 38, United States Code.
        (c) 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.
        (d) Additional Terms and Conditions.--The Secretary of the Army may
    require such additional terms and conditions in connection with the
    transfer under this section as the Secretary of the Army considers
    appropriate to protect the interests of the United States.
    SEC. 2853. TRANSFER OF JURISDICTION AND LAND CONVEYANCE, FORT DEVENS
    MILITARY RESERVATION, MASSACHUSETTS.
        (a) Transfer of Land for Wildlife Refuge.--Subject to subsections
    (b) and (c), the Secretary of the Army shall transfer, without
    reimbursement, to the administrative jurisdiction of the Secretary of
    the Interior that portion of Fort Devens Military Reservation,
    Massachusetts, that is situated south of Massachusetts State Route 2,
    for inclusion in the Oxbow National Wildlife Refuge.
        (b) Land Conveyance.--Subject to subsection (c), the Secretary of
    the Army shall convey to the Town of Lancaster, Massachusetts (in this
    section referred to as the ``Town''), all right, title, and interest of
    the United States in and to a parcel of real property consisting of
    approximately 100 acres of the parcel available for transfer under
    subsection (a) and located adjacent to Massachusetts State Highway 70.
        (c) Requirements Relating to Transfer and Conveyance.--(1) The
    transfer under subsection (a) and the conveyance under subsection (b)
    may not be made unless the property to be transferred and conveyed is
    determined to be excess to the needs of the Department of Defense.
        (2) The transfer and conveyance shall be made as soon as
    practicable after the date on which the property is determined to be
    excess to the needs of the Department of Defense.
        (d) Legal Description.--(1) The exact acreage and legal description
    of the real property to be transferred under subsection (a) shall be
    determined by a survey mutually satisfactory to the Secretary of the
    Army and the Secretary of the Interior. The cost of the survey shall be
    borne by the Secretary of the Interior.
        (2) The exact acreage and legal description of the real property to
    be conveyed under subsection (b) shall be determined by a survey
    mutually satisfactory to the Secretary of the Army, the Secretary of
    the Interior, and the Board of Selectmen of the Town. The cost of the
    survey shall be borne by the Town.
        (e) Additional Terms and Conditions.--The Secretary of the Army may
    require such additional terms and conditions in connection with the
    transfer under subsection (a) and the conveyance under subsection (b)
    as the Secretary of the Army considers appropriate to protect the
    interests of the United States.
    SEC. 2854. MODIFICATION OF LAND CONVEYANCE, FORT BELVOIR, VIRGINIA.
        (a) Designation of Recipient.--Subsection (a) of section 2821 of
    the Military Construction Authorization Act for Fiscal Years 1990 and
    1991 (division B of Public Law 101-189; 103 Stat. 1658) is amended by
    striking out ``any grantee selected in accordance with subsection (e)''
    and inserting in lieu thereof ``the County of Fairfax, Virginia (in
    this section referred to as the `grantee'),''.
        (b) Consideration.--Subsection (b)(1) of such section is amended by
    striking out subparagraph (B) and inserting in lieu thereof the
    following new subparagraph:
                ``(B) grant title, free of liens and other encumbrances, to
            the Department to such facilities and, if not already owned by
            the Department, to the underlying land; and''.
        (c) Content of Agreement.--Subsection (c) of such section is
    amended to read as follows:
        ``(c) Content of Agreement.--An agreement entered into under this
    section shall include the following:
            ``(1) A requirement that the grantee construct facilities and
        make infrastructure improvements for the Department of the Army
        that the Secretary determines are necessary for the Department at
        Fort Belvoir and at other sites at which activities will be
        relocated as a result of the conveyance made under this section.
            ``(2) A requirement that the construction of facilities and
        infrastructure improvements referred to in paragraph (1) be carried
        out in accordance with plans and specifications approved by the
        Secretary.
            ``(3) A requirement that the Secretary retain a lien or other
        security interest against the property conveyed to the grantee in
        the amount of the fair market value of the property, as determined
        under subsection (b)(2). The agreement will specify the terms for
        releasing the lien or other security interest, in whole or in part.
        In the event of default by the County on its obligations under the
        terms of the agreement, the Secretary shall enforce the lien or
        security interest. The proceeds obtained through enforcing the lien
        or security interest may be used by the Secretary to construct
        facilities and make infrastructure improvements in lieu of those
        provided for in the agreement.''.
        (d) Surveys.--Subsection (g) of such section is amended by striking
    out the last sentence and inserting in lieu thereof the following:
    ``The grantee shall be responsible for completing any such survey
    without cost to the United States.''.
        (e) Conforming Amendments.--Such section is further amended--
            (1) in subsection (a), by striking out ``Subject to subsections
        (b) through (h), the'' and inserting in lieu thereof ``The'';
            (2) in subsection (b)(1), by striking out ``subsection
        (c)(1)(D)'' both places it appears and inserting in lieu thereof
        ``subsection (c)(1)(A)'';
            (3) by striking out subsections (e) and (f); and
            (4) by redesignating subsections (g) and (h) as subsections (e)
        and (f), respectively.

    SEC. 2855. LAND EXCHANGE, FORT LEWIS, WASHINGTON.

        (a) Conveyance Authorized.--The Secretary of the Army may convey to
    Weyerhaeuser Real Estate Company, Tacoma, Washington (in this section
    referred to as ``WRECO''), all right, title, and interest of the United
    States in and to a parcel of real property at Fort Lewis, Washington,
    known as an unimproved portion of Tract 1000 (formerly being in the
    DuPont Steilacoom Road, consisting of approximately 1.23 acres), and
    Tract 26E (consisting of 0.03 acre).
        (b) Consideration.--As consideration for the conveyance authorized
    by subsection (a), WRECO shall convey or cause to be conveyed to the
    United States, by warranty deed acceptable to the Secretary, a 0.39
    acre parcel of real property located adjacent to Fort Lewis,
    Washington, together with other consideration acceptable to the
    Secretary. The total consideration conveyed to the United States shall
    not be less than the fair market value of the land conveyed under
    subsection (a).
        (c) Determination of Fair Market Value.--The determinations of the
    Secretary regarding the fair market values of the parcels of real
    property and improvements to be conveyed pursuant to subsections (a)
    and (b) shall be final.
        (d) Description of Property.--The exact acreage and legal
    description of the parcels of real property to be conveyed pursuant to
    subsections (a) and (b) shall be determined by a survey satisfactory to
    the Secretary. The cost of the survey shall be borne by WRECO.
        (e) Effect on Existing Reversionary Interest.--The Secretary may
    enter into an agreement with the appropriate officials of Pierce
    County, Washington, under which--
            (1) the existing reversionary interest of Pierce County in the
        lands to be conveyed by the United States under subsection (a) is
        extinguished; and
            (2) the conveyance to the United States under subsection (b) is
        made subject to a similar reversionary interest in favor of Pierce
        County in the lands conveyed under such subsection.
        (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. 2856. LAND EXCHANGE, ARMY RESERVE CENTER, GAINESVILLE, GEORGIA.
        (a) Land Exchange Authorized.--The Secretary of the Army may convey
    to the City of Gainesville, Georgia (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, together with any improvements thereon,
    consisting of approximately 4.2 acres and located on Shallowford Road
    in Gainesville, Georgia, the site of the Army Reserve Center,
    Gainesville, Georgia.
        (b) Consideration.--As consideration for the conveyance authorized
    by subsection (a), the City shall--
            (1) convey to the United States all right, title, and interest
        in and to a parcel of real property consisting of approximately 8
        acres located in the Atlas Industrial Park, Gainesville, Georgia,
        that is acceptable to the Secretary;
            (2) design and construct on such real property suitable
        facilities (as determined by the Secretary) for training activities
        of the Army Reserve to replace facilities conveyed under subsection
        (a);
            (3) carry out, at cost to the City, any environmental
        assessments and any other studies, analyses, and assessments that
        may be required under Federal law in connection with the land
        conveyances under subsection (a) and paragraph (1) and the
        construction under paragraph (2);
            (4) pay the Secretary the amount (as determined by the
        Secretary) equal to the cost of relocating Army Reserve units from
        the real property to be conveyed under subsection (a) to the
        replacement facilities to be constructed under paragraph (2); and
            (5) if the fair market value of the real property conveyed by
        the Secretary under subsection (a) exceeds the fair market value of
        the consideration provided by the City under paragraphs (1) through
        (4), pay the United States the amount equal to the amount of such
        excess.
        (c) Determination of Fair Market Value.--The Secretary shall
    determine the fair market value of the real property to be conveyed
    under subsection (a) and of the consideration to be furnished by the
    City under subsection (b). Such determination shall be final.
        (d) Description of Property.--The exact acreage and legal
    description of the parcels of real property to be conveyed under
    subsections (a) and (b) shall be determined by a survey satisfactory to
    the Secretary. The cost of the survey shall be borne by the City.
        (e) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the conveyances
    authorized by this section as the Secretary considers appropriate to
    protect the interests of the United States.
    SEC. 2857. LAND CONVEYANCE, HOLSTON ARMY AMMUNITION PLANT, MOUNT
    CARMEL, TENNESSEE.
        (a) Conveyance Authorized.--The Secretary of the Army may convey,
    without reimbursement, to the City ofMount Carmel, Tennessee (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 6.5 acres located at
    Holston Army Ammunition Plant, Tennessee. The property is located
    adjacent to the Mount Carmel Cemetery and is intended for expansion of
    the cemetery.
        (b) 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.
        (c) 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. 2858. LAND CONVEYANCE, INDIANA ARMY AMMUNITION PLANT, CHARLESTOWN,
    INDIANA.
        (a) Conveyance Authorized.--The Secretary of the Army may convey,
    without consideration, to the State of Indiana (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, that consists of approximately 1125 acres at the
    inactivated Indiana Army Ammunition Plant in Charlestown, Indiana, and
    is the subject of a 25-year lease between the Secretary and the State.
        (b) Condition of Conveyance.--The conveyance authorized under
    subsection (a) shall be subject to the condition that the State use the
    conveyed property for recreational purposes.
        (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 State.
        (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. 2859. LAND CONVEYANCE, FORT ORD, CALIFORNIA.

        (a) Conveyance Authorized.--The Secretary of the Army may convey to
    the City of Seaside, California (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 477 acres located in Monterey County,
    California, and comprising a portion of the former Fort Ord Military
    Complex. The real property to be conveyed to the City includes the two
    Fort Ord Golf Courses, Black Horse and Bayonet, and a portion of the
    Hayes Housing Facilities.
        (b) Consideration.--As consideration for the conveyance of the real
    property and improvements under subsection (a), the City shall pay to
    the United States an amount equal to the fair market value of the
    property to be conveyed, as determined by the Secretary.
        (c) Use and Deposit of Proceeds.--(1) From the funds paid by the
    City under subsection (b), the Secretary shall deposit in the Morale,
    Welfare, and Recreation Fund Account of the Department of the Army such
    amounts as may be necessary to cover morale, welfare, and recreation
    activities at Army installations in the general vicinity of Fort Ord
    during fiscal years 1996 through 2000. The amount deposited by the
    Secretary into the Account shall not exceed the fair market value, as
    established under subsection (b), of the two Fort Ord Golf Courses
    conveyed under subsection (a). The Secretary shall notify Congress of
    the amount to be deposited not later than 90 days after the date of the
    conveyance.
        (2) The Secretary shall deposit the balance of any funds paid by
    the City under subsection (b), after deducting the amount deposited
    under paragraph (1), in the Department of Defense Base Closure Account
    1990.
        (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 mutually satisfactory to the Secretary
    and the City. The cost of the survey shall be borne by the City.
        (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. 2860. LAND CONVEYANCE, PARKS RESERVE FORCES TRAINING AREA, DUBLIN,
    CALIFORNIA.
        (a) Conveyance Authorized.--(1) Except as provided in paragraph
    (2), the Secretary of the Army may convey to the County of Alameda,
    California (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, consisting of approximately
    42 acres located at Parks Reserve Forces Training Area, Dublin,
    California.
        (2) The conveyance authorized by this section shall not include any
    oil, gas, or mineral interest of the United States in the real property
    to be conveyed.
        (b) Consideration.--(1) As consideration for the conveyance under
    subsection (a)(1), the County shall provide the Army with the following
    services at the portion of Parks Reserve Forces Training Area retained
    by the Army:
            (A) Relocation of the main gate of the retained Training Area
        from Dougherty Road to Dublin Boulevard across from the Bay Area
        Rapid Transit District East Dublin station, including the closure
        of the existing main gate on Dougherty Road, construction of a
        security facility, and construction of a roadway from the new
        entrance to Fifth Street.
            (B) Enclosing and landscaping of the southern boundary of the
        retained Training Area installation located northerly of Dublin
        Boulevard.
            (C) Enclosing and landscaping of the eastern boundary of the
        retained Training Area from Dublin Boulevard to Gleason Drive.
            (D) Resurfacing of roadways within the retained Training Area.
            (E) Provision of such other services in connection with the
        retained Training Area, including relocation or reconstruction of
        water lines, relocation or reconstruction of sewer lines,
        construction of drainage improvements, and construction of
        buildings, as the Secretary and the County may determine to be
        appropriate.
            (F) Provision for and funding of any environmental mitigation
        that is necessary as a result of a change in use of the conveyed
        property by the County.
        (2) The detailed specifications for the services to be provided
    under paragraph (1) may be determined and approved on behalf of the
    Secretary by the Commander of Parks Reserve Forces Training Area. The
    preparation costs of such specifications shall be borne by the County.
        (3) The fair market value of improvements and services received by
    the United States from the County under paragraph (1) must be equal to
    or exceed the appraised fair market value of the real property to be
    conveyed under subsection (a)(1). The appraisal of the fair market
    value of the property shall be subject to the Secretary's review and
    approval.
        (c) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)(1)
    shall be determined by a survey satisfactory to the Secretary. The cost
    of the survey shall be borne by the County.
        (d) Time for Transfer of Title.--The transfer of title to the
    County under subsection (a)(1) may be executed by the Secretary only
    upon the satisfactory guarantee by the County of completion of the
    services to be provided under subsection (b).
        (e) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the conveyance
    under subsection (a)(1) as the Secretary considers appropriate to
    protect the interests of the United States.
    SEC. 2861. LAND CONVEYANCE, ARMY RESERVE CENTER, YOUNGSTOWN, OHIO.
        (a) Conveyance Authorized.--The Secretary of the Army may convey,
    without consideration, to the City of Youngstown, Ohio (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 at 399 Miller Street in
    Youngstown, Ohio, and contains the Kefurt 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 Youngstown Fire
    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. 2862. LAND CONVEYANCE, ARMY RESERVE PROPERTY, FORT SHERIDAN,
    ILLINOIS.
        (a) Conveyance Authorized.--Subject to subsection (b), the
    Secretary of the Army may convey to any transferee selected under
    subsection (g) all right, title, and interest of the United States in
    and to a parcel of real property (including improvements thereon) at
    Fort Sheridan, Illinois, consisting of approximately 114 acres and
    comprising an Army Reserve area.
        (b) 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.
        (c) Consideration.--(1) As consideration for the conveyance under
    subsection (a), the transferee selected under subsection (g) shall--
            (A) convey to the United States a parcel of real property that
        meets the requirements of subsection (d);
            (B) design for and construct on the property conveyed under
        subparagraph (A) such facilities (including support facilities and
        infrastructure) to replace the facilities conveyed pursuant to the
        authority in subsection (a) as the Secretary considers appropriate;
        and
            (C) pay the cost of relocating Army personnel in the facilities
        located on the real property conveyed pursuant to the authority in
        subsection (a) to the facilities constructed under subparagraph
        (B).
        (2) The Secretary shall ensure that the fair market value of the
    consideration provided by the transferee under paragraph (1) is not
    less than the fair market value of the real property conveyed by the
    Secretary under subsection (a).
        (d) Requirements Relating to Property To Be Conveyed to United
    States.--The real property conveyed to the United States under
    subsection (c)(1)(A) by the transferee selected under subsection (g)
    shall--
            (1) be located not more than 25 miles from Fort Sheridan;
            (2) be located in a neighborhood or area having social and
        economic conditions similar to the social and economic conditions
        of the area in which Fort Sheridan is located; and
            (3) be acceptable to the Secretary.
        (e) Interim Relocation of Army Personnel.--Pending completion of
    the construction of all the facilities proposed to be constructed under
    subsection (c)(1)(B) by the transferee selected under subsection (g),
    the Secretary may relocate Army personnel in the facilities located on
    the property to be conveyed pursuant to the authority in subsection (a)
    to the facilities that have been constructed by the transferee under
    such subsection (c)(1)(B).
        (f) Determination of Fair Market Value.--The Secretary shall
    determine the fair market value of the real property to be conveyed
    under subsection (a) and of the consideration to be provided under
    subsection (c)(1). Such determination shall be final.
        (g) Selection of Transferee.--(1) The Secretary shall use
    competitive procedures for the selection of a transferee under
    subsection (a).
        (2) In evaluating the offers of prospective transferees, the
    Secretary shall--
            (A) consider such criteria as the Secretary considers to be
        appropriate to determine whether prospective transferees will be
        able to satisfy the consideration requirements specified in
        subsection (c)(1); and
            (B) consult with the communities and jurisdictions in the
        vicinity of Fort Sheridan (including the City of Lake Forest, the
        City of Highwood, and the City of Highland Park and the County of
        Lake, Illinois) in order to determine the most appropriate use of
        the property to be conveyed.
        (h) Descriptions of Property.--The exact acreage and legal
    descriptions of the real property to be conveyed by the Secretary under
    subsection (a) and the real property to be conveyed under subsection
    (c)(1)(A) shall be determined by a survey satisfactory to the
    Secretary. The cost of the survey shall be borne by the transferee
    selected under subsection (g).
        (i) 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. 2863. LAND CONVEYANCE, PROPERTY UNDERLYING CUMMINS APARTMENT
    COMPLEX, FORT HOLABIRD, MARYLAND.
        (a) Conveyance Authorized.--Notwithstanding any other provision of
    law, the Secretary of the Army may convey to the existing owner of the
    improvements thereon all right, title, and interest of the United
    States in and to a parcel of real property underlying the Cummins
    Apartment Complex at Fort Holabird, Maryland, that consists of
    approximately 6 acres, and any interest the United States may have in
    the improvements thereon.
        (b) Consideration.--As consideration for the conveyance under
    subsection (a), the owner of the improvements referred to in that
    subsection shall provide compensation to the United States in an amount
    equal to the fair market value (as determined by the Secretary) of the
    property interest to be conveyed.
        (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 that is satisfactory to the Secretary.
        (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. 2864. MODIFICATION OF EXISTING LAND CONVEYANCE, ARMY PROPERTY,
    HAMILTON AIR FORCE BASE, CALIFORNIA.
        (a) Application of Section.--The authority provided in subsection
    (b) shall apply only in the event that the purchaser purchases only a
    portion of the Sale Parcel referred to in section 9099 of the
    Department of Defense Appropriations Act, 1993 (Public Law 102-396; 106
    Stat. 1924) and exercises the purchaser's option to withdraw from the
    sale as to the rest of the Sale Parcel.
        (b) Conveyance Authority in Event of Partial Sale.--The Secretary
    of the Army may convey to the City of Novato, California (in this
    section referred to as the ``City'')--
            (1) that portion of the Sale Parcel (other than Landfill 26 and
        an appropriate buffer area around it and the groundwater treatment
        facility site) that is not purchased as provided in subsection (a);
        and
            (2) any of the land referred to in subsection (e) of such
        section 9099 that is not purchased by the purchaser.
        (c) Consideration and Conditions on Conveyance.--The conveyance
    under subsection (b) shall be made as a public benefit transfer to the
    City for the sum of One Dollar, subject to the condition that the
    conveyed property be used for school, classroom, or other educational
    purposes or as a public park or recreation area.
        (d) Subsequent Conveyance by the City.--(1) If, within 10 years
    after the conveyance under subsection (b), the City conveys all or any
    part of the conveyed property to a third party without the use
    restrictions specified in subsection (c), the City shall pay to the
    Secretary of the Army an amount equal to the proceeds received by the
    City from the conveyance, minus the demonstrated reasonable costs of
    making the conveyance and of any improvements made by the City to the
    property following its acquisition of the land (but only to the extent
    such improvements increase the value of the property conveyed). The
    Secretary of the Army shall deliver into the applicable closing escrow
    an acknowledgement of receipt of the proceeds and a release of the
    reverter right under subsection (e) as to the affected land, effective
    upon such receipt.
        (2) Until one year after the completion of the cleanup of
    contaminated soil in the Landfill located on the Sale Parcel and
    completion of the groundwater treatment facilities, any conveyance by
    the City must be at a per-acre price for the portion sold that is at
    least equal to the per-acre contract price paid by the purchaser for
    the portion of the Sale Parcel purchased under the Agreement and
    Modification for the purchase of the Sale Parcel by the purchaser.
    Thereafter, any conveyance by the City must be at a price at least
    equal to the fair market value of the portion sold.
        (3) This subsection shall not apply to a conveyance by the City to
    another public or quasi-public agency for public uses of the kind
    described in subsection (c).
        (e) Reversion.--If the Secretary of the Army determines that the
    City has failed to make a payment as required bysubsection (d)(1) or
    that any portion of the conveyed property retained by the City or
    conveyed under subsection (d)(3) is not being utilized in accordance
    with subsection (c), title to the applicable portion of such property
    shall revert to the United States at the election of the Administrator
    of the General Services Administration.
        (f) Special Conveyance Regarding Building 138 Parcel.--The
    Secretary of the Army may convey to the purchaser of the Sale Parcel
    the Building 138 parcel, which has been designated by the parties as
    Parcel A4. The per-acre price for the portion conveyed under this
    subsection shall be at least equal to the per-acre contract price paid
    by the purchaser for the portion of the Sale Parcel purchased under the
    Agreement and Modification, dated September 25, 1990, as amended.

                           PART II--NAVY CONVEYANCES

    SEC. 2865. TRANSFER OF JURISDICTION, NAVAL WEAPONS INDUSTRIAL RESERVE
    PLANT, CALVERTON, NEW YORK.
        (a) Transfer Authorized.--Notwithstanding 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), the Secretary of
    the Navy may transfer, without reimbursement, to the administrative
    jurisdiction of the Secretary of Veterans Affairs a parcel of real
    property consisting of approximately 150 acres located adjacent to the
    Calverton National Cemetery, Calverton, New York, and comprising a
    portion of the buffer zone of the Naval Weapons Industrial Reserve
    Plant, Calverton, New York.
        (b) Use of Property.--The Secretary of Veterans Affairs shall use
    the real property transferred under subsection (a) as an addition to
    the Calverton National Cemetery and administer such real property
    pursuant to chapter 24 of title 38, United States Code.
        (c) Survey.--The cost of any survey necessary for the transfer of
    jurisdiction of the real property described in subsection (a) from the
    Secretary of the Navy to the Secretary of Veterans Affairs shall be
    borne by the Secretary of Veterans Affairs.
        (d) Additional Terms and Conditions.--The Secretary of the Navy may
    require such additional terms and conditions in connection with the
    transfer under this section as the Secretary of the Navy considers
    appropriate to protect the interests of the United States.
    SEC. 2866. MODIFICATION OF LAND CONVEYANCE, NAVAL WEAPONS INDUSTRIAL
    RESERVE PLANT, CALVERTON, NEW YORK.
        (a) Removal of Reversionary Interest; Addition of Lease
    Authority.--Subsection (c) of section 2833 of the Military Construction
    Authorization Act for Fiscal Year 1995 (division B of Public Law 103-
    337; 108 Stat. 3061) is amended to read as follows:
        ``(c) Lease Authority.--Until such time as the real property
    described in subsection (a) is conveyed by deed, the Secretary may
    lease the property, along with improvements thereon, to the Community
    Development Agency in exchange for security services, fire protection
    services, and maintenance services provided by the Community
    Development Agency for the property.''.
        (b) Conforming Amendment.--Subsection (e) of such section is
    amended by striking out ``subsection (a)'' and inserting in lieu
    thereof ``subsection (a) or a lease under subsection (c)''.
    SEC. 2867. LAND CONVEYANCE ALTERNATIVE TO EXISTING LEASE AUTHORITY,
    NAVAL SUPPLY CENTER, OAKLAND, CALIFORNIA.
        Section 2834(b) of the Military Construction Authorization Act for
    Fiscal Year 1993 (division B of Public Law 102-484; 106 Stat. 2614), as
    amended by section 2833 of the Military Construction Authorization Act
    for Fiscal Year 1994 (division B of Public Law 103-160; 107 Stat. 1896)
    and section 2821 of the Military Construction Authorization Act for
    Fiscal Year 1995 (division B of Public Law 103-337; 108 Stat. 3057), is
    further amended by adding at the end the following new paragraphs:
        ``(4) In lieu of entering into a lease under paragraph (1), or in
    place of an existing lease under that paragraph, the Secretary may
    convey, without consideration, the property described in that paragraph
    to the City of Oakland, California, the Port of Oakland, California,
    the City of Alameda, California, or the City of Richmond, California,
    under such terms and conditions as the Secretary considers appropriate.
        ``(5) The exact acreage and legal description of any property
    conveyed under paragraph (4) shall be determined by a survey
    satisfactory to the Secretary. The cost of each survey shall be borne
    by the recipient of the property.''.
    SEC. 2868. LAND CONVEYANCE, NAVAL WEAPONS INDUSTRIAL RESERVE PLANT,
    MCGREGOR, TEXAS.
        (a) Conveyance Authorized.--(1) The Secretary of the Navy may
    convey, without consideration, to the City of McGregor, Texas (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 any
    improvements thereon, containing the Naval Weapons Industrial Reserve
    Plant, McGregor, Texas.
        (2) After screening the facilities, equipment, and fixtures
    (including special tooling and special test equipment) located on the
    parcel for other uses by the Department of the Navy, the Secretary may
    include in the conveyance under paragraph (1) any facilities,
    equipment, and fixtures on the parcel not to be so used if the
    Secretary determines that manufacturing activities requiring the use of
    such facilities, equipment, and fixtures are likely to continue or be
    reinstated on the parcel after conveyance under paragraph (1).
        (b) Lease Authority.--Until such time as the real property
    described in subsection (a)(1) is conveyed by deed, the Secretary may
    lease the property, along with improvements thereon, to the City in
    exchange for security services, fire protection services, and
    maintenance services provided by the City for the property.
        (c) Condition of Conveyance.--The conveyance authorized under
    subsection (a) shall be subject to the condition that the City,
    directly or through an agreement with a public or private entity, use
    the conveyed property (or offer the conveyed property for use) for
    economic redevelopment to replace all or a part of the economic
    activity being lost at the parcel.
        (d) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)(1)
    shall be determined by a survey satisfactory to the Secretary. The cost
    of the survey shall be borne by the City.
        (e) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the conveyance
    under subsection (a) or a lease under subsection (b) as the Secretary
    considers appropriate to protect the interests of the United States.
    SEC. 2869. LAND CONVEYANCE, NAVAL SURFACE WARFARE CENTER, MEMPHIS,
    TENNESSEE.
        (a) Conveyance Authorized.--The Secretary of the Navy may convey to
    the Memphis and Shelby County Port Commission, Memphis, Tennessee (in
    this section referred to as the ``Port''), all right, title, and
    interest of the United States in and to a parcel of real property
    (including any improvements thereon) consisting of approximately 26
    acres that is located at the Carderock Division, Naval Surface Warfare
    Center, Memphis Detachment, Presidents Island, Memphis, Tennessee.
        (b) Consideration.--As consideration for the conveyance of real
    property under subsection (a), the Port shall--
            (1) grant to the United States a restrictive easement in and to
        a parcel of real property consisting of approximately 100 acres
        that is adjacent to the Memphis Detachment, Presidents Island,
        Memphis, Tennessee; and
            (2) if the fair market value of the easement granted under
        paragraph (1) is less than the fair market value of the real
        property conveyed under subsection (a), provide the United States
        such additional consideration as the Secretary and the Port jointly
        determine appropriate so that the value of the consideration
        received by the United States under this subsection is equal to or
        greater than the fair market value of the real property conveyed
        under subsection (a).
        (c) Condition of Conveyance.--The conveyance authorized by
    subsection (a) shall be carried out in accordance with the provisions
    of the Land Exchange Agreement between the United States and the
    Memphis and Shelby County Port Commission, Memphis, Tennessee.
        (d) Determination of Fair Market Value.--The Secretary shall
    determine the fair market value of the real property to be conveyed
    under subsection (a) and of the easement to be granted under subsection
    (b)(1). Such determinations shall be final.
        (e) Use of Proceeds.--The Secretary shall deposit any proceeds
    received under subsection (b)(2) as consideration for the conveyance of
    real property authorized under subsection (a) in the special account
    established pursuant to section 204(h)(2) of the Federal Property and
    Administrative Services Act of 1949 (40 U.S.C. 485(h)(2)).
        (f) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)
    and the easement to be granted under subsection (b)(1) shall be
    determined by a survey satisfactory to the Secretary. The cost of the
    survey shall be borne by the Port.
        (g) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the conveyance
    authorized by subsection (a) and the easement granted under subsection
    (b)(1) as the Secretary considers appropriate to protect the interests
    of the United States.

    SEC. 2870. LAND CONVEYANCE, NAVY PROPERTY, FORT SHERIDAN, ILLINOIS.

        (a) Conveyance Authorized.--Subject to subsection (b), the
    Secretary of the Navy may convey to any transferee selected under
    subsection (i) all right, title, and interest of the United States in
    and to a parcel of real property (including any improvements thereon)
    at Fort Sheridan, Illinois, consisting of approximately 182 acres and
    comprising the Navy housing areas at Fort Sheridan.
        (b) 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.
        (c) Consideration.--(1) As consideration for the conveyance under
    subsection (a), the transferee selected under subsection (i) shall--
            (A) convey to the United States a parcel of real property that
        meets the requirements of subsection (d);
            (B) design for and construct on the property conveyed under
        subparagraph (A) such housing facilities (including support
        facilities and infrastructure) to replace the housing facilities
        conveyed pursuant to the authority in subsection (a) as the
        Secretary considers appropriate;
            (C) pay the cost of relocating members of the Armed Forces
        residing in the housing facilities located on the real property
        conveyed pursuant to the authority in subsection (a) to the housing
        facilities constructed under subparagraph (B);
            (D) provide for the education of dependents of such members
        under subsection (e); and
            (E) carry out such activities for the operation, maintenance,
        and improvement of the facilities constructed under subparagraph
        (B) as the Secretary and the transferee jointly determine
        appropriate.
        (2) The Secretary shall ensure that the fair market value of the
    consideration provided by the transferee under paragraph (1) is not
    less than the fair market value of the property interest conveyed by
    the Secretary under subsection (a).
        (d) Requirements Relating to Property To Be Conveyed to United
    States.--The property interest conveyed to the United States under
    subsection (c)(1)(A) by the transferee selected under subsection (i)
    shall--
            (1) be located not more than 25 miles from the Great Lakes
        Naval Training Center, Illinois;
            (2) be located in a neighborhood or area having social and
        economic conditions similar to the social and economic conditions
        of the area in which Fort Sheridan is located; and
            (3) be acceptable to the Secretary.
        (e) Education of Dependents of Members of the Armed Forces.--In
    providing for the education of dependents of members of the Armed
    Forces under subsection (c)(1)(D), the transferee selected under
    subsection (i) shall ensure that such dependents may enroll at the
    schools of one or more school districts in the vicinity of the real
    property conveyed to the United States under subsection (c)(1)(A) which
    schools and districts--
            (1) meet such standards for schools and school districts as the
        Secretary shall establish; and
            (2) will continue to meet such standards after the enrollment
        of such dependents regardless of the receipt by such school
        districts of Federal impact aid.
        (f) Interim Relocation of Members of the Armed Forces.--Pending
    completion of the construction of all the housing facilities proposed
    to be constructed under subsection (c)(1)(B) by the transferee selected
    under subsection (i), the Secretary may relocate--
            (1) members of the Armed Forces residing in housing facilities
        located on the property to be conveyed pursuant to the authority in
        subsection (a) to the housing facilities that have been constructed
        by the transferee under such subsection (c)(1)(B); and
            (2) other Government tenants located on such property to other
        facilities.
        (g) Applicability of Certain Agreements.--The property conveyed by
    the Secretary pursuant to the authority in subsection (a) shall be
    subject to the Memorandum of Understanding concerning the Transfer of
    Certain Properties at Fort Sheridan, Illinois, dated August 8, 1991,
    between the Department of the Army and the Department of the Navy.
        (h) Determination of Fair Market Value.--The Secretary shall
    determine the fair market value of the real property interest to be
    conveyed under subsection (a) and of the consideration to be provided
    under subsection (c)(1). Such determination shall be final.
        (i) Selection of Transferee.--(1) The Secretary shall use
    competitive procedures for the selection of a transferee under
    subsection (a).
        (2) In evaluating the offers of prospective transferees, the
    Secretary shall--
            (A) consider such criteria as the Secretary considers to be
        appropriate to determine whether prospective transferees will be
        able to satisfy the consideration requirements specified in
        subsection (c)(1); and
            (B) consult with the communities and jurisdictions in the
        vicinity of Fort Sheridan (including the City of Lake Forest, the
        City of Highwood, and the City of Highland Park and the County of
        Lake, Illinois) in order to determine the most appropriate use of
        the property to be conveyed.
        (j) Descriptions of Property.--The exact acreage and legal
    descriptions of the real property to be conveyed by the Secretary under
    subsection (a) and the real property to be conveyed under subsection
    (c)(1)(A) shall be determined by a survey satisfactory to the
    Secretary. The cost of the survey shall be borne by the transferee
    selected under subsection (i).
        (k) 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. 2871. LAND CONVEYANCE, NAVAL COMMUNICATIONS STATION, STOCKTON,
    CALIFORNIA.
        (a) Conveyance Authorized.--Subject to subsection (b), the
    Secretary of the Navy may convey to the Port of Stockton, California
    (in this section referred to as the ``Port''), all right, title, and
    interest of the United States in and to a parcel of real property,
    including any improvements thereon, consisting of approximately 1,450
    acres at the Naval Communication Station, Stockton, California.
        (b) 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.
        (c) Interim Lease.--Until such time as the real property described
    in subsection (a) is conveyed by deed, the Secretary may lease the
    property, along with improvements thereon, to the Port under terms and
    conditions satisfactory to the Secretary.
        (d) Consideration.--The conveyance may be made as a public benefit
    conveyance for port development as defined in section 203 of the
    Federal Property and Administrative Services Act of 1949 (40 U.S.C.
    484) if the Port satisfies the criteria in such section and the
    regulations prescribed to implement such section. If the Port fails to
    qualify for a public benefit conveyance and still desires to acquire
    the property, the Port shall pay to the United States an amount equal
    to the fair market value of the property to be conveyed, as determined
    by the Secretary.
        (e) Federal Lease of Conveyed Property.--As a condition for
    transfer of this property under subparagraph (a), the Secretary may
    require that the Port lease to the Department of Defense or any other
    Federal agency all or any part of the property being used by the
    Federal Government at the time of conveyance. Any such lease shall be
    made under the same terms and conditions as in force at the time of the
    conveyance. Such terms and conditions will continue to include payment
    to the Port for maintenance of facilities leased to the Federal
    Government. Such maintenance of the Federal premises shall be to the
    reasonable satisfaction of the United States,or as required by all
    applicable Federal, State, and local laws and ordinances.
        (f) Description of Property.--The exact acreage and legal
    description of the 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 Port.
        (g) Additional Terms.--The Secretary may require such additional
    terms and conditions in connection with the conveyance under subsection
    (a) or the lease under subsection (c) as the Secretary considers
    appropriate to protect the interests of the United States.
    SEC. 2872. LEASE OF PROPERTY, NAVAL AIR STATION AND MARINE CORPS AIR
    STATION, MIRAMAR, CALIFORNIA.
        (a) Lease Authorized.--Notwithstanding section 2692(a)(1) of title
    10, United States Code, the Secretary of the Navy may lease to the City
    of San Diego, California (in this subsection referred to as the
    ``City''), the parcel of real property, including improvements thereon,
    described in subsection (b) in order to permit the City to carry out
    activities on the parcel relating to solid waste management, including
    the operation and maintenance of one or more solid waste landfills.
    Pursuant to the lease, the Secretary may authorize the City to
    construct and operate on the parcel facilities related to solid waste
    management, including a sludge processing facility.
        (b) Covered Property.--The parcel of property to be leased under
    subsection (a) is a parcel of real property consisting of approximately
    1,400 acres that is located at Naval Air Station, Miramar, California,
    or Marine Corps Air Station, Miramar, Cali- fornia.
        (c) Lease Term.--The lease authorized under subsection (a) shall be
    for an initial term of not more than 50 years. Under the lease, the
    Secretary may provide the City with an option to extend the lease for
    such number of additional periods of such length as the Secretary
    considers appropriate.
        (d) Form of Consideration.--The Secretary may provide in the lease
    under subsection (a) for the provision by the City of in-kind
    consideration under the lease.
        (e) Use of Money Rentals.--In such amounts as are provided in
    advance in appropriation Acts, the Secretary may use money rentals
    received by the Secretary under the lease authorized under subsection
    (a) to carry out the following programs at Department of the Navy
    installations that utilize the solid waste landfill or landfills
    located on the leased property:
            (1) Environmental programs, including natural resource
        management programs, recycling programs, and pollution prevention
        programs.
            (2) Programs to improve the quality of military life, including
        programs to improve military unaccompanied housing and military
        family housing.
        (f) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the lease under
    subsection (a) as the Secretary considers appropriate to protect the
    interests of the United States.
        (g) Definitions.--In this section, the terms ``sludge'', ``solid
    waste'', and ``solid waste management'' have the meanings given such
    terms in paragraphs (26A), (27), and (28), respectively, of section
    1004 of the Solid Waste Disposal Act (42 U.S.C. 6903).

                        PART III--AIR FORCE CONVEYANCES

    SEC. 2874. LAND ACQUISITION OR EXCHANGE, SHAW AIR FORCE BASE, SOUTH
    CAROLINA.
        (a) Land Acquisition.--By means of an exchange of property,
    acceptance as a gift, or other means that do not require the use of
    appropriated funds, the Secretary of the Air Force may acquire all
    right, title, and interest in and to a parcel of real property
    (together with any improvements thereon) consisting of approximately
    1,100 acres and located adjacent to the eastern end of Shaw Air Force
    Base, South Carolina, and extending to Stamey Livestock Road in Sumter
    County, South Carolina.
        (b) Land Exchange Authorized.--For purposes of acquiring the real
    property described in subsection (a), the Secretary may participate in
    a land exchange and convey all right, title, and interest of the United
    States in and to a parcel of real property in the possession of the Air
    Force if--
            (1) the Secretary determines that the land exchange is in the
        best interests of the Air Force; and
            (2) the fair market value of the parcel to be conveyed by the
        Secretary does not exceed the fair market value of the parcel to be
        acquired by the Secretary.
        (c) Determinations of Fair Market Value.--The Secretary shall
    determine the fair market value of the parcels of real property to be
    exchanged, accepted, or otherwise acquired pursuant to subsection (a)
    and exchanged pursuant to subsection (b). Such determinations shall be
    final.
        (d) Reversion of Gift Conveyance.--If the Secretary acquires the
    real property described in subsection (a) by way of gift, the Secretary
    may accept in the deed of conveyance terms or conditions that require
    that the land be reconveyed to the donor, or the heirs of the donor, if
    Shaw Air Force Base ceases operations and is closed.
        (e) Descriptions of Property.--The exact acreage and legal
    descriptions of the parcels of real property to be exchanged, accepted,
    or otherwise acquired pursuant to subsection (a) and exchanged pursuant
    to subsection (b) shall be determined by a survey satisfactory to the
    Secretary.
        (f) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the acquisition
    under subsection (a) or conveyance under subsection (b) as the
    Secretary considers appropriate to protect the interests of the United
    States.

    SEC. 2875. LAND CONVEYANCE, ELMENDORF AIR FORCE BASE, ALASKA.

