[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.