[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2266 Enrolled Bill (ENR)]

        H.R.2266

                       One Hundred Fifth Congress

                                 of the

                        United States of America


                          AT THE FIRST SESSION

          Begun and held at the City of Washington on Tuesday,
 the seventh day of January, one thousand nine hundred and ninety-seven


                                 An Act


 
Making appropriations for the Department of Defense for the fiscal year 
           ending September 30, 1998, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled, That the following sums 
are appropriated, out of any money in the Treasury not otherwise 
appropriated, for the fiscal year ending September 30, 1998, for 
military functions administered by the Department of Defense, and for 
other purposes, namely:

                                TITLE I

                           MILITARY PERSONNEL

                        Military Personnel, Army

    For pay, allowances, individual clothing, subsistence, interest on 
deposits, gratuities, permanent change of station travel (including all 
expenses thereof for organizational movements), and expenses of 
temporary duty travel between permanent duty stations, for members of 
the Army on active duty (except members of reserve components provided 
for elsewhere), cadets, and aviation cadets; and for payments pursuant 
to section 156 of Public Law 97-377, as amended (42 U.S.C. 402 note), 
to section 229(b) of the Social Security Act (42 U.S.C. 429(b)), and to 
the Department of Defense Military Retirement Fund; $20,452,057,000.

                        Military Personnel, Navy

    For pay, allowances, individual clothing, subsistence, interest on 
deposits, gratuities, permanent change of station travel (including all 
expenses thereof for organizational movements), and expenses of 
temporary duty travel between permanent duty stations, for members of 
the Navy on active duty (except members of the Reserve provided for 
elsewhere), midshipmen, and aviation cadets; and for payments pursuant 
to section 156 of Public Law 97-377, as amended (42 U.S.C. 402 note), 
to section 229(b) of the Social Security Act (42 U.S.C. 429(b)), and to 
the Department of Defense Military Retirement Fund; $16,493,518,000.

                    Military Personnel, Marine Corps

    For pay, allowances, individual clothing, subsistence, interest on 
deposits, gratuities, permanent change of station travel (including all 
expenses thereof for organizational movements), and expenses of 
temporary duty travel between permanent duty stations, for members of 
the Marine Corps on active duty (except members of the Reserve provided 
for elsewhere); and for payments pursuant to section 156 of Public Law 
97-377, as amended (42 U.S.C. 402 note), to section 229(b) of the 
Social Security Act (42 U.S.C. 429(b)), and to the Department of 
Defense Military Retirement Fund; $6,137,899,000.

                     Military Personnel, Air Force

    For pay, allowances, individual clothing, subsistence, interest on 
deposits, gratuities, permanent change of station travel (including all 
expenses thereof for organizational movements), and expenses of 
temporary duty travel between permanent duty stations, for members of 
the Air Force on active duty (except members of reserve components 
provided for elsewhere), cadets, and aviation cadets; and for payments 
pursuant to section 156 of Public Law 97-377, as amended (42 U.S.C. 402 
note), to section 229(b) of the Social Security Act (42 U.S.C. 429(b)), 
and to the Department of Defense Military Retirement Fund; 
$17,102,120,000.

                        Reserve Personnel, Army

    For pay, allowances, clothing, subsistence, gratuities, travel, and 
related expenses for personnel of the Army Reserve on active duty under 
sections 10211, 10302, and 3038 of title 10, United States Code, or 
while serving on active duty under section 12301(d) of title 10, United 
States Code, in connection with performing duty specified in section 
12310(a) of title 10, United States Code, or while undergoing reserve 
training, or while performing drills or equivalent duty or other duty, 
and for members of the Reserve Officers' Training Corps, and expenses 
authorized by section 16131 of title 10, United States Code; and for 
payments to the Department of Defense Military Retirement Fund; 
$2,032,046,000.

                        Reserve Personnel, Navy

    For pay, allowances, clothing, subsistence, gratuities, travel, and 
related expenses for personnel of the Navy Reserve on active duty under 
section 10211 of title 10, United States Code, or while serving on 
active duty under section 12301(d) of title 10, United States Code, in 
connection with performing duty specified in section 12310(a) of title 
10, United States Code, or while undergoing reserve training, or while 
performing drills or equivalent duty, and for members of the Reserve 
Officers' Training Corps, and expenses authorized by section 16131 of 
title 10, United States Code; and for payments to the Department of 
Defense Military Retirement Fund; $1,376,601,000.

                    Reserve Personnel, Marine Corps

    For pay, allowances, clothing, subsistence, gratuities, travel, and 
related expenses for personnel of the Marine Corps Reserve on active 
duty under section 10211 of title 10, United States Code, or while 
serving on active duty under section 12301(d) of title 10, United 
States Code, in connection with performing duty specified in section 
12310(a) of title 10, United States Code, or while undergoing reserve 
training, or while performing drills or equivalent duty, and for 
members of the Marine Corps platoon leaders class, and expenses 
authorized by section 16131 of title 10, United States Code; and for 
payments to the Department of Defense Military Retirement Fund; 
$391,770,000.

                      Reserve Personnel, Air Force

    For pay, allowances, clothing, subsistence, gratuities, travel, and 
related expenses for personnel of the Air Force Reserve on active duty 
under sections 10211, 10305, and 8038 of title 10, United States Code, 
or while serving on active duty under section 12301(d) of title 10, 
United States Code, in connection with performing duty specified in 
section 12310(a) of title 10, United States Code, or while undergoing 
reserve training, or while performing drills or equivalent duty or 
other duty, and for members of the Air Reserve Officers' Training 
Corps, and expenses authorized by section 16131 of title 10, United 
States Code; and for payments to the Department of Defense Military 
Retirement Fund; $815,915,000.

                     National Guard Personnel, Army

    For pay, allowances, clothing, subsistence, gratuities, travel, and 
related expenses for personnel of the Army National Guard while on duty 
under section 10211, 10302, or 12402 of title 10 or section 708 of 
title 32, United States Code, or while serving on duty under section 
12301(d) of title 10 or section 502(f) of title 32, United States Code, 
in connection with performing duty specified in section 12310(a) of 
title 10, United States Code, or while undergoing training, or while 
performing drills or equivalent duty or other duty, and expenses 
authorized by section 16131 of title 10, United States Code; and for 
payments to the Department of Defense Military Retirement Fund; 
$3,333,867,000.

                  National Guard Personnel, Air Force

    For pay, allowances, clothing, subsistence, gratuities, travel, and 
related expenses for personnel of the Air National Guard on duty under 
section 10211, 10305, or 12402 of title 10 or section 708 of title 32, 
United States Code, or while serving on duty under section 12301(d) of 
title 10 or section 502(f) of title 32, United States Code, in 
connection with performing duty specified in section 12310(a) of title 
10, United States Code, or while undergoing training, or while 
performing drills or equivalent duty or other duty, and expenses 
authorized by section 16131 of title 10, United States Code; and for 
payments to the Department of Defense Military Retirement Fund; 
$1,334,712,000.

                                TITLE II

                       OPERATION AND MAINTENANCE

                    Operation and Maintenance, Army


                      (including transfer of funds)

    For expenses, not otherwise provided for, necessary for the 
operation and maintenance of the Army, as authorized by law; and not to 
exceed $11,437,000 can be used for emergencies and extraordinary 
expenses, to be expended on the approval or authority of the Secretary 
of the Army, and payments may be made on his certificate of necessity 
for confidential military purposes; $16,754,306,000 and, in addition, 
$50,000,000 shall be derived by transfer from the National Defense 
Stockpile Transaction Fund: Provided, That of the funds appropriated in 
this paragraph, not less than $300,000,000 shall be made available only 
for conventional ammunition care and maintenance.

                    Operation and Maintenance, Navy


                      (including transfer of funds)

    For expenses, not otherwise provided for, necessary for the 
operation and maintenance of the Navy and the Marine Corps, as 
authorized by law; and not to exceed $5,500,000 can be used for 
emergencies and extraordinary expenses, to be expended on the approval 
or authority of the Secretary of the Navy, and payments may be made on 
his certificate of necessity for confidential military purposes; 
$21,617,766,000 and, in addition, $50,000,000 shall be derived by 
transfer from the National Defense Stockpile Transaction Fund.

                Operation and Maintenance, Marine Corps

    For expenses, not otherwise provided for, necessary for the 
operation and maintenance of the Marine Corps, as authorized by law; 
$2,372,635,000.

                  Operation and Maintenance, Air Force


                      (including transfer of funds)

    For expenses, not otherwise provided for, necessary for the 
operation and maintenance of the Air Force, as authorized by law; and 
not to exceed $8,362,000 can be used for emergencies and extraordinary 
expenses, to be expended on the approval or authority of the Secretary 
of the Air Force, and payments may be made on his certificate of 
necessity for confidential military purposes; $18,492,883,000 and, in 
addition, $50,000,000 shall be derived by transfer from the National 
Defense Stockpile Transaction Fund.

                Operation and Maintenance, Defense-Wide

    For expenses, not otherwise provided for, necessary for the 
operation and maintenance of activities and agencies of the Department 
of Defense (other than the military departments), as authorized by law; 
$10,369,740,000, of which not to exceed $25,000,000 may be available 
for the CINC initiative fund account; and of which not to exceed 
$28,850,000 can be used for emergencies and extraordinary expenses, to 
be expended on the approval or authority of the Secretary of Defense, 
and payments may be made on his certificate of necessity for 
confidential military purposes.

                Operation and Maintenance, Army Reserve

    For expenses, not otherwise provided for, necessary for the 
operation and maintenance, including training, organization, and 
administration, of the Army Reserve; repair of facilities and 
equipment; hire of passenger motor vehicles; travel and transportation; 
care of the dead; recruiting; procurement of services, supplies, and 
equipment; and communications; $1,207,891,000.

                Operation and Maintenance, Navy Reserve

    For expenses, not otherwise provided for, necessary for the 
operation and maintenance, including training, organization, and 
administration, of the Navy Reserve; repair of facilities and 
equipment; hire of passenger motor vehicles; travel and transportation; 
care of the dead; recruiting; procurement of services, supplies, and 
equipment; and communications; $921,711,000.

            Operation and Maintenance, Marine Corps Reserve

    For expenses, not otherwise provided for, necessary for the 
operation and maintenance, including training, organization, and 
administration, of the Marine Corps Reserve; repair of facilities and 
equipment; hire of passenger motor vehicles; travel and transportation; 
care of the dead; recruiting; procurement of services, supplies, and 
equipment; and communications; $116,366,000.

              Operation and Maintenance, Air Force Reserve

    For expenses, not otherwise provided for, necessary for the 
operation and maintenance, including training, organization, and 
administration, of the Air Force Reserve; repair of facilities and 
equipment; hire of passenger motor vehicles; travel and transportation; 
care of the dead; recruiting; procurement of services, supplies, and 
equipment; and communications; $1,632,030,000.

             Operation and Maintenance, Army National Guard

    For expenses of training, organizing, and administering the Army 
National Guard, including medical and hospital treatment and related 
expenses in non-Federal hospitals; maintenance, operation, and repairs 
to structures and facilities; hire of passenger motor vehicles; 
personnel services in the National Guard Bureau; travel expenses (other 
than mileage), as authorized by law for Army personnel on active duty, 
for Army National Guard division, regimental, and battalion commanders 
while inspecting units in compliance with National Guard Bureau 
regulations when specifically authorized by the Chief, National Guard 
Bureau; supplying and equipping the Army National Guard as authorized 
by law; and expenses of repair, modification, maintenance, and issue of 
supplies and equipment (including aircraft); $2,419,632,000: Provided, 
That not later than March 15, 1998, the Director of the Army National 
Guard shall provide a report to the congressional defense committees 
identifying the allocation, by installation and activity, of all base 
operations funds appropriated under this heading.

             Operation and Maintenance, Air National Guard

    For operation and maintenance of the Air National Guard, including 
medical and hospital treatment and related expenses in non-Federal 
hospitals; maintenance, operation, repair, and other necessary expenses 
of facilities for the training and administration of the Air National 
Guard, including repair of facilities, maintenance, operation, and 
modification of aircraft; transportation of things, hire of passenger 
motor vehicles; supplies, materials, and equipment, as authorized by 
law for the Air National Guard; and expenses incident to the 
maintenance and use of supplies, materials, and equipment, including 
such as may be furnished from stocks under the control of agencies of 
the Department of Defense; travel expenses (other than mileage) on the 
same basis as authorized by law for Air National Guard personnel on 
active Federal duty, for Air National Guard commanders while inspecting 
units in compliance with National Guard Bureau regulations when 
specifically authorized by the Chief, National Guard Bureau; 
$3,013,282,000.

             Overseas Contingency Operations Transfer Fund


                      (including transfer of funds)

    For expenses directly relating to Overseas Contingency Operations 
by United States military forces; $1,884,000,000: Provided, That the 
Secretary of Defense may transfer these funds only to operation and 
maintenance accounts within this title, and working capital funds: 
Provided further, That the funds transferred shall be merged with and 
shall be available for the same purposes and for the same time period, 
as the appropriation to which transferred: Provided further, That the 
transfer authority provided in this paragraph is in addition to any 
other transfer authority contained elsewhere in this Act.

          United States Court of Appeals for the Armed Forces

    For salaries and expenses necessary for the United States Court of 
Appeals for the Armed Forces; $6,952,000, of which not to exceed $2,500 
can be used for official representation purposes.

                    Environmental Restoration, Army


                      (including transfer of funds)

    For the Department of the Army, $375,337,000, to remain available 
until transferred: Provided, That the Secretary of the Army shall, upon 
determining that such funds are required for environmental restoration, 
reduction and recycling of hazardous waste, removal of unsafe buildings 
and debris of the Department of the Army, or for similar purposes, 
transfer the funds made available by this appropriation to other 
appropriations made available to the Department of the Army, to be 
merged with and to be available for the same purposes and for the same 
time period as the appropriations to which transferred: Provided 
further, That upon a determination that all or part of the funds 
transferred from this appropriation are not necessary for the purposes 
provided herein, such amounts may be transferred back to this 
appropriation: Provided further, That not more than twenty-five per 
centum of funds provided under this heading may be obligated for 
environmental remediation by the Corps of Engineers under total 
environmental remediation contracts.

                    Environmental Restoration, Navy


                      (including transfer of funds)

    For the Department of the Navy, $275,500,000, to remain available 
until transferred: Provided, That the Secretary of the Navy shall, upon 
determining that such funds are required for environmental restoration, 
reduction and recycling of hazardous waste, removal of unsafe buildings 
and debris of the Department of the Navy, or for similar purposes, 
transfer the funds made available by this appropriation to other 
appropriations made available to the Department of the Navy, to be 
merged with and to be available for the same purposes and for the same 
time period as the appropriations to which transferred: Provided 
further, That upon a determination that all or part of the funds 
transferred from this appropriation are not necessary for the purposes 
provided herein, such amounts may be transferred back to this 
appropriation.

                  Environmental Restoration, Air Force


                      (including transfer of funds)

    For the Department of the Air Force, $376,900,000, to remain 
available until transferred: Provided, That the Secretary of the Air 
Force shall, upon determining that such funds are required for 
environmental restoration, reduction and recycling of hazardous waste, 
removal of unsafe buildings and debris of the Department of the Air 
Force, or for similar purposes, transfer the funds made available by 
this appropriation to other appropriations made available to the 
Department of the Air Force, to be merged with and to be available for 
the same purposes and for the same time period as the appropriations to 
which transferred: Provided further, That upon a determination that all 
or part of the funds transferred from this appropriation are not 
necessary for the purposes provided herein, such amounts may be 
transferred back to this appropriation.