        (a) Conveyance to Private Person Authorized.--The Secretary of the
    Air Force may convey to such private person as the Secretary considers
    appropriate, all right, title, and interest of the United States in and
    to a parcel of real propertyconsisting of approximately 31.69 acres
    that is located at Elmendorf Air Force Base, Alaska, and identified in
    land lease W-95-507-ENG-58.
        (b) Consideration.--As consideration for the conveyance under
    subsection (a), the purchaser shall pay to the United States an amount
    equal to the fair market value of the real property to be conveyed, as
    determined by the Secretary. In determining the fair market value of
    the real property, the Secretary shall consider the property as
    encumbered by land lease W-95-507-ENG-58, with an expiration date of
    June 13, 2024.
        (c) Condition of Conveyance.--The conveyance authorized by
    subsection (a) shall be subject to the condition that the purchaser of
    the property--
            (1) permit the lease of the apartment complex located on the
        property by members of the Armed Forces stationed at Elmendorf Air
        Force Base and their dependents; and
            (2) maintain the apartment complex in a condition suitable for
        such leases.
        (d) Deposit of Proceeds.--The Secretary shall deposit the amount
    received from the purchaser under subsection (b) in the special account
    established under section 204(h)(2) of the Federal Property and
    Administrative Services Act of 1949 (40 U.S.C. 485(h)(2)).
        (e) 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 purchaser of the real property.
        (f) 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. 2876. LAND CONVEYANCE, RADAR BOMB SCORING SITE, FORSYTH, MONTANA.
        (a) Conveyance Authorized.--The Secretary of the Air Force may
    convey, without consideration, to the City of Forsyth, Montana (in this
    section referred to as the ``City''), all right, title, and interest of
    the United States in and to the parcel of property (including any
    improvements thereon) consisting of approximately 58 acres located in
    Forsyth, Montana, which has served as a support complex and
    recreational facilities for the Radar Bomb Scoring Site, Forsyth,
    Montana.
        (b) Condition of Conveyance.--The conveyance under subsection (a)
    shall be subject to the condition that the City--
            (1) utilize the property and recreational facilities conveyed
        under that subsection for housing and recreation purposes; or
            (2) enter into an agreement with an appropriate public or
        private entity to lease such property and facilities to that entity
        for such purposes.
        (c) Reversion.--If the Secretary determines at any time that the
    property conveyed under subsection (a) is not being utilized in
    accordance with paragraph (1) or paragraph (2) of subsection (b), all
    right, title, and interest in and to the conveyed property, including
    any improvements thereon, shall revert to the United States and the
    United States shall have the right of immediate entry onto the
    property.
        (d) 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 City.
        (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 determines appropriate to protect
    the interests of the United States.
    SEC. 2877. LAND CONVEYANCE, RADAR BOMB SCORING SITE, POWELL, WYOMING.
        (a) Conveyance Authorized.--The Secretary of the Air Force may
    convey, without consideration, to the Northwest College Board of
    Trustees (in this section referred to as the ``Board''), all right,
    title, and interest of the United States in and to a parcel of real
    property (including any improvements thereon) consisting of
    approximately 24 acres located in Powell, Wyoming, which has served as
    the location of a support complex, recreational facilities, and housing
    facilities for the Radar Bomb Scoring Site, Powell, Wyoming.
        (b) Condition of Conveyance.--The conveyance authorized under
    subsection (a) shall be subject to the condition that the Board use the
    property conveyed under that subsection for housing and recreation
    purposes and for such other purposes as the Secretary and the Board
    jointly determine appropriate.
        (c) Reversionary Interest.--During the five-year period beginning
    on the date that the Secretary makes the conveyance authorized under
    subsection (a), if the Secretary determines that the conveyed property
    is not being used in accordance with subsection (b), all right, title,
    and interest in and to the conveyed property, including any
    improvements thereon, shall revert to the United States and the United
    States shall have the right of immediate entry onto the property.
        (d) 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 Board.
        (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. 2878. LAND CONVEYANCE, AVON PARK AIR FORCE RANGE, FLORIDA.
        (a) Conveyance Authorized.--The Secretary of the Air Force may
    convey, without consideration, to Highlands County, Florida (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, together with
    any improvements thereon, located within the boundaries of the Avon
    Park Air Force Range near Sebring, Florida, which has previously served
    as the location ofa support complex and recreational facilities for the
    Avon Park Air Force Range.
        (b) Condition of Conveyance.--The conveyance authorized under
    subsection (a) shall be subject to the condition that the County,
    directly or through an agreement with an appropriate public or private
    entity, use the conveyed property, including the support complex and
    recreational facilities, for operation of a juvenile or other
    correctional facility.
        (c) Reversionary Interest.--If the Secretary determines at any time
    that the property conveyed under subsection (a) is not being used in
    accordance with subsection (b), all right, title, and interest in the
    property, including any improvements thereon, shall revert to the
    United States, and the United States shall have the right of immediate
    entry onto 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. The cost
    of the survey shall be borne by the County.
        (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.

                Subtitle E--Land Conveyances Involving Utilities

    SEC. 2881. CONVEYANCE OF RESOURCE RECOVERY FACILITY, FORT DIX, NEW
    JERSEY.
        (a) Conveyance Authorized.--The Secretary of the Army may convey to
    Burlington County, New Jersey (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 at Fort Dix, New Jersey, consisting of
    approximately six acres and containing a resource recovery facility,
    known as the Fort Dix resource recovery facility.
        (b) Related Easements.--The Secretary may grant to the County any
    easement that is necessary for access to and operation of the resource
    recovery facility conveyed under subsection (a).
        (c) Requirement Relating to Conveyance.--The Secretary may not
    carry out the conveyance of the resource recovery facility authorized
    by subsection (a) unless the County agrees to accept the facility in
    its existing condition at the time of the conveyance.
        (d) Conditions on Conveyance.--The conveyance of the resource
    recovery facility authorized by subsection (a) is subject to the
    following conditions:
            (1) That the County provide refuse and steam service to Fort
        Dix, New Jersey, at the rate established by the appropriate Federal
        or State regulatory authority.
            (2) That the County comply with all applicable environmental
        laws and regulations (including any permit or license requirements)
        relating to the resource recovery facility.
            (3) That the County assume full responsibility for ownership,
        operation, maintenance, repair, and all regulatory compliance
        requirements for the resource recovery facility.
            (4) That the County not commence any expansion of the resource
        recovery facility without approval of such expansion by the
        Secretary.
        (e) Description of the Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a),
    and of any easements to be granted under subsection (b), shall be
    determined by a survey satisfactory to the Secretary. The cost of such
    survey shall be borne by the County.
        (f) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the conveyance
    under subsection (a) and the grant of any easement under subsection (b)
    as the Secretary considers appropriate to protect the interests of the
    United States.
    SEC. 2882. CONVEYANCE OF WATER AND WASTEWATER TREATMENT PLANTS, FORT
    GORDON, GEORGIA.
        (a) Conveyance Authorized.--The Secretary of the Army may convey to
    the city of Augusta, Georgia (in this section referred to as the
    ``City''), all right, title, and interest of the United States to
    several parcels of real property located at Fort Gordon, Georgia, and
    consisting of approximately seven acres each. The parcels are improved
    with a water filtration plant, water distribution system with storage
    tanks, sewage treatment plant, and sewage collection system.
        (b) Related Easements.--The Secretary may grant to the City any
    easement that is necessary for access to the real property conveyed
    under subsection (a) and operation of the water and wastewater
    treatment plants and distribution and collection systems conveyed under
    subsection (a).
        (c) Requirement Relating to Conveyance.--The Secretary may not
    carry out the conveyance of the water and wastewater treatment plants
    and distribution and collection systems authorized by subsection (a)
    unless the City agrees to accept the water and wastewater treatment
    plants and distribution and collection systems in their existing
    condition at the time of the conveyance.
        (d) Conditions on Conveyance.--The conveyance authorized by
    subsection (a) is subject to the following conditions:
            (1) That the City provide water and sewer service to Fort
        Gordon, Georgia, at a rate established by the appropriate Federal
        or State regulatory authority.
            (2) That the City comply with all applicable environmental laws
        and regulations (including any permit or license requirements)
        regarding the real property conveyed under subsec- tion (a).
            (3) That the City assume full responsibility for ownership,
        operation, maintenance, repair, and all regulatory compliance
        requirements for the water and wastewater treatment plants and
        distribution and collection systems.
            (4) That the City not commence any expansion of the water and
        wastewater treatment plants and distribution and collection systems
        without approval of such expansion by the Secretary.
        (e) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a),
    and of any easements granted under subsection (b), shall be determined
    by a survey satisfactory to the Secretary. The cost of such survey
    shall be borne by the City.
        (f) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the conveyance
    under subsection (a) and the grant of any easement under subsection (b)
    as the Secretary considers appropriate to protect the interests of the
    United States.
    SEC. 2883. CONVEYANCE OF ELECTRICITY DISTRIBUTION SYSTEM, FORT IRWIN,
    CALIFORNIA.
        (a) Conveyance Authorized.--The Secretary of the Army may convey to
    the Southern California Edison Company, California (in this section
    referred to as the ``Company''), all right, title, and interest of the
    United States in and to the electricity distribution system located at
    Fort Irwin, California.
        (b) Description of System and Conveyance.--The electricity
    distribution system authorized to be conveyed under subsection (a)
    consists of approximately 115 miles of electricity distribution lines
    (including poles, switches, reclosers, transformers, regulators,
    switchgears, and service lines) and includes the equipment, fixtures,
    structures, and other improvements the Federal Government utilizes to
    provide electricity services at Fort Irwin. The system does not include
    any real property.
        (c) Related Easements.--The Secretary may grant to the Company any
    easement that is necessary for access to and operation of the
    electricity distribution system conveyed under subsection (a).
        (d) Requirement Relating to Conveyance.--The Secretary may not
    carry out the electricity distribution system authorized by subsection
    (a) unless the Company agrees to accept the electricity distribution
    system in its existing condition at the time of the conveyance.
        (e) Conditions on Conveyance.--The conveyance authorized by
    subsection (a) is subject to the following conditions:
            (1) That the Company provide electricity service to Fort Irwin,
        California, at a rate established by the appropriate Federal or
        State regulatory authority.
            (2) That the Company comply with all applicable environmental
        laws and regulations (including any permit or license requirements)
        regarding the electricity distribution system.
            (3) That the Company assume full responsibility for ownership,
        operation, maintenance, repair, and all regulatory compliance
        requirements for the electricity distribution system.
            (4) That the Company not commence any expansion of the
        electricity distribution system without approval of such expansion
        by the Secretary.
        (f) Description of Easement.--The exact acreage and legal
    description of any easement granted under subsection (c) shall be
    determined by a survey satisfactory to the Secretary. The cost of such
    survey shall be borne by the Company.
        (g) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the conveyance
    under subsection (a) and the grant of any easement under subsection (c)
    as the Secretary considers appropriate to protect the interests of the
    United States.
    SEC. 2884. CONVEYANCE OF WATER TREATMENT PLANT, FORT PICKETT, VIRGINIA.
        (a) Authority To Convey.--(1) The Secretary of the Army may convey
    to the Town of Blackstone, Virginia (in this section referred to as the
    ``Town''), all right, title, and interest of the United States in and
    to the property described in paragraph (2).
        (2) The property referred to in paragraph (1) is the following
    property located at Fort Pickett, Virginia:
            (A) A parcel of real property consisting of approximately 10
        acres, including a reservoir and improvements thereon, the site of
        the Fort Pickett water treatment plant.
            (B) Any equipment, fixtures, structures, or other improvements
        (including any water transmission lines, water distribution and
        service lines, fire hydrants, water pumping stations, and other
        improvements) not located on the parcel described in subparagraph
        (A) that are jointly identified by the Secretary and the Town as
        owned and utilized by the Federal Government in order to provide
        water to and distribute water at Fort Pickett.
        (b) Related Easements.--The Secretary may grant to the Town the
    following easements relating to the conveyance of the property
    authorized by subsection (a):
            (1) Such easements, if any, as the Secretary and the Town
        jointly determine are necessary in order to provide access to the
        water distribution system referred to in paragraph (2) of such
        subsection for maintenance, safety, and other purposes.
            (2) Such easements, if any, as the Secretary and the Town
        jointly determine are necessary in order to provide access to the
        finished water lines from the system to the Town.
            (3) Such rights of way appurtenant, if any, as the Secretary
        and the Town jointly determine are necessary in order to satisfy
        requirements imposed by any Federal, State, or municipal agency
        relating to the maintenance of a buffer zone around the water
        distribution system.
        (c) Water Rights.--The Secretary shall grant to the Town as part of
    the conveyance under subsection (a) all right, title, and interest of
    the United States in and to any water of the Nottoway River, Virginia,
    that is connected with the reservoir referred to in paragraph (2)(A) of
    such subsection. The grant of such water rights shall not impair the
    right that any other local jurisidiction may have to withdraw water
    from the Nottoway River, on or after the date of the enactment of this
    Act, pursuant to the law of the Commonwealth of Virginia.
        (d) Requirements Relating to Conveyance.--(1) The Secretary may not
    carry out the conveyance of the water distribution system authorized
    under subsection (a) unless the Town agrees to accept the system in its
    existing condition at the time of the conveyance.
        (2) The Secretary shall complete any environmental removal or
    remediation required under the Comprehensive Environmental Response,
    Compensation, and Liability Act of 1980 (42 U.S.C. 9601 et seq.) with
    respect to the system to be conveyed under this section before carrying
    out the conveyance.
        (e) Conditions on Conveyance.--The conveyance authorized in
    subsection (a) shall be subject to the following conditions:
            (1) That the Town reserve for provision to Fort Pickett, and
        provide to Fort Pickett on demand, not less than 1,500,000 million
        gallons per day of treated water from the water distribution
        system.
            (2) That the Town provide water to and distribute water at Fort
        Pickett at a rate established by the appropriate Federal or State
        regulatory authority.
            (3) That the Town maintain and operate the water distribution
        system in compliance with all applicable Federal and State
        environmental laws and regulations (including any permit and
        license requirements).
        (f) Description of Property.--The exact legal description of the
    property to be conveyed under subsection (a), of any easements granted
    under subsection (b), and of any water rights granted under subsection
    (c) shall be determined by a survey and 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 Town.
        (g) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the conveyance
    authorized under subsection (a), the easements granted under subsection
    (b), and the water rights granted under subsection (c) that the
    Secretary considers appropriate to protect the interests of the United
    States.

                           Subtitle F--Other Matters

    SEC. 2891. AUTHORITY TO USE FUNDS FOR CERTAIN EDUCATIONAL PURPOSES.
        Section 2008 of title 10, United States Code, is amended by
    striking out ``section 10'' and all that follows through the period at
    the end and inserting in lieu thereof ``construction, as defined in
    section 8013(3) of the Elementary and Secondary Education Act of 1965
    (20 U.S.C. 7713(3)), or to carry out section 8008 of such Act (20
    U.S.C. 7708), relating to the provision of assistance to certain school
    facilities under the impact aid program.''.
    SEC. 2892. DEPARTMENT OF DEFENSE LABORATORY REVITALIZATION
    DEMONSTRATION PROGRAM.
        (a) Program Authorized.--The Secretary of Defense may carry out a
    program (to be known as the ``Department of Defense Laboratory
    Revitalization Demonstration Program'') for the revitalization of
    Department of Defense laboratories. Under the program, the Secretary
    may carry out minor military construction projects in accordance with
    subsection (b) and other applicable law to improve Department of
    Defense laboratories covered by the program.
        (b) Increased Maximum Amounts Applicable to Minor Construction
    Projects.--For purpose of any military construction project carried out
    under the program--
            (1) the amount provided in the second sentence of subsection
        (a)(1) of section 2805 of title 10, United States Code, shall be
        deemed to be $3,000,000;
            (2) the amount provided in subsection (b)(1) of such section
        shall be deemed to be $1,500,000; and
            (3) the amount provided in subsection (c)(1)(B) of such section
        shall be deemed to be $1,000,000.
        (c) Program Requirements.--(1) Not later than 30 days before
    commencing the program, the Secretary shall--
            (A) designate the Department of Defense laboratories at which
        construction may be carried out under the program; and
            (B) establish procedures for the review and approval of
        requests from such laboratories to carry out such construction.
        (2) The laboratories designated under paragraph (1)(A) may not
    include Department of Defense laboratories that are contractor owned.
        (3) The Secretary shall notify Congress of the laboratories
    designated under paragraph (1)(A).
        (d) Report.--Not later than February 1, 1998, the Secretary shall
    submit to Congress a report on the program. The report shall include
    the Secretary's conclusions and recommendations regarding the
    desirability of extending the authority set forth in subsection (b) to
    cover all Department of Defense laboratories.
        (e) Exclusivity of Program.--Nothing in this section may be
    construed to limit any other authority provided by law for any military
    construction project at a Department of Defense laboratory covered by
    the program.
        (f) Definitions.--In this section:
            (1) The term ``laboratory'' includes--
                (A) a research, engineering, and development center;
                (B) a test and evaluation activity owned, funded, and
            operated by the Federal Government through the Department of
            Defense; and
                (C) a supporting facility of a laboratory.
            (2) The term ``supporting facility'', with respect to a
        laboratory, means any building or structure that is used in support
        of research, development, test, and evaluation at the laboratory.
        (g) Expiration of Authority.--The Secretary may not commence a
    construction project under the program after September 30, 1998.
    SEC. 2893. AUTHORITY FOR PORT AUTHORITY OF STATE OF MISSISSIPPI TO USE
    NAVY PROPERTY AT NAVAL CONSTRUCTION BATTALION CENTER, GULFPORT,
    MISSISSIPPI.
        (a) Joint Use Agreement Authorized.--The Secretary of the Navy may
    enter into an agreement with the Port Authority of the State of
    Mississippi (in this section referred to as the ``Port Authority''),
    under which the Port Authority may use real property comprising up to
    50 acres located at the Naval Construction Battalion Center, Gulfport,
    Mississippi (in this section referred to as the ``Center'').
        (b) Term of Agreement.--The agreement authorized under subsection
    (a) may be for an initial period of not more than 15 years. Under the
    agreement, the Secretary shall provide the Port Authority with an
    option to extend the agreement for at least three additional periods of
    five years each.
        (c) Conditions on Use.--The agreement authorized under subsection
    (a) shall require the Port Authority--
            (1) to suspend operations under the agreement in the event Navy
        contingency operations are conducted at the Center; and
            (2) to use the property covered by the agreement in a manner
        consistent with Navy operations conducted at the Center.
        (d) Consideration.--(1) As consideration for the use of the
    property covered by the agreement under subsection (a), the Port
    Authority shall pay to the Navy an amount equal to the fair market
    rental value of the property, as determined by the Secretary taking
    into consideration the Port Authority's use of the property.
        (2) The Secretary may include a provision in the agreement
    requiring the Port Authority--
            (A) to pay the Navy an amount (as determined by the Secretary)
        to cover the costs of replacing at the Center any facilities
        vacated by the Navy on account of the agreement or to construct
        suitable replacement facilities for the Navy; and
            (B) to pay the Navy an amount (as determined by the Secretary)
        for the costs of relocating Navy operations from the vacated
        facilities to the replacement facilities.
        (e) Congressional Notification.--The Secretary may not enter into
    the agreement authorized by subsection (a) until the end of the 21-day
    period beginning on the date on which the Secretary submits to Congress
    a report containing an explanation of the terms of the proposed
    agreement and a description of the consideration that the Secretary
    expects to receive under the agreement.
        (f) Use of Payment.--(1) In such amounts as are provided in advance
    in appropriation Acts, the Secretary may use amounts paid under
    subsection (d)(1) to pay for general supervision, administration, and
    overhead expenses and for improvement, maintenance, repair,
    construction, or restoration of the roads, railways, and facilities
    serving the Center.
        (2) In such amounts as are provided in advance in appropriation
    Acts, the Secretary may use amounts paid under subsection (d)(2) to pay
    for constructing new facilities, or making modifications to existing
    facilities, that are necessary to replace facilities vacated by the
    Navy on account of the agreement under subsection (a) and for
    relocating operations of the Navy from the vacated facilities to
    replacement facilities.
        (g) Construction by Port Authority.--The Secretary may authorize
    the Port Authority to demolish existing facilities located on the
    property covered by the agreement under subsection (a) and, consistent
    with the restriction specified in subsection (c)(2), construct new
    facilities on the property for joint use by the Port Authority and the
    Navy.
        (h) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the agreement
    authorized under subsection (a) as the Secretary considers appropriate
    to protect the interests of the United States.
    SEC. 2894. PROHIBITION ON JOINT USE OF NAVAL AIR STATION AND MARINE
    CORPS AIR STATION, MIRAMAR, CALIFORNIA.
        The Secretary of the Navy may not enter into any agreement that
    provides for or permits civil aircraft to regularly use Naval Air
    Station or Marine Corps Air Station, Miramar, California.
    SEC. 2895. REPORT REGARDING ARMY WATER CRAFT SUPPORT FACILITIES AND
    ACTIVITIES.
        Not later than February 15, 1996, the Secretary of the Army shall
    submit to Congress a report setting forth--
            (1) the location, assets, and mission of each Army facility,
        active or reserve component, that supports water transportation
        operations;
            (2) an infrastructure inventory and utilization rate of each
        Army facility supporting water transportation operations;
            (3) options for consolidating these operations to reduce
        overhead; and
            (4) actions that can be taken to respond affirmatively to
        requests from the residents of Marcus Hook, Pennsylvania, to close
        the Army Reserve facility located in Marcus Hook and make the
        facility available for use by the community.

    SEC. 2896. RESIDUAL VALUE REPORTS.

        (a) Reports Required.--The Secretary of Defense, in coordination
    with the Director of the Office of Management and Budget, shall submit
    to the congressional defense committees status reports on the results
    of residual value negotiations between the United States and Germany.
    Such status reports shall be submitted within 30 days after the receipt
    of such reports by the Office of Management and Budget.
        (b) Content of Status Reports.--The status reports required by
    subsection (a) shall include the following information:
            (1) The estimated residual value of United States capital value
        and improvements to facilities in Germany that the United States
        has turned over to Germany.
            (2) The actual value obtained by the United States for each
        facility or installation turned over to Germany.
            (3) The reasons for any difference between the estimated and
        actual value obtained.
    SEC. 2897. SENSE OF CONGRESS AND REPORT REGARDING FITZSIMONS ARMY
    MEDICAL CENTER, COLORADO.
        (a) Findings.--Congress makes the following findings:
            (1) Fitzsimons Army Medical Center in Aurora, Colorado, 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) The University of Colorado Health Sciences Center and the
        University of Colorado Hospital Authority are in urgent need of
        space to maintain their ability to deliver health care to meet the
        growing demand for their services.
            (3) Reuse of the Fitzsimons Army Medical Center at the earliest
        opportunity would provide significant benefit to the cities of
        Aurora, Colorado, and Denver, Colorado.
            (4) Reuse of the Fitzsimons Army Medical Center by the
        communities in the vicinity of the center will ensure that the
        center is fully utilized, thereby providing a benefit to such
        communities.
        (b) Sense of Congress.--It is the sense of Congress that--
            (1) determinations as to the use by other departments and
        agencies of the Federal Government of buildings and property at
        military installations approved for closure under the Defense Base
        Closure and Realignment Act of 1990, including Fitzsimons Army
        Medical Center, Colorado, should be completed as soon as
        practicable;
            (2) the Secretary of Defense should consider the expedited
        transfer of appropriate facilities (including facilities that
        remain operational) at such installations to the redevelopment
        authorities for such installations in order to ensure continuity of
        use of such facilities after the closure of such installations, in
        particular, the Secretary should consider the expedited transfer of
        the Fitzsimons Army Medical Center because of the significant
        preparation underway by the redevelopment authority concerned;
            (3) the Secretary should not enter into leases with
        redevelopment authorities for facilities at such installations
        until the Secretary determines that such leases fall within the
        categorical exclusions established by the Secretary pursuant to the
        National Environmental Policy Act (42 U.S.C. 4321 et seq.).
        (c) Report.--(1) Not later than 180 days after the date of the
    enactment of this Act, the Secretary of Defense shall submit to the
    congressional defense committees a report on the closure and
    redevelopment of Fitzsimons Army Medical Center.
        (2) The report shall include the following:
            (A) The results of the determinations as to the use of
        buildings and property at Fitzsimons Army Medical Center by other
        departments and agencies of the Federal Government under section
        2905(b)(1) of the Defense Base Closure and Realignment Act of 1990.
            (B) A description of any actions taken to expedite such
        determinations.
            (C) A discussion of any impediments raised as a result of such
        determinations to the transfer or lease of Fitzsimons Army Medical
        Center.
            (D) A description of any actions taken by the Secretary to
        lease Fitzsimons Army Medical Center to the redevelopment
        authority.
            (E) The results of any environmental reviews under the National
        Environmental Policy Act in which such a lease would fall into the
        categorical exclusions established by the Secretary of the Army.
            (F) The results of the environmental baseline survey regarding
        Fitzsimons Army Medical Center and a finding of suitability or
        nonsuitability.

     TITLE XXIX--LAND CONVEYANCES INVOLVING JOLIET ARMY AMMUNITION PLANT,
                                    ILLINOIS

    SEC. 2901. SHORT TITLE.

        This title may be cited as the ``Illinois Land Conservation Act of
    1995''.

    SEC. 2902. DEFINITIONS.

        For purposes of this title, the following definitions apply:
            (1) Administrator.--The term ``Administrator'' means the
        Administrator of the United States Environmental Protection Agency.
            (2) Agricultural purposes.--The term ``agricultural purposes''
        means the use of land for row crops, pasture, hay, and grazing.
            (3) Arsenal.--The term ``Arsenal'' means the Joliet Army
        Ammunition Plant located in the State of Illinois.
            (4) Arsenal land use concept.--The term ``Arsenal land use
        concept'' means the land use proposals that were developed and
        unanimously approved on May 30, 1995, by the Joliet Arsenal Citizen
        Planning Commission.
            (5) CERCLA.--The term ``CERCLA'' means the Comprehensive
        Environmental Response, Compensation, and Liability Act of 1980 (42
        U.S.C. 9601 et seq.).
            (6) Environmental law.--The term ``environmental law'' means
        all applicable Federal, State, and local laws, regulations, and
        requirements related to protection of human health, natural and
        cultural resources, or the environment. Such term includes CERCLA,
        the Solid Waste Disposal Act (42 U.S.C. 6901 et seq.), the Federal
        Water Pollution Control Act (33 U.S.C. 1251 et seq.), the Clean Air
        Act (42 U.S.C. 7401 et seq.), the Federal Insecticide, Fungicide,
        and Rodenticide Act (7 U.S.C. 136 et seq.), the Toxic Substances
        Control Act (15 U.S.C. 2601 et seq.), and the Safe Drinking Water
        Act (42 U.S.C. 300f et seq.).
            (7) Hazardous substance.--The term ``hazardous substance'' has
        the meaning given such term by section 101(14) of CERCLA (42 U.S.C.
        9601(14)).
            (8) MNP.--The term ``MNP'' means the Midewin National Tallgrass
        Prairie established pursuant to section 2914 and managed as a part
        of the National Forest System.
            (9) Person.--The term ``person'' has the meaning given such
        term by section 101(21) of CERCLA (42 U.S.C. 9601(21)).
            (10) Pollutant or contaminant.--The term ``pollutant or
        contaminant'' has the meaning given such term by section 101(33) of
        CERCLA (42 U.S.C. 9601(33)).
            (11) Release.--The term ``release'' has the meaning given such
        term by section 101(22) of CERCLA (42 U.S.C. 9601(22)).
            (12) Response action.--The term ``response action'' has the
        meaning given the term ``response'' by section 101(25) of CERCLA
        (42 U.S.C. 9601(25)).

       Subtitle A--Conversion of Joliet Army Ammunition Plant to Midewin
                           National Tallgrass Prairie

    SEC. 2911. PRINCIPLES OF TRANSFER.

        (a) Land Use Plan.--The Congress ratifies in principle the
    proposals generally identified by the land use plan which was developed
    by the Joliet Arsenal Citizen Planning Commission and unanimously
    approved on May 30, 1995.
        (b) Transfer Without Reimbursement.--The area constituting the
    Midewin National Tallgrass Prairie shall be transferred, without
    reimbursement, to the Secretary of Agriculture.
        (c) Management of MNP.--Management by the Secretary of Agriculture
    of those portions of the Arsenal transferred to the Secretary under
    this title shall be in accordance with sections 2914 and 2915 regarding
    the Midewin National Tallgrass Prairie.
        (d) Security Measures.--The Secretary of the Army and the Secretary
    of Agriculture shall each provide and maintain physical and other
    security measures on such portion of the Arsenal as is under the
    administrative jurisdiction of such Secretary, unless the Secretary of
    the Army and the Secretary of Agriculture agree otherwise. Such
    security measures (which may include fences and natural barriers) shall
    include measures to prevent members of the public from gaining
    unauthorized access to such portions of the Arsenal as are under the
    administrative jurisdiction of such Secretary and that may endanger
    health or safety.
        (e) Cooperative Agreements.--The Secretary of the Army, the
    Secretary of Agriculture, and the Administrator are individually and
    collectively authorized to enter into cooperative agreements and
    memoranda of understanding among each other and with other affected
    Federal agencies, State and local governments, private organizations,
    and corporations to carry out the purposes for which the Midewin
    National Tallgrass Prairie is established.
        (f) Interim Activities of the Secretary of Agriculture.--Prior to
    transfer and subject to such reasonable terms and conditions as the
    Secretary of the Army may prescribe, the Secretary of Agriculture may
    enter upon the Arsenal property for purposes related to planning,
    resource inventory, fish and wildlife habitat manipulation (which may
    include prescribed burning), and other such activities consistent with
    the purposes for which the Midewin National Tallgrass Prairie is
    established.
    SEC. 2912. TRANSFER OF MANAGEMENT RESPONSIBILITIES AND JURISDICTION
    OVER ARSENAL.
        (a) General Rule for Transfer of Jurisdiction.--
            (1) Transfer required subject to response actions.--Subject to
        subsection (d), not later than 270 days after the date of the
        enactment of this title, the Secretary of the Army shall transfer,
        without reimbursement, to the Secretary of Agriculture those
        portions of the Arsenal that--
                (A) are identified on the map described in subsection
            (e)(1) as appropriate for transfer under this subsection to the
            Secretary of Agriculture; and
                (B) the Secretary of the Army and the Administrator concur
            in finding that all response actions have been taken under
            CERCLA necessary to protect human health and the environment
            with respect to any hazardous substance remaining on the
            property.
            (2) Effect of less than complete transfer.--If the concurrence
        requirement in paragraph (1)(B) results in the transfer, within
        such 270-day period, of less than all of the Arsenal property
        covered by paragraph (1)(A), the Secretary of the Army and the
        Secretary of Agriculture shall enter into a memorandum of
        understanding providing for the performance by the Secretary of the
        Army of the additional response actions necessary to allow
        fulfillment of the concurrence requirement with respect to such
        Arsenal property. The memorandum of understanding shall be entered
        into within 60 days of the end of such 270-day period and shall
        include a schedule for the completion of the additional response
        actions as soon as practicable. Subject to subsection (d), the
        Secretary of the Army shall transfer Arsenal property covered by
        this paragraph to the Secretary of Agriculture as soon as possible
        after the Secretary of the Army and the Administrator concur that
        all additional response actions have been taken under CERCLA
        necessary to protect human health and the environment with respect
        to any hazardous substance remaining on the property. The Secretary
        of the Army may make transfers under this paragraph on a parcel-by-
        parcel basis.
            (3) Rule of construction regarding concurrences.--For the
        purpose of reaching the concurrences required by this subsection
        and subsection (b), if a response action requires construction and
        installation of an approved remedial design, the response action
        shall be considered to have been taken when the construction and
        installation of the approved remedial design is completed and the
        remedy is demonstrated to the satisfaction of the Administrator to
        be operating properly and successfully.
        (b) Special Transfer Requirements for Certain Parcels.--Subject to
    subsection (d), the Secretary of the Army shall transfer, without
    reimbursement, to the Secretary of Agriculture the Arsenal property
    known as LAP Area Sites L2, L3, and L5 and Manufacturing Area Site 1.
    The transfer shall occur as soon as possible after the Secretary of the
    Army and the Administrator concur that all response actions have been
    taken under CERCLA necessary to protect human health and the
    environment with respect to any hazardous substance remaining on the
    property. The Secretary of the Army may make transfers under this
    subsection on a parcel-by-parcel basis.
        (c) Documentation of Environmental Condition of Parcels; Assessment
    of Required Actions Under Other Environmental Laws.--
            (1) Documentation.--The Secretary of the Army and the
        Administrator shall provide to the Secretary of Agriculture all
        documentation and information that exists on the date the
        documentation and information is provided relating to the
        environmental condition of the Arsenal property proposed for
        transfer under subsection (a) or (b), including documentation that
        supports the finding that all response actions have been taken
        under CERCLA necessary to protect human health and the environment
        with respect to any hazardous substance remaining on the property.
            (2) Assessment.--The Secretary of the Army shall provide to the
        Secretary of Agriculture an assessment, based on information in
        existence at the time the assessment is provided, indicating what
        further action, if any, is required under any environmental law
        (other than CERCLA) on the Arsenal property proposed for transfer
        under subsection (a) or (b).
            (3) Time for submission of documentation and assessment.--The
        documentation and assessments required to be submitted to the
        Secretary of Agriculture under this subsection shall be submitted--
                (A) in the case of the transfers required by subsection
            (a), not later than 210 days after the date of the enactment of
            this title; and
                (B) in the case of the transfers required by subsection
            (b), not later than 60 days before the earliest date on which
            the property could be transferred.
            (4) Submission of additional information.--The Secretary of the
        Army and the Administrator shall have a continuing obligation to
        provide to the Secretary of Agriculture any additional information
        regarding the environmental condition of property to be transferred
        under subsection (a) or (b) as such information becomes available.
        (d) Effect of Environmental Assessment.--
            (1) Authority of secretary of agriculture to decline immediate
        transfer.--If a parcel of Arsenal property to be transferred under
        subsection (a) or (b) includes property for which the assessment
        under subsection (c)(2) concludes further action is required under
        any environmental law (other than CERCLA), the Secretary of
        Agriculture may decline immediate transfer of the parcel. With
        respect to such a parcel, the Secretary of the Army and the
        Secretary of Agriculture shall enter into a memorandum of
        understanding providing for the performance by the Secretary of the
        Army of the required actions identified in the Army assessment. The
        memorandum of understanding shall be entered into within 90 days
        after the date on which the Secretary of Agriculture declines
        immediate transfer of the parcel and shall include a schedule for
        the completion of the required actions as soon as practicable.
            (2) Eventual transfer.--In the case of a parcel of Arsenal
        property that the Secretary of Agriculture declines immediate
        transfer under paragraph (1), the Secretary may accept transfer of
        the parcel at any time after the original finding with respect to
        the parcel that all response actions have been taken under CERCLA
        necessary to protecthuman health and the environment with respect
    to any hazardous substance remaining on the property. The Secretary of
    Agriculture shall accept transfer of the parcel as soon as possible
    after the date on which all required further actions identified in the
    assessment have been taken and the terms of any memorandum of
    understanding have been satisfied.
        (e) Identification of Arsenal Property for Transfer.--
            (1) Map of proposed transfers.--The lands subject to transfer
        to the Secretary of Agriculture under subsections (a) and (b) and
        section 2916 are depicted on the map dated September 22, 1995,
        which is on file and available for public inspection at the Office
        of the Chief of the Forest Service and the Office of the Assistant
        Secretary of the Army for Installations, Logistics and the
        Environment.
            (2) Method of effecting transfer.--The Secretary of the Army
        shall effect the transfer of jurisdiction of Arsenal property under
        subsections (a) and (b) and section 2916 by publication of notices
        in the Federal Register. The Secretary of Agriculture shall give
        prior concurrence to the publication of such notices. Each notice
        published in the Federal Register shall refer to the parcel being
        transferred by legal description, references to maps or surveys, or
        other forms of description mutually acceptable to the Secretary of
        the Army and the Secretary of Agriculture. The Secretary of the
        Army shall provide, without reimbursement, to the Secretary of
        Agriculture copies of all surveys and land title information on
        lands transferred under this section or section 2916.
        (f) Surveys.--All costs of necessary surveys for the transfer of
    jurisdiction of Arsenal property from the Secretary of the Army to the
    Secretary of Agriculture shall be borne by the Secretary of
    Agriculture.

    SEC. 2913. RESPONSIBILITY AND LIABILITY.

