[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2586 Reported in House (RH)]

                                                 Union Calendar No. 113
107th CONGRESS
  1st Session
                                H. R. 2586

                          [Report No. 107-194]

     To authorize appropriations for fiscal year 2002 for military 
    activities of the Department of Defense, to prescribe military 
   personnel strengths for fiscal year 2002, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             July 23, 2001

 Mr. Stump (for himself and Mr. Skelton) (both by request) introduced 
   the following bill; which was referred to the Committee on Armed 
                                Services

                           September 4, 2001

Reported with amendments, committed to the Committee of the Whole House 
          on the State of the Union, and ordered to be printed
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]
 [For text of introduced bill, see copy of bill as introduced on July 
                               23, 2001]

_______________________________________________________________________

                                 A BILL


 
     To authorize appropriations for fiscal year 2002 for military 
    activities of the Department of Defense, to prescribe military 
   personnel strengths for fiscal year 2002, and for other purposes.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``National Defense Authorization Act 
for Fiscal Year 2002''.

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

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

Sec. 1. Short title; findings.
Sec. 2. Organization of Act into divisions; table of contents.
Sec. 3. Congressional defense committees defined.

            DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS

                          TITLE I--PROCUREMENT

              Subtitle A--Authorization of Appropriations

Sec. 101. Army.
Sec. 102. Navy and Marine Corps.
Sec. 103. Air Force.
Sec. 104. Defense-wide activities.
Sec. 105. Defense Inspector General.
Sec. 106. Chemical demilitarization program.
Sec. 107. Defense health programs.

                       Subtitle B--Army Programs

Sec. 111. Extension of multiyear contract for Family of Medium Tactical 
                            Vehicles.
Sec. 112. Repeal of limitations on bunker defeat munitions program.

                     Subtitle C--Air Force Programs

Sec. 121. Responsibility of Air Force for contracts for all defense 
                            space launches.
Sec. 122. Multi-year procurement of C-17 aircraft.

               Subtitle D--Chemical Munitions Destruction

Sec. 141. Destruction of existing stockpile of lethal chemical agents 
                            and munitions.

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

              Subtitle A--Authorization of Appropriations

Sec. 201. Authorization of appropriations.
Sec. 202. Amount for basic and applied research.

    Subtitle B--Program Requirements, Restrictions, and Limitations

Sec. 211. Cooperative Department of Defense-Department of Veterans 
                            Affairs medical research program.
Sec. 212. Advanced Land Attack Missile program.
Sec. 213. Collaborative program for development of advanced radar 
                            systems for naval applications.

                 Subtitle C--Ballistic Missile Defense

Sec. 231. Transfer of responsibility for procurement for missile 
                            defense programs from Ballistic Missile 
                            Defense Organization to military 
                            departments.
Sec. 232. Repeal of program element requirements for ballistic missile 
                            defense programs.
Sec. 233. Support of ballistic missile defense activities of the 
                            Department of Defense by the national 
                            defense laboratories of the Department of 
                            Energy.
Sec. 234. Missile defense testing initiative.
Sec. 235. Missile Defense System Test Bed Facilities.

                       Subtitle D--Other Matters

Sec. 241. Establishment of unmanned aerial vehicle joint operational 
                            test bed system.
Sec. 242. Demonstration project to increase small business and 
                            university participation in Office of Naval 
                            Research efforts to extend benefits of 
                            science and technology research to fleet.
Sec. 243. Management responsibility for Navy mine countermeasures 
                            programs.
Sec. 244. Program to accelerate the introduction of innovative 
                            technology in defense acquisition programs.

                  TITLE III--OPERATION AND MAINTENANCE

              Subtitle A--Authorization of Appropriations

Sec. 301. Operation and maintenance funding.
Sec. 302. Working capital funds.
Sec. 303. Armed Forces Retirement Home.
Sec. 304. Transfer from National Defense Stockpile Transaction Fund.

                  Subtitle B--Environmental Provisions

Sec. 311. Inventory of explosive risk sites at former military ranges.
Sec. 312. National security impact statements.
Sec. 313. Reimbursement for certain costs in connection with Hooper 
                            Sands site, South Berwick, Maine.
Sec. 314. River mitigation studies.
Sec. 315. Elimination of annual report on contractor reimbursement for 
                            costs of environmental response actions.

  Subtitle C--Commissaries and Nonappropriated Fund Instrumentalities

Sec. 321. Reserve component commissary benefits.
Sec. 322. Reimbursement for noncommissary use of commissary facilities.
Sec. 323. Civil recovery for nonappropriated fund instrumentality costs 
                            related to shoplifting.

                 Subtitle D--Workforce and Depot Issues

Sec. 331. Fiscal year 2002 limitations on workforce reviews.
Sec. 332. Applicability of core logistics capability requirements to 
                            nuclear aircraft carriers.
Sec. 333. Continuation of contractor manpower reporting system in 
                            Department of the Army.
Sec. 334. Limitation on expansion of Wholesale Logistics Modernization 
                            Program.
Sec. 335. Pilot project for exclusion of certain expenditures from 
                            limitation on private sector performance of 
                            depot-level maintenance.
Sec. 336. Protections for purchasers of articles and services 
                            manufactured or performed by working-
                            capital funded industrial facilities of the 
                            Department of Defense.

                Subtitle E--Defense Dependents Education

Sec. 341. Assistance to local educational agencies that benefit 
                            dependents of members of the Armed Forces 
                            and Department of Defense civilian 
                            employees.
Sec. 342. Availability of auxiliary services of defense dependents' 
                            education system for dependents who are 
                            home school students.
Sec. 343. Report regarding compensation for teachers employed in 
                            teaching positions in overseas schools 
                            operated by the Department of Defense.

                       Subtitle F--Other Matters

Sec. 351. Availability of excess defense personal property to support 
                            Department of Veterans Affairs initiative 
                            to assist homeless veterans.
Sec. 352. Continuation of limitations on implementation of Navy-Marine 
                            Corps Intranet contract.
Sec. 353. Completion and evaluation of current demonstration programs 
                            to improve quality of personal property 
                            shipments of members.
Sec. 354. Expansion of entities eligible for loan, gift, and exchange 
                            of documents, historical artifacts, and 
                            obsolete combat materiel.

                 Subtitle G--Service Contracting Reform

Sec. 361. Short title.
Sec. 362. Required cost savings level for change of function to 
                            contractor performance.
Sec. 363. Applicability of study and reporting requirements to new 
                            commercial or industrial type functions.
Sec. 364. Repeal of waiver for small functions.
Sec. 365. Requirement for equity in public-private competitions.
Sec. 366. Reporting requirements regarding Department of Defense's 
                            service contractor workforce.

              TITLE IV--MILITARY PERSONNEL AUTHORIZATIONS

                       Subtitle A--Active Forces

Sec. 401. End strengths for active forces.
Sec. 402. Revision in permanent end strength minimum levels.

                       Subtitle B--Reserve Forces

Sec. 411. End strengths for Selected Reserve.
Sec. 412. End strengths for Reserves on active duty in support of the 
                            reserves.
Sec. 413. End strengths for military technicians (dual status).
Sec. 414. Fiscal year 2002 limitation on non-dual status technicians.
Sec. 415. Limitations on numbers of Reserve personnel serving on active 
                            duty or full-time National Guard duty in 
                            certain grades for administration of 
                            Reserve components.

       Subtitle C--Other Matters Relating to Personnel Strengths

Sec. 421. Increase in percentage by which active component end 
                            strengths for any fiscal year may be 
                            increased.
Sec. 422. Active duty end strength exemption for National Guard and 
                            reserve personnel performing funeral honors 
                            functions.
Sec. 423. Increase in authorized strengths for Air Force officers on 
                            active duty in the grade of major.

              Subtitle D--Authorization of Appropriations

Sec. 431. Authorization of appropriations for military personnel.

                   TITLE V--MILITARY PERSONNEL POLICY

          Subtitle A--General Personnel Management Authorities

Sec. 501. Enhanced flexibility for management of senior general and 
                            flag officer positions.
Sec. 502. Original appointments in regular grades for Academy graduates 
                            and certain other new officers.
Sec. 503. Temporary reduction of time-in-grade requirement for 
                            eligibility for promotion for certain 
                            active-duty list officers in grades of 
                            first lieutenant and lieutenant (junior 
                            grade).
Sec. 504. Increase in senior enlisted active duty grade limit for Navy, 
                            Marine Corps, and Air Force.
Sec. 505. Authority for limited extension of medical deferment of 
                            mandatory retirement or separation.
Sec. 506. Authority for limited extension on active duty of members 
                            subject to mandatory retirement or 
                            separation.
Sec. 507. Clarification of disability severance pay computation.
Sec. 508. Officer in charge of United States Navy Band.
Sec. 509. One-year extension of expiration date for certain force 
                            management authorities.

             Subtitle B--Reserve Component Personnel Policy

Sec. 511. Placement on active-duty list of certain reserve officers on 
                            active duty for a period of three years or 
                            less.
Sec. 512. Expanded application of Reserve special selection boards.
Sec. 513. Exception to baccalaureate degree requirement for appointment 
                            of reserve officers to grades above first 
                            lieutenant.
Sec. 514. Improved disability benefits for certain reserve component 
                            members.
Sec. 515. Time-in-grade requirement for reserve component officers with 
                            a nonservice connected disability.
Sec. 516. Reserve members considered to be deployed for purposes of 
                            personnel tempo management.
Sec. 517. Funeral honors duty performed by Reserve and Guard members to 
                            be treated as inactive-duty training for 
                            certain purposes.
Sec. 518. Members of the National Guard performing funeral honors duty 
                            while in non-Federal status.
Sec. 519. Use of military leave for funeral honors duty by Reserve 
                            members and National Guardsmen.

 Subtitle C--Joint Specialty Officers and Joint Professional Military 
                               Education

Sec. 521. Nominations for joint specialty.
Sec. 522. Joint duty credit.
Sec. 523. Retroactive joint service credit for duty in certain joint 
                            task forces.
Sec. 524. Revision to annual report on joint officer management.
Sec. 525. Requirement for selection for joint specialty before 
                            promotion to general or flag officer grade.
Sec. 526. Independent study of joint officer management and joint 
                            professional military education reforms.
Sec. 527. Professional development education.
Sec. 528. Authority for National Defense University to enroll certain 
                            private sector civilians.
Sec. 529. Continuation of reserve component professional military 
                            education test.

              Subtitle D--Military Education and Training

Sec. 531. Defense Language Institute Foreign Language Center.
Sec. 532. Authority for the Marine Corps University to award degree of 
                            master of strategic studies.
Sec. 533. Increase in number of foreign students authorized to be 
                            admitted to the service academies.
Sec. 534. Increase in maximum age for appointment as a cadet or 
                            midshipman in Senior Reserve Officer 
                            Training Corps scholarship programs.
Sec. 535. Active duty participation as a cadet or midshipman in Senior 
                            ROTC advanced training.
Sec. 536. Authority to modify the service obligation of certain ROTC 
                            cadets in military junior colleges 
                            receiving financial assistance.
Sec. 537. Modification of nurse officer candidate accession program 
                            restriction on students attending 
                            educational institutions with Senior 
                            Reserve Officers' Training programs.
Sec. 538. Repeal of limitation on number of Junior Reserve Officers' 
                            Training Corps (JROTC) units.
Sec. 539. Reserve health professionals stipend program expansion.
Sec. 540. Housing allowance for the Chaplain for the Corps of Cadets, 
                            United States Military Academy.

           Subtitle E--Decorations, Awards, and Commendations

Sec. 541. Authority for award of the medal of honor to Humbert R. 
                            Versace for valor during the Vietnam War.
Sec. 542. Review regarding award of medal of honor to certain Jewish 
                            American and Hispanic American war 
                            veterans.
Sec. 543. Authority to issue duplicate medal of honor.
Sec. 544. Authority to replace stolen military decorations.
Sec. 545. Waiver of time limitations for award of Navy Distinguished 
                            Flying Cross to certain persons.
Sec. 546. Korea Defense Service medal.
Sec. 547. Cold War Service medal.
Sec. 548. Option to convert award of Armed Forces Expeditionary Medal 
                            awarded for Operation Frequent Wind to 
                            Vietnam Service Medal.

                 Subtitle F--Matters Relating to Voting

Sec. 551. Voting assessments and assistance for members of the 
                            uniformed services.
Sec. 552. Electronic voting demonstration project.

  Subtitle G--Matters Relating to Military Spouses and Family Members

Sec. 561. Improved financial and other assistance to military spouses 
                            for job training and education.
Sec. 562. Authority to conduct surveys of dependents and survivors of 
                            military retirees.
Sec. 563. Clarification of treatment of classified information 
                            concerning persons in a missing status.
Sec. 564. Transportation to annual meeting of next-of-kin of persons 
                            unaccounted for from conflicts after World 
                            War II.
Sec. 565. Amendments to charter of Defense Task Force on Domestic 
                            Violence.

             Subtitle H--Military Justice and Legal Matters

Sec. 571. Requirement that courts-martial consist of not less than 12 
                            members in capital cases.
Sec. 572. Right of convicted accused to request sentencing by military 
                            judge.
Sec. 573. Codification of requirement for regulations for delivery of 
                            military personnel to civil authorities 
                            when charged with certain offenses
Sec. 574. Authority to accept voluntary legal services for members of 
                            the Armed Forces.

                       Subtitle I--Other Matters

Sec. 581. Shipment of privately owned vehicles when making permanent 
                            change of station moves within United 
                            States.
Sec. 582. Payment of vehicle storage costs in advance.
Sec. 583. Permanent authority for use of military recruiting funds for 
                            certain expenses at Department of Defense 
                            recruiting functions.
Sec. 584. Clarification of military recruiter access to secondary 
                            school directory information about 
                            students.
Sec. 585. Repeal of requirement for final Comptroller General report 
                            relating to Army end strength allocations.
Sec. 586. Posthumous Army commission in the grade of captain in the 
                            Chaplains Corps to Ella E. Gibson for 
                            service as chaplain of the First Wisconsin 
                            Heavy Artillery regiment during the Civil 
                            War.
Sec. 587. National Guard Challenge Program.
Sec. 588. Payment of FEHBP premiums for certain Reservists called to 
                            active duty in support of contingency 
                            operations.
Sec. 589. 18-month enlistment pilot program.
Sec. 590. Per diem allowance for lengthy or numerous deployments.
Sec. 591. Congressional review period for change in ground combat 
                            exclusion policy.

          TITLE VI--COMPENSATION AND OTHER PERSONNEL BENEFITS

                     Subtitle A--Pay and Allowances

Sec. 601. Increase in basic pay for fiscal year 2002.
Sec. 602. Basic pay rate for certain reserve commissioned officers with 
                            prior service as an enlisted member or 
                            warrant officer.
Sec. 603. Subsistence allowances.
Sec. 604. Eligibility for basic allowance for housing while between 
                            permanent duty stations.
Sec. 605. Uniform allowance for officers.
Sec. 606. Family separation allowance for certain members electing to 
                            serve unaccompanied tour of duty.

           Subtitle B--Bonuses and Special and Incentive Pays

Sec. 611. One-year extension of certain bonus and special pay 
                            authorities for reserve forces.
Sec. 612. One-year extension of certain bonus and special pay 
                            authorities for nurse officer candidates, 
                            registered nurses, and nurse anesthetists.
Sec. 613. One-year extension of other bonus and special pay 
                            authorities.
Sec. 614. Conforming accession bonus for dental officers authority with 
                            authorities for other special pay and 
                            bonuses.
Sec. 615. Additional type of duty resulting in eligibility for 
                            hazardous duty incentive pay.
Sec. 616. Equal treatment of reservists performing inactive-duty 
                            training for receipt of aviation career 
                            incentive pay.
Sec. 617. Secretarial discretion in prescribing submarine duty 
                            incentive pay rates.
Sec. 618. Imposition of critical wartime skill requirement for 
                            eligibility for Individual Ready Reserve 
                            bonus.
Sec. 619. Installment payment authority for 15-year career status 
                            bonus.
Sec. 620. Accession bonus for new officers.

            Subtitle C--Travel and Transportation Allowances

Sec. 631. Minimum per diem rate for travel and transportation allowance 
                            for travel performed upon a change of 
                            permanent station and certain other travel.
Sec. 632. Payment or reimbursement of temporary subsistence expenses.
Sec. 633. Increased weight allowance for transportation of baggage and 
                            household effects for junior enlisted 
                            members.
Sec. 634. Reimbursement of members for mandatory pet quarantine fees 
                            for household pets.
Sec. 635. Availability of dislocation allowance for married member, 
                            whose spouse is a member, assigned to 
                            military family housing.
Sec. 636. Elimination of prohibition on receipt of dislocation 
                            allowance by members ordered to first duty 
                            station.
Sec. 637. Partial dislocation allowance authorized for housing moves 
                            ordered for Government convenience.
Sec. 638. Allowances for travel performed in connection with members 
                            taking authorized leave between consecutive 
                            overseas tours.
Sec. 639. Funded student travel as part of school-sponsored exchange 
                            programs.

          Subtitle D--Retirement and Survivor Benefit Matters

Sec. 641. Contingent authority for concurrent receipt of military 
                            retired pay and veterans' disability 
                            compensation.

                       Subtitle E--Other Matters

Sec. 651. Funeral honors duty allowance for retired members.

                   TITLE VII--HEALTH CARE PROVISIONS

                      Subtitle A--TRICARE Program

Sec. 701. Implementing cost-effective payment rates under the TRICARE 
                            program.
Sec. 702. Waiver of nonavailability statement or preauthorization 
                            requirement.
Sec. 703. Improvements in administration of the TRICARE program.
Sec. 704. Sub-acute and long-term care program reform.
Sec. 705. Reimbursement of travel expenses of a parent, guardian, or 
                            responsible family member of a minor 
                            covered beneficiary.

                       Subtitle B--Other Matters

Sec. 711. Prohibition against requiring military retirees to receive 
                            health care solely through the Department 
                            of Defense.
Sec. 712. Trauma and medical care pilot program.
Sec. 713. Enhancement of medical product development.
Sec. 714. Repeal of obsolete report requirement.
Sec. 715. Clarifications and improvements regarding the Department of 
                            Defense Medicare-Eligible Retiree Health 
                            Care Fund.

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

             Subtitle A--Acquisition Policy and Management

Sec. 801. Acquisition milestones.
Sec. 802. Acquisition workforce qualifications.
Sec. 803. Two-year extension of program applying simplified procedures 
                            to certain commercial items.
Sec. 804. Contracts for services to be performed outside the United 
                            States.
Sec. 805. Codification and modification of ``Berry Amendment'' 
                            requirements.

                Subtitle B--Erroneous Payments Recovery

Sec. 811. Short title.
Sec. 812. Identification of errors made by executive agencies in 
                            payments to contractors and recovery of 
                            amounts erroneously paid.
Sec. 813. Disposition of recovered funds.
Sec. 814. Sources of recovery services.
Sec. 815. Management improvement programs.
Sec. 816. Reports.
Sec. 817. Relationship to authority of inspectors general.
Sec. 818. Privacy protections.
Sec. 819. Definition.

      TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT

Sec. 901. Further reductions in defense acquisition and support 
                            workforce.
Sec. 902. Sense of Congress on establishment of an Office of 
                            Transformation in the Department of 
                            Defense.
Sec. 903. Revised joint report on establishment of national 
                            collaborative information analysis 
                            capability.
Sec. 904. Elimination of triennial report by Chairman of the Joint 
                            Chiefs of Staff on roles and missions of 
                            the Armed Forces.
Sec. 905. Repeal of requirement for semiannual reports through March 
                            2003 on activities of Joint Requirements 
                            Oversight Council.
Sec. 906. Correction of references to Air Mobility Command.
Sec. 907. Organizational alignment change for Director for 
                            Expeditionary Warfare.

                      TITLE X--GENERAL PROVISIONS

                     Subtitle A--Financial Matters

Sec. 1001. Transfer authority.
Sec. 1002. Incorporation of classified annex.
Sec. 1003. Limitation on funds for Bosnia and Kosovo peacekeeping 
                            operations for fiscal year 2002.
Sec. 1004. Increase in limitations on administrative authority of the 
                            Navy to settle admiralty claims.

                       Subtitle B--Naval Vessels

Sec. 1011. Revision in types of excess naval vessels for which approval 
                            by law is required for disposal to foreign 
                            nations.

                  Subtitle C--Counter-Drug Activities

Sec. 1021. Extension of reporting requirement regarding Department of 
                            Defense expenditures to support foreign 
                            counter-drug activities.
Sec. 1022. Authority to transfer Tracker aircraft currently used by 
                            Armed Forces for counter-drug purposes.
Sec. 1023. Authority to transfer Tethered Aerostat Radar System 
                            currently used by Armed Forces for counter-
                            drug purposes.

                          Subtitle D--Reports

Sec. 1031. Requirement that Department of Defense reports to Congress 
                            be accompanied by electronic version.
Sec. 1032. Report on Department of Defense role in homeland security 
                            matters.
Sec. 1033. Revision of annual report to Congress on National Guard and 
                            reserve component equipment.

                       Subtitle E--Other Matters

Sec. 1041. Department of Defense gift authorities.
Sec. 1042. Termination of referendum requirement regarding continuation 
                            of military training on island of Vieques, 
                            Puerto Rico, and imposition of additional 
                            conditions on closure of live-fire training 
                            range.
Sec. 1043. Repeal of limitation on reductions in Peacekeeper ICBM 
                            missiles.
Sec. 1044. Sense of the Congress on the importance of the Kwajalein 
                            Missile Range/Ronald Reagan Defense 
                            Initiative Test Site at Kwajalein Atoll.
Sec. 1045. Transfer of Vietnam era F-4 aircraft to nonprofit museum.
Sec. 1046. Bomber force structure.
Sec. 1047. Technical and clerical amendments.

                      TITLE XI--CIVILIAN PERSONNEL

Sec. 1101. Undergraduate training program for employees of the National 
                            Imagery and Mapping Agency.
Sec. 1102. Pilot program for payment of retraining expenses.
Sec. 1103. Payment of expenses to obtain professional credentials.
Sec. 1104. Retirement portability elections for certain Department of 
                            Defense and Coast Guard employees.
Sec. 1105. Removal of requirement that granting civil service 
                            compensatory time be based on amount of 
                            irregular or occasional overtime work.
Sec. 1106. Applicability of certain laws to certain individuals 
                            assigned to work in the Federal Government.
Sec. 1107. Limitation on premium pay.
Sec. 1108. Use of common occupational and health standards as a basis 
                            for differential payments made as a 
                            consequence of exposure to asbestos.
Sec. 1109. Authority for designated civilian employees abroad to act as 
                            a notary.
Sec. 1110. ``Monroney amendment'' restored to its prior form.