                Environmental Restoration, Defense-Wide


                      (including transfer of funds)

    For the Department of Defense, $26,900,000, to remain available 
until transferred: Provided, That the Secretary of Defense shall, upon 
determining that such funds are required for environmental restoration, 
reduction and recycling of hazardous waste, removal of unsafe buildings 
and debris of the Department of Defense, or for similar purposes, 
transfer the funds made available by this appropriation to other 
appropriations made available to the Department of Defense, to be 
merged with and to be available for the same purposes and for the same 
time period as the appropriations to which transferred: Provided 
further, That upon a determination that all or part of the funds 
transferred from this appropriation are not necessary for the purposes 
provided herein, such amounts may be transferred back to this 
appropriation.

         Environmental Restoration, Formerly Used Defense Sites


                      (including transfer of funds)

    For the Department of the Army, $242,300,000, to remain available 
until transferred: Provided, That the Secretary of the Army shall, upon 
determining that such funds are required for environmental restoration, 
reduction and recycling of hazardous waste, removal of unsafe buildings 
and debris at sites formerly used by the Department of Defense, 
transfer the funds made available by this appropriation to other 
appropriations made available to the Department of the Army, to be 
merged with and to be available for the same purposes and for the same 
time period as the appropriations to which transferred: Provided 
further, That upon a determination that all or part of the funds 
transferred from this appropriation are not necessary for the purposes 
provided herein, such amounts may be transferred back to this 
appropriation.

             Overseas Humanitarian, Disaster, and Civic Aid

    For expenses relating to the Overseas Humanitarian, Disaster, and 
Civic Aid programs of the Department of Defense (consisting of the 
programs provided under sections 401, 402, 404, 2547, and 2551 of title 
10, United States Code); $47,130,000, to remain available until 
September 30, 1999.

                  Former Soviet Union Threat Reduction

    For assistance to the republics of the former Soviet Union, 
including assistance provided by contract or by grants, for 
facilitating the elimination and the safe and secure transportation and 
storage of nuclear, chemical and other weapons; for establishing 
programs to prevent the proliferation of weapons, weapons components, 
and weapon-related technology and expertise; for programs relating to 
the training and support of defense and military personnel for 
demilitarization and protection of weapons, weapons components and 
weapons technology and expertise; $382,200,000, to remain available 
until September 30, 2000: Provided, That of the amounts provided under 
this heading, $35,000,000 shall be available only to support the 
dismantling and disposal of nuclear submarines and submarine reactor 
components in the Russian Far East: Provided further, That of the 
amounts provided under this heading, $5,000,000 shall be available only 
for the Arctic Military Environmental Cooperation Program.

                 Quality of Life Enhancements, Defense

    For expenses, not otherwise provided for, resulting from unfunded 
shortfalls in the repair and maintenance of real property of the 
Department of Defense (including military housing and barracks); 
$360,000,000, for the maintenance of real property of the Department of 
Defense (including minor construction and major maintenance and 
repair), which shall remain available for obligation until September 
30, 1999, as follows:
        Army, $100,000,000;
        Navy, $70,000,000;
        Marine Corps, $45,000,000; and
        Air Force, $145,000,000.

                               TITLE III

                              PROCUREMENT

                       Aircraft Procurement, Army

    For construction, procurement, production, modification, and 
modernization of aircraft, equipment, including ordnance, ground 
handling equipment, spare parts, and accessories therefor; specialized 
equipment and training devices; expansion of public and private plants, 
including the land necessary therefor, for the foregoing purposes, and 
such lands and interests therein, may be acquired, and construction 
prosecuted thereon prior to approval of title; and procurement and 
installation of equipment, appliances, and machine tools in public and 
private plants; reserve plant and Government and contractor-owned 
equipment layaway; and other expenses necessary for the foregoing 
purposes; $1,346,317,000, to remain available for obligation until 
September 30, 2000.

                       Missile Procurement, Army

    For construction, procurement, production, modification, and 
modernization of missiles, equipment, including ordnance, ground 
handling equipment, spare parts, and accessories therefor; specialized 
equipment and training devices; expansion of public and private plants, 
including the land necessary therefor, for the foregoing purposes, and 
such lands and interests therein, may be acquired, and construction 
prosecuted thereon prior to approval of title; and procurement and 
installation of equipment, appliances, and machine tools in public and 
private plants; reserve plant and Government and contractor-owned 
equipment layaway; and other expenses necessary for the foregoing 
purposes; $762,409,000, to remain available for obligation until 
September 30, 2000.

        Procurement of Weapons and Tracked Combat Vehicles, Army

    For construction, procurement, production, and modification of 
weapons and tracked combat vehicles, equipment, including ordnance, 
spare parts, and accessories therefor; specialized equipment and 
training devices; expansion of public and private plants, including the 
land necessary therefor, for the foregoing purposes, and such lands and 
interests therein, may be acquired, and construction prosecuted thereon 
prior to approval of title; and procurement and installation of 
equipment, appliances, and machine tools in public and private plants; 
reserve plant and Government and contractor-owned equipment layaway; 
and other expenses necessary for the foregoing purposes; 
$1,298,707,000, to remain available for obligation until September 30, 
2000.

                    Procurement of Ammunition, Army

    For construction, procurement, production, and modification of 
ammunition, and accessories therefor; specialized equipment and 
training devices; expansion of public and private plants, including 
ammunition facilities authorized by section 2854 of title 10, United 
States Code, and the land necessary therefor, for the foregoing 
purposes, and such lands and interests therein, may be acquired, and 
construction prosecuted thereon prior to approval of title; and 
procurement and installation of equipment, appliances, and machine 
tools in public and private plants; reserve plant and Government and 
contractor-owned equipment layaway; and other expenses necessary for 
the foregoing purposes; $1,037,202,000, to remain available for 
obligation until September 30, 2000.

                        Other Procurement, Army

    For construction, procurement, production, and modification of 
vehicles, including tactical, support, and non-tracked combat vehicles; 
communications and electronic equipment; other support equipment; spare 
parts, ordnance, and accessories therefor; specialized equipment and 
training devices; expansion of public and private plants, including the 
land necessary therefor, for the foregoing purposes, and such lands and 
interests therein, may be acquired, and construction prosecuted thereon 
prior to approval of title; and procurement and installation of 
equipment, appliances, and machine tools in public and private plants; 
reserve plant and Government and contractor-owned equipment layaway; 
and other expenses necessary for the foregoing purposes; 
$2,679,130,000, to remain available for obligation until September 30, 
2000.

                       Aircraft Procurement, Navy

    For construction, procurement, production, modification, and 
modernization of aircraft, equipment, including ordnance, spare parts, 
and accessories therefor; specialized equipment; expansion of public 
and private plants, including the land necessary therefor, and such 
lands and interests therein, may be acquired, and construction 
prosecuted thereon prior to approval of title; and procurement and 
installation of equipment, appliances, and machine tools in public and 
private plants; reserve plant and Government and contractor-owned 
equipment layaway; $6,535,444,000, to remain available for obligation 
until September 30, 2000.

                       Weapons Procurement, Navy

    For construction, procurement, production, modification, and 
modernization of missiles, torpedoes, other weapons, and related 
support equipment including spare parts, and accessories therefor; 
expansion of public and private plants, including the land necessary 
therefor, and such lands and interests therein, may be acquired, and 
construction prosecuted thereon prior to approval of title; and 
procurement and installation of equipment, appliances, and machine 
tools in public and private plants; reserve plant and Government and 
contractor-owned equipment layaway; $1,102,193,000, to remain available 
for obligation until September 30, 2000.

            Procurement of Ammunition, Navy and Marine Corps

    For construction, procurement, production, and modification of 
ammunition, and accessories therefor; specialized equipment and 
training devices; expansion of public and private plants, including 
ammunition facilities authorized by section 2854 of title 10, United 
States Code, and the land necessary therefor, for the foregoing 
purposes, and such lands and interests therein, may be acquired, and 
construction prosecuted thereon prior to approval of title; and 
procurement and installation of equipment, appliances, and machine 
tools in public and private plants; reserve plant and Government and 
contractor-owned equipment layaway; and other expenses necessary for 
the foregoing purposes; $397,547,000, to remain available for 
obligation until September 30, 2000.

                   Shipbuilding and Conversion, Navy

    For expenses necessary for the construction, acquisition, or 
conversion of vessels as authorized by law, including armor and 
armament thereof, plant equipment, appliances, and machine tools and 
installation thereof in public and private plants; reserve plant and 
Government and contractor-owned equipment layaway; procurement of 
critical, long leadtime components and designs for vessels to be 
constructed or converted in the future; and expansion of public and 
private plants, including land necessary therefor, and such lands and 
interests therein, may be acquired, and construction prosecuted thereon 
prior to approval of title, as follows:
        For continuation of the SSN-21 attack submarine program, 
    $153,444,000;
        NSSN, $2,314,903,000;
        NSSN (AP), $284,859,000;
        CVN-77 (AP), $50,000,000;
        CVN Refuelings, $1,615,003,000;
        CVN Refuelings (AP), $46,855,000;
        DDG-51 destroyer program, $3,411,200,000;
        DDG-51 destroyer program (AP), $157,806,000;
        LPD-17 amphibious transport dock ship (AP), $100,000,000;
        Oceanographic ship program (AP), $16,000,000;
        LCAC landing craft air cushion program, $20,000,000; and
        For craft, outfitting, post delivery, conversions, and first 
    destination transportation, $137,521,000;
In all: $8,235,591,000, to remain available for obligation until 
September 30, 2002: Provided, That additional obligations may be 
incurred after September 30, 2002, for engineering services, tests, 
evaluations, and other such budgeted work that must be performed in the 
final stage of ship construction: Provided further, That none of the 
funds provided under this heading for the construction or conversion of 
any naval vessel to be constructed in shipyards in the United States 
shall be expended in foreign facilities for the construction of major 
components of such vessel: Provided further, That none of the funds 
provided under this heading shall be used for the construction of any 
naval vessel in foreign shipyards.

                        Other Procurement, Navy

    For procurement, production, and modernization of support equipment 
and materials not otherwise provided for, Navy ordnance (except 
ordnance for new aircraft, new ships, and ships authorized for 
conversion); the purchase of not to exceed 194 passenger motor vehicles 
for replacement only; and the purchase of one vehicle required for 
physical security of personnel, notwithstanding price limitations 
applicable to passenger vehicles but not to exceed $232,340 per 
vehicle; expansion of public and private plants, including the land 
necessary therefor, and such lands and interests therein, may be 
acquired, and construction prosecuted thereon prior to approval of 
title; and procurement and installation of equipment, appliances, and 
machine tools in public and private plants; reserve plant and 
Government and contractor-owned equipment layaway; $3,144,205,000, to 
remain available for obligation until September 30, 2000.

                       Procurement, Marine Corps

    For expenses necessary for the procurement, manufacture, and 
modification of missiles, armament, military equipment, spare parts, 
and accessories therefor; plant equipment, appliances, and machine 
tools, and installation thereof in public and private plants; reserve 
plant and Government and contractor-owned equipment layaway; vehicles 
for the Marine Corps, including the purchase of not to exceed 40 
passenger motor vehicles for replacement only; and expansion of public 
and private plants, including land necessary therefor, and such lands 
and interests therein, may be acquired, and construction prosecuted 
thereon prior to approval of title; $482,398,000, to remain available 
for obligation until September 30, 2000.

                    Aircraft Procurement, Air Force

    For construction, procurement, and modification of aircraft and 
equipment, including armor and armament, specialized ground handling 
equipment, and training devices, spare parts, and accessories therefor; 
specialized equipment; expansion of public and private plants, 
Government-owned equipment and installation thereof in such plants, 
erection of structures, and acquisition of land, for the foregoing 
purposes, and such lands and interests therein, may be acquired, and 
construction prosecuted thereon prior to approval of title; reserve 
plant and Government and contractor-owned equipment layaway; and other 
expenses necessary for the foregoing purposes including rents and 
transportation of things; $6,480,983,000, to remain available for 
obligation until September 30, 2000: Provided, That of the funds made 
available under this heading, $331,000,000 shall be available for long 
lead activities related to the procurement of additional B-2 bombers: 
Provided further, That if the President determines that no additional 
B-2 bombers should be procured during this fiscal year, and he 
certifies to the Congress his decision, the funding described in the 
previous proviso shall be made available to modify and repair the 
existing fleet of B-2 bombers.

                     Missile Procurement, Air Force

    For construction, procurement, and modification of missiles, 
spacecraft, rockets, and related equipment, including spare parts and 
accessories therefor, ground handling equipment, and training devices; 
expansion of public and private plants, Government-owned equipment and 
installation thereof in such plants, erection of structures, and 
acquisition of land, for the foregoing purposes, and such lands and 
interests therein, may be acquired, and construction prosecuted thereon 
prior to approval of title; reserve plant and Government and 
contractor-owned equipment layaway; and other expenses necessary for 
the foregoing purposes including rents and transportation of things; 
$2,394,202,000, to remain available for obligation until September 30, 
2000.

                  Procurement of Ammunition, Air Force

    For construction, procurement, production, and modification of 
ammunition, and accessories therefor; specialized equipment and 
training devices; expansion of public and private plants, including 
ammunition facilities authorized by section 2854 of title 10, United 
States Code, and the land necessary therefor, for the foregoing 
purposes, and such lands and interests therein, may be acquired, and 
construction prosecuted thereon prior to approval of title; and 
procurement and installation of equipment, appliances, and machine 
tools in public and private plants; reserve plant and Government and 
contractor-owned equipment layaway; and other expenses necessary for 
the foregoing purposes; $398,534,000, to remain available for 
obligation until September 30, 2000.

                      Other Procurement, Air Force

    For procurement and modification of equipment (including ground 
guidance and electronic control equipment, and ground electronic and 
communication equipment), and supplies, materials, and spare parts 
therefor, not otherwise provided for; the purchase of not to exceed 196 
passenger motor vehicles for replacement only; the purchase of one 
vehicle required for physical security of personnel, notwithstanding 
price limitations applicable to passenger vehicles but not to exceed 
$232,340 per vehicle; and expansion of public and private plants, 
Government-owned equipment and installation thereof in such plants, 
erection of structures, and acquisition of land, for the foregoing 
purposes, and such lands and interests therein, may be acquired, and 
construction prosecuted thereon, prior to approval of title; reserve 
plant and Government and contractor-owned equipment layaway; 
$6,592,909,000, to remain available for obligation until September 30, 
2000.

                       Procurement, Defense-Wide

    For expenses of activities and agencies of the Department of 
Defense (other than the military departments) necessary for 
procurement, production, and modification of equipment, supplies, 
materials, and spare parts therefor, not otherwise provided for; the 
purchase of not to exceed 381 passenger motor vehicles for replacement 
only; expansion of public and private plants, equipment, and 
installation thereof in such plants, erection of structures, and 
acquisition of land for the foregoing purposes, and such lands and 
interests therein, may be acquired, and construction prosecuted thereon 
prior to approval of title; reserve plant and Government and 
contractor-owned equipment layaway; $2,106,444,000, to remain available 
for obligation until September 30, 2000.

                  National Guard and Reserve Equipment

    For procurement of aircraft, missiles, tracked combat vehicles, 
ammunition, other weapons, and other procurement for the reserve 
components of the Armed Forces; $653,000,000, to remain available for 
obligation until September 30, 2000: Provided, That the Chiefs of the 
Reserve and National Guard components shall, not later than 30 days 
after the enactment of this Act, individually submit to the 
congressional defense committees the modernization priority assessment 
for their respective Reserve or National Guard component.