        (a) Continued Liability of Secretary of the Army.--The transfers of
    Arsenal property under sections 2912 and 2916, and the requirements of
    such sections, shall not in any way affect the responsibilities and
    liabilities of the Secretary of the Army specified in this section. The
    Secretary of the Army shall retain any obligation or other liability at
    the Arsenal that the Secretary of the Army has under CERCLA or other
    environmental laws. Following transfer of a portion of the Arsenal
    under this subtitle, the Secretary of the Army shall be accorded any
    easement or access to the property that may be reasonably required by
    the Secretary to carry out the obligation or satisfy the liability.
        (b) Special Protections for Secretary of Agriculture.--The
    Secretary of Agriculture shall not be liable under any environmental
    law for matters which are related directly or indirectly to activities
    of the Secretary of the Army at the Arsenal or any party acting under
    the authority of the Secretary of the Army at the Arsenal, including
    any of the following:
            (1) Costs or performance of response actions required under
        CERCLA at or related to the Arsenal.
            (2) Costs, penalties, fines, or performance of actions related
        to noncompliance with any environmental law at or related to the
        Arsenal or related to the presence, release, or threat of release
        of any hazardous substance, pollutant or contaminant, hazardous
        waste, or hazardous material of any kind at or related to the
        Arsenal, including contamination resulting from migration of a
        hazardous substance, pollutant or contaminant, hazardous waste,
        hazardous material, or petroleum products or their derivatives.
            (3) Costs or performance of actions necessary to remedy
        noncompliance or another problem specified in paragraph (2).
        (c) Liability of Other Persons.--Nothing in this title shall be
    construed to effect, modify, amend, repeal, alter, limit or otherwise
    change, directly or indirectly, the responsibilities or liabilities
    under any environmental law of any person (including the Secretary of
    Agriculture), except as provided in subsection (b) with respect to the
    Secretary of Agriculture.
        (d) Payment of Response Action Costs.--A Federal agency that had or
    has operations at the Arsenal resulting in the release or threatened
    release of a hazardous substance or pollutant or contaminant for which
    that agency would be liable under any environmental law, subject to the
    provisions of this subtitle, shall pay the costs of related response
    actions and shall pay the costs of related actions to remediate
    petroleum products or the derivatives of the products, including motor
    oil and aviation fuel.
        (e) Consultation.--
            (1) Responsibility of secretary of agriculture.--The Secretary
        of Agriculture shall consult with the Secretary of the Army with
        respect to the management by the Secretary of Agriculture of real
        property included in the Midewin National Tallgrass Prairie subject
        to any response action or other action at the Arsenal being carried
        out by or under the authority of the Secretary of the Army under
        any environmental law. The Secretary of Agriculture shall consult
        with the Secretary of the Army prior to undertaking any activities
        on the Midewin National Tallgrass Prairie that may disturb the
        property to ensure that such activities will not exacerbate
        contamination problems or interfere with performance by the
        Secretary of the Army of response actions at the property.
            (2) Responsibility of secretary of the army.--In carrying out
        response actions at the Arsenal, the Secretary of the Army shall
        consult with the Secretary of Agriculture to ensure that such
        actions are carried out in a manner consistent with the purposes
        for which the Midewin National Tallgrass Prairie is established, as
        specified in section 2914(c), and the other provisions of sections
        2914 and 2915.
    SEC. 2914. ESTABLISHMENT AND ADMINISTRATION OF MIDEWIN NATIONAL
    TALLGRASS PRAIRIE.
        (a) Establishment.--On the effective date of the initial transfer
    of jurisdiction of portions of the Arsenal to the Secretary of
    Agriculture under section 2912(a), the Secretary ofAgriculture shall
    establish the Midewin National Tallgrass Prairie. The MNP shall--
            (1) be administered by the Secretary of Agriculture; and
            (2) consist of the real property so transferred and such other
        portions of the Arsenal subsequently transferred under section
        2912(b) or 2916 or acquired under section 2914(d).
        (b) Administration.--
            (1) In general.--The Secretary of Agriculture shall manage the
        Midewin National Tallgrass Prairie as a part of the National Forest
        System in accordance with this title and the laws, rules, and
        regulations pertaining to the National Forest System, except that
        the Bankhead-Jones Farm Tenant Act of 1937 (7 U.S.C. 1010-1012)
        shall not apply to the MNP.
            (2) Initial management activities.--In order to expedite the
        administration and public use of the Midewin National Tallgrass
        Prairie, the Secretary of Agriculture may conduct management
        activities at the MNP to effectuate the purposes for which the MNP
        is established, as set forth in subsection (c), in advance of the
        development of a land and resource management plan for the MNP.
            (3) Land and resource management plan.--In developing a land
        and resource management plan for the Midewin National Tallgrass
        Prairie, the Secretary of Agriculture shall consult with the
        Illinois Department of Natural Resources and local governments
        adjacent to the MNP and provide an opportunity for public comment.
        Any parcel transferred to the Secretary of Agriculture under this
        title after the development of a land and resource management plan
        for the MNP may be managed in accordance with such plan without
        need for an amendment to the plan.
        (c) Purposes of the Midewin National Tallgrass Prairie.--The
    Midewin National Tallgrass Prairie is established to be managed for
    National Forest System purposes, including the following:
            (1) To manage the land and water resources of the MNP in a
        manner that will conserve and enhance the native populations and
        habitats of fish, wildlife, and plants.
            (2) To provide opportunities for scientific, environmental, and
        land use education and research.
            (3) To allow the continuation of agricultural uses of lands
        within the MNP consistent with section 2915(b).
            (4) To provide a variety of recreation opportunities that are
        not inconsistent with the preceding purposes.
        (d) Other Land Acquisition for MNP.--
            (1) Availability of land acquisition funds.--Notwithstanding
        section 7 of the Land and Water Conservation Fund Act of 1965 (16
        U.S.C. 460l-9), the Secretary of Agriculture may use monies
        appropriated from the Land and Water Conservation Fund established
        under section 2 of such Act (16 U.S.C. 460l-5) for the acquisition
        of lands and interests in land for inclusion in the Midewin
        National Tallgrass Prairie.
            (2) Acquisition of lands.--The Secretary of Agriculture may
        acquire lands or interests therein for inclusion in the Midewin
        National Tallgrass Prairie by donation, purchase, or exchange,
        except that the acquisition of private lands for inclusion in the
        MNP shall be on a willing seller basis only.
        (e) Cooperation With States, Local Governments and Other
    Entities.--In the management of the Midewin National Tallgrass Prairie,
    the Secretary of Agriculture is authorized and encouraged to cooperate
    with appropriate Federal, State and local governmental agencies,
    private organizations and corporations. Such cooperation may include
    cooperative agreements as well as the exercise of the existing
    authorities of the Secretary under the Cooperative Forestry Assistance
    Act of 1978 (16 U.S.C. 2101 et seq.) and the Forest and Rangeland
    Renewable Resources Research Act of 1978 (16 U.S.C. 1641 et seq.). The
    objects of such cooperation may include public education, land and
    resource protection, and cooperative management among government,
    corporate, and private landowners in a manner which furthers the
    purposes for which the Midewin National Tallgrass Prairie is
    established.
    SEC. 2915. SPECIAL MANAGEMENT REQUIREMENTS FOR MIDEWIN NATIONAL
    TALLGRASS PRAIRIE.
        (a) Prohibition Against the Construction of New Through Roads.--No
    new construction of any highway, public road, or any part of the
    interstate system, whether Federal, State, or local, shall be permitted
    through or across any portion of the Midewin National Tallgrass
    Prairie. Nothing in this title shall preclude construction and
    maintenance of roads for use within the MNP, the granting of
    authorizations for utility rights-of-way under applicable Federal law,
    or such access as is necessary. Nothing in this title shall preclude
    necessary access by the Secretary of the Army for purposes of
    restoration and cleanup as provided in this title.
        (b) Agricultural Leases and Special Use Authorizations.--Within the
    Midewin National Tallgrass Prairie, use of the lands for agricultural
    purposes shall be permitted subject to the following terms and
    conditions:
            (1) If at the time of transfer of jurisdiction under section
        2912 or 2916 there exists any lease issued by the Secretary of the
        Army or the Secretary of Defense for agricultural purposes upon the
        parcel transferred, the Secretary of Agriculture shall issue a
        special use authorization to supersede the lease. The terms of the
        special use authorization shall be identical in substance to the
        lease that the special use authorization is superseding, including
        the expiration date and any payments owed the United States. On
        issuance of the special use authorization, the lease shall become
        void.
            (2) In addition to the authority provided in paragraph (1), the
        Secretary of Agriculture may issue special use authorizations to
        persons for use of the Midewin National Tallgrass Prairie for
        agricultural purposes. Special use authorizations issued pursuant
        to this paragraph shall include terms and conditions as the
        Secretary of Agriculture may deem appropriate.
            (3) No agricultural special use authorization shall be issued
        for agricultural purposes which has a term extending beyond the
        date 20 years from the date of the enactment of this title, except
        that nothing in this title shall preclude the Secretary of
        Agriculture from issuing agricultural special use authorizations or
        grazing permits which are effective after twenty years from the
        date of enactment of this title for purposes primarily related to
        erosion control, provision for food and habitat for fish and
        wildlife, or other resource management activities consistent with
        the purposes of the Midewin National Tallgrass Prairie.
        (c) Treatment of Rental Fees.--Monies received under a special use
    authorization issued under subsection (b) shall be subject to
    distribution to the State of Illinois and affected counties pursuant to
    the Act of May 23, 1908, and section 13 of the Act of March 1, 1911 (16
    U.S.C. 500). All monies not distributed pursuant to such Acts shall be
    covered into the Treasury and shall constitute a special fund (to be
    known as the ``MNP Rental Fee Account''). The Secretary of Agriculture
    may use amounts in the fund, until expended and without fiscal year
    limitation, to cover the cost to the United States of prairie
    improvement work at the Midewin National Tallgrass Prairie. Any amounts
    in the fund that the Secretary of Agriculture determines to be in
    excess of the cost of doing such work shall be transferred, upon such
    determination, to miscellaneous receipts, Forest Service Fund, as a
    National Forest receipt of the fiscal year in which the transfer is
    made.
        (d) User Fees.--The Secretary of Agriculture is authorized to
    charge reasonable fees for the admission, occupancy, and use of the
    Midewin National Tallgrass Prairie and may prescribe a fee schedule
    providing for reduced or a waiver of fees for persons or groups engaged
    in authorized activities including those providing volunteer services,
    research, or education. The Secretary shall permit admission,
    occupancy, and use at no additional charge for persons possessing a
    valid Golden Eagle Passport or Golden Age Passport.
        (e) Salvage of Improvements.--The Secretary of Agriculture may sell
    for salvage value any facilities and improvements which have been
    transferred to the Secretary pursuant to this title.
        (f) Treatment of User Fees and Salvage Receipts.--Monies collected
    pursuant to subsections (d) and (e) shall be covered into the Treasury
    and constitute a special fund (to be known as the ``Midewin National
    Tallgrass Prairie Restoration Fund''). The Secretary of Agriculture may
    use amounts in the fund, in such amounts as are provided in advance in
    appropriation Acts, for restoration and administration of the Midewin
    National Tallgrass Prairie, including construction of a visitor and
    education center, restoration of ecosystems, construction of
    recreational facilities (such as trails), construction of
    administrative offices, and operation and maintenance of the MNP. The
    Secretary of Agriculture shall include the MNP among the areas under
    the jurisdiction of the Secretary selected for inclusion in any cost
    recovery or any pilot program of the Secretary for the collection, use,
    and distribution of user fees.
    SEC. 2916. SPECIAL TRANSFER RULES FOR CERTAIN ARSENAL PARCELS INTENDED
    FOR MNP.
        (a) Description of Parcels.--The following areas of the Arsenal may
    be transferred under this section:
            (1) Study Area 2, explosive burning ground.
            (2) Study Area 3, flashing ground.
            (3) Study Area 4, lead azide area.
            (4) Study Area 10, toluene tank farms.
            (5) Study Area 11, landfill.
            (6) Study Area 12, sellite manufacturing area.
            (7) Study Area 14, former pond area.
            (8) Study Area 15, sewage treatment plan.
            (9) Study Area L1, load assemble packing area, group 61.
            (10) Study Area L4, landfill area.
            (11) Study Area L7, group 1.
            (12) Study Area L8, group 2.
            (13) Study Area L9, group 3.
            (14) Study Area L10, group 3A.
            (15) Study Area L14, group 4.
            (16) Study Area L15, group 5.
            (17) Study Area L18, group 8.
            (18) Study Area L19, group 9.
            (19) Study Area L33, PVC area.
            (20) Any other lands proposed for transfer as depicted on the
        map described in section 2912(e)(1) and not otherwise specifically
        identified for transfer under this subtitle.
        (b) Information Regarding Environmental Condition of Parcels;
    Assessment of Required Actions Under Other Environmental Laws.--
            (1) Information.--Not later than 180 days after the date on
        which the Secretary of the Army and the Administrator concur in
        finding that, with respect to a parcel of Arsenal property
        described in subsection (a), all response actions have been taken
        under CERCLA necessary to protect human health and the environment
        with respect to any hazardous substance remaining on the parcel,
        the Secretary of the Army and the Administrator shall provide to
        the Secretary of Agriculture all information that exists on such
        date regarding the environmental condition of the parcel and the
        implementation of any response action, including information
        regarding the effectiveness of the response action.
            (2) Assessment.--At the same time as information is provided
        under paragraph (1) with regard to a parcel of Arsenal property
        described in subsection (a), the Secretary of the Army shall
        provide to the Secretary of Agriculture an assessment, based on
        information in existence at the time the assessment is provided,
        indicating what further action, if any, is required under any
        environmental law (other than CERCLA) with respect to the parcel.
            (3) Submission of additional information.--The Secretary of the
        Army and the Administrator shall have a continuing obligation to
        provide to the Secretary of Agriculture any additional information
        regarding the environmental condition of a parcel of the Arsenal
        property described in subsection (a) as such information becomes
        available.
        (c) Offer of Transfer.--Not later than 180 days after the date on
    which information is provided under subsection (b)(1) with regard to a
    parcel of the Arsenal property described in subsection (a), the
    Secretary of the Army shall offer the Secretary of Agriculture the
    option of accepting a transfer of the parcel, without reimbursement, to
    be added to the Midewin National Tallgrass Prairie. The transfer shall
    be subject to the terms and conditions of this subtitle, including the
    liability provisions contained in section 2913. The Secretary of
    Agriculture has the option to accept or decline the offered transfer.
    The transfer of property under this section may be made on a parcel-by-
    parcel basis.
        (d) Effect of Environmental Assessment.--
            (1) Authority of secretary of agriculture to decline
        transfer.--If a parcel of Arsenal property described in subsection
        (a) includes property for which the assessment under subsection
        (b)(2) concludes further action is required under any other
        environmental law, the Secretary of Agriculture may decline any
        transfer of the parcel. Alternatively, the Secretary of Agriculture
        may decline immediate transfer of the parcel and enter into a
        memorandum of understanding with the Secretary of the Army
        providing for the performance by the Secretary of the Army of the
        required actions identified in the Army assessment with respect to
        the parcel. The memorandum of understanding shall be entered into
        within 90 days, or such later date as the Secretaries may
        establish, after the date on which the Secretary of Agriculture
        declines immediate transfer of the parcel and shall include a
        schedule for the completion of the required actions as soon as
        practicable.
            (2) Eventual transfer.--The Secretary of Agriculture may accept
        or decline at any time for any reason the transfer of a parcel
        covered by this section. However,if the Secretary of Agriculture
    and the Secretary of the Army enter into a memorandum of understanding
    under paragraph (1) providing for transfer of the parcel, the Secretary
    of Agriculture shall accept transfer of the parcel as soon as possible
    after the date on which all required further actions identified in the
    assessment have been taken and the requirements of the memorandum of
    understanding have been satisfied.
        (e) Rule of Construction Regarding Concurrences.--For the purpose
    of the reaching the concurrence required by subsection (b)(1), if a
    response action requires construction and installation of an approved
    remedial design, the response action shall be considered to have been
    taken when the construction and installation of the approved remedial
    design is completed and the remedy is demonstrated to the satisfaction
    of the Administrator to be operating properly and successfully.
        (f) Inclusions and Exceptions.--
            (1) Inclusions.--The parcels of Arsenal property described in
        subsection (a) shall include all associated inventoried buildings
        and structures as identified in the Joliet Army Ammunition Plant
        Plantwide Building and Structures Report and the contaminate study
        sites for both the manufacturing and load assembly and packing
        sites of the Arsenal as shown in the Dames and Moore Final Report,
        Phase 2 Remedial Investigation Manufacturing (MFG) Area Joliet Army
        Ammunition Plant, Joliet, Illinois (May 30, 1993, Contract No.
        DAAA15-90-D-0015 task order No. 6 prepared for the United States
        Army Environmental Center).
            (2) Exception.--The parcels described in subsection (a) shall
        not include the property at the Arsenal designated for transfer or
        conveyance under subtitle B.

      Subtitle B--Other Land Conveyances Involving Joliet Army Ammunition
                                     Plant

    SEC. 2921. CONVEYANCE OF CERTAIN REAL PROPERTY AT ARSENAL FOR A
    NATIONAL CEMETERY.
        (a) Conveyance Authorized.--Subject to section 2931, the Secretary
    of the Army may transfer, without reimbursement, to the Secretary of
    Veterans Affairs the parcel of real property at the Arsenal described
    in subsection (b) for use as a national cemetery operated as part of
    the National Cemetery System of the Department of Veterans Affairs
    under chapter 24 of title 38, United States Code.
        (b) Description of Property.--The real property authorized to be
    transferred under subsection (a) is a parcel of real property at the
    Arsenal consisting of approximately 982 acres, the approximate legal
    description of which includes part of sections 30 and 31, Jackson
    Township, Township 34 North, Range 10 East, and part of sections 25 and
    36, Channahon Township, Township 34 North, Range 10 East, Will County,
    Illinois, as depicted in the Arsenal land use concept.
        (c) Security Measures.--The Secretary of Veterans Affairs shall
    provide and maintain physical and other security measures on the real
    property transferred under subsection (a). Such security measures
    (which may include fences and natural barriers) shall include measures
    to prevent members of the public from gaining unauthorized access to
    the portion of the Arsenal that is under the administrative
    jurisdiction of the Secretary of Veterans Affairs and that may endanger
    health or safety.
        (d) Surveys.--All costs of necessary surveys for the transfer of
    jurisdiction of Arsenal properties from the Secretary of the Army to
    the Secretary of Veterans Affairs shall be borne solely by the
    Secretary of Veterans Affairs.
    SEC. 2922. CONVEYANCE OF CERTAIN REAL PROPERTY AT ARSENAL FOR A COUNTY
    LANDFILL.
        (a) Conveyance Authorized.--Subject to section 2931, the Secretary
    of the Army may convey, without compensation,to Will County, Illinois,
    all right, title, and interest of the United States in and to the
    parcel of real property at the Arsenal described in subsection (b),
    which shall be operated as a landfill by the County.
        (b) Description of Property.--The real property authorized to be
    conveyed under subsection (a) is a parcel of real property at the
    Arsenal consisting of approximately 455 acres, the approximate legal
    description of which includes part of sections 8, 9, 16, and 17,
    Florence Township, Township 33 North, Range 10 East, Will County,
    Illinois, as depicted in the Arsenal land use concept.
        (c) Condition on Conveyance.--The conveyance shall be subject to
    the condition that the Department of the Army, the Department of
    Veterans Affairs, and the Department of Agriculture (or their agents or
    assigns) may use the landfill established on the real property conveyed
    under subsection (a) for the disposal of construction debris, refuse,
    and other materials related to any restoration and cleanup of Arsenal
    property. Such use shall be subject to applicable environmental laws
    and at no cost to the Federal Government.
        (d) Reversionary Interest.--If, at the end of the five-year period
    beginning on the date of the conveyance under subsection (a), the
    Secretary of Agriculture determines that the conveyed property is not
    opened for operation as a landfill, then, at the option of the
    Secretary of Agriculture, all right, title, and interest in and to the
    property, including improvements thereon, shall revert to the United
    States. Upon any such reversion, the property shall be included in the
    Midewin National Tallgrass Prairie. In the event the United States
    exercises its option to cause the property to revert, the United States
    shall have the right of immediate entry onto the property.
        (e) Information Regarding Environmental Conditions.--At the request
    of the Secretary of Agriculture, Will County, the Secretary of the
    Army, and the Administrator shall provide to the Secretary of
    Agriculture all information in their possession at the time of the
    request regarding the environmental condition of the real property to
    be conveyed under this section. The liability and responsibility of any
    person under any environmental law shall remain unchanged with respect
    to the landfill, except as provided in this title, including section
    2913.
        (f) Surveys.--All costs of necessary surveys for the conveyance of
    real property under this section shall be borne by Will County,
    Illinois.
        (g) Additional Terms and Conditions.--The Secretary of the Army may
    require such additional terms and conditions in connection with the
    conveyance under this section as the Secretary of the Army considers
    appropriate to protect the interests of the United States.
    SEC. 2923. CONVEYANCE OF CERTAIN REAL PROPERTY AT ARSENAL FOR
    INDUSTRIAL PARKS.
        (a) Conveyance Authorized.--Subject to section 2931, the Secretary
    of the Army may convey to the State of Illinois, all right, title, and
    interest of the United States in and to the parcels of real property at
    the Arsenal described in subsection (b), which shall be used as
    industrial parks to replace all or a part of the economic activity lost
    at the Arsenal.
        (b) Description of Property.--The real property at the Arsenal
    authorized to be transferred under subsection (a) consists of the
    following parcels:
            (1) A parcel of approximately 1,900 acres, the approximate
        legal description of which includes part of section 30, Jackson
        Township, Township 34 North, Range 10 East, and sections or parts
        of sections 24, 25, 26, 35, and 36, Township 34 North, Range 9
        East, in Channahon Township, an area of 9.77 acres around the Des
        Plaines River Pump Station located in the southeast quarter of
        section 15, Township 34 North, Range 9 East of the Third Principal
        Meridian, in Channahon Township, and an area of 511 feet by 596
        feet around the Kankakee River Pump Station in the Northwest
        Quarter of section 5, Township 33 North, Range 9 East, east of the
        Third Principal Meridian in Wilmington Township, containing 6.99
        acres, located along the easterly side of the Kankakee Cut-Off in
        Will County, Illinois, as depicted in the Arsenal land use concept,
        and the connecting piping to the northern industrial site, as
        described by the United States Army Report of Availability, dated
        13 December 1993.
            (2) A parcel of approximately 1,100 acres, the approximate
        legal description of which includes part of sections 16, 17, and 18
        in Florence Township, Township 33 North, Range 10 East, Will
        County, Illinois, as depicted in the Arsenal land use concept.
        (c) Consideration.--
            (1) Delay in payment of consideration.--After the end of the
        20-year period beginning on the date on which the conveyance under
        subsection (a) is completed, the State of Illinois shall pay to the
        United States an amount equal to fair market value of the conveyed
        property as of the time of the conveyance.
            (2) Effect of reconveyance by state.--If the State of Illinois
        reconveys all or any part of the conveyed property during such 20-
        year period, the State shall pay to the United States an amount
        equal to the fair market value of the reconveyed property as of the
        time of the reconveyance, excluding the value of any improvements
        made to the property by the State.
            (3) Determination of fair market value.--The Secretary of the
        Army shall determine fair market value in accordance with Federal
        appraisal standards and procedures.
            (4) Treatment of leases.--The Secretary of the Army may treat a
        lease of the property within such 20-year period as a reconveyance
        if the Secretary determines that the lease is being used to avoid
        application of paragraph (2).
            (5) Deposit of proceeds.--The Secretary of the Army shall
        deposit any proceeds received under this subsection in the special
        account established pursuant to section 204(h)(2) of the Federal
        Property and Administrative Services Act of 1949 (40 U.S.C.
        485(h)(2)).
        (d) Conditions of Conveyance.--
            (1) Redevelopment authority.--The conveyance under subsection
        (a) shall be subject to the condition that the Governor of the
        State of Illinois, in consultation with the Mayor of the Village of
        Elwood, Illinois, and the Mayor of the City of Wilmington,
        Illinois, establish a redevelopment authority to be responsible for
        overseeing the development of the industrial parks on the conveyed
        property.
            (2) Time for establishment.--To satisfy the condition specified
        in paragraph (1), the redevelopment authority shall be established
        within one year after the date of the enactment of this title.
        (e) Surveys.--All costs of necessary surveys for the conveyance of
    real property under this section shall be borne by the State of
    Illinois.
        (f) Additional Terms and Conditions.--The Secretary of the Army 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.

                      Subtitle C--Miscellaneous Provisions

    SEC. 2931. DEGREE OF ENVIRONMENTAL CLEANUP.

        (a) In General.--Nothing in this title shall be construed to
    restrict or lessen the degree of cleanup at the Arsenal required to be
    carried out under provisions of any environmental law.
        (b) Response Action.--The establishment of the Midewin National
    Tallgrass Prairie under subtitle A and the additional real property
    transfers or conveyances authorized under subtitle B shall not restrict
    or lessen in any way any response action or degree of cleanup under
    CERCLA or other environmental law, or any action required under any
    environmental law to remediate petroleum products or their derivatives
    (including motor oil and aviation fuel), required to be carried out
    under the authority of the Secretary of the Army at the Arsenal and
    surrounding areas.
        (c) Environmental Quality of Property.--Any contract for sale,
    deed, or other transfer of real property under subtitle B shall be
    carried out in compliance with all applicable provisions of section
    120(h) of CERCLA and other environmental laws.
    SEC. 2932. RETENTION OF PROPERTY USED FOR ENVIRONMENTAL CLEANUP.
        (a) Retention of Certain Property.--Unless and until the Arsenal
    property described in this subsection is actually transferred or
    conveyed under this title or other applicable law, the Secretary of the
    Army may retain jurisdiction, authority, and control over real property
    at the Arsenal to be used for--
            (1) water treatment;
            (2) the treatment, storage, or disposal of any hazardous
        substance, pollutant or contaminant, hazardous material, or
        petroleum products or their derivatives;
            (3) other purposes related to any response action at the
        Arsenal; and
            (4) other actions required at the Arsenal under any
        environmental law to remediate contamination or conditions of
        noncompliance with any environmental law.
        (b) Conditions.--The Secretary of the Army shall consult with the
    Secretary of Agriculture regarding the identification and management of
    the real property retained under this section and ensure that
    activities carried out on that property are consistent, to the extent
    practicable, with the purposes for which the Midewin National Tallgrass
    Prairie is established, as specified in section 2914(c), and with the
    other provisions of sections 2914 and 2915.
        (c) Priority of Response Actions.--In the case of any conflict
    between management of the property by the Secretary of Agriculture and
    any response action required under CERCLA, or any other action required
    under any other environmental law, including actions to remediate
    petroleum products or their derivatives, the response action or other
    action shall take priority.

     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.

        (a) Stockpile Stewardship.--Subject to subsection (d), funds are
    hereby authorized to be appropriated to the Department of Energy for
    fiscal year 1996 for stockpile stewardship in carrying out weapons
    activities necessary for national security programs in the amount of
    $1,567,175,000, to be allocated as follows:
            (1) For core stockpile stewardship, $1,159,708,000, to be
        allocated as follows:
                (A) For operation and maintenance, $1,078,403,000.
                (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),
            $81,305,000, to be allocated as follows:
                    Project 96-D-102, stockpile stewardship facilities
                revitalization, Phase VI, various locations, $2,520,000.
                    Project 96-D-103, ATLAS, Los Alamos National
                Laboratory, Los Alamos, New Mexico, $8,400,000.
                    Project 96-D-104, processing and environmental
                technology laboratory (PETL), Sandia National Laboratories,
                Albuquerque, New Mexico, $1,800,000.
                    Project 96-D-105, contained firing facility addition,
                Lawrence Livermore National Laboratory, Livermore,
                California, $6,600,000.
                    Project 95-D-102, Chemical and Metallurgy Research
                Building upgrades project, Los Alamos National Laboratory,
                Los Alamos, New Mexico, $9,940,000.
                    Project 94-D-102, nuclear weapons research,
                development, and testing facilities revitalization, Phase
                V, various locations, $12,200,000.
                    Project 93-D-102, Nevada support facility, North Las
                Vegas, Nevada, $15,650,000.
                    Project 90-D-102, nuclear weapons research,
                development, and testing facilities revitalization, Phase
                III, various locations, $6,200,000.
                    Project 88-D-106, nuclear weapons research,
                development, and testing facilities revitalization, Phase
                II, various locations, $17,995,000.
            (2) For inertial fusion, $240,667,000, to be allocated as
        follows:
                (A) For operation and maintenance, $203,267,000.
                (B) For the following plant project (including maintenance,
            restoration, planning, construction, acquisition, and
            modification of facilities, and land acquisition related
            thereto), $37,400,000:
                    Project 96-D-111, national ignition facility, location
                to be determined, $37,400,000.
            (3) For technology transfer and education, $160,000,000.
            (4) For Marshall Islands, $6,800,000.
        (b) Stockpile Management.--Subject to subsection (d), funds are
    hereby authorized to be appropriated to the Department of Energy for
    fiscal year 1996 for stockpile management in carrying out weapons
    activities necessary for national security programs in the amount of
    $2,025,083,000, to be allocated as follows:
            (1) For operation and maintenance, $1,911,458,000.
            (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), $113,625,000, to be allocated as
        follows:
                Project 96-D-122, sewage treatment quality upgrade (STQU),
            Pantex Plant, Amarillo, Texas, $600,000.
                Project 96-D-123, retrofit heating, ventilation, and air
            conditioning and chillers for ozone protection, Y-12 Plant, Oak
            Ridge, Tennessee, $3,100,000.
                Project 96-D-125, Washington measurements operations
            facility, Andrews Air Force Base, Camp Springs, Maryland,
            $900,000.
                Project 96-D-126, tritium loading line modifications,
            Savannah River Site, South Carolina, $12,200,000.
                Project 95-D-122, sanitary sewer upgrade, Y-12 Plant, Oak
            Ridge, Tennessee, $6,300,000.
                Project 94-D-124, hydrogen fluoride supply system, Y-12
            Plant, Oak Ridge, Tennessee, $8,700,000.
                Project 94-D-125, upgrade life safety, Kansas City Plant,
            Kansas City, Missouri, $5,500,000.
                Project 94-D-127, emergency notification system, Pantex
            Plant, Amarillo, Texas, $2,000,000.
                Project 94-D-128, environmental safety and health
            analytical laboratory, Pantex Plant, Amarillo, Texas,
            $4,000,000.
                Project 93-D-122, life safety upgrades, Y-12 Plant, Oak
            Ridge, Tennessee, $7,200,000.
                Project 93-D-123, complex-21, various locations,
            $41,065,000.
                Project 88-D-122, facilities capability assurance program,
            various locations, $8,660,000.
                Project 88-D-123, security enhancement, Pantex Plant,
            Amarillo, Texas, $13,400,000.
        (c) Program Direction.--Subject to subsection (d), funds are hereby
    authorized to be appropriated to the Department of Energy for fiscal
    year 1996 for program direction in carrying out weapons activities
    necessary for national security programs in the amount of $115,000,000.
        (d) 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 (c) reduced by the sum of--
            (1) $37,200,000, for savings resulting from procurement reform;
        and
            (2) $209,744,000, for use of prior year balances.
    SEC. 3102. ENVIRONMENTAL RESTORATION AND WASTE MANAGEMENT.
        (a) Environmental Restoration.--Subject to subsection (h), funds
    are hereby authorized to be appropriated to the Department of Energy
    for fiscal year 1996 for environmental restoration in carrying out
    environmental restoration and waste management activities necessary for
    national security programs in the amount of $1,635,973,000.
        (b) Waste Management.--Subject to subsection (h), funds are hereby
    authorized to be appropriated to the Department of Energy for fiscal
    year 1996 for waste management in carrying out environmental
    restoration and waste management activities necessary for national
    security programs in the amount of $2,470,598,000, to be allocated as
    follows:
            (1) For operation and maintenance, $2,295,994,000.
            (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), $174,604,000, to be allocated as
        follows:
                Project 96-D-406, spent nuclear fuels canister storage and
            stabilization facility, Richland, Washington, $42,000,000.
                Project 96-D-407, mixed waste/low-level waste treatment
            projects, Rocky Flats Plant, Golden, Colorado, $2,900,000.
                Project 96-D-408, waste management upgrades, various
            locations, $5,615,000.
                Project 95-D-402, install permanent electrical service,
            Waste Isolation Pilot Plant, Carlsbad, New Mexico, $4,314,000.
                Project 95-D-405, industrial landfill V and construction/
            demolition landfill VII, Phase III, Y-12 Plant, Oak Ridge,
            Tennessee, $4,600,000.
                Project 95-D-406, road 5-01 reconstruction, area 5, Nevada
            Test Site, Nevada, $1,023,000.
                Project 95-D-407, 219-S secondary containment upgrade,
            Richland Washington, $1,000,000.
                Project 94-D-400, high explosive wastewater treatment
            system, Los Alamos National Laboratory, Los Alamos, New Mexico,
            $4,445,000.
                Project 94-D-402, liquid waste treatment system, Nevada
            Test Site, Nevada, $282,000.
                Project 94-D-404, Melton Valley storage tank capacity
            increase, Oak Ridge National Laboratory, Oak Ridge, Tennessee,
            $11,000,000.
                Project 94-D-407, initial tank retrieval systems, Richland,
            Washington, $12,000,000.
                Project 94-D-411, solid waste operation complex, Richland,
            Washington, $6,606,000.
                Project 93-D-178, building 374 liquid waste treatment
            facility, Rocky Flats Plant, Golden, Colorado, $3,900,000.
                Project 93-D-181, radioactive liquid waste line
            replacement, Richland, Washington, $5,000,000.
                Project 93-D-182, replacement of cross-site transfer
            system, Richland, Washington, $19,795,000.
                Project 93-D-187, high-level waste removal from filled
            waste tanks, Savannah River Site, South Carolina, $19,700,000.
                Project 92-D-171, mixed waste receiving and storage
            facility, Los Alamos National Laboratory, Los Alamos, New
            Mexico, $1,105,000.
                Project 92-D-188, waste management environmental, safety
            and health (ES&H) and compliance activities, various locations,
            $1,100,000.
                Project 90-D-172, aging waste transfer lines, Richland,
            Washington, $2,000,000.
                Project 90-D-177, RWMC transuranic (TRU) waste
            characterization and storage facility, Idaho National
            Engineering Laboratory, Idaho, $1,428,000.
                Project 90-D-178, TSA retrieval enclosure, Idaho National
            Engineering Laboratory, Idaho, $2,606,000.
                Project 89-D-173, tank farm ventilation upgrade, Richland,
            Washington, $800,000.
                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, $8,885,000.
                Project 83-D-148, nonradioactive hazardous waste
            management, Savannah River Site, Aiken, South Carolina,
            $1,000,000.
        (c) Technology Development.--Subject to subsection (h), funds are
    hereby authorized to be appropriated to the Department of Energy for
    fiscal year 1996 for technology development in carrying out
    environmental restoration and waste management activities necessary for
    national security programs in the amount of $440,510,000.
        (d) Transportation Management.--Subject to subsection (h), funds
    are hereby authorized to be appropriated to the Department of Energy
    for fiscal year 1996 for transportation management in carrying out
    environmental restoration and waste management activities necessary for
    national security programs in the amount of $13,158,000.
        (e) Nuclear Materials and Facilities Stabilization.--Subject to
    subsection (h), funds are hereby authorized to be appropriated to the
    Department of Energy for fiscal year 1996 for nuclear materials and
    facilities stabilization in carrying out environmental restoration and
    waste management activities necessary for national security programs in
    the amount of $1,561,854,000 to be allocated as follows:
            (1) For operation and maintenance, $1,447,108,000.
            (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), $114,746,000, to be allocated as
        follows:
                Project 96-D-457, thermal treatment system, Richland
            Washington, $1,000,000.
                Project 96-D-458, site drainage control, Mound Plant,
            Miamisburg, Ohio, $885,000.
                Project 96-D-461, electrical distribution upgrade, Idaho
            National Engineering Laboratory, Idaho, $1,539,000.
                Project 96-D-464, electrical and utility systems upgrade,
            Idaho Chemical Processing Plant, Idaho National Engineering
            Laboratory, Idaho, $4,952,000.
                Project 96-D-468, residue elimination project, Rocky Flats
            Plant, Golden, Colorado, $33,100,000.
                Project 96-D-471, chlorofluorocarbon heating, ventilation,
            and air conditioning and chiller retrofit, Savannah River Site,
            Aiken, South Carolina, $1,500,000.
                Project 95-D-155, upgrade site road infrastructure,
            Savannah River Site, South Carolina, $2,900,000.
                Project 95-D-156, radio trunking system, Savannah River
            Site, South Carolina, $6,000,000.
                Project 95-D-454, 324 facility compliance/renovation,
            Richland, Washington, $3,500,000.
                Project 95-D-456, security facilities upgrade, Idaho
            Chemical Processing Plant, Idaho National Engineering
            Laboratory, Idaho, $8,382,000.
                Project 94-D-122, underground storage tanks, Rocky Flats
            Plant, Golden, Colorado, $5,000,000.
                Project 94-D-401, emergency response facility, Idaho
            National Engineering Laboratory, Idaho, $5,074,000.
                Project 94-D-412, 300 area process sewer piping upgrade,
            Richland, Washington, $1,000,000.
                Project 94-D-415, medical facilities, Idaho National
            Engineering Laboratory, Idaho, $3,601,000.
                Project 94-D-451, infrastructure replacement, Rocky Flats
            Plant, Golden, Colorado, $2,940,000.
                Project 93-D-147, domestic water system upgrade, Phase I
            and II, Savannah River Site, Aiken, South Carolina, $7,130,000.
                Project 92-D-123, plant fire/security alarm systems
            replacement, Rocky Flats Plant, Golden, Colorado, $9,560,000.
                Project 92-D-125, master safeguards and security agreement/
            materials surveillance task force security upgrades, Rocky
            Flats Plant, Golden, Colorado, $7,000,000.
                Project 92-D-181, fire and life safety improvements, Idaho
            National Engineering Laboratory, Idaho, $6,883,000.
                Project 91-D-127, criticality alarm and plant annunciation
            utility replacement, Rocky Flats Plant, Golden, Colorado,
            $2,800,000.
        (f) Compliance and Program Coordination.--Subject to subsection
    (h), funds are hereby authorized to be appropriated to the Department
    of Energy for fiscal year 1996 for compliance and program coordination
    in carrying out environmental restoration and waste management
    activities necessary for national security programs in the amount of
    $46,251,000, to be allocated as follows:
            (1) For operation and maintenance, $31,251,000.
            (2) For the following plant project (including maintenance,
        restoration, planning, construction, acquisition, modification of
        facilities, and the continuation of a project authorized in prior
        years, and land acquisition related thereto):
                Project 95-E-600, hazardous materials training center,
            Richland, Washington, $15,000,000.
        (g) Analysis, Education, and Risk Management.--Subject to
    subsection (h), funds are hereby authorized to be appropriated to the
    Department of Energy for fiscal year 1996 for analysis, education, and
    risk management in carrying out environmental restoration and waste
    management activities necessary for national security programs in the
    amount of $78,522,000.
        (h) Adjustments.--The total amount authorized to be appropriated
    pursuant to this section is the sum of the amounts specified in
    subsections (a) through (g) reduced by the sum of--
            (1) $652,334,000, for use of prior year balances; and
            (2) $37,000,000, for Savannah River Pension Refund.

    SEC. 3103. OTHER DEFENSE ACTIVITIES.

        (a) Other Defense Activities.--Subject to subsection (b), funds are
    hereby authorized to be appropriated to the Department of Energy for
    fiscal year 1996 for other defense activities in carrying out programs
    necessary for national security in the amount of $1,351,975,600, to be
    allocated as follows:
            (1) For verification and control technology, $428,205,600, to
        be allocated as follows:
                (A) For nonproliferation and verification research and
            development, $224,905,000.
                (B) For arms control, $160,964,600.
                (C) For intelligence, $42,336,000.
            (2) For nuclear safeguards and security, $83,395,000.
            (3) For security investigations, $20,000,000.
            (4) For security evaluations, $14,707,000.
            (5) For the Office of Nuclear Safety, $17,679,000.
            (6) For worker and community transition assistance,
        $82,500,000.
            (7) For fissile materials disposition, $70,000,000.
            (8) For emergency management, $23,321,000.
            (9) For naval reactors development, $682,168,000, to be
        allocated as follows:
                (A) For operation and infrastructure, $652,568,000.
                (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),
            $29,600,000, to be allocated as follows:
                    Project GPN-101, general plant projects, various
                locations, $6,600,000.
                    Project 95-D-200, laboratory systems and hot cell
                upgrades, various locations, $11,300,000.
                    Project 95-D-201, advanced test reactor radioactive
                waste system upgrades, Idaho National Engineering
                Laboratory, Idaho, $4,800,000.
                    Project 93-D-200, engineering services facilities,
                Knolls Atomic Power Laboratory, Niskayuna, New York,
                $3,900,000.
                    Project 90-N-102, expended core facility dry cell
                project, Naval Reactors Facility, Idaho, $3,000,000.
        (b) Adjustment.--The total amount authorized to be appropriated
    pursuant to this section is the amount authorized to be appropriated in
    subsection (a) reduced by $70,000,000, for use of prior year balances.

    SEC. 3104. DEFENSE NUCLEAR WASTE DISPOSAL.

        Funds are hereby authorized to be appropriated to the Department of
    Energy for fiscal year 1996 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 $248,400,000.

                    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.

    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.
        (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 appropriation 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. AUTHORITY TO CONDUCT PROGRAM RELATING TO FISSILE MATERIALS.
        (a) Authority.--The Secretary of Energy may conduct programs
    designed to improve the protection, control, and accountability of
    fissile materials in Russia.
        (b) Semi-Annual Reports on Obligation of Funds.--(1) Not later than
    30 days after the date of the enactment of this Act, and thereafter not
    later than April 1 and October 1 of each year, the Secretary of Energy
    shall submit to Congress a report on each obligation during the
    precedingsix months of funds appropriated for a program described in
    subsection (a).
        (2) Each such report shall specify--
            (A) the activities and forms of assistance for which the
        Secretary of Energy has obligated funds;
            (B) the amount of the obligation;
            (C) the activities and forms of assistance for which the
        Secretary anticipates obligating funds during the six months
        immediately following the report, and the amount of each such
        anticipated obligation; and
            (D) the projected involvement (if any) of any department or
        agency of the United States (in addition to the Department of
        Energy) and of the private sector of the United States in the
        activities and forms of assistance for which the Secretary of
        Energy has obligated funds referred to in subparagraph (A).

    SEC. 3132. NATIONAL IGNITION FACILITY.

        None of the funds authorized to be appropriated pursuant to this
    title for construction of the National Ignition Facility may be
    obligated until--
            (1) the Secretary of Energy determines that the construction of
        the National Ignition Facility will not impede the nuclear
        nonproliferation objectives of the United States; and
            (2) the Secretary of Energy notifies the congressional defense
        committees of that determination.

    SEC. 3133. TRITIUM PRODUCTION PROGRAM.

        (a) Establishment of Program.--The Secretary of Energy shall
    establish a tritium production program that is capable of meeting the
    tritium requirements of the United States for nuclear weapons. In
    carrying out the tritium production program, the Secretary shall--
            (1) complete the tritium supply and recycling environmental
        impact statement in preparation by the Secretary as of the date of
        the enactment of this Act; and
            (2) assess alternative means for tritium production, including
        production through--
                (A) types of new and existing reactors, including
            multipurpose reactors (such as advanced light water reactors
            and gas turbine gas-cooled reactors) capable of meeting both
            the tritium production requirements and the plutonium
            disposition requirements of the United States for nuclear
            weapons;
                (B) an accelerator; and
                (C) multipurpose reactor projects carried out by the
            private sector and the Government.
        (b) Funding.--Of funds authorized to be appropriated to the
    Department of Energy pursuant to section 3101, not more than
    $50,000,000 shall be available for the tritium production program
    established pursuant to subsection (a).
        (c) Location of Tritium Production Facility.--The Secretary shall
    locate any new tritium production facility of the Department of Energy
    at the Savannah River Site, South Carolina.
        (d) Cost-Benefit Analysis.--(1) The Secretary shall include in the
    statements referred to in paragraph (2) a comparison of the costs and
    benefits of carrying out two projects for the separate performance of
    the tritium production mission of the Department and the plutonium
    disposition mission of the Department with the costs and benefits of
    carrying out one multipurpose project for the performance of both such
    missions.
        (2) The statements referred to in paragraph (1) are--
            (A) the environmental impact statement referred to in
        subsection (a)(1);
            (B) the plutonium disposition environmental impact statement in
        preparation by the Secretary as of the date of the enactment of
        this Act; and
            (C) assessments related to the environmental impact statements
        referred to in subparagraphs (A) and (B).
        (e) Report.--Not later than 45 days after the date of the enactment
    of this Act, 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 on the tritium production program
    established pursuant to subsection (a). The report shall include a
    specification of--
            (1) the planned expenditures of the Department during fiscal
        year 1996 for any of the alternative means for tritium production
        assessed under subsection (a)(2);
            (2) the amount of funds required to be expended by the
        Department, and the program milestones (including feasibility
        demonstrations) required to be met, during fiscal years 1997
        through 2001 to ensure tritium production beginning not later than
        2005 that is adequate to meet the tritium requirements of the
        United States for nuclear weapons; and
            (3) the amount of such funds to be expended and such program
        milestones to be met during such fiscal years to ensure such
        tritium production beginning not later than 2011.
        (f) Tritium Targets.--Of the funds made available pursuant to
    subsection (b), not more than $5,000,000 shall be available for the
    Idaho National Engineering Laboratory for the test and development of
    nuclear reactor tritium targets for the types of reactors assessed
    under subsection (a)(2)(A).

    SEC. 3134. PAYMENT OF PENALTIES.

        The Secretary of Energy may pay to the Hazardous Substance
    Superfund established under section 9507 of the Internal Revenue Code
    of 1986 (26 U.S.C. 9507), from funds appropriated to the Department of
    Energy for environmental restoration and waste management activities
    pursuant to section 3102, stipulated civil penalties in the amount of
    $350,000 assessed under the Comprehensive Environmental Response,
    Compensation, and Liability Act of 1980 (42 U.S.C. 9601 et seq.)
    against the Rocky Flats Site, Colorado.

    SEC. 3135. FISSILE MATERIALS DISPOSITION.

        (a) In General.--Of the funds authorized to be appropriated to the
    Department of Energy for fiscal year 1996 pursuant to section 3103,
    $70,000,000 shall be available only for purposes of completing the
    evaluation of, and commencing implementation of, the interim- and long-
    term storage and disposition (including storage and disposition through
    the use of advanced light water reactors and gas turbine gas-cooled
    reactors) of fissile materials (including plutonium, highly enriched
    uranium, and other fissile materials) that are excess to the national
    security needs of the United States.
        (b) Availability of Funds for Multipurpose Reactors.--Of funds made
    available pursuant to subsection (a), sufficient funds shall be made
    available for the complete consideration of multipurpose reactors for
    the disposition of fissile materials in the programmatic environmental
    impact statement of the Department.
        (c) Limitation.--Of funds made available pursuant to subsection
    (a), $10,000,000 shall be available only for a plutonium resource
    assessment.

    SEC. 3136. TRITIUM RECYCLING.