             TITLE XII--MATTERS RELATING TO FOREIGN NATIONS

Sec. 1201. Clarification of authority to furnish nuclear test 
                            monitoring equipment to foreign 
                            governments.
Sec. 1202. Acquisition of logistical support for security forces.
Sec. 1203. Report on the sale and transfer of military hardware, 
                            expertise, and technology from States of 
                            the former Soviet Union to the People's 
                            Republic of China.
Sec. 1204. Limitation on funding for Joint Data Exchange Center.
Sec. 1205. Extension of authority to provide assistance under Weapons 
                            of Mass Destruction Act for support of 
                            United Nations-sponsored efforts to inspect 
                            and monitor Iraqi weapons activities.
Sec. 1206. Repeal of requirement for reporting to Congress on military 
                            deployments to Haiti.
Sec. 1207. Report by Comptroller General on provision of defense 
                            articles, services, and military education 
                            and training to foreign countries and 
                            international organizations.
Sec. 1208. Limitation on number of military personnel in Colombia.

  TITLE XIII--COOPERATIVE THREAT REDUCTION WITH STATES OF THE FORMER 
                              SOVIET UNION

Sec. 1301. Specification of Cooperative Threat Reduction programs and 
                            funds.
Sec. 1302. Funding allocations.
Sec. 1303. Prohibition against use of funds until submission of 
                            reports.
Sec. 1304. Report on use of revenue generated by activities carried out 
                            under Cooperative Threat Reduction 
                            programs.
Sec. 1305. Prohibition against use of funds for second wing of fissile 
                            material storage facility.
Sec. 1306. Prohibition against use of funds for construction or 
                            refurbishment of certain fossil fuel energy 
                            plants.
Sec. 1307. Reports on activities and assistance under Cooperative 
                            Threat Reduction programs.
Sec. 1308. Report on responsibility for carrying out Cooperative Threat 
                            Reduction programs.
Sec. 1309. Chemical weapons destruction.

                TITLE XIV--DEFENSE SPACE REORGANIZATION

Sec. 1401. Short title.
Sec. 1402. Authority to establish position of Under Secretary of 
                            Defense for Space, Intelligence, and 
                            Information.
Sec. 1403. Authority to designate Under Secretary of the Air Force as 
                            acquisition executive for space of the 
                            Department of Defense.
Sec. 1404. Major force program category for space programs.
Sec. 1405. Comptroller General assessment of implementation of 
                            recommendations of Space Commission.
Sec. 1406. Commander of Air Force Space Command.
Sec. 1407. Authority to establish separate career field in the Air 
                            Force for space.

            DIVISION B--MILITARY CONSTRUCTION AUTHORIZATIONS

Sec. 2001. Short title; definition.

                            TITLE XXI--ARMY

Sec. 2101. Authorized Army construction and land acquisition projects.
Sec. 2102. Family housing.
Sec. 2103. Improvements to military family housing units.
Sec. 2104. Authorization of appropriations, Army.
Sec. 2105. Modification of authority to carry out certain fiscal year 
                            2001 projects.

                            TITLE XXII--NAVY

Sec. 2201. Authorized Navy construction and land acquisition projects.
Sec. 2202. Family housing.
Sec. 2203. Improvements to military family housing units.
Sec. 2204. Authorization of Appropriations, Navy.
Sec. 2205. Modification of authority to carry out certain fiscal year 
                            2000 project.

                         TITLE XXIII--AIR FORCE

Sec. 2301. Authorized Air Force construction and land acquisition 
                            projects.
Sec. 2302. Family housing.
Sec. 2303. Improvements to military family housing units.
Sec. 2304. Authorization of appropriations, Air Force.
Sec. 2305. Modification of authority to carry out certain fiscal year 
                            2001 project.

                      TITLE XXIV--DEFENSE AGENCIES

Sec. 2401. Authorized defense agencies construction and land 
                            acquisition projects.
Sec. 2402. Energy conservation projects.
Sec. 2403. Authorization of appropriations, defense agencies.
Sec. 2404. Modification of authority to carry out certain fiscal year 
                            2001 project.
Sec. 2405. Modification of authority to carry out certain fiscal year 
                            2000 projects.
Sec. 2406. Modification of authority to carry out certain fiscal year 
                            1999 project.
Sec. 2407. Modification of authority to carry out certain fiscal year 
                            1995 project.
Sec. 2408. Prohibition on expenditures to develop forward operating 
                            location on Aruba for United States 
                            Southern Command counter-drug detection and 
                            monitoring flights.

   TITLE XXV--NORTH ATLANTIC TREATY ORGANIZATION SECURITY INVESTMENT 
                                PROGRAM

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

                TITLE XXVI--GUARD AND RESERVE FACILITIES

Sec. 2601. Authorized Guard and Reserve construction and land 
                            acquisition projects.

        TITLE XXVII--EXPIRATION AND EXTENSION OF AUTHORIZATIONS

Sec. 2701. Expiration of authorizations and amounts required to be 
                            specified by law.
Sec. 2702. Extension of authorizations of certain fiscal year 1999 
                            projects.
Sec. 2703. Extension of authorizations of certain fiscal year 1998 
                            projects.
Sec. 2704. Effective date.

                    TITLE XXVIII--GENERAL PROVISIONS

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

Sec. 2801. Increase in certain unspecified minor military construction 
                            project thresholds.
Sec. 2802. Exclusion of unforeseen environmental hazard remediation 
                            from limitation on authorized cost 
                            variations.
Sec. 2803. Repeal of annual reporting requirement on military 
                            construction and military family housing 
                            activities.
Sec. 2804. Permanent authorization for alternative authority for 
                            acquisition and improvement of military 
                            housing.

        Subtitle B--Real Property and Facilities Administration

Sec. 2811. Use of military installations for certain recreational 
                            activities.
Sec. 2812. Base efficiency project at Brooks Air Force Base, Texas.

            Subtitle C--Defense Base Closure and Realignment

Sec. 2821. Lease back of base closure property.

                      Subtitle D--Land Conveyances

                        Part I--Army Conveyances

Sec. 2831. Modification of land exchange, Rock Island Arsenal, 
                            Illinois.
Sec. 2832. Modification of land conveyances, Fort Dix, New Jersey.
Sec. 2833. Lease authority, Fort DeRussy, Hawaii.
Sec. 2834. Land exchange and consolidation, Fort Lewis, Washington.
Sec. 2835. Land conveyance, Whittier-Anchorage Pipeline Tank Farm, 
                            Anchorage, Alaska.

                       Part II--Navy Conveyances

Sec. 2841. Transfer of jurisdiction, Centerville Beach Naval Station, 
                            Humboldt County, California.
Sec. 2842. Land conveyance, Naval Weapons Industrial Reserve Plant, 
                            Toledo, Ohio.
Sec. 2843. Modification of authority for conveyance of Naval Computer 
                            and Telecommunications Station, Cutler, 
                            Maine.
Sec. 2844. Modification of land conveyance, former United States Marine 
                            Corps Air Station, Eagle Mountain Lake, 
                            Texas.
Sec. 2845. Land transfer and conveyance, Naval Security Group Activity, 
                            Winter Harbor, Maine.

                    Part III--Air Force Conveyances

Sec. 2851. Water rights conveyance, Andersen Air Force Base, Guam.
Sec. 2852. Reexamination of land conveyance, Lowry Air Force Base, 
                            Colorado.

                       Subtitle E--Other Matters

Sec. 2861. Transfer of jurisdiction for development of Armed Forces 
                            recreation facility, Park City, Utah.
Sec. 2862. Selection of site for United States Air Force Memorial and 
                            related land transfers for the improvement 
                            of Arlington National Cemetery, Virginia.
Sec. 2863. Management of the Presidio of San Francisco.
Sec. 2864. Effect of limitation on construction of roads or highways, 
                            Marine Corps Base, Camp Pendleton, 
                            California.
Sec. 2865. Establishment of World War II memorial at additional 
                            location on Guam.

            TITLE XXIX--FORT IRWIN MILITARY LAND WITHDRAWAL

Sec. 2901. Short title.
Sec. 2902. Withdrawal and reservation of lands for National Training 
                            Center.
Sec. 2903. Map and legal description.
Sec. 2904. Management of withdrawn and reserved lands.
Sec. 2905. Water rights.
Sec. 2906. Environmental compliance and environmental response 
                            requirements.
Sec. 2907. West Mojave Coordinated Management Plan.
Sec. 2908. Release of wilderness study areas.
Sec. 2909. Training activity separation from utility corridors.
Sec. 2910. Duration of withdrawal and reservation.
Sec. 2911. Extension of initial withdrawal and reservation.
Sec. 2912. Termination and relinquishment.
Sec. 2913. Delegation of authority.

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

      TITLE XXXI--DEPARTMENT OF ENERGY NATIONAL SECURITY PROGRAMS

         Subtitle A--National Security Programs Authorizations

Sec. 3101. National Nuclear Security Administration.
Sec. 3102. Defense environmental restoration and waste management.
Sec. 3103. Other defense activities.
Sec. 3104. Defense environmental management privatization.
Sec. 3105. Defense nuclear waste disposal.

                Subtitle B--Recurring General Provisions

Sec. 3121. Reprogramming.
Sec. 3122. Limits on general plant projects.
Sec. 3123. Limits on construction projects.
Sec. 3124. Fund transfer authority.
Sec. 3125. Authority for conceptual and construction design.
Sec. 3126. Authority for emergency planning, design, and construction 
                            activities.
Sec. 3127. Funds available for all national security programs of the 
                            Department of Energy.
Sec. 3128. Availability of funds.
Sec. 3129. Transfers of defense environmental management funds at field 
                            offices of the Department of Energy.
Sec. 3130. Transfers of weapons activities funds at national security 
                            laboratories and nuclear weapons production 
                            facilities.

   Subtitle C--Program Authorizations, Restrictions, and Limitations

Sec. 3131. Termination date of Office of River Protection, Richland, 
                            Washington.
Sec. 3132. Organizational modifications for National Nuclear Security 
                            Administration.
Sec. 3133. Consolidation of Nuclear Cities Initiative program with 
                            Initiatives for Proliferation Prevention 
                            program.
Sec. 3134. Disposition of surplus defense plutonium at Savannah River 
                            Site, Aiken, South Carolina.
Sec. 3135. Support for public education in the vicinity of Los Alamos 
                            National Laboratory, New Mexico.

          TITLE XXXII--DEFENSE NUCLEAR FACILITIES SAFETY BOARD

Sec. 3201. Authorization.

                TITLE XXXIII--NATIONAL DEFENSE STOCKPILE

Sec. 3301. Definitions.
Sec. 3302. Authorized uses of stockpile funds.
Sec. 3303. Disposal of obsolete and excess materials contained in 
                            national defense stockpile.
Sec. 3304. Expedited implementation of authority to dispose of cobalt 
                            from National Defense Stockpile.

                 TITLE XXXIV--NAVAL PETROLEUM RESERVES

Sec. 3401. Authorization of appropriations.

                  TITLE XXXV--MARITIME ADMINISTRATION

Sec. 3501. Authorization of appropriations for fiscal year 2002.
Sec. 3502. Define ``war risks'' to vessels to include confiscation, 
                            expropriation, nationalization, and 
                            deprivation of the vessels.
Sec. 3503. Holding obligor's cash as collateral under title XI of 
                            Merchant Marine Act, 1936.

SEC. 3. CONGRESSIONAL DEFENSE COMMITTEES DEFINED.

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

            DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS

                          TITLE I--PROCUREMENT

              Subtitle A--Authorization of Appropriations

SEC. 101. ARMY.

    Funds are hereby authorized to be appropriated for fiscal year 2002 
for procurement for the Army as follows:
            (1) For aircraft, $1,987,491,000.
            (2) For missiles, $1,097,286,000.
            (3) For weapons and tracked combat vehicles, 
        $2,367,046,000.
            (4) For ammunition, $1,208,565,000.
            (5) For other procurement, $4,143,986,000.

SEC. 102. NAVY AND MARINE CORPS.

    (a) Navy.--Funds are hereby authorized to be appropriated for 
fiscal year 2002 for procurement for the Navy as follows:
            (1) For aircraft, $8,337,243,000.
            (2) For weapons, including missiles and torpedoes, 
        $1,476,692,000.
            (3) For shipbuilding and conversion, $9,321,121,000.
            (4) For other procurement, $4,157,313,000.
    (b) Marine Corps.--Funds are hereby authorized to be appropriated 
for fiscal year 2002 for procurement for the Marine Corps in the amount 
of $1,025,624,000.
    (c) Navy and Marine Corps Ammunition.--Funds are hereby authorized 
to be appropriated for fiscal year 2002 for procurement of ammunition 
for the Navy and the Marine Corps in the amount of $463,507,000.

SEC. 103. AIR FORCE.

    Funds are hereby authorized to be appropriated for fiscal year 2002 
for procurement for the Air Force as follows:
            (1) For aircraft, $10,705,687,000.
            (2) For missiles, $3,226,336,000.
            (3) For ammunition, $871,344,000.
            (4) For other procurement, $8,250,821,000.

SEC. 104. DEFENSE-WIDE ACTIVITIES.

    Funds are hereby authorized to be appropriated for fiscal year 2002 
for Defense-wide procurement in the amount of $2,267,346,000.

SEC. 105. DEFENSE INSPECTOR GENERAL.

    Funds are hereby authorized to be appropriated for fiscal year 2002 
for procurement for the Inspector General of the Department of Defense 
in the amount of $1,800,000.

SEC. 106. CHEMICAL DEMILITARIZATION PROGRAM.

    There is hereby authorized to be appropriated for fiscal year 2002 
the amount of $1,078,557,000 for--
            (1) the destruction of lethal chemical agents and munitions 
        in accordance with section 1412 of the Department of Defense 
        Authorization Act, 1986 (50 U.S.C. 1521); and
            (2) the destruction of chemical warfare materiel of the 
        United States that is not covered by section 1412 of such Act.

SEC. 107. DEFENSE HEALTH PROGRAMS.

    Funds are hereby authorized to be appropriated for fiscal year 2002 
for the Department of Defense for procurement for carrying out health 
care programs, projects, and activities of the Department of Defense in 
the total amount of $267,915,000.

                       Subtitle B--Army Programs

SEC. 111. EXTENSION OF MULTIYEAR CONTRACT FOR FAMILY OF MEDIUM TACTICAL 
              VEHICLES.

    In order to ensure that an adequate number of vehicles of the 
``A1'' variant of the Family of Medium Tactical Vehicles program 
continue to be fielded to the Army, the Secretary of the Army may 
extend for one additional year the existing multiyear procurement 
contract, authorized by section 112(b) of the National Defense 
Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 
1648) and awarded on October 14, 1998, for procurement of vehicles 
under that program (notwithstanding the maximum period for such 
contracts otherwise applicable under section 2306b(k) of title 10, 
United States Code) if the Secretary determines that it is necessary to 
do so in order to prevent a break in production of those vehicles.

SEC. 112. REPEAL OF LIMITATIONS ON BUNKER DEFEAT MUNITIONS PROGRAM.

    Section 116 of the National Defense Authorization Act for Fiscal 
Year 1995 (Public Law 103-337; 108 Stat. 2682) is repealed.

                     Subtitle C--Air Force Programs

SEC. 121. RESPONSIBILITY OF AIR FORCE FOR CONTRACTS FOR ALL DEFENSE 
              SPACE LAUNCHES.

    (a) In General.--(1) Chapter 807 of title 10, United States Code, 
is amended by inserting after section 8062 the following new section:
``Sec. 8063. Contracts for space launches: responsibility of Air Force 
              for all Department of Defense elements
    ``The Secretary of the Air Force shall ensure that contracts for 
space launch vehicles and space launch services for all elements of the 
Department of Defense are prepared, negotiated, executed, and managed 
in a manner that maximizes launch effectiveness, minimizes cost of 
launch services, provides clear visibility to all elements into 
contract costs and functions, and, where practicable, takes advantage 
of commercial space launch capabilities.''.
    (2) The table of sections at the beginning of such chapter is 
amended by inserting after the item relating to section 8062 the 
following new item:

``8063. Contracts for space launches: responsibility of Air Force for 
                            all Department of Defense elements.''.
    (b) Report.--Not later than 180 days after the date of the 
enactment of this Act, the Secretary of the Air Force shall submit to 
the congressional defense committees and the congressional intelligence 
committees a report on the implementation of section 8063 of title 10, 
United States Code, as added by subsection (a).

SEC. 122. MULTI-YEAR PROCUREMENT OF C-17 AIRCRAFT.

    If the Secretary of Defense certifies to the congressional defense 
committees before the enactment of this Act that it is in the interest 
of the Department of Defense to proceed with a follow-on multi-year 
procurement of additional C-17 aircraft, then the Secretary may, in 
accordance with section 2306b of title 10, United States Code, enter 
into a new multi-year procurement contract or extend the current multi-
year procurement contract beginning in fiscal year 2002 to procure up 
to 60 additional C-17 aircraft in order to meet the Department's 
airlift requirements.

               Subtitle D--Chemical Munitions Destruction

SEC. 141. DESTRUCTION OF EXISTING STOCKPILE OF LETHAL CHEMICAL AGENTS 
              AND MUNITIONS.

    Section 152 of the National Defense Authorization Act for Fiscal 
Year 1996 (Public Law 104-106; 50 U.S.C. 1521 note) is amended--
            (1) in subsection (b)--
                    (A) by inserting ``for that site'' after ``in 
                place''; and
                    (B) by adding at the end the following new 
                paragraphs:
            ``(4) Emergency preparedness and response capabilities have 
        been established at the site and in the surrounding communities 
        to respond to emergencies involving risks to public health or 
        safety that are identified by the Secretary of Defense as being 
        risks resulting from the storage or destruction of lethal 
        chemical agents and munitions at the site.
            ``(5) The Under Secretary of Defense for Acquisition, 
        Technology, and Logistics recommends initiation of destruction 
        at the site after considering the recommendation by the board 
        established by subsection (g).''; and
            (2) by adding at the end the following new subsection:
    ``(g) Oversight Boards.--(1) The Under Secretary of Defense for 
Acquisition, Technology, and Logistics shall convene, for each site at 
which the chemical munitions stockpile is stored, an independent 
oversight board composed of--
            ``(A) the Secretary of the Army;
            ``(B) the Director of the Federal Emergency Management 
        Agency;
            ``(C) the Administrator of the Environmental Protection 
        Agency;
            ``(D) the President of the National Academy of Sciences;
            ``(E) the Governor of the State in which the site is 
        located; and
            ``(F) one individual designated by the Under Secretary from 
        a list of three local representatives of the area in which the 
        site is located, prepared jointly by the Member of the House of 
        Representatives who represents the Congressional District in 
        which the site is located and the Senators representing the 
        State in which the site is located.
    ``(2) Not later than six months after each such board is convened, 
the board shall make a recommendation to the Under Secretary whether 
the destruction of the chemical munitions stockpile should be initiated 
at the site.
    ``(3) The Under Secretary may not recommend initiation of 
destruction of the chemical munitions stockpile at a site after 
considering a negative recommendation of the board until 90 days after 
the Under Secretary provides notice to Congress of the intent to 
recommend initiation of destruction.''.

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

              Subtitle A--Authorization of Appropriations

SEC. 201. AUTHORIZATION OF APPROPRIATIONS.

    Funds are hereby authorized to be appropriated for fiscal year 2002 
for the use of the Department of Defense for research, development, 
test, and evaluation as follows:
            (1) For the Army, $6,749,025,000.
            (2) For the Navy, $10,863,274,000.
            (3) For the Air Force, $14,455,653,000.
            (4) For Defense-wide activities, $15,591,978,000, of which 
        $217,355,000 is authorized for the Director of Operational Test 
        and Evaluation.

SEC. 202. AMOUNT FOR BASIC AND APPLIED RESEARCH.

    (a) Fiscal Year 2002.--Of the amounts authorized to be appropriated 
by section 201, $4,973,843,000 shall be available for basic research 
and applied research projects.
    (b) Basic Research and Applied Research Defined.--For purposes of 
this section, the term ``basic research and applied research'' means 
work funded in program elements for defense research and development 
under Department of Defense category 6.1 or 6.2.

    Subtitle B--Program Requirements, Restrictions, and Limitations

SEC. 211. COOPERATIVE DEPARTMENT OF DEFENSE-DEPARTMENT OF VETERANS 
              AFFAIRS MEDICAL RESEARCH PROGRAM.

    Of the funds authorized to be appropriated by section 201(4), 
$5,000,000 shall be available for the cooperative Department of 
Defense/Department of Veterans Affairs medical research program. The 
Secretary of Defense shall transfer such amount to the Secretary of 
Veterans Affairs for such purpose not later than 30 days after the date 
of the enactment of this Act.

SEC. 212. ADVANCED LAND ATTACK MISSILE PROGRAM.

    (a) Program Required.--The Secretary of Defense shall establish a 
competitive program for the development of an advanced land attack 
missile for the DD-21 land attack destroyer and other naval combatants.
    (b) Report.--The Secretary of Defense shall submit to the 
congressional defense committees, with the submission of the budget 
request for the Department of Defense for fiscal year 2003, a report 
providing the program plan for the Advanced Land Attack Missile 
program, the schedule for that program, and funding required for that 
program.
    (c) Funding.--Of the amount authorized to be appropriated under 
section 201(2) for research, development, test, and evaluation for the 
Navy, $20,000,000 shall be available in PE 0603795N for the Advanced 
Land Attack Missile program.

SEC. 213. COLLABORATIVE PROGRAM FOR DEVELOPMENT OF ADVANCED RADAR 
              SYSTEMS FOR NAVAL APPLICATIONS.

    (a) Program Required.--The Secretary of Defense shall carry out a 
program to develop and demonstrate advanced technologies and concepts 
leading to advanced radar systems for naval and other applications.
    (b) Description of Program.--The program under subsection (a) shall 
be carried out collaboratively pursuant to a memorandum of agreement to 
be entered into by the Director of Defense Research and Engineering, 
the Secretary of the Navy, and the Director of the Defense Advanced 
Research Projects Agency. The program shall include the following 
activities:
            (1) Activities needed to develop and deploy advanced 
        electronics materials, including specifically wide band gap 
        electronics components needed to extend the range and 
        sensitivity of naval radars.
            (2) Identification of acquisition systems for use of the 
        new technology.
    (c) Report.--Not later than January 31, 2002, the Director of 
Defense Research and Engineering, the Secretary of the Navy, and the 
Director of the Defense Advanced Research Projects Agency shall submit 
to the congressional defense committees a joint report on the 
implementation of the program under subsection (a). The report shall 
include the following:
            (1) A description of the memorandum of agreement referred 
        to in subsection (b).
            (2) A schedule for the program.
            (3) Identification of the funding required for fiscal year 
        2003 and for the future-years defense program to carry out the 
        program.
            (4) A list of program capability goals and objectives.
    (d) Funding.--(1) Of the amount authorized to be appropriated for 
Defense-wide activities by section 201(4) for the Defense Advanced 
Research Projects Agency, $41,000,000 shall be available for applied 
research and maturation of high frequency and high power wide band gap 
semiconductor electronics technology to carry out the program under 
subsection (a).
    (2) Of the amount authorized to be appropriated by section 201(2) 
for the Department of the Navy, $15,500,000 shall be available to carry 
out the program under subsection (a).

                 Subtitle C--Ballistic Missile Defense

SEC. 231. TRANSFER OF RESPONSIBILITY FOR PROCUREMENT FOR MISSILE 
              DEFENSE PROGRAMS FROM BALLISTIC MISSILE DEFENSE 
              ORGANIZATION TO MILITARY DEPARTMENTS.

    (a) Budgeting of Missile Defense Procurement Authority.--(1) 
Subsection (a) of section 224 of title 10, United States Code is 
amended by striking ``procurement'' both places it appears and 
inserting ``research, development, test, and evaluation''.
    (2) Such section is further amended by striking subsections (b) and 
(c) and inserting the following:
    ``(b) Covered Programs.--Subsection (a) applies to any ballistic 
missile defense program for which research, development, test, and 
evaluation is carried out by the Ballistic Missile Defense 
Organization.''.
    (3)(A) The heading of that section is amended to read as follows:
``Sec. 224. Ballistic missile defense programs: display of amounts for 
              research, development, test, and evaluation''.
    (B) The item relating to section 224 in the table of sections at 
the beginning of chapter 9 of such title is amended to read as follows:

``224. Ballistic missile defense programs: display of amounts for 
                            research, development, test, and 
                            evaluation.''.
    (b) Transfer Criteria.--The Secretary of Defense shall establish, 
and submit to the congressional defense committees, criteria for the 
transfer of ballistic missile defense programs from the Ballistic 
Missile Defense Organization to the military departments. Those 
criteria shall, at a minimum, address technical maturity of the 
program, availability of facilities for production, and service 
commitment to procurement funding.
    (c) Notification of Transfer.--Before responsibility for a 
ballistic missile defense program is transferred from the Ballistic 
Missile Defense Organization to the Secretary of a military department, 
the Secretary of Defense shall submit to the congressional defense 
committees notice in writing of the Secretary's intent to make that 
transfer. The Secretary shall include with such notice a certification 
that the program has met the criteria established under subsection (b) 
for such a transfer. The transfer may then be carried out after the end 
of the 60-day period beginning on the date of such notice.

SEC. 232. REPEAL OF PROGRAM ELEMENT REQUIREMENTS FOR BALLISTIC MISSILE 
              DEFENSE PROGRAMS.

    (a) Repeal.--Section 223 of title 10, United States Code, is 
repealed.
    (b) Clerical Amendment.--The table of sections at the beginning of 
chapter 9 of such title is amended by striking the item relating to 
section 223.

SEC. 233. SUPPORT OF BALLISTIC MISSILE DEFENSE ACTIVITIES OF THE 
              DEPARTMENT OF DEFENSE BY THE NATIONAL DEFENSE 
              LABORATORIES OF THE DEPARTMENT OF ENERGY.

    (a) Funds To Carry Out Certain Ballistic Missile Defense 
Activities.--Of the amounts authorized to be appropriated to the 
Department of Defense pursuant to section 201(4), $25,000,000 shall be 
available, subject to subsection (b) and at the discretion of the 
Director of the Ballistic Missile Defense Organization, for research, 
development, and demonstration activities at the national laboratories 
of the Department of Energy in support of the missions of the Ballistic 
Missile Defense Organization, including the following activities:
            (1) Technology development, concept demonstration, and 
        integrated testing to enhance performance, reduce risk, and 
        improve reliability in hit-to-kill interceptors for ballistic 
        missile defense.
            (2) Support for science and engineering teams to assess 
        critical technical problems and prudent alternative approaches 
        as agreed upon by the Director of the Ballistic Missile Defense 
        Organization and the Administrator for Nuclear Security.
    (b) Requirement for Matching Funds From NNSA.--Funds shall be 
available as provided in subsection (a) only if the Administrator for 
Nuclear Security makes available matching funds for the activities 
referred to in subsection (a).
    (c) Memorandum of Understanding.--The activities referred to in 
subsection (a) shall be carried out under the memorandum of 
understanding entered into by the Secretary of Energy and the Secretary 
of Defense for the use of national laboratories for ballistic missile 
defense programs, as required by section 3131 of the National Defense 
Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 
2034) and modified pursuant to section 3132 of the Floyd D. Spence 
National Defense Authorization Act for Fiscal Year 2001 (as enacted 
into law by Public Law 106-398; 114 Stat. 1654A-455) to provide for 
jointly funded projects.

SEC. 234. MISSILE DEFENSE TESTING INITIATIVE.

    (a) Testing Infrastructure.--(1) The Secretary of Defense shall 
ensure that each annual budget request of the Department of Defense--
            (A) is designed to provide for comprehensive testing of 
        ballistic missile defense programs during early stages of 
        development; and
            (B) includes necessary funding to support and improve test 
        infrastructure and provide adequate test assets for the testing 
        of such programs.
    (2) The Secretary shall ensure that ballistic missile defense 
programs incorporate, to the greatest possible extent, operationally 
realistic test configurations (referred to as ``test bed'' 
configurations) to demonstrate system performance across a broad range 
of capability and, during final stages of operational testing, to 
demonstrate reliable performance.
    (3) The Secretary shall ensure that the test infrastructure for 
ballistic missile defense programs is capable of supporting continued 
testing of ballistic missile defense systems after deployment.
    (b) Requirements for Early Stages of System Development.--In order 
to demonstrate acceptable risk and developmental stability, the 
Secretary of Defense shall ensure that any ballistic missile defense 
program incorporates, to the maximum extent practicable, the following 
elements during the early stages of system development:
            (1) Pursuit of parallel conceptual approaches and 
        technological paths for all critical problematic components 
        until effective and reliable solutions can be demonstrated.
            (2) Comprehensive ground testing in conjunction with 
        flight-testing for key elements of the proposed system that are 
        considered to present high risk, with such ground testing to 
        make use of existing facilities and combinations of facilities 
        that support testing at the highest possible levels of 
        integration.
            (3) Where appropriate, expenditures to enhance the 
        capabilities of existing test facilities, or to construct new 
        test facilities, to support alternative complementary test 
        methodologies.
            (4) Sufficient funding of test instrumentation to ensure 
        accurate measurement of all critical test events and, where 
        possible, incorporation of mobile assets to enhance flexibility 
        in test configurations.
            (5) Incorporation into the program of sufficient schedule 
        flexibility and expendable test assets, including missile 
        interceptors and targets, to ensure that failed or aborted 
        tests can be repeated in a prudent, but expeditious manner.
            (6) Incorporation into flight-test planning for the 
        program, where possible, of--
                    (A) methods referred to as ``campaign testing'' and 
                ``test through failure'' and other appropriate test 
                methods in order to reduce costs per test event;
                    (B) events to demonstrate engagement of multiple 
                targets, ``shoot-look-shoot'', and other planned 
                operational concepts; and
                    (C) exploitation of opportunities to facilitate 
                early development and demonstration of ``family of 
                systems'' concepts.
    (c) Specific Requirements for Ground-Based Mid-Course Interceptor 
Systems.--For ground-based mid-course interceptor systems, the 
Secretary of Defense shall initiate steps during fiscal year 2002 to 
establish a flight-test capability of launching not less than three 
missile defense interceptors and not less than two ballistic missile 
targets to provide a realistic test infrastructure.

SEC. 235. MISSILE DEFENSE SYSTEM TEST BED FACILITIES.

    (a) Authority To Acquire or Construct Facilities.--(1) The 
Secretary of Defense, using funds appropriated to the Department of 
Defense for research, development, test, and evaluation for fiscal 
years after fiscal year 2001 that are available for programs of the 
Ballistic Missile Defense Organization, may carry out construction 
projects, or portions of construction projects, including projects for 
the acquisition, improvement, or construction of facilities of general 
utility, to establish and operate the Missile Defense System Test Bed 
Facilities.
    (2) The authority provided in paragraph (1) may be used to acquire, 
improve, or construct facilities at a total cost not to exceed 
$500,000,000.
    (b) Authority To Provide Assistance to Local Communities.--(1) 
Subject to paragraph (2), the Secretary of Defense, using funds 
appropriated to the Department of Defense for research, development, 
test, and evaluation for fiscal years after fiscal year 2001 that are 
available for programs of the Ballistic Missile Defense Organization, 
may provide assistance, by grant or otherwise, to local communities to 
meet the need for increased municipal or community services or 
facilities resulting from the construction, installation, or operation 
of the Missile Defense System Test Bed Facilities.
    (2) Assistance may be provided to a community under paragraph (1) 
only if the Secretary of Defense determines that there is an immediate 
and substantial increase in the need for municipal or community 
services or facilities as a direct result of the construction, 
installation, or operation of the Missile Defense System Test Bed 
Facilities.

                       Subtitle D--Other Matters

SEC. 241. ESTABLISHMENT OF UNMANNED AERIAL VEHICLE JOINT OPERATIONAL 
              TEST BED SYSTEM.

    (a) Establishment of Test Bed System.--The commander of the United 
States Joint Forces Command shall establish a capability (referred to 
as a ``test bed'') within the facilities and resources of that command 
to evaluate and ensure joint interoperability of unmanned aerial 
vehicle systems. That capability shall be independent of the military 
departments and shall be managed directly by the Joint Forces Command.
    (b) Required Transfer of Predator UAV Assets.--The Secretary of the 
Navy shall transfer to the commander of the Joint Forces Command the 
two Predator unmanned aerial vehicles currently undergoing operational 
testing by the Navy, together with associated payloads and antennas and 
the associated tactical control system (TCS) ground station.
    (c) Use by Joint Forces Command.--The items transferred pursuant to 
subsection (a) may be used by the commander of the United States Joint 
Forces Command only through the independent joint operational test bed 
system established pursuant to subsection (a) for testing of those 
items, including further development of the associated tactical control 
system (TCS) ground station, other aspects of unmanned aerial vehicle 
interoperability, and participation in such experiments and exercises 
as the commander considers appropriate to the mission of that command.
    (d) Deadline for Transfers.--The transfers required by subsection 
(b) shall be completed not later than 90 days after the date of the 
enactment of this Act.
    (e) Transfer When No Longer Required by Joint Forces Command.--Upon 
a determination by the commander of the United States Joint Forces 
Command that any of the items transferred pursuant to subsection (a) 
are no longer needed by that command for use as provided in subsection 
(c), those items shall be transferred to the Secretary of the Air 
Force.

SEC. 242. DEMONSTRATION PROJECT TO INCREASE SMALL BUSINESS AND 
              UNIVERSITY PARTICIPATION IN OFFICE OF NAVAL RESEARCH 
              EFFORTS TO EXTEND BENEFITS OF SCIENCE AND TECHNOLOGY 
              RESEARCH TO FLEET.

    (a) Project Required.--The Secretary of the Navy, acting through 
the Chief of Naval Research, shall carry out a demonstration project to 
increase access to Navy facilities of small businesses and universities 
that are engaged in science and technology research beneficial to the 
fleet.
    (b) Project Elements.--In carrying out the demonstration project, 
the Secretary shall--
            (1) establish and operate a Navy Technology Extension 
        Center at a location to be selected by the Secretary;
            (2) permit participants in the Small Business Innovation 
        Research Program (SBIR) and Small Business Technology Transfer 
        Program (STTR) that are awarded contracts by Office of Naval 
        Research to acccess and use Navy facilities without charge for 
        purposes of carrying out such contracts; and
            (3) permit universities, institutions of higher learning, 
        and Federally Funded Research and Development Centers (FFRDC) 
        collaborating with SBIR and STTR participants to use Navy 
        facilities.
    (c) Report.--Not later than February 1, 2004, the Secretary shall 
submit to Congress a report on the demonstration project. The report 
shall include a description of the activities carried out under the 
demonstration project and any recommendations for the improvement or 
expansion of the demonstration project that the Secretary considers 
appropriate.

SEC. 243. MANAGEMENT RESPONSIBILITY FOR NAVY MINE COUNTERMEASURES 
              PROGRAMS.

    Section 216(a) of the National Defense Authorization Act for Fiscal 
Years 1992 and 1993 (Public Law 102-190; 105 Stat. 1317), as most 
recently amended by section 211 of the Strom Thurmond National Defense 
Authorization Act for Fiscal Year 1999 (Public Law 105-261; 112 Stat. 
1946), is amended by striking ``through 2003'' and inserting ``through 
2008''.

SEC. 244. PROGRAM TO ACCELERATE THE INTRODUCTION OF INNOVATIVE 
              TECHNOLOGY IN DEFENSE ACQUISITION PROGRAMS.

    (a) Program Required.--The Secretary of Defense shall carry out a 
program to provide opportunities for the increased introduction of 
innovative and cost-saving technology in acquisition programs of the 
Department of Defense. The program, to be known as the Challenge 
Program, shall provide an individual or activity within or outside the 
Department of Defense with the opportunity to propose alternatives, to 
be known as challenge proposals, at the component, subsystem, or system 
level of an existing Department of Defense acquisition program that 
would result in improvements in performance, affordability, 
manufacturability, or operational capability at the component, 
subsystem, or system level of that acquisition program.
    (b) Panel.--(1) In carrying out the Challenge Program, the 
Secretary of Defense shall establish a panel of highly qualified 
scientists and engineers (hereinafter in this section referred to as 
the ``Panel'') under the auspices of the Under Secretary of Defense for 
Acquisition, Technology, and Logistics. The duty of the Panel shall be 
to carry out review and evaluation of challenge proposals under 
subsection (c).
    (2) A member of the Panel may not participate in any review and 
evaluation of a challenge proposal under subsection (c) if at any time 
within the previous five years that member has, in any capacity, 
participated in or been affiliated with the Department of Defense 
program for which the challenge proposal is proposed.
    (c) Review and Evaluation of Challenge Proposals.--(1) Under 
procedures prescribed by the Secretary, an individual or activity 
within or outside the Department of Defense may submit challenge 
proposals to the Panel.
    (2) The Panel shall carry out an expedited evaluation of each 
challenge proposal submitted under paragraph (1) to determine whether a 
prima facie case has been made that the challenge proposal will result 
in improvements in performance, affordability, manufacturability, or 
operational capability at the component, subsystem, or system level of 
the applicable acquisition program. If the Panel determines that such a 
case has not been made, the Panel may turn down the challenge proposal. 
In any other case, the Panel shall provide for a full review of the 
challenge proposal under paragraph (3).
    (3) In carrying out a full review of a challenge proposal, the 
Panel shall ensure the following:
            (A) Any incumbent that would be displaced by the 
        implementation of the challenge proposal is provided notice of 
        the challenge proposal and a full opportunity to demonstrate 
        why the challenge proposal should not be implemented.
            (B) Notice of the full review of the challenge proposal is 
        published in one or more appropriate commercial publications of 
        national circulation.
            (C) If one or more other challenge proposals are submitted 
        on matters relating to the challenge proposal being reviewed, 
        the Panel shall, to the maximum extent practicable, carry out a 
        full review of those other challenge proposals together with 
        the full review of the original challenge proposal.
    (4) The Secretary of Defense shall ensure that the Panel, in 
carrying out review and evaluation of challenge proposals under this 
subsection, has the authority to call upon the technical resources of 
the laboratories, research, development, and engineering centers, test 
and evaluation activities, and other elements of the Department.
    (d) Findings of Substantial Superiority.--If, after the full review 
of a challenge proposal is completed, the Panel finds that the 
challenge proposal will result in improvements in performance, 
affordability, manufacturability, or operational capability at the 
component, subsystem, or system level of the applicable acquisition 
program that are substantially superior to that of the incumbent, the 
Panel shall submit that finding to the Under Secretary.
    (e) Action Upon Findings.--Upon receiving a finding under 
subsection (d), the Under Secretary shall carry out a plan to acquire 
and implement the challenge proposal with respect to which the finding 
was made. The Secretary shall carry out such plan--
            (1) after canceling the contract of any incumbent that 
        would be displaced by the implementation of the challenge 
        proposal; or
            (2) after an appropriate program milestone (such as the 
        expiration of such a contract) has been reached.
    (f) Elimination of Conflicts of Interest.--In carrying out each 
review and evaluation under subsection (c), the Secretary shall ensure 
the elimination of conflicts of interest.
    (g) Funding.--Of the funds authorized to be appropriated by section 
201(4) for Defense-wide research, development, test, and evaluation for 
fiscal year 2002, $40,000,000 shall be available in PE 63826D8Z for the 
Challenge Program required by this section.
    (h) Report.--The Secretary shall submit to Congress, with the 
submission of the budget request for the Department of Defense for each 
fiscal year beginning with fiscal year 2003, a report on the 
implementation of this section. The report shall include the number and 
scope of challenge proposals submitted, reviewed and evaluated, found 
to be substantially superior, and implemented.

                  TITLE III--OPERATION AND MAINTENANCE

              Subtitle A--Authorization of Appropriations

SEC. 301. OPERATION AND MAINTENANCE FUNDING.

    Funds are hereby authorized to be appropriated for fiscal year 2002 
for the use of the Armed Forces and other activities and agencies of 
the Department of Defense for expenses, not otherwise provided for, for 
operation and maintenance, in amounts as follows:
            (1) For the Army, $21,015,280,000.
            (2) For the Navy, $26,587,962,000.
            (3) For the Marine Corps, $2,898,114,000.
            (4) For the Air Force, $25,811,462,000.
            (5) For Defense-wide activities, $11,922,131,000.
            (6) For the Army Reserve, $1,814,246,000.
            (7) For the Naval Reserve, $1,003,690,000.
            (8) For the Marine Corps Reserve, $144,023,000.
            (9) For the Air Force Reserve, $2,017,866,000.
            (10) For the Army National Guard, $3,705,359,000.
            (11) For the Air National Guard, $3,967,361,000.
            (12) For the Defense Inspector General, $152,021,000.
            (13) For the United States Court of Appeals for the Armed 
        Forces, $9,096,000.
            (14) For Environmental Restoration, Army, $389,800,000.
            (15) For Environmental Restoration, Navy, $257,517,000.
            (16) For Environmental Restoration, Air Force, 
        $385,437,000.
            (17) For Environmental Restoration, Defense-wide, 
        $23,492,000.
            (18) For Environmental Restoration, Formerly Used Defense 
        Sites, $190,255,000.
            (19) For Overseas Humanitarian, Disaster, and Civic Aid 
        programs, $49,700,000.
            (20) For Drug Interdiction and Counter-drug Activities, 
        Defense-wide, $820,381,000.
            (21) For the Kaho'olawe Island Conveyance, Remediation, and 
        Environmental Restoration Trust Fund, $25,000,000.
            (22) For Defense Health Program, $17,570,750,000.
            (23) For Cooperative Threat Reduction programs, 
        $403,000,000.
            (24) For Overseas Contingency Operations Transfer Fund, 
        $2,844,226,000.
            (25) Support for International Sporting Competitions, 
        Defense, $15,800,000.

SEC. 302. WORKING CAPITAL FUNDS.

    Funds are hereby authorized to be appropriated for fiscal year 2002 
for the use of the Armed Forces and other activities and agencies of 
the Department of Defense for providing capital for working capital and 
revolving funds in amounts as follows:
            (1) For the Defense Working Capital Funds, $1,951,986,000.
            (2) For the National Defense Sealift Fund, $407,708,000.

SEC. 303. ARMED FORCES RETIREMENT HOME.

    There is hereby authorized to be appropriated for fiscal year 2002 
from the Armed Forces Retirement Home Trust Fund the sum of $71,440,000 
for the operation of the Armed Forces Retirement Home, including the 
United States Soldiers' and Airmen's Home and the Naval Home.

SEC. 304. TRANSFER FROM NATIONAL DEFENSE STOCKPILE TRANSACTION FUND.

    (a) Transfer Authority.--To the extent provided in appropriations 
Acts, not more than $150,000,000 is authorized to be transferred from 
the National Defense Stockpile Transaction Fund to operation and 
maintenance accounts for fiscal year 2002 in amounts as follows:
            (1) For the Army, $50,000,000.
            (2) For the Navy, $50,000,000.
            (3) For the Air Force, $50,000,000.
    (b) Treatment of Transfers.--Amounts transferred under this 
section--
            (1) shall be merged with, and be available for the same 
        purposes and the same period as, the amounts in the accounts to 
        which transferred; and
            (2) may not be expended for an item that has been denied 
        authorization of appropriations by Congress.
    (c) Relationship to Other Transfer Authority.--The transfer 
authority provided in this section is in addition to the transfer 
authority provided in section 1001.

                  Subtitle B--Environmental Provisions

SEC. 311. INVENTORY OF EXPLOSIVE RISK SITES AT FORMER MILITARY RANGES.

    (a) Inventory Required.--(1) Chapter 160 of title 10, United States 
Code, is amended by adding at the end the following new section:
``Sec. 2710. Former military ranges: inventory of explosive risk sites; 
              use of inventory; public safety issues
    ``(a) Definitions.--In this section:
            ``(1) The term `former military range' means a military 
        range presently located in the United States that--
                    ``(A) is or was owned by, leased to, or otherwise 
                possessed or used by the Federal Government;
                    ``(B) is designated as a closed, transferred, or 
                transferring military range (rather than as an active 
                or inactive range); or
                    ``(C) is or was used as a site for the disposal of 
                military munitions or for the use of military munitions 
                in training or research, development, testing, and 
                evaluation.
            ``(2) The term `abandoned military munitions' means 
        unexploded ordnance and other abandoned military munitions, 
        including components thereof and chemical weapons materiel, 
        that pose a threat to human health or safety.
            ``(3) The term `State' includes the District of Columbia, 
        the Commonwealth of Puerto Rico, and the territories and 
        possessions.
            ``(4) The term `United States', in a geographic sense, 
        includes the Commonwealth of Puerto Rico and the territories 
        and possessions.
    ``(b) Inventory Required.--(1) The Secretary of Defense shall 
develop and maintain an inventory of former military ranges that are 
known or suspected to contain abandoned military munitions.
    ``(2) The information for each former military range in the 
inventory shall include, at a minimum, the following:
            ``(A) A unique identifier for the range and its current 
        designation as either a closed, transferred, or transferring 
        range.
            ``(B) An appropriate record showing the location, 
        boundaries, and extent of the range, including identification 
        of the State and political subdivisions of the State in which 
        the range is located and any Tribal lands encompassed by the 
        range.
            ``(C) Known persons and entities, other than a military 
        department, with any current ownership interest or control of 
        lands encompassed by the range.
            ``(D) Any restrictions or other land use controls currently 
        in place that might affect the potential for public and 
        environmental exposure to abandoned military munitions.
    ``(c) Site Prioritization.--(1) With respect to each former 
military range included on the inventory, the Secretary of Defense 
shall assign the range a relative priority for response activities 
based on the overall conditions at the range. The level of response 
priority assigned the range shall be included with the information 
required by subsection (b)(2) to be maintained for the range.
    ``(2) In assigning the response priority for a former military 
range, the Secretary of Defense shall primarily consider factors 
relating to safety and environmental hazard potential, such as the 
following:
            ``(A) Whether there are known, versus suspected, abandoned 
        military munitions on all or any portion of the range and the 
        types of munitions present or suspected to be present.
            ``(B) Whether public access to the range is controlled, and 
        the effectiveness of these controls.
            ``(C) The potential for direct human contact with abandoned 
        military munitions at the range and evidence of people entering 
        the range.
            ``(D) Whether a response action has been or is being 
        undertaken at the range under the Formerly Used Defense Sites 
        program or other programs.
            ``(E) The planned or mandated dates for transfer of the 
        range from military control.
            ``(F) The extent of any documented incidents involving 
        abandoned military munitions at or from the range. In this 
        subparagraph, the term `incidents' means any or all of the 
        following: explosions, discoveries, injuries, reports, and 
        investigations.
            ``(G) The potential for drinking water contamination or the 
        release of weapon components into the air.
            ``(H) The potential for destruction of sensitive ecosystems 
        and damage to natural resources.
    ``(d) Updates and Availability.--(1) The Secretary of Defense shall 
annually update the inventory and site prioritization list to reflect 
new information that becomes available. The inventory shall be 
available in published and electronic form.
    ``(2) The Secretary of Defense shall work with adjacent communities 
to provide information concerning conditions at the former military 
range and response activities, and shall respond to inquiries. At a 
minimum, the Secretary shall notify immediately affected individuals, 
appropriate State, local, tribal, and Federal officials, and, when 
appropriate, civil defense or emergency management agencies.''.
    (2) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item:

``2710. Former military ranges: inventory of explosive risk sites; use 
                            of inventory; public safety issues.''.
    (b) Initial Inventory.--The inventory required by section 2710 of 
title 10, United States Code, as added by subsection (a), shall be 
completed and made available not later than one year after the date of 
the enactment of this Act.

SEC. 312. NATIONAL SECURITY IMPACT STATEMENTS.

    (a) Evaluation of National Security Impacts Required.--(1) Chapter 
160 of title 10, United States Code, is amended by inserting after 
section 2710, as added by section 311, the following new section:
``Sec. 2711. Environmental impact statements and environmental 
              assessments: evaluation of national security impacts of 
              proposed action and alternatives
    ``(a) Agency Action.--Whenever an environmental impact statement or 
environmental assessment is required under section 102 of the National 
Environmental Policy Act of 1969 (42 U.S.C. 4332) to be prepared in 
connection with a proposed Department of Defense action, the Secretary 
of Defense shall include as a part of the environmental impact 
statement or environmental assessment a detailed evaluation of the 
impact of the proposed action, and each alternative to the proposed 
action considered in the statement or assessment, on national security, 
including the readiness, training, testing, and operations of the armed 
forces.
    ``(b) Agency Input.--The Secretary of Defense shall also include 
the evaluation required by subsection (a) in any input provided by the 
Department of Defense as a cooperating agency to a lead agency 
preparing an environmental impact statement or environmental 
assessment.''.
    (2) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item:

``2711. Environmental impact statements and environmental assessments: 
                            evaluation of national security impacts of 
                            proposed action and alternatives.''.
    (b) Effective Date.--Section 2711 of title 10, United States Code, 
as added by subsection (a), shall take effect on the date of the 
enactment of this Act and apply with respect to any environmental 
impact statement or environmental assessment prepared by the Secretary 
of Defense that has not been released in final form as of that date.

SEC. 313. REIMBURSEMENT FOR CERTAIN COSTS IN CONNECTION WITH HOOPER 
              SANDS SITE, SOUTH BERWICK, MAINE.

    Using amounts authorized to be appropriated by section 301(15) for 
environmental restoration for the Navy, the Secretary of the Navy may 
pay $1,005,478 to the Hooper Sands Special Account within the Hazardous 
Substance Superfund established by section 9507 of the Internal Revenue 
Code of 1986 (26 U.S.C. 9507) to reimburse the Environmental Protection 
Agency in full for certain response costs incurred by the Environmental 
Protection Agency for actions taken pursuant to the Comprehensive 
Environmental Response, Compensation, and Liability Act of 1980 (42 
U.S.C. 9601 et seq.) at the Hooper Sands site in South Berwick, Maine, 
pursuant to an interagency agreement entered into by the Department of 
the Navy and the Environmental Protection Agency in January 2001.

SEC. 314. RIVER MITIGATION STUDIES.

    (a) Port of Orange, Sabine River.--The Secretary of Defense may 
conduct a study regarding mitigation needs in connection with 
protruding structures and submerged objects remaining from the World 
War II Navy ship building industry located at the former Navy 
installation in Orange, Texas, which create navigational hazards along 
the Sabine River and surrounding the Port of Orange.
    (b) Philadelphia Naval Shipyard, Delaware River.--The Secretary of 
Defense may conduct a study regarding mitigation needs in connection 
with floating and partially submerged debris possibly relating to the 
Philadelphia Naval Shipyard in that portion of the Delaware River from 
Philadelphia to the mouth of the river which create navigational 
hazards along the river.
    (c) Use of Existing Information.--In conducting the studies 
authorized by this section, the Secretary shall take into account any 
information available from other studies conducted in connection with 
the same navigation channels.
    (d) Consultation.--The Secretary shall conduct the studies 
authorized by this section in consultation with appropriate State and 
local government entities and Federal agencies.
    (e) Report on Study Results.--Not later than April 30, 2002, the 
Secretary of Defense shall submit to the Committee on Armed Services of 
the House of Representatives and the Committee on Armed Services of the 
Senate a report that summarizes the results of the studies conducted 
under this section.
    (f) Cost Sharing.--Nothing in this section is intended to require 
non-Federal cost sharing of the costs incurred by the Secretary of 
Defense to conduct the studies authorized by this section.
    (g) Removal Authority.--Consistent with existing laws, using funds 
authorized to be appropriated for these purposes, and after providing 
notice to Congress, the Secretary of Defense may work with the other 
Federal, State, local, and private entities--
            (1) to remove the protruding structures and submerged 
        objects along the Sabine River and surrounding the Port of 
        Orange that resulted from the abandonment of the ship building 
        industry and Navy installation in Orange, Texas; and
            (2) to remove floating and partially submerged debris in 
        the portion of the Delaware River subject to the study under 
        subsection (b).
    (h) Relation to Other Laws and Agreements.--This section is not 
intended to modify any authorities provided to the Secretary of the 
Army by the Water Resources Development Act of 1986 (33 U.S.C. 2201 et 
seq.), nor is it intended to modify any non-Federal cost-sharing 
responsibilities outlined in any local cooperation agreements.

SEC. 315. ELIMINATION OF ANNUAL REPORT ON CONTRACTOR REIMBURSEMENT FOR 
              COSTS OF ENVIRONMENTAL RESPONSE ACTIONS.

    Section 2706 of title 10, United States Code, is amended by 
striking subsection (c).

  Subtitle C--Commissaries and Nonappropriated Fund Instrumentalities

SEC. 321. RESERVE COMPONENT COMMISSARY BENEFITS.

    (a) Eligibility for Commissary Benefits.--Section 1063 of title 10, 
United States Code, is amended--
            (1) by striking subsection (a);
            (2) by redesignating subsections (b) and (c) as subsections 
        (d) and (e), respectively; and
            (3) by inserting after the section heading the following 
        new subsections:
    ``(a) Eligibility.--Subject to subsection (c), the Secretary 
concerned shall authorize members of the Ready Reserve described in 
subsection (b) to have 24 days of eligibility to use commissary stores 
of the Department of Defense for any calendar year.
    ``(b) Covered Members.--Subsection (a) applies with respect to the 
following members of the Ready Reserve:
            ``(1) A member of the Selected Reserve who is 
        satisfactorily participating in required training as prescribed 
        in section 10147(a)(1) of this title or section 502(a) of title 
        32 in that calendar year.
            ``(2) A member of the Ready Reserve (other than a member 
        described in paragraph (1)) who satisfactorily completes 50 or 
        more points credible under section 12732(a)(2) of this title in 
        that calendar year.
    ``(c) Reduced Number of Commissary Visits for New Members.--The 
number of commissary visits authorized for a member of the Selected 
Reserve described in subsection (b)(1) who enters the Selected Reserve 
after the beginning of the calendar year shall be equal to twice the 
number of full months remaining in the calendar year.''.
    (b) Clerical Amendments.--(1) The heading of such section is 
amended to read as follows:
``Sec. 1063. Use of commissary stores: members of Ready Reserve''.
    (2) The table of sections at the beginning of chapter 54 of such 
title is amended by striking the item relating to section 1063 and 
inserting the following new item:

``1063. Use of commissary stores: members of Ready Reserve.''.

SEC. 322. REIMBURSEMENT FOR NONCOMMISSARY USE OF COMMISSARY FACILITIES.

    Section 2685 of title 10, United States Code, is amended by adding 
at the end the following new subsection:
    ``(f) Reimbursement for Noncommissary Use of Commissary 
Facilities.--(1) If the Secretary concerned uses for noncommissary 
purposes a commissary facility whose construction was financed (in 
whole or in part) using the proceeds of adjustments or surcharges 
authorized by subsection (a) or revenues referred to in subsection (e), 
the Secretary concerned shall reimburse the commissary surcharge 
account for the depreciated value of the investment made with such 
proceeds and revenues.
    ``(2) In paragraph (1), the term `construction' has the meaning 
given such term in subsection (d)(2).''.

SEC. 323. CIVIL RECOVERY FOR NONAPPROPRIATED FUND INSTRUMENTALITY COSTS 
              RELATED TO SHOPLIFTING.

    Section 3701(b)(1)(B) of title 31, United States Code, is amended 
by inserting before the comma at the end the following: ``, including 
actual and administrative costs related to shoplifting, theft 
detection, and theft prevention''.

                 Subtitle D--Workforce and Depot Issues

SEC. 331. FISCAL YEAR 2002 LIMITATIONS ON WORKFORCE REVIEWS.

    (a) Workforce Review Defined.--In this section, the term 
``workforce review'' has the meaning given the term in section 2461a(a) 
of title 10, United States Code.
    (b) Limited Number of Full-Time Equivalent Positions Reviewed.--
During fiscal year 2002, the total number of full-time equivalent 
positions considered for possible change to performance by the private 
sector through the performance of a workforce review may not exceed the 
following:
            (1) 328, in the case of full-time equivalent positions for 
        civilian employees of the Department of the Army;
            (2) 453, in the case of full-time equivalent positions for 
        civilian employees of the Department of the Navy;
            (3) 936, in the case of full-time equivalent positions for 
        civilian employees of the Department of the Air Force; and
            (4) 1,336, in the case of full-time equivalent positions 
        for civilian employees of the Department of Defense, other than 
        civilian employees of a military department.
    (c) Additional Limitation.--None of the full-time equivalent 
positions for civilian employees of the Department of the Navy that may 
be considered in a workforce review during fiscal year 2002 may involve 
civilian employees who perform functions on behalf of the Marine Corps.

SEC. 332. APPLICABILITY OF CORE LOGISTICS CAPABILITY REQUIREMENTS TO 
              NUCLEAR AIRCRAFT CARRIERS.

    Section 2464(a)(3) of title 10, United States Code, is amended by 
striking ``nuclear aircraft carriers'' and inserting ``nuclear 
refueling of aircraft carriers''.

SEC. 333. CONTINUATION OF CONTRACTOR MANPOWER REPORTING SYSTEM IN 
              DEPARTMENT OF THE ARMY.

    Section 343 of the National Defense Authorization Act for Fiscal 
Year 2000 (Public Law 106-65; 113 Stat. 569) is amended--
            (1) by striking subsection (a) and inserting the following 
        new subsection (a):
    ``(a) Reporting Requirement for Department of the Army.--(1) Not 
later than March 1 of each fiscal year, the Secretary of the Army shall 
submit to Congress a report describing the use during the previous 
fiscal year of non-Federal entities to provide services to the 
Department of the Army.
    ``(2) The data collection required to prepare the report is deemed 
to be in compliance with the requirements of chapter 35 of title 44, 
United States Code, commonly known as the Paperwork Reduction Act.
    ``(3) The report required by this section is needed to comply with 
sections 115a and 129a of title 10, United States Code, and is not a 
procurement action.'';
            (2) by striking ``Department of Defense'' each place it 
        appears and inserting ``Department of the Army''; and
            (3) by adding at the end the following new subsection:
    ``(d) GAO Evaluation.--Not later than 60 days after the Secretary 
submits to Congress the report required under subsection (a) for a 
fiscal year, the Comptroller General shall submit to Congress an 
evaluation of the report.''.

SEC. 334. LIMITATION ON EXPANSION OF WHOLESALE LOGISTICS MODERNIZATION 
              PROGRAM.

    (a) Limitation.--The Secretary of the Army may not authorize the 
expansion of the Wholesale Logistics Modernization Program beyond the 
original legacy systems included in the scope of the contract awarded 
in December 1999 until the Secretary certifies to Congress that the 
original legacy systems have been successfully replaced.
    (b) GAO Evaluation.--Not later than 60 days after the Secretary of 
the Army submits to Congress the certification required under 
subsection (a), the Comptroller General shall submit to Congress an 
evaluation of the certification.

SEC. 335. PILOT PROJECT FOR EXCLUSION OF CERTAIN EXPENDITURES FROM 
              LIMITATION ON PRIVATE SECTOR PERFORMANCE OF DEPOT-LEVEL 
              MAINTENANCE.

    Section 2474 of title 10, United States Code, is amended by adding 
at the end the following new subsection:
    ``(g) Pilot Project for the Exclusion of Certain Expenditures From 
Limitation on Private Sector Performance of Depot-Level Maintenance.--
            ``(1) Amounts excluded.--Amounts expended out of funds 
        described in paragraph (2) for the performance of a depot-level 
        maintenance and repair workload by non-Federal Government 
        personnel at a Center of Industrial and Technical Excellence 
        named in paragraph (4) shall not be counted for the purposes of 
        section 2466(a) of this title if the personnel are provided by 
        private industry pursuant to a public-private partnership 
        undertaken by the Center under subsection (b).
            ``(2) Funds for fiscal years 2002 through 2006.--The funds 
        referred to in paragraph (1) are funds available to the Air 
        Force for depot-level maintenance and repair workloads for 
        fiscal year 2002, 2003, 2004, 2005, or 2006, and shall not 
        exceed 10 percent of the total funds available in any single 
        year.
            ``(3) Reporting requirements.--All funds covered by 
        paragraph (1) shall be included as a separate item in the 
        reports required under paragraphs (1), (2), and (3) of section 
        2466(e) of this title.
            ``(4) Covered centers.--(A) The Centers of Industrial and 
        Technical Excellence referred to in paragraph (1) are the 
        following:
                    ``(i) Oklahoma City Air Logistics Center, Oklahoma.
                    ``(ii) Ogden Air Logistics Center, Utah.
                    ``(iii) Warner-Robins Air Logistics Center, 
                Georgia.
            ``(B) The Secretary of the Air Force shall designate as a 
        Center of Industrial and Technical Excellence under this 
        section any of the air logistics centers named in subparagraph 
        (A) that have not previously been so designated and shall 
        specify the core competencies for which the designation is 
        made.''.

SEC. 336. PROTECTIONS FOR PURCHASERS OF ARTICLES AND SERVICES 
              MANUFACTURED OR PERFORMED BY WORKING-CAPITAL FUNDED 
              INDUSTRIAL FACILITIES OF THE DEPARTMENT OF DEFENSE..

    (a) General Rule.--Section 2563(c) of title 10, United States Code, 
is amended--
            (1) in paragraph (1)(B), by striking ``in any case of 
        willful misconduct or gross negligence'' and inserting ``as 
        provided in paragraph (3)''; and
            (2) by adding at the end the following new paragraph:
    ``(3) Paragraph (1)(B) does not apply in any case of willful 
misconduct or gross negligence or in the case of a claim by a purchaser 
of articles or services under this section that damages or injury arose 
from the failure of the Government to comply with quality, schedule, or 
cost performance requirements in the contract to provide the articles 
or services.''.
    (b) Conforming Amendment.--Section 2474(e)(2)(B)(i) of such title 
is amended by striking ``in a case of willful conduct or gross 
negligence'' and inserting ``under the circumstances described in 
section 2563(c)(3) of this title''.

                Subtitle E--Defense Dependents Education

SEC. 341. ASSISTANCE TO LOCAL EDUCATIONAL AGENCIES THAT BENEFIT 
              DEPENDENTS OF MEMBERS OF THE ARMED FORCES AND DEPARTMENT 
              OF DEFENSE CIVILIAN EMPLOYEES.

    (a) Educational Agencies Assistance.--Of the amount authorized to 
be appropriated by section 301(5) for operation and maintenance for 
Defense-wide activities, $30,000,000 shall be available only for the 
purpose of providing educational agencies assistance to local 
educational agencies.
    (b) Notification.--Not later than June 30, 2002, the Secretary of 
Defense shall notify each local educational agency that is eligible for 
educational agencies assistance for fiscal year 2002 of--
            (1) that agency's eligibility for educational agencies 
        assistance; and
            (2) the amount of the educational agencies assistance for 
        which that agency is eligible.
    (c) Disbursement of Funds.--The Secretary of Defense shall disburse 
funds made available under subsection (a) not later than 30 days after 
the date on which notification to the eligible local educational 
agencies is provided pursuant to subsection (b).
    (d) Definitions.--In this section:
            (1) The term ``educational agencies assistance'' means 
        assistance authorized under section 386(b) of the National 
        Defense Authorization Act for Fiscal Year 1993 (Public Law 102-
        484; 20 U.S.C. 7703 note).
            (2) The term ``local educational agency'' has the meaning 
        given that term in section 8013(9) of the Elementary and 
        Secondary Education Act of 1965 (20 U.S.C. 7713(9)).

SEC. 342. AVAILABILITY OF AUXILIARY SERVICES OF DEFENSE DEPENDENTS' 
              EDUCATION SYSTEM FOR DEPENDENTS WHO ARE HOME SCHOOL 
              STUDENTS.

    Section 1407 of the Defense Dependents' Education Act of 1978 (20 
U.S.C. 926) is amended--
            (1) by redesignating subsection (d) as subsection (e); and
            (2) by inserting after subsection (c) the following new 
        subsection:
    ``(d) Auxiliary Services Available to Home School Students.--(1) A 
dependent who is educated in a home school setting, but who is eligible 
to enroll in a school of the defense dependents' education system, 
shall be permitted to use or receive auxiliary services of that school 
without being required to either enroll in that school or register for 
a minimum number of courses offered by that school. The dependent may 
be required to satisfy other eligibility requirements applicable to 
students actually enrolled in that school who use or receive the same 
auxiliary services.
    ``(2) For purposes of paragraph (1), the term `auxiliary services' 
includes registration in individual courses, use of academic resources, 
access to the library of the school, after hours use of school 
facilities, and participation in music, sports, and other 
extracurricular and interscholastic activities.''.

SEC. 343. REPORT REGARDING COMPENSATION FOR TEACHERS EMPLOYED IN 
              TEACHING POSITIONS IN OVERSEAS SCHOOLS OPERATED BY THE 
              DEPARTMENT OF DEFENSE.

    Not later than 180 days after the date of the enactment of this 
Act, the Secretary of Defense shall submit to Congress a report 
evaluating the method currently used by the Secretary to fix the basic 
compensation for teachers and teaching positions in the Department of 
Defense under the Defense Department Overseas Teachers Pay and 
Personnel Practices Act (20 U.S.C. 901 et seq.). The report shall 
include the recommendations of the Secretary regarding a proposal to 
increase such compensation to reflect the average of the range of rates 
of basic compensation for similar teaching positions of a comparable 
level of duties and responsibilities for teachers employed in public 
schools in the District of Columbia metropolitan area, which includes 
the District of Columbia Public Schools, Arlington Public Schools, 
Alexandria City Public Schools, Fairfax County Public Schools, 
Montgomery County Public Schools, and Prince George's County Public 
Schools.

                       Subtitle F--Other Matters

SEC. 351. AVAILABILITY OF EXCESS DEFENSE PERSONAL PROPERTY TO SUPPORT 
              DEPARTMENT OF VETERANS AFFAIRS INITIATIVE TO ASSIST 
              HOMELESS VETERANS.

    (a) Transfer Authority.--Section 2557(a) of title 10, United States 
Code, is amended--
            (1) by striking ``The Secretary'' and inserting ``(1) The 
        Secretary''; and
            (2) by adding at the end the following new paragraph:
    ``(2) The Secretary of Defense may make excess clothing, shoes, 
sleeping bags, and related nonlethal excess supplies available to the 
Secretary of Veterans Affairs for distribution to homeless veterans and 
programs assisting homeless veterans. The transfer of nonlethal excess 
supplies to the Secretary of Veterans Affairs under this paragraph 
shall be without reimbursement.''.
    (b) Clerical Amendments.--(1) The heading of such section is 
amended to read as follows:
``Sec. 2557. Excess nonlethal supplies: availability for homeless 
              veteran initiatives and humanitarian relief''.
    (2) The table of sections at the beginning of chapter 152 of such 
title is amended by striking the item relating to section 2557 and 
inserting the following new item:

``2557. Excess nonlethal supplies: availability for homeless veteran 
                            initiatives and humanitarian relief.''.

SEC. 352. CONTINUATION OF LIMITATIONS ON IMPLEMENTATION OF NAVY-MARINE 
              CORPS INTRANET CONTRACT.

    (a) Exclusion of Marine Corps.--Subsection (c) of section 814 of 
the Floyd D. Spence National Defense Authorization Act for Fiscal Year 
2001 (as enacted by Public Law 106-398; 114 Stat. 1654A-215) is 
amended--
            (1) by striking ``Prohibition on Increase of Rates 
        Charged.--'' and inserting ``Prohibitions.--(1)'';
            (2) by striking ``fiscal year 2001'' and inserting ``fiscal 
        year 2002''; and
            (3) by adding at the end the following new paragraph:
    ``(2) The Navy Intranet contract may not include any activities of 
the Marine Corps.''.
    (b) Limitation on Phased Implementation.--Subsection (b)(4) of such 
section is amended--
            (1) by striking ``fiscal year 2001'' both places it appears 
        and inserting ``fiscal year 2002''; and
            (2) by striking ``Marine Corps, the naval shipyards, or'' 
        both places it appears and inserting ``naval shipyards or''.

SEC. 353. COMPLETION AND EVALUATION OF CURRENT DEMONSTRATION PROGRAMS 
              TO IMPROVE QUALITY OF PERSONAL PROPERTY SHIPMENTS OF 
              MEMBERS.

    (a) Completion.--The Secretary of Defense shall conduct to 
completion all demonstration programs in the Department of Defense that 
were designed to improve the movement of household goods of members of 
the Armed Forces and were being conducted or authorized as of October 
1, 2000,
    (b) Evaluation.--Not later than August 31, 2002, the Secretary of 
Defense shall submit to Congress a report evaluating whether the 
demonstration programs referred to in subsection (a), as implemented, 
satisfy the goals (as contained in the General Accounting Report NSIAD 
97-49) for such demonstration programs previously agreed upon between 
the Department of Defense and representatives of private sector 
entities involved in the transportation of household goods for members 
of the Armed Forces.
    (c) Interim Reports.--Not later than January 15, 2002, and April 
15, 2002, the Secretary shall submit to Congress interim reports 
regarding the progress of the demonstration programs referred to in 
subsection (a).

SEC. 354. EXPANSION OF ENTITIES ELIGIBLE FOR LOAN, GIFT, AND EXCHANGE 
              OF DOCUMENTS, HISTORICAL ARTIFACTS, AND OBSOLETE COMBAT 
              MATERIEL.

    Section 2572(a)(1) of title 10, United States Code, is amended by 
inserting before the period at the end the following: ``, county, or 
other political subdivision of a State''.

                 Subtitle G--Service Contracting Reform

SEC. 361. SHORT TITLE.

    This subtitle may be cited as the ``Department of Defense Service 
Contracting Reform Act of 2001''.

SEC. 362. REQUIRED COST SAVINGS LEVEL FOR CHANGE OF FUNCTION TO 
              CONTRACTOR PERFORMANCE.

    Section 2461(b) of title 10, United States Code, is amended by 
adding at the end the following new paragraph:
    ``(5)(A) A commercial or industrial type function of the Department 
of Defense may not be changed to performance by the private sector 
unless, as a result of the cost comparison examination required under 
paragraph (3)(A), that employed the most efficient organization process 
described in Office of Management and Budget Circular A-76 or any 
successor administrative regulation or policy, at least a 10-percent 
cost savings would be achieved by performance of the function by the 
private sector over the term of the contract.
    ``(B) The cost savings requirement specified in subparagraph (A) 
does not apply to any contracts for special studies and analyses, 
construction services, architectural services, engineering services, 
medical services, scientific and technical services related to (but not 
in support of) research and development, and depot-level maintenance 
and repair services.
    ``(C) The Secretary of Defense may waive the cost savings 
requirement if--
            ``(i) the written waiver is prepared by the Secretary of 
        Defense, or the relevant Assistant Secretary or agency head; 
        and
            ``(ii) the written waiver is accompanied by a detailed 
        determination that national security interests are so 
        compelling as to preclude compliance with the requirement for a 
        cost comparison examination.
    ``(D) The Secretary of Defense shall publish a copy of the waiver 
in the Federal Register.''.

SEC. 363. APPLICABILITY OF STUDY AND REPORTING REQUIREMENTS TO NEW 
              COMMERCIAL OR INDUSTRIAL TYPE FUNCTIONS.

    (a) New Functions.--Section 2461(a) of title 10, United States 
Code, is amended--
            (1) by striking ``Change in Performance.--'' and inserting 
        ``Change in or Initiation of Performance.--(1)''; and
            (2) by adding at the end the following new paragraphs:
    ``(2) In the case of a commercial or industrial type function of 
the Department of Defense not previously performed by Department of 
Defense civilian employees or a contractor, the performance of the 
function by the private sector may not be initiated until--
            ``(A) the Secretary of Defense conducts a cost comparison 
        examination that employs the most efficient organization 
        process described in Office of Management and Budget Circular 
        A-76, and its supplemental handbook or any successor 
        administrative regulation or policy; and
            ``(B) a determination is made that performance of the 
        function by the private sector would be less costly over the 
        term of the contract than performance by Department of Defense 
        civilian employees during that same period.
    ``(3) This subsection does not apply to the following contracts:
            ``(A) A contract between the Department of Defense and the 
        private sector for work with a contract value of less than 
        $1,000,000 so long as the work was not divided, modified, or in 
        any way changed for the purpose of avoiding the requirements of 
        this section.
            ``(B) A contract for special studies and analyses, 
        construction services, architectural services, engineering 
        services, medical services, scientific and technical services 
        related to (but not in support of) research and development, 
        and depot-level maintenance and repair services.
    ``(4) The Secretary of Defense may waive the applicability of this 
section if--
            ``(A) the written waiver is prepared by the Secretary of 
        Defense, or the relevant Assistant Secretary or agency head; 
        and
            ``(B) the written waiver is accompanied by a detailed 
        determination that--
                    ``(i) there is no reasonable expectation that 
                civilian employees would win a public-private 
                competition for the function; and
                    ``(ii) the issuance of a waiver would not serve to 
                reduce significantly the level of or quality of 
                competition in the future award or performance of work.
    ``(5) The Secretary of Defense shall publish a copy of the waiver 
in the Federal Register.''.
    (b) Minimal Levels of Public-Private Competition for New Work.--(1) 
Notwithstanding the use of the waiver authority provided in section 
2461 of title 10, United States Code, as amended by this section, not 
less than the percentage specified in paragraph (2) of the total 
dollars expended during a specified fiscal year for the performance by 
contractors of commercial or industrial type functions of the 
Department of Defense not previously performed by Department of Defense 
civilian employees or the private sector (that are not otherwise exempt 
from comparison under such section) shall be expended for service 
contracts that are awarded after the completion of cost comparison 
examinations.
    (2) The requirements of paragraph (1) apply as follows:
            (A) Not less than 10 percent, for fiscal year 2003.
            (B) Not less than 20 percent, for fiscal year 2004.
            (C) Not less than 30 percent, for fiscal year 2005.
    (c) Clerical Amendments.--(1) The heading of such section 2461 is 
amended to read as follows:
``Sec. 2461. Commercial or industrial type functions: required studies 
              and reports before conversion to, or initiation of, 
              contractor or civilian employee performance''.
    (2) The item relating to such section in the table of sections at 
the beginning of chapter 146 of title 10, United States Code, is 
amended to read as follows:

``2461. Commercial or industrial type functions: required studies and 
                            reports before conversion to, or initiation 
                            of, contractor or civilian employee 
                            performance.''.

SEC. 364. REPEAL OF WAIVER FOR SMALL FUNCTIONS.

    Section 2461 of title 10, United States Code, is amended by 
striking subsection (d).

SEC. 365. REQUIREMENT FOR EQUITY IN PUBLIC-PRIVATE COMPETITIONS.

    Section 2461 of title 10, United States Code, is amended by 
inserting after subsection (c) the following new subsection:
    ``(d) Equity in Public-Private Competition.--(1) For any fiscal 
year in which commercial or industrial type functions of the Department 
of Defense performed by Department of Defense civilian employees are 
studied for possible change to private sector performance, the 
Secretary of Defense shall subject approximately the same number of 
positions held by non-Federal employees under contracts with the 
Department of Defense to the same cost comparison examination described 
in subsection (b)(3), subject to the completion of the terms of those 
contracts.
    ``(2) To the extent possible, the Secretary of Defense should, in 
complying with this subsection, select those contract positions held by 
non-Federal employees under contracts with the Department of Defense 
that are associated with commercial or industrial type functions that 
are, or have been, performed at least in part by Department of Defense 
civilian employees at any time on or after October 1, 1980.
    ``(3) Notwithstanding any limitation on the number of Department of 
Defense civilian employees established by law, regulation, or policy, 
the Department of Defense may continue to employ, or may hire, such 
civilian employees as are necessary to perform functions acquired 
through the public-private competitions required by this subsection or 
any other provision of this section.''.

SEC. 366. REPORTING REQUIREMENTS REGARDING DEPARTMENT OF DEFENSE'S 
              SERVICE CONTRACTOR WORKFORCE.

    (a) Imposition of Reporting Requirement.--(1) Chapter 146 of title 
10, United States Code, is amended by inserting after section 2461a the 
following new section:
``Sec. 2461b. Use of private sector to perform commercial or industrial 
              type function: contractor reporting requirements
    ``(a) Definitions.--In this section:
            ``(1) Contractor.--The term `contractor' includes a 
        subcontractor.
            ``(2) Secretary concerned.--The term `Secretary concerned' 
        includes the Secretary of Defense with respect to matters 
        concerning the Defense Agencies.
    ``(b) General Reporting Requirement.--The Secretary concerned shall 
require each defense contractor to report to secure websites 
established and maintained by the Defense Agencies and military 
departments the same contractor direct and indirect manhour and cost 
information collected by the Department of the Army pursuant to part 
668 of title 32, Code of Federal Regulations, as in effect on December 
26, 2000, in terms of functions performed, appropriations funding the 
contract, and identification of the subordinate organizational elements 
within the Defense Agency or military department directly overseeing 
the contractor performance. The indirect information reported may 
comprise annualized rates for an entire company, which are not 
apportioned by specific contracts.
    ``(c) Assignment of Reporting Responsibility.--The Defense Agency 
or military department containing the major organizational element 
receiving or reviewing the work performed by a defense contractor shall 
be responsible for collecting the data required by this section, even 
where all or part of the contracted work is funded by appropriations 
not controlled by the Secretary concerned. If the Defense Agency or 
military department containing the major organizational element 
receiving or reviewing the work performed by the contractor is 
different from the Defense Agency or military department containing the 
contracting activity, the Secretary concerned shall ensure that the 
contractor reports the required information to the Defense Agency or 
military department containing the major organizational element 
receiving or reviewing the work performed by the contractor.
    ``(d) Timing of Contractor Reporting to Assure Data Quality.--The 
Secretary concerned shall require contractors to report the information 
described in subsection (c) to the secure web-site contemporaneous with 
submission of a request for payment (for example, voucher, invoice, or 
request for progress payment) or not later than quarterly.
    ``(e) Contract Requirement Effective Date.--The Secretary concerned 
shall include the reporting requirement described in this section in 
each contract solicitation issued, contract awarded, and bilateral 
modification of an existing contract executed, by the Secretary 
concerned after October 1, 2001.
    ``(f) Contractor Self-Exemption.--The Secretary concerned shall 
exempt a contractor from the data collection requirement imposed by 
this section if the contractor certifies in writing that the contractor 
does not have an internal system for aggregating billable hours in the 
direct or indirect pools, or an internal payroll accounting system, and 
does not otherwise have to ever provide this information to the 
Government. A contractor may not claim an exemption on the sole basis 
that the contractor is a foreign contractor, that services are provided 
pursuant to a firm fixed price or time and materials contract or 
similar instrument, that the payroll system of the contractor is 
performed by another person, or that the contractor has too many 
subcontractors. The validity of this certification is the only 
requirement in this section subject to audit and verification by the 
Secretary concerned.
    ``(g) Report to Congress and Comptroller General Actions.--The 
Secretary concerned shall submit the information collected under 
subsection (c) to Congress not later than October 1 of each year for 
the prior fiscal year. Not later than April 1 of each year, the 
Comptroller General will review the information submitted for the prior 
fiscal year to assess compliance with this section and the 
effectiveness of Department of Defense initiatives to integrate this 
information into its budgeting process.
    ``(h) Publication of Reports.--After completion of the Comptroller 
General review under subsection (h), the Secretary concerned shall take 
steps to make the nonproprietary compilations of the data public on web 
sites, using the publication standard expressed by the Department of 
the Army in part 668 of title 32, Code of Federal Regulations.''.
    (2) The table of sections at the beginning of such chapter is 
amended by inserting after the item relating to section 2461a the 
following new item:

``2461b. Use of private sector to perform commercial or industrial type 
                            function: contractor reporting 
                            requirements.''.
    (b) Effective Date.--Section 2461b of title 10, United States Code, 
as added by subsection (a), shall take effect on October 1, 2001.

              TITLE IV--MILITARY PERSONNEL AUTHORIZATIONS

                       Subtitle A--Active Forces

SEC. 401. END STRENGTHS FOR ACTIVE FORCES.

    The Armed Forces are authorized strengths for active duty personnel 
as of September 30, 2002, as follows:
            (1) The Army, 480,000.
            (2) The Navy, 376,000.
            (3) The Marine Corps, 172,600.
            (4) The Air Force, 358,800.

SEC. 402. REVISION IN PERMANENT END STRENGTH MINIMUM LEVELS.

    (a) Revised End Strength Floors.--Section 691(b) of title 10, 
United States Code, is amended--
            (1) in paragraph (2), by striking ``372,000'' and inserting 
        ``376,000''; and
            (2) in paragraph (4), by striking ``357,000'' and inserting 
        ``358,800''.
    (b) Effective Date.--The amendments made by subsection (a) shall 
take effect on October 1, 2001, or the date of the enactment of this 
Act, whichever is later.

                       Subtitle B--Reserve Forces

SEC. 411. END STRENGTHS FOR SELECTED RESERVE.

    (a) In General.--The Armed Forces are authorized strengths for 
Selected Reserve personnel of the reserve components as of September 
30, 2002, as follows:
            (1) The Army National Guard of the United States, 350,000.
            (2) The Army Reserve, 205,000.
            (3) The Naval Reserve, 87,000.
            (4) The Marine Corps Reserve, 39,558.
            (5) The Air National Guard of the United States, 108,400.
            (6) The Air Force Reserve, 74,700.
            (7) The Coast Guard Reserve, 8,000.
    (b) Adjustments.--The end strengths prescribed by subsection (a) 
for the Selected Reserve of any reserve component shall be 
proportionately reduced by--
            (1) the total authorized strength of units organized to 
        serve as units of the Selected Reserve of such component which 
        are on active duty (other than for training) at the end of the 
        fiscal year; and
            (2) the total number of individual members not in units 
        organized to serve as units of the Selected Reserve of such 
        component who are on active duty (other than for training or 
        for unsatisfactory participation in training) without their 
        consent at the end of the fiscal year.
Whenever such units or such individual members are released from active 
duty during any fiscal year, the end strength prescribed for such 
fiscal year for the Selected Reserve of such reserve component shall be 
proportionately increased by the total authorized strengths of such 
units and by the total number of such individual members.

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

    Within the end strengths prescribed in section 411(a), the reserve 
components of the Armed Forces are authorized, as of September 30, 
2002, the following number of Reserves to be serving on full-time 
active duty or full-time duty, in the case of members of the National 
Guard, for the purpose of organizing, administering, recruiting, 
instructing, or training the reserve components:
            (1) The Army National Guard of the United States, 22,974.
            (2) The Army Reserve, 13,108.
            (3) The Naval Reserve, 14,811.
            (4) The Marine Corps Reserve, 2,261.
            (5) The Air National Guard of the United States, 11,591.
            (6) The Air Force Reserve, 1,437.

SEC. 413. END STRENGTHS FOR MILITARY 
              TECHNICIANS (DUAL STATUS).

    The minimum number of military technicians (dual status) as of the 
last day of fiscal year 2002 for the reserve components of the Army and 
the Air Force (notwithstanding section 129 of title 10, United States 
Code) shall be the following:
            (1) For the Army National Guard of the United States, 
        23,128.
            (2) For the Army Reserve, 5,999.
            (3) For the Air National Guard of the United States, 
        22,422.
            (4) For the Air Force Reserve, 9,818.

SEC. 414. FISCAL YEAR 2002 LIMITATION ON NON-DUAL STATUS TECHNICIANS.

    (a) Limitation.--The number of non-dual status technicians employed 
by the reserve components of the Army and the Air Force as of September 
30, 2002, may not exceed the following:
            (1) For the Army Reserve, 1,095.
            (2) For the Army National Guard of the United States, 
        1,600.
            (3) For the Air Force Reserve, 90.
            (4) For the Air National Guard of the United States, 350.
    (b) Non-Dual Status Technicians Defined.--In this section, the term 
``non-dual status technician'' has the meaning given that term in 
section 10217(a) of title 10, United States Code.

SEC. 415. LIMITATIONS ON NUMBERS OF RESERVE PERSONNEL SERVING ON ACTIVE 
              DUTY OR FULL-TIME NATIONAL GUARD DUTY IN CERTAIN GRADES 
              FOR ADMINISTRATION OF RESERVE COMPONENTS.

    (a) Officers.--The text of section 12011 of title 10, United States 
Code, is amended to read as follows:
    ``(a) Limitations.--(1) Of the total number of members of a reserve 
component who are serving on full-time reserve component duty at the 
end of any fiscal year, the number of those members who may be serving 
in each of the grades of major, lieutenant colonel, and colonel may 
not, as of the end of that fiscal year, exceed the number determined in 
accordance with the following table:


----------------------------------------------------------------------------------------------------------------
                                                         Number of officers of that reserve component who may be
                                                                        serving in the grade of:
   ``Total number of members of a reserve component    ---------------------------------------------------------
     serving on full-time reserve component duty:                              Lieutenant
                                                              Major             Colonel             Colonel
----------------------------------------------------------------------------------------------------------------
Army Reserve:
10,000................................................              1,390                740              230
11,000................................................              1,529                803              242
12,000................................................              1,668                864              252
13,000................................................              1,804                924              262
14,000................................................              1,940                984              272
15,000................................................              2,075              1,044              282
16,000................................................              2,210              1,104              291
17,000................................................              2,345              1,164              300
18,000................................................              2,479              1,223              309
19,000................................................              2,613              1,282              318
20,000................................................              2,747              1,341              327
21,000................................................              2,877              1,400              336
 
Army National Guard:
20,000................................................              1,500                850              325
22,000................................................              1,650                930              350
24,000................................................              1,790              1,010              370
26,000................................................              1,930              1,085              385
28,000................................................              2,070              1,160              400
30,000................................................              2,200              1,235              405
32,000................................................              2,330              1,305              408
34,000................................................              2,450              1,375              411
36,000................................................              2,570              1,445              411
38,000................................................              2,670              1,515              411
40,000................................................              2,770              1,580              411
42,000................................................              2,837              1,644              411
 
Marine Corps Reserve:
1,100.................................................                106                 56               20
1,200.................................................                110                 60               21
1,300.................................................                114                 63               22
1,400.................................................                118                 66               23
1,500.................................................                121                 69               24
1,600.................................................                124                 72               25
1,700.................................................                127                 75               26
1,800.................................................                130                 78               27
1,900.................................................                133                 81               28
2,000.................................................                136                 84               29
2,100.................................................                139                 87               30
2,200.................................................                141                 90               31
2,300.................................................                143                 92               32
2,400.................................................                145                 94               33
2,500.................................................                147                 96               34
2,600.................................................                149                 98               35
 
Air Force Reserve:
500...................................................                 83                 85               50
1,000.................................................                155                165               95
1,500.................................................                220                240              135
2,000.................................................                285                310              170
2,500.................................................                350                369              203
3,000.................................................                413                420              220
3,500.................................................                473                464              230
4,000.................................................                530                500              240
4,500.................................................                585                529              247
5,000.................................................                638                550              254
5,500.................................................                688                565              261
6,000.................................................                735                575              268
7,000.................................................                770                595              280
8,000.................................................                805                615              290
10,000................................................                835                635              300
 
Air National Guard:
5,000.................................................                333                335              251
6,000.................................................                403                394              260
7,000.................................................                472                453              269
8,000.................................................                539                512              278
9,000.................................................                606                571              287
10,000................................................                673                630              296
11,000................................................                740                688              305
12,000................................................                807                742              314
13,000................................................                873                795              323
14,000................................................                939                848              332
15,000................................................              1,005                898              341
16,000................................................              1,067                948              350
17,000................................................              1,126                998              359
18,000................................................              1,185              1,048              368
19,000................................................              1,235              1,098              377
20,000................................................              1,283              1,148              380.
----------------------------------------------------------------------------------------------------------------

    ``(2) Of the total number of members of the Naval Reserve who are 
serving on full-time reserve component duty at the end of any fiscal 
year, the number of those members who may be serving in each of the 
grades of lieutenant commander, commander, and captain may not, as of 
the end of that fiscal year, exceed the number determined in accordance 
with the following table:


----------------------------------------------------------------------------------------------------------------
                                                         Number of officers who may be serving in the grade of:
 ``Total number of members of Naval Reserve serving on ---------------------------------------------------------
           full-time reserve component duty                 Lieutenant
                                                            commander          Commander            Captain
----------------------------------------------------------------------------------------------------------------
10,000................................................                807                447              141
11,000................................................                867                467              153
12,000................................................                924                485              163
13,000................................................                980                503              173
14,000................................................              1,035                521              183
15,000................................................              1,088                538              193
16,000................................................              1,142                555              203
17,000................................................              1,195                565              213
18,000................................................              1,246                575              223
19,000................................................              1,291                585              233
20,000................................................              1,334                595              242
21,000................................................              1,364                603              250
22,000................................................              1,384                610              258
23,000................................................              1,400                615              265
24,000................................................              1,410                620              270.
----------------------------------------------------------------------------------------------------------------

    ``(b) Determinations by Interpolation.--If the total number of 
members of a reserve component serving on full-time reserve component 
duty is between any two consecutive numbers in the first column of the 
appropriate table in paragraph (1) or (2) of subsection (a), the 
corresponding authorized strengths for each of the grades shown in that 
table for that component are determined by mathematical interpolation 
between the respective numbers of the two strengths. If the total 
number of members of a reserve component serving on full-time reserve 
component duty is more or less than the highest or lowest number, 
respectively, set forth in the first column of the appropriate table in 
paragraph (1) or (2) of subsection (a), the Secretary concerned shall 
fix the corresponding strengths for the grades shown in that table at 
the same proportion as is reflected in the nearest limit shown in the 
table.
    ``(c) Reallocations to Lower Grades.--Whenever the number of 
officers serving in any grade for duty described in subsection (a) is 
less than the number authorized for that grade under this section, the 
difference between the two numbers may be applied to increase the 
number authorized under this section for any lower grade.
    ``(d) Secretarial Waiver.--(1) Upon determining that it is in the 
national interest to do so, the Secretary of Defense may increase for a 
particular fiscal year the number of reserve officers that may be on 
full-time reserve component duty for a reserve component in a grade 
referred to in a table in subsection (a) by a number that does not 
exceed the number equal to 5 percent of the maximum number specified 
for the grade in that table.
    ``(2) Whenever the Secretary exercises the authority provided in 
paragraph (1), the Secretary shall submit to the Committee on Armed 
Services of the Senate and the Committee on Armed Services of the House 
of Representatives notice in writing of the adjustment made.
    ``(e) Full-Time Reserve Component Duty Defined.--In this section, 
the term `full-time reserve component duty' means the following duty:
            ``(1) Active duty described in sections 10211, 10302, 
        10303, 10304, 10305, 12310, or 12402 of this title.
            ``(2) Full-time National Guard duty (other than for 
        training) under section 502(f) of title 32.
            ``(3) Active duty described in section 708 of title 32.''.
    (b) Senior Enlisted Members.--The text of section 12012 of title 
10, United States Code, is amended to read as follows:
    ``(a) Limitations.--Of the total number of members of a reserve 
component who are serving on full-time reserve component duty at the 
end of any fiscal year, the number of those members in each of pay 
grades of 
E-8 and E-9 who may be serving on active duty under section 10211 or 
12310, or on full-time National Guard duty under the authority of 
section 502(f) of title 32 (other than for training) in connection with 
organizing, administering, recruiting, instructing, or training the 
reserve components or the National Guard may not, as of the end of that 
fiscal year, exceed the number determined in accordance with the 
following table:


------------------------------------------------------------------------
                                     Number of members of that reserve
  ``Total number of members of a    component who may be serving in the
reserve component serving on full-               grade of:
   time reserve component duty:   --------------------------------------
                                          E-8                 E-9
------------------------------------------------------------------------
Army Reserve:
10,000...........................              1,052              154
11,000...........................              1,126              168
12,000...........................              1,195              180
13,000...........................              1,261              191
14,000...........................              1,327              202
15,000...........................              1,391              213
16,000...........................              1,455              224
17,000...........................              1,519              235
18,000...........................              1,583              246
19,000...........................              1,647              257
20,000...........................              1,711              268
21,000...........................              1,775              278
 
Army National Guard:
20,000...........................              1,650              550
22,000...........................              1,775              615
24,000...........................              1,900              645
26,000...........................              1,945              675
28,000...........................              1,945              705
30,000...........................              1,945              725
32,000...........................              1,945              730
34,000...........................              1,945              735
36,000...........................              1,945              738
38,000...........................              1,945              741
40,000...........................              1,945              743
42,000...........................              1,945              743
 
Naval Reserve:
10,000...........................                340              143
11,000...........................                364              156
12,000...........................                386              169
13,000...........................                407              182
14,000...........................                423              195
15,000...........................                435              208
16,000...........................                447              221
17,000...........................                459              234
18,000...........................                471              247
19,000...........................                483              260
20,000...........................                495              273
21,000...........................                507              286
22,000...........................                519              299
23,000...........................                531              312
24,000...........................                540              325
 
Marine Corps Reserve:
1,100............................                 50               11
1,200............................                 55               12
1,300............................                 60               13
1,400............................                 65               14
1,500............................                 70               15
1,600............................                 75               16
1,700............................                 80               17
1,800............................                 85               18
1,900............................                 89               19
2,000............................                 93               20
2,100............................                 96               21
2,200............................                 99               22
2,300............................                101               23
2,400............................                103               24
2,500............................                105               25
2,600............................                107               26
 
Air Force Reserve:
500..............................                 75               40
1,000............................                145               75
1,500............................                208              105
2,000............................                270              130
2,500............................                325              150
3,000............................                375              170
3,500............................                420              190
4,000............................                460              210
4,500............................                495              230
5,000............................                530              250
5,500............................                565              270
6,000............................                600              290
7,000............................                670              330
8,000............................                740              370
10,000...........................                800              400
 
Air National Guard
5,000............................              1,020              405
6,000............................              1,070              435
7,000............................              1,120              465
8,000............................              1,170              490
9,000............................              1,220              510
10,000...........................              1,270              530
11,000...........................              1,320              550
12,000...........................              1,370              570
13,000...........................              1,420              589
14,000...........................              1,470              608
15,000...........................              1,520              626
16,000...........................              1,570              644
17,000...........................              1,620              661
18,000...........................              1,670              678
19,000...........................              1,720              695
20,000...........................              1,770              712.
------------------------------------------------------------------------

    ``(b) Determinations by Interpolation.--If the total number of 
members of a reserve component serving on full-time reserve component 
duty is between any two consecutive numbers in the first column of the 
table in subsection (a), the corresponding authorized strengths for 
each of the grades shown in that table for that component are 
determined by mathematical interpolation between the respective numbers 
of the two strengths. If the total number of members of a reserve 
component serving on full-time reserve component duty is more or less 
than the highest or lowest number, respectively, set forth in the first 
column of the table in subsection (a), the Secretary concerned shall 
fix the corresponding strengths for the grades shown in the table at 
the same proportion as is reflected in the nearest limit shown in the 
table.
    ``(c) Reallocations to Lower Grade.--Whenever the number of 
officers serving in pay grade E-9 for duty described in subsection (a) 
is less than the number authorized for that grade under this section, 
the difference between the two numbers may be applied to increase the 
number authorized under this section for pay grade E-8.
    ``(d) Secretarial Waiver.--(1) Upon determining that it is in the 
national interest to do so, the Secretary of Defense may increase for a 
particular fiscal year the number of reserve enlisted members that may 
be on active duty or full-time National Guard duty as described in 
subsection (a) for a reserve component in a pay grade referred to in a 
table in subsection (a) by a number that does not exceed the number 
equal to 5 percent of the maximum number specified for that grade and 
reserve component in the table.
    ``(2) Whenever the Secretary exercises the authority provided in 
paragraph (1), the Secretary shall submit to the Committee on Armed 
Services of the Senate and the Committee on Armed Services of the House 
of Representatives notice in writing of the adjustment made.
    ``(e) Full-Time Reserve Component Duty Defined.--In this section, 
the term `full-time reserve component duty' has the meaning given the 
term in section 12011(e) of this title.''.
    (c) Effective Date.--The amendments made by this section shall take 
effect on October 1, 2001, or the date of the enactment of this Act, 
whichever is later.

       Subtitle C--Other Matters Relating to Personnel Strengths

SEC. 421. INCREASE IN PERCENTAGE BY WHICH ACTIVE COMPONENT END 
              STRENGTHS FOR ANY FISCAL YEAR MAY BE INCREASED.

    (a) Increase.--Section 115(c)(1) of title 10, United States Code, 
is amended by striking ``1 percent'' and inserting ``2 percent''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
take effect on October 1, 2001, or the date of the enactment of this 
Act, whichever is later.

SEC. 422. ACTIVE DUTY END STRENGTH EXEMPTION FOR NATIONAL GUARD AND 
              RESERVE PERSONNEL PERFORMING FUNERAL HONORS FUNCTIONS.

    Section 115(d) of title 10, United States Code, is amended by 
adding at the end the following new paragraphs:
            ``(10) Members of reserve components on active duty to 
        prepare for and to perform funeral honors functions for 
        funerals of veterans in accordance with section 1491 of this 
        title.
            ``(11) Members on full-time National Guard duty to prepare 
        for and perform funeral honors functions for funerals of 
        veterans in accordance with section 1491 of this title.''.

SEC. 423. INCREASE IN AUTHORIZED STRENGTHS FOR AIR FORCE OFFICERS ON 
              ACTIVE DUTY IN THE GRADE OF MAJOR.

    The table in section 523(a)(1) of title 10, United States Code, is 
amended by striking the figures under the heading ``Major'' in the 
portion of the table relating to the Air Force and inserting the 
following:

                            ``9,861
                            10,727
                            11,593
                            12,460
                            13,326
                            14,192
                            15,058
                            15,925
                            16,792
                            17,657
                            18,524
                            19,389
                            20,256
                            21,123
                            21,989
                            22,855
                            23,721
                            24,588
                            25,454''.

              Subtitle D--Authorization of Appropriations

SEC. 431. AUTHORIZATION OF APPROPRIATIONS FOR MILITARY PERSONNEL.

    There is hereby authorized to be appropriated to the Department of 
Defense for military personnel for fiscal year 2002 a total of 
$82,279,101,000. The authorization in the preceding sentence supersedes 
any other authorization of appropriations (definite or indefinite) for 
such purpose for fiscal year 2002.

                   TITLE V--MILITARY PERSONNEL POLICY

          Subtitle A--General Personnel Management Authorities

SEC. 501. ENHANCED FLEXIBILITY FOR MANAGEMENT OF SENIOR GENERAL AND 
              FLAG OFFICER POSITIONS.

    (a) Repeal of Limit on Number of Officers on Active Duty in Grades 
of General and Admiral.--Section 528 of title 10, United States Code, 
is repealed.
    (b) Clerical Amendment.--The table of sections at the beginning of 
chapter 32 of such title is amended by striking the item relating to 
section 528.

SEC. 502. ORIGINAL APPOINTMENTS IN REGULAR GRADES FOR ACADEMY GRADUATES 
              AND CERTAIN OTHER NEW OFFICERS.

    (a) Repeal of Requirement for One Year of Active Duty in a Reserve 
Grade.--Section 532(e) of title 10, United States Code, is repealed.
    (b) Military Academy Graduates.--Section 4353(b) of such title is 
amended to read as follows:
    ``(b) A cadet who completes the prescribed course of instruction, 
is qualified for an original appointment in a regular component under 
section 532 of this title, and meets such other criteria for 
appointment as a commissioned officer in the Army as may be prescribed 
by the Secretary of the Army shall, upon graduation, be appointed a 
second lieutenant in the Regular Army under section 531 of this title, 
unless appointed under that section in a regular component of one of 
the other armed forces in accordance with section 541 of this title.''.
    (c) Naval Academy Graduates.--Section 6967 of such title is 
amended--
            (1) by inserting ``(a)'' before ``Under regulations''; and
            (2) by adding at the end the following:
    ``(b) A midshipman who completes the prescribed course of 
instruction, is qualified for an original appointment in a regular 
component under section 532 of this title, and meets such other 
criteria for appointment as a commissioned officer in the naval service 
as may be prescribed by the Secretary of the Navy shall, upon 
graduation, be appointed an ensign in the Regular Navy or a second 
lieutenant in the Regular Marine Corps under section 531 of this title, 
unless appointed under that section in a regular component of one of 
the other armed forces in accordance with section 541 of this title.''.
    (d) Air Force Academy Graduates.--Section 9353(b) of such title is 
amended to read as follows:
    ``(b) A cadet who completes the prescribed course of instruction, 
is qualified for an original appointment in a regular component under 
section 532 of this title, and meets such other criteria for 
appointment as a commissioned officer in the Air Force as may be 
prescribed by the Secretary of the Air Force shall, upon graduation, be 
appointed a second lieutenant in the Regular Air Force under section 
531 of this title, unless appointed under that section in a regular 
component of one of the other armed forces in accordance with section 
541 of this title.''.
    (e) ROTC Distinguished Graduates.--Section 2106(a) of such title is 
amended by adding at the end the following new sentence: ``However, a 
member of the program selected for an appointment under this section 
who, under regulations prescribed by the Secretary of the military 
department concerned, is designated or selected as a Distinguished 
Graduate (or the equivalent) shall be appointed as a regular 
officer.''.
    (f) Other Commissioning Programs.--(1) Chapter 33 of such title is 
amended by adding at the end the following new section:
``Sec. 542. Distinguished Graduates of officer commissioning programs 
              other than service academies and ROTC
    ``A person who is selected for an original appointment as a 
commissioned officer in the Army, Navy, Air Force, or Marine Corps as a 
result of satisfactory completion of an officer commissioning program 
other than the course of instruction at one of the service academies 
named in section 541 of this title or the Senior Reserve Officers' 
Training Corps program and who, under regulations prescribed by the 
Secretary of the military department concerned, is designated or 
selected as a Distinguished Graduate of that program (or the 
equivalent) shall be appointed as a regular officer.''.
    (2) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item:

``542. Distinguished Graduates of officer commissioning programs other 
                            than service academies and ROTC.''.
    (g) Effective Date.--The amendments made by this section shall take 
effect on May 1, 2002.

SEC. 503. TEMPORARY REDUCTION OF TIME-IN-GRADE REQUIREMENT FOR 
              ELIGIBILITY FOR PROMOTION FOR CERTAIN ACTIVE-DUTY LIST 
              OFFICERS IN GRADES OF FIRST LIEUTENANT AND LIEUTENANT 
              (JUNIOR GRADE).

    (a) Authority.--Subsection (a) of section 619 of title 10, United 
States Code, is amended--
            (1) in paragraph (1)(B), by inserting before the period at 
        the end the following: ``, or such shorter period as may be in 
        effect under paragraph (6)''; and
            (2) by adding at the end the following new paragraph:
    ``(6)(A) When the needs of the service require, the Secretary of 
the military department concerned may reduce to eighteen months the 
period of service in grade applicable for purposes of paragraph (1)(B) 
in the case of officers who are serving in a position that is 
authorized for officers in the grade of captain or, in the case of the 
Navy, lieutenant.
    ``(B) If the Secretary of the military department concerned uses 
the authority provided in subparagraph (A), the number of captains or, 
in the case of the Navy, lieutenants on the active-duty list may not 
exceed the number of positions for which officers in that grade are 
authorized by more than one percent.
    ``(C) The authority under subparagraph (A) and the limitation under 
subparagraph (B) expire on September 30, 2005.''.
    (b) Stylistic Amendments.--Such section is further amended as 
follows:
            (1) Subsection (a) is amended by striking ``(a)(1)'' and 
        inserting ``(a) Time-in-Grade Requirements.--(1)''.
            (2) Subsection (b) is amended by striking ``(b)(1)'' and 
        inserting ``(b) Continued Eligibility for Consideration for 
        Promotion of Officers Who Have Previously Failed of 
        Selection.--(1)''.
            (3) Subsection (c) is amended by striking ``(c)(1)'' and 
        inserting ``(c) Officers To Be Considered by Promotion 
        Boards.--(1)''.
            (4) Subsection (d) is amended by inserting ``Certain 
        Officers Not To Be Considered.--'' after ``(d)''.
    (c) Technical Amendment.--Subsection (a)(4) of such section is 
amended by striking ``clause (A)'' and inserting ``subparagraph (A)''.

SEC. 504. INCREASE IN SENIOR ENLISTED ACTIVE DUTY GRADE LIMIT FOR NAVY, 
              MARINE CORPS, AND AIR FORCE.

    (a) Members in Pay Grade E-8.--Section 517(a) of title 10, United 
States Code, is amended by striking ``2 percent (or, in the case of the 
Army, 2.5 percent)'' and inserting ``2.5 percent''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
take effect on October 1, 2001, or the date of the enactment of this 
Act, whichever is later.

SEC. 505. AUTHORITY FOR LIMITED EXTENSION OF MEDICAL DEFERMENT OF 
              MANDATORY RETIREMENT OR SEPARATION.

    The text of section 640 of title 10, United States Code, is amended 
to read as follows:
    ``(a) If the Secretary of the military department concerned 
determines that the evaluation of the physical condition of an officer 
and determination of the officer's entitlement to retirement or 
separation for physical disability require hospitalization or medical 
observation and that such hospitalization or medical observation cannot 
be completed with confidence in a manner consistent with the member's 
well being before the date on which the officer would otherwise be 
required to retire or be separated under this title, the Secretary may 
defer the retirement or separation of the officer under this title.
    ``(b) A deferral of retirement or separation under subsection (a) 
may not extend for more than 30 days after completion of the evaluation 
requiring hospitalization or medical observation.''.

SEC. 506. AUTHORITY FOR LIMITED EXTENSION ON ACTIVE DUTY OF MEMBERS 
              SUBJECT TO MANDATORY RETIREMENT OR SEPARATION.

    (a) Section 12305 Stop-Loss Authority.--Section 12305 of title 10, 
United States Code, is amended by adding at the end the following new 
subsection:
    ``(c) Upon the termination of a suspension made under the authority 
of subsection (a) of a provision of law otherwise requiring the 
separation or retirement of officers on active duty because of age, 
length of service or length of service in grade, or failure of 
selection for promotion, the Secretary concerned shall extend by up to 
90 days the otherwise required separation or retirement date of any 
officer covered by the suspended provision whose separation or 
retirement date, but for the suspension, would have been before the 
date of the termination of the suspension or within 90 days of the date 
of such termination.''.
    (b) Section 123 Stop-Loss Authority.--Section 123 of such title is 
amended by adding at the end the following new subsection:
    ``(d) Upon the termination of a suspension made under the authority 
of subsection (a) of a provision of law otherwise requiring the 
separation or retirement of officers on active duty because of age, 
length of service or length of service in grade, or failure of 
selection for promotion, the Secretary concerned shall extend by up to 
90 days the otherwise required separation or retirement date of any 
officer covered by the suspended provision whose separation or 
retirement date, but for the suspension, would have been before the 
date of the termination of the suspension or within 90 days of the date 
of such termination.''.

SEC. 507. CLARIFICATION OF DISABILITY SEVERANCE PAY COMPUTATION.

    (a) Clarification.--Section 1212(a)(2) of title 10, United States 
Code, is amended by striking ``for promotion'' in subparagraph (C) and 
the first place it appears in subparagraph (D).
    (b) Effective Date.--The amendments made by subsection (a) shall 
apply with respect to members separated under section 1203 or 1206 of 
title 10, United States Code, on or after date of the enactment of this 
Act.

SEC. 508. OFFICER IN CHARGE OF UNITED STATES NAVY BAND.

    (a) Detail and Grade.--Section 6221 of title 10, United States 
Code, is amended to read as follows:
Sec. 6221. United States Navy Band; officer in charge
    ``(a) There is a Navy band known as the United States Navy Band.
    ``(b) An officer of the Navy designated for limited duty under 
section 5589 or 5596 of this title who is serving in a grade not below 
lieutenant commander may be detailed by the Secretary of the Navy as 
Officer in Charge of the United States Navy Band. While so serving, an 
officer so detailed shall hold the grade of captain if recommended by 
the Secretary of the Navy for appointment to that grade and appointed 
to that grade by the President, by and with the advice and consent of 
the Senate. Such an appointment may be made notwithstanding section 
5596(d) of this title.''.
    (b) Clerical Amendment.--The item relating to section 6221 in the 
table of sections at the beginning of chapter 565 of such title is 
amended to read as follows:

``6221. United States Navy Band; officer in charge.''.

SEC. 509. ONE-YEAR EXTENSION OF EXPIRATION DATE FOR CERTAIN FORCE 
              MANAGEMENT AUTHORITIES.

    (a) Early Retirement Authority for Active Force Members.--Section 
4403(i) of the National Defense Authorization Act for Fiscal Year 1993 
(10 U.S.C. 1293 note) is amended by striking ``December 31, 2001'' and 
inserting ``December 31, 2002''.
    (b) SSB and VSI.--Sections 1174a(h)(1) and 1175(d)(3) of title 10, 
United States Code, are amended by striking ``December 31, 2001'' and 
inserting ``December 31, 2002''.
    (c) Selective Early Retirement Boards.--Section 638a(a) of such 
title is amended by striking ``December 31, 2001'' and inserting 
``December 31, 2002''.
    (d) Time-in-Grade Requirement for Retention of Grade Upon Voluntary 
Retirement.--Section 1370 of such title is amended by striking 
``December 31, 2001'' in subsections (a)(2)(A) and (d)(5) and inserting 
``December 31, 2002''.
    (e) Minimum Commissioned Service for Voluntary Retirement as an 
Officer.--Sections 3911(b), 6323(a)(2), and 8911(b) of such title are 
amended by striking ``December 31, 2001'' and inserting ``December 31, 
2002''.
    (f) Travel, Transportation, and Storage Benefits.--Sections 
404(c)(1)(C), 404(f)(2)(B)(v), 406(a)(2)(B)(v), and 406(g)(1)(C) of 
title 37, United States Code, and section 503(c)(1) of the National 
Defense Authorization Act for Fiscal Year 1991 (37 U.S.C. 406 note) are 
amended by striking ``December 31, 2001'' and inserting ``December 31, 
2002''.
    (g) Educational Leave for Public and Community Service.--Section 
4463(f) of the National Defense Authorization Act for Fiscal Year 1993 
(10 U.S.C. 1143a note) is amended by striking ``December 31, 2001'' and 
inserting ``December 31, 2002''.
    (h) Transitional Health Benefits.--Subsections (a)(1), (c)(1), and 
(e) of section 1145 of title 10, United States Code, are amended by 
striking ``December 31, 2001'' and inserting ``December 31, 2002''.
    (i) Transitional Commissary and Exchange Benefits.--Section 1146 of 
such title is amended by striking ``December 31, 2001'' both places it 
appears and inserting ``December 31, 2002''.
    (j) Transitional Use of Military Housing.--Paragraphs (1) and (2) 
of section 1147(a) of such title are amended by striking ``December 31, 
2001'' and inserting ``December 31, 2002''.
    (k) Continued Enrollment of Dependents in Defense Dependents' 
Education System.--Section 1407(c)(1) of the Defense Dependents' 
Education Act of 1978 (20 U.S.C. 926(c)(1)) is amended by striking 
``December 31, 2001'' and inserting ``December 31, 2002''.
    (l) Force Reduction Transition Period Defined for Certain Guard and 
Reserve Benefits.--Section 4411 of the National Defense Authorization 
Act for Fiscal Year 1993 (10 U.S.C. 12681 note) is amended by striking 
``December 31, 2001'' and inserting ``December 31, 2002''.
    (m) Retired Pay for Non-Regular Service.--Sections 12731(f) and 
12731a(b) of title 10, United States Code, are amended by striking 
``December 31, 2001'' and inserting ``December 31, 2002''.
    (n) Affiliation With Guard and Reserve Units; Waiver of Certain 
Limitations.--Section 1150(a) of such title is amended by striking 
``December 31, 2001'' and inserting ``December 31, 2002''.
    (o) Reserve Montgomery GI Bill.--Section 16133(b)(1)(B) of such 
title is amended by striking ``December 31, 2001'' and inserting 
``December 31, 2002''.

             Subtitle B--Reserve Component Personnel Policy

SEC. 511. PLACEMENT ON ACTIVE-DUTY LIST OF CERTAIN RESERVE OFFICERS ON 
              ACTIVE DUTY FOR A PERIOD OF THREE YEARS OR LESS.

    (a) Clarification of Exemption.--Section 641(1)(D) of title 10, 
United States Code, is amended to read as follows:
                    ``(D) on active duty under section 12301(d) of this 
                title, other than as provided under subparagraph (C), 
                if the call or order to active duty, under regulations 
                prescribed by the Secretary concerned, specifies a 
                period of three years or less and continued placement 
                on the reserve active-status list;''.
    (b) Retroactive Application.--(1) The Secretary of the military 
department concerned may provide that an officer who was excluded from 
the active-duty list under section 641(1)(D) of title 10, United States 
Code, as amended by section 521 of the Floyd D. Spence National Defense 
Authorization Act for Fiscal Year 2001 (as enacted into law by Public 
Law 106-398; 114 Stat. 1654A-108), shall be considered to have been on 
the active-duty list during the period beginning on the date on which 
the officer was so excluded and ending on the date of the enactment of 
this Act.
    (2) The Secretary of the military department concerned may provide 
that a Reserve officer who was placed on the active-duty list on or 
after October 30, 1997, shall be placed on the reserve active-status 
list if the officer otherwise meets the conditions specified in section 
641(1)(D) of title 10, United States Code, as amended by subsection 
(a).

SEC. 512. EXPANDED APPLICATION OF RESERVE SPECIAL SELECTION BOARDS.

    (a) Special Selection Board for Below-the-Zone Consideration.--
Section 14502 of title 10, United States Code, is amended--
            (1) in subsection (a)(1), by striking ``from in or above 
        the promotion zone'';
            (2) in subsection (a)(3), by inserting ``for selection for 
        promotion from in or above the promotion zone'' after ``for 
        consideration''; and
            (3) in subsection (b)(1), by striking ``from in or above 
        the promotion zone''.
    (b) Technical Amendment.--Subsection (b)(1) of such section is 
amended by striking ``under this chapter by a selection board'' and 
inserting ``by a promotion board convened under section 14101(a) of 
this title''.
    (c) Effective Date.--The amendments made by subsection (a) shall 
apply to any Reserve officer who was not considered for promotion 
because of administrative error, or was considered for promotion but 
not selected because of material error, under part III of subtitle E of 
title 10, United States Code, on or after October 1, 1996.

SEC. 513. EXCEPTION TO BACCALAUREATE DEGREE REQUIREMENT FOR APPOINTMENT 
              OF RESERVE OFFICERS TO GRADES ABOVE FIRST LIEUTENANT.

    Section 12205(b) of title 10, United States Code, is amended--
            (1) by redesignating paragraphs (4) and (5) as paragraphs 
        (5) and (6), respectively; and
            (2) by inserting after paragraph (3) the following new 
        paragraph (4):
            ``(4) The appointment to a grade in the Army Reserve of a 
        person whose original appointment as an officer in the Army 
        Reserve was through the Officer Candidate School program and 
        who immediately before that original appointment was an 
        enlisted member on active duty.''.

SEC. 514. IMPROVED DISABILITY BENEFITS FOR CERTAIN RESERVE COMPONENT 
              MEMBERS.

    (a) Medical and Dental Care.--Sections 1074a(a)(3) and 
1076(a)(2)(C) of title 10, United States Code, are each amended by 
striking ``, if the'' and all that follows through ``member's 
residence''.
    (b) Eligibility for Disability Retirement 
or Separation.--Sections 1204(2)(B)(iii) and 1206(2)(B)(iii) of title 
10, United States Code, are each amended by striking ``, if the'' and 
all that follows through ``member's residence''.
    (c) Recovery, Care, and Disposition of Remains.--Section 
1481(a)(2)(D) of title 10, United States Code, is amended by striking 
``, if the site is outside reasonable commuting distance from the 
member's residence''.
    (d) Pay.--Sections 204(g)(1)(D), 204(h)(1)(D), and 206(a)(3)(C) of 
title 37, United States Code, are each amended by striking ``, if the 
site is outside reasonable commuting distance from the member's 
residence''.

SEC. 515. TIME-IN-GRADE REQUIREMENT FOR RESERVE COMPONENT OFFICERS WITH 
              A NONSERVICE CONNECTED DISABILITY.

    Section 1370(d)(3)(B) of title 10, United States Code, is amended 
to read as follows:
    ``(B) A person covered by subparagraph (A) who has completed at 
least six months of satisfactory service in grade may be credited with 
satisfactory service in the grade in which serving at the time of 
transfer or discharge, notwithstanding failure of the person to 
complete three years of service in that grade, if that person--
            ``(i) is transferred from an active status or discharged as 
        a reserve commissioned officer solely due to the requirements 
        of a nondiscretionary provision of law requiring that transfer 
        or discharge due to the person's age or years of service; or
            ``(ii) is retired under chapter 1223 of this title because 
        the person no longer meets the qualification for membership in 
        the Ready Reserve solely because of a physical disability, as 
        determined, at a minimum, by a medical evaluation board.''.

SEC. 516. RESERVE MEMBERS CONSIDERED TO BE DEPLOYED FOR PURPOSES OF 
              PERSONNEL TEMPO MANAGEMENT.

    Section 991(b) of title 10, United States Code, is amended--
            (1) in paragraph (1)--
                    (A) by inserting ``active'' before ``service''; and
                    (B) by adding at the end the following: ``For the 
                purpose of applying the preceding sentence to a member 
                of a reserve component performing active service, the 
                housing in which the member resides when on garrison 
                duty at the member's permanent duty station or 
                homeport, as the case may be, shall be considered to be 
                either the housing the member normally occupies when on 
                garrison duty or the member's permanent civilian 
                residence.'';
            (2) by striking paragraph (2);
            (3) by redesignating paragraphs (3) and (4) as paragraphs 
        (2) and (3), respectively; and
            (4) in paragraph (3) (as so redesignated), by striking ``in 
        paragraphs (1) and (2)'' and inserting ``in paragraph (1)''.

SEC. 517. FUNERAL HONORS DUTY PERFORMED BY RESERVE AND GUARD MEMBERS TO 
              BE TREATED AS INACTIVE-DUTY TRAINING FOR CERTAIN 
              PURPOSES.

    (a) Reserve Members.--Section 12503(a) of title 10, United States 
Code, is amended by adding at the end the following new sentence: 
``Performance of funeral honors duty by a Reserve not on active duty 
shall be treated as inactive-duty training (including with respect to 
travel to and from such duty) for purposes of any provision of law 
other than sections 206 and 435 of title 37.''.
    (b) National Guard Members.--Section 115(a) of title 32, United 
States Code, is amended by adding at the end the following new 
sentence: ``Performance of funeral honors duty by such a member not on 
active duty or full-time National Guard duty shall be treated as 
inactive-duty training (including with respect to travel to and from 
such duty) for purposes of any provision of law other than sections 206 
and 435 of title 37.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to funeral honors duty performed on or after October 30, 2000.

SEC. 518. MEMBERS OF THE NATIONAL GUARD PERFORMING FUNERAL HONORS DUTY 
              WHILE IN NON-FEDERAL STATUS.

    Section 1491(b) of title 10, United States Code, is amended by 
adding at the end the following new paragraph:
    ``(3) A member of the Army National Guard of the United States or 
the Air National Guard of the United States who serves as a member of a 
funeral honors detail while in a duty status authorized under State law 
shall be considered to be a member of the armed forces for the purposes 
of the first sentence of paragraph (2).''.

SEC. 519. USE OF MILITARY LEAVE FOR FUNERAL HONORS DUTY BY RESERVE 
              MEMBERS AND NATIONAL GUARDSMEN.

    Section 6323(a)(1) of title 5, United States Code, is amended by 
inserting ``funeral honors duty (as described in section 12503 of title 
10 and section 115 of title 32),'' after ``(as defined in section 101 
of title 37),''.

 Subtitle C--Joint Specialty Officers and Joint Professional Military 
                               Education

SEC. 521. NOMINATIONS FOR JOINT SPECIALTY.

    Paragraph (2) of section 661(b) of title 10, United States Code, is 
amended by striking ``The Secretaries'' and all that follows through 
``officers--'' and inserting ``Each officer on the active-duty list on 
the date of the enactment of the National Defense Authorization Act for 
Fiscal Year 2002 who has not before that date been nominated for the 
joint specialty by the Secretary of a military department, and each 
officer who is placed on the active-duty list after such date, who 
meets the requirements of subsection (c) shall automatically be 
considered to have been nominated for the joint specialty. From among 
those officers considered to be nominated for the joint specialty, the 
Secretary may select for the joint specialty only officers--''.

SEC. 522. JOINT DUTY CREDIT.

    Paragraph (4) of section 664(i) of title 10, United States Code, is 
amended--
            (1) in subparagraph (E), by striking ``The'' and inserting 
        ``Except as provided in subparagraph (F), the''; and
            (2) by adding at the end the following new subparagraph:
            ``(F) Service in a temporary joint task force assignment 
        not involved in combat or combat-related operations may not be 
        credited for the purposes of joint duty, unless, and only if--
                    ``(i) the service of the officer and the nature of 
                the joint task force not only meet all criteria of this 
                section, except subparagraph (E), but also any 
                additional criteria the Secretary may establish;
                    ``(ii) the Secretary has specifically approved the 
                operation conducted by the joint task force as one that 
                qualifies for joint service credit, and notifies 
                Congress upon each approval, providing the criteria 
                that led to that approval; and
                    ``(iii) the operation is conducted by the joint 
                task force in an environment where an extremely fragile 
                state of peace and high potential for hostilities 
                coexist.''.

SEC. 523. RETROACTIVE JOINT SERVICE CREDIT FOR DUTY IN CERTAIN JOINT 
              TASK FORCES.

    (a) Authority.--In accordance with section 664(i) of title 10, 
United States Code, as amended by section 522, the Secretary of Defense 
may award joint service credit to any officer who served on the staff 
of a United States joint task force headquarters in an operation and 
during the period set forth in subsection (b) and who meets the 
criteria specified in such section. To determine which officers qualify 
for such retroactive credit, the Secretary shall undertake a case-by-
case review of the records of officers.
    (b) Eligible Operations.--Service in the following operations, 
during the specified periods, may be counted for credit under 
subsection (a):
            (1) Operation Northern Watch, during the period beginning 
        on August 1, 1992, and ending on a date to be determined.
            (2) Operation Southern Watch, during the period beginning 
        on August 27, 1992, and ending on a date to be determined.
            (3) Operation Able Sentry, during the period beginning on 
        June 26, 1993, and ending on February 28, 1999.
            (4) Operation Joint Endeavor, during the period beginning 
        on December 25, 1995, and ending on December 19, 1996.
            (5) Operation Joint Guard, during the period beginning on 
        December 20, 1996, and ending on June 20, 1998.
            (6) Operation Desert Thunder, beginning on January 24, 
        1998, and ending on December 15, 1998.
            (7) Operation Joint Forge, beginning on June 20, 1998, and 
        ending on June 10, 1999.
            (8) Operation Noble Anvil, beginning on March 24, 1999, and 
        ending on July 20, 1999.
            (9) Operation Joint Guardian, beginning on June 11, 1999, 
        and ending on a date to be determined.
    (c) Report.--Not later than one year after the date of the 
enactment of this Act, the Secretary of Defense shall submit to 
Congress a report of the numbers, by service, grade, and operation, of 
the officers given joint service credit in accordance with this 
section.

SEC. 524. REVISION TO ANNUAL REPORT ON JOINT OFFICER MANAGEMENT.

    Section 667 of title 10, United States Code, is amended--
            (1) in paragraph (1)--
                    (A) by inserting ``(A)'' after ``(1)''; and
                    (B) by adding at the end the following new 
                subparagraph:
            ``(B) The number of officers who meet the criteria for 
        selection for the joint specialty but were not selected, 
        together with the reasons why.'';
            (2) by amending paragraph (2) to read as follows:
            ``(2) The number of officers with the joint specialty, 
        shown by grade and branch or specialty and by education.'';
            (3) in paragraph (3)--
                    (A) in subparagraph (A) and (B), by striking 
                ``nominated'' and inserting ``selected'';
                    (B) by inserting ``and'' at the end of subparagraph 
                (D);
                    (C) by striking subparagraph (E); and
                    (D) by redesignating subparagraph (F) as 
                subparagraph (E);
            (4) in paragraph (4)(A), by striking ``nominated'' and 
        inserting ``selected'';
            (5) in paragraph (14)--
                    (A) by inserting ``(A)'' after ``(14)''; and
                    (B) by adding at the end the following new 
                subparagraph:
            ``(B) An assessment of the extent to which the Secretary of 
        each military department is assigning personnel to joint duty 
        assignments in accordance with this chapter and the policies, 
        procedures, and practices established by the Secretary of 
        Defense under section 661(a) of this title.''; and
            (6) in paragraph (16), by striking ``section 664(i)'' in 
        the matter preceding subparagraph (A) and in subparagraph (B) 
        and inserting ``subparagraphs (E) and (F) of section 
        664(i)(4)''.

SEC. 525. REQUIREMENT FOR SELECTION FOR JOINT SPECIALTY BEFORE 
              PROMOTION TO GENERAL OR FLAG OFFICER GRADE.

    (a) Requirement.--Subsection (a) of section 619a of title 10, 
United States Code, is amended by striking ``unless'' and all that 
follows and inserting ``unless--
            ``(1) the officer has completed a full tour of duty in a 
        joint duty assignment (as described in section 664(f) of this 
        title); and
            ``(2) for appointments after September 30, 2007, the 
        officer has been selected for the joint specialty in accordance 
        with section 661 of this title.''
    (b) Waiver Authority.--Subsection (b) of that section is amended by 
striking ``may waive subsection (a) in the following circumstances:'' 
and inserting ``may waive paragraph (1) or paragraph (2) of subsection 
(a), or both paragraphs (1) and (2) of subsection (a), in the following 
circumstances (except that paragraph (2) of subsection (a) may not be 
waived by reason of paragraph (4)):''.
    (c) Proposed Legislative Changes.--Not later than December 1, 2002, 
the Secretary of Defense shall submit to Congress a draft proposal for 
such legislative changes as the Secretary considers needed to implement 
the amendment made by subsections (a) and (b).

SEC. 526. INDEPENDENT STUDY OF JOINT OFFICER MANAGEMENT AND JOINT 
              PROFESSIONAL MILITARY EDUCATION REFORMS.

    (a) Study.--The Secretary of Defense shall provide for an 
independent study of the joint officer management system and the joint 
professional military education system. The Secretary shall ensure that 
the entity conducting the study is provided such information and 
support as required. The Secretary shall include in the contract for 
the study a requirement that the entity conducting the study submit a 
report to Congress on the study not later than June 30, 2002.
    (b) Matters To Be Included With Respect to Joint Officer 
Management.--With respect to the joint officer management system, the 
entity conducting the independent study shall provide for the 
following:
            (1) Assessment of implications for joint officer education, 
        development, and management that would result from proposed 
        joint organizational operational concepts (such as standing 
        joint task forces) and from emerging officer management and 
        personnel reforms (such as longer careers and more 
        stabilization), that are under consideration by the Secretary 
        of Defense.
            (2) Assessment of the effectiveness of the current joint 
        officer management system to develop and use joint specialty 
        qualified officers in meeting both current and future 
        requirements for joint specialty officers.
            (3) Recommendations, based on empirical and other data, to 
        improve the effectiveness of the joint officer management 
        system, especially with regard to the following:
                    (A) The proper mix and sequencing of education 
                assignments and experience assignments (to include, 
                with respect to both types of assignments, 
                consideration of the type and quality, and the length, 
                of such assignments) to qualify an officer as a joint 
                specialty officer, as well as the implications of 
                adopting a variable joint duty tour length and the 
                advisability and implications of a system of qualifying 
                officers as joint specialty officers that uses multiple 
                shorter qualification tracks to selection as a joint 
                specialty officer than are now codified.
                    (B) The system of using joint specialty officers, 
                including the continued utility of such measures as--
                            (i) the required fill of positions on the 
                        joint duty assignment list, as specified in 
                        paragraphs (1) and (4) of section 661(d) of 
                        title 10, United States Code;
                            (ii) the fill by such officers of a 
                        required number of critical billets, as 
                        prescribed by section 661(d)(2) of such title;
                            (iii) the mandated fill by general and flag 
                        officers of a minimum number of critical 
                        billets, as prescribed by section 661(d)(3) of 
                        such title; and
                            (iv) current promotion policy objectives 
                        for officers with the joint specialty, officers 
                        serving on the Joint Staff, and officers 
                        serving in joint duty assignment list 
                        positions, as prescribed by section 662 of such 
                        title.
                    (C) Changes in policy and law required to provide 
                officers the required joint specialty qualification 
                before promotion to general or flag officer grade.
                    (D) A determination of the number of reserve 
                component officers who would be qualified for 
                designation as a joint specialty officer by reason of 
                experience or education if the standards of existing 
                law, including waiver authorities, were applied to 
                them, and recommendations for a process for qualifying 
                and employing future reserve component officers as 
                joint specialty officers.
    (c) Matters To Be Included With Respect to Joint Professional 
Military Education.--With respect to the joint professional military 
education system, the entity conducting the independent study shall 
provide for the following:
            (1) The number of officers who under the current system (A) 
        qualified as joint specialty officers by attending joint 
        professional military education programs before their first 
        joint duty assignment, (B) qualified as joint specialty 
        officers after arriving at their first joint duty assignment 
        but before completing that assignment, and (C) qualified as 
        joint specialty officers without any joint professional 
        military education.
            (2) Recommended initiatives (include changes in officer 
        personnel management law, if necessary) to provide incentives 
        and otherwise facilitate attendance at joint professional 
        military education programs before an officer's first joint 
        duty assignment.
            (3) Recommended goals for attendance at the Joint Forces 
        Staff College en route to a first joint duty assignment.
            (4) An assessment of the continuing utility of statutory 
        requirements for use of officers following joint professional 
        military education, as prescribed by section 662(d) of title 
        10, United States Code.
            (5) Determination of whether joint professional military 
        education programs should remain principally an in-resident, 
        multi-service experience and what role non-resident or 
        distributive learning can or should play in future joint 
        professional military education programs.
            (6) Examination of options for the length of and increased 
        capacity at Joint Forces Staff College, and whether other in-
        resident joint professional military education sources should 
        be opened, and if opened, how they might be properly accredited 
        and overseen to provide instruction at the level of the program 
        designated as ''joint professional military education''.
    (d) Chairman of Joint Chiefs of Staff.--With respect to the roles 
of the Secretary of Defense and the Chairman of the Joint Chiefs of 
Staff, the entity conducting the independent study shall--
            (1) provide for an evaluation of the current roles of the 
        Secretary of Defense, the Chairman of the Joint Chiefs of 
        Staff, and joint staff in law, policy, and implementation with 
        regard to establishing and maintaining oversight of joint 
        officer management, career guidelines, and joint professional 
        military education; and
            (2) make recommendations to improve and strengthen those 
        roles.
    (e) Requirements for Study Entity.--In providing for the 
independent study required by subsection (a), the Secretary of Defense 
shall ensure that the entity conducting the study--
            (1) is not a Department of Defense organization; and
            (2) shall, at a minimum, involve in the study, in an 
        integral way, the following persons:
                    (A) The Chairman of the Joint Chiefs of Staff and 
                available former Chairmen of the Joint Chiefs of Staff.
                    (B) Members and former members of the Joint Staff, 
                the Armed Forces, the Congress, and congressional staff 
                who are or who have been significantly involved in the 
                development, implementation, or modification of joint 
                officer management and joint professional military 
                education.
                    (C) Experts in joint officer management and 
                education from civilian academic and research centers.

SEC. 527. PROFESSIONAL DEVELOPMENT EDUCATION.

    (a) Executive Agent for Funding.--(1) Effective beginning with 
fiscal year 2003, the Secretary of Defense shall be the executive agent 
for funding professional development education operations of all 
components of the National Defense University, including the Joint 
Forces Staff College. The Secretary may not delegate the Secretary's 
functions and responsibilities under the preceding sentence to the 
Secretary of a military department.
    (2) Nothing in this subsection affects policies in effect on the 
date of the enactment of this Act with respect to--
            (A) the reporting of the President of the National Defense 
        University to the Chairman of the Joint Chiefs of Staff; or
            (B) provision of logistical and base operations support for 
        components of the National Defense University by the military 
        departments.
    (b) Preparation of Budget Requests.--Section 2162(b) of title 10, 
United States Code, is amended--
            (1) by redesignating paragraph (2) as paragraph (3); and
            (2) by inserting after paragraph (1) the following new 
        paragraph:
    ``(2) As executive agent for funding professional development 
education at the National Defense University, including the Joint 
Forces Staff College, the Secretary of Defense, with the advice of the 
Chairman of the Joint Chiefs of Staff, shall prepare the annual budget 
for professional development education operations at the National 
Defense University and set forth that request as a separate budget 
request in the materials submitted to Congress in support of the budget 
request for the Department of Defense. Nothing in the preceding 
sentence affects policies in effect on the date of the enactment of 
this paragraph with respect to budgeting for the funding of logistical 
and base operations support for components of the National Defense 
University through the military departments.''.
    (c) Funding Source.--(1) Section 2165 of title 10, United States 
Code, is amended by adding at the end the following new subsection:
    ``(d) Source of Funds for Professional Development Education 
Operations.--Funding for the professional development education 
operations of the National Defense University shall be provided from 
funds made available to the Secretary of Defense from the annual 
appropriation `Operation and Maintenance, Defense-wide'.''.
    (2) Subsection (d) of section 2165 of title 10, United States Code, 
as added by paragraph (1), shall become effective beginning with fiscal 
year 2003.

SEC. 528. AUTHORITY FOR NATIONAL DEFENSE UNIVERSITY TO ENROLL CERTAIN 
              PRIVATE SECTOR CIVILIANS.

    (a) In General.--(1) Chapter 108 of title 10, United States Code, 
is amended by adding at the end the following new section:
``Sec. 2167. National Defense University: admission of private sector 
              civilians to professional military education program
    ``(a) Authority for Admission.--The Secretary of Defense may permit 
eligible private sector employees who work in organizations relevant to 
national security to receive instruction at the National Defense 
University in accordance with this section. No more than 10 full-time 
equivalent private sector employees may be enrolled at any one time. 
Upon successful completion of the course of instruction in which 
enrolled, any such private sector employee may be awarded an 
appropriate diploma or degree under section 2165 of this title.
    ``(b) Eligible Private Sector Employees.--For purposes of this 
section, an eligible private sector employee is an individual employed 
by a private firm that is engaged in providing to the Department of 
Defense or other Government departments or agencies significant and 
substantial defense-related systems, products, or services or whose 
work product is relevant to national security policy or strategy. A 
private sector employee admitted for instruction at the National 
Defense University remains eligible for such instruction only so long 
as that person remains employed by the same firm.
    ``(c) Annual Certification by Secretary of Defense.--Private sector 
employees may receive instruction at the National Defense University 
during any academic year only if, before the start of that academic 
year, the Secretary of Defense determines, and certifies to the 
Committee on Armed Services of the Senate and the Committee on Armed 
Services of the House of Representatives, that providing instruction to 
private sector employees under this section during that year will 
further national security interests of the United States.
    ``(d) Program Requirements.--The Secretary of Defense shall ensure 
that--
            ``(1) the curriculum for the professional military 
        education program in which private sector employees may be 
        enrolled under this section is not readily available through 
        other schools and concentrates on national security relevant 
        issues; and
            ``(2) the course offerings at the National Defense 
        University continue to be determined solely by the needs of the 
        Department of Defense.
    ``(e) Tuition.--The President of the National Defense University 
shall charge students enrolled under this section a rate--
            ``(1) that is at least the rate charged for employees of 
        the United States outside the Department of Defense, less 
        infrastructure costs, and
            ``(2) that considers the value to the school and course of 
        the private sector student.
    ``(f) Standards of Conduct.--While receiving instruction at the 
National Defense University, students enrolled under this section, to 
the extent practicable, are subject to the same regulations governing 
academic performance, attendance, norms of behavior, and enrollment as 
apply to Government civilian employees receiving instruction at the 
university.
    ``(g) Use of Funds.--Amounts received by the National Defense 
University for instruction of students enrolled under this section 
shall be retained by the university to defray the costs of such 
instruction. The source, and the disposition, of such funds shall be 
specifically identified in records of the university.''.
    (2) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item:

``2167. National Defense University: admission of private sector 
                            civilians to professional military 
                            education program.''.
    (b) Effective Date.--Section 2167 of title 10, United States Code, 
as added by subsection (a), shall take effect on January 1, 2002.

SEC. 529. CONTINUATION OF RESERVE COMPONENT PROFESSIONAL MILITARY 
              EDUCATION TEST.

    (a) Continuation of Concept Validation Test.--During fiscal year 
2002, the Secretary of Defense shall continue the concept validation 
test of Reserve component joint professional military education that 
was begun in fiscal year 2001 at the National Defense University.
    (b) Pilot Program.--If the Secretary of Defense determines that the 
results of the concept validation test referred to in subsection (a) 
warrant conducting a pilot program of the concept that was the subject 
of the test, the Secretary shall conduct such a pilot program during 
fiscal year 2003.
    (c) Funding.--The Secretary shall provide funds for the concept 
validation test under subsection (a) and for any pilot program under 
subsection (b) from funds appropriated to the Secretary of Defense in 
addition those appropriated for operations of the National Defense 
University.

              Subtitle D--Military Education and Training

SEC. 531. DEFENSE LANGUAGE INSTITUTE FOREIGN LANGUAGE CENTER.

    (a) Authority To Confer Associate of Arts Degree.--Chapter 108 of 
title 10, United States Code, is amended by adding after section 2167, 
as added by section 528(a)(1), the following new section:
``Sec. 2168. Defense Language Institute Foreign Language Center: degree 
              of Associate of Arts in foreign language
    ``(a) Subject to subsection (b), the Commandant of the Defense 
Language Institute may confer an Associate of Arts degree in a foreign 
language upon any graduate of the Foreign Language Center of the 
Institute who fulfills the requirements for that degree.
    ``(b) A degree may be conferred upon a student under this section 
only if the Provost of the Center certifies to the Commandant that the 
student has satisfied all the requirements prescribed for the degree.
    ``(c) The authority provided by subsection (a) shall be exercised 
under regulations prescribed by the Secretary of Defense.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by adding after the item relating to section 
2167, as added by section 528(a)(2), the following new item:

``2168. Defense Language Institute Foreign Language Center: degree of 
                            Associate of Arts in foreign language.''.

SEC. 532. AUTHORITY FOR THE MARINE CORPS UNIVERSITY TO AWARD DEGREE OF 
              MASTER OF STRATEGIC STUDIES.

    (a) Marine Corps War College Degree.--Section 7102 of title 10, 
United States Code, is amended--
            (1) by redesignating subsection (b) as subsection (c); and
            (2) by inserting after subsection (a) the following new 
        subsection (b):
    ``(b) Marine Corps War College.--Upon the recommendation of the 
Director and faculty of the Marine Corps War College of the Marine 
Corps University, the President of the Marine Corps University may 
confer the degree of master of strategic studies upon graduates of the 
Marine Corps War College who fulfill the requirements for that 
degree.''.
    (b) Conforming Amendments.--(1) Subsection (a) of such section is 
amended by striking ``upon graduates'' and all that follows and 
inserting ``upon graduates of the Command and Staff College who fulfill 
the requirements for that degree.''.
    (2) Subsection (c) of such section, as redesignated by subsection 
(a)(1), is amended by striking ``subsection (a)'' and inserting 
``subsections (a) and (b)''.
    (3)(A) The heading of such section is amended to read as follows:
``Sec. 7102. Marine Corps University: masters degrees; board of 
              advisors''.
    (B) The item relating to such section in the table of sections at 
the beginning of chapter 609 of such title is amended to read as 
follows:

``7102. Marine Corps University: masters degrees; board of advisors.''.
    (c) Codification of Requirement for Board of Advisors.--(1) Section 
7102 of title 10, United States Code, as amended by subsections (a) and 
(b), is further amended by adding at the end the following new 
subsection:
    ``(d) Board of Advisors.--The Secretary of the Navy shall establish 
a board of advisors for the Marine Corps University. The Secretary 
shall ensure that the board is established so as to meet all 
requirements of the appropriate regional accrediting association.''.
    (2) Section 912 of the National Defense Authorization Act for 
Fiscal Year 1995 (Public Law 103-337; 10 U.S.C. 7102 note) is repealed.
    (d) Effective Date.--The authority to confer the degree of master 
of strategic studies under section 7102(b) of title 10, United States 
Code (as added by subsection (a)) may not be exercised until the 
Secretary of Education determines, and certifies to the President of 
the Marine Corps University, that the requirements established by the 
Marine Corps War College of the Marine Corps University for that degree 
are in accordance with generally applicable requirements for a degree 
of master of arts. Upon receipt of such a certification, the President 
of the University shall promptly transmit a copy of the certification 
to the Committee on Armed Services of the Senate and Committee on Armed 
Services of the House of Representatives.

SEC. 533. INCREASE IN NUMBER OF FOREIGN STUDENTS AUTHORIZED TO BE 
              ADMITTED TO THE SERVICE ACADEMIES.

    (a) United States Military Academy.--(1) Subsection (a)(1) of 
section 4344 of title 10, United States Code, is amended by striking 
``40 persons'' and inserting ``60 persons''.
    (2) Subsection (b) of such section is amended--
            (A) by inserting ``some or all'' in paragraph (2) after 
        ``unless a written waiver of''; and
            (B) by striking paragraph (3).
    (3) The amendments made by paragraph (2) shall not apply with 
respect to any person who entered the United States Military Academy to 
receive instruction under section 4344 of title 10, United States Code, 
before the date of the enactment of this Act.
    (b) United States Naval Academy.--(1) Subsection (a)(1) of section 
6957 of title 10, United States Code, is amended by striking ``40 
persons'' and inserting ``60 persons''.
    (2) Subsection (b) of such section is amended--
            (A) by inserting ``some or all'' in paragraph (2) after 
        ``unless a written waiver of''; and
            (B) by striking paragraph (3).
    (3) The amendments made by paragraph (2) shall not apply with 
respect to any person who entered the United States Naval Academy to 
receive instruction under section 6957 of title 10, United States Code, 
before the date of the enactment of this Act.
    (c) United States Air Force Academy.--(1) Subsection (a)(1) of 
section 9344 of title 10, United States Code, is amended by striking 
``40 persons'' and inserting ``60 persons''.
    (2) Subsection (b) of such section is amended--
            (A) by inserting ``some or all'' in paragraph (2) after 
        ``unless a written waiver of''; and
            (B) by striking paragraph (3).
    (3) The amendments made by paragraph (2) shall not apply with 
respect to any person who entered the United States Air Force Academy 
to receive instruction under section 9344 of title 10, United States 
Code, before the date of the enactment of this Act.

SEC. 534. INCREASE IN MAXIMUM AGE FOR APPOINTMENT AS A CADET OR 
              MIDSHIPMAN IN SENIOR RESERVE OFFICER TRAINING CORPS 
              SCHOLARSHIP PROGRAMS.

    (a) General ROTC Scholarship Program.--Section 2107(a) of title 10, 
United States Code, is amended--
            (1) by striking ``27 years of age on June 30'' and 
        inserting ``35 years of age on December 31''; and
            (2) by striking ``, except that'' and all that follows 
        through ``on such date'' the second place it appears.
    (b) Army Reserve and Army National Guard ROTC Scholarship 
Program.--Section 2107a(a) of such title is amended--
            (1) by striking ``27 years of age on June 30'' and 
        inserting ``35 years of age on December 31''; and
            (2) by striking ``, except that'' and all that follows 
        through ``on such date'' the second place it appears.

SEC. 535. ACTIVE DUTY PARTICIPATION AS A CADET OR MIDSHIPMAN IN SENIOR 
              ROTC ADVANCED TRAINING.

    (a) Senior Reserve Officer Training Corps.--Section 2104(b)(3) of 
title 10, United States Code, is amended by striking ``a reserve 
component of'' ''.
    (b) Basic Pay.--Section 209(c) of title 37, United States Code, is 
amended by inserting ``unless the cadet or midshipman is serving on 
active duty'' before the period at the end.

SEC. 536. AUTHORITY TO MODIFY THE SERVICE OBLIGATION OF CERTAIN ROTC 
              CADETS IN MILITARY JUNIOR COLLEGES RECEIVING FINANCIAL 
              ASSISTANCE.

    (a) Authority To Modify Agreements.--Subsection (b) of section 
2107a of title 10, United States Code, is amended--
            (1) by inserting ``(1)'' after ``(b)'';
            (2) by redesignating paragraphs (1), (2), (3), (4), (5), 
        and (6) as subparagraphs (A), (B), (C), (D), (E), and (F), 
        respectively;
            (3) by designating the sentence following subparagraph (F), 
        as so redesignated, as paragraph (2); and
            (4) by adding at the end the following new paragraph:
    ``(3) In the case of a cadet under this section at a military 
junior college, the Secretary may, at any time and with the consent of 
the cadet concerned, modify an agreement described in paragraph (1)(F) 
submitted by the cadet to reduce or eliminate the troop program unit 
service obligation specified in the agreement and to establish, in lieu 
of that obligation, an active duty service obligation. Such a 
modification may be made only if the Secretary determines that it is in 
the best interests of the United States to do so.''.
    (b) Retroactive Application.--The authority of the Secretary of 
Defense under section 2107a(b)(3) of title 10, United States Code, as 
added by subsection (a), may be exercised with regard to any agreement 
described in subsection (b)(1)(F) (including agreements related to 
participation in the Advanced Course of the Army Reserve Officers' 
Training Corps at a military college or civilian institution) entered 
into during the period beginning on January 1, 1991 and ending on July 
12, 2000.
    (c) Technical Amendment.--Subsection (h) of such section is amended 
by striking ``military college'' in the second sentence and inserting 
``military junior college''.

SEC. 537. MODIFICATION OF NURSE OFFICER CANDIDATE ACCESSION PROGRAM 
              RESTRICTION ON STUDENTS ATTENDING EDUCATIONAL 
              INSTITUTIONS WITH SENIOR RESERVE OFFICERS' TRAINING 
              PROGRAMS.

    Section 2130a of title 10, United States Code, is amended--
            (1) in subsection (a)(2), by striking ``that does not have 
        a Senior Reserve Officers' Training Program established under 
        section 2102 of this title''; and
            (2) in subsection (b)(1), by inserting before the semicolon 
        at the end ``or that has a Senior Reserve Officers' Training 
        Program for which the student is ineligible''.

SEC. 538. REPEAL OF LIMITATION ON NUMBER OF JUNIOR RESERVE OFFICERS' 
              TRAINING CORPS (JROTC) UNITS.

    Section 2031(a)(1) of title 10, United States Code, is amended by 
striking the second sentence.

SEC. 539. RESERVE HEALTH PROFESSIONALS STIPEND PROGRAM EXPANSION.

    (a) Purpose of Program.--Subsection (a) of section 16201 of title 
10, United States Code, is amended--
            (1) by striking ``specialties critically needed in 
        wartime'';
            (2) by striking ``training in such specialties'' and 
        inserting ``training that leads to a degree in medicine or 
        dentistry or training in a health professions specialty that is 
        critically needed in wartime''; and
            (3) by striking ``training in certain health care 
        specialties'' and inserting ``health care education and 
        training''.
    (b) Medical and Dental Student Stipend.--Such section is further 
amended--
            (1) by redesignating subsections (b), (c), (d), and (e) as 
        subsections (c), (d), (e), and (f), respectively; and
            (2) by inserting after subsection (a) the following new 
        subsection (b):
    ``(b) Medical and Dental School Students.--(1) Under the stipend 
program under this chapter, the Secretary of the military department 
concerned may enter into an agreement with a person who--
            ``(A) is eligible to be appointed as an officer in a 
        reserve component;
            ``(B) is enrolled or has been accepted for enrollment in an 
        institution in a course of study that results in a degree in 
        medicine or dentistry;
            ``(C) signs an agreement that, unless sooner separated, the 
        person will--
                    ``(i) complete the educational phase of the 
                program;
                    ``(ii) accept a reappointment or redesignation 
                within the person's reserve component, if tendered, 
                based upon the person's health profession, following 
                satisfactory completion of the educational and intern 
                programs; and
                    ``(iii) participate in a residency program; and
            ``(D) if required by regulations prescribed by the 
        Secretary of Defense, agrees to apply for, if eligible, and 
        accept, if offered, residency training in a health profession 
        skill which has been designated by the Secretary of Defense as 
        a critically needed wartime skill.
    ``(2) Under the agreement--
            ``(A) the Secretary of the military department concerned 
        shall agree to pay the participant a stipend, in the amount 
        determined under subsection (f), for the period or the 
        remainder of the period the student is satisfactorily 
        progressing toward a degree in medicine or dentistry while 
        enrolled in an accredited medical or dental school;
            ``(B) the participant shall not be eligible to receive such 
        stipend before appointment, designation, or assignment as an 
        officer for service in the Ready Reserve;
            ``(C) the participant shall be subject to such active duty 
        requirements as may be specified in the agreement and to active 
        duty in time of war or national emergency as provided by law 
        for members of the Ready Reserve; and
            ``(D) the participant shall agree to serve, upon successful 
        completion of the program, one year in the Selected Reserve for 
        each six months, or part thereof, for which the stipend is 
        provided. In the case of a participant who enters into a 
        subsequent agreement under subsection (c) and successfully 
        completes residency training in a specialty designated by the 
        Secretary of Defense as a specialty critically needed by the 
        military department in wartime, the requirement to serve in the 
        Selected Reserve may be reduced to one year for each year, or 
        part thereof, for which the stipend was provided while enrolled 
        in medical or dental school.''.
    (c) Wartime Critical Skills.--Subsection (c) of such section (as 
redesignated by subsection (b)(1)) is amended--
            (1) by inserting ``Wartime'' after ``Critical'' in the 
        heading; and
            (2) by inserting ``or has been appointed as a medical or 
        dental officer in the Reserve of the armed force concerned'' in 
        paragraph (1)(B) before the semicolon at the end.
    (d) Service Obligation Requirement.--Paragraph (2)(D) of subsection 
(c) of such section (as redesignated by subsection (b)(1)) and 
paragraph (2)(D) of subsection (d) of such section (as so redesignated) 
are amended by striking ``two years in the Ready Reserve for each 
year,'' and inserting ``one year in the Ready Reserve for each six 
months,''.
    (e) Cross-Reference.--Paragraph (2)(A) of subsection (c) of such 
section (as redesignated by subsection (b)(1)) and paragraph (2)(A) of 
subsection (d) of such section (as so redesignated) are amended by 
striking ``subsection (e)'' and inserting ``subsection (f)''.

SEC. 540. HOUSING ALLOWANCE FOR THE CHAPLAIN FOR THE CORPS OF CADETS, 
              UNITED STATES MILITARY ACADEMY.

    (a) Authority.--The second sentence of section 4337 of title 10, 
United States Code, is amended to read as follows: ``Notwithstanding 
any other provision of law, the chaplain is entitled to the same basic 
allowance for housing allowed to a lieutenant colonel, and to fuel and 
light for quarters in kind.''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
take effect on the first day of the first month beginning on or after 
the date of the enactment of this Act.

           Subtitle E--Decorations, Awards, and Commendations

SEC. 541. AUTHORITY FOR AWARD OF THE MEDAL OF HONOR TO HUMBERT R. 
              VERSACE FOR VALOR DURING THE VIETNAM WAR.

    (a) Waiver of Time Limitation.--Notwithstanding the time 
limitations specified in section 3744 of title 10, United States Code, 
or any other time limitation with respect to the awarding of certain 
medals to persons who served in the military service, the President may 
award the Medal of Honor under section 3741 of that title to Humbert R. 
Versace for the acts of valor referred to in subsection (b).
    (b) Action Described.--The acts of valor referred to in subsection 
(a) are the actions of Humbert R. Versace between October 29, 1963, and 
September 26, 1965, while interned as a prisoner-of-war by the 
Vietnamese Communist National Liberation Front (Viet Cong) in the 
Republic of Vietnam.

SEC. 542. REVIEW REGARDING AWARD OF MEDAL OF HONOR TO CERTAIN JEWISH 
              AMERICAN AND HISPANIC AMERICAN WAR VETERANS.

    (a) Review Required.--The Secretary of each military department 
shall review the service records of each Jewish American war veteran or 
Hispanic American war veteran described in subsection (b) to determine 
whether that veteran should be awarded the Medal of Honor.
    (b) Covered Jewish American War Veterans and Hispanic American War 
Veterans.--The Jewish American war veterans and Hispanic American war 
veterans whose service records are to be reviewed under subsection (a) 
are the following:
            (1) Any Jewish American war veteran or Hispanic American 
        war veteran who was awarded the Distinguished Service Cross, 
        the Navy Cross, or the Air Force Cross before the date of the 
        enactment of this Act.
            (2) Any other Jewish American war veteran or Hispanic 
        American war veteran whose name is submitted to the Secretary 
        concerned for such purpose before the end of the one-year 
        period beginning on the date of the enactment of this Act.
    (c) Consultations.--In carrying out the review under subsection 
(a), the Secretary of each military department shall consult with the 
Jewish War Veterans of the United States of America and with such other 
veterans service organizations as the Secretary considers appropriate.
    (d) Recommendation Based on Review.--If the Secretary concerned 
determines, based upon the review under subsection (a) of the service 
records of any Jewish American war veteran or Hispanic American war 
veteran, that the award of the Medal of Honor to that veteran is 
warranted, the Secretary shall submit to the President a recommendation 
that the President award the Medal of Honor to that veteran.
    (e) Authority To Award Medal of Honor.--A Medal of Honor may be 
awarded to a Jewish American war veteran or Hispanic American war 
veteran in accordance with a recommendation of the Secretary concerned 
under subsection (a).
    (f) Waiver of Time Limitations.--An award of the Medal of Honor may 
be made under subsection (e) without regard to--
            (1) section 3744, 6248, or 8744 of title 10, United States 
        Code, as applicable; and
            (2) any regulation or other administrative restriction on--
                    (A) the time for awarding the Medal of Honor; or
                    (B) the awarding of the Medal of Honor for service 
                for which a Distinguished Service Cross, Navy Cross, or 
                Air Force Cross has been awarded.
    (g) Definition.--For purposes of this section, the term ``Jewish 
American war veteran'' means any person who served in the Armed Forces 
during World War II or a later period of war and who identified himself 
or herself as Jewish on his or her military personnel records.

SEC. 543. AUTHORITY TO ISSUE DUPLICATE MEDAL OF HONOR.