                                TITLE IV

               RESEARCH, DEVELOPMENT, TEST AND EVALUATION

            Research, Development, Test and Evaluation, Army

    For expenses necessary for basic and applied scientific research, 
development, test and evaluation, including maintenance, 
rehabilitation, lease, and operation of facilities and equipment; 
$5,156,507,000, to remain available for obligation until September 30, 
1999.

            Research, Development, Test and Evaluation, Navy

    For expenses necessary for basic and applied scientific research, 
development, test and evaluation, including maintenance, 
rehabilitation, lease, and operation of facilities and equipment; 
$8,115,686,000, to remain available for obligation until September 30, 
1999: Provided, That funds appropriated in this paragraph which are 
available for the V-22 may be used to meet unique requirements of the 
Special Operations Forces.

         Research, Development, Test and Evaluation, Air Force

    For expenses necessary for basic and applied scientific research, 
development, test and evaluation, including maintenance, 
rehabilitation, lease, and operation of facilities and equipment; 
$14,507,804,000, to remain available for obligation until September 30, 
1999: Provided, That of the funds made available in this paragraph, 
$4,000,000 shall be only for development of coal-derived jet fuel 
technologies.

        Research, Development, Test and Evaluation, Defense-Wide

    For expenses of activities and agencies of the Department of 
Defense (other than the military departments), necessary for basic and 
applied scientific research, development, test and evaluation; advanced 
research projects as may be designated and determined by the Secretary 
of Defense, pursuant to law; maintenance, rehabilitation, lease, and 
operation of facilities and equipment; $9,821,760,000, to remain 
available for obligation until September 30, 1999: Provided, That not 
less than $409,898,000 of the funds appropriated in this paragraph 
shall be made available only for the Sea-Based Wide Area Defense (Navy 
Upper-Tier) Program: Provided further, That funds appropriated for the 
Dual-Use Applications Program under section 5803 of the Treasury, 
Postal Service, and General Government Appropriations Act, 1997 (Public 
Law 104-208), shall remain available for obligation until September 30, 
1998.

               Developmental Test and Evaluation, Defense

    For expenses, not otherwise provided for, of independent activities 
of the Director, Test and Evaluation in the direction and supervision 
of developmental test and evaluation, including performance and joint 
developmental testing and evaluation; and administrative expenses in 
connection therewith; $258,183,000, to remain available for obligation 
until September 30, 1999.

                Operational Test and Evaluation, Defense

    For expenses, not otherwise provided for, necessary for the 
independent activities of the Director, Operational Test and Evaluation 
in the direction and supervision of operational test and evaluation, 
including initial operational test and evaluation which is conducted 
prior to, and in support of, production decisions; joint operational 
testing and evaluation; and administrative expenses in connection 
therewith; $31,384,000, to remain available for obligation until 
September 30, 1999.

                                TITLE V

                     REVOLVING AND MANAGEMENT FUNDS

                     Defense Working Capital Funds

    For the Defense Working Capital Funds; $971,952,000.

                     National Defense Sealift Fund

    For National Defense Sealift Fund programs, projects, and 
activities, and for expenses of the National Defense Reserve Fleet, as 
established by section 11 of the Merchant Ship Sales Act of 1946 (50 
U.S.C. App. 1744); $1,074,948,000, to remain available until expended: 
Provided, That none of the funds provided in this paragraph shall be 
used to award a new contract that provides for the acquisition of any 
of the following major components unless such components are 
manufactured in the United States: auxiliary equipment, including 
pumps, for all shipboard services; propulsion system components (that 
is; engines, reduction gears, and propellers); shipboard cranes; and 
spreaders for shipboard cranes: Provided further, That the exercise of 
an option in a contract awarded through the obligation of previously 
appropriated funds shall not be considered to be the award of a new 
contract: Provided further, That the Secretary of the military 
department responsible for such procurement may waive these 
restrictions on a case-by-case basis by certifying in writing to the 
Committees on Appropriations of the House of Representatives and the 
Senate, that adequate domestic supplies are not available to meet 
Department of Defense requirements on a timely basis and that such an 
acquisition must be made in order to acquire capability for national 
security purposes.

                                TITLE VI

                  OTHER DEPARTMENT OF DEFENSE PROGRAMS

                         Defense Health Program

    For expenses, not otherwise provided for, for medical and health 
care programs of the Department of Defense, as authorized by law; 
$10,369,075,000, of which $10,095,007,000 shall be for Operation and 
maintenance, of which not to exceed two per centum shall remain 
available until September 30, 1999, and of which $274,068,000, to 
remain available for obligation until September 30, 2000, shall be for 
Procurement.

           Chemical Agents and Munitions Destruction, Defense

    For expenses, not otherwise provided for, necessary for the 
destruction of the United States stockpile of lethal chemical agents 
and munitions in accordance with the provisions of section 1412 of the 
Department of Defense Authorization Act, 1986 (50 U.S.C. 1521), and for 
the destruction of other chemical warfare materials that are not in the 
chemical weapon stockpile, $600,700,000, of which $462,200,000 shall be 
for Operation and maintenance, $72,200,000 shall be for Procurement to 
remain available until September 30, 2000, and $66,300,000 shall be for 
Research, development, test and evaluation to remain available until 
September 30, 1999: Provided, That of the funds available under this 
heading, $1,000,000 shall be available until expended each year only 
for a Johnston Atoll off-island leave program: Provided further, That 
the Secretaries concerned shall, pursuant to uniform regulations, 
prescribe travel and transportation allowances for travel by 
participants in the off-island leave program.

         Drug Interdiction and Counter-Drug Activities, Defense


                      (including transfer of funds)

    For drug interdiction and counter-drug activities of the Department 
of Defense, for transfer to appropriations available to the Department 
of Defense for military personnel of the reserve components serving 
under the provisions of title 10 and title 32, United States Code; for 
Operation and maintenance; for Procurement; and for Research, 
development, test and evaluation; $712,882,000: Provided, That the 
funds appropriated under this head shall be available for obligation 
for the same time period and for the same purpose as the appropriation 
to which transferred: Provided further, That the transfer authority 
provided in this paragraph is in addition to any transfer authority 
contained elsewhere in this Act.

                    Office of the Inspector General

    For expenses and activities of the Office of the Inspector General 
in carrying out the provisions of the Inspector General Act of 1978, as 
amended; $138,380,000, of which $136,580,000 shall be for Operation and 
maintenance, of which not to exceed $500,000 is available for 
emergencies and extraordinary expenses to be expended on the approval 
or authority of the Inspector General, and payments may be made on his 
certificate of necessity for confidential military purposes; and of 
which $1,800,000, to remain available until September 30, 2000, shall 
be for Procurement.

                               TITLE VII

                            RELATED AGENCIES

   Central Intelligence Agency Retirement and Disability System Fund

    For payment to the Central Intelligence Agency Retirement and 
Disability System Fund, to maintain proper funding level for continuing 
the operation of the Central Intelligence Agency Retirement and 
Disability System; $196,900,000.

               Intelligence Community Management Account


                      (including transfer of funds)

    For necessary expenses of the Intelligence Community Management 
Account; $121,080,000, of which $39,011,000 for the Advanced Research 
and Development Committee and the Environmental Intelligence and 
Applications Program shall remain available until September 30, 1999: 
Provided, That of the funds appropriated under this heading, 
$27,000,000 shall be transferred to the Department of Justice for the 
National Drug Intelligence Center to support the Department of 
Defense's counter-drug intelligence responsibilities, and of the said 
amount, $1,500,000 for Procurement shall remain available until 
September 30, 2000, and $3,000,000 for Research, development, test and 
evaluation shall remain available until September 30, 1999.

Payment to Kaho'olawe Island Conveyance, Remediation, and Environmental 
                            Restoration Fund

    For payment to Kaho'olawe Island Conveyance, Remediation, and 
Environmental Restoration Fund, as authorized by law; $35,000,000, to 
remain available until expended.

                 National Security Education Trust Fund

    For the purposes of title VIII of Public Law 102-183, $2,000,000, 
to be derived from the National Security Education Trust Fund, to 
remain available until expended.

                               TITLE VIII

                           GENERAL PROVISIONS

    Sec. 8001. No part of any appropriation contained in this Act shall 
be used for publicity or propaganda purposes not authorized by the 
Congress.
    Sec. 8002. During the current fiscal year, provisions of law 
prohibiting the payment of compensation to, or employment of, any 
person not a citizen of the United States shall not apply to personnel 
of the Department of Defense: Provided, That salary increases granted 
to direct and indirect hire foreign national employees of the 
Department of Defense funded by this Act shall not be at a rate in 
excess of the percentage increase authorized by law for civilian 
employees of the Department of Defense whose pay is computed under the 
provisions of section 5332 of title 5, United States Code, or at a rate 
in excess of the percentage increase provided by the appropriate host 
nation to its own employees, whichever is higher: Provided further, 
That this section shall not apply to Department of Defense foreign 
service national employees serving at United States diplomatic missions 
whose pay is set by the Department of State under the Foreign Service 
Act of 1980: Provided further, That the limitations of this provision 
shall not apply to foreign national employees of the Department of 
Defense in the Republic of Turkey.
    Sec. 8003. No part of any appropriation contained in this Act shall 
remain available for obligation beyond the current fiscal year, unless 
expressly so provided herein.
    Sec. 8004. No more than 20 per centum of the appropriations in this 
Act which are limited for obligation during the current fiscal year 
shall be obligated during the last two months of the fiscal year: 
Provided, That this section shall not apply to obligations for support 
of active duty training of reserve components or summer camp training 
of the Reserve Officers' Training Corps.


                           (transfer of funds)

    Sec. 8005. Upon determination by the Secretary of Defense that such 
action is necessary in the national interest, he may, with the approval 
of the Office of Management and Budget, transfer not to exceed 
$2,000,000,000 of working capital funds of the Department of Defense or 
funds made available in this Act to the Department of Defense for 
military functions (except military construction) between such 
appropriations or funds or any subdivision thereof, to be merged with 
and to be available for the same purposes, and for the same time 
period, as the appropriation or fund to which transferred: Provided, 
That such authority to transfer may not be used unless for higher 
priority items, based on unforeseen military requirements, than those 
for which originally appropriated and in no case where the item for 
which funds are requested has been denied by Congress: Provided 
further, That the Secretary of Defense shall notify the Congress 
promptly of all transfers made pursuant to this authority or any other 
authority in this Act: Provided further, That no part of the funds in 
this Act shall be available to prepare or present a request to the 
Committees on Appropriations for reprogramming of funds, unless for 
higher priority items, based on unforeseen military requirements, than 
those for which originally appropriated and in no case where the item 
for which reprogramming is requested has been denied by the Congress: 
Provided further, That of the authority provided under this section, 
not to exceed $65,000,000 shall be available to meet requirements for 
termination of the Reserve Mobilization Insurance Program, 
notwithstanding chapter 1214 of title 10, United States Code.


                           (transfer of funds)

    Sec. 8006. During the current fiscal year, cash balances in working 
capital funds of the Department of Defense established pursuant to 
section 2208 of title 10, United States Code, may be maintained in only 
such amounts as are necessary at any time for cash disbursements to be 
made from such funds: Provided, That transfers may be made between such 
funds: Provided further, That transfers may be made between working 
capital funds and the ``Foreign Currency Fluctuations, Defense'' 
appropriation and the ``Operation and Maintenance'' appropriation 
accounts in such amounts as may be determined by the Secretary of 
Defense, with the approval of the Office of Management and Budget, 
except that such transfers may not be made unless the Secretary of 
Defense has notified the Congress of the proposed transfer. Except in 
amounts equal to the amounts appropriated to working capital funds in 
this Act, no obligations may be made against a working capital fund to 
procure or increase the value of war reserve material inventory, unless 
the Secretary of Defense has notified the Congress prior to any such 
obligation.
    Sec. 8007. Funds appropriated by this Act may not be used to 
initiate a special access program without prior notification 30 
calendar days in session in advance to the congressional defense 
committees.
    Sec. 8008. (a) None of the funds provided in this Act shall be 
available to initiate: (1) a multiyear contract that employs economic 
order quantity procurement in excess of $20,000,000 in any one year of 
the contract or that includes an unfunded contingent liability in 
excess of $20,000,000; or (2) a contract for advance procurement 
leading to a multiyear contract that employs economic order quantity 
procurement in excess of $20,000,000 in any one year, unless the 
congressional defense committees have been notified at least 30 days in 
advance of the proposed contract award: Provided, That no part of any 
appropriation contained in this Act shall be available to initiate a 
multiyear contract for which the economic order quantity advance 
procurement is not funded at least to the limits of the Government's 
liability: Provided further, That no part of any appropriation 
contained in this Act shall be available to initiate multiyear 
procurement contracts for any systems or component thereof if the value 
of the multiyear contract would exceed $500,000,000 unless specifically 
provided in this Act: Provided further, That no multiyear procurement 
contract can be terminated without 10-day prior notification to the 
congressional defense committees: Provided further, That the execution 
of multiyear authority shall require the use of a present value 
analysis to determine lowest cost compared to an annual procurement.
    Funds appropriated in title III of this Act may be used for 
multiyear procurement contracts as follows:
        Apache Longbow radar;
        AV-8B aircraft; and
        Family of Medium Tactical Vehicles.
    (b) None of the funds provided in this Act and hereafter may be 
used to submit to Congress (or to any committee of Congress) a request 
for authority to enter into a contract covered by those provisions of 
subsection (a) that precede the first proviso of that subsection 
unless--
        (1) such request is made as part of the submission of the 
    President's Budget for the United States Government for any fiscal 
    year and is set forth in the Appendix to that budget as part of 
    proposed legislative language for appropriations bills for the next 
    fiscal year; or
        (2) such request is formally submitted by the President as a 
    budget amendment; or
        (3) the Secretary of Defense makes such request in writing to 
    the congressional defense committees.
    Sec. 8009. Within the funds appropriated for the operation and 
maintenance of the Armed Forces, funds are hereby appropriated pursuant 
to section 401 of title 10, United States Code, for humanitarian and 
civic assistance costs under chapter 20 of title 10, United States 
Code. Such funds may also be obligated for humanitarian and civic 
assistance costs incidental to authorized operations and pursuant to 
authority granted in section 401 of chapter 20 of title 10, United 
States Code, and these obligations shall be reported to Congress on 
September 30 of each year: Provided, That funds available for operation 
and maintenance shall be available for providing humanitarian and 
similar assistance by using Civic Action Teams in the Trust Territories 
of the Pacific Islands and freely associated states of Micronesia, 
pursuant to the Compact of Free Association as authorized by Public Law 
99-239: Provided further, That upon a determination by the Secretary of 
the Army that such action is beneficial for graduate medical education 
programs conducted at Army medical facilities located in Hawaii, the 
Secretary of the Army may authorize the provision of medical services 
at such facilities and transportation to such facilities, on a 
nonreimbursable basis, for civilian patients from American Samoa, the 
Commonwealth of the Northern Mariana Islands, the Marshall Islands, the 
Federated States of Micronesia, Palau, and Guam.
    Sec. 8010. (a) During fiscal year 1998, the civilian personnel of 
the Department of Defense may not be managed on the basis of any end-
strength, and the management of such personnel during that fiscal year 
shall not be subject to any constraint or limitation (known as an end-
strength) on the number of such personnel who may be employed on the 
last day of such fiscal year.
    (b) The fiscal year 1999 budget request for the Department of 
Defense as well as all justification material and other documentation 
supporting the fiscal year 1999 Department of Defense budget request 
shall be prepared and submitted to the Congress as if subsections (a) 
and (b) of this provision were effective with regard to fiscal year 
1999.
    (c) Nothing in this section shall be construed to apply to military 
(civilian) technicians.
    Sec. 8011. Notwithstanding any other provision of law, none of the 
funds made available by this Act shall be used by the Department of 
Defense to exceed, outside the 50 United States, its territories, and 
the District of Columbia, 125,000 civilian workyears: Provided, That 
workyears shall be applied as defined in the Federal Personnel Manual: 
Provided further, That workyears expended in dependent student hiring 
programs for disadvantaged youths shall not be included in this 
workyear limitation.
    Sec. 8012. None of the funds made available by this Act shall be 
used in any way, directly or indirectly, to influence congressional 
action on any legislation or appropriation matters pending before the 
Congress.
    Sec. 8013. (a) None of the funds appropriated by this Act shall be 
used to make contributions to the Department of Defense Education 
Benefits Fund pursuant to section 2006(g) of title 10, United States 
Code, representing the normal cost for future benefits under section 
3015(c) of title 38, United States Code, for any member of the armed 
services who, on or after the date of enactment of this Act--
        (1) enlists in the armed services for a period of active duty 
    of less than three years; or
        (2) receives an enlistment bonus under section 308a or 308f of 
    title 37, United States Code,
nor shall any amounts representing the normal cost of such future 
benefits be transferred from the Fund by the Secretary of the Treasury 
to the Secretary of Veterans Affairs pursuant to section 2006(d) of 
title 10, United States Code; nor shall the Secretary of Veterans 
Affairs pay such benefits to any such member: Provided, That in the 
case of a member covered by clause (1), these limitations shall not 
apply to members in combat arms skills or to members who enlist in the 
armed services on or after July 1, 1989, under a program continued or 
established by the Secretary of Defense in fiscal year 1991 to test the 
cost-effective use of special recruiting incentives involving not more 
than nineteen noncombat arms skills approved in advance by the 
Secretary of Defense: Provided further, That this subsection applies 
only to active components of the Army.
    (b) None of the funds appropriated by this Act shall be available 
for the basic pay and allowances of any member of the Army 
participating as a full-time student and receiving benefits paid by the 
Secretary of Veterans Affairs from the Department of Defense Education 
Benefits Fund when time spent as a full-time student is credited toward 
completion of a service commitment: Provided, That this subsection 
shall not apply to those members who have reenlisted with this option 
prior to October 1, 1987: Provided further, That this subsection 
applies only to active components of the Army.
    Sec. 8014. None of the funds appropriated by this Act shall be 
available to convert to contractor performance an activity or function 
of the Department of Defense that, on or after the date of enactment of 
this Act, is performed by more than ten Department of Defense civilian 
employees until a most efficient and cost-effective organization 
analysis is completed on such activity or function and certification of 
the analysis is made to the Committees on Appropriations of the House 
of Representatives and the Senate: Provided, That this section shall 
not apply to a commercial or industrial type function of the Department 
of Defense that: (1) is included on the procurement list established 
pursuant to section 2 of the Act of June 25, 1938 (41 U.S.C. 47), 
popularly referred to as the Javits-Wagner-O'Day Act; (2) is planned to 
be converted to performance by a qualified nonprofit agency for the 
blind or by a qualified nonprofit agency for other severely handicapped 
individuals in accordance with that Act; or (3) is planned to be 
converted to performance by a qualified firm under 51 per centum Native 
American ownership.