        (a) In General.--Except as provided in subsection (b), the
    following activities shall be carried out at the Savannah River Site,
    South Carolina:
            (1) All tritium recycling for weapons, including tritium
        refitting.
            (2) All activities regarding tritium formerly carried out at
        the Mound Plant, Ohio.
        (b) Exception.--The following activities may be carried out at the
    Los Alamos National Laboratory, New Mexico:
            (1) Research on tritium.
            (2) Work on tritium in support of the defense inertial
        confinement fusion program.
            (3) Provision of technical assistance to the Savannah River
        Site regarding the weapons surveillance program.
    SEC. 3137. MANUFACTURING INFRASTRUCTURE FOR REFABRICATION AND
    CERTIFICATION OF NUCLEAR WEAPONS STOCKPILE.
        (a) Manufacturing Program.--The Secretary of Energy shall carry out
    a program for purposes of establishing within the Government a
    manufacturing infrastructure that has the capabilities of meeting the
    following objectives as specified in the Nuclear Posture Review:
            (1) To provide a stockpile surveillance engineering base.
            (2) To refabricate and certify weapon components and types in
        the enduring nuclear weapons stockpile, as necessary.
            (3) To fabricate and certify new nuclear warheads, as
        necessary.
            (4) To support nuclear weapons.
            (5) To supply sufficient tritium in support of nuclear weapons
        to ensure an upload hedge in the event circumstances require.
        (b) Required Capabilities.--The manufacturing infrastructure
    established under the program under subsection (a) shall include the
    following capabilities (modernized to attain the objectives referred to
    in that subsection):
            (1) The weapons assembly capabilities of the Pantex Plant.
            (2) The weapon secondary fabrication capabilities of the Y-12
        Plant, Oak Ridge, Tennessee.
            (3) The tritium production, recycling, and other weapons-
        related capabilities of the Savannah River Site.
            (4) The non-nuclear component capabilities of the Kansas City
        Plant.
        (c) Nuclear Posture Review.--For purposes of subsection (a), 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 the Congress dated February 19, 1995, or
    subsequent such reports.
        (d) Funding.--Of the funds authorized to be appropriated under
    section 3101(b), $143,000,000 shall be available for carrying out the
    program required under this section, of which--
            (1) $35,000,000 shall be available for activities at the Pantex
        Plant;
            (2) $30,000,000 shall be available for activities at the Y-12
        Plant, Oak Ridge, Tennessee;
            (3) $35,000,000 shall be available for activities at the
        Savannah River Site; and
            (4) $43,000,000 shall be available for activities at the Kansas
        City Plant.
        (e) Plan and Report.--The Secretary shall develop a plan for the
    implementation of this section. Not later than March 1, 1996, the
    Secretary shall submit to Congress a report on the obligations the
    Secretary has incurred, and plans to incur, during fiscal year 1996 for
    the program referred to in subsection (a).

    SEC. 3138. HYDRONUCLEAR EXPERIMENTS.

        Of the funds authorized to be appropriated to the Department of
    Energy pursuant to section 3101, $30,000,000 shall be available to
    prepare for the commencement of a program of hydronuclear experiments
    at the nuclear weapons design laboratories at the Nevada Test Site,
    Nevada. The purpose of the program shall be to maintain confidence in
    the reliability and safety of the nuclear weapons stockpile.
    SEC. 3139. LIMITATION ON AUTHORITY TO CONDUCT HYDRONUCLEAR TESTS.
        Nothing in this Act may be construed to authorize the conduct of
    hydronuclear tests or to amend or repeal the requirements of section
    507 of the Energy and Water Development Appropriations Act, 1993
    (Public Law 102-377; 106 Stat. 1343; 42 U.S.C. 2121 note).
    SEC. 3140. FELLOWSHIP PROGRAM FOR DEVELOPMENT OF SKILLS CRITICAL TO THE
    DEPARTMENT OF ENERGY NUCLEAR WEAPONS COMPLEX.
        (a) In General.--The Secretary of Energy shall conduct a fellowship
    program for the development of skills critical to the ongoing mission
    of the Department of Energy nuclear weapons complex. Under the
    fellowship program, the Secretary shall--
            (1) provide educational assistance and research assistance to
        eligible individuals to facilitate the development by such
        individuals of skills critical to maintaining the ongoing mission
        of the Department of Energy nuclear weapons complex;
            (2) employ eligible individuals at the facilities described in
        subsection (c) in order to facilitate the development of such
        skills by these individuals; or
            (3) provide eligible individuals with the assistance and the
        employment.
        (b) Eligible Individuals.--Individuals eligible for participation
    in the fellowship program are the following:
            (1) Students pursuing graduate degrees in fields of science or
        engineering that are related to nuclear weapons engineering or to
        the science and technology base of the Department of Energy.
            (2) Individuals engaged in postdoctoral studies in such fields.
        (c) Covered Facilities.--The Secretary shall carry out the
    fellowship program at or in connection with the following facilities:
            (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.
        (d) Administration.--The Secretary shall carry out the fellowship
    program at a facility referred to in subsection (c) through the
    stockpile manager of the facility.
        (e) Allocation of Funds.--The Secretary shall, in consultation with
    the Assistant Secretary of Energy for Defense Programs, allocate funds
    available for the fellowship program under subsection (f) among the
    facilities referred to in subsection (c). The Secretary shall make the
    allocation after evaluating an assessment by the weapons program
    director of each such facility of the personnel and critical skills
    necessary at the facility for carrying out the ongoing mission of the
    facility.
        (f) Funding.--Of the funds authorized to be appropriated to the
    Department of Energy for fiscal year 1996 under section 3101(b),
    $10,000,000 may be used for the purpose of carrying out the fellowship
    program under this section.
    SEC. 3141. LIMITATION ON USE OF FUNDS FOR CERTAIN RESEARCH AND
    DEVELOPMENT PURPOSES.
        Funds appropriated or otherwise made available to the Department of
    Energy for fiscal year 1996 under section 3101 may be obligated and
    expended for activities under the Department of Energy Laboratory
    Directed Research and Development Program or under Department of Energy
    technology transfer programs only if such activities support the
    national security mission of the Department.
    SEC. 3142. PROCESSING AND TREATMENT OF HIGH-LEVEL NUCLEAR WASTE AND
    SPENT NUCLEAR FUEL RODS.
        (a) Processing of Spent Nuclear Fuel Rods.--Of the amounts
    appropriated pursuant to section 3102, there shall be available to the
    Secretary of Energy to respond effectively to new requirements for
    managing spent nuclear fuel--
            (1) not more than $30,000,000, for the Savannah River Site for
        the development and implementation of a program for the processing,
        reprocessing, separation, reduction, isolation, and interim storage
        of high-level nuclear waste associated with aluminum clad spent
        fuel rods and foreign spent fuel rods; and
            (2) not more than $15,000,000, for the Idaho National
        Engineering Laboratory for the development and implementation of a
        program for the treatment, preparation, and conditioning of high-
        level nuclear waste and spent nuclear fuel (including naval spent
        nuclear fuel), nonaluminum clad fuel rods, and foreign fuel rods
        for interim storage and final disposition.
        (b) Implementation Plan.--Not later than April 30, 1996, the
    Secretary shall submit to Congress a five-year plan for the
    implementation of the programs referred to in subsection (a). The plan
    shall include--
            (1) an assessment of the facilities required to be constructed
        or upgraded to carry out the processing, separation, reduction,
        isolation and interim storage of high-level nuclear waste;
            (2) a description of the technologies, including stabilization
        technologies, that are required to be developed for the efficient
        conduct of the programs;
            (3) a projection of the dates upon which activities under the
        programs are sufficiently completed to provide for the transfers of
        such waste to permanent repositories; and
            (4) a projection of the total cost to complete the programs.
        (c) Electrometallurgical Waste Treatment Technologies.--Of the
    amount appropriated pursuant to section 3102(c), not more than
    $25,000,000 shall be available for development of electrometallurgical
    waste treatment technologies at the Argonne National Laboratory.
        (d) Use of Funds for Settlement Agreement.--Funds made available
    pursuant to subsection (a)(2) 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.
    SEC. 3143. PROTECTION OF WORKERS AT NUCLEAR WEAPONS FACILITIES.
        Of the funds authorized to be appropriated to the Department of
    Energy under section 3102, $10,000,000 shall be available to carry out
    activities authorized under section 3131 of the National Defense
    Authorization Act for Fiscal Years 1992 and 1993 (Public Law 102-190;
    105 Stat. 1571; 42 U.S.C. 7274d), relating to worker protection at
    nuclear weapons facilities.
    SEC. 3144. DEPARTMENT OF ENERGY DECLASSIFICATION PRODUC- TIVITY
    INITIATIVE.
        Of the funds authorized to be appropriated to the Department of
    Energy under section 3103, $3,000,000 shall be available for the
    Declassification Productivity Initiative of the Department of Energy.

                           Subtitle D--Other Matters

    SEC. 3151. REPORT ON FOREIGN TRITIUM PURCHASES.
        (a) Report.--Not later than May 1, 1996, the President shall submit
    to the congressional defense committees a report on the feasibility of,
    the cost of, and the policy, legal, and other issues associated with
    purchasing tritium from various foreign suppliers in order to ensure an
    adequate supply of tritium in the United States for nuclear weapons.
        (b) Form of Report.--The report shall be submitted in unclassified
    form, but may contain a classified appendix.
    SEC. 3152. STUDY ON NUCLEAR TEST READINESS POSTURES.
        Not later than February 15, 1996, the Secretary of Energy shall
    submit to Congress a report on the costs, programmatic issues, and
    other issues associated with sustaining the capability of the
    Department of Energy--
            (1) to conduct an underground nuclear test 6 months after the
        date on which the President determines that such a test is
        necessary to ensure the national security of the United States;
            (2) to conduct such a test 18 months after such date; and
            (3) to conduct such a test 36 months after such date.
    SEC. 3153. MASTER PLAN FOR THE CERTIFICATION, STEWARDSHIP, AND
    MANAGEMENT OF WARHEADS IN THE NUCLEAR WEAPONS STOCKPILE.
        (a) Master Plan Requirement.--Not later than March 15, 1996, the
    President shall submit to Congress a master plan for maintaining the
    nuclear weapons stockpile. The President shall submit to Congress an
    update of the master plan not later than March 15 of each year
    thereafter.
        (b) Plan Elements.--The master plan and each update of the master
    plan shall set forth the following:
            (1) The numbers of weapons (including active and inactive
        weapons) for each type of weapon in the nuclear weapons stockpile.
            (2) The expected design lifetime of each weapon type, the
        current age of each weapon type, and any plans (including the
        analytical basis for such plans) for lifetime extensions of a
        weapon type.
            (3) An estimate of the lifetime of the nuclear and nonnuclear
        components of the weapons (including active weapons and inactive
        weapons) in the nuclear weapons stockpile, and any plans (including
        the analytical basis for such plans) for lifetime extensions of
        such components.
            (4) A schedule of the modifications, if any, required for each
        weapon type (including active and inactive weapons) in the nuclear
        weapons stockpile and the cost of such modifications.
            (5) The process to be used in recertifying the safety,
        reliability, and performance of each weapon type (including active
        weapons and inactive weapons) in the nuclear weapons stockpile.
            (6) The manufacturing infrastructure required to maintain the
        nuclear weapons stockpile stewardship and management programs,
        including a detailed project plan that demonstrates the manner by
        which the Government will develop by 2002 the capability to
        refabricate and certify warheads in the nuclear weapons stockpile
        and to design, fabricate, and certify new warheads.
        (c) Form of Plan.--The master plan and each update of the master
    plan shall be submitted in unclassified form, but may contain a
    classified appendix.
    SEC. 3154. PROHIBITION ON INTERNATIONAL INSPECTIONS OF DEPARTMENT OF
    ENERGY FACILITIES UNLESS PROTECTION OF RESTRICTED DATA IS CERTIFIED.
        (a) Prohibition on Inspections.--(1) The Secretary of Energy may
    not allow an inspection of a nuclear weapons facility by the
    International Atomic Energy Agency until the Secretary certifies to
    Congress that no restricted data will be revealed during such
    inspection.
        (2) For purposes of paragraph (1), the term ``restricted data'' has
    the meaning provided by section 11 y. of the Atomic Energy Act of 1954
    (42 U.S.C. 2014(y)).
        (b) Extension of Notice-and-Wait Requirement Regarding Proposed
    Cooperation Agreements.--Section 3155(b) of the National Defense
    Authorization Act for Fiscal Year 1995 (Public Law 103-337; 108 Stat.
    3092) is amended by striking out ``December 31, 1995'' and inserting in
    lieu thereof ``October 1, 1996''.
    SEC. 3155. REVIEW OF CERTAIN DOCUMENTS BEFORE DECLASSIFICATION AND
    RELEASE.
        (a) In General.--The Secretary of Energy shall ensure that, before
    a document of the Department of Energy that contains national security
    information is released or declassified, such document is reviewed to
    determine whether it contains restricted data.
        (b) Limitation on Declassification.--The Secretary may not
    implement the automatic declassification provisions of Executive Order
    12958 if the Secretary determines that such implementation could result
    in the automatic declassification and release of documents containing
    restricted data.
        (c) Restricted Data Defined.--In this section, the term
    ``restricted data'' has the meaning provided by section 11 y. of the
    Atomic Energy Act of 1954 (42 U.S.C. 2014(y)).
    SEC. 3156. ACCELERATED SCHEDULE FOR ENVIRONMENTAL RESTORATION AND WASTE
    MANAGEMENT ACTIVITIES.
        (a) Accelerated Cleanup.--The Secretary of Energy shall accelerate
    the schedule for environmental restoration and waste management
    activities and projects for a site at a Department of Energy defense
    nuclear facility if the Secretary determines that such an accelerated
    schedule will achieve meaningful, long-term cost savings to the Federal
    Government and could substantially accelerate the release of land for
    local reuse.
        (b) Consideration of Factors.--In making a determination under
    subsection (a), the Secretary shall consider the following:
            (1) The cost savings achievable by the Federal Government.
            (2) The amount of time for completion of environmental
        restoration and waste management activities and projects at the
        site that can be reduced from the time specified for completion of
        such activities and projects in the baseline environmental
        management report required to be submitted for 1995 under section
        3153 of the National Defense Authorization Act for Fiscal Year 1994
        (42 U.S.C. 7274k).
            (3) The potential for reuse of the site.
            (4) The risks that the site poses to local health and safety.
            (5) The proximity of the site to populated areas.
        (c) Report.--Not later than May 1, 1996, the Secretary shall submit
    to Congress a report on each site for which the Secretary has
    accelerated the schedule for environmental restoration and waste
    management activities and projects under subsection (a). The report
    shall include an explanation of the basis for the determination for
    that site required by such subsection, including an explanation of the
    consideration of the factors described in subsection (b).
        (d) Savings Provision.--Nothing in this section may be construed to
    affect a specific statutory requirement for a specific 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.
    SEC. 3157. SENSE OF CONGRESS REGARDING CERTAIN ENVIRONMENTAL
    RESTORATION REQUIREMENTS.
        It is the sense of Congress that--
            (1) an individual acting within the scope of that individual's
        employment with a Federal agency should not be personally subject
        to civil or criminal sanctions (to the extent such sanctions are
        provided for by law) as a result of the failure to comply with an
        environmental cleanup requirement under the Solid Waste Disposal
        Act or the Comprehensive Environmental Response, Compensation, and
        Liability Act or an analogous requirement under a comparable
        Federal, State, or local law, in any circumstance under which such
        failure to comply is due to an insufficiency of funds appropriated
        to carry out such requirement;
            (2) Federal and State enforcement authorities should refrain
        from an enforcement action in a circumstance described in paragraph
        (1); and
            (3) if funds appropriated for a fiscal year after fiscal year
        1995 are insufficient to carry out any such environmental cleanup
        requirement, Congress should elicit the views of Federal agencies,
        affected States, and the public, and consider appropriate
        legislative action to address personal criminal liability in a
        circumstance described in paragraph (1) and any related issues
        pertaining to potential liability of a Federal agency.
    SEC. 3158. RESPONSIBILITY FOR DEFENSE PROGRAMS EMERGENCY RESPONSE
    PROGRAM.
        The Office of Military Applications under the Assistant Secretary
    of Energy for Defense Programs shall retain responsibility for the
    Defense Programs Emergency Response Program within the Department of
    Energy.
    SEC. 3159. REQUIREMENTS FOR DEPARTMENT OF ENERGY WEAPONS ACTIVITIES
    BUDGETS FOR FISCAL YEARS AFTER FISCAL YEAR 1996.
        (a) In General.--The weapons activities budget of the Department of
    Energy shall be developed in accordance with the Nuclear Posture
    Review, the Post Nuclear Posture Review Stockpile Memorandum currently
    under development, 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 a fiscal year submitted by the President pursuant to section
    1105 of title 31, United States Code, a long-term program plan, and a
    near-term program plan, for the certification and stewardship of the
    nuclear weapons stockpile.
        (c) Definition.--In this section, 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 the Congress dated February 19, 1995, or in subsequent such
    reports.

    SEC. 3160. REPORT ON HYDRONUCLEAR TESTING.

        (a) Report.--The Secretary of Energy shall direct the joint
    preparation by the Directors of the Lawrence Livermore National
    Laboratory and the Los Alamos National Laboratory of a report on the
    advantages and disadvantages with respect to the safety and reliability
    of the nuclear weapons stockpile of permitting alternative limits to
    the current limit on the explosive yield of hydronuclear and other
    explosive tests. The report shall address the following explosive yield
    limits:
            (1) 4 pounds (TNT equivalent).
            (2) 400 pounds (TNT equivalent).
            (3) 4,000 pounds (TNT equivalent).
            (4) 40,000 pounds (TNT equivalent).
            (5) 400 tons (TNT equivalent).
        (b) Funding.--The Secretary shall make available funds appropriated
    to the Department of Energy pursuant to section 3101 for preparation of
    the report required under subsection (a).
    SEC. 3161. APPLICABILITY OF ATOMIC ENERGY COMMUNITY ACT OF 1955 TO LOS
    ALAMOS, NEW MEXICO.
        (a) Date of Transfer of Utilities.--Section 72 of the Atomic Energy
    Community Act of 1955 (42 U.S.C. 2372) is amended by striking out ``not
    later than five years after the date it is included within this Act''
    and inserting in lieu thereof ``not later than June 30, 1998''.
        (b) Date of Transfer of Municipal Installations.--Section 83 of
    such Act (42 U.S.C. 2383) is amended by striking out ``not later than
    five years after the date it is included within this Act'' and
    inserting in lieu thereof ``not later than June 30, 1998''.
        (c) Recommendation for Further Assistance Payments.--Section 91d.
    of such Act (42 U.S.C. 2391) is amended--
            (1) by striking out ``, and the Los Alamos School Board;'' and
        all that follows through ``county of Los Alamos, New Mexico'' and
        inserting in lieu thereof ``; or not later than June 30, 1996, in
        the case of the Los Alamos School Board and the county of Los
        Alamos, New Mexico''; and
            (2) by adding at the end the following new sentence: ``If the
        recommendation under the preceding sentence regarding the Los
        Alamos School Board or the county of Los Alamos, New Mexico,
        indicates a need for further assistance for the school board or the
        county, as the case may be, after June 30, 1997, the recommendation
        shall include a report and plan describing the actions required to
        eliminate the need for further assistance for the school board or
        the county, including a proposal for legislative action to carry
        out the plan.''.
        (d) Contract To Make Payments.--Section 94 of such Act (42 U.S.C.
    2394) is amended--
            (1) by striking out ``June 30, 1996'' each place it appears in
        the proviso in the first sentence and inserting in lieu thereof
        ``June 30, 1997''; and
            (2) by striking out ``July 1, 1996'' in the second sentence and
        inserting in lieu thereof ``July 1, 1997''.
    SEC. 3162. SENSE OF CONGRESS REGARDING SHIPMENTS OF SPENT NUCLEAR FUEL.
        (a) Findings.--Congress makes the following findings:
            (1) The United States has entered into a settlement agreement
        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, regarding shipment of naval spent
        nuclear fuel to Idaho, examination and storage of such fuel in
        Idaho, and other matters.
            (2) Under this court enforceable agreement--
                (A) the State of Idaho has agreed--
                    (i) to accept 575 shipments of naval spent nuclear fuel
                from the Navy into Idaho between October 17, 1995 and 2035;
                    (ii) to accept certain shipments of spent nuclear fuel
                from the Department of Energy into Idaho between October
                17, 1995 and 2035; and
                    (iii) to allow the Navy and the Department of Energy,
                on an interim basis, to store the spent nuclear fuel in
                Idaho over the next 40 years; and
                (B) the United States has made commitments--
                    (i) to remove all spent nuclear fuel (except certain
                quantities for testing) from Idaho by 2035; and
                    (ii) to facilitate the cleanup and stabilization of
                radioactive waste at the Idaho National Engineering
                Laboratory.
            (3) The settlement agreement allows the Department of Energy
        and the Department of the Navy to meet responsibilities that are
        important to the national security interests of the United States.
            (4) Authorizations and appropriations of funds will be
        necessary in order to provide for fulfillment of the terms and
        obligations set forth in the settlement agreement.
        (b) Sense of Congress.--(1) Congress recognizes the need to
    implement the terms, conditions, rights, and obligations contained in
    the settlement agreement referred to in subsection (a)(1) and the
    consent order of the United States District Court for the District of
    Idaho, dated October 17, 1995, that effectuates the settlement
    agreement in accordance with those terms, conditions, rights, and
    obligations.
        (2) It is the sense of Congress that funds requested by the
    President to carry out the settlement agreement and such consent order
    should be appropriated for that purpose.

              TITLE XXXII--DEFENSE NUCLEAR FACILITIES SAFETY BOARD

    SEC. 3201. AUTHORIZATION.

        There are authorized to be appropriated for fiscal year 1996,
    $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.

        For purposes of this subtitle:
            (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 1996, the
    National Defense Stockpile Manager may obligate up to $77,100,000 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 CHROMITE AND MANGANESE ORES AND CHROMIUM FERRO
    AND MANGANESE METAL ELECTROLYTIC.
        (a) Domestic Upgrading.--In offering to enter into agreements
    pursuant to any provision of law for the disposal from the National
    Defense Stockpile of chromite and manganese ores or chromium ferro and
    manganese metal electrolytic, the President shall give a right of first
    refusal on all such offers to domestic ferroalloy upgraders.
        (b) Domestic Ferroalloy Upgrader Defined.--For purposes of this
    section, the term ``domestic ferroalloy upgrader'' means a company or
    other business entity that, as determined by the President--
            (1) is engaged in operations to upgrade chromite or manganese
        ores of metallurgical grade or chromium ferro and manganese metal
        electrolytic; and
            (2) conducts a significant level of its research, development,
        engineering, and upgrading operations in the United States.

    SEC. 3304. RESTRICTIONS ON DISPOSAL OF MANGANESE FERRO.

        (a) Disposal of Lower Grade Material First.--The President may not
    dispose of high carbon manganese ferro in the National Defense
    Stockpile that meets the National Defense Stockpile classification of
    Grade One, Specification 30(a), as revised on May 22, 1992, until
    completing the disposal of all manganese ferro in the National Defense
    Stockpile that does not meet such classification. The President may not
    reclassify manganese ferro in the National Defense Stockpile after the
    date of the enactment of this Act.
        (b) Requirement for Remelting by Domestic Ferroalloy Producers.--
    Manganese ferro in the National Defense Stockpile that does not meet
    the classification specified in subsection (a) may be sold only for
    remelting by a domestic ferroalloy producer unless the President
    determines that a domestic ferroalloy producer is not available to
    acquire the material.
        (c) Domestic Ferroalloy Producer Defined.--For purposes of this
    section, the term ``domestic ferroalloy producer'' means a company or
    other business entity that, as determined by the President--
            (1) is engaged in operations to upgrade manganese ores of
        metallurgical grade or manganese ferro; and
            (2) conducts a significant level of its research, development,
        engineering, and upgrading operations in the United States.
    SEC. 3305. TITANIUM INITIATIVE TO SUPPORT BATTLE TANK UPGRADE PROGRAM.
        During each of the fiscal years 1996 through 2003, the Secretary of
    Defense shall transfer from stocks of the National Defense Stockpile up
    to 250 short tons of titanium sponge to the Secretary of the Army for
    use in the weight reduction portion of the main battle tank upgrade
    program. Transfers under this section shall be without charge to the
    Army, except that the Secretary of the Army shall pay all
    transportation and related costs incurred in connection with the
    transfer.

                        Subtitle B--Programmatic Change

    SEC. 3311. TRANSFER OF EXCESS DEFENSE-RELATED MATERIALS TO STOCKPILE
    FOR DISPOSAL.
        (a) Transfer and Disposal.--Section 4 of the Strategic and Critical
    Materials Stock Piling Act (50 U.S.C. 98c) is amended by adding at the
    end the following new subsection:
        ``(c)(1) The Secretary of Energy, in consultation with the
    Secretary of Defense, shall transfer to the stockpile for disposal in
    accordance with this Act uncontaminated materials that are in the
    Department of Energy inventory of materials for the production of
    defense-related items, are excess to the requirements of the Department
    for that purpose, and are suitable for transfer to the stockpile and
    disposal through the stockpile.
        ``(2) The Secretary of Defense shall determine whether materials
    are suitable for transfer to the stockpile under this subsection, are
    suitable for disposal through the stockpile, and are uncontaminated.''.
        (b) Conforming Amendment.--Subsection (a) of such section is
    amended by adding at the end the following:
            ``(10) Materials transferred to the stockpile under subsection
        (c).''.

                     TITLE XXXIV--NAVAL PETROLEUM RESERVES
             Subtitle A--Administration of Naval Petroleum Reserves

    SEC. 3401. AUTHORIZATION OF APPROPRIATIONS.
        There is hereby authorized to be appropriated to the Secretary of
    Energy $148,786,000 for fiscal year 1996 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. Of the amount appropriated pursuant to
    the authorization of appropriations in the preceding sentence, the
    Secretary may use not more than $7,000,000 for carrying out activities
    related to the sale of Naval Petroleum Reserve Numbered 1 under section
    3412.
    SEC. 3402. PRICE REQUIREMENT ON SALE OF CERTAIN PETROLEUM DURING FISCAL
    YEAR 1996.
        Notwithstanding section 7430(b)(2) of title 10, United States Code,
    during fiscal year 1996, 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.

    SEC. 3403. EXTENSION OF OPERATING CONTRACT FOR NAVAL PETROLEUM RESERVE
                  NUMBERED 1.

        Section 3503 of the National Defense Authorization Act of Fiscal
    Year 1995 (Public Law 103-337; 108 Stat. 3111) is amended by striking
    out ``two years'' in the first sentence and inserting in lieu thereof
    ``three years''.

                  Subtitle B--Sale of Naval Petroleum Reserve

    SEC. 3411. DEFINITIONS.

        For purposes of this subtitle:
            (1) The terms ``Naval Petroleum Reserve Numbered 1'' and
        ``reserve'' mean Naval Petroleum Reserve Numbered 1, commonly
        referred to as the Elk Hills Unit, located in Kern County,
        California, and established by Executive order of the President,
        dated September 2, 1912.
            (2) The term ``naval petroleum reserves'' has the meaning given
        that term in section 7420(2) of title 10, United States Code,
        except that the term does not include Naval Petroleum Reserve
        Numbered 1.
            (3) The term ``unit plan contract'' means the unit plan
        contract between equity owners of the lands within the boundaries
        of Naval Petroleum Reserve Numbered 1 entered into on June 19,
        1944.
            (4) The term ``effective date'' means the date of the enactment
        of this Act.
            (5) The term ``Secretary'' means the Secretary of Energy.
            (6) The term ``appropriate congressional committees'' means the
        Committee on Armed Services of the Senate and the Committee on
        National Security and the Committee on Commerce of the House of
        Representatives.

    SEC. 3412. SALE OF NAVAL PETROLEUM RESERVE NUMBERED 1.

        (a) Sale of Reserve Required.--Subject to section 3414, not later
    than two years after the effective date, the Secretary of Energy shall
    enter into one or more contracts for the sale of all right, title, and
    interest of the United States in and to all lands owned or controlled
    by the United States inside Naval Petroleum Reserve Numbered 1. Chapter
    641 of title 10, United States Code, shall not apply to the sale of the
    reserve.
        (b) Equity Finalization.--(1) Not later than eight months after the
    effective date, the Secretary shall finalize equity interests of the
    known oil and gas zones in Naval Petroleum Reserve Numbered 1 in the
    manner provided by this subsection.
        (2) The Secretary shall retain the services of an independent
    petroleum engineer, mutually acceptable to the equity owners, who shall
    prepare a recommendation on final equity figures. The Secretary may
    accept the recommendation of the independent petroleum engineer for
    final equity in each known oil and gas zone and establish final equity
    interest in Naval Petroleum Reserve Numbered 1 in accordance with the
    recommendation, or the Secretary may use such other method to establish
    final equity interest in the reserve as the Secretary considers
    appropriate.
        (3) If, on the effective date, there is an ongoing equity
    redetermination dispute between the equity owners under section 9(b) of
    the unit plan contract, the dispute shall be resolved in the manner
    provided in the unit plan contract within eight months after the
    effective date. The resolution shall be considered final for all
    purposes under this section.
        (c) Notice of Sale.--Not later than two months after the effective
    date, the Secretary shall publish a notice of intent to sell Naval
    Petroleum Reserve Numbered 1. The Secretary shall make all technical,
    geological, and financial information relevant to the sale of the
    reserve available to all interested and qualified buyers upon request.
    The Secretary, in consultation with the Administrator of General
    Services, shall ensure that the sale process is fair and open to all
    interested and qualified parties.
        (d) Establishment of Minimum Sale Price.--(1) Not later than seven
    months after the effective date, the Secretary shall retain the
    services of five independent experts in the valuation of oil and gas
    fields to conduct separate assessments, in a manner consistent with
    commercial practices, of the value of the interest of the United States
    in Naval Petroleum Reserve Numbered 1. The independent experts shall
    complete their assessments within 11 months after the effective date.
    In making their assessments, the independent experts shall consider
    (among other factors)--
            (A) all equipment and facilities to be included in the sale;
            (B) the estimated quantity of petroleum and natural gas in the
        reserve; and
            (C) the net present value of the anticipated revenue stream
        that the Secretary and the Director of the Office of Management and
        Budget jointly determine the Treasury would receive from the
        reserve if the reserve were not sold, adjusted for any anticipated
        increases in tax revenues that would result if the reserve were
        sold.
        (2) The independent experts retained under paragraph (1) shall also
    determine and submit to the Secretary the estimated total amount of the
    cost of any environmental restoration and remediation necessary at the
    reserve. The Secretary shallreport the estimate to the Director of the
    Office of Management and Budget, the Secretary of the Treasury, and
    Congress.
        (3) The Secretary, in consultation with the Director of the Office
    of Management and Budget, shall set the minimum acceptable price for
    the reserve. The Secretary may not set the minimum acceptable price
    below the higher of--
            (A) the average of the five assessments prepared under
        paragraph (1); and
            (B) the average of three assessments after excluding the high
        and low assessments.
        (e) Administration of Sale; Draft Contract.--(1) Not later than two
    months after the effective date, the Secretary shall retain the
    services of an investment banker or an appropriate equivalent financial
    adviser to independently administer, in a manner consistent with
    commercial practices and in a manner that maximizes sale proceeds to
    the Government, the sale of Naval Petroleum Reserve Numbered 1 under
    this section. Costs and fees of retaining the investment banker or
    financial adviser may be paid out of the proceeds of the sale of the
    reserve.
        (2) Not later than 11 months after the effective date, the
    investment banker or financial adviser retained under paragraph (1)
    shall complete a draft contract or contracts for the sale of Naval
    Petroleum Reserve Numbered 1, which shall accompany the solicitation of
    offers and describe the terms and provisions of the sale of the
    interest of the United States in the reserve.
        (3) The draft contract or contracts shall identify--
            (A) all equipment and facilities to be included in the sale;
        and
            (B) any potential claim or liability (including liability for
        environmental restoration and remediation), and the extent of any
        such claim or liability, for which the United States is responsible
        under subsection (g).
        (4) The draft contract or contracts, including the terms and
    provisions of the sale of the interest of the United States in the
    reserve, shall be subject to review and approval by the Secretary, the
    Secretary of the Treasury, and the Director of the Office of Management
    and Budget. Each of those officials shall complete the review of, and
    approve or disapprove, the draft contract or contracts not later than
    12 months after the effective date.
        (f) Solicitation of Offers.--(1) Not later than 13 months after the
    effective date, the Secretary shall publish the solicitation of offers
    for Naval Petroleum Reserve Numbered 1.
        (2) Not later than 18 months after the effective date, the
    Secretary shall identify the highest responsible offer or offers for
    purchase of the interest of the United States in Naval Petroleum
    Reserve Numbered 1 that, in total, meet or exceed the minimum
    acceptable price determined under subsection (d)(3).
        (3) The Secretary shall take such action immediately after the
    effective date as is necessary to obtain from an independent petroleum
    engineer within 10 months after that date a reserve report prepared in
    a manner consistent with commercial practices. The Secretary shall use
    the reserve report in support of the preparation of the solicitation of
    offers for the reserve.
        (g) Future Liabilities.--To effectuate the sale of the interest of
    the United States in Naval Petroleum Reserve Numbered 1, the Secretary
    may extend such indemnities and warranties as the Secretary considers
    reasonable and necessary to protect the purchaser from claims arising
    from the ownership in the reserve by the United States.
        (h) Maintaining Production.--Until the sale of Naval Petroleum
    Reserve Numbered 1 is completed under this section, the Secretary shall
    continue to produce the reserve at the maximum daily oil or gas rate
    from a reservoir, which will permit maximum economic development of the
    reservoir consistent with sound oil field engineering practices in
    accordance with section 3 of the unit plan contract.
        (i) Noncompliance With Deadlines.--At any time during the two-year
    period beginning on the effective date, if the Secretary determines
    that the actions necessary to complete the sale of the reserve within
    that period are not being taken or timely completed, the Secretary
    shall transmit to the appropriate congressional committees a written
    notification of that determination together with a plan setting forth
    the actions that will be taken to ensure that the sale of the reserve
    will be completed within that period. The Secretary shall consult with
    the Director of the Office of Management and Budget in preparing the
    plan for submission to the committees.
        (j) Oversight.--The Comptroller General shall monitor the actions
    of the Secretary relating to the sale of the reserve and report to the
    appropriate congressional committees any findings on such actions that
    the Comptroller General considers appropriate to report to the
    committees.
        (k) Acquisition of Services.--The Secretary may enter into
    contracts for the acquisition of services required under this section
    under the authority of paragraph (7) of section 303(c) of the Federal
    Property and Administrative Services Act of 1949 (41 U.S.C. 253(c)),
    except that the notification required under subparagraph (B) of such
    paragraph for each contract shall be submitted to Congress not less
    than 7 days before the award of the contract.

    SEC. 3413. EFFECT OF SALE OF RESERVE.

        (a) Effect on Existing Contracts.--(1) In the case of any contract,
    in effect on the effective date, for the purchase of production from
    any part of the United States' share of Naval Petroleum Reserve
    Numbered 1, the sale of the interest of the United States in the
    reserve shall be subject to the contract for a period of three months
    after the closing date of the sale or until termination of the
    contract, whichever occurs first. The term of any contract entered into
    after the effective date for the purchase of the production shall not
    exceed the anticipated closing date for the sale of the reserve.
        (2) The Secretary shall exercise the termination procedures
    provided in the contract between the United States and Bechtel
    Petroleum Operation, Inc., Contract Number DE-ACO1-85FE60520 so that
    the contract terminates not later than the date of closing of the sale
    of Naval Petroleum Reserve Numbered 1 under section 3412.
        (3) The Secretary shall exercise the termination procedures
    provided in the unit plan contract so that the unit plancontract
    terminates not later than the date of closing of the sale of reserve.
        (b) Effect on Antitrust Laws.--Nothing in this subtitle shall be
    construed to alter the application of the antitrust laws of the United
    States to the purchaser or purchasers (as the case may be) of Naval
    Petroleum Reserve Numbered 1 or to the lands in the reserve subject to
    sale under section 3412 upon the completion of the sale.
        (c) Preservation of Private Right, Title, and Interest.--Nothing in
    this subtitle shall be construed to adversely affect the ownership
    interest of any other entity having any right, title, and interest in
    and to lands within the boundaries of Naval Petroleum Reserve Numbered
    1 and which are subject to the unit plan contract.
        (d) Transfer of Otherwise Nontransferable Permit.--The Secretary
    may transfer to the purchaser or purchasers (as the case may be) of
    Naval Petroleum Reserve Numbered 1 the incidental take permit regarding
    the reserve issued to the Secretary by the United States Fish and
    Wildlife Service and in effect on the effective date if the Secretary
    determines that transfer of the permit is necessary to expedite the
    sale of the reserve in a manner that maximizes the value of the sale to
    the United States. The transferred permit shall cover the identical
    activities, and shall be subject to the same terms and conditions, as
    apply to the permit at the time of the transfer.

    SEC. 3414. CONDITIONS ON SALE PROCESS.

        (a) Notice Regarding Sale Conditions.--The Secretary may not enter
    into any contract for the sale of Naval Petroleum Reserve Numbered 1
    under section 3412 until the end of the 31-day period beginning on the
    date on which the Secretary submits to the appropriate congressional
    committees a written notification--
            (1) describing the conditions of the proposed sale; and
            (2) containing an assessment by the Secretary of whether it is
        in the best interests of the United States to sell the reserve
        under such conditions.
        (b) Authority to Suspend Sale.--(1) The Secretary may suspend the
    sale of Naval Petroleum Reserve Numbered 1 under section 3412 if the
    Secretary and the Director of the Office of Management and Budget
    jointly determine that--
            (A) the sale is proceeding in a manner inconsistent with
        achievement of a sale price that reflects the full value of the
        reserve; or
            (B) a course of action other than the immediate sale of the
        reserve is in the best interests of the United States.
        (2) Immediately after making a determination under paragraph (1) to
    suspend the sale of Naval Petroleum Reserve Numbered 1, the Secretary
    shall submit to the appropriate congressional committees a written
    notification describing the basis for the determination and requesting
    a reconsideration of the merits of the sale of the reserve.
        (c) Effect of Reconsideration Notice.--After the Secretary submits
    a notification under subsection (b), the Secretary may not complete the
    sale of Naval Petroleum Reserve Numbered 1 under section 3412 or any
    other provision of law unless the sale of the reserve is authorized in
    an Act of Congress enacted after the date of the submission of the
    notification.
    SEC. 3415. TREATMENT OF STATE OF CALIFORNIA CLAIM REGARDING RESERVE.
        (a) Reservation of Funds.--After the costs incurred in the conduct
    of the sale of Naval Petroleum Reserve Numbered 1 under section 3412
    are deducted, nine percent of the remaining proceeds from the sale of
    the reserve shall be reserved in a contingent fund in the Treasury for
    payment to the State of California for the Teachers' Retirement Fund of
    the State in the event that, and to the extent that, the claims of the
    State against the United States regarding production and proceeds of
    sale from Naval Petroleum Reserve Numbered 1 are--
            (1) settled by agreement with the United States under
        subsection (c); or
            (2) finally resolved in favor of the State by a court of
        competent jurisdiction, if a settlement agreement is not reached.
        (b) Disposition of Funds.--In such amounts as may be provided in
    appropriation Acts, amounts in the contingent fund shall be available
    for paying a claim described in subsection (a). After final disposition
    of the claims, any unobligated balance in the contingent fund shall be
    credited to the general fund of the Treasury. If no payment is made
    from the contingent fund within 10 years after the effective date,
    amounts in the contingent fund shall be credited to the general fund of
    the Treasury.
        (c) Settlement Offer.--Not later than 30 days after the date of the
    sale of Naval Petroleum Reserve Numbered 1 under section 3412, the
    Secretary shall offer to settle all claims of the State of California
    against the United States with respect to lands in the reserve located
    in sections 16 and 36 of township 30 south, range 23 east, Mount Diablo
    Principal Meridian, California, and production or proceeds of sale from
    the reserve, in order to provide proper compensation for the State's
    claims. The Secretary shall base the amount of the offered settlement
    payment from the contingent fund on the fair value for the State's
    claims, including the mineral estate, not to exceed the amount reserved
    in the contingent fund.
        (d) Release of Claims.--Acceptance of the settlement offer made
    under subsection (c) shall be subject to the condition that all claims
    against the United States by the State of California for the Teachers'
    Retirement Fund of the State be released with respect to lands in Naval
    Petroleum Reserve Numbered 1, including sections 16 and 36 of township
    30 south, range 23 east, Mount Diablo Principal Meridian, California,
    or production or proceeds of sale from the reserve.
    SEC. 3416. STUDY OF FUTURE OF OTHER NAVAL PETROLEUM RESERVES.
        (a) Study Required.--The Secretary of Energy shall conduct a study
    to determine which of the following options, or combinations of
    options, regarding the naval petroleum reserves (other than Naval
    Petroleum Reserve Numbered 1) would maximize the value of the reserves
    to the United States:
            (1) Retention and operation of the naval petroleum reserves by
        the Secretary under chapter 641 of title 10, United States Code.
            (2) Transfer of all or a part of the naval petroleum reserves
        to the jurisdiction of another Federal agency for administration
        under chapter 641 of title 10, United States Code.
            (3) Transfer of all or a part of the naval petroleum reserves
        to the Department of the Interior for leasing in accordance with
        the Mineral Leasing Act (30 U.S.C. 181 et seq.) and surface
        management in accordance with the Federal Land Policy and
        Management Act (43 U.S.C. 1701 et seq.).
            (4) Sale of the interest of the United States in the naval
        petroleum reserves.
        (b) Conduct of Study.--The Secretary shall retain an independent
    petroleum consultant to conduct the study.
        (c) Considerations Under Study.--An examination of the value to be
    derived by the United States from the transfer or sale of the naval
    petroleum reserves shall include an assessment and estimate of the fair
    market value of the interest of the United States in the naval
    petroleum reserves. The assessment and estimate shall be made in a
    manner consistent with customary property valuation practices in the
    oil and gas industry.
        (d) Report and Recommendations Regarding Study.--Not later than
    June 1, 1996, the Secretary shall submit to Congress a report
    describing the results of the study and containing such recommendations
    (including proposed legislation) as the Secretary considers necessary
    to implement the option, or combination of options, identified in the
    study that would maximize the value of the naval petroleum reserves to
    the United States.

                      TITLE XXXV--PANAMA CANAL COMMISSION
                  Subtitle A--Authorization of Appropriations

    SEC. 3501. SHORT TITLE.

        This subtitle may be cited as the ``Panama Canal Commission
    Authorization Act for Fiscal Year 1996''.

    SEC. 3502. AUTHORIZATION OF EXPENDITURES.

        (a) In General.--Subject to subsection (b), the Panama Canal
    Commission is authorized 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 without regard to fiscal
    year limitations, as may be necessary under the Panama Canal Act of
    1979 (22 U.S.C. 3601 et seq.) for the operation, maintenance, and
    improvement of the Panama Canal for fiscal year 1996.
        (b) Limitations.--For fiscal year 1996, the Panama Canal Commission
    may expend from funds in the Panama Canal Revolving Fund not more than
    $50,741,000 for administrative expenses, of which--
            (1) not more than $15,000 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.
        (c) Replacement Vehicles.--Funds available to the Panama Canal
    Commission shall be available for the purchase of not to exceed 38
    passenger motor vehicles (including large heavy-duty vehicles to be
    used to transport Commission personnel across the isthmus of Panama) at
    a cost per vehicle of not more than $19,500. A vehicle may be purchased
    with such funds only as necessary to replace another passenger motor
    vehicle of the Commission.

    SEC. 3503. EXPENDITURES IN ACCORDANCE WITH OTHER LAWS.

        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--Reconstitution of Commission as Government Corporation

    SEC. 3521. SHORT TITLE.

        This subtitle may be cited as the ``Panama Canal Amendments Act of
    1995''.
    SEC. 3522. RECONSTITUTION OF COMMISSION AS GOVERNMENT CORPORATION.
        (a) In General.--Section 1101 of the Panama Canal Act of 1979 (22
    U.S.C. 3611) is amended to read as follows:

         ``establishment, purposes, offices, and residence of commission

        ``Sec. 1101. (a) For the purposes of managing, operating, and
    maintaining the Panama Canal and its complementary works, installations
    and equipment, and of conducting operations incident thereto, in
    accordance with the Panama Canal Treaty of 1977 and related agreements,
    the Panama Canal Commission (hereinafter in this Act referred to as the
    `Commission') is established as a wholly owned government corporation
    (as that term is used in chapter 91 of title 31, United States Code)
    within the executive branch of the Government of the United States. The
    authority of the President with respect to the Commission shall be
    exercised through the Secretary of Defense.
        ``(b) The principal office of the Commission shall be located in
    the Republic of Panama in one of the areas made available for use of
    the United States under the Panama Canal Treaty of 1977 and related
    agreements, but the Commission may establish branch offices in such
    other places as it considers necessary or appropriate for the conduct
    of its business. Within the meaning of the laws of the United States
    relating to venue in civil actions, the Commission is an inhabitant and
    resident of the District of Columbia and the eastern judicial district
    of Louisiana.''.
        (b) Clerical Amendment.--The item relating to such section in the
    table of contents in section 1 of such Act is amended to read as
    follows:
    ``1101. Establishment, Purposes, Offices, and Residence of
              Commission.''.

    SEC. 3523. SUPERVISORY BOARD.

        Section 1102 of the Panama Canal Act of 1979 (22 U.S.C. 3612) is
    amended by striking out so much as precedes subsection (b) and
    inserting in lieu thereof the following:

                               ``supervisory board

        ``Sec. 1102. (a) The Commission shall be supervised by a Board
    composed of nine members, one of whom shall be the Secretary of Defense
    or an officer of the Department of Defense designated by the Secretary.
    Not less than five members of the Board shall be nationals of the
    United States and the remaining members of the Board shall be nationals
    of the Republic of Panama. Three members of the Board who are nationals
    of the United States shall hold no other office in, and shall not be
    employed by, the Government of the United States, and shall be chosen
    for the independent perspective they can bring to the Commission's
    affairs. Members of the Board who are nationals of the United States
    shall cast their votes as directed by the Secretary of Defense or a
    designee of the Secretary of Defense.''.

    SEC. 3524. GENERAL AND SPECIFIC POWERS OF COMMISSION.

        (a) In General.--The Panama Canal Act of 1979 (22 U.S.C. 3601 et
    seq.) is amended by inserting after section 1102 the following new
    sections:

                          ``general powers of commission

        ``Sec. 1102a. (a) The Commission may adopt, alter, and use a
    corporate seal, which shall be judicially noticed.
        ``(b) The Commission may by action of the Board of Directors adopt,
    amend, and repeal bylaws governing the conductof its general business
    and the performance of the powers and duties granted to or imposed upon
    it by law.
        ``(c) The Commission may sue and be sued in its corporate name,
    except that--
            ``(1) the amenability of the Commission to suit is limited by
        Article VIII of the Panama Canal Treaty of 1977, section 1401 of
        this Act, and otherwise by law;
            ``(2) an attachment, garnishment, or similar process may not be
        issued against salaries or other moneys owed by the Commission to
        its employees except as provided by section 5520a of title 5,
        United States Code, and sections 459, 461, and 462 of the Social
        Security Act (42 U.S.C. 659, 661, 662), or as otherwise
        specifically authorized by the laws of the United States; and
            ``(3) the Commission is exempt from the payment of interest on
        claims and judgments.
        ``(d) The Commission may enter into contracts, leases, agreements,
    or other transactions.
        ``(e) The Commission--
            ``(1) may determine the character of, and necessity for, its
        obligations and expenditures and the manner in which they shall be
        incurred, allowed, and paid; and
            ``(2) may incur, allow, and pay its obligations and
        expenditures, subject to pertinent provisions of law generally
        applicable to Government corporations.
        ``(f) The Commission shall have the priority of the Government of
    the United States in the payment of debts out of bankrupt estates.
        ``(g) The authority of the Commission under this section and
    section 1102B is subject to the Panama Canal Treaty of 1977 and related
    agreements, and to chapter 91 of title 31, United States Code.

                        ``specific powers of commission

        ``Sec. 1102b. (a) The Commission may manage, operate, and maintain
    the Panama Canal.
        ``(b) The Commission may construct or acquire, establish, maintain,
    and operate such activities, facilities, and appurtenances as necessary
    and appropriate for the accomplishment of the purposes of this Act,
    including the following:
            ``(1) Docks, wharves, piers, and other shoreline facilities.
            ``(2) Shops and yards.
            ``(3) Marine railways, salvage and towing facilities, fuel-
        handling facilities, and motor transportation facilities.
            ``(4) Power systems, water systems, and a telephone system.
            ``(5) Construction facilities.
            ``(6) Living quarters and other buildings.
            ``(7) Warehouses, storehouses, a printing plant, and
        manufacturing, processing, or service facilities in connection
        therewith.
            ``(8) Recreational facilities.
        ``(c) The Commission may use the United States mails in the same
    manner and under the same conditions as the executive departments of
    the Federal Government.
        ``(d) The Commission may take such actions as are necessary or
    appropriate to carry out the powers specifically conferred upon it.''.
        (b) Clerical Amendment.--The table of contents in section 1 of such
    Act is amended by inserting after the item relating to section 1102 the
    following new items:

    ``1102a. General powers of Commission.
    ``1102b. Specific powers of Commission.''.

    SEC. 3525. CONGRESSIONAL REVIEW OF BUDGET.

        Section 1302 of the Panama Canal Act of 1979 (22 U.S.C. 3712) is
    amended--
            (1) in subsection (c)--
                (A) by striking out ``and subject to paragraph (2)'' in
            paragraph (1);
                (B) by striking out paragraph (2); and
                (C) by redesignating paragraph (3) as paragraph (2); and
            (2) by striking out subsection (e) and inserting in lieu
        thereof the following new subsection (e):
        ``(e) In accordance with section 9104 of title 31, United States
    Code, Congress shall review the annual budget of the Commission.''.

    SEC. 3526. AUDITS.

        (a) In General.--Section 1313 of the Panama Canal Act of 1979 (22
    U.S.C. 3723) is amended--
            (1) by striking out the heading for the section and inserting
        in lieu thereof the following: ``audits'';
            (2) in subsection (a)--
                (A) by striking out ``Financial transactions'' and
            inserting in lieu thereof ``Notwithstanding any other provision
            of law, and subject to subsection (d), financial
            transactions'';
                (B) by striking out ``pursuant to the Accounting and
            Auditing Act of 1950 (31 U.S.C. 65 et seq.)'';
                (C) by striking out ``audit pursuant to such Act'' in the
            second sentence and inserting in lieu thereof ``such audit'';
                (D) by striking out ``An audit pursuant to such Act'' in
            the last sentence and inserting in lieu thereof ``Any such
            audit''; and
                (E) by adding at the end the following new sentence: ``An
            audit performed under this section is subject to the
            requirements of paragraphs (2), (3), and (5) of section 9105(a)
            of title 31, United States Code.'';
            (3) in subsection (b), by striking out ``The Comptroller
        General'' in the first sentence and inserting in lieu thereof
        ``Subject to subsection (d), the Comptroller General''; and
            (4) by adding at the end the following new subsections:
        ``(d) At the discretion of the Board provided for in section 1102,
    the Commission may hire independent auditors to perform, in lieu of the
    Comptroller General, the audit and reporting functions prescribed in
    subsections (a) and (b).
        ``(e) In addition to auditing the financial statements of the
    Commission, the Comptroller General (or the independent auditor if one
    is employed pursuant to subsection (d)) shall, inaccordance with
    standards for an examination of a financial forecast established by the
    American Institute of Certified Public Accountants, examine and report
    on the Commission's financial forecast that it will be in a position to
    meet its financial liabilities on December 31, 1999.''.
        (b) Clerical Amendment.--The item relating to such section in the
    table of contents in section 1 of such Act is amended to read as
    follows:
    ``1313. Audits.''.
    SEC. 3527. PRESCRIPTION OF MEASUREMENT RULES AND RATES OF TOLLS.
        Section 1601 of the Panama Canal Act of 1979 (22 U.S.C. 3791) is
    amended to read as follows:

              ``prescription of measurement rules and rates of tolls

        ``Sec. 1601. The Commission may, subject to the provisions of this
    Act, prescribe and from time to time change--
            ``(1) the rules for the measurement of vessels for the Panama
        Canal; and
            ``(2) the tolls that shall be levied for use of the Panama
        Canal.''.
    SEC. 3528. PROCEDURES FOR CHANGES IN RULES OF MEASUREMENT AND RATES OF
    TOLLS.
        Section 1604 of the Panama Canal Act of 1979 (22 U.S.C. 3794) is
    amended--
            (1) in subsection (a), by striking out ``1601(a)'' in the first
        sentence and inserting in lieu thereof ``1601'';
            (2) by striking out subsection (c) and inserting in lieu
        thereof the following new subsection (c):
        ``(c) After the proceedings have been conducted pursuant to
    subsections (a) and (b), the Commission may change the rules of
    measurement or rates of tolls, as the case may be. The Commission shall
    publish notice of any such change in the Federal Register not less than
    30 days before the effective date of the change.''; and
            (3) by striking out subsections (d) and (e) and redesignating
        subsection (f) as subsection (d).

    SEC. 3529. MISCELLANEOUS TECHNICAL AMENDMENTS.

        The Panama Canal Act of 1979 is amended--
            (1) in section 1205 (22 U.S.C. 3645), by striking out
        ``appropriation'' in the last sentence and inserting in lieu
        thereof ``fund'';
            (2) in section 1303 (22 U.S.C. 3713), by striking out ``The
        authority of this section may not be used for administrative
        expenses.'';
            (3) in section 1321(d) (22 U.S.C. 3731(d)), by striking out
        ``appropriations or'' in the second sentence;
            (4) in section 1401(c) (22 U.S.C. 3761(c)), by striking out
        ``appropriated for or'' in the first sentence;
            (5) in section 1415 (22 U.S.C. 3775), by striking out
        ``appropriated or'' in the second sentence; and
            (6) in section 1416 (22 U.S.C. 3776), by striking out
        ``appropriated or'' in the third sentence.
    SEC. 3530. CONFORMING AMENDMENT TO TITLE 31, UNITED STATES CODE.
        Section 9101(3) of title 31, United States Code, is amended by
    adding at the end the following:
                ``(P) the Panama Canal Commission.''.

                     DIVISION D--FEDERAL ACQUISITION REFORM

    SEC. 4001. SHORT TITLE.

        This division may be cited as the ``Federal Acquisition Reform Act
    of 1996''.

                             TITLE XLI--COMPETITION

    SEC. 4101. EFFICIENT COMPETITION.

        (a) Armed Services Acquisitions.--Section 2304 of title 10, United
    States Code, is amended--
            (1) by redesignating subsection (j) as subsection (k); and
            (2) by inserting after subsection (i) the following new
        subsection (j):
        ``(j) The Federal Acquisition Regulation shall ensure that the
    requirement to obtain full and open competition is implemented in a
    manner that is consistent with the need to efficiently fulfill the
    Government's requirements.''.
        (b) Civilian Agency Acquisitions.--Section 303 of the Federal
    Property and Administrative Services Act of 1949 (41 U.S.C. 253) is
    amended--
            (1) by redesignating subsection (h) as subsection (i); and
            (2) by inserting after subsection (g) the following new
        subsection (h):
        ``(h) The Federal Acquisition Regulation shall ensure that the
    requirement to obtain full and open competition is implemented in a
    manner that is consistent with the need to efficiently fulfill the
    Government's requirements.''.
        (c) Revisions to Notice Thresholds.--Section 18(a)(1)(B) of the
    Office of Federal Procurement Policy Act (41 U.S.C. 416(a)(1)(B)) is
    amended--
            (A) by striking out ``subsection (f)--'' and all that follows
        through the end of the subparagraph and inserting in lieu thereof
        ``subsection (b); and''; and
            (B) by inserting after ``property or services'' the following:
        ``for a price expected to exceed $10,000, but not to exceed
        $25,000,''.

    SEC. 4102. EFFICIENT APPROVAL PROCEDURES.

        (a) Armed Services Acquisitions.--Section 2304(f)(1)(B) of title
    10, United States Code, is amended--
            (1) in clause (i)--
                (A) by striking out ``$100,000 (but equal to or less than
            $1,000,000)'' and inserting in lieu thereof ``$500,000 (but
            equal to or less than $10,000,000)''; and
                (B) by striking out ``(ii), (iii), or (iv)'' and inserting
            in lieu thereof ``(ii) or (iii)'';
            (2) in clause (ii)--
                (A) by striking out ``$1,000,000 (but equal to or less than
            $10,000,000)'' and inserting in lieu thereof ``$10,000,000 (but
            equal to or less than $50,000,000)''; and
                (B) by adding ``or'' at the end;
            (3) by striking out clause (iii); and
            (4) by redesignating clause (iv) as clause (iii).
        (b) Civilian Agency Acquisitions.--Section 303(f)(1)(B) of the
    Federal Property and Administrative Services Act of 1949 (41 U.S.C.
    253(f)(1)(B)) is amended--
            (1) in clause (i)--
                (A) by striking out ``$100,000 (but equal to or less than
            $1,000,000)'' and inserting in lieu thereof ``$500,000 (but
            equal to or less than $10,000,000)''; and
                (B) by striking out ``(ii), (iii), or (iv);'' and inserting
            in lieu thereof ``(ii) or (iii); and'';
            (2) in clause (ii)--
                (A) by striking out ``$1,000,000 (but equal to or less than
            $10,000,000)'' and inserting in lieu thereof ``$10,000,000 (but
            equal to or less than $50,000,000)''; and
                (B) by striking out the semicolon after ``civilian'' and
            inserting in lieu thereof a comma; and
            (3) in clause (iii), by striking out ``$10,000,000'' and
        inserting in lieu thereof ``$50,000,000''.

    SEC. 4103. EFFICIENT COMPETITIVE RANGE DETERMINATIONS.

        (a) Armed Services Acquisitions.--Paragraph (4) of 2305(b) of title
    10, United States Code, is amended--
            (1) in subparagraph (C), by striking out ``(C)'', by
        transferring the text to the end of subparagraph (B), and in that
        text by striking out ``Subparagraph (B)'' and inserting in lieu
        thereof ``This subparagraph'';
            (2) by redesignating subparagraph (B) as subparagraph (C); and
            (3) by inserting before subparagraph (C) (as so redesignated)
        the following new subparagraph (B):
        ``(B) If the contracting officer determines that the number of
    offerors that would otherwise be included in the competitive range
    under subparagraph (A)(i) exceeds the number at which an efficient
    competition can be conducted, the contracting officer may limit the
    number of proposals in the competitive range, in accordance with the
    criteria specified in the solicitation, to the greatest number that
    will permit an efficient competition among the offerors rated most
    highly in accordance with such criteria.''.
        (b) Civilian Agency Acquisitions.--Section 303B(d) of the Federal
    Property and Administrative Services Act of 1949 (41 U.S.C. 253b(d)) is
    amended--
            (1) by redesignating paragraph (2) as paragraph (3); and
            (2) by inserting before paragraph (3) (as so redesignated) the
        following new paragraph (2):
        ``(2) If the contracting officer determines that the number of
    offerors that would otherwise be included in the competitive range
    under paragraph (1)(A) exceeds the number at which an efficient
    competition can be conducted, the contracting officer may limit the
    number of proposals in the competitive range, in accordance with the
    criteria specified in the solicitation, to the greatest number that
    will permit an efficient competition among the offerors rated most
    highly in accordance with such criteria.''.

    SEC. 4104. PREAWARD DEBRIEFINGS.

        (a) Armed Services Acquisitions.--Section 2305(b) of title 10,
    United States Code, is amended--
            (1) by striking out subparagraph (F) of paragraph (5);
            (2) by redesignating paragraph (6) as paragraph (9); and
            (3) by inserting after paragraph (5) the following new
        paragraphs:
        ``(6)(A) When the contracting officer excludes an offeror
    submitting a competitive proposal from the competitive range (or
    otherwise excludes such an offeror from further consideration prior to
    the final source selection decision), the excluded offeror may request
    in writing, within three days after the date on which the excluded
    offeror receives notice of its exclusion, a debriefing prior to award.
    The contracting officer shall make every effort to debrief the
    unsuccessful offeror as soon as practicable but may refuse the request
    for a debriefing if it is not in the best interests of the Government
    to conduct a debriefing at that time.
        ``(B) The contracting officer is required to debrief an excluded
    offeror in accordance with paragraph (5) of this section only if that
    offeror requested and was refused a preaward debriefing under
    subparagraph (A) of this paragraph.
        ``(C) The debriefing conducted under this subsection shall
    include--
            ``(i) the executive agency's evaluation of the significant
        elements in the offeror's offer;
            ``(ii) a summary of the rationale for the offeror's exclusion;
        and
            ``(iii) reasonable responses to relevant questions posed by the
        debriefed offeror as to whether source selection procedures set
        forth in the solicitation, applicable regulations, and other
        applicable authorities were followed by the executive agency.
        ``(D) The debriefing conducted pursuant to this subsection may not
    disclose the number or identity of other offerors and shall not
    disclose information about the content, ranking, or evaluation of other
    offerors' proposals.
        ``(7) The contracting officer shall include a summary of any
    debriefing conducted under paragraph (5) or (6) in the contract file.
        ``(8) The Federal Acquisition Regulation shall include a provision
    encouraging the use of alternative dispute resolution techniques to
    provide informal, expeditious, and inexpensive procedures for an
    offeror to consider using before filing a protest, prior to the award
    of a contract, of the exclusion of the offeror from the competitive
    range (or otherwise from further consideration) for that contract.''.
        (b) Civilian Agency Acquisitions.--Section 303B of the Federal
    Property and Administrative Services Act of 1949 (41 U.S.C. 253b) is
    amended--
            (1) by striking out paragraph (6) of subsection (e);
            (2) by redesignating subsections (f), (g), (h), and (i) as
        subsections (i), (j), (k), and (l), respectively; and
            (3) by inserting after subsection (e) the following new
        subsections:
        ``(f)(1) When the contracting officer excludes an offeror
    submitting a competitive proposal from the competitive range (or
    otherwise excludes such an offeror from further consideration prior to
    the final source selection decision), the excluded offeror may request
    in writing, within 3 days after the date on which the excluded offeror
    receives notice of its exclusion, a debriefing prior to award. The
    contracting officer shall make every effort to debrief the unsuccessful
    offeror as soon as practicable but may refuse the request for a
    debriefing if it is not in the best interests of the Government to
    conduct a debriefing at that time.
        ``(2) The contracting officer is required to debrief an excluded
    offeror in accordance with subsection (e) of this sectiononly if that
    offeror requested and was refused a preaward debriefing under paragraph
    (1) of this subsection.
        ``(3) The debriefing conducted under this subsection shall
    include--
            ``(A) the executive agency's evaluation of the significant
        elements in the offeror's offer;
            ``(B) a summary of the rationale for the offeror's exclusion;
        and
            ``(C) reasonable responses to relevant questions posed by the
        debriefed offeror as to whether source selection procedures set
        forth in the solicitation, applicable regulations, and other
        applicable authorities were followed by the executive agency.
        ``(4) The debriefing conducted pursuant to this subsection may not
    disclose the number or identity of other offerors and shall not
    disclose information about the content, ranking, or evaluation of other
    offerors' proposals.
        ``(g) The contracting officer shall include a summary of any
    debriefing conducted under subsection (e) or (f) in the contract file.
        ``(h) The Federal Acquisition Regulation shall include a provision
    encouraging the use of alternative dispute resolution techniques to
    provide informal, expeditious, and inexpensive procedures for an
    offeror to consider using before filing a protest, prior to the award
    of a contract, of the exclusion of the offeror from the competitive
    range (or otherwise from further consideration) for that contract.''.

    SEC. 4105. DESIGN-BUILD SELECTION PROCEDURES.

        (a) Armed Services Acquisitions.--(1) Chapter 137 of title 10,
    United States Code, is amended by inserting after section 2305 the
    following new section:

    ``Sec. 2305a. Design-build selection procedures

        ``(a) Authorization.--Unless the traditional acquisition approach
    of design-bid-build established under the Brooks Architect-Engineers
    Act (41 U.S.C. 541 et seq.) is used or another acquisition procedure
    authorized by law is used, the head of an agency shall use the two-
    phase selection procedures authorized in this section for entering into
    a contract for the design and construction of a public building,
    facility, or work when a determination is made under subsection (b)
    that the procedures are appropriate for use.
        ``(b) Criteria for Use.--A contracting officer shall make a
    determination whether two-phase selection procedures are appropriate
    for use for entering into a contract for the design and construction of
    a public building, facility, or work when the contracting officer
    anticipates that three or more offers will be received for such
    contract, design work must be performed before an offeror can develop a
    price or cost proposal for such contract, the offeror will incur a
    substantial amount of expense in preparing the offer, and the
    contracting officer has considered information such as the following:
            ``(1) The extent to which the project requirements have been
        adequately defined.
            ``(2) The time constraints for delivery of the project.
            ``(3) The capability and experience of potential contractors.
            ``(4) The suitability of the project for use of the two-phase
        selection procedures.
            ``(5) The capability of the agency to manage the two-phase
        selection process.
            ``(6) Other criteria established by the agency.
        ``(c) Procedures Described.--Two-phase selection procedures consist
    of the following:
            ``(1) The agency develops, either in-house or by contract, a
        scope of work statement for inclusion in the solicitation that
        defines the project and provides prospective offerors with
        sufficient information regarding the Government's requirements
        (which may include criteria and preliminary design, budget
        parameters, and schedule or delivery requirements) to enable the
        offerors to submit proposals which meet the Government's needs. If
        the agency contracts for development of the scope of work
        statement, the agency shall contract for architectural and
        engineering services as defined by and in accordance with the
        Brooks Architect-Engineers Act (40 U.S.C. 541 et seq.).
            ``(2) The contracting officer solicits phase-one proposals
        that--
                ``(A) include information on the offeror's--
                    ``(i) technical approach; and
                    ``(ii) technical qualifications; and
                ``(B) do not include--
                    ``(i) detailed design information; or
                    ``(ii) cost or price information.
            ``(3) The evaluation factors to be used in evaluating phase-one
        proposals are stated in the solicitation and include specialized
        experience and technical competence, capability to perform, past
        performance of the offeror's team (including the architect-engineer
        and construction members of the team) and other appropriate
        factors, except that cost-related or price-related evaluation
        factors are not permitted. Each solicitation establishes the
        relative importance assigned to the evaluation factors and
        subfactors that must be considered in the evaluation of phase-one
        proposals. The agency evaluates phase-one proposals on the basis of
        the phase-one evaluation factors set forth in the solicitation.
            ``(4) The contracting officer selects as the most highly
        qualified the number of offerors specified in the solicitation to
        provide the property or services under the contract and requests
        the selected offerors to submit phase-two competitive proposals
        that include technical proposals and cost or price information.
        Each solicitation establishes with respect to phase two--
                ``(A) the technical submission for the proposal, including
            design concepts or proposed solutions to requirements addressed
            within the scope of work (or both), and
                ``(B) the evaluation factors and subfactors, including cost
            or price, that must be considered in the evaluations of
            proposals in accordance with paragraphs (2), (3), and (4) of
            section 2305(a) of this title.
        The contracting officer separately evaluates the submissions
        described in subparagraphs (A) and (B).
            ``(5) The agency awards the contract in accordance with section
        2305(b)(4) of this title.
        ``(d) Solicitation to State Number of Offerors To Be Selected for
    Phase Two Requests for Competitive Proposals.--A solicitation issued
    pursuant to the procedures described in subsection (c) shall state the
    maximum number of offerors that are to be selected to submit
    competitive proposals pursuant to subsection (c)(4). The maximum number
    specified in the solicitation shall not exceed 5 unless the agency
    determines with respect to an individual solicitation that a specified
    number greater than 5 is in the Government's interest and is consistent
    with the purposes and objectives of the two-phase selection process.
        ``(e) Requirement for Guidance and Regulations.--The Federal
    Acquisition Regulation shall include guidance--
            ``(1) regarding the factors that may be considered in
        determining whether the two-phase contracting procedures authorized
        by subsection (a) are appropriate for use in individual contracting
        situations;
            ``(2) regarding the factors that may be used in selecting
        contractors; and
            ``(3) providing for a uniform approach to be used Government-
        wide.''.
        (2) The table of sections at the beginning of chapter 137 of such
    title is amended by adding after the item relating to section 2305 the
    following new item:
    ``2305a. Design-build selection procedures.''.

        (b) Civilian Agency Acquisitions.--(1) Title III of the Federal
    Property and Administrative Services Act of 1949 (41 U.S.C. 251 et
    seq.) is amended by inserting after section 303L the following new
    section:

    ``SEC. 303M. DESIGN-BUILD SELECTION PROCEDURES.

        ``(a) Authorization.--Unless the traditional acquisition approach
    of design-bid-build established under the Brooks Architect-Engineers
    Act (title IX of this Act) is used or another acquisition procedure
    authorized by law is used, the head of an executive agency shall use
    the two-phase selection procedures authorized in this section for
    entering into a contract for the design and construction of a public
    building, facility, or work when a determination is made under
    subsection (b) that the procedures are appropriate for use.
        ``(b) Criteria for Use.--A contracting officer shall make a
    determination whether two-phase selection procedures are appropriate
    for use for entering into a contract for the design and construction of
    a public building, facility, or work when the contracting officer
    anticipates that three or more offers will be received for such
    contract, design work must be performed before an offeror can develop a
    price or cost proposal for such contract, the offeror will incur a
    substantial amount of expense in preparing the offer, and the
    contracting officer has considered information such as the following:
            ``(1) The extent to which the project requirements have been
        adequately defined.
            ``(2) The time constraints for delivery of the project.
            ``(3) The capability and experience of potential contractors.
            ``(4) The suitability of the project for use of the two-phase
        selection procedures.
            ``(5) The capability of the agency to manage the two-phase
        selection process.
            ``(6) Other criteria established by the agency.
        ``(c) Procedures Described.--Two-phase selection procedures consist
    of the following:
            ``(1) The agency develops, either in-house or by contract, a
        scope of work statement for inclusion in the solicitation that
        defines the project and provides prospective offerors with
        sufficient information regarding the Government's requirements
        (which may include criteria and preliminary design, budget
        parameters, and schedule or delivery requirements) to enable the
        offerors to submit proposals which meet the Government's needs. If
        the agency contracts for development of the scope of work
        statement, the agency shall contract for architectural and
        engineering services as defined by and in accordance with the
        Brooks Architect-Engineers Act (40 U.S.C. 541 et seq.).
            ``(2) The contracting officer solicits phase-one proposals
        that--
                ``(A) include information on the offeror's--
                    ``(i) technical approach; and
                    ``(ii) technical qualifications; and
                ``(B) do not include--
                    ``(i) detailed design information; or
                    ``(ii) cost or price information.
            ``(3) The evaluation factors to be used in evaluating phase-one
        proposals are stated in the solicitation and include specialized
        experience and technical competence, capability to perform, past
        performance of the offeror's team (including the architect-engineer
        and construction members of the team) and other appropriate
        factors, except that cost-related or price-related evaluation
        factors are not permitted. Each solicitation establishes the
        relative importance assigned to the evaluation factors and
        subfactors that must be considered in the evaluation of phase-one
        proposals. The agency evaluates phase-one proposals on the basis of
        the phase-one evaluation factors set forth in the solicitation.
            ``(4) The contracting officer selects as the most highly
        qualified the number of offerors specified in the solicitation to
        provide the property or services under the contract and requests
        the selected offerors to submit phase-two competitive proposals
        that include technical proposals and cost or price information.
        Each solicitation establishes with respect to phase two--
                ``(A) the technical submission for the proposal, including
            design concepts or proposed solutions to requirements addressed
            within the scope of work (or both), and
                ``(B) the evaluation factors and subfactors, including cost
            or price, that must be considered in theevaluations of
    proposals in accordance with subsections (b), (c), and (d) of section
    303A.
        The contracting officer separately evaluates the submissions
        described in subparagraphs (A) and (B).
            ``(5) The agency awards the contract in accordance with section
        303B of this title.
        ``(d) Solicitation to State Number of Offerors To Be Selected for
    Phase Two Requests for Competitive Proposals.--A solicitation issued
    pursuant to the procedures described in subsection (c) shall state the
    maximum number of offerors that are to be selected to submit
    competitive proposals pursuant to subsection (c)(4). The maximum number
    specified in the solicitation shall not exceed 5 unless the agency
    determines with respect to an individual solicitation that a specified
    number greater than 5 is in the Government's interest and is consistent
    with the purposes and objectives of the two-phase selection process.
        ``(e) Requirement for Guidance and Regulations.--The Federal
    Acquisition Regulation shall include guidance--
            ``(1) regarding the factors that may be considered in
        determining whether the two-phase contracting procedures authorized
        by subsection (a) are appropriate for use in individual contracting
        situations;
            ``(2) regarding the factors that may be used in selecting
        contractors; and
            ``(3) providing for a uniform approach to be used Government-
        wide.''.
        (2) The table of sections at the beginning of such Act is amended
    by inserting after the item relating to section 303L the following new
    item:
    ``Sec. 303M. Design-build selection procedures.''.

                          TITLE XLII--COMMERCIAL ITEMS

    SEC. 4201. COMMERCIAL ITEM EXCEPTION TO REQUIREMENT FOR CERTIFIED COST
    OR PRICING DATA.
        (a) Armed Services Acquisitions.--(1) Subsections (b), (c), and (d)
    of section 2306a of title 10, United States Code, are amended to read
    as follows:
        ``(b) Exceptions.--
            ``(1) In general.--Submission of certified cost or pricing data
        shall not be required under subsection (a) in the case of a
        contract, a subcontract, or modification of a contract or
        subcontract--
                ``(A) for which the price agreed upon is based on--
                    ``(i) adequate price competition; or
                    ``(ii) prices set by law or regulation;
                ``(B) for the acquisition of a commercial item; or
                ``(C) in an exceptional case when the head of the procuring
            activity, without delegation, determines that the requirements
            of this section may be waived and justifies in writing the
            reasons for such determination.
            ``(2) Modifications of contracts and subcontracts for
        commercial items.--In the case of a modification of a contract or
        subcontract for a commercial item that is not covered by the
        exception to the submission of certified cost or pricing data in
        paragraph (1)(A) or (1)(B), submission of certified cost or pricing
        data shall not be required under subsection (a) if--
                ``(A) the contract or subcontract being modified is a
            contract or subcontract for which submission of certified cost
            or pricing data may not be required by reason of paragraph
            (1)(A) or (1)(B); and
                ``(B) the modification would not change the contract or
            subcontract, as the case may be, from a contract or subcontract
            for the acquisition of a commercial item to a contract or
            subcontract for the acquisition of an item other than a
            commercial item.
        ``(c) Cost or Pricing Data on Below-Threshold Contracts.--
            ``(1) Authority to require submission.--Subject to paragraph
        (2), when certified cost or pricing data are not required to be
        submitted by subsection (a) for a contract, subcontract, or
        modification of a contract or subcontract, such data may
        nevertheless be required to be submitted by the head of the
        procuring activity, but only if the head of the procuring activity
        determines that such data are necessary for the evaluation by the
        agency of the reasonableness of the price of the contract,
        subcontract, or modification of a contract or subcontract. In any
        case in which the head of the procuring activity requires such data
        to be submitted under this subsection, the head of the procuring
        activity shall justify in writing the reason for such requirement.
            ``(2) Exception.--The head of the procuring activity may not
        require certified cost or pricing data to be submitted under this
        paragraph for any contract or subcontract, or modification of a
        contract or subcontract, covered by the exceptions in subparagraph
        (A) or (B) of subsection (b)(1).
            ``(3) Delegation of authority prohibited.--The head of a
        procuring activity may not delegate functions under this paragraph.
        ``(d) Submission of Other Information.--
            ``(1) Authority to require submission.--When certified cost or
        pricing data are not required to be submitted under this section
        for a contract, subcontract, or modification of a contract or
        subcontract, the contracting officer shall require submission of
        data other than certified cost or pricing data to the extent
        necessary to determine the reasonableness of the price of the
        contract, subcontract, or modification of the contract or
        subcontract. Except in the case of a contract or subcontract
        covered by the exceptions in subsection (b)(1)(A), the data
        submitted shall include, at a minimum, appropriate information on
        the prices at which the same item or similar items have previously
        been soldthat is adequate for evaluating the reasonableness of the
    price for the procurement.
            ``(2) Limitations on authority.--The Federal Acquisition
        Regulation shall include the following provisions regarding the
        types of information that contracting officers may require under
        paragraph (1):
                ``(A) Reasonable limitations on requests for sales data
            relating to commercial items.
                ``(B) A requirement that a contracting officer limit, to
            the maximum extent practicable, the scope of any request for
            information relating to commercial items from an offeror to
            only that information that is in the form regularly maintained
            by the offeror in commercial operations.
                ``(C) A statement that any information received relating to
            commercial items that is exempt from disclosure under section
            552(b) of title 5 shall not be disclosed by the Federal
            Government.''.
        (2) Section 2306a of such title is further amended--
            (A) by striking out subsection (h); and
            (B) by redesignating subsection (i) as subsection (h).
        (b) Civilian Agency Acquisitions.--(1) Subsections (b), (c) and (d)
    of section 304A of the Federal Property and Administrative Services Act
    of 1949 (41 U.S.C. 254b) are amended to read as follows:
        ``(b) Exceptions.--
            ``(1) In general.--Submission of certified cost or pricing data
        shall not be required under subsection (a) in the case of a
        contract, a subcontract, or a modification of a contract or
        subcontract--
                ``(A) for which the price agreed upon is based on--
                    ``(i) adequate price competition; or
                    ``(ii) prices set by law or regulation;
                ``(B) for the acquisition of a commercial item; or
                ``(C) in an exceptional case when the head of the procuring
            activity, without delegation, determines that the requirements
            of this section may be waived and justifies in writing the
            reasons for such determination.
            ``(2) Modifications of contracts and subcontracts for
        commercial items.--In the case of a modification of a contract or
        subcontract for a commercial item that is not covered by the
        exception to the submission of certified cost or pricing data in
        paragraph (1)(A) or (1)(B), submission of certified cost or pricing
        data shall not be required under subsection (a) if--
                ``(A) the contract or subcontract being modified is a
            contract or subcontract for which submission of certified cost
            or pricing data may not be required by reason of paragraph
            (1)(A) or (1)(B); and
                ``(B) the modification would not change the contract or
            subcontract, as the case may be, from a contract or subcontract
            for the acquisition of a commercial item to a contract or
            subcontract for the acquisition of an item other than a
            commercial item.
        ``(c) Cost or Pricing Data on Below-Threshold Contracts.--
            ``(1) Authority to require submission.--Subject to paragraph
        (2), when certified cost or pricing data are not required to be
        submitted by subsection (a) for a contract, subcontract, or
        modification of a contract or subcontract, such data may
        nevertheless be required to be submitted by the head of the
        procuring activity, but only if the head of the procuring activity
        determines that such data are necessary for the evaluation by the
        agency of the reasonableness of the price of the contract,
        subcontract, or modification of a contract or subcontract. In any
        case in which the head of the procuring activity requires such data
        to be submitted under this subsection, the head of the procuring
        activity shall justify in writing the reason for such requirement.
            ``(2) Exception.--The head of the procuring activity may not
        require certified cost or pricing data to be submitted under this
        paragraph for any contract or subcontract, or modification of a
        contract or subcontract, covered by the exceptions in subparagraph
        (A) or (B) of subsection (b)(1).
            ``(3) Delegation of authority prohibited.--The head of a
        procuring activity may not delegate the functions under this
        paragraph.
        ``(d) Submission of Other Information.--
            ``(1) Authority to require submission.--When certified cost or
        pricing data are not required to be submitted under this section
        for a contract, subcontract, or modification of a contract or
        subcontract, the contracting officer shall require submission of
        data other than certified cost or pricing data to the extent
        necessary to determine the reasonableness of the price of the
        contract, subcontract, or modification of the contract or
        subcontract. Except in the case of a contract or subcontract
        covered by the exceptions in subsection (b)(1)(A), the data
        submitted shall include, at a minimum, appropriate information on
        the prices at which the same item or similar items have previously
        been sold that is adequate for evaluating the reasonableness of the
        price for the procurement.
            ``(2) Limitations on authority.--The Federal Acquisition
        Regulation shall include the following provisions regarding the
        types of information that contracting officers may require under
        paragraph (1):
                ``(A) Reasonable limitations on requests for sales data
            relating to commercial items.
                ``(B) A requirement that a contracting officer limit, to
            the maximum extent practicable, the scope of any request for
            information relating to commercial items from an offeror to
            only that information that is in the form regularly maintained
            by the offeror in commercial operations.
                ``(C) A statement that any information received relating to
            commercial items that is exempt from disclosure under section
            552(b) of title 5 shall not be disclosed by the Federal
            Government.''.
        (2) Section 304A of such Act is further amended--
            (A) by striking out subsection (h); and
            (B) by redesignating subsection (i) as subsection (h).
    SEC. 4202. APPLICATION OF SIMPLIFIED PROCEDURES TO CERTAIN COMMERCIAL
    ITEMS.
        (a) Armed Services Acquisitions.--(1) Section 2304(g) of title 10,
    United States Code, is amended--
            (A) in paragraph (1), by striking out ``shall provide for
        special simplified procedures for purchases of'' and all that
        follows through the end of the paragraph and inserting in lieu
        thereof the following: ``shall provide for--
            ``(A) special simplified procedures for purchases of property
        and services for amounts not greater than the simplified
        acquisition threshold; and
            ``(B) special simplified procedures for purchases of property
        and services for amounts greater than the simplified acquisition
        threshold but not greater than $5,000,000 with respect to which the
        contracting officer reasonably expects, based on the nature of the
        property or services sought and on market research, that offers
        will include only commercial items.''; and
            (B) by adding at the end the following new paragraph:
        ``(4) The head of an agency shall comply with the Federal
    Acquisition Regulation provisions referred to in section 31(g) of the
    Office of Federal Procurement Policy Act (41 U.S.C. 427).''.
        (2) Section 2305 of title 10, United States Code, is amended in
    subsection (a)(2) by inserting after ``(other than for'' the following:
    ``a procurement for commercial items using special simplified
    procedures or''.
        (b) Civilian Agency Acquisitions.--(1) Section 303(g) of the
    Federal Property and Administrative Services Act of 1949 (41 U.S.C.
    253(g)) is amended--
            (A) in paragraph (1), by striking out ``shall provide for
        special simplified procedures for purchases of'' and all that
        follows through the end of the paragraph and inserting in lieu
        thereof the following: ``shall provide for--
            ``(A) special simplified procedures for purchases of property
        and services for amounts not greater than the simplified
        acquisition threshold; and
            ``(B) special simplified procedures for purchases of property
        and services for amounts greater than the simplified acquisition
        threshold but not greater than $5,000,000 with respect to which the
        contracting officer reasonably expects, based on the nature of the
        property or services sought and on market research, that offers
        will include only commercial items.''; and
            (B) by adding at the end the following new paragraph:
        ``(5) An executive agency shall comply with the Federal Acquisition
    Regulation provisions referred to in section 31(g) of the Office of
    Federal Procurement Policy Act (41 U.S.C. 427).''.
        (2) Section 303A of such Act (41 U.S.C. 253a) is amended in
    subsection (b) by inserting after ``(other than for'' the following:
    ``a procurement for commercial items using special simplified
    procedures or''.
        (c) Acquisitions Generally.--Section 31 of the Office of Federal
    Procurement Policy Act (41 U.S.C. 427) is amended--
            (1) in subsection (a), by striking out ``shall provide for
        special simplified procedures for purchases of'' and all that
        follows through the end of the subsection and inserting in lieu
        thereof the following: ``shall provide for--
            ``(1) special simplified procedures for purchases of property
        and services for amounts not greater than the simplified
        acquisition threshold; and
            ``(2) special simplified procedures for purchases of property
        and services for amounts greater than the simplified acquisition
        threshold but not greater than $5,000,000 with respect to which the
        contracting officer reasonably expects, based on the nature of the
        property or services sought and on market research, that offers
        will include only commercial items.''; and
            (2) by adding at the end the following new subsection:
        ``(g) Special Rules for Commercial Items.--The Federal Acquisition
    Regulation shall provide that, in the case of a purchase of commercial
    items using special simplified procedures, an executive agency--
            ``(1) shall publish a notice in accordance with section 18 and,
        as provided in subsection (b)(4) of such section, permit all
        responsible sources to submit a bid, proposal, or quotation (as
        appropriate) which shall be considered by the agency;
            ``(2) may not conduct the purchase on a sole source basis
        unless the need to do so is justified in writing and approved in
        accordance with section 2304 of title 10, United States Code, or
        section 303 of the Federal Property and Administrative Services Act
        of 1949 (41 U.S.C. 253), as applicable; and
            ``(3) shall include in the contract file a written description
        of the procedures used in awarding the contract and the number of
        offers received.''.
        (d) Simplified Notice.--(1) Section 18 of the Office of Federal
    Procurement Policy Act (41 U.S.C. 416) is amended--
            (A) in subsection (a)(6), by inserting before ``submission''
        the following: ``issuance of solicitations and the''; and
            (B) in subsection (b)(6), by striking out ``threshold--'' and
        inserting in lieu thereof ``threshold, or a contract for the
        procurement of commercial items using special simplified
        procedures--''.
        (e) Effective Date.--The authority to issue solicitations for
    purchases of commercial items in excess of the simplified acquisition
    threshold pursuant to the special simplified procedures authorized by
    section 2304(g)(1) of title 10, United States Code, section 303(g)(1)
    of the Federal Property and Administrative Services Act of 1949, and
    section 31(a) of the Office of Federal Procurement Policy Act, as
    amended by this section, shall expire three years after the date on
    which such amendments take effect pursuant to section 4401(b).
    Contracts may be awarded pursuant to solicitations that have been
    issuedbefore such authority expires, notwithstanding the expiration of
    such authority.
    SEC. 4203. INAPPLICABILITY OF CERTAIN PROCUREMENT LAWS TO COMMERCIALLY
    AVAILABLE OFF-THE-SHELF ITEMS.
        (a) Laws Listed in the FAR.--The Office of Federal Procurement
    Policy Act (41 U.S.C. 401 et seq.) is amended by adding at the end the
    following:
        ``SEC. 35. COMMERCIALLY AVAILABLE OFF-THE-SHELF ITEM ACQUISITIONS:
          LISTS OF INAPPLICABLE LAWS IN FEDERAL ACQUISITION REGULATION.
        ``(a) Lists of Inapplicable Provisions of Law.--(1) The Federal
    Acquisition Regulation shall include a list of provisions of law that
    are inapplicable to contracts for the procurement of commercially
    available off-the-shelf items.
        ``(2) A provision of law that, pursuant to paragraph (3), is
    properly included on a list referred to in paragraph (1) may not be
    construed as being applicable to contracts referred to in paragraph
    (1). Nothing in this section shall be construed to render inapplicable
    to such contracts any provision of law that is not included on such
    list.
        ``(3) A provision of law described in subsection (b) shall be
    included on the list of inapplicable provisions of law required by
    paragraph (1) unless the Administrator for Federal Procurement Policy
    makes a written determination that it would not be in the best interest
    of the United States to exempt such contracts from the applicability of
    that provision of law. Nothing in this section shall be construed as
    modifying or superseding, or as being intended to impair or restrict
    authorities or responsibilities under--
            ``(A) section 15 of the Small Business Act (15 U.S.C. 644); or
            ``(B) bid protest procedures developed under the authority of
        subchapter V of chapter 35 of title 31, United States Code;
        subsections (e) and (f) of section 2305 of title 10, United States
        Code; or subsections (h) and (i) of section 303B of the Federal
        Property and Administrative Services Act of 1949 (41 U.S.C. 253b).
        ``(b) Covered Law.--Except as provided in subsection (a)(3), the
    list referred to in subsection (a)(1) shall include each provision of
    law that, as determined by the Administrator, imposes on persons who
    have been awarded contracts by the Federal Government for the
    procurement of commercially available off-the-shelf items Government-
    unique policies, procedures, requirements, or restrictions for the
    procurement of property or services, except the following:
            ``(1) A provision of law that provides for criminal or civil
        penalties.
            ``(2) A provision of law that specifically refers to this
        section and provides that, notwithstanding this section, such
        provision of law shall be applicable to contracts for the
        procurement of commercial off-the-shelf items.
        ``(c) Definition.--(1) As used in this section, the term
    `commercially available off-the-shelf item' means, except as provided
    in paragraph (2), an item that--
            ``(A) is a commercial item (as described in section 4(12)(A));
            ``(B) is sold in substantial quantities in the commercial
        marketplace; and
            ``(C) is offered to the Government, without modification, in
        the same form in which it is sold in the commercial marketplace.
        ``(2) The term `commercially available off-the-shelf item' does not
    include bulk cargo, as defined in section 3 of the Shipping Act of 1984
    (46 U.S.C. App. 1702), such as agricultural products and petroleum
    products.''.
        (b) Clerical Amendment.--The table of contents in section 1(b) of
    such Act is amended by inserting after the item relating to section 34
    the following:
    ``Sec. 35. Commercially available off-the-shelf item acquisitions: lists
              of inapplicable laws in Federal Acquisition Regulation.''.

    SEC. 4204. AMENDMENT OF COMMERCIAL ITEMS DEFINITION.

        Section 4(12)(F) of the Office of Federal Procurement Policy Act
    (41 U.S.C. 403(12)(F)) is amended by inserting ``or market'' after
    ``catalog''.
    SEC. 4205. INAPPLICABILITY OF COST ACCOUNTING STANDARDS TO CONTRACTS
    AND SUBCONTRACTS FOR COMMERCIAL ITEMS.
        Paragraph (2)(B) of section 26(f) of the Office of Federal
    Procurement Policy Act (41 U.S.C. 422(f)) is amended--
            (1) by striking out clause (i) and inserting in lieu thereof
        the following:
            ``(i) Contracts or subcontracts for the acquisition of
        commercial items.''; and
            (2) by striking out clause (iii).

                   TITLE XLIII--ADDITIONAL REFORM PROVISIONS
              Subtitle A--Additional Acquisition Reform Provisions

    SEC. 4301. ELIMINATION OF CERTAIN CERTIFICATION REQUIREMENTS.

        (a) Elimination of Certain Statutory Certification Requirements.--
    (1) Section 2410b of title 10, United States Code, is amended in
    paragraph (2) by striking out ``certification and''.
        (2) Section 1352(b)(2) of title 31, United States Code, is
    amended--
            (A) by striking out subparagraph (C); and
            (B) by inserting ``and'' after the semicolon at the end of
        subparagraph (A).
        (3) Section 5152 of the Drug-Free Workplace Act of 1988 (41 U.S.C.
    701) is amended--
            (A) in subsection (a)(1), by striking out ``has certified to
        the contracting agency that it will'' and inserting in lieu thereof
        ``agrees to'';
            (B) in subsection (a)(2), by striking out ``contract includes a
        certification by the individual'' and inserting in lieu thereof
        ``individual agrees''; and
            (C) in subsection (b)(1)--
                (i) by striking out subparagraph (A);
                (ii) by redesignating subparagraph (B) as subparagraph (A)
            and in that subparagraph by striking out ``such certification
            by failing to carry out''; and
                (iii) by redesignating subparagraph (C) as subparagraph
            (B).
        (b) Elimination of Certain Regulatory Certification Requirements.--
            (1) Current certification requirements.--(A) Not later than 210
        days after the date of the enactment of this Act, the Administrator
        for Federal Procurement Policy shall issue for public comment a
        proposal to amend the Federal Acquisition Regulation to remove from
        the Federal Acquisition Regulation certification requirements for
        contractors and offerors that are not specifically imposed by
        statute. The Administrator may omit such a certification
        requirement from the proposal only if--
                (i) the Federal Acquisition Regulatory Council provides the
            Administrator with a written justification for the requirement
            and a determination that there is no less burdensome means for
            administering and enforcing the particular regulation that
            contains the certification requirement; and
                (ii) the Administrator approves in writing the retention of
            the certification requirement.
            (B)(i) Not later than 210 days after the date of the enactment
        of this Act, the head of each executive agency that has agency
        procurement regulations containing one or more certification
        requirements for contractors and offerors that are not specifically
        imposed by statute shall issue for public comment a proposal to
        amend the regulations to remove the certification requirements. The
        head of the executive agency may omit such a certification
        requirement from the proposal only if--
                (I) the senior procurement executive for the executive
            agency provides the head of the executive agency with a written
            justification for the requirement and a determination that
            there is no less burdensome means for administering and
            enforcing the particular regulation that contains the
            certification requirement; and
                (II) the head of the executive agency approves in writing
            the retention of such certification requirement.
            (ii) For purposes of clause (i), the term ``head of the
        executive agency'' with respect to a military department means the
        Secretary of Defense.
            (2) Future certification requirements.--(A) Section 29 of the
        Office of Federal Procurement Policy Act (41 U.S.C. 425) is
        amended--
                (i) by amending the heading to read as follows:

    ``SEC. 29. CONTRACT CLAUSES AND CERTIFICATIONS.'';

                (ii) by inserting ``(a) Nonstandard Contract Clauses.--''
            before ``The Federal Acquisition''; and
                (iii) by adding at the end the following new subsection:
        ``(c) Prohibition on Certification Requirements.--(1) A requirement
    for a certification by a contractor or offeror may not be included in
    the Federal Acquisition Regulation unless--
            ``(A) the certification requirement is specifically imposed by
        statute; or
            ``(B) written justification for such certification requirement
        is provided to the Administrator for Federal Procurement Policy by
        the Federal Acquisition Regulatory Council, and the Administrator
        approves in writing the inclusion of such certification
        requirement.
        ``(2)(A) A requirement for a certification by a contractor or
    offeror may not be included in a procurement regulation of an executive
    agency unless--
            ``(i) the certification requirement is specifically imposed by
        statute; or
            ``(ii) written justification for such certification requirement
        is provided to the head of the executive agency by the senior
        procurement executive of the agency, and the head of the executive
        agency approves in writing the inclusion of such certification
        requirement.
        ``(B) For purposes of subparagraph (A), the term `head of the
    executive agency' with respect to a military department means the
    Secretary of Defense.''.
            (B) The item relating to section 29 in the table of contents
        for the Office of Federal Procurement Policy Act (contained in
        section 1(b)) (41 U.S.C. 401 note) is amended to read as follows:
    ``Sec. 29. Contract clauses and certifications.''.

        (c) Policy of Congress.--Section 29 of the Office of Federal
    Procurement Policy Act (41 U.S.C. 425) is further amended by adding
    after subsection (a) the following new subsection:
        ``(b) Construction of Certification Requirements.--A provision of
    law may not be construed as requiring a certification by a contractor
    or offeror in a procurement made or to be made by the Federal
    Government unless that provision of law specifically provides that such
    a certification shall be required.''.

    SEC. 4302. AUTHORITIES CONDITIONED ON FACNET CAPABILITY.

        (a) Commencement and Expiration of Authority To Conduct Certain
    Tests of Procurement Procedures.--Subsection (j) of section 5061 of the
    Federal Acquisition Streamlining Act of 1994 (41 U.S.C. 413 note; 108
    Stat. 3355) is amended to read as follows:
        ``(j) Commencement and Expiration of Authority.--The authority to
    conduct a test under subsection (a) in an agency and to award contracts
    under such a test shall take effect on January 1, 1997, and shall
    expire on January 1, 2001. A contract entered into before such
    authority expires in anagency pursuant to a test shall remain in
    effect, in accordance with the terms of the contract, the
    notwithstanding of expiration the authority to conduct the test under
    this section.''.
        (b) Use of Simplified Acquisition Procedures.--Subsection (e) of
    section 31 of the Office of Federal Procurement Policy Act (41 U.S.C.
    427) is amended--
            (1) by striking out ``Acquisition Procedures.--'' and all that
        follows through ``(B) The simplified acquisition'' in paragraph
        (2)(B) and inserting in lieu thereof ``Acquisition Procedures.--The
        simplified acquisition''; and
            (2) by striking out ``pursuant to this section'' in the
        remaining text and inserting in lieu thereof ``pursuant to section
        2304(g)(1)(A) of title 10, United States Code, section 303(g)(1)(A)
        of the Federal Property and Administrative Services Act of 1949 (41
        U.S.C. 253(g)(1)(A)), and subsection (a)(1) of this section''.

    SEC. 4303. INTERNATIONAL COMPETITIVENESS.

        (a) Additional Authority to Waive Research, Development, and
    Production Costs.--Subject to subsection (b), section 21(e)(2) of the
    Arms Export Control Act (22 U.S.C. 2761(e)(2)) is amended--
            (1) by inserting ``(A)'' after ``(2)''; and
            (2) by adding at the end the following new subparagraphs:
        ``(B) The President may waive the charge or charges which would
    otherwise be considered appropriate under paragraph (1)(B) for a
    particular sale if the President determines that--
            ``(i) imposition of the charge or charges likely would result
        in the loss of the sale; or
            ``(ii) in the case of a sale of major defense equipment that is
        also being procured for the use of the Armed Forces, the waiver of
        the charge or charges would (through a resulting increase in the
        total quantity of the equipment purchased from the source of the
        equipment that causes a reduction in the unit cost of the
        equipment) result in a savings to the United States on the cost of
        the equipment procured for the use of the Armed Forces that
        substantially offsets the revenue foregone by reason of the waiver
        of the charge or charges.
        ``(C) The President may waive, for particular sales of major
    defense equipment, any increase in a charge or charges previously
    considered appropriate under paragraph (1)(B) if the increase results
    from a correction of an estimate (reasonable when made) of the
    production quantity base that was used for calculating the charge or
    charges for purposes of such paragraph.''.
        (b) Conditions.--Subsection (a) shall be effective only if--
            (1) the President, in the budget of the President for fiscal
        year 1997, proposes legislation that if enacted would be qualifying
        offsetting legislation; and
            (2) there is enacted qualifying offsetting legislation.
        (c) Effective Date.--If the conditions in subsection (b) are met,
    then the amendments made by subsection (a) shall take effect on the
    date of the enactment of qualifying offsetting legislation.
        (d) Definitions.--For purposes of this section:
            (1) The term ``qualifying offsetting legislation'' means
        legislation that includes provisions that--
                (A) offset fully the estimated revenues lost as a result of
            the amendments made by subsection (a) for each of the fiscal
            years 1997 through 2005;
                (B) expressly state that they are enacted for the purpose
            of the offset described in subparagraph (A); and
                (C) are included in full on the PayGo scorecard.
            (2) The term ``PayGo scorecard'' means the estimates that are
        made by the Director of the Congressional Budget Office and the
        Director of the Office of Management and Budget under section
        252(d) of the Balanced Budget and Emergency Deficit Control Act of
        1985.

    SEC. 4304. PROCUREMENT INTEGRITY.

        (a) Amendment of Procurement Integrity Provision.--Section 27 of
    the Office of Federal Procurement Policy Act (41 U.S.C. 423) is amended
    to read as follows:
        ``SEC. 27. RESTRICTIONS ON DISCLOSING AND OBTAINING CONTRACTOR BID
          OR PROPOSAL INFORMATION OR SOURCE SELECTION INFORMATION.
        ``(a) Prohibition on Disclosing Procurement Information.--(1) A
    person described in paragraph (2) shall not, other than as provided by
    law, knowingly disclose contractor bid or proposal information or
    source selection information before the award of a Federal agency
    procurement contract to which the information relates.
        ``(2) Paragraph (1) applies to any person who--
            ``(A) is a present or former official of the United States, or
        a person who is acting or has acted for or on behalf of, or who is
        advising or has advised the United States with respect to, a
        Federal agency procurement; and
            ``(B) by virtue of that office, employment, or relationship has
        or had access to contractor bid or proposal information or source
        selection information.
        ``(b) Prohibition on Obtaining Procurement Information.--A person
    shall not, other than as provided by law, knowingly obtain contractor
    bid or proposal information or source selection information before the
    award of a Federal agency procurement contract to which the information
    relates.
        ``(c) Actions Required of Procurement Officers When Contacted by
    Offerors Regarding Non-Federal Employment.--(1) If an agency official
    who is participating personally and substantially in a Federal agency
    procurement for a contract in excess of the simplified acquisition
    threshold contacts or is contacted by a person who is a bidder or
    offeror in that Federal agency procurement regarding possible non-
    Federal employment for that official, the official shall--
            ``(A) promptly report the contact in writing to the official's
        supervisor and to the designated agency ethics official (or
        designee) of the agency in which the official is employed; and
            ``(B)(i) reject the possibility of non-Federal employment; or
            ``(ii) disqualify himself or herself from further personal and
        substantial participation in that Federal agency procurement until
        such time as the agency has authorized the official to resume
        participation in such procurement, in accordance with the
        requirements of section 208 of title 18, United States Code, and
        applicable agency regulations on the grounds that--
                ``(I) the person is no longer a bidder or offeror in that
            Federal agency procurement; or
                ``(II) all discussions with the bidder or offeror regarding
            possible non-Federal employment have terminated without an
            agreement or arrangement for employment.
        ``(2) Each report required by this subsection shall be retained by
    the agency for not less than two years following the submission of the
    report. All such reports shall be made available to the public upon
    request, except that any part of a report that is exempt from the
    disclosure requirements of section 552 of title 5, United States Code,
    under subsection (b)(1) of such section may be withheld from disclosure
    to the public.
        ``(3) An official who knowingly fails to comply with the
    requirements of this subsection shall be subject to the penalties and
    administrative actions set forth in subsection (e).
        ``(4) A bidder or offeror who engages in employment discussions
    with an official who is subject to the restrictions of this subsection,
    knowing that the official has not complied with subparagraph (A) or (B)
    of paragraph (1), shall be subject to the penalties and administrative
    actions set forth in subsection (e).
        ``(d) Prohibition on Former Official's Acceptance of Compensation
    From Contractor.--(1) A former official of a Federal agency may not
    accept compensation from a contractor as an employee, officer,
    director, or consultant of the contractor within a period of one year
    after such former official--
            ``(A) served, at the time of selection of the contractor or the
        award of a contract to that contractor, as the procuring
        contracting officer, the source selection authority, a member of
        the source selection evaluation board, or the chief of a financial
        or technical evaluation team in a procurement in which that
        contractor was selected for award of a contract in excess of
        $10,000,000;
            ``(B) served as the program manager, deputy program manager, or
        administrative contracting officer for a contract in excess of
        $10,000,000 awarded to that contractor; or
            ``(C) personally made for the Federal agency--
                ``(i) a decision to award a contract, subcontract,
            modification of a contract or subcontract, or a task order or
            delivery order in excess of $10,000,000 to that contractor;
                ``(ii) a decision to establish overhead or other rates
            applicable to a contract or contracts for that contractor that
            are valued in excess of $10,000,000;
                ``(iii) a decision to approve issuance of a contract
            payment or payments in excess of $10,000,000 to that
            contractor; or
                ``(iv) a decision to pay or settle a claim in excess of
            $10,000,000 with that contractor.
        ``(2) Nothing in paragraph (1) may be construed to prohibit a
    former official of a Federal agency from accepting compensation from
    any division or affiliate of a contractor that does not produce the
    same or similar products or services as the entity of the contractor
    that is responsible for the contract referred to in subparagraph (A),
    (B), or (C) of such paragraph.
        ``(3) A former official who knowingly accepts compensation in
    violation of this subsection shall be subject to penalties and
    administrative actions as set forth in subsection (e).
        ``(4) A contractor who provides compensation to a former official
    knowing that such compensation is accepted by the former official in
    violation of this subsection shall be subject to penalties and
    administrative actions as set forth in subsection (e).
        ``(5) Regulations implementing this subsection shall include
    procedures for an official or former official of a Federal agency to
    request advice from the appropriate designated agency ethics official
    regarding whether the official or former official is or would be
    precluded by this subsection from accepting compensation from a
    particular contractor.
        ``(e) Penalties and Administrative Actions.--
            ``(1) Criminal penalties.--Whoever engages in conduct
        constituting a violation of subsection (a) or (b) for the purpose
        of either--
                ``(A) exchanging the information covered by such subsection
            for anything of value, or
                ``(B) obtaining or giving anyone a competitive advantage in
            the award of a Federal agency procurement contract,
        shall be imprisoned for not more than 5 years or fined as provided
        under title 18, United States Code, or both.
            ``(2) Civil penalties.--The Attorney General may bring a civil
        action in an appropriate United States district court against any
        person who engages in conduct constituting a violation of
        subsection (a), (b), (c), or (d). Upon proof of such conduct by a
        preponderance of the evidence, the person is subject to a civil
        penalty. An individual who engages in such conduct is subject to a
        civil penalty of not more than $50,000 for each violation plus
        twice the amount of compensation which the individual received or
        offered for the prohibited conduct. An organization that engages in
        such conduct is subject to a civil penalty of not more than
        $500,000 for each violation plus twice the amount of compensation
        which the organization received or offered for the prohibited
        conduct.
            ``(3) Administrative actions.--(A) If a Federal agency receives
        information that a contractor or a person has engaged in conduct
        constituting a violation of subsection (a), (b), (c), or (d), the
        Federal agency shall consider taking one or more of the following
        actions, as appropriate:
                ``(i) Cancellation of the Federal agency procurement, if a
            contract has not yet been awarded.
                ``(ii) Rescission of a contract with respect to which--
                    ``(I) the contractor or someone acting for the
                contractor has been convicted for an offense punishable
                under paragraph (1), or
                    ``(II) the head of the agency that awarded the contract
                has determined, based upon a preponderance of the evidence,
                that the contractor or someone acting for the contractor
                has engaged in conduct constituting such an offense.
                ``(iii) Initiation of suspension or debarment proceedings
            for the protection of the Government in accordance with
            procedures in the Federal Acquisition Regulation.
                ``(iv) Initiation of adverse personnel action, pursuant to
            the procedures in chapter 75 of title 5, United States Code, or
            other applicable law or regulation.
            ``(B) If a Federal agency rescinds a contract pursuant to
        subparagraph (A)(ii), the United States is entitled to recover, in
        addition to any penalty prescribed by law, the amount expended
        under the contract.
            ``(C) For purposes of any suspension or debarment proceedings
        initiated pursuant to subparagraph (A)(iii), engaging in conduct
        constituting an offense under subsection (a), (b), (c), or (d)
        affects the present responsibility of a Government contractor or
        subcontractor.
        ``(f) Definitions.--As used in this section:
            ``(1) The term `contractor bid or proposal information' means
        any of the following information submitted to a Federal agency as
        part of or in connection with a bid or proposal to enter into a
        Federal agency procurement contract, if that information has not
        been previously made available to the public or disclosed publicly:
                ``(A) Cost or pricing data (as defined by section 2306a(h)
            of title 10, United States Code, with respect to procurements
            subject to that section, and section 304A(h) of the Federal
            Property and Administrative Services Act of 1949 (41 U.S.C.
            254b(h)), with respect to procurements subject to that
            section).
                ``(B) Indirect costs and direct labor rates.
                ``(C) Proprietary information about manufacturing
            processes, operations, or techniques marked by the contractor
            in accordance with applicable law or regulation.
                ``(D) Information marked by the contractor as `contractor
            bid or proposal information', in accordance with applicable law
            or regulation.
            ``(2) The term `source selection information' means any of the
        following information prepared for use by a Federal agency for the
        purpose of evaluating a bid or proposal to enter into a Federal
        agency procurement contract, if that information has not been
        previously made available to the public or disclosed publicly:
                ``(A) Bid prices submitted in response to a Federal agency
            solicitation for sealed bids, or lists of those bid prices
            before public bid opening.
                ``(B) Proposed costs or prices submitted in response to a
            Federal agency solicitation, or lists of those proposed costs
            or prices.
                ``(C) Source selection plans.
                ``(D) Technical evaluation plans.
                ``(E) Technical evaluations of proposals.
                ``(F) Cost or price evaluations of proposals.
                ``(G) Competitive range determinations that identify
            proposals that have a reasonable chance of being selected for
            award of a contract.
                ``(H) Rankings of bids, proposals, or competitors.
                ``(I) The reports and evaluations of source selection
            panels, boards, or advisory councils.
                ``(J) Other information marked as `source selection
            information' based on a case-by-case determination by the head
            of the agency, his designee, or the contracting officer that
            its disclosure would jeopardize the integrity or successful
            completion of the Federal agency procurement to which the
            information relates.
            ``(3) The term `Federal agency' has the meaning provided such
        term in section 3 of the Federal Property and Administrative
        Services Act of 1949 (40 U.S.C. 472).
            ``(4) The term `Federal agency procurement' means the
        acquisition (by using competitive procedures and awarding a
        contract) of goods or services (including construction) from non-
        Federal sources by a Federal agency using appropriated funds.
            ``(5) The term `contracting officer' means a person who, by
        appointment in accordance with applicable regulations, has the
        authority to enter into a Federal agency procurement contract on
        behalf of the Government and to make determinations and findings
        with respect to such a contract.
            ``(6) The term `protest' means a written objection by an
        interested party to the award or proposed award of a Federal agency
        procurement contract, pursuant to subchapter V of chapter 35 of
        title 31, United States Code.
            ``(7) The term `official' means the following:
                ``(A) An officer, as defined in section 2104 of title 5,
            United States Code.
                ``(B) An employee, as defined in section 2105 of title 5,
            United States Code.
                ``(C) A member of the uniformed services, as defined in
            section 2101(3) of title 5, United States Code.
        ``(g) Limitation on Protests.--No person may file a protest against
    the award or proposed award of a Federal agency procurement contract
    alleging a violation of subsection (a), (b), (c), or (d), nor may the
    Comptroller General of the United States consider such an allegation in
    deciding a protest, unless that person reported to the Federal agency
    responsible for the procurement, no later than 14 days after the person
    first discovered the possible violation, the information that the
    person believed constitutes evidence of the offense.
        ``(h) Savings Provisions.--This section does not--
            ``(1) restrict the disclosure of information to, or its receipt
        by, any person or class of persons authorized, in accordance with
        applicable agency regulations or procedures, to receive that
        information;
            ``(2) restrict a contractor from disclosing its own bid or
        proposal information or the recipient from receiving that
        information;
            ``(3) restrict the disclosure or receipt of information
        relating to a Federal agency procurement after it has been canceled
        by the Federal agency before contract award unless the Federal
        agency plans to resume the procurement;
            ``(4) prohibit individual meetings between a Federal agency
        official and an offeror or potential offeror for, or a recipient
        of, a contract or subcontract under a Federal agency procurement,
        provided that unauthorized disclosure or receipt of contractor bid
        or proposal information or source selection information does not
        occur;
            ``(5) authorize the withholding of information from, nor
        restrict its receipt by, Congress, a committee or subcommittee of
        Congress, the Comptroller General, a Federal agency, or an
        inspector general of a Federal agency;
            ``(6) authorize the withholding of information from, nor
        restrict its receipt by, the Comptroller General of the United
        States in the course of a protest against the award or proposed
        award of a Federal agency procurement contract; or
            ``(7) limit the applicability of any requirements, sanctions,
        contract penalties, and remedies established under any other law or
        regulation.''.
        (b) Repeals.--The following provisions of law are repealed:
            (1) Sections 2397, 2397a, 2397b, and 2397c of title 10, United
        States Code.
            (2) Section 33 of the Federal Energy Administration Act of 1974
        (15 U.S.C. 789).
            (3) Section 281 of title 18, United States Code.
            (4) Subsection (c) of section 32 of the Office of Federal
        Procurement Policy Act (41 U.S.C. 428).
            (5) The first section 19 of the Federal Nonnuclear Energy
        Research and Development Act of 1974 (42 U.S.C. 5918).
            (6) Part A of title VI of the Department of Energy Organization
        Act and its catchline (42 U.S.C. 7211, 7212, and 7218).
            (7) Section 308 of the Energy Research and Development
        Administration Appropriation Authorization Act for Fiscal Year 1977
        (42 U.S.C. 5816a).
            (8) Section 522 of the Energy Policy and Conservation Act (42
        U.S.C. 6392).
        (c) Clerical Amendments.--
            (1) The table of sections at the beginning of chapter 141 of
        title 10, United States Code, is amended by striking out the items
        relating to sections 2397, 2397a, 2397b, and 2397c.
            (2) The table of sections at the beginning of chapter 15 of
        title 18, United States Code, is amended by striking out the item
        relating to section 281.
            (3) Section 32 of the Office of Federal Procurement Policy Act
        (41 U.S.C. 428) is amended by redesignating subsections (d), (e),
        (f), and (g) as subsections (c), (d), (e), and (f), respectively.
            (4) The table of contents for the Department of Energy
        Organization Act is amended by striking out the items relating to
        part A of title VI including sections 601 through 603.
            (5) The table of contents for the Energy Policy and
        Conservation Act is amended by striking out the item relating to
        section 522.

    SEC. 4305. FURTHER ACQUISITION STREAMLINING PROVISIONS.

        (a) Purpose of Office of Federal Procurement Policy.--
            (1) Revised statement of purpose.--Section 5(a) of the Office
        of Federal Procurement Policy Act (41 U.S.C. 404) is amended to
        read as follows:
        ``(a) There is in the Office of Management and Budget an Office of
    Federal Procurement Policy (hereinafter referred to as the `Office') to
    provide overall direction of Government-wide procurement policies,
    regulations, procedures, and forms for executive agencies and to
    promote economy, efficiency, and effectiveness in the procurement of
    property and services by the executive branch of the Federal
    Government.''.
            (2) Repeal of findings, policies, and purposes.--Sections 2 and
        3 of such Act (41 U.S.C. 401 and 402) are repealed.
        (b) Repeal of Report Requirement.--Section 8 of the Office of
    Federal Procurement Policy Act (41 U.S.C. 407) is repealed.
        (c) Obsolete Provisions.--
            (1) Relationship to former regulations.--Section 10 of the
        Office of Federal Procurement Policy Act (41 U.S.C. 409) is
        repealed.
            (2) Authorization of appropriations.--Section 11 of such Act
        (41 U.S.C. 410) is amended to read as follows:

    ``SEC. 11. AUTHORIZATION OF APPROPRIATIONS.

        ``There is authorized to be appropriated for the Office of Federal
    Procurement Policy each fiscal year such sums as may be necessary for
    carrying out the responsibilities of that office for such fiscal
    year.''.
        (d) Clerical Amendments.--The table of contents for the Office of
    Federal Procurement Policy Act (contained in section 1(b)) is amended
    by striking out the items relating to sections 2, 3, 8, and 10.

    SEC. 4306. VALUE ENGINEERING FOR FEDERAL AGENCIES.

        (a) Use of Value Engineering.--The Office of Federal Procurement
    Policy Act (41 U.S.C. 401 et seq.), as amended by section 4203, is
    further amended by adding at the end the following new section:

    ``SEC. 36. VALUE ENGINEERING.

        ``(a) In General.--Each executive agency shall establish and
    maintain cost-effective value engineering procedures and processes.
        ``(b) Definition.--As used in this section, the term `value
    engineering' means an analysis of the functions of a program, project,
    system, product, item of equipment, building, facility, service, or
    supply of an executive agency, performed by qualified agency or
    contractor personnel, directed at improving performance, reliability,
    quality, safety, and life cycle costs.''.
        (b) Clerical Amendment.--The table of contents for such Act,
    contained in section 1(b), is amended by adding at the end the
    following new item:
    ``Sec. 36. Value engineering.''.

    SEC. 4307. ACQUISITION WORKFORCE.

        (a) Acquisition Workforce.--(1) The Office of Federal Procurement
    Policy Act (41 U.S.C. 401 et seq.), as amended by section 4306, is
    further amended by adding at the end the following new section:

    ``SEC. 37. ACQUISITION WORKFORCE.

        ``(a) Applicability.--This section does not apply to an executive
    agency that is subject to chapter 87 of title 10, United States Code.
        ``(b) Management Policies.--
            ``(1) Policies and procedures.--The head of each executive
        agency, after consultation with the Administrator for Federal
        Procurement Policy, shall establish policies and procedures for the
        effective management (including accession, education, training,
        career development, and performance incentives) of the acquisition
        workforce of the agency. The development of acquisition workforce
        policies under this section shall be carried out consistent with
        the merit system principles set forth in section 2301(b) of title
        5, United States Code.
            ``(2) Uniform implementation.--The head of each executive
        agency shall ensure that, to the maximum extent practicable,
        acquisition workforce policies and procedures established are
        uniform in their implementation throughout the agency.
            ``(3) Government-wide policies and evaluation.--The
        Administrator shall issue policies to promote uniform
        implementation of this section by executive agencies, with due
        regard for differences in program requirements among agencies that
        may be appropriate and warranted in view of the agency mission. The
        Administrator shall coordinate with the Deputy Director for
        Management of the Office of Management and Budget to ensure that
        such policies are consistent with the policies and procedures
        established and enhanced system of incentives provided pursuant to
        section 5051(c) of the Federal Acquisition Streamlining Act of 1994
        (41 U.S.C. 263 note). The Administrator shall evaluate the
        implementation of the provisions of this section by executive
        agencies.
        ``(c) Senior Procurement Executive Authorities and
    Responsibilities.--Subject to the authority, direction, and control of
    the head of an executive agency, the senior procurement executive of
    the agency shall carry out all powers, functions, and duties of the
    head of the agency with respect to implementation of this section. The
    senior procurement executive shall ensure that the policies of the head
    of the executive agency established in accordance with this section are
    implemented throughout the agency.
        ``(d) Management Information Systems.--The Administrator shall
    ensure that the heads of executive agencies collect and maintain
    standardized information on the acquisition workforce related to
    implementation of this section. To the maximum extent practicable, such
    data requirements shall conform to standards established by the Office
    of Personnel Management for the Central Personnel Data File.
        ``(e) Applicability to Acquisition Workforce.--The programs
    established by this section shall apply to the acquisition workforce of
    each executive agency. For purposes of this section, the acquisition
    workforce of an agency consists of all employees serving in acquisition
    positions listed in subsection (g)(1)(A).
        ``(f) Career Development.--
            ``(1) Career paths.--The head of each executive agency shall
        ensure that appropriate career paths for personnel who desire to
        pursue careers in acquisition are identified in terms of the
        education, training, experience, and assignments necessary for
        career progression to the most senior acquisition positions. The
        head of each executive agency shall make information available on
        such career paths.
            ``(2) Critical duties and tasks.--For each career path, the
        head of each executive agency shall identify the critical
        acquisition-related duties and tasks in which, at minimum,
        employees of the agency in the career path shall be competent to
        perform at full performance grade levels. For this purpose, the
        head of the executive agency shall provide appropriate coverage of
        the critical duties and tasks identified by the Director of the
        Federal Acquisition Institute.
            ``(3) Mandatory training and education.--For each career path,
        the head of each executive agency shall establish requirements for
        the completion of course work and related on-the-job training in
        the critical acquisition-related duties and tasks of the career
        path. The head of each executive agency shall also encourage
        employees to maintain the currency of their acquisition knowledge
        and generally enhance their knowledge of related acquisition
        management disciplines through academic programs and other self-
        developmental activities.
            ``(4) Performance incentives.--The head of each executive
        agency shall provide for an enhanced system of incentives for the
        encouragement of excellence in the acquisition workforce which
        rewards performance of employees that contribute to achieving the
        agency's performance goals. The system of incentives shall include
        provisions that--
                ``(A) relate pay to performance (including the extent to
            which the performance of personnel in such workforce
            contributes to achieving the cost goals, schedule goals, and
            performance goals established for acquisition programs pursuant
            to section 313(b) of the Federal Property and Administrative
            Services Act of 1949 (41 U.S.C. 263(b))); and
                ``(B) provide for consideration, in personnel evaluations
            and promotion decisions, of the extent to which the performance
            of personnel in such workforce contributes to achieving such
            cost goals, schedule goals, and performance goals.
        ``(g) Qualification Requirements.--
            ``(1) In general.--(A) Subject to paragraph (2), the
        Administrator shall establish qualification requirements, including
        education requirements, for the following positions:
                ``(i) Entry-level positions in the General Schedule
            Contracting series (GS-1102).
                ``(ii) Senior positions in the General Schedule Contracting
            series (GS-1102).
                ``(iii) All positions in the General Schedule Purchasing
            series (GS-1105).
                ``(iv) Positions in other General Schedule series in which
            significant acquisition-related functions are performed.
            ``(B) Subject to paragraph (2), the Administrator shall
        prescribe the manner and extent to which such qualification
        requirements shall apply to any person serving in a position
        described in subparagraph (A) at the time such requirements are
        established.
            ``(2) Relationship to requirements applicable to defense
        acquisition workforce.--The Administrator shall establish
        qualification requirements and make prescriptions under paragraph
        (1) that are comparable to those established for the same or
        equivalent positions pursuant to chapter 87 of title 10, United
        States Code, with appropriate modifications.
            ``(3) Approval of requirements.--The Administrator shall submit
        any requirement established or prescription made under paragraph
        (1) to the Director of the Office of Personnel Management for
        approval. If the Director does not disapprove a requirement or
        prescription within 30 days after the date on which the Director
        receives it, the requirement or prescription is deemed to be
        approved by the Director.
        ``(h) Education and Training.--
            ``(1) Funding levels.--(A) The head of an executive agency
        shall set forth separately the funding levels requested for
        education and training of the acquisition workforce in the budget
        justification documents submitted in support of the President's
        budget submitted to Congress under section 1105 of title 31, United
        States Code.
            ``(B) Funds appropriated for education and training under this
        section may not be obligated for any other purpose.
            ``(2) Tuition assistance.--The head of an executive agency may
        provide tuition reimbursement in education (including a full-time
        course of study leading to a degree) in accordance with section
        4107 of title 5, United States Code, for personnel serving in
        acquisition positions in the agency.''.
        (2) The table of contents for such Act, contained in section 1(b),
    is amended by adding at the end the following new item:
    ``Sec. 37. Acquisition workforce.''.

        (b) Additional Amendments.--Section 6(d) of the Office of Federal
    Procurement Policy Act (41 U.S.C. 405), is amended--
            (1) by redesignating paragraphs (6), (7), (8), (9), (10), (11),
        and (12) (as transferred by section 4321(h)(1)) as paragraphs (7),
        (8), (9), (10), (11), (12), and (13), respectively;
            (2) in paragraph (5)--
                (A) in subparagraph (A), by striking out ``Government-wide
            career management programs for a professional procurement work
            force'' and inserting in lieu thereof ``the development of a
            professional acquisition workforce Government-wide''; and
                (B) in subparagraph (B)--
                    (i) by striking out ``procurement by the'' and
                inserting in lieu thereof ``acquisition by the'';
                    (ii) by striking out ``and'' at the end of the
                subparagraph; and
                    (iii) by striking out subparagraph (C) and inserting in
                lieu thereof the following:
                ``(C) collect data and analyze acquisition workforce data
            from the Office of Personnel Management, the heads of executive
            agencies, and, through periodic surveys, from individual
            employees;
                ``(D) periodically analyze acquisition career fields to
            identify critical competencies, duties, tasks, and related
            academic prerequisites, skills, and knowledge;
                ``(E) coordinate and assist agencies in identifying and
            recruiting highly qualified candidates for acquisition fields;
                ``(F) develop instructional materials for acquisition
            personnel in coordination with private and public acquisition
            colleges and training facilities;
                ``(G) evaluate the effectiveness of training and career
            development programs for acquisition personnel;
                ``(H) promote the establishment and utilization of academic
            programs by colleges and universities in acquisition fields;
                ``(I) facilitate, to the extent requested by agencies,
            interagency intern and training programs; and
                ``(J) perform other career management or research functions
            as directed by the Administrator.''; and
            (3) by inserting before paragraph (7) (as so redesignated) the
        following new paragraph (6):
                ``(6) administering the provisions of section 37;''.
    SEC. 4308. DEMONSTRATION PROJECT RELATING TO CERTAIN PERSONNEL
    MANAGEMENT POLICIES AND PROCEDURES.
        (a) Commencement.--The Secretary of Defense is encouraged to take
    such steps as may be necessary to provide for the commencement of a
    demonstration project, the purpose of which would be to determine the
    feasibility or desirability of one or more proposals for improving the
    personnel management policies or procedures that apply with respect to
    the acquisition workforce of the Department of Defense.
        (b) Terms and Conditions.--
            (1) In general.--Except as otherwise provided in this
        subsection, any demonstration project described in subsection (a)
        shall be subject to section 4703 of title 5, United States Code,
        and all other provisions of such title that apply with respect to
        any demonstration project under such section.
            (2) Exceptions.--Subject to paragraph (3), in applying section
        4703 of title 5, United States Code, with respect to a
        demonstration project described in subsection (a)--
                (A) ``180 days'' in subsection (b)(4) of such section shall
            be deemed to read ``120 days'';
                (B) ``90 days'' in subsection (b)(6) of such section shall
            be deemed to read ``30 days''; and
                (C) subsection (d)(1)(A) of such section shall be
            disregarded.
            (3) Condition.--Paragraph (2) shall not apply with respect to a
        demonstration project unless it--
                (A) involves only the acquisition workforce of the
            Department of Defense (or any part thereof); and
                (B) commences during the 3-year period beginning on the
            date of the enactment of this Act.
        (c) Definition.--For purposes of this section, the term
    ``acquisition workforce'' refers to the persons serving in acquisition
    positions within the Department of Defense, as designated pursuant to
    section 1721(a) of title 10, United States Code.

    SEC. 4309. COOPERATIVE PURCHASING.

        (a) Delay in Opening Certain Federal Supply Schedules To Use by
    State, Local, and Indian Tribal Governments.--The Administrator of
    General Services may not use the authority of section 201(b)(2) of the
    Federal Property and Administrative Services Act of 1949 (40 U.S.C.
    481(b)(2)) to provide for the use of Federal supply schedules of the
    General Services Administration until after the later of--
            (1) the date on which the 18-month period beginning on the date
        of the enactment of this Act expires; or
            (2) the date on which all of the following conditions are met:
                (A) The Administrator has considered the report of the
            Comptroller General required by subsection (b).
                (B) The Administrator has submitted comments on such report
            to Congress as required by subsection (c).
                (C) A period of 30 days after the date of submission of
            such comments to Congress has expired.
        (b) Report.--Not later than one year after the date of the
    enactment of this Act, the Comptroller General shall submit to the
    Administrator of General Services and to Congress a report on the
    implementation of section 201(b) of the Federal Property and
    Administrative Services Act of 1949. The report shall include the
    following:
            (1) An assessment of the effect on industry, including small
        businesses and local dealers, of providing for the use of Federal
        supply schedules by the entities described in section 201(b)(2)(A)
        of the Federal Property and Administrative Services Act of 1949.
            (2) An assessment of the effect on such entities of providing
        for the use of Federal supply schedules by them.
        (c) Comments on Report by Administrator.--Not later than 30 days
    after receiving the report of the Comptroller General required by
    subsection (b), the Administrator of General Services shall submit to
    Congress comments on the report, including the Administrator's comments
    on whether the Administrator plans to provide any Federal supply
    schedule for the use of any entity described in section 201(b)(2)(A) of
    the Federal Property and Administrative Services Act of 1949.
        (d) Calculation of 30-Day Period.--For purposes of subsection
    (a)(2)(C), the calculation of the 30-day period shall exclude
    Saturdays, Sundays, and holidays, and any day on which neither House of
    Congress is in session because of an adjournment sine die, a recess of
    more than 3 days, or an adjournment of more than 3 days.

    SEC. 4310. PROCUREMENT NOTICE TECHNICAL AMENDMENT.

        Section 18(c)(1)(E) of the Office of Federal Procurement Policy Act
    (41 U.S.C. 416(c)(1)(E)) is amended by inserting after ``requirements
    contract'' the following: ``, a task order contract, or a delivery
    order contract''.

    SEC. 4311. MICRO-PURCHASES WITHOUT COMPETITIVE QUOTATIONS.

        Section 32(c) of the Office of Federal Procurement Policy Act (41
    U.S.C. 428), as redesignated by section 4304(c)(3), is amended by
    striking out ``the contracting officer'' and inserting in lieu thereof
    ``an employee of an executive agency or a member of the Armed Forces of
    the United States authorized to do so''.

                        Subtitle B--Technical Amendments

    SEC. 4321. AMENDMENTS RELATED TO FEDERAL ACQUISITION STREAMLINING ACT
    OF 1994.
        (a) Public Law 103-355.--Effective as of October 13, 1994, and as
    if included therein as enacted, the Federal Acquisition Streamlining
    Act of 1994 (Public Law 103-355; 108 Stat. 3243 et seq.) is amended as
    follows:
            (1) Section 1073 (108 Stat. 3271) is amended by striking out
        ``section 303I'' and inserting in lieu thereof ``section 303K''.
            (2) Section 1202(a) (108 Stat. 3274) is amended by striking out
        the closing quotation marks and second period at the end of
        paragraph (2)(B) of the subsection inserted by the amendment made
        by that section.
            (3) Section 1251(b) (108 Stat. 3284) is amended by striking out
        ``Office of Federal Procurement Policy Act'' and inserting in lieu
        thereof ``Federal Property and Administrative Services Act of
        1949''.
            (4) Section 2051(e) (108 Stat. 3304) is amended by striking out
        the closing quotation marks and second period at the end of
        subsection (f)(3) in the matter inserted by the amendment made by
        that section.
            (5) Section 2101(a)(6)(B)(ii) (108 Stat. 3308) is amended by
        replacing ``regulation'' with ``regulations'' in the first quoted
        matter.
            (6) Section 2351(a) (108 Stat. 3322) is amended by inserting
        ``(1)'' before ``Section 6''.
            (7) The heading of section 2352(b) (108 Stat. 3322) is amended
        by striking out ``Procedures to Small Business Government
        Contractors.--'' and inserting in lieu thereof ``Procedures.--''.
            (8) Section 3022 (108 Stat. 3333) is amended by striking out
        ``each place'' and all that follows through the end of the section
        and inserting in lieu thereof ``in paragraph (1) and `, rent,'
        after `sell' in paragraph (2).''.
            (9) Section 5092(b) (108 Stat. 3362) is amended by inserting
        ``of paragraph (2)'' after ``second sentence''.
            (10) Section 6005(a) (108 Stat. 3364) is amended by striking
        out the closing quotation marks and second period at the end of
        subsection (e)(2) of the matter inserted by the amendment made by
        that section.
            (11) Section 10005(f)(4) (108 Stat. 3409) is amended in the
        second matter in quotation marks by striking out ```Sec. 5. This
        Act'' and inserting in lieu thereof ```Sec. 7. This title''.
        (b) Title 10, United States Code.--Title 10, United States Code, is
    amended as follows:
            (1) Section 2220(b) is amended by striking out ``the date of
        the enactment of the Federal Acquisition Streamlining Act of 1994''
        and inserting in lieu thereof ``October 13, 1994''.
            (2)(A) The section 2247 added by section 7202(a)(1) of Public
        Law 103-355 (108 Stat. 3379) is redesignated as section 2249.
            (B) The item relating to that section in the table of sections
        at the beginning of subchapter I of chapter 134 is revised to
        conform to the redesignation made by subparagraph (A).
            (3) Section 2302(3)(K) is amended by adding a period at the
        end.
            (4) Section 2304(f)(2)(D) is amended by striking out ``the Act
        of June 25, 1938 (41 U.S.C. 46 et seq.), popularly referred to as
        the Wagner-O'Day Act,'' and inserting in lieu thereof ``the Javits-
        Wagner-O'Day Act (41 U.S.C. 46 et seq.),''.
            (5) Section 2304(h) is amended by striking out paragraph (1)
        and inserting in lieu thereof the following:
            ``(1) The Walsh-Healey Act (41 U.S.C. 35 et seq.).''.
            (6)(A) The section 2304a added by section 848(a)(1) of Public
        Law 103-160 (107 Stat. 1724) is redesignated as section 2304e.
            (B) The item relating to that section in the table of sections
        at the beginning of chapter 137 is revised to conform to the
        redesignation made by subparagraph (A).
            (7) Section 2306a is amended--
                (A) in subsection (d)(2)(A)(ii), by inserting ``to'' after
            ``The information referred'';
                (B) in subsection (e)(4)(B)(ii), by striking out the second
            comma after ``parties''; and
                (C) in subsection (i)(3), by inserting ``(41 U.S.C.
            403(12))'' before the period at the end.
            (8) Section 2323 is amended--
                (A) in subsection (a)(1)(C), by inserting a closing
            parenthesis after ``1135d-5(3))'' and after ``1059c(b)(1))'';
                (B) in subsection (a)(3), by striking out ``(issued under''
            and all that follows through ``421(c))'';
                (C) in subsection (b), by inserting ``(1)'' after
            ``Amount.--''; and
                (D) in subsection (i)(3), by adding at the end a
            subparagraph (D) identical to the subparagraph (D) set forth in
            the amendment made by section 811(e) of Public Law 103-160 (107
            Stat. 1702).
            (9) Section 2324 is amended--
                (A) in subsection (e)(2)(C)--
                    (i) by striking out ``awarding the contract'' at the
                end of the first sentence; and
                    (ii) by striking out ``title III'' and all that follows
                through ``Act)'' and inserting in lieu thereof ``the Buy
                American Act (41 U.S.C. 10b-1)''; and
                (B) in subsection (h)(2), by inserting ``the head of the
            agency or'' after ``in the case of any contract if''.
            (10) Section 2350b is amended--
                (A) in subsection (c)(1)--
                    (i) by striking out ``specifically--'' and inserting in
                lieu thereof ``specifically prescribes--''; and
                    (ii) by striking out ``prescribe'' in each of
                subparagraphs (A), (B), (C), and (D); and
                (B) in subsection (d)(1), by striking out ``subcontract to
            be'' and inserting in lieu thereof ``subcontract be''.
            (11) Section 2372(i)(1) is amended by striking out ``section
        2324(m)'' and inserting in lieu thereof ``section 2324(l)''.
            (12) Section 2384(b) is amended--
                (A) in paragraph (2)--
                    (i) by striking ``items, as'' and inserting in lieu
                thereof ``items (as''; and
                    (ii) by inserting a closing parenthesis after
                ``403(12))''; and
                (B) in paragraph (3), by inserting a closing parenthesis
            after ``403(11))''.
            (13) Section 2400(a)(5) is amended by striking out ``the
        preceding sentence'' and inserting in lieu thereof ``this
        paragraph''.
            (14) Section 2405 is amended--
                (A) in paragraphs (1) and (2) of subsection (a), by
            striking out ``the date of the enactment of the Federal
            Acquisition Streamlining Act of 1994'' and inserting in lieu
            thereof ``October 13, 1994''; and
                (B) in subsection (c)(3)--
                    (i) by striking out ``the later of--'' and all that
                follows through ``(B)''; and
                    (ii) by redesignating clauses (i), (ii), and (iii) as
                subparagraphs (A), (B), and (C), respectively, and
                realigning those subparagraphs accordingly.
            (15) Section 2410d(b) is amended by striking out paragraph (3).
            (16) Section 2410g(d)(1) is amended by inserting before the
        period at the end the following: ``(as defined in section 4(12) of
        the Office of Federal Procurement Policy Act (41 U.S.C.
        403(12)))''.
            (17) Section 2424(c) is amended--
                (A) by inserting ``Exception.--'' after ``(c)''; and
                (B) by striking out ``drink'' the first and third places it
            appears in the second sentence and inserting in lieu thereof
            ``beverage''.
            (18) Section 2431 is amended--
                (A) in subsection (b)--
                    (i) by striking out ``Any report'' in the first
                sentence and inserting in lieu thereof ``Any documents'';
                and
                    (ii) by striking out ``the report'' in paragraph (3)
                and inserting in lieu thereof ``the documents''; and
                (B) in subsection (c), by striking ``reporting'' and
            inserting in lieu thereof ``documentation''.
            (19) Section 2461(e)(1) is amended by striking out ``the Act of
        June 25, 1938 (41 U.S.C. 47), popularly referred to as the Wagner-
        O'Day Act'' and inserting in lieu thereof ``the Javits-Wagner-O'Day
        Act (41 U.S.C. 47)''.
            (20) Section 2533(a) is amended by striking out ``title III of
        the Act'' and all that follows through ``such Act'' and inserting
        in lieu thereof ``the Buy American Act (41 U.S.C. 10a)) whether
        application of such Act''.
            (21) Section 2662(b) is amended by striking out ``small
        purchase threshold'' and inserting in lieu thereof ``simplified
        acquisition threshold''.
            (22) Section 2701(i)(1) is amended--
                (A) by striking out ``Act of August 24, 1935 (40 U.S.C.
            270a-270d), commonly referred to as the `Miller Act','' and
            inserting in lieu thereof ``Miller Act (40 U.S.C. 270a et
            seq.)''; and
                (B) by striking out ``such Act of August 24, 1935'' and
            inserting in lieu thereof ``the Miller Act''.
        (c) Small Business Act.--The Small Business Act (15 U.S.C. 632 et
    seq.) is amended as follows:
            (1) Section 8(d) (15 U.S.C. 637(d)) is amended--
                (A) in paragraph (1), by striking out the second comma
            after ``small business concerns'' the first place it appears;
            and
                (B) in paragraph (6)(C), by striking out ``and small
            business concerns owned and controlled by the socially and
            economically disadvantaged individuals'' and inserting in lieu
            thereof ``, small business concerns owned and controlled by
            socially and economically disadvantaged individuals, and small
            business concerns owned and controlled by women''.
            (2) Section 8(f) (15 U.S.C. 637(f)) is amended by inserting
        ``and'' after the semicolon at the end of paragraph (5).
            (3) Section 15(g)(2) (15 U.S.C. 644(g)(2)) is amended by
        striking out the second comma after the first appearance of ``small
        business concerns''.
        (d) Title 31, United States Code.--Title 31, United States Code, is
    amended as follows:
            (1) Section 3551 is amended--
                (A) by striking out ``subchapter--'' and inserting in lieu
            thereof ``subchapter:''; and
                (B) in paragraph (2), by striking out ``or proposed
            contract'' and inserting in lieu thereof ``or a solicitation or
            other request for offers''.
            (2) Section 3553(b)(3) is amended by striking out
        ``3554(a)(3)'' and inserting in lieu thereof ``3554(a)(4)''.
            (3) Section 3554(b)(2) is amended by striking out ``section
        3553(d)(2)(A)(i)'' and inserting in lieu thereof ``section
        3553(d)(3)(C)(i)(I)''.
        (e) Federal Property and Administrative Services Act of 1949.--The
    Federal Property and Administrative Services Act of 1949 is amended as
    follows:
            (1) The table of contents in section 1 (40 U.S.C. 471 prec.) is
        amended--
                (A) by striking out the item relating to section 104;
                (B) by striking out the item relating to section 201 and
            inserting in lieu thereof the following:
    ``Sec. 201. Procurements, warehousing, and related activities.'';

                (C) by inserting after the item relating to section 315 the
            following new item:
    ``Sec. 316. Merit-based award of grants for research and development.'';

                (D) by striking out the item relating to section 603 and
            inserting in lieu thereof the following:
    ``Sec. 603. Authorizations for appropriations and transfer authority.'';

            and
                (E) by inserting after the item relating to section 605 the
            following new item:
    ``Sec. 606. Sex discrimination.''.

            (2) Section 303(f)(2)(D) (41 U.S.C. 253(f)(2)(D)) is amended by
        striking out ``the Act of June 25, 1938 (41 U.S.C. 46 et seq.),
        popularly referred to as the Wagner-O'Day Act,'' and inserting in
        lieu thereof ``the Javits-Wagner-O'Day Act (41 U.S.C. 46 et
        seq.),''.
            (3) The heading for paragraph (1) of section 304A(c) (41 U.S.C.
        254b(c)) is amended by changing each letter that is capitalized
        (other than the first letter of the first word) to lower case.
            (4) Subsection (d)(2)(A)(ii) of section 304A (41 U.S.C. 254b)
        is amended by inserting ``to'' after ``The information referred''.
            (5) Section 304C(a)(2) is amended by striking out ``section
        304B'' and inserting in lieu thereof ``section 304A''.
            (6) Section 307(b) is amended by striking out ``section
        305(c)'' and inserting in lieu thereof ``section 305(d)''.
            (7) The heading for section 314A (41 U.S.C. 264a) is amended to
        read as follows:
    ``SEC. 314A. DEFINITIONS RELATING TO PROCUREMENT OF COMMERCIAL
    ITEMS.''.
            (8) Section 315(b) (41 U.S.C. 265(b)) is amended by striking
        out ``inspector general'' both places it appears and inserting in
        lieu thereof ``Inspector General''.
            (9) The heading for section 316 (41 U.S.C. 266) is amended by
        inserting at the end a period.
        (f) Walsh-Healey Act.--
            (1) The Walsh-Healey Act (41 U.S.C. 35 et seq.) is amended--
                (A) by transferring the second section 11 (as added by
            section 7201(4) of Public Law 103-355) so as to appear after
            section 10; and
                (B) by redesignating the three sections following such
            section 11 (as so transferred) as sections 12, 13, and 14.
            (2) Such Act is further amended in section 10--
                (A) in subsection (b), by striking out ``section 1(b)'' and
            inserting in lieu thereof ``section 1(a)''; and
                (B) in subsection (c), by striking out the comma after
            ```locality'''.
        (g) Anti-Kickback Act of 1986.--Section 7(d) of the Anti-Kickback
    Act of 1986 (41 U.S.C. 57(d)) is amended--
            (1) by striking out ``such Act'' and inserting in lieu thereof
        ``the Office of Federal Procurement Policy Act''; and
            (2) by striking out the second period at the end.
        (h) Office of Federal Procurement Policy Act.--The Office of
    Federal Procurement Policy Act (41 U.S.C. 401 et seq.) is amended as
    follows:
            (1) Section 6 (41 U.S.C. 405) is amended by transferring
        paragraph (12) of subsection (d) (as such paragraph was
        redesignated by section 5091(2) of the Federal Acquisition
        Streamlining Act of 1994 (P.L. 103-355; 108 Stat. 3361)) to the end
        of that subsection.
            (2) Section 6(11) (41 U.S.C. 405(11)) is amended by striking
        out ``small business'' and inserting in lieu thereof ``small
        businesses''.
            (3) Section 18(b) (41 U.S.C. 416(b)) is amended by inserting
        ``and'' after the semicolon at the end of paragraph (5).
            (4) Section 26(f)(3) (41 U.S.C. 422(f)(3)) is amended in the
        first sentence by striking out ``Not later than 180 days after the
        date of enactment of this section, the Administrator'' and
        inserting in lieu thereof ``The Administrator''.
        (i) Other Laws.--
            (1) The National Defense Authorization Act for Fiscal Year 1994
        (Public Law 103-160) is amended as follows:
                (A) Section 126(c) (107 Stat. 1567) is amended by striking
            out ``section 2401 of title 10, United States Code, or section
            9081 of the Department of Defense Appropriations Act, 1990 (10
            U.S.C. 2401 note).'' and inserting in lieu thereof ``section
            2401 or 2401a of title 10, United States Code.''.
                (B) Section 127 (107 Stat. 1568) is amended--
                    (i) in subsection (a), by striking out ``section 2401
                of title 10, United States Code, or section 9081 of the
                Department of Defense Appropriations Act, 1990 (10 U.S.C.
                2401 note).'' and inserting in lieu thereof ``section 2401
                or 2401a of title 10, United States Code.''; and
                    (ii) in subsection (e), by striking out ``section 9081
                of the Department of Defense Appropriations Act, 1990 (10
                U.S.C. 2401 note).'' and inserting in lieu thereof
                ``section 2401a of title 10, United States Code.''.
            (2) The National Defense Authorization Act for Fiscal Years
        1990 and 1991 (Public Law 101-189) is amended by striking out
        section 824.
            (3) Section 117 of the National Defense Authorization Act,
        Fiscal Year 1989 (Public Law 100-456; 10 U.S.C. 2431 note) is
        amended by striking out subsection (c).
            (4) The National Defense Authorization Act for Fiscal Years
        1988 and 1989 (Public Law 100-180) is amended by striking out
        section 825 (10 U.S.C. 2432 note).
            (5) Section 11 of Public Law 101-552 (5 U.S.C. 581 note) is
        amended by inserting ``under'' before ``the amendments made by this
        Act''.
            (6) The last sentence of section 6 of the Federal Power Act (16
        U.S.C. 799) is repealed.
            (7) Section 101(a)(11)(A) of the Rehabilitation Act of 1973 (29
        U.S.C. 721(a)(11)(A)) is amended by striking out ``the Act entitled
        `An Act to create a Committee on Purchases of Blind-made Products,
        and for other purposes', approved June 25, 1938 (commonly known as
        the Wagner-O'Day Act; 41 U.S.C. 46 et seq.)'' and inserting in lieu
        thereof ``the Javits-Wagner-O'Day Act (41 U.S.C. 46 et seq.)''.
            (8) The first section 5 of the Miller Act (40 U.S.C. 270a note)
        is redesignated as section 7 and, as so redesignated, is
        transferred to the end of that Act.
            (9) Section 3737(g) of the Revised Statutes of the United
        States (41 U.S.C. 15(g)) is amended by striking out ``rights of
        obligations'' and inserting in lieu thereof ``rights or
        obligations''.
            (10) The Act of June 15, 1940 (41 U.S.C. 20a; Chapter 367; 54
        Stat. 398), is repealed.
            (11) The Act of November 28, 1943 (41 U.S.C. 20b; Chapter 328;
        57 Stat. 592), is repealed.
            (12) Section 3741 of the Revised Statutes of the United States
        (41 U.S.C. 22), as amended by section 6004 of Public Law 103-355
        (108 Stat. 3364), is amended by striking out ``No member'' and
        inserting in lieu thereof ``Sec. 3741. No Member''.
            (13) Section 5152(a)(1) of the Drug-Free Workplace Act of 1988
        (41 U.S.C. 701(a)(1)) is amended by striking out ``as defined in
        section 4 of the Office of Federal Procurement Policy Act (41
        U.S.C. 403)'' and inserting in lieu thereof ``(as defined in
        section 4(12) of such Act (41 U.S.C. 403(12)))''.
    SEC. 4322. MISCELLANEOUS AMENDMENTS TO FEDERAL ACQUISITION LAWS.
        (a) Office of Federal Procurement Policy Act.--The Office of
    Federal Procurement Policy Act (41 U.S.C. 401 et seq.) is amended as
    follows:
            (1) Section 6(b) (41 U.S.C. 405(b)) is amended by striking out
        the second comma after ``under subsection (a)'' in the first
        sentence.
            (2) Section 25(b)(2) (41 U.S.C. 421(b)(2)) is amended by
        striking out ``Under Secretary of Defense for Acquisition'' and
        inserting in lieu thereof ``Under Secretary of Defense for
        Acquisition and Technology''.
        (b) Other Laws.--
            (1) Section 11(2) of the Inspector General Act of 1978 (5
        U.S.C. App.) is amended by striking out the second comma after
        ``Community Service''.
            (2) Section 908(e) of the Defense Acquisition Improvement Act
        of 1986 (10 U.S.C. 2326 note) is amended by striking out ``section
        2325(g)'' and inserting in lieu thereof ``section 2326(g)''.
            (3) Effective as of August 9, 1989, and as if included therein
        as enacted, Public Law 101-73 is amended in section 501(b)(1)(A)
        (103 Stat. 393) by striking out ``be,'' and inserting in lieu
        thereof ``be;'' in the second quoted matter therein.
            (4) Section 3732(a) of the Revised Statutes of the United
        States (41 U.S.C. 11(a)) is amended by striking out the second
        comma after ``quarters''.
            (5) Section 2 of the Contract Disputes Act of 1978 (41 U.S.C.
        601) is amended in paragraphs (3), (5), (6), and (7), by striking
        out ``The'' and inserting in lieu thereof ``the''.
            (6) Section 6 of the Contract Disputes Act of 1978 (41 U.S.C.
        605) is amended in subsections (d) and (e) by inserting after
        ``United States Code'' each place it appears the following: ``(as
        in effect on September 30, 1995)''.
            (7) Section 13 of the Contract Disputes Act of 1978 (41 U.S.C.
        612) is amended--
                (A) in subsection (a), by striking out ``section 1302 of
            the Act of July 27, 1956, (70 Stat. 694, as amended; 31 U.S.C.
            724a)'' and inserting in lieu thereof ``section 1304 of title
            31, United States Code''; and
                (B) in subsection (c), by striking out ``section 1302 of
            the Act of July 27, 1956, (70 Stat. 694, as amended; 31 U.S.C.
            724a)'' and inserting in lieu thereof ``section 1304 of title
            31, United States Code,''.

                 TITLE XLIV--EFFECTIVE DATES AND IMPLEMENTATION

    SEC. 4401. EFFECTIVE DATE AND APPLICABILITY.

        (a) Effective Date.--Except as otherwise provided in this division,
    this division and the amendments made by this division shall take
    effect on the date of the enactment of this Act.
        (b) Applicability of Amendments.--
            (1) Solicitations, unsolicited proposals, and related
        contracts.--An amendment made by this division shall apply, in the
        manner prescribed in the final regulations promulgated pursuant to
        section 4402 to implement such amendment, with respect to any
        solicitation that is issued, any unsolicited proposal that is
        received, and any contract entered into pursuant to such a
        solicitation or proposal, on or after the date described in
        paragraph (3).
            (2) Other matters.--An amendment made by this division shall
        also apply, to the extent and in the manner prescribed in the final
        regulations promulgated pursuant to section 4402 to implement such
        amendment, with respect to any matter related to--
                (A) a contract that is in effect on the date described in
            paragraph (3);
                (B) an offer under consideration on the date described in
            paragraph (3); or
                (C) any other proceeding or action that is ongoing on the
            date described in paragraph (3).
            (3) Demarcation date.--The date referred to in paragraphs (1)
        and (2) is the date specified in such final regulations. The date
        so specified shall be January 1, 1997, or any earlier date that is
        not within 30 days after the date on which such final regulations
        are published.

    SEC. 4402. IMPLEMENTING REGULATIONS.

        (a) Proposed Revisions.--Proposed revisions to the Federal
    Acquisition Regulation and such other proposed regulations (or
    revisions to existing regulations) as may be necessary to implement
    this Act shall be published in the Federal Register not later than 210
    days after the date of the enactment of this Act.
        (b) Public Comment.--The proposed regulations described in
    subsection (a) shall be made available for public comment for a period
    of not less than 60 days.
        (c) Final Regulations.--Final regulations shall be published in the
    Federal Register not later than 330 days after the date of enactment of
    this Act.
        (d) Modifications.--Final regulations promulgated pursuant to this
    section to implement an amendment made by this Act may provide for
    modification of an existing contract without consideration upon the
    request of the contractor.
        (e) Savings Provisions.--
            (1) Validity of prior actions.--Nothing in this division shall
        be construed to affect the validity of any action taken or any
        contract entered into before the date specified in the regulations
        pursuant to section 4401(b)(3) except to the extent and in the
        manner prescribed in such regulations.
            (2) Renegotiation and modification of preexisting contracts.--
        Except as specifically provided in this division, nothing in this
        division shall be construed to require the renegotiation or
        modification of contracts in existence on the date of the enactment
        of this Act.
            (3) Continued applicability of preexisting law.--Except as
        otherwise provided in this division, a law amended by this division
        shall continue to be applied according to the provisions thereof as
        such law was in effect on the day before the date of the enactment
        of this Act until--
                (A) the date specified in final regulations implementing
            the amendment of that law (as promulgated pursuant to this
            section); or
                (B) if no such date is specified in regulations, January 1,
            1997.

              DIVISION E--INFORMATION TECHNOLOGY MANAGEMENT REFORM

    SEC. 5001. SHORT TITLE.

        This division may be cited as the ``Information Technology
    Management Reform Act of 1996''.

    SEC. 5002. DEFINITIONS.

        In this division:
            (1) Director.--The term ``Director'' means the Director of the
        Office of Management and Budget.
            (2) Executive agency.--The term ``executive agency'' has the
        meaning given that term in section 4(1) of the Office of Federal
        Procurement Policy Act (41 U.S.C. 403(1)).
            (3) Information technology.--(A) The term ``information
        technology'', with respect to an executive agency means any
        equipment or interconnected system or subsystem of equipment, that
        is used in the automatic acquisition, storage, manipulation,
        management, movement, control, display, switching, interchange,
        transmission, or reception of data or information by the executive
        agency. For purposes of the preceding sentence, equipment is used
        by an executive agency if the equipment is used by the executive
        agency directly or is used by a contractor under a contract with
        the executive agency which (i) requires the use of such equipment,
        or (ii) requires the use, to a significant extent, of such
        equipment in the performance of a service or the furnishing of a
        product.
            (B) The term ``information technology'' includes computers,
        ancillary equipment, software, firmware and similar procedures,
        services (including support services), and related resources.
            (C) Notwithstanding subparagraphs (A) and (B), the term
        ``information technology'' does not include any equipment that is
        acquired by a Federal contractor incidental to a Federal contract.
            (4) Information resources.--The term ``information resources''
        has the meaning given such term in section 3502(6) of title 44,
        United States Code.
            (5) Information resources management.--The term ``information
        resources management'' has the meaning given such term in section
        3502(7) of title 44, United States Code.
            (6) Information system.--The term ``information system'' has
        the meaning given such term in section 3502(8) of title 44, United
        States Code.
            (7) Commercial item.--The term ``commercial item'' has the
        meaning given that term in section 4(12) of the Office of Federal
        Procurement Policy Act (41 U.S.C. 403(12)).

      TITLE LI--RESPONSIBILITY FOR ACQUISITIONS OF INFORMATION TECHNOLOGY
                         Subtitle A--General Authority

    SEC. 5101. REPEAL OF CENTRAL AUTHORITY OF THE ADMINISTRATOR OF GENERAL
                  SERVICES.

        Section 111 of the Federal Property and Administrative Services Act
    of 1949 (40 U.S.C. 759) is repealed.

          Subtitle B--Director of the Office of Management and Budget

    SEC. 5111. RESPONSIBILITY OF DIRECTOR.

        In fulfilling the responsibility to administer the functions
    assigned under chapter 35 of title 44, United States Code, the Director
    shall comply with this title with respect to the specific matters
    covered by this title.

    SEC. 5112. CAPITAL PLANNING AND INVESTMENT CONTROL.

        (a) Federal Information Technology.--The Director shall perform the
    responsibilities set forth in this section in fulfilling the
    responsibilities under section 3504(h) of title 44, United States Code.
        (b) Use of Information Technology in Federal Programs.--The
    Director shall promote and be responsible for improving the
    acquisition, use, and disposal of information technology by the Federal
    Government to improve the productivity, efficiency, and effectiveness
    of Federal programs, including through dissemination of public
    information and the reduction of information collection burdens on the
    public.
        (c) Use of Budget Process.--The Director shall develop, as part of
    the budget process, a process for analyzing, tracking, and evaluating
    the risks and results of all major capital investments made by an
    executive agency for information systems. The process shall cover the
    life of each system and shall include explicit criteria for analyzing
    the projected and actual costs, benefits, and risks associated with the
    investments. At the same time that the President submits the budget for
    a fiscal year to Congress under section 1105(a) of title 31, United
    States Code, the Director shall submit to Congress a report on the net
    program performance benefits achieved as a result of major capital
    investments made by executive agencies in information systems and how
    the benefits relate to the accomplishment of the goals of the executive
    agencies.
        (d) Information Technology Standards.--The Director shall oversee
    the development and implementation of standards and guidelines
    pertaining to Federal computer systems by the Secretary of Commerce
    through the National Institute of Standards and Technology under
    section 5131 and section 20 of the National Institute of Standards and
    Technology Act (15 U.S.C. 278g-3).
        (e) Designation of Executive Agents for Acquisitions.--The Director
    shall designate (as the Director considers appropriate) one or more
    heads of executive agencies as executive agent for Government-wide
    acquisitions of information technology.
        (f) Use of Best Practices in Acquisitions.--The Director shall
    encourage the heads of the executive agencies to develop and use the
    best practices in the acquisition of information technology.
        (g) Assessment of Other Models for Managing Information
    Technology.--The Director shall assess, on a continuing basis, the
    experiences of executive agencies, State and local governments,
    international organizations, and the private sector in managing
    information technology.
        (h) Comparison of Agency Uses of Information Technology.--The
    Director shall compare the performances of the executive agencies in
    using information technology and shall disseminate the comparisons to
    the heads of the executive agencies.
        (i) Training.--The Director shall monitor the development and
    implementation of training in information resources management for
    executive agency personnel.
        (j) Informing Congress.--The Director shall keep Congress fully
    informed on the extent to which the executive agencies are improving
    the performance of agency programs and the accomplishment of agency
    missions through the use of the best practices in information resources
    management.
        (k) Procurement Policy and Acquisitions of Information
    Technology.--The Director shall coordinate the development and review
    by the Administrator of the Office of Information and Regulatory
    Affairs of policy associated with Federal acquisition of information
    technology with the Office of Federal Procurement Policy.

    SEC. 5113. PERFORMANCE-BASED AND RESULTS-BASED MANAGEMENT.

        (a) In General.--The Director shall encourage the use of
    performance-based and results-based management in fulfilling the
    responsibilities assigned under section 3504(h), of title 44, United
    States Code.
        (b) Evaluation of Agency Programs and Investments.--
            (1) Requirement.--The Director shall evaluate the information
        resources management practices of the executive agencies with
        respect to the performance and results of the investments made by
        the executive agencies in information technology.
            (2) Direction for executive agency action.--The Director shall
        issue to the head of each executive agency clear and concise
        direction that the head of such agency shall--
                (A) establish effective and efficient capital planning
            processes for selecting, managing, and evaluating the results
            of all of its major investments in information systems;
                (B) determine, before making an investment in a new
            information system--
                    (i) whether the function to be supported by the system
                should be performed by the private sector and, if so,
                whether any component of the executive agency performing
                that function should be converted from a governmental
                organization to a private sector organization; or
                    (ii) whether the function should be performed by the
                executive agency and, if so, whether the function should be
                performed by a private sector source under contract or by
                executive agency personnel;
                (C) analyze the missions of the executive agency and, based
            on the analysis, revise the executive agency's mission-related
            processes and administrative processes, as appropriate, before
            making significant investments in information technology to be
            used in support of those missions; and
                (D) ensure that the information security policies,
            procedures, and practices are adequate.
            (3) Guidance for multiagency investments.--The direction issued
        under paragraph (2) shall include guidance for undertaking
        efficiently and effectively interagency and Government-wide
        investments in information technology to improve the accomplishment
        of missions that are common to the executive agencies.
            (4) Periodic reviews.--The Director shall implement through the
        budget process periodic reviews of selected information resources
        management activities of the executive agencies in order to
        ascertain the efficiency and effectiveness of information
        technology in improving the performance of the executive agency and
        the accomplishment of the missions of the executive agency.
            (5) Enforcement of accountability.--
                (A) In general.--The Director may take any authorized
            action that the Director considers appropriate, including an
            action involving the budgetary process or appropriations
            management process, to enforce accountability of the head of an
            executive agency for information resources management and for
            the investments made by the executive agency in information
            technology.
                (B) Specific actions.--Actions taken by the Director in the
            case of an executive agency may include--
                    (i) recommending a reduction or an increase in any
                amount for information resources that the head of the
                executive agency proposes for the budget submitted to
                Congress under section 1105(a) of title 31, United States
                Code;
                    (ii) reducing or otherwise adjusting apportionments and
                reapportionments of appropriations for information
                resources;
                    (iii) using other authorized administrative controls
                over appropriations to restrict the availability of funds
                for information resources; and
                    (iv) designating for the executive agency an executive
                agent to contract with private sector sources for the
                performance of information resources management or the
                acquisition of information technology.

                         Subtitle C--Executive Agencies

    SEC. 5121. RESPONSIBILITIES.

        In fulfilling the responsibilities assigned under chapter 35 of
    title 44, United States Code, the head of each executiveagency shall
    comply with this subtitle with respect to the specific matters covered
    by this subtitle.

    SEC. 5122. CAPITAL PLANNING AND INVESTMENT CONTROL.

        (a) Design of Process.--In fulfilling the responsibilities assigned
    under section 3506(h) of title 44, United States Code, the head of each
    executive agency shall design and implement in the executive agency a
    process for maximizing the value and assessing and managing the risks
    of the information technology acquisitions of the executive agency.
        (b) Content of Process.--The process of an executive agency shall--
            (1) provide for the selection of information technology
        investments to be made by the executive agency, the management of
        such investments, and the evaluation of the results of such
        investments;
            (2) be integrated with the processes for making budget,
        financial, and program management decisions within the executive
        agency;
            (3) include minimum criteria to be applied in considering
        whether to undertake a particular investment in information
        systems, including criteria related to the quantitatively expressed
        projected net, risk-adjusted return on investment and specific
        quantitative and qualitative criteria for comparing and
        prioritizing alternative information systems investment projects;
            (4) provide for identifying information systems investments
        that would result in shared benefits or costs for other Federal
        agencies or State or local governments;
            (5) provide for identifying for a proposed investment
        quantifiable measurements for determining the net benefits and
        risks of the investment; and
            (6) provide the means for senior management personnel of the
        executive agency to obtain timely information regarding the
        progress of an investment in an information system, including a
        system of milestones for measuring progress, on an independently
        verifiable basis, in terms of cost, capability of the system to
        meet specified requirements, timeliness, and quality.

    SEC. 5123. PERFORMANCE AND RESULTS-BASED MANAGEMENT.

        In fulfilling the responsibilities under section 3506(h) of title
    44, United States Code, the head of an executive agency shall--
            (1) establish goals for improving the efficiency and
        effectiveness of agency operations and, as appropriate, the
        delivery of services to the public through the effective use of
        information technology;
            (2) prepare an annual report, to be included in the executive
        agency's budget submission to Congress, on the progress in
        achieving the goals;
            (3) ensure that performance measurements are prescribed for
        information technology used by or to be acquired for, the executive
        agency and that the performance measurements measure how well the
        information technology supports programs of the executive agency;
            (4) where comparable processes and organizations in the public
        or private sectors exist, quantitatively benchmark agency process
        performance against such processes in terms of cost, speed,
        productivity, and quality of outputs and outcomes;
            (5) analyze the missions of the executive agency and, based on
        the analysis, revise the executive agency's mission-related
        processes and administrative processes as appropriate before making
        significant investments in information technology that is to be
        used in support of the performance of those missions; and
            (6) ensure that the information security policies, procedures,
        and practices of the executive agency are adequate.

    SEC. 5124. ACQUISITIONS OF INFORMATION TECHNOLOGY.

        (a) In General.--The authority of the head of an executive agency
    to conduct an acquisition of information technology includes the
    following authorities:
            (1) To acquire information technology as authorized by law.
            (2) To enter into a contract that provides for multiagency
        acquisitions of information technology in accordance with guidance
        issued by the Director.
            (3) If the Director finds that it would be advantageous for the
        Federal Government to do so, to enter into a multiagency contract
        for procurement of commercial items of information technology that
        requires each executive agency covered by the contract, when
        procuring such items, either to procure the items under that
        contract or to justify an alternative procurement of the items.
        (b) FTS 2000 Program.--Notwithstanding any other provision of this
    or any other law, the Administrator of General Services shall continue
    to manage the FTS 2000 program, and to coordinate the follow-on to that
    program, on behalf of and with the advice of the heads of executive
    agencies.

    SEC. 5125. AGENCY CHIEF INFORMATION OFFICER.

        (a) Designation of Chief Information Officers.--Section 3506 of
    title 44, United States Code, is amended--
            (1) in subsection (a)--
                (A) in paragraph (2)(A), by striking out ``senior
            official'' and inserting in lieu thereof ``Chief Information
            Officer'';
                (B) in paragraph (2)(B)--
                    (i) by striking out ``senior officials'' in the first
                sentence and inserting in lieu thereof ``Chief Information
                Officers'';
                    (ii) by striking out ``official'' in the second
                sentence and inserting in lieu thereof ``Chief Information
                Officer''; and
                    (iii) by striking out ``officials'' in the second
                sentence and inserting in lieu thereof ``Chief Information
                Officers''; and
                (C) in paragraphs (3) and (4), by striking out ``senior
            official'' each place it appears and inserting in lieu thereof
            ``Chief Information Officer''; and
            (2) in subsection (c)(1), by striking out ``official'' in the
        matter preceding subparagraph (A) and inserting in lieu thereof
        ``Chief Information Officer''.
        (b) General Responsibilities.--The Chief Information Officer of an
    executive agency shall be responsible for--
            (1) providing advice and other assistance to the head of the
        executive agency and other senior management personnel of the
        executive agency to ensure that information technology is acquired
        and information resources are managed for the executive agency in a
        manner that implements the policies and procedures of this
        division, consistent with chapter 35 of title 44, United States
        Code, and the priorities established by the head of the executive
        agency;
            (2) developing, maintaining, and facilitating the
        implementation of a sound and integrated information technology
        architecture for the executive agency; and
            (3) promoting the effective and efficient design and operation
        of all major information resources management processes for the
        executive agency, including improvements to work processes of the
        executive agency.
        (c) Duties and Qualifications.--The Chief Information Officer of an
    agency that is listed in section 901(b) of title 31, United States
    Code, shall--
            (1) have information resources management duties as that
        official's primary duty;
            (2) monitor the performance of information technology programs
        of the agency, evaluate the performance of those programs on the
        basis of the applicable performance measurements, and advise the
        head of the agency regarding whether to continue, modify, or
        terminate a program or project; and
            (3) annually, as part of the strategic planning and performance
        evaluation process required (subject to section 1117 of title 31,
        United States Code) under section 306 of title 5, United States
        Code, and sections 1105(a)(29), 1115, 1116, 1117, and 9703 of title
        31, United States Code--
                (A) assess the requirements established for agency
            personnel regarding knowledge and skill in information
            resources management and the adequacy of such requirements for
            facilitating the achievement of the performance goals
            established for information resources management;
                (B) assess the extent to which the positions and personnel
            at the executive level of the agency and the positions and
            personnel at management level of the agency below the executive
            level meet those requirements;
                (C) in order to rectify any deficiency in meeting those
            requirements, develop strategies and specific plans for hiring,
            training, and professional development; and
                (D) report to the head of the agency on the progress made
            in improving information resources management capability.
        (d) Information Technology Architecture Defined.--In this section,
    the term ``information technology architecture'', with respect to an
    executive agency, means an integrated framework for evolving or
    maintaining existing information technology and acquiring new
    information technology to achieve the agency's strategic goals and
    information resources management goals.
        (e) Executive Level IV.--Section 5315 of title 5, United States
    Code, is amended by adding at the end the following:
            ``Chief Information Officer, Department of Agriculture.
            ``Chief Information Officer, Department of Commerce.
            ``Chief Information Officer, Department of Defense (unless the
        official designated as the Chief Information Officer of the
        Department of Defense is an official listed under section 5312,
        5313, or 5314 of this title).
            ``Chief Information Officer, Department of Education.
            ``Chief Information Officer, Department of Energy.
            ``Chief Information Officer, Department of Health and Human
        Services.
            ``Chief Information Officer, Department of Housing and Urban
        Development.
            ``Chief Information Officer, Department of Interior.
            ``Chief Information Officer, Department of Justice.
            ``Chief Information Officer, Department of Labor.
            ``Chief Information Officer, Department of State.
            ``Chief Information Officer, Department of Transportation.
            ``Chief Information Officer, Department of Treasury.
            ``Chief Information Officer, Department of Veterans Affairs.
            ``Chief Information Officer, Environmental Protection Agency.
            ``Chief Information Officer, National Aeronautics and Space
        Administration.
            ``Chief Information Officer, Agency for International
        Development.
            ``Chief Information Officer, Federal Emergency Management
        Agency.
            ``Chief Information Officer, General Services Administration.
            ``Chief Information Officer, National Science Foundation.
            ``Chief Information Officer, Nuclear Regulatory Agency.
            ``Chief Information Officer, Office of Personnel Management.
            ``Chief Information Officer, Small Business Administration.''.

    SEC. 5126. ACCOUNTABILITY.

        The head of each executive agency, in consultation with the Chief
    Information Officer and the Chief Financial Officer of that executive
    agency (or, in the case of an executive agency without a Chief
    Financial Officer, any comparable official), shall establish policies
    and procedures that--
            (1) ensure that the accounting, financial, and asset management
        systems and other information systems of the executive agency are
        designed, developed, maintained, and used effectively to provide
        financial or program performance data for financial statements of
        the executive agency;
            (2) ensure that financial and related program performance data
        are provided on a reliable, consistent, and timely basis to
        executive agency financial management systems; and
            (3) ensure that financial statements support--
                (A) assessments and revisions of mission-related processes
            and administrative processes of the executive agency; and
                (B) performance measurement of the performance in the case
            of investments made by the agency in information systems.

    SEC. 5127. SIGNIFICANT DEVIATIONS.

        The head of an executive agency shall identify in the strategic
    information resources management plan required under section 3506(b)(2)
    of title 44, United States Code, any major information technology
    acquisition program, or any phase or increment of such a program, that
    has significantly deviated from the cost, performance, or schedule
    goals established for the program.

    SEC. 5128. INTERAGENCY SUPPORT.

        Funds available for an executive agency for oversight, acquisition,
    and procurement of information technology may be used by the head of
    the executive agency to support jointly with other executive agencies
    the activities of interagency groups that are established to advise the
    Director in carrying out the Director's responsibilities under this
    title. The use of such funds for that purpose shall be subject to such
    requirements and limitations on uses and amounts as the Director may
    prescribe. The Director shall prescribe any such requirements and
    limitations during the Director's review of the executive agency's
    proposed budget submitted to the Director by the head of the executive
    agency for purposes of section 1105 of title 31, United States Code.

                       Subtitle D--Other Responsibilities

    SEC. 5131. RESPONSIBILITIES REGARDING EFFICIENCY, SECURITY, AND PRIVACY
    OF FEDERAL COMPUTER SYSTEMS.
        (a) Standards and Guidelines.--
            (1) Authority.--The Secretary of Commerce shall, on the basis
        of standards and guidelines developed by the National Institute of
        Standards and Technology pursuant to paragraphs (2) and (3) of
        section 20(a) of the National Institute of Standards and Technology
        Act (15 U.S.C. 278g-3(a)), promulgate standards and guidelines
        pertaining to Federal computer systems. The Secretary shall make
        such standards compulsory and binding to the extent to which the
        Secretary determines necessary to improve the efficiency of
        operation or security and privacy of Federal computer systems. The
        President may disapprove or modify such standards and guidelines if
        the President determines such action to be in the public interest.
        The President's authority to disapprove or modify such standards
        and guidelines may not be delegated. Notice of such disapproval or
        modification shall be published promptly in the Federal Register.
        Upon receiving notice of such disapproval or modification, the
        Secretary of Commerce shall immediately rescind or modify such
        standards or guidelines as directed by the President.
            (2) Exercise of authority.--The authority conferred upon the
        Secretary of Commerce by this section shall be exercised subject to
        direction by the President and in coordination with the Director to
        ensure fiscal and policy consistency.
        (b) Application of More Stringent Standards.--The head of a Federal
    agency may employ standards for the cost-effective security and privacy
    of sensitive information in a Federal computer system within or under
    the supervision of that agency that are more stringent than the
    standards promulgated by the Secretary of Commerce under this section,
    if such standards contain, at a minimum, the provisions of those
    applicable standards made compulsory and binding by the Secretary of
    Commerce.
        (c) Waiver of Standards.--The standards determined under subsection
    (a) to be compulsory and binding may be waived by the Secretary of
    Commerce in writing upon a determination that compliance would
    adversely affect the accomplishment of the mission of an operator of a
    Federal computer system, or cause a major adverse financial impact on
    the operator which is not offset by Government-wide savings. The
    Secretary may delegate to the head of one or more Federal agencies
    authority to waive such standards to the extent to which the Secretary
    determines such action to be necessary and desirable to allow for
    timely and effective implementation of Federal computer system
    standards. The head of such agency may redelegate such authority only
    to a Chief Information Officer designated pursuant to section 3506 of
    title 44, United States Code. Notice of each such waiver and delegation
    shall be transmitted promptly to Congress and shall be published
    promptly in the Federal Register.
        (d) Definitions.--In this section, the terms ``Federal computer
    system'' and ``operator of a Federal computer system'' have the
    meanings given such terms in section 20(d) of the National Institute of
    Standards and Technology Act (15 U.S.C. 278g-3(d)).
        (e) Technical Amendments.--Chapter 35 of title 44, United States
    Code, is amended--
            (1) in section 3504(g)--
                (A) in paragraph (2), by striking out ``the Computer
            Security Act of 1987 (40 U.S.C. 759 note)'' and inserting in
            lieu thereof ``sections 20 and 21 of the National Institute of
            Standards and Technology Act (15 U.S.C. 278g-3 and 278g-4),
            section 5131 of the Information Technology Management Reform
            Act of 1996, and sections 5 and 6 of the Computer Security Act
            of 1987 (40 U.S.C. 759 note)''; and
                (B) in paragraph (3), by striking out ``the Computer
            Security Act of 1987 (40 U.S.C. 759 note)'' and inserting in
            lieu thereof ``the standards and guidelines promulgated under
            section 5131 of the Information Technology Management Reform
            Act of 1996 and sections 5 and 6 of the Computer Security Act
            of 1987 (40 U.S.C. 759 note)''; and
            (2) in section 3518(d), by striking out ``Public Law 89-306 on
        the Administrator of the General Services Administration, the
        Secretary of Commerce, or'' and inserting in lieu thereof ``section
        5131 of the Information Technology Management Reform Act of 1996
        and the Computer Security Act of 1987 (40 U.S.C. 759 note) on the
        Secretary of Commerce or''.

    SEC. 5132. SENSE OF CONGRESS.

        It is the sense of Congress that, during the next five-year period
    beginning with 1996, executive agencies should achieve each year at
    least a 5 percent decrease in the cost (in constant fiscal year 1996
    dollars) that is incurred by the agency for operating and maintaining
    information technology, and each year a 5 percent increase in the
    efficiency of the agency operations, by reason of improvements in
    information resources management by the agency.

                     Subtitle E--National Security Systems

    SEC. 5141. APPLICABILITY TO NATIONAL SECURITY SYSTEMS.

        (a) In General.--Except as provided in subsection (b), this title
    does not apply to national security systems.
        (b) Exceptions.--
            (1) In general.--Sections 5123, 5125, and 5126 apply to
        national security systems.
            (2) Capital planning and investment control.--The heads of
        executive agencies shall apply sections 5112 and 5122 to national
        security systems to the extent practicable.
            (3) Performance and results of information technology
        investments.--(A) Subject to subparagraph (B), the heads of
        executive agencies shall apply section 5113 to national security
        systems to the extent practicable.
            (B) National security systems shall be subject to section
        5113(b)(5) except for subparagraph (B)(iv) of that section.

    SEC. 5142. NATIONAL SECURITY SYSTEM DEFINED.

        (a) Definition.--In this subtitle, the term ``national security
    system'' means any telecommunications or information system operated by
    the United States Government, the function, operation, or use of
    which--
            (1) involves intelligence activities;
            (2) involves cryptologic activities related to national
        security;
            (3) involves command and control of military forces;
            (4) involves equipment that is an integral part of a weapon or
        weapons system; or
            (5) subject to subsection (b), is critical to the direct
        fulfillment of military or intelligence missions.
        (b) Limitation.--Subsection (a)(5) does not include a system that
    is to be used for routine administrative and business applications
    (including payroll, finance, logistics, and personnel management
    applications).

         TITLE LII--PROCESS FOR ACQUISITIONS OF INFORMATION TECHNOLOGY

    SEC. 5201. PROCUREMENT PROCEDURES.

        The Federal Acquisition Regulatory Council shall ensure that, to
    the maximum extent practicable, the process for acquisition of
    information technology is a simplified, clear, and understandable
    process that specifically addresses the management of risk, incremental
    acquisitions, and the need to incorporate commercial information
    technology in a timely manner.
    SEC. 5202. INCREMENTAL ACQUISITION OF INFORMATION TECHNOLOGY.
        (a) Policy.--The Office of Federal Procurement Policy Act (41
    U.S.C. 401 et seq.) is amended by adding at the end the following new
    section:

    ``SEC. 35. MODULAR CONTRACTING FOR INFORMATION TECHNOLOGY.

        ``(a) In General.--The head of an executive agency should, to the
    maximum extent practicable, use modular contracting for an acquisition
    of a major system of information technology.
        ``(b) Modular Contracting Described.--Under modular contracting, an
    executive agency's need for a system is satisfied in successive
    acquisitions of interoperable increments. Each increment complies with
    common or commercially accepted standards applicable to information
    technology so that the increments are compatible with other increments
    of information technology comprising the system.
        ``(c) Implementation.--The Federal Acquisition Regulation shall
    provide that--
            ``(1) under the modular contracting process, an acquisition of
        a major system of information technology may be divided into
        several smaller acquisition increments that--
                ``(A) are easier to manage individually than would be one
            comprehensive acquisition;
                ``(B) address complex information technology objectives
            incrementally in order to enhance the likelihood of achieving
            workable solutions for attainment of those objectives;
                ``(C) provide for delivery, implementation, and testing of
            workable systems or solutions in discrete increments each of
            which comprises a system or solution that is not dependent on
            any subsequent increment in order to perform its principal
            functions; and
                ``(D) provide an opportunity for subsequent increments of
            the acquisition to take advantage of any evolution in
            technology or needs that occur during conduct of the earlier
            increments;
            ``(2) a contract for an increment of an information technology
        acquisition should, to the maximum extent practicable, be awarded
        within 180 days after the date on which the solicitation is issued
        and, if the contract for that increment cannot be awarded within
        such period, the increment should be considered for cancellation;
        and
            ``(3) the information technology provided for in a contract for
        acquisition of information technology should be delivered within 18
        months after the date on which the solicitation resulting in award
        of the contract was issued.''.
        (b) Clerical Amendment.--The table of contents in section 1(b) of
    such Act is amended by inserting after the item relating to section 34
    the following new item:
    ``Sec. 35. Modular contracting for information technology.''.

         TITLE LIII--INFORMATION TECHNOLOGY ACQUISITION PILOT PROGRAMS
                     Subtitle A--Conduct of Pilot Programs

    SEC. 5301. AUTHORITY TO CONDUCT PILOT PROGRAMS.

        (a) In General.--
            (1) Purpose.--The Administrator for Federal Procurement Policy
        (hereinafter referred to as the ``Administrator''), in consultation
        with the Administrator for the Office of Information and Regulatory
        Affairs, may conduct pilot programs in order to test alternative
        approaches for acquisition of information technology by executive
        agencies.
            (2) Multiagency, multi-activity conduct of each program.--
        Except as otherwise provided in this title, each pilot program
        conducted under this title shall be carried out in not more than
        two procuring activities in each of the executive agencies that are
        designated by theAdministrator in accordance with this title to
    carry out the pilot program. The head of each designated executive
    agency shall, with the approval of the Administrator, select the
    procuring activities of the executive agency that are to participate in
    the test and shall designate a procurement testing official who shall
    be responsible for the conduct and evaluation of the pilot program
    within the executive agency.
        (b) Limitations.--
            (1) Number.--Not more than two pilot programs may be conducted
        under the authority of this title, including one pilot program each
        pursuant to the requirements of sections 5311 and 5312.
            (2) Amount.--The total amount obligated for contracts entered
        into under the pilot programs conducted under the authority of this
        title may not exceed $750,000,000. The Administrator shall monitor
        such contracts and ensure that contracts are not entered into in
        violation of the limitation in the preceding sentence.
        (c) Period of Programs.--
            (1) In general.--Subject to paragraph (2), any pilot program
        may be carried out under this title for the period, not in excess
        of five years, that is determined by the Administrator as being
        sufficient to establish reliable results.
            (2) Continuing validity of contracts.--A contract entered into
        under the pilot program before the expiration of that program shall
        remain in effect according to the terms of the contract after the
        expiration of the program.

    SEC. 5302. EVALUATION CRITERIA AND PLANS.

        (a) Measurable Test Criteria.--The head of each executive agency
    conducting a pilot program under section 5301 shall establish, to the
    maximum extent practicable, measurable criteria for evaluating the
    effects of the procedures or techniques to be tested under the program.
        (b) Test Plan.--Before a pilot program may be conducted under
    section 5301, the Administrator shall submit to Congress a detailed
    test plan for the program, including a detailed description of the
    procedures to be used and a list of any regulations that are to be
    waived.

    SEC. 5303. REPORT.

        (a) Requirement.--Not later than 180 days after the completion of a
    pilot program under this title, the Administrator shall--
            (1) submit to the Director a report on the results and findings
        under the program; and
            (2) provide a copy of the report to Congress.
        (b) Content.--The report shall include the following:
            (1) A detailed description of the results of the program, as
        measured by the criteria established for the program.
            (2) A discussion of any legislation that the Administrator
        recommends, or changes in regulations that the Administrator
        considers necessary, in order to improve overall information
        resources management within the Federal Government.

    SEC. 5304. RECOMMENDED LEGISLATION.

        If the Director determines that the results and findings under a
    pilot program under this title indicate that legislation is necessary
    or desirable in order to improve the process for acquisition of
    information technology, the Director shall transmit the Director's
    recommendations for such legislation to Congress.

    SEC. 5305. RULE OF CONSTRUCTION.

        Nothing in this title shall be construed as authorizing the
    appropriation or obligation of funds for the pilot programs authorized
    under this title.

                      Subtitle B--Specific Pilot Programs

    SEC. 5311. SHARE-IN-SAVINGS PILOT PROGRAM.

        (a) Requirement.--The Administrator may authorize the heads of two
    executive agencies to carry out a pilot program to test the feasibility
    of--
            (1) contracting on a competitive basis with a private sector
        source to provide the Federal Government with an information
        technology solution for improving mission-related or administrative
        processes of the Federal Government; and
            (2) paying the private sector source an amount equal to a
        portion of the savings derived by the Federal Government from any
        improvements in mission-related processes and administrative
        processes that result from implementation of the solution.
        (b) Limitations.--The head of an executive agency authorized to
    carry out the pilot program may, under the pilot program, carry out one
    project and enter into not more than five contracts for the project.
        (c) Selection of Projects.--The projects shall be selected by the
    Administrator, in consultation with the Administrator for the Office of
    Information and Regulatory Affairs.

    SEC. 5312. SOLUTIONS-BASED CONTRACTING PILOT PROGRAM.

        (a) In General.--The Administrator may authorize the heads of any
    of the executive agencies, in accordance with subsection (d)(2), to
    carry out a pilot program to test the feasibility of using solutions-
    based contracting for acquisition of information technology.
        (b) Solutions-Based Contracting Described.--For purposes of this
    section, solutions-based contracting is an acquisition method under
    which the acquisition objectives are defined by the Federal Government
    user of the technology to be acquired, a streamlined contractor
    selection process is used, and industry sources are allowed to provide
    solutions that attain the objectives effectively.
        (c) Process Requirements.--The Administrator shall require use of a
    process with the following aspects for acquisitions under the pilot
    program:
            (1) Acquisition plan emphasizing desired result.--Preparation
        of an acquisition plan that defines the functional requirements of
        the intended users of the information technology to be acquired,
        identifies the operational improvements to be achieved, and defines
        the performancemeasurements to be applied in determining whether
    the information technology acquired satisfies the defined requirements
    and attains the identified results.
            (2) Results-oriented statement of work.--Use of a statement of
        work that is limited to an expression of the end results or
        performance capabilities desired under the acquisition plan.
            (3) Small acquisition organization.--Assembly of a small
        acquisition organization consisting of the following:
                (A) An acquisition management team, the members of which
            are to be evaluated and rewarded under the pilot program for
            contributions toward attainment of the desired results
            identified in the acquisition plan.
                (B) A small source selection team composed of
            representatives of the specific mission or administrative area
            to be supported by the information technology to be acquired,
            together with a contracting officer and persons with relevant
            expertise.
            (4) Use of source selection factors emphasizing source
        qualifications and costs.--Use of source selection factors that
        emphasize--
                (A) the qualifications of the offeror, including such
            factors as personnel skills, previous experience in providing
            other private or public sector organizations with solutions for
            attaining objectives similar to the objectives of the
            acquisition, past contract performance, qualifications of the
            proposed program manager, and the proposed management plan; and
                (B) the costs likely to be associated with the conceptual
            approach proposed by the offeror.
            (5) Open communications with contractor community.--Open
        availability of the following information to potential offerors:
                (A) The agency mission to be served by the acquisition.
                (B) The functional process to be performed by use of
            information technology.
                (C) The process improvements to be attained.
            (6) Simple solicitation.--Use of a simple solicitation that
        sets forth only the functional work description, the source
        selection factors to be used in accordance with paragraph (4), the
        required terms and conditions, instructions regarding submission of
        offers, and the estimate of the Federal Government's budget for the
        desired work.
            (7) Simple proposals.--Submission of oral presentations and
        written proposals that are limited in size and scope and contain
        information on--
                (A) the offeror's qualifications to perform the desired
            work;
                (B) past contract performance;
                (C) the proposed conceptual approach; and
                (D) the costs likely to be associated with the proposed
            conceptual approach.
            (8) Simple evaluation.--Use of a simplified evaluation process,
        to be completed within 45 days after receipt of proposals, which
        consists of the following:
                (A) Identification of the most qualified offerors that are
            within the competitive range.
                (B) Issuance of invitations for at least three and not more
            than five of the identified offerors to make oral presentations
            to, and engage in discussions with, the evaluating personnel
            regarding, for each offeror--
                    (i) the qualifications of the offeror, including how
                the qualifications of the offeror relate to the approach
                proposed to be taken by the offeror in the acquisition; and
                    (ii) the costs likely to be associated with the
                approach.
                (C) Evaluation of the qualifications of the identified
            offerors and the costs likely to be associated with the
            offerors' proposals on the basis of submissions required under
            the process and any oral presentations made by, and any
            discussions with, the offerors.
            (9) Selection of most qualified offeror.--A selection process
        consisting of the following:
                (A) Identification of the most qualified source, and
            ranking of alternative sources, primarily on the basis of the
            oral proposals, presentations, and discussions, and written
            proposals submitted in accordance with paragraph (7).
                (B) Conduct for 30 to 60 days of a program definition phase
            (funded, in the case of the source ultimately awarded the
            contract, by the Federal Government)--
                    (i) during which the selected source, in consultation
                with one or more intended users, develops a conceptual
                system design and technical approach, defines logical
                phases for the project, and estimates the total cost and
                the cost for each phase; and
                    (ii) after which a contract for performance of the work
                may be awarded to that source on the basis of cost, the
                responsiveness, reasonableness, and quality of the proposed
                performance, and a sharing of risk and benefits between the
                source and the Government.
                (C) Conduct of as many successive program definition phases
            with alternative sources (in the order ranked) as is necessary
            in order to award a contract in accordance with subparagraph
            (B).
            (10) System implementation phasing.--System implementation to
        be executed in phases that are tailored to the solution, with
        various contract arrangements being used, as appropriate, for
        various phases and activities.
            (11) Mutual authority to terminate.--Authority for the Federal
        Government or the contractor to terminate the contract without
        penalty at the end of any phase defined for the project.
            (12) Time management discipline.--Application of a standard for
        awarding a contract within 105 to 120 days after issuance of the
        solicitation.
        (d) Pilot Program Design.--
            (1) Joint public-private working group.--The Administrator, in
        consultation with the Administrator for the Office of Information
        and Regulatory Affairs, shall establish a joint working group of
        Federal Government personnel and representatives of the information
        technology industry to design a plan for conduct of any pilot
        program carried out under this section.
            (2) Content of plan.--The plan shall provide for use of
        solutions-based contracting in the Department of Defense and not
        more than two other executive agencies for a total of--
                (A) not more than 10 projects, each of which has an
            estimated cost of between $25,000,000 and $100,000,000; and
                (B) not more than 10 projects, each of which has an
            estimated cost of between $1,000,000 and $5,000,000, to be set
            aside for small business concerns.
            (3) Complexity of projects.--(A) Subject to subparagraph (C),
        each acquisition project under the pilot program shall be
        sufficiently complex to provide for meaningful evaluation of the
        use of solutions-based contracting for acquisition of information
        technology for executive agencies.
            (B) In order for an acquisition project to satisfy the
        requirement in subparagraph (A), the solution for attainment of the
        executive agency's objectives under the project should not be
        obvious, but rather shall involve a need for some innovative
        development and systems integration.
            (C) An acquisition project should not be so extensive or
        lengthy as to result in undue delay in the evaluation of the use of
        solutions-based contracting.
        (e) Monitoring by GAO.--The Comptroller General of the United
    States shall--
            (1) monitor the conduct, and review the results, of
        acquisitions under the pilot program; and
            (2) submit to Congress periodic reports containing the views of
        the Comptroller General on the activities, results, and findings
        under the pilot program.

         TITLE LIV--ADDITIONAL INFORMATION RESOURCES MANAGEMENT MATTERS

    SEC. 5401. ON-LINE MULTIPLE AWARD SCHEDULE CONTRACTING.

        (a) Automation of Multiple Award Schedule Contracting.--In order to
    provide for the economic and efficient procurement of information
    technology and other commercial items, the Administrator of General
    Services shall provide through the Federal Acquisition Computer Network
    (in this section referred to as ``FACNET''), not later than January 1,
    1998, Government-wide on-line computer access to information on
    products and services that are available for ordering under the
    multiple award schedules. If the Administrator determines it is not
    practicable to provide such access through FACNET, the Administrator
    shall provide such access through another automated system that has the
    capability to perform the functions listed in subsection (b)(1) and
    meets the requirement of subsection (b)(2).
        (b) Additional FACNET Functions.--(1) In addition to the functions
    specified in section 30(b) of the Office of Federal Procurement Policy
    Act (41 U.S.C. 426(b)), the FACNET architecture shall have the
    capability to perform the following functions:
            (A) Provide basic information on prices, features, and
        performance of all products and services available for ordering
        through the multiple award schedules.
            (B) Provide for updating that information to reflect changes in
        prices, features, and performance as soon as information on the
        changes becomes available.
            (C) Enable users to make on-line computer comparisons of the
        prices, features, and performance of similar products and services
        offered by various vendors.
        (2) The FACNET architecture shall be used to place orders under the
    multiple award schedules in a fiscal year for an amount equal to at
    least 60 percent of the total amount spent for all orders under the
    multiple award schedules in that fiscal year.
        (c) Streamlined Procedures.--
            (1) Pilot program.--Upon certification by the Administrator of
        General Services that the FACNET architecture meets the
        requirements of subsection (b)(1) and was used as required by
        subsection (b)(2) in the fiscal year preceding the fiscal year in
        which the certification is made, the Administrator for Federal
        Procurement Policy may establish a pilot program to test
        streamlined procedures for the procurement of information
        technology products and services available for ordering through the
        multiple award schedules.
            (2) Applicability to multiple award schedule contracts.--Except
        as provided in paragraph (4), the pilot program shall be applicable
        to all multiple award schedule contracts for the purchase of
        information technology and shall test the following procedures:
                (A) A procedure under which negotiation of the terms and
            conditions for a covered multiple award schedule contract is
            limited to terms and conditions other than price.
                (B) A procedure under which the vendor establishes the
            prices under a covered multiple award schedule contract and may
            adjust those prices at any time in the discretion of the
            vendor.
                (C) A procedure under which a covered multiple award
            schedule contract is awarded to any responsible offeror that--
                    (i) has a suitable record of past performance, which
                may include past performance on multiple award schedule
                contracts;
                    (ii) agrees to terms and conditions that the
                Administrator determines as being required by lawor as
    being appropriate for the purchase of commercial items; and
                    (iii) agrees to establish and update prices, features,
                and performance and to accept orders electronically through
                the automated system established pursuant to subsection
                (a).
            (3) Comptroller general review and report.--(A) Not later than
        three years after the date on which the pilot program is
        established, the Comptroller General of the United States shall
        review the pilot program and report to the Congress on the results
        of the pilot program.
            (B) The report shall include the following:
                (i) An evaluation of the extent to which there is
            competition for the orders placed under the pilot program.
                (ii) The effect that the streamlined procedures under the
            pilot program have on prices charged under multiple award
            schedule contracts.
                (iii) The effect that such procedures have on paperwork
            requirements for multiple award schedule contracts and orders.
                (iv) The impact of the pilot program on small businesses
            and socially and economically disadvantaged small businesses.
            (4) Withdrawal of schedule or portion of schedule from pilot
        program.--The Administrator may withdraw a multiple award schedule
        or portion of a schedule from the pilot program if the
        Administrator determines that (A) price competition is not
        available under such schedule or portion thereof, or (B) the cost
        to the Government for that schedule or portion thereof for the
        previous year was higher than it would have been if the contracts
        for such schedule or portion thereof had been awarded using
        procedures that would apply if the pilot program were not in
        effect. The Administrator shall notify Congress at least 30 days
        before the date on which the Administrator withdraws a schedule or
        portion thereof under this paragraph. The authority under this
        paragraph may not be delegated.
            (5) Termination of pilot program.--Unless reauthorized by law,
        the authority of the Administrator to award contracts under the
        pilot program shall expire four years after the date on which the
        pilot program is established. Contracts entered into before the
        authority expires shall remain in effect in accordance with their
        terms notwithstanding the expiration of the authority to award new
        contracts under the pilot program.
        (d) Definition.--In this section, the term ``FACNET'' means the
    Federal Acquisition Computer Network established under section 30 of
    the Office of Federal Procurement Policy Act (41 U.S.C. 426).
    SEC. 5402. IDENTIFICATION OF EXCESS AND SURPLUS COMPUTER EQUIPMENT.
        Not later than six months after the date of the enactment of this
    Act, the head of an executive agency shall inventory all computer
    equipment under the control of that official. After completion of the
    inventory, the head of the executive agency shall maintain, in
    accordance with title II of the Federal Property and Administrative
    Services Act of 1949 (40 U.S.C. 481 et seq.), an inventory of any such
    equipment that is excess or surplus property.
    SEC. 5403. ACCESS OF CERTAIN INFORMATION IN INFORMATION SYSTEMS TO THE
    DIRECTORY ESTABLISHED UNDER SECTION 4101 OF TITLE 44, UNITED STATES
    CODE.
        Notwithstanding any other provision of this division, if in
    designing an information technology system pursuant to this division,
    the head of an executive agency determines that a purpose of the system
    is to disseminate information to the public, then the head of such
    executive agency shall reasonably ensure that an index of information
    disseminated by such system is included in the directory created
    pursuant to section 4101 of title 44, United States Code. Nothing in
    this section authorizes the dissemination of information to the public
    unless otherwise authorized.

       TITLE LV--PROCUREMENT PROTEST AUTHORITY OF THE COMPTROLLER GENERAL

    SEC. 5501. PERIOD FOR PROCESSING PROTESTS.

        Title 31, United States Code, is amended as follows:
            (1) Section 3553(b)(2)(A) is amended by striking out ``35'' and
        inserting in lieu thereof ``30''.
            (2) Section 3554 is amended--
                (A) in subsection (a)(1), by striking out ``125'' and
            inserting in lieu thereof ``100''; and
                (B) in subsection (e)--
                    (i) in paragraph (1), by striking out ``Government
                Operations'' and inserting in lieu thereof ``Government
                Reform and Oversight''; and
                    (ii) in paragraph (2), by striking out ``125'' and
                inserting in lieu thereof ``100''.
    SEC. 5502. AVAILABILITY OF FUNDS FOLLOWING GAO RESOLUTION OF CHALLENGE
    TO CONTRACTING ACTION.
        (a) In General.--Section 1558 of title 31, United States Code, is
    amended--
            (1) in the first sentence of subsection (a)--
                (A) by inserting ``or other action referred to in
            subsection (b)'' after ``protest'' the first place it appears;
                (B) by striking out ``90 working days'' and inserting in
            lieu thereof ``100 days''; and
                (C) by inserting ``or other action'' after ``protest'' the
            second place it appears; and
            (2) by striking out subsection (b) and inserting in lieu
        thereof the following:
        ``(b) Subsection (a) applies with respect to--
            ``(1) any protest filed under subchapter V of chapter 35 of
        this title; or
            ``(2) an action commenced under administrative procedures or
        for a judicial remedy if--
                ``(A) the action involves a challenge to--
                    ``(i) a solicitation for a contract;
                    ``(ii) a proposed award of a contract;
                    ``(iii) an award of a contract; or
                    ``(iv) the eligibility of an offeror or potential
                offeror for a contract or of the contractor awarded the
                contract; and
                ``(B) commencement of the action delays or prevents an
            executive agency from making an award of a contract or
            proceeding with a procurement.''.
        (b) Conforming Amendment.--The heading of such section is amended
    to read as follows:
    ``Sec. 1558. Availability of funds following resolution of a formal
        protest or other challenge''.
        (c) Clerical Amendment.--The item relating to such section in the
    table of sections at the beginning of chapter 15 of title 31, United
    States Code, is amended to read as follows:
    ``1558. Availability of funds following resolution of a formal protest
              or other challenge.''.

                 TITLE LVI--CONFORMING AND CLERICAL AMENDMENTS

    SEC. 5601. AMENDMENTS TO TITLE 10, UNITED STATES CODE.

        (a) Protest File.--Section 2305(e) is amended by striking out
    paragraph (3).
        (b) Multiyear Contracts.--Section 2306b of such title is amended--
            (1) by striking out subsection (k); and
            (2) by redesignating subsection (l) as subsection (k).
        (c) Law Inapplicable to Procurement of Information Technology.--
    Section 2315 of title 10, United States Code, is amended by striking
    out ``Section 111'' and all that follows through ``use of equipment or
    services if,'' and inserting in lieu thereof the following: ``For the
    purposes of the Information Technology Management Reform Act of 1996,
    the term `national security systems' means those telecommunications and
    information systems operated by the Department of Defense, the
    functions, operation or use of which''.

    SEC. 5602. AMENDMENTS TO TITLE 28, UNITED STATES CODE.

        (a) References to Brooks Automatic Data Processing Act.--Section
    612 of title 28, United States Code, is amended--
            (1) in subsection (f), by striking out ``section 111 of the
        Federal Property and Administrative Services Act of 1949 (40 U.S.C.
        759)'' and inserting in lieu thereof ``the provisions of law,
        policies, and regulations applicable to executive agencies under
        the Information Technology Management Reform Act of 1996'';
            (2) in subsection (g), by striking out ``sections 111 and 201
        of the Federal Property and Administrative Services Act of 1949 (40
        U.S.C. 481 and 759)'' and inserting in lieu thereof ``section 201
        of the Federal Property and Administrative Services Act of 1949 (40
        U.S.C. 481)'';
            (3) by striking out subsection (l); and
            (4) by redesignating subsection (m) as subsection (l).
        (b) References to Automatic Data Processing.--Section 612 of title
    28, United States Code, is further amended--
            (1) in the heading, by striking out the second word and
        inserting in lieu thereof ``Information Technology'';
            (2) in subsection (a), by striking out ``Judiciary Automation
        Fund'' and inserting in lieu thereof ``Judiciary Information
        Technology Fund''; and
            (3) by striking out ``automatic data processing'' and inserting
        in lieu thereof ``information technology'' each place it appears in
        subsections (a), (b), (c)(2), (e), (f), and (h)(1).

    SEC. 5603. AMENDMENT TO TITLE 31, UNITED STATES CODE.

        Section 3552 of title 31, United States Code, is amended by
    striking out the second sentence.

    SEC. 5604. AMENDMENTS TO TITLE 38, UNITED STATES CODE.

        Section 310 of title 38, United States Code, is amended to read as
    follows:

    ``Sec. 310. Chief Information Officer

        ``(a) The Chief Information Officer for the Department is
    designated pursuant to section 3506(a)(2) of title 44.
        ``(b) The Chief Information Officer performs the duties provided
    for chief information officers of executive agencies under chapter 35
    of title 44 and the Information Technology Management Reform Act of
    1996.''.
    SEC. 5605. PROVISIONS OF TITLE 44, UNITED STATES CODE, RELATING TO
    PAPERWORK REDUCTION.
        (a) Definition.--Section 3502 of title 44, United States Code, is
    amended by striking out paragraph (9) and inserting in lieu thereof the
    following:
            ``(9) the term `information technology' has the meaning given
        that term in section 5002 of the Information Technology Management
        Reform Act of 1996 but does not include national security systems
        as defined in section 5142 of that Act;''.
        (b) Development of Standards and Guidelines by National Institute
    of Standards and Technology.--Section 3504(h)(1)(B) of such title is
    amended by striking out ``section 111(d) of the Federal Property and
    Administrative Services Act of 1949 (40 U.S.C. 759(d))'' and inserting
    in lieu thereof ``section 5131 of the Information Technology Management
    Reform Act of 1996''.
        (c) Compliance With Directives.--Section 3504(h)(2) of such title
    is amended by striking out ``sections 110 and 111 of the Federal
    Property and Administrative Services Act of 1949 (40 U.S.C. 757 and
    759)'' and inserting in lieu thereof ``the Information Technology
    Management Reform Act of 1996 and directives issued under section 110
    of the Federal Property and Administrative Services Act of 1949 (40
    U.S.C. 757)''.
        (d) Collection of Information.--Section 3507(j)(2) of such title is
    amended by striking out ``90 days'' in the second sentence and
    inserting in lieu thereof ``180 days''.

    SEC. 5606. AMENDMENT TO TITLE 49, UNITED STATES CODE.

        Section 40112(a) of title 49, United States Code, is amended by
    striking out ``or a contract to purchase property to which section 111
    of the Federal Property and Administrative Services Act of 1949 (40
    U.S.C. 759) applies''.

    SEC. 5607. OTHER LAWS.

        (a) National Institute of Standards and Technology Act.--Section 20
    of the National Institute of Standards and Technology Act (15 U.S.C.
    278g-3) is amended--
            (1) in subsection (a)--
                (A) by striking out ``section 3502(2) of title 44'' each
            place it appears in paragraphs (2) and (3)(A) and inserting in
            lieu thereof ``section 3502(9) of title 44''; and
                (B) in paragraph (4), by striking out ``section 111(d) of
            the Federal Property and Administrative Services Act of 1949''
            and inserting in lieu thereof ``section 5131 of the Information
            Technology Management Reform Act of 1996'';
            (2) in subsection (b)--
                (A) by striking out paragraph (2);
                (B) in paragraph (3), by striking out ``section 111(d) of
            the Federal Property and Administrative Services Act of 1949''
            and inserting in lieu thereof ``section 5131 of the Information
            Technology Management Reform Act of 1996''; and
                (C) by redesignating paragraphs (3), (4), (5), and (6) as
            paragraphs (2), (3), (4), and (5); and
            (3) in subsection (d)--
                (A) in paragraph (1)(B)(v), by striking out ``as defined''
            and all that follows and inserting in lieu thereof a semicolon;
            and
                (B) in paragraph (2)--
                    (i) by striking out ``system'--'' and all that follows
                through ``means'' in subparagraph (A) and inserting in lieu
                thereof ``system' means''; and
                    (ii) by striking out ``; and'' at the end of
                subparagraph (A) and all that follows through the end of
                subparagraph (B) and inserting in lieu thereof a semicolon.
        (b) Computer Security Act of 1987.--
            (1) Purposes.--Section 2(b)(2) of the Computer Security Act of
        1987 (Public Law 100-235; 101 Stat. 1724) is amended by striking
        out ``by amending section 111(d) of the Federal Property and
        Administrative Services Act of 1949 (40 U.S.C. 759(d))''.
            (2) Security plan.--Section 6(b) of such Act (101 Stat. 1729;
        40 U.S.C. 759 note) is amended--
                (A) by striking out ``Within one year after the date of
            enactment of this Act, each such agency shall, consistent with
            the standards, guidelines, policies, and regulations prescribed
            pursuant to section 111(d) of the Federal Property and
            Administrative Services Act of 1949,'' and inserting in lieu
            thereof ``Each such agency shall, consistent with the
            standards, guidelines, policies, and regulations prescribed
            pursuant to section 5131 of the Information Technology
            Management Reform Act of 1996,''; and
                (B) by striking out ``Copies'' and all that follows through
            ``Code.''.
        (c) Federal Property and Administrative Services Act of 1949.--
    Section 303B(h) of the Federal Property and Administrative Services Act
    of 1949 (41 U.S.C. 253b(h)) is amended by striking out paragraph (3).
        (d) Office of Federal Procurement Policy Act.--Section 6(h)(1) of
    the Office of Federal Procurement Policy Act (41 U.S.C. 405(h)(1)) is
    amended by striking out ``of automatic data processing and
    telecommunications equipment and services or''.
        (e) National Energy Conservation Policy Act.--Section 801(b)(3) of
    the National Energy Conservation Policy Act (42 U.S.C. 8287(b)(3)) is
    amended by striking out the second sentence.
        (f) Central Intelligence Agency Act of 1949.--Section 3 of the
    Central Intelligence Agency Act of 1949 (50 U.S.C. 403c) is amended by
    striking out subsection (e).

    SEC. 5608. CLERICAL AMENDMENTS.

        (a) Federal Property and Administrative Services Act of 1949.--The
    table of contents in section 1(b) of the Federal Property and
    Administrative Services Act of 1949 is amended by striking out the item
    relating to section 111.
        (b) Title 38, United States Code.--The table of sections at the
    beginning of chapter 3 of title 38, United States Code, is amended by
    striking out the item relating to section 310 and inserting in lieu
    thereof the following:
    ``310. Chief Information Officer.''.

         TITLE LVII--EFFECTIVE DATE, SAVINGS PROVISIONS, AND RULES OF
                                  CONSTRUCTION

    SEC. 5701. EFFECTIVE DATE.

        This division and the amendments made by this division shall take
    effect 180 days after the date of the enactment of this Act.

    SEC. 5702. SAVINGS PROVISIONS.

        (a) Regulations, Instruments, Rights, and Privileges.--All rules,
    regulations, contracts, orders, determinations, permits, certificates,
    licenses, grants, and privileges--
            (1) which have been issued, made, granted, or allowed to become
        effective by the Administrator of General Services or the General
        Services Board of Contract Appeals, or by a court of competent
        jurisdiction, in connection with an acquisition activity carried
        out under section 111 of the Federal Property and Administrative
        Services Act of 1949 (40 U.S.C. 759), and
            (2) which are in effect on the effective date of this division,
    shall continue in effect according to their terms until modified,
    terminated, superseded, set aside, or revoked in accordance with law by
    the Director or any other authorized official, by a court of competent
    jurisdiction, or by operation of law.
        (b) Proceedings.--
            (1) Proceedings generally.--This division and the amendments
        made by this division shall not affect any proceeding, including
        any proceeding involving a claim, application, or protest in
        connection with an acquisition activity carried out under section
        111 of the Federal Property and Administrative Services Act of 1949
        (40 U.S.C. 759) that is pending before the Administrator of General
        Services or the General Services Board of Contract Appeals on the
        effective date of this division.
            (2) Orders.--Orders may be issued in any such proceeding,
        appeals may be taken therefrom, and payments may be made pursuant
        to such orders, as if this division had not been enacted. An order
        issued in any such proceeding shall continue in effect until
        modified, terminated, superseded, or revoked in accordance with law
        by the Director or any other authorized official, by a court of
        competent jurisdiction, or by operation of law.
            (3) Discontinuance or modification of proceedings not
        prohibited.--Nothing in this subsection prohibits 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 Act had
        not been enacted.
            (4) Other authority and prohibition.--Section 1558(a) of title
        31, United States Code, and the second sentence of section 3552 of
        such title shall continue to apply with respect to a protest
        process in accordance with this subsection.
            (5) Regulations for transfer of proceedings.--The Director may
        prescribe regulations providing for the orderly transfer of
        proceedings continued under paragraph (1).
        (c) Standards and Guidelines for Federal Computer Systems.--
    Standards and guidelines that are in effect for Federal computer
    systems under section 111(d) of the Federal Property and Administrative
    Services Act of 1949 (40 U.S.C. 759(d)) on the day before the effective
    date of this division shall remain in effect until modified,
    terminated, superseded, revoked, or disapproved under the authority of
    section 5131 of this Act.

    SEC. 5703. RULES OF CONSTRUCTION.

        (a) Relationship to Title 44, United States Code.--Nothing in this
    division shall be construed to amend, modify, or supersede any
    provision of title 44, United States Code, other than chapter 35 of
    such title.
        (b) Relationship to Computer Security Act of 1987.--Nothing in this
    division shall affect the limitations on authority that is provided for
    in the administration of the Computer Security Act of 1987 (Public Law
    100-235) and the amendments made by such Act.

                                   Speaker of the House of Representatives.

                                Vice President of the United States and
                                                   President of the Senate.