                           (transfer of funds)

    Sec. 8015. Funds appropriated in title III of this Act for the 
Department of Defense Pilot Mentor-Protege Program may be transferred 
to any other appropriation contained in this Act solely for the purpose 
of implementing a Mentor-Protege Program developmental assistance 
agreement pursuant to section 831 of the National Defense Authorization 
Act for Fiscal Year 1991 (Public Law 101-510; 10 U.S.C. 2301 note), as 
amended, under the authority of this provision or any other transfer 
authority contained in this Act.
    Sec. 8016. None of the funds in this Act may be available for the 
purchase by the Department of Defense (and its departments and 
agencies) of welded shipboard anchor and mooring chain 4 inches in 
diameter and under unless the anchor and mooring chain are manufactured 
in the United States from components which are substantially 
manufactured in the United States: Provided, That for the purpose of 
this section manufactured will include cutting, heat treating, quality 
control, testing of chain and welding (including the forging and shot 
blasting process): Provided further, That for the purpose of this 
section substantially all of the components of anchor and mooring chain 
shall be considered to be produced or manufactured in the United States 
if the aggregate cost of the components produced or manufactured in the 
United States exceeds the aggregate cost of the components produced or 
manufactured outside the United States: Provided further, That when 
adequate domestic supplies are not available to meet Department of 
Defense requirements on a timely basis, the Secretary of the service 
responsible for the procurement may waive this restriction on a case-
by-case basis by certifying in writing to the Committees on 
Appropriations that such an acquisition must be made in order to 
acquire capability for national security purposes.
    Sec. 8017. None of the funds appropriated by this Act available for 
the Civilian Health and Medical Program of the Uniformed Services 
(CHAMPUS) shall be available for the reimbursement of any health care 
provider for inpatient mental health service for care received when a 
patient is referred to a provider of inpatient mental health care or 
residential treatment care by a medical or health care professional 
having an economic interest in the facility to which the patient is 
referred: Provided, That this limitation does not apply in the case of 
inpatient mental health services provided under the program for the 
handicapped under subsection (d) of section 1079 of title 10, United 
States Code, provided as partial hospital care, or provided pursuant to 
a waiver authorized by the Secretary of Defense because of medical or 
psychological circumstances of the patient that are confirmed by a 
health professional who is not a Federal employee after a review, 
pursuant to rules prescribed by the Secretary, which takes into account 
the appropriate level of care for the patient, the intensity of 
services required by the patient, and the availability of that care.
    Sec. 8018. Funds available in this Act may be used to provide 
transportation for the next-of-kin of individuals who have been 
prisoners of war or missing in action from the Vietnam era to an annual 
meeting in the United States, under such regulations as the Secretary 
of Defense may prescribe.
    Sec. 8019. Notwithstanding any other provision of law, during the 
current fiscal year, the Secretary of Defense may, by executive 
agreement, establish with host nation governments in NATO member states 
a separate account into which such residual value amounts negotiated in 
the return of United States military installations in NATO member 
states may be deposited, in the currency of the host nation, in lieu of 
direct monetary transfers to the United States Treasury: Provided, That 
such credits may be utilized only for the construction of facilities to 
support United States military forces in that host nation, or such real 
property maintenance and base operating costs that are currently 
executed through monetary transfers to such host nations: Provided 
further, That the Department of Defense's budget submission for fiscal 
year 1999 shall identify such sums anticipated in residual value 
settlements, and identify such construction, real property maintenance 
or base operating costs that shall be funded by the host nation through 
such credits: Provided further, That all military construction projects 
to be executed from such accounts must be previously approved in a 
prior Act of Congress: Provided further, That each such executive 
agreement with a NATO member host nation shall be reported to the 
congressional defense committees, the Committee on International 
Relations of the House of Representatives and the Committee on Foreign 
Relations of the Senate 30 days prior to the conclusion and endorsement 
of any such agreement established under this provision.
    Sec. 8020. None of the funds available to the Department of Defense 
may be used to demilitarize or dispose of M-1 Carbines, M-1 Garand 
rifles, M-14 rifles, .22 caliber rifles, .30 caliber rifles, or M-1911 
pistols.
    Sec. 8021. Notwithstanding any other provision of law, none of the 
funds appropriated by this Act shall be available to pay more than 50 
per centum of an amount paid to any person under section 308 of title 
37, United States Code, in a lump sum.
    Sec. 8022. No more than $500,000 of the funds appropriated or made 
available in this Act shall be used during a single fiscal year for any 
single relocation of an organization, unit, activity or function of the 
Department of Defense into or within the National Capital Region: 
Provided, That the Secretary of Defense may waive this restriction on a 
case-by-case basis by certifying in writing to the congressional 
defense committees that such a relocation is required in the best 
interest of the Government.
    Sec. 8023. A member of a reserve component whose unit or whose 
residence is located in a State which is not contiguous with another 
State is authorized to travel in a space required status on aircraft of 
the Armed Forces between home and place of inactive duty training, or 
place of duty in lieu of unit training assembly, when there is no road 
or railroad transportation (or combination of road and railroad 
transportation between those locations): Provided, That a member 
traveling in that status on a military aircraft pursuant to the 
authority provided in this section is not authorized to receive travel, 
transportation, or per diem allowances in connection with that travel.
    Sec. 8024. In addition to funds provided elsewhere in this Act, 
$8,000,000 is appropriated only for incentive payments authorized by 
section 504 of the Indian Financing Act of 1974, 25 U.S.C. 1544: 
Provided, That these payments shall be available only to contractors 
which have submitted subcontracting plans pursuant to 15 U.S.C. 637(d), 
and according to regulations which shall be promulgated by the 
Secretary of Defense within 90 days of the passage of this Act: 
Provided further, That contractors participating in the test program 
established by section 854 of Public Law 101-189 (15 U.S.C. 637 note) 
shall be eligible for the program established by section 504 of the 
Indian Financing Act of 1974 (25 U.S.C. 1544).
    Sec. 8025. During the current fiscal year, none of the funds 
available to the Department of Defense may be used to procure or 
acquire (1) defensive handguns unless such handguns are the M-9 or M-11 
9mm Department of Defense standard handguns, or (2) offensive handguns 
except for the Special Operations Forces: Provided, That the foregoing 
shall not apply to handguns and ammunition for marksmanship 
competitions.
    Sec. 8026. During the current fiscal year, funds appropriated or 
otherwise available for any Federal agency, the Congress, the judicial 
branch, or the District of Columbia may be used for the pay, 
allowances, and benefits of an employee as defined by section 2105 of 
title 5, United States Code, or an individual employed by the 
government of the District of Columbia, permanent or temporary 
indefinite, who--
        (1) is a member of a Reserve component of the Armed Forces, as 
    described in section 10101 of title 10, United States Code, or the 
    National Guard, as described in section 101 of title 32;
        (2) performs, for the purpose of providing military aid to 
    enforce the law or providing assistance to civil authorities in the 
    protection or saving of life or property or prevention of injury--
            (A) Federal service under sections 331, 332, 333, or 12406 
        of title 10, or other provision of law, as applicable; or
            (B) full-time military service for his or her State, the 
        District of Columbia, the Commonwealth of Puerto Rico, or a 
        territory of the United States; and
        (3) requests and is granted--
            (A) leave under the authority of this section; or
            (B) annual leave, which may be granted without regard to 
        the provisions of sections 5519 and 6323(b) of title 5, if such 
        employee is otherwise entitled to such annual leave:
Provided, That any employee who requests leave under subsection (3)(A) 
for service described in subsection (2) of this section is entitled to 
such leave, subject to the provisions of this section and of the last 
sentence of section 6323(b) of title 5, and such leave shall be 
considered leave under section 6323(b) of title 5.
    Sec. 8027. None of the funds appropriated by this Act shall be 
available to perform any cost study pursuant to the provisions of OMB 
Circular A-76 if the study being performed exceeds a period of 24 
months after initiation of such study with respect to a single function 
activity or 48 months after initiation of such study for a multi-
function activity.
    Sec. 8028. Funds appropriated by this Act for the American Forces 
Information Service shall not be used for any national or international 
political or psychological activities.
    Sec. 8029. Notwithstanding any other provision of law or 
regulation, the Secretary of Defense may adjust wage rates for civilian 
employees hired for certain health care occupations as authorized for 
the Secretary of Veterans Affairs by section 7455 of title 38, United 
States Code.
    Sec. 8030. None of the funds appropriated or made available in this 
Act shall be used to reduce or disestablish the operation of the 53rd 
Weather Reconnaissance Squadron of the Air Force Reserve, if such 
action would reduce the WC-130 Weather Reconnaissance mission below the 
levels funded in this Act.
    Sec. 8031. (a) Of the funds for the procurement of supplies or 
services appropriated by this Act, qualified nonprofit agencies for the 
blind or other severely handicapped shall be afforded the maximum 
practicable opportunity to participate as subcontractors and suppliers 
in the performance of contracts let by the Department of Defense.
    (b) During the current fiscal year, a business concern which has 
negotiated with a military service or defense agency a subcontracting 
plan for the participation by small business concerns pursuant to 
section 8(d) of the Small Business Act (15 U.S.C. 637(d)) shall be 
given credit toward meeting that subcontracting goal for any purchases 
made from qualified nonprofit agencies for the blind or other severely 
handicapped.
    (c) For the purpose of this section, the phrase ``qualified 
nonprofit agency for the blind or other severely handicapped'' means a 
nonprofit agency for the blind or other severely handicapped that has 
been approved by the Committee for the Purchase from the Blind and 
Other Severely Handicapped under the Javits-Wagner-O'Day Act (41 U.S.C. 
46-48).
    Sec. 8032. During the current fiscal year, net receipts pursuant to 
collections from third party payers pursuant to section 1095 of title 
10, United States Code, shall be made available to the local facility 
of the uniformed services responsible for the collections and shall be 
over and above the facility's direct budget amount.
    Sec. 8033. During the current fiscal year, the Department of 
Defense is authorized to incur obligations of not to exceed 
$350,000,000 for purposes specified in section 2350j(c) of title 10, 
United States Code, in anticipation of receipt of contributions, only 
from the Government of Kuwait, under that section: Provided, That, upon 
receipt, such contributions from the Government of Kuwait shall be 
credited to the appropriations or fund which incurred such obligations.
    Sec. 8034. Of the funds made available in this Act, not less than 
$26,247,000 shall be available for the Civil Air Patrol, of which 
$22,702,000 shall be available for operation and maintenance.
    Sec. 8035. (a) None of the funds appropriated in this Act are 
available to establish a new Department of Defense (department) 
federally funded research and development center (FFRDC), either as a 
new entity, or as a separate entity administrated by an organization 
managing another FFRDC, or as a nonprofit membership corporation 
consisting of a consortium of other FFRDCs and other non-profit 
entities.
    (b) Limitation on Compensation-Federally Funded Research and 
Development Center (FFRDC).--No member of a Board of Directors, 
Trustees, Overseers, Advisory Group, Special Issues Panel, Visiting 
Committee, or any similar entity of a defense FFRDC, and no paid 
consultant to any defense FFRDC, may be compensated for his or her 
services as a member of such entity, or as a paid consultant, except 
under the same conditions, and to the same extent, as members of the 
Defense Science Board: Provided, That a member of any such entity 
referred to previously in this subsection shall be allowed travel 
expenses and per diem as authorized under the Federal Joint Travel 
Regulations, when engaged in the performance of membership duties.
    (c) Notwithstanding any other provision of law, none of the funds 
available to the department from any source during fiscal year 1998 may 
be used by a defense FFRDC, through a fee or other payment mechanism, 
for charitable contributions, for construction of new buildings, for 
payment of cost sharing for projects funded by Government grants, or 
for absorption of contract overruns.
    (d) Notwithstanding any other provision of law, of the funds 
available to the department during fiscal year 1998, not more than 
6,206 staff years of technical effort (staff years) may be funded for 
defense FFRDCs: Provided, That of the specific amount referred to 
previously in this subsection, not more than 1,105 staff years may be 
funded for the defense studies and analysis FFRDCs.
    (e) Notwithstanding any other provision of law, the Secretary of 
Defense shall control the total number of staff years to be performed 
by defense FFRDCs during fiscal year 1998 so as to reduce the total 
amounts appropriated in titles II, III, and IV of this Act by 
$71,800,000: Provided, That the total amounts appropriated in titles 
II, III, and IV of this Act are hereby reduced by $71,800,000 to 
reflect savings from the use of defense FFRDCs by the department.
    (f) Within 60 days after enactment of this Act, the Secretary of 
Defense shall submit to the congressional defense committees a report 
presenting the specific amounts of staff years of technical effort to 
be allocated by the department for each defense FFRDC during fiscal 
year 1998: Provided, That, after the submission of the report required 
by this subsection, the department may not reallocate more than five 
per centum of an FFRDC's staff years among other defense FFRDCs until 
30 days after a detailed justification for any such reallocation is 
submitted to the congressional defense committees.
    (g) The Secretary of Defense shall, with the submission of the 
department's fiscal year 1999 budget request, submit a report 
presenting the specific amounts of staff years of technical effort to 
be allocated for each defense FFRDC during that fiscal year.
    (h) No part of the reductions contained in subsection (e) of this 
section may be applied against any budget activity, activity group, 
subactivity group, line item, program element, program, project, 
subproject or activity which does not fund defense FFRDC activities 
within each appropriation account, and the reductions in subsection (e) 
shall be allocated on a proportional basis.
    (i) Not later than 90 days after enactment of this Act, the 
Secretary of Defense shall submit to the congressional defense 
committees a report listing the specific funding reductions allocated 
to each category listed in subsection (h) above pursuant to this 
section.
    Sec. 8036. None of the funds in this or any other Act shall be 
available for the preparation of studies on--
        (1) the cost effectiveness or feasibility of removal and 
    transportation of unitary chemical weapons or agents from the 8 
    chemical storage sites within the continental United States to 
    Johnston Atoll: Provided, That this prohibition shall not apply to 
    General Accounting Office studies requested by a Member of Congress 
    or a Congressional Committee; and
        (2) the potential future uses of the 9 chemical disposal 
    facilities other than for the destruction of stockpile chemical 
    munitions and as limited by section 1412(c)(2), Public Law 99-145: 
    Provided, That this prohibition does not apply to future use 
    studies for the CAMDS facility at Tooele, Utah.
    Sec. 8037. None of the funds appropriated or made available in this 
Act shall be used to procure carbon, alloy or armor steel plate for use 
in any Government-owned facility or property under the control of the 
Department of Defense which were not melted and rolled in the United 
States or Canada: Provided, That these procurement restrictions shall 
apply to any and all Federal Supply Class 9515, American Society of 
Testing and Materials (ASTM) or American Iron and Steel Institute 
(AISI) specifications of carbon, alloy or armor steel plate: Provided 
further, That the Secretary of the military department responsible for 
the procurement may waive this restriction on a case-by-case basis by 
certifying in writing to the Committees on Appropriations of the House 
of Representatives and the Senate that adequate domestic supplies are 
not available to meet Department of Defense requirements on a timely 
basis and that such an acquisition must be made in order to acquire 
capability for national security purposes: Provided further, That these 
restrictions shall not apply to contracts which are in being as of the 
date of enactment of this Act.
    Sec. 8038. For the purposes of this Act, the term ``congressional 
defense committees'' means the National Security Committee of the House 
of Representatives, the Armed Services Committee of the Senate, the 
Subcommittee on Defense of the Committee on Appropriations of the 
Senate, and the Subcommittee on National Security of the Committee on 
Appropriations of the House of Representatives.
    Sec. 8039. During the current fiscal year, the Department of 
Defense may acquire the modification, depot maintenance and repair of 
aircraft, vehicles and vessels as well as the production of components 
and other Defense-related articles, through competition between 
Department of Defense depot maintenance activities and private firms: 
Provided, That the Senior Acquisition Executive of the military 
department or defense agency concerned, with power of delegation, shall 
certify that successful bids include comparable estimates of all direct 
and indirect costs for both public and private bids: Provided further, 
That Office of Management and Budget Circular A-76 shall not apply to 
competitions conducted under this section.
    Sec. 8040. (a)(1) If the Secretary of Defense, after consultation 
with the United States Trade Representative, determines that a foreign 
country which is party to an agreement described in paragraph (2) has 
violated the terms of the agreement by discriminating against certain 
types of products produced in the United States that are covered by the 
agreement, the Secretary of Defense shall rescind the Secretary's 
blanket waiver of the Buy American Act with respect to such types of 
products produced in that foreign country.
    (2) An agreement referred to in paragraph (1) is any reciprocal 
defense procurement memorandum of understanding, between the United 
States and a foreign country pursuant to which the Secretary of Defense 
has prospectively waived the Buy American Act for certain products in 
that country.
    (b) The Secretary of Defense shall submit to Congress a report on 
the amount of Department of Defense purchases from foreign entities in 
fiscal year 1998. Such report shall separately indicate the dollar 
value of items for which the Buy American Act was waived pursuant to 
any agreement described in subsection (a)(2), the Trade Agreement Act 
of 1979 (19 U.S.C. 2501 et seq.), or any international agreement to 
which the United States is a party.
    (c) For purposes of this section, the term ``Buy American Act'' 
means title III of the Act entitled ``An Act making appropriations for 
the Treasury and Post Office Departments for the fiscal year ending 
June 30, 1934, and for other purposes'', approved March 3, 1933 (41 
U.S.C. 10a et seq.).
    Sec. 8041. The total amounts appropriated in titles II, III, and IV 
of this Act are hereby reduced by $300,000,000 to reflect savings from 
the use of advisory and assistance services by the Department of 
Defense: Provided, That the savings shall be applied to the following 
titles in the following amounts:
        Title II, Operation and Maintenance, $112,000,000;
        Title III, Procurement, $62,000,000; and
        Title IV, Research, Development, Test and Evaluation, 
    $126,000,000:
Provided further, That the savings specified shall be applied only to 
funds budgeted to purchase advisory and assistance services: Provided 
further, That the savings shall be applied on a pro-rata basis to each 
program, project and activity which included budget funds for advisory 
and assistance services.
    Sec. 8042. Appropriations contained in this Act that remain 
available at the end of the current fiscal year as a result of energy 
cost savings realized by the Department of Defense shall remain 
available for obligation for the next fiscal year to the extent, and 
for the purposes, provided in section 2865 of title 10, United States 
Code.
    Sec. 8043. Notwithstanding any other provision of this Act, the 
amounts provided in all appropriation accounts in titles III and IV of 
this Act are reduced by 1.5 percent: Provided, That these reductions 
shall be applied on a pro-rata basis to each line item, program 
element, program, project, subproject, and activity within each 
appropriation account: Provided further, That not later than 60 days 
after the enactment of this Act, the Undersecretary of Defense 
(Comptroller) shall submit a report to the congressional defense 
committees listing the specific funding reductions allocated to each 
category listed in the preceding proviso pursuant to this section.


                      (including transfer of funds)

    Sec. 8044. Amounts deposited during the current fiscal year to the 
special account established under 40 U.S.C. 485(h)(2) and to the 
special account established under 10 U.S.C. 2667(d)(1) are appropriated 
and shall be available until transferred by the Secretary of Defense to 
current applicable appropriations or funds of the Department of Defense 
under the terms and conditions specified by 40 U.S.C. 485(h)(2)(A) and 
(B) and 10 U.S.C. 2667(d)(1)(B), to be merged with and to be available 
for the same time period and the same purposes as the appropriation to 
which transferred.
    Sec. 8045. During the current fiscal year, appropriations available 
to the Department of Defense may be used to reimburse a member of a 
reserve component of the Armed Forces who is not otherwise entitled to 
travel and transportation allowances and who occupies transient 
government housing while performing active duty for training or 
inactive duty training: Provided, That such members may be provided 
lodging in kind if transient government quarters are unavailable as if 
the member was entitled to such allowances under subsection (a) of 
section 404 of title 37, United States Code: Provided further, That if 
lodging in kind is provided, any authorized service charge or cost of 
such lodging may be paid directly from funds appropriated for operation 
and maintenance of the reserve component of the member concerned.
    Sec. 8046. The President shall include with each budget for a 
fiscal year submitted to the Congress under section 1105 of title 31, 
United States Code, materials that shall identify clearly and 
separately the amounts requested in the budget for appropriation for 
that fiscal year for salaries and expenses related to administrative 
activities of the Department of Defense, the military departments, and 
the Defense Agencies.
    Sec. 8047. Notwithstanding any other provision of law, funds 
available for ``Drug Interdiction and Counter-Drug Activities, 
Defense'' may be obligated for the Young Marines program.
    Sec. 8048. Notwithstanding any other provision of this Act, the 
total amount appropriated in title IV of this Act is hereby reduced by 
$474,000,000: Provided, That each program element, program, project, 
subproject, and activity funded in title IV of this Act shall be 
allocated a pro-rata share of any of the reductions made by this 
section: Provided further, That not later than 60 days after the 
enactment of this Act, the Undersecretary of Defense (Comptroller) 
shall submit a report to the congressional defense committees listing 
the specific funding reductions allocated to each category listed in 
the preceding proviso pursuant to this section.
    Sec. 8049. During the current fiscal year, amounts contained in the 
Department of Defense Overseas Military Facility Investment Recovery 
Account established by section 2921(c)(1) of the National Defense 
Authorization Act of 1991 (Public Law 101-510; 10 U.S.C. 2687 note) 
shall be available until expended for the payments specified by section 
2921(c)(2) of that Act.
    Sec. 8050. Of the funds appropriated or otherwise made available by 
this Act, not more than $119,200,000 shall be available for payment of 
the operating costs of NATO Headquarters: Provided, That the Secretary 
of Defense may waive this section for Department of Defense support 
provided to NATO forces in and around the former Yugoslavia.
    Sec. 8051. During the current fiscal year, appropriations which are 
available to the Department of Defense for operation and maintenance 
may be used to purchase items having an investment item unit cost of 
not more than $100,000.
    Sec. 8052. (a) During the current fiscal year, none of the 
appropriations or funds available to the Department of Defense Working 
Capital Funds shall be used for the purchase of an investment item for 
the purpose of acquiring a new inventory item for sale or anticipated 
sale during the current fiscal year or a subsequent fiscal year to 
customers of the Department of Defense Working Capital Funds if such an 
item would not have been chargeable to the Department of Defense 
Business Operations Fund during fiscal year 1994 and if the purchase of 
such an investment item would be chargeable during the current fiscal 
year to appropriations made to the Department of Defense for 
procurement.
    (b) The fiscal year 1999 budget request for the Department of 
Defense as well as all justification material and other documentation 
supporting the fiscal year 1999 Department of Defense budget shall be 
prepared and submitted to the Congress on the basis that any equipment 
which was classified as an end item and funded in a procurement 
appropriation contained in this Act shall be budgeted for in a proposed 
fiscal year 1999 procurement appropriation and not in the supply 
management business area or any other area or category of the 
Department of Defense Working Capital Funds.
    Sec. 8053. None of the funds provided in this Act and hereafter 
shall be available for use by a military department to modify an 
aircraft, weapon, ship or other item of equipment, that the military 
department concerned plans to retire or otherwise dispose of within 5 
years after completion of the modification: Provided, That this 
prohibition shall not apply to safety modifications: Provided further, 
That this prohibition may be waived by the Secretary of a military 
department if the Secretary determines it is in the best national 
security interest of the United States to provide such waiver and so 
notifies the congressional defense committees in writing.
    Sec. 8054. None of the funds appropriated by this Act for programs 
of the Central Intelligence Agency shall remain available for 
obligation beyond the current fiscal year, except for funds 
appropriated for the Reserve for Contingencies, which shall remain 
available until September 30, 1999.
    Sec. 8055. Notwithstanding any other provision of law, funds made 
available in this Act for the Defense Intelligence Agency may be used 
for the design, development, and deployment of General Defense 
Intelligence Program intelligence communications and intelligence 
information systems for the Services, the Unified and Specified 
Commands, and the component commands.
    Sec. 8056. Of the funds appropriated by the Department of Defense 
under the heading ``Operation and Maintenance, Defense-Wide'', not less 
than $8,000,000 shall be made available only for the mitigation of 
environmental impacts, including training and technical assistance to 
tribes, related administrative support, the gathering of information, 
documenting of environmental damage, and developing a system for 
prioritization of mitigation and cost to complete estimates for 
mitigation, on Indian lands resulting from Department of Defense 
activities.
    Sec. 8057. Amounts collected for the use of the facilities of the 
National Science Center for Communications and Electronics during the 
current fiscal year pursuant to section 1459(g) of the Department of 
Defense Authorization Act, 1986, and deposited to the special account 
established under subsection 1459(g)(2) of that Act are appropriated 
and shall be available until expended for the operation and maintenance 
of the Center as provided for in subsection 1459(g)(2).
    Sec. 8058. None of the funds appropriated in this Act may be used 
to fill the commander's position at any military medical facility with 
a health care professional unless the prospective candidate can 
demonstrate professional administrative skills.
    Sec. 8059. (a) None of the funds appropriated in this Act may be 
expended by an entity of the Department of Defense unless the entity, 
in expending the funds, complies with the Buy American Act. For 
purposes of this subsection, the term ``Buy American Act'' means title 
III of the Act entitled ``An Act making appropriations for the Treasury 
and Post Office Departments for the fiscal year ending June 30, 1934, 
and for other purposes'', approved March 3, 1933 (41 U.S.C. 10a et 
seq.).
    (b) If the Secretary of Defense determines that a person has been 
convicted of intentionally affixing a label bearing a ``Made in 
America'' inscription to any product sold in or shipped to the United 
States that is not made in America, the Secretary shall determine, in 
accordance with section 2410f of title 10, United States Code, whether 
the person should be debarred from contracting with the Department of 
Defense.
    (c) In the case of any equipment or products purchased with 
appropriations provided under this Act, it is the sense of the Congress 
that any entity of the Department of Defense, in expending the 
appropriation, purchase only American-made equipment and products, 
provided that American-made equipment and products are cost-
competitive, quality-competitive, and available in a timely fashion.
    Sec. 8060. None of the funds appropriated by this Act shall be 
available for a contract for studies, analysis, or consulting services 
entered into without competition on the basis of an unsolicited 
proposal unless the head of the activity responsible for the 
procurement determines--
        (1) as a result of thorough technical evaluation, only one 
    source is found fully qualified to perform the proposed work; or
        (2) the purpose of the contract is to explore an unsolicited 
    proposal which offers significant scientific or technological 
    promise, represents the product of original thinking, and was 
    submitted in confidence by one source; or
        (3) the purpose of the contract is to take advantage of unique 
    and significant industrial accomplishment by a specific concern, or 
    to insure that a new product or idea of a specific concern is given 
    financial support:
Provided, That this limitation shall not apply to contracts in an 
amount of less than $25,000, contracts related to improvements of 
equipment that is in development or production, or contracts as to 
which a civilian official of the Department of Defense, who has been 
confirmed by the Senate, determines that the award of such contract is 
in the interest of the national defense.
    Sec. 8061. (a) Except as provided in subsections (b) and (c), none 
of the funds made available by this Act may be used--
        (1) to establish a field operating agency; or
        (2) to pay the basic pay of a member of the Armed Forces or 
    civilian employee of the department who is transferred or 
    reassigned from a headquarters activity if the member or employee's 
    place of duty remains at the location of that headquarters.
    (b) The Secretary of Defense or Secretary of a military department 
may waive the limitations in subsection (a), on a case-by-case basis, 
if the Secretary determines, and certifies to the Committees on 
Appropriations of the House of Representatives and Senate that the 
granting of the waiver will reduce the personnel requirements or the 
financial requirements of the department.
    (c) This section does not apply to field operating agencies funded 
within the National Foreign Intelligence Program.
    Sec. 8062. Funds appropriated by this Act for intelligence 
activities are deemed to be specifically authorized by the Congress for 
purposes of section 504 of the National Security Act of 1947 (50 U.S.C. 
414) during fiscal year 1998 until the enactment of the Intelligence 
Authorization Act for Fiscal Year 1998.
    Sec. 8063. Notwithstanding section 303 of Public Law 96-487 or any 
other provision of law, the Secretary of the Navy is authorized to 
lease real and personal property at Naval Air Facility, Adak, Alaska, 
pursuant to 10 U.S.C. 2667(f), for commercial, industrial or other 
purposes.


                              (RESCISSIONS)

    Sec. 8064. Of the funds provided in Department of Defense 
Appropriations Acts, the following funds are hereby rescinded from the 
following accounts in the specified amounts:
        ``Shipbuilding and Conversion, Navy, 1996/2000'', $35,600,000;
        ``Other Procurement, Navy, 1996/1998'', $3,300,000;
        ``Aircraft Procurement, Army, 1997/1999'', $5,000,000;
        ``Procurement of Ammunition, Army, 1997/1999'', $5,000,000;
        ``Other Procurement, Army, 1997/1999'', $6,000,000;
        ``Other Procurement, Navy, 1997/1999'', $2,200,000;
        ``Aircraft Procurement, Navy, 1997/1999'', $24,000,000;
        ``Research, Development, Test and Evaluation, Army, 1997/
    1998'', $6,000,000;
        ``Research, Development, Test and Evaluation, Navy, 1997/
    1998'', $40,000,000;
        ``Research, Development, Test and Evaluation, Air Force, 1997/
    1998'', $25,000,000; and
        ``Research, Development, Test and Evaluation, Defense-Wide, 
    1997/1998'', $24,000,000.
    Sec. 8065. None of the funds available in this Act may be used to 
reduce the authorized positions for military (civilian) technicians of 
the Army National Guard, the Air National Guard, Army Reserve and Air 
Force Reserve for the purpose of applying any administratively imposed 
civilian personnel ceiling, freeze, or reduction on military (civilian) 
technicians, unless such reductions are a direct result of a reduction 
in military force structure.
    Sec. 8066. None of the funds appropriated or otherwise made 
available in this Act may be obligated or expended for assistance to 
the Democratic People's Republic of North Korea unless specifically 
appropriated for that purpose.
    Sec. 8067. During the current fiscal year, funds appropriated in 
this Act are available to compensate members of the National Guard for 
duty performed pursuant to a plan submitted by a Governor of a State 
and approved by the Secretary of Defense under section 112 of title 32, 
United States Code: Provided, That during the performance of such duty, 
the members of the National Guard shall be under State command and 
control: Provided further, That such duty shall be treated as full-time 
National Guard duty for purposes of sections 12602(a)(2) and (b)(2) of 
title 10, United States Code.
    Sec. 8068. Funds appropriated in this Act for operation and 
maintenance of the Military Departments, Unified and Specified Commands 
and Defense Agencies shall be available for reimbursement of pay, 
allowances and other expenses which would otherwise be incurred against 
appropriations for the National Guard and Reserve when members of the 
National Guard and Reserve provide intelligence support to Unified 
Commands, Defense Agencies and Joint Intelligence Activities, including 
the activities and programs included within the General Defense 
Intelligence Program and the Consolidated Cryptologic Program: 
Provided, That nothing in this section authorizes deviation from 
established Reserve and National Guard personnel and training 
procedures.
    Sec. 8069. During the current fiscal year, none of the funds 
appropriated in this Act may be used to reduce the civilian medical and 
medical support personnel assigned to military treatment facilities 
below the September 30, 1997 level: Provided, That the Service Surgeons 
General may waive this section by certifying to the congressional 
defense committees that the beneficiary population is declining in some 
catchment areas and civilian strength reductions may be consistent with 
responsible resource stewardship and capitation-based budgeting.


                      (including transfer of funds)

    Sec. 8070. None of the funds appropriated in this Act may be 
transferred to or obligated from the Pentagon Reservation Maintenance 
Revolving Fund, unless the Secretary of Defense certifies that the 
total cost for the planning, design, construction and installation of 
equipment for the renovation of the Pentagon Reservation will not 
exceed $1,118,000,000.
    Sec. 8071. (a) None of the funds available to the Department of 
Defense for any fiscal year for drug interdiction or counter-drug 
activities may be transferred to any other department or agency of the 
United States except as specifically provided in an appropriations law.
    (b) None of the funds available to the Central Intelligence Agency 
for any fiscal year for drug interdiction and counter-drug activities 
may be transferred to any other department or agency of the United 
States except as specifically provided in an appropriations law.


                           (transfer of funds)

    Sec. 8072. Appropriations available in this Act under the heading 
``Operation and Maintenance, Defense-Wide'' for increasing energy and 
water efficiency in Federal buildings may, during their period of 
availability, be transferred to other appropriations or funds of the 
Department of Defense for projects related to increasing energy and 
water efficiency, to be merged with and to be available for the same 
general purposes, and for the same time period, as the appropriation or 
fund to which transferred.
    Sec. 8073. None of the funds appropriated by this Act may be used 
for the procurement of ball and roller bearings other than those 
produced by a domestic source and of domestic origin: Provided, That 
the Secretary of the military department responsible for such 
procurement may waive this restriction on a case-by-case basis by 
certifying in writing to the Committees on Appropriations of the House 
of Representatives and the Senate, that adequate domestic supplies are 
not available to meet Department of Defense requirements on a timely 
basis and that such an acquisition must be made in order to acquire 
capability for national security purposes.
    Sec. 8074. Notwithstanding any other provision of law, funds 
available to the Department of Defense shall be made available to 
provide transportation of medical supplies and equipment, on a 
nonreimbursable basis, to American Samoa: Provided, That 
notwithstanding any other provision of law, funds available to the 
Department of Defense shall be made available to provide transportation 
of medical supplies and equipment, on a nonreimbursable basis, to the 
Indian Health Service when it is in conjunction with a civil-military 
project.
    Sec. 8075. None of the funds in this Act may be used to purchase 
any supercomputer which is not manufactured in the United States, 
unless the Secretary of Defense certifies to the congressional defense 
committees that such an acquisition must be made in order to acquire 
capability for national security purposes that is not available from 
United States manufacturers.
    Sec. 8076. Notwithstanding any other provision of law, the Naval 
shipyards of the United States shall be eligible to participate in any 
manufacturing extension program financed by funds appropriated in this 
or any other Act.
    Sec. 8077. Notwithstanding any other provision of law, each 
contract awarded by the Department of Defense during the current fiscal 
year for construction or service performed in whole or in part in a 
State which is not contiguous with another State and has an 
unemployment rate in excess of the national average rate of 
unemployment as determined by the Secretary of Labor, shall include a 
provision requiring the contractor to employ, for the purpose of 
performing that portion of the contract in such State that is not 
contiguous with another State, individuals who are residents of such 
State and who, in the case of any craft or trade, possess or would be 
able to acquire promptly the necessary skills: Provided, That the 
Secretary of Defense may waive the requirements of this section, on a 
case-by-case basis, in the interest of national security.
    Sec. 8078. During the current fiscal year, the Army shall use the 
former George Air Force Base as the airhead for the National Training 
Center at Fort Irwin: Provided, That none of the funds in this Act 
shall be obligated or expended to transport Army personnel into Edwards 
Air Force Base for training rotations at the National Training Center.
    Sec. 8079. (a) The Secretary of Defense shall submit, on a 
quarterly basis, a report to the congressional defense committees, the 
Committee on International Relations of the House of Representatives 
and the Committee on Foreign Relations of the Senate setting forth all 
costs (including incremental costs) incurred by the Department of 
Defense during the preceding quarter in implementing or supporting 
resolutions of the United Nations Security Council, including any such 
resolution calling for international sanctions, international 
peacekeeping operations, and humanitarian missions undertaken by the 
Department of Defense. The quarterly report shall include an aggregate 
of all such Department of Defense costs by operation or mission.
    (b) The Secretary of Defense shall detail in the quarterly reports 
all efforts made to seek credit against past United Nations 
expenditures and all efforts made to seek compensation from the United 
Nations for costs incurred by the Department of Defense in implementing 
and supporting United Nations activities.
    Sec. 8080. (a) Limitation on Transfer of Defense Articles and 
Services.--Notwithstanding any other provision of law, none of the 
funds available to the Department of Defense for the current fiscal 
year may be obligated or expended to transfer to another nation or an 
international organization any defense articles or services (other than 
intelligence services) for use in the activities described in 
subsection (b) unless the congressional defense committees, the 
Committee on International Relations of the House of Representatives, 
and the Committee on Foreign Relations of the Senate are notified 15 
days in advance of such transfer.
    (b) Covered Activities.--This section applies to--
        (1) any international peacekeeping or peace-enforcement 
    operation under the authority of chapter VI or chapter VII of the 
    United Nations Charter under the authority of a United Nations 
    Security Council resolution; and
        (2) any other international peacekeeping, peace-enforcement, or 
    humanitarian assistance operation.
    (c) Required Notice.--A notice under subsection (a) shall include 
the following:
        (1) A description of the equipment, supplies, or services to be 
    transferred.
        (2) A statement of the value of the equipment, supplies, or 
    services to be transferred.
        (3) In the case of a proposed transfer of equipment or 
    supplies--
            (A) a statement of whether the inventory requirements of 
        all elements of the Armed Forces (including the reserve 
        components) for the type of equipment or supplies to be 
        transferred have been met; and
            (B) a statement of whether the items proposed to be 
        transferred will have to be replaced and, if so, how the 
        President proposes to provide funds for such replacement.
    Sec. 8081. To the extent authorized by subchapter VI of chapter 148 
of title 10, United States Code, the Secretary of Defense shall issue 
loan guarantees in support of United States defense exports not 
otherwise provided for: Provided, That the total contingent liability 
of the United States for guarantees issued under the authority of this 
section may not exceed $15,000,000,000: Provided further, That the 
exposure fees charged and collected by the Secretary for each 
guarantee, shall be paid by the country involved and shall not be 
financed as part of a loan guaranteed by the United States: Provided 
further, That the Secretary shall provide quarterly reports to the 
Committees on Appropriations, Armed Services and Foreign Relations of 
the Senate and the Committees on Appropriations, National Security and 
International Relations in the House of Representatives on the 
implementation of this program: Provided further, That amounts charged 
for administrative fees and deposited to the special account provided 
for under section 2540c(d) of title 10, shall be available for paying 
the costs of administrative expenses of the Department of Defense that 
are attributable to the loan guarantee program under subchapter VI of 
chapter 148 of title 10.
    Sec. 8082. None of the funds available to the Department of Defense 
shall be obligated or expended to make a financial contribution to the 
United Nations for the cost of an United Nations peacekeeping activity 
(whether pursuant to assessment or a voluntary contribution) or for 
payment of any United States arrearage to the United Nations.
    Sec. 8083. None of the funds available to the Department of Defense 
under this Act shall be obligated or expended to pay a contractor under 
a contract with the Department of Defense for costs of any amount paid 
by the contractor to an employee when--
        (1) such costs are for a bonus or otherwise in excess of the 
    normal salary paid by the contractor to the employee; and
        (2) such bonus is part of restructuring costs associated with a 
    business combination.
    Sec. 8084. (a) None of the funds appropriated or otherwise made 
available in this Act may be used to transport or provide for the 
transportation of chemical munitions or agents to the Johnston Atoll 
for the purpose of storing or demilitarizing such munitions or agents.
    (b) The prohibition in subsection (a) shall not apply to any 
obsolete World War II chemical munition or agent of the United States 
found in the World War II Pacific Theater of Operations.
    (c) The President may suspend the application of subsection (a) 
during a period of war in which the United States is a party.
    Sec. 8085. None of the funds provided in title II of this Act for 
``Former Soviet Union Threat Reduction'' may be obligated or expended 
to finance housing for any individual who was a member of the military 
forces of the Soviet Union or for any individual who is or was a member 
of the military forces of the Russian Federation.
    Sec. 8086. During the current fiscal year, no more than $10,000,000 
of appropriations made in this Act under the heading ``Operation and 
Maintenance, Defense-Wide'' may be transferred to appropriations 
available for the pay of military personnel, to be merged with, and to 
be available for the same time period as the appropriations to which 
transferred, to be used in support of such personnel in connection with 
support and services for eligible organizations and activities outside 
the Department of Defense pursuant to section 2012 of title 10, United 
States Code.
    Sec. 8087. For purposes of section 1553(b) of title 31, United 
States Code, any subdivision of appropriations made in this Act under 
the heading ``Shipbuilding and Conversion, Navy'' shall be considered 
to be for the same purpose as any subdivision under the heading 
``Shipbuilding and Conversion, Navy'' appropriations in any prior year, 
and the 1 percent limitation shall apply to the total amount of the 
appropriation.
    Sec. 8088. Notwithstanding 31 U.S.C. 1552(a), not more than 
$14,000,000 appropriated under the heading ``Aircraft Procurement, Air 
Force'' in Public Law 102-396 which was available and obligated for the 
B-2 Aircraft Program shall remain available for expenditure and for 
adjusting obligations for such program until September 30, 2003.
    Sec. 8089. During the current fiscal year, in the case of an 
appropriation account of the Department of Defense for which the period 
of availability for obligation has expired or which has closed under 
the provisions of section 1552 of title 31, United States Code, and 
which has a negative unliquidated or unexpended balance, an obligation 
or an adjustment of an obligation may be charged to any current 
appropriation account for the same purpose as the expired or closed 
account if--
        (1) the obligation would have been properly chargeable (except 
    as to amount) to the expired or closed account before the end of 
    the period of availability or closing of that account;
        (2) the obligation is not otherwise properly chargeable to any 
    current appropriation account of the Department of Defense; and
        (3) in the case of an expired account, the obligation is not 
    chargeable to a current appropriation of the Department of Defense 
    under the provisions of section 1405(b)(8) of the National Defense 
    Authorization Act for Fiscal Year 1991, Public Law 101-510, as 
    amended (31 U.S.C. 1551 note): Provided, That in the case of an 
    expired account, if subsequent review or investigation discloses 
    that there was not in fact a negative unliquidated or unexpended 
    balance in the account, any charge to a current account under the 
    authority of this section shall be reversed and recorded against 
    the expired account: Provided further, That the total amount 
    charged to a current appropriation under this section may not 
    exceed an amount equal to 1 percent of the total appropriation for 
    that account.


                           (transfer of funds)

    Sec. 8090. Upon enactment of this Act, the Secretary of Defense 
shall make the following transfers of funds: Provided, That the amounts 
transferred shall be available for the same purposes as the 
appropriations to which transferred, and for the same time period as 
the appropriation from which transferred: Provided further, That the 
amounts shall be transferred between the following appropriations in 
the amount specified:
        From:
            Under the heading, ``Shipbuilding and Conversion, Navy, 
        1989/2000'':
                SSN-688 attack submarine program, $3,000,000;
                DDG-51 destroyer program, $1,500,000;
                LHD-1 amphibious assault ship program, $8,000,000;
                T-AO fleet oiler program, $3,453,000;
                AOE combat support ship program, $3,600,000; and
                For craft, outfitting, and post delivery, $2,019,000;
        To:
            Under the heading, ``Shipbuilding and Conversion, Navy, 
        1989/2000'':
                SSN-21 attack submarine program, $21,572,000;
        From:
            Under the heading, ``Shipbuilding and Conversion, Navy, 
        1991/2001'':
                DDG-51 destroyer program, $1,060,000;
                LHD-1 amphibious assault ship program, $1,600,000;
                LSD-41 cargo variant ship program, $2,666,000;
                AOE combat support ship program, $7,307,000; and
                For craft, outfitting, and post delivery, $12,000,000;
        To:
            Under the heading, ``Shipbuilding and Conversion, Navy, 
        1991/2001'':
                SSN-21 attack submarine program, $24,633,000;
        From:
            Under the heading, ``Shipbuilding and Conversion, Navy, 
        1996/2000'':
                LHD-1 amphibious assault ship program, $5,592,000;
        To:
            Under the heading, ``Shipbuilding and Conversion, Navy, 
        1996/2000'':
                SSN-21 attack submarine program, $5,592,000;
        From:
            Under the heading, ``Shipbuilding and Conversion, Navy, 
        1994/1998'':
                LHD-1 amphibious assault ship program, $400,000; and
                DDG-51 destroyer program, $1,054,000;
        From:
            Under the heading, ``Shipbuilding and Conversion, Navy, 
        1995/1999'':
                For craft, outfitting, and post delivery, conversions, 
            and first destination transportation, $715,000;
        From:
            Under the heading, ``Shipbuilding and Conversion, Navy, 
        1996/2000'':
                LHD-1 amphibious assault ship program, $17,513,000; and
                For craft, outfitting, and post delivery, conversions, 
            and first destination transportation, $878,000;
        From:
            Under the heading, ``Shipbuilding and Conversion, Navy, 
        1997/2001'':
                For craft, outfitting, and post delivery, conversions, 
            and first destination transportation, $3,600,000;
        To:
            Under the heading, ``Shipbuilding and Conversion, Navy, 
        1997/2001'':
                DDG-51 destroyer program, $24,160,000;
        From:
            Under the heading, ``Shipbuilding and Conversion, Navy, 
        1996/2000'':
                Fast Patrol Boat, $9,500,000;
        To:
            ``Research, Development, Test and Evaluation, Navy, 1998/
        1999'', $9,500,000;
        From:
            Under the heading, ``Shipbuilding and Conversion, Navy, 
        1997/2001'':
                Oceanographic ship SWATH, $45,000,000;
        To:
            ``Research, Development, Test and Evaluation, Navy, 1998/
        1999'', $45,000,000;
        From:
            ``Aircraft Procurement, Air Force, 1997/1999'', 
        $73,531,000;
        To:
            ``Research, Development, Test and Evaluation, Air Force, 
        1997/1998'', $73,531,000:
Provided further, That notwithstanding any other provision of law, to 
facilitate a full and final settlement of all claims under contracts 
N00024-79-C-2614 and N00024-77-C-2031, the Secretary of the Navy may 
offset the amount of $1,660,680.84, owed by the Navy under contract 
N00024-79-C-2614 for the T-ARC-7 against an equal amount, 
$1,660,680.84, owed to the Navy under contract N00024-77-C-2031 for the 
AD 43.
    Sec. 8091. The Under Secretary of Defense (Comptroller) shall 
submit to the congressional defense committees by February 1, 1998 a 
detailed report identifying, by amount and by separate budget activity, 
activity group, subactivity group, line item, program element, program, 
project, subproject, and activity, any activity for which the fiscal 
year 1999 budget request was reduced because Congress appropriated 
funds above the President's budget request for that specific activity 
for fiscal year 1998.
    Sec. 8092. (a) None of the funds available to the Department of 
Defense under this Act may be obligated or expended to reimburse a 
defense contractor for restructuring costs associated with a business 
combination of the defense contractor that occurs after the date of 
enactment of this Act unless--
        (1) the auditable savings for the Department of Defense 
    resulting from the restructuring will exceed the costs allowed by a 
    factor of at least two to one; or
        (2) the savings for the Department of Defense resulting from 
    the restructuring will exceed the costs allowed and the Secretary 
    of Defense determines that the business combination will result in 
    the preservation of a critical capability that might otherwise be 
    lost to the Department; and
        (3) the report required by section 818(e) of Public Law 103-337 
    to be submitted to Congress in 1997 is submitted.
    (b) Not later than April 1, 1998, the Comptroller General shall, in 
consultation with the Inspector General of the Department of Defense, 
the Secretary of Defense, and the Secretary of Labor, submit to 
Congress a report which shall include the following:
        (1) an analysis and breakdown of the restructuring costs paid 
    by or submitted to the Department of Defense to companies involved 
    in business combinations since 1993;
        (2) an analysis of the specific costs associated with workforce 
    reductions;
        (3) an analysis of the services provided to the workers 
    affected by business combinations;
        (4) an analysis of the effectiveness of the restructuring costs 
    used to assist laid off workers in gaining employment; and
        (5) in accordance with section 818 of Public Law 103-337, an 
    analysis of the savings reached from the business combination 
    relative to the restructuring costs paid by the Department of 
    Defense.
    (c) The report should set forth recommendations to make this 
program more effective for workers affected by business combinations 
and more efficient in terms of the use of Federal dollars.
    Sec. 8093. Funds appropriated in title II of this Act for 
supervision and administration costs for facilities maintenance and 
repair, minor construction, or design projects may be obligated at the 
time the reimbursable order is accepted by the performing activity: 
Provided, That for the purpose of this section, supervision and 
administration costs includes all in-house Government cost.
    Sec. 8094. The Secretary of Defense may waive reimbursement of the 
cost of conferences, seminars, courses of instruction, or similar 
educational activities of the Asia-Pacific Center for Security Studies 
for military officers and civilian officials of foreign nations if the 
Secretary determines that attendance by such personnel, without 
reimbursement, is in the national security interest of the United 
States: Provided, That costs for which reimbursement is waived pursuant 
to this subsection shall be paid from appropriations available for the 
Asia-Pacific Center.
    Sec. 8095. (a) Notwithstanding any other provision of law, the 
Chief of the National Guard Bureau may permit the use of equipment of 
the National Guard Distance Learning Project by any person or entity on 
a space-available, reimbursable basis. The Chief of the National Guard 
Bureau shall establish the amount of reimbursement for such use on a 
case-by-case basis.
    (b) Amounts collected under subsection (a) shall be credited to 
funds available for the National Guard Distance Learning Project and be 
available to defray the costs associated with the use of equipment of 
the project under that subsection. Such funds shall be available for 
such purposes without fiscal year limitation.
    Sec. 8096. Using funds available by this Act or any other Act, the 
Secretary of the Air Force, pursuant to a determination under section 
2690 of title 10, United States Code, may implement cost-effective 
agreements for required heating facility modernization in the 
Kaiserslautern Military Community in the Federal Republic of Germany: 
Provided, That in the City of Kaiserslautern such agreements will 
include the use of United States anthracite as the base load energy for 
municipal district heat to the United States Defense installations: 
Provided further, That at Landstuhl Army Regional Medical Center and 
Ramstein Air Base, furnished heat may be obtained from private, 
regional or municipal services, if provisions are included for the 
consideration of United States coal as an energy source.
    Sec. 8097. Notwithstanding any other provision of law, and 
notwithstanding the provisions in section 7306 of title 10, United 
States Code, in addition to amounts otherwise appropriated or made 
available by this Act, $13,000,000 is appropriated to the Department of 
the Navy and shall be available only for a grant to the Intrepid Sea-
Air-Space Foundation only for the refurbishment of the former U.S.S. 
Intrepid (CV 11).
    Sec. 8098. In accordance with section 1557 of title 31, United 
States Code, the following obligated balance shall be exempt from 
subchapter IV of chapter 15 of such title and shall remain available 
for expenditure without fiscal year limitation: Funds obligated by the 
Economic Development Administration for EDA Project No. 04-49-04095 
from funds made available in the Department of Defense Appropriations 
Act, 1994 (Public Law 103-189).
    Sec. 8099. None of the funds provided by this Act may be used to 
pay costs of instruction for an Air Force officer for enrollment 
commencing during the 1998-1999 academic year in a postgraduate degree 
program at a civilian educational institution if--
        (1) the degree program to be pursued by that officer is offered 
    by the Air Force Institute of Technology (or was offered by that 
    institute during the 1996-1997 academic year);
        (2) the officer is qualified for enrollment at the Air Force 
    Institute of Technology in that degree program; and
        (3) the number of students commencing that degree program at 
    the Air Force Institute of Technology during the first semester of 
    the 1998-1999 academic year is less than the number of students 
    commencing that degree program for the first semester of the 1996-
    1997 academic year.
    Sec. 8100. During the current fiscal year, the amounts which are 
necessary for the operation and maintenance of the Fisher Houses 
administered by the Departments of the Army, the Navy, and the Air 
Force are hereby appropriated, to be derived from amounts which are 
available in the applicable Fisher House trust fund established under 
10 U.S.C. 2221 for the Fisher Houses of each such department.
    Sec. 8101. During the current fiscal year, refunds attributable to 
the use of the Government travel card by military personnel and 
civilian employees of the Department of Defense may be credited to 
operation and maintenance accounts of the Department of Defense which 
are current when the refunds are received.
    Sec. 8102. During the current fiscal year, not more than a total of 
$60,000,000 in withdrawal credits may be made by the Marine Corps 
Supply Management activity group of the Navy Working Capital Fund, 
Department of Defense Working Capital Funds, to the credit of current 
applicable appropriations of a Department of Defense activity in 
connection with the acquisition of critical low density repairables 
that are capitalized into the Navy Working Capital Fund.
    Sec. 8103. Notwithstanding 31 U.S.C. 3902, during the current 
fiscal year interest penalties may be paid by the Department of Defense 
from funds financing the operation of the military department or 
defense agency with which the invoice or contract payment is 
associated.
    Sec. 8104. At the time the President submits his budget for fiscal 
year 1999, the Department of Defense shall transmit to the 
congressional defense committees a budget justification document for 
the active and reserve Military Personnel accounts, to be known as the 
``M-1'', which shall identify, at the budget activity, activity group, 
and subactivity group level, the amounts requested by the President to 
be appropriated to the Department of Defense for military personnel in 
any budget request, or amended budget request, for fiscal year 1999.
    Sec. 8105. Notwithstanding any other provision in this Act, the 
total amount appropriated in this Act is hereby reduced by $100,000,000 
to reflect savings due to excess inventory, to be distributed as 
follows: ``Operation and Maintenance, Army'', $40,000,000; ``Operation 
and Maintenance, Navy'', $40,000,000; and ``Operation and Maintenance, 
Air Force'', $20,000,000.
    Sec. 8106. Notwithstanding any other provision in this Act, the 
total amount appropriated in title III of this Act is hereby reduced by 
$75,000,000 to reflect savings from repeal of section 2403 of title 10, 
United States Code.
    Sec. 8107. The Secretary of the Army may exchange or sell one Army 
C-20 aircraft and may apply the exchange allowance or sale proceeds in 
whole or in part payment for the acquisition of one C-37 aircraft: 
Provided, That in addition to such exchange allowance or sale proceeds, 
of the amount appropriated for fiscal year 1998 for Aircraft 
Procurement, Air Force, not more than $6,000,000 shall be made 
available for acquisition of the C-37 for the United States Army: 
Provided further, That in addition to such exchange allowance or sale 
proceeds, of the amount appropriated for fiscal year 1997 for Aircraft 
Procurement, Air Force, not more than $27,100,000 shall be made 
available for acquisition of the C-37 for the United States Army.
    Sec. 8108. During the current fiscal year, the Secretary of Defense 
may award contracts for capital assets having a development or 
acquisition cost of not less than $100,000 of a Working Capital Fund in 
advance of the availability of funds in the Working Capital Fund for 
minor construction, automatic data processing equipment, software, 
equipment, and other capital improvements.
    Sec. 8109. From funds made available by this Act for the Maritime 
Technology Program up to $250,000 shall be made available to assist 
with a pilot project that will facilitate the transfer of commercial 
cruise ship shipbuilding technology and expertise to United States 
yards, utilize the experience and expertise of existing U.S.-flag 
cruise ship operators, and enable the operation of a U.S.-flag foreign-
built cruise ship, and two newly constructed U.S.-flag cruise ships: 
Provided, That a person (including a related person with respect to 
that person) who, within 18 months after the date of enactment, enters 
into a binding contract for construction in the United States of two 
cruise ships, which contract shall provide for the construction of two 
cruise ships of equal or greater size than the cruise ship being 
operated by such person on the date of enactment and shall require the 
delivery of the first cruise ship no later than January 1, 2005, and 
the second cruise ship no later than January 1, 2008, may document with 
a coastwise endorsement a cruise ship constructed pursuant to this 
section and a foreign-built cruise ship otherwise in compliance with 46 
U.S.C. 289, 883, and 12106 until such date which is 24 months after the 
delivery of the second cruise ship or any subsequently delivered cruise 
ship: Provided further, That a person (including a related person with 
respect to that person) within the meaning of 46 U.S.C. 801 may not 
operate a U.S.-flag foreign-built cruise ship, or any other cruise 
ship, in coastwise trade between or among the islands of Hawaii, upon 
execution of the contract referred to in this section and continuing 
throughout the life expectancy (as that term is used in 46 U.S.C. App. 
1125) of a newly constructed U.S.-flag cruise ship referred to in this 
section, unless the cruise ship is operated by a person (including a 
related person with respect to that person) that is operating a cruise 
ship in coastwise trade between or among the islands of Hawaii on the 
date of enactment, except if any cruise ship constructed pursuant to 
this section operates in regular service other than between or among 
the islands of Hawaii: Provided further, That for purposes of this 
section the term ``cruise ship'' means a vessel that is at least 10,000 
gross tons (as measured under chapter 143 of title 46, United States 
Code) and has berth or stateroom accommodations for at least 275 
passengers: Provided further, That for purposes of this section, unless 
otherwise defined in this section, the term ``person'' means a 
corporation, partnership or association the controlling interest of 
which is owned by citizens of the United States within the meaning of 
46 U.S.C. 802(b): Provided further, That for purposes of this section 
the term ``related person'' means with respect to a person: (1) a 
holding company, subsidiary, affiliate or association of the person; 
and (2) an officer, director, or agent of the person or of an entity 
referred to in (1): Provided further, That none of the funds provided 
in this or any other Act may be obligated for the tooling to construct 
or the construction of vessels addressed by this section.
    Sec. 8110. The Secretary of Defense shall submit to the 
congressional defense committees not later than November 15, 1997 an 
aviation safety plan outlining an appropriate level of navigational 
safety upgrades for all Department of Defense aircraft and the 
associated funding profile to install these upgrades in an expeditious 
manner.
    Sec. 8111. Notwithstanding any other provision of law, the 
Secretary of Defense shall obligate the funds provided for University 
Research Initiatives in the Department of Defense Appropriations Act, 
1997 (titles I through VIII under section 101(b) of Public Law 104-208) 
for the projects and in the amounts provided for in House Report 104-
863 of the House of Representatives, 104th Congress, 2d session.
    Sec. 8112. The Secretary of Defense shall submit to the Committees 
on Appropriations of the House of Representatives and Senate, not later 
than April 15, 1998, a report on alternatives for current theater 
combat simulations: Provided, That this report shall be based on a 
review and evaluation by the Defense Science Board of the adequacy of 
the current models used by the Department of Defense for theater combat 
simulations, with particular emphasis on the tactical warfare (TACWAR) 
model and the ability of that model to adequately measure airpower, 
stealth, and other asymmetrical United States warfighting advantages, 
and shall include the recommendations of the Defense Science Board for 
improvements to current models and modeling techniques.
    Sec. 8113. Effective on June 30, 1998, section 8106(a) of the 
Department of Defense Appropriations Act, 1997 (titles I through VIII 
of the matter under section 101(b) of Public Law 104-208; 110 Stat. 
3009-111; 10 U.S.C. 113 note), is amended by striking ``$3,000,000'' 
and inserting ``$1,000,000''.
    Sec. 8114. None of the funds appropriated in title IV of this Act 
may be used to procure end-items for delivery to military forces for 
operational training, operational use or inventory requirements: 
Provided, That this restriction does not apply to end-items used in 
development, prototyping, and test activities preceding and leading to 
acceptance for operational use: Provided further, That this restriction 
does not apply to programs funded within the National Foreign 
Intelligence Program: Provided further, That the Secretary of Defense 
may waive this restriction on a case-by-case basis by certifying in 
writing to the Committees on Appropriations of the House of 
Representatives and the Senate that it is in the national security 
interest to do so.
    Sec. 8115. It is the sense of the Congress that all member nations 
of the North Atlantic Treaty Organization (NATO) should contribute 
their proportionate share to pay for the costs of the Partnership for 
Peace program and for any future costs attributable to the expansion of 
NATO.
    Sec. 8116. The budget of the President for fiscal year 1999 
submitted to Congress pursuant to section 1105 of title 31, United 
States Code, and each annual budget request thereafter, shall include 
budget activity groups (known as ``subactivities'') in the operation 
and maintenance accounts of the military departments and other 
appropriation accounts, as may be necessary, to separately identify all 
costs incurred by the Department of Defense to support the expansion of 
the North Atlantic Treaty Organization. The budget justification 
materials submitted to Congress in support of the budget of the 
Department of Defense for fiscal year 1999, and subsequent fiscal 
years, shall provide complete, detailed estimates for the incremental 
costs of such expansion.
    Sec. 8117. None of the funds made available in this Act may be 
obligated or expended to enter into or renew a contract with a 
contractor that is subject to the reporting requirement set forth in 
subsection (d) of section 4212 of title 38, United States Code, but has 
not submitted the most recent report required by such subsection for 
1997 or a subsequent year.
    Sec. 8118. None of the funds made available in this Act may be used 
to approve or license the sale of the F-22 advanced tactical fighter to 
any foreign government.
    Sec. 8119. None of the funds appropriated or otherwise made 
available by this Act may be made available for the United States Man 
and the Biosphere Program, or related projects.
    Sec. 8120. Up to $4,500,000 of funds available to the Department of 
Defense may be available for the payment of claims for loss and damage 
to personal property suffered as a direct result of the flooding in the 
Red River Basin during April and May, 1997 by members of the Armed 
Forces residing in the vicinity of Grand Forks Air Force Base, North 
Dakota, without regard to the provisions of section 3721(e) of title 
31, United States Code.
    Sec. 8121. Of the total amount appropriated under title II for the 
Navy, the Secretary of the Navy shall make $25,000,000 available for a 
program to demonstrate expanded use of multitechnology automated reader 
cards throughout the Navy and the Marine Corps, including demonstration 
of the use of the so-called ``smartship'' technology of the ship-to-
shore work load/off load program.
    Sec. 8122. (a) Findings.--(1) The North Atlantic Treaty 
Organization, at the Madrid summit, decided to admit three new members, 
the Czech Republic, Poland and Hungary.
    (2) The President, on behalf of the United States endorsed and 
advocated the expansion of the North Atlantic Treaty Organization to 
include three additional members.
    (3) The Senate will consider the ratification of instruments to 
approve the admissions of new members to the North Atlantic Treaty 
Organization.
    (4) The United States has contributed more than $20,000,000,000 
since 1952 for infrastructure and support of the Alliance.
    (5) In appropriations Acts considered by the Congress for fiscal 
year 1998, $449,000,000 has been requested by the President for 
expenditures in direct support of United States participation in the 
Alliance.
    (6) In appropriations Acts considered by the Congress for fiscal 
year 1998, $9,983,300,000 has been requested by the President in 
support of United States military expenditures in North Atlantic Treaty 
Organization countries.
    (b) Report to Congress.--The Secretary of Defense shall identify 
and report to the congressional defense committees not later than 
October 1, 1997--
        (1) the amounts necessary, by appropriation account, for all 
    anticipated costs to the United States for the admission of the 
    Czech Republic, Poland and Hungary to the North Atlantic Treaty 
    Organization for the fiscal years 1998, 1999, 2000, 2001 and 2002; 
    and
        (2) any new commitments or obligations entered into or assumed 
    by the United States in association with the admission of new 
    members to the Alliance, to include the deployment of United States 
    military personnel, the provision of defense articles or equipment, 
    training activities and the modification and construction of 
    military facilities.
    Sec. 8123. (a) The Secretary of Defense may, on a case-by-case 
basis, waive with respect to a foreign country each limitation on the 
procurement of defense items from foreign sources provided in law if 
the Secretary determines that the application of the limitation with 
respect to that country would invalidate cooperative programs entered 
into between the Department of Defense and the foreign country, or 
would invalidate reciprocal trade agreements for the procurement of 
defense items entered into under section 2531 of title 10, United 
States Code, and the country does not discriminate against the same or 
similar defense items produced in the United States for that country.
    (b) Subsection (a) applies with respect to--
        (1) contracts and subcontracts entered into on or after the 
    date of the enactment of this Act; and
        (2) options for the procurement of items that are exercised 
    after such date under contracts that are entered into before such 
    date if the option prices are adjusted for any reason other than 
    the application of a waiver granted under subsection (a).
    (c) Subsection (a) does not apply to a limitation regarding 
construction of warships, ball and roller bearings, and clothing or 
textile materials as defined by section 11 (chapters 50-65) of the 
Harmonized Tariff Schedule and products classified under headings 4010, 
4202, 4203, 6401 through 6406, 6505, 7019, and 9404.
    Sec. 8124. It is the sense of Congress that should the Senate 
ratify NATO enlargement, that the proportional cost of the United 
States share of the NATO common budget should not increase, and that if 
any NATO member does not pay its share, the United States shall not pay 
either.
    Sec. 8125. Congress finds that the Defense Base Closure and 
Realignment Commission directed the transfer of only 10 electro-
magnetic test environment systems from Eglin Air Force Base, Florida to 
Nellis Air Force Base, Nevada.
    Sec. 8126. (a) Findings.--
        (1) the Department of Defense budget is insufficient to fulfill 
    all the requirements on the unfunded priorities lists of the 
    military services and defense agencies;
        (2) the documented printing expenses of the Department of 
    Defense amount to several hundred million dollars per year, and a 
    similar amount of undocumented printing expenses may be included in 
    external defense contracts;
        (3) printing in two or more colors generally increases costs;
        (4) the Joint Committee on Printing of the Congress of the 
    United States has established regulations intended to protect 
    taxpayers from extravagant Government printing expenses;
        (5) the Government Printing and Binding Regulations published 
    by the Joint Committee on Printing direct that ``* * * it is the 
    responsibility of the head of any department, independent office or 
    establishment of the Government to assure that all multicolor 
    printing shall contribute demonstrable value toward achieving a 
    greater fulfillment of the ultimate end-purpose of whatever printed 
    item in which it is included.'';
        (6) the Department of Defense publishes a large number of 
    brochures, calendars, and other products in which the use of 
    multicolor printing does not appear to meet the demonstrably 
    valuable contribution requirement of the Joint Committee on 
    Printing, but instead appears to be used primarily for decorative 
    effect; and
        (7) the Department of Defense could save resources for higher 
    priority needs by reducing printing expenses.
    (b) Sense of the Senate.--Therefore, it is the sense of the Senate 
that--
        (1) the Secretary of Defense should ensure that the printing 
    costs of the Department of Defense and military services are held 
    to the lowest amount possible;
        (2) the Department of Defense should strictly comply with the 
    Printing and Binding Regulations published by the Joint Committee 
    on Printing of the Congress of the United States; and
        (3) the Department of Defense budget submission for fiscal year 
    1999 should reflect the savings that will result from the stricter 
    printing guidelines in paragraphs (1) and (2).


                              (RESCISSIONS)

    Sec. 8127. Of the funds provided in title III of the Department of 
Defense Appropriations Act, 1996 (Public Law 104-61), $62,000,000 are 
rescinded, and of the funds provided in title IV of the Department of 
Defense Appropriations Act, 1997 (as contained in section 101(b) of 
Public Law 104-208), $38,000,000 are rescinded: Provided, That such 
rescissions shall not be made before July 1, 1998: Provided further, 
That not later than June 1, 1998, the Undersecretary of Defense 
(Comptroller) shall submit a report to the congressional defense 
committees listing the specific programs, projects and activities 
proposed for rescission subject to the provisions of this section.
    Sec. 8128. Section 303(e) of the 1997 Emergency Supplemental 
Appropriations Act for Recovery from Natural Disasters, and for 
Overseas Peacekeeping Efforts, Including Those in Bosnia (Public Law 
105-18; 111 Stat. 168) is struck and the following is inserted in lieu 
thereof:
    ``(e) Availability of Funds.--The Secretary may use funds available 
in the Defense Working Capital Fund for the payment of the costs of 
utilities, maintenance and repair, and improvements entered into under 
the lease under this section.''.
    Sec. 8129. Subject to amounts appropriated under the heading 
``Shipbuilding and Conversion, Navy'' in this Act for the New Attack 
Submarine Program, and notwithstanding any provisions of the National 
Defense Authorization Act for Fiscal Year 1996 and of the National 
Defense Authorization Act for Fiscal Year 1997 to the contrary, and 
notwithstanding section 2304(k) of title 10, United States Code, and 
the policy set forth in paragraph (1) of that section, the Secretary of 
the Navy may enter into a contract during fiscal year 1998 for the 
necessary procurement of four submarines under the New Attack Submarine 
Program with one of the two shipbuilders which are party to the Team 
Agreement between Electric Boat Corporation and Newport News 
Shipbuilding and Dry Dock Company dated February 25, 1997, that was 
submitted to the Congress by the Secretary of the Navy on March 31, 
1997, as the prime contractor on the condition such prime contractor 
enter into one or more subcontracts (under such prime contract) with 
the other shipbuilder which is a party to such Team Agreement as 
contemplated in such Team Agreement, with such contract providing for 
construction of the first submarine in fiscal year 1998 and for the 
advance construction and advance procurement of material for the 
second, third, and fourth submarines in fiscal year 1998: Provided, 
That such prime contract shall provide that if such contract is 
terminated, the United States shall not be liable for termination costs 
in excess of the total amount appropriated for the New Attack Submarine 
Program.
    Sec. 8130. In addition to amounts provided elsewhere in this Act, 
$3,000,000 is hereby appropriated for ``Operation and Maintenance, 
Defense-Wide'', and shall be made available only for the establishment 
of the ``21st Century National Security Strategy Study Group'' 
(hereafter in this section referred to as the ``Study Group''): 
Provided, That these funds may be obligated only upon the completion of 
a memorandum of agreement between the Secretary of Defense (after 
consultation with the President), the Speaker of the House of 
Representatives, the Minority Leader of the House of Representatives, 
the Majority Leader of the Senate, and the Minority Leader of the 
Senate: Provided further, That this memorandum of agreement will set 
forth the scope of the Group's work, as well as its charter, 
composition, authorities, lifespan, and products to be generated: 
Provided further, That this memorandum of agreement shall be completed 
not later than December 15, 1997.
    Sec. 8131. (a) Panel To Review Long-Range Air Power.--(1) There is 
hereby established an independent panel to evaluate the adequacy of 
current planning for United States long-range air power and the 
requirement for continued low-rate production of B-2 stealth bombers.
    (2) The panel shall be composed of nine members appointed as 
follows:
        (A) two members shall be named by the President;
        (B) two members shall be named by the Speaker of the House of 
    Representatives;
        (C) one member shall be named by the Minority Leader of the 
    House of Representatives;
        (D) two members shall be named by the Majority Leader of the 
    Senate;
        (E) one member shall be named by the Minority Leader of the 
    Senate; and
        (F) one member, who will serve as chairman of the panel, shall 
    be named by the President.
    (b) Functions of Panel.--(1) Not later than March 1, 1998, the 
panel shall submit to the President and Congress a report containing 
its conclusions and recommendations concerning the appropriate B-2 
bomber force and specifically stating its recommendation on whether 
additional funds for the B-2 should be used for continued low-rate 
production of the B-2 or for upgrades to improve deployability, 
survivability and maintainability.
    (2) As part of its evaluation and review, the panel shall consider, 
but not be limited to, the following:
        (A) scenarios involving no warning time and little warning time 
    from potential adversaries;
        (B) the make-up of the current bomber fleet and expected 
    attrition to that fleet over the next 15 years;
        (C) the potential effect of additional B-2 bombers on 
    deterrence;
        (D) the potential effect of additional B-2 bombers in the 
    ``halt phase'' of a conflict;
        (E) the potential of a biological or chemical ``lock-out'' of 
    tactical United States assets by future adversaries and the effect 
    of additional B-2 bombers toward mitigating such a tactic;
        (F) trade-offs between additional B-2 bombers and other 
    programmed Department of Defense assets in meeting the scenarios 
    described in subsections (b)(2)(A) through (b)(2)(E) above;
        (G) the desirability of an increased rate of purchase of 
    precision-guided munitions for aircraft in the existing B-2 fleet;
        (H) the desirability of improving the low observable 
    characteristics of the existing B-2 fleet; and
        (I) the affordability of additional B-2 bombers in the context 
    of projected levels of future defense funding.
    (c) Panel Administration.--(1) The members of the panel shall be 
allowed travel expenses, including per diem in lieu of subsistence, at 
rates authorized for employees of agencies under subchapter I of 
chapter 57 of title 5, United States Code, while away from their homes 
or regular places of business in the performance of services for the 
panel.
    (2) Upon the request of the chairman of the panel, the Secretary of 
Defense may detail to the panel, on a nonreimbursable basis, personnel 
of the Department of Defense to assist the panel in carrying out its 
duties. The Secretary of Defense shall furnish to the panel such 
administrative and support services as may be requested by the chairman 
of the panel and shall ensure that all appropriate actions are taken to 
preserve the options of the President until the panel submits its 
report under subsection (b)(1).
    (d) Funding.--The Secretary of Defense shall, upon the request of 
the panel, make available to the panel such amounts as the panel may 
require to carry out its duties under this section.
    (e) Termination of the Panel.--The panel shall terminate 30 days 
after the date on which it submits its report under subsection (b)(1).
    Sec. 8132. None of the funds in this Act may be made available for 
the deployment of United States Armed Forces in the Republic of Bosnia 
and Herzegovina after June 30, 1998, unless the President, after 
consultation with the bipartisan leadership of the Senate and the House 
of Representatives, transmits to the Congress not later than May 15, 
1998 a certification that the continued presence of United States Armed 
Forces is required in order to meet the national security interests of 
the United States: Provided, That such certification shall specify the 
following aspects of any deployment beyond June 30, 1998--
        (1) the reasons why such deployment is in the national 
    interest;
        (2) the number of United States military personnel to be 
    deployed in and around the Republic of Bosnia and Herzegovina and 
    the former Yugoslavia;
        (3) the expected duration of any such deployment;
        (4) the mission and objectives of United States military forces 
    deployed in and around the Republic of Bosnia and Herzegovina and 
    the former Yugoslavia;
        (5) the exit strategy for United States forces engaged in such 
    deployment;
        (6) the costs associated with any deployment beyond June 30, 
    1998; and
        (7) the impact of such deployment on the morale, retention, and 
    effectiveness of United States forces:
Provided further, That concurrent with said certification, the 
President shall submit a supplemental appropriations request for such 
amounts as are necessary for any continued deployment beyond June 30, 
1998: Provided further, That nothing in this section shall be deemed to 
restrict the authority of the President under the Constitution to 
protect the lives of United States citizens.
    This Act may be cited as the ``Department of Defense Appropriations 
Act, 1998''.

                               Speaker of the House of Representatives.

                            Vice President of the United States and    
                                               President of the Senate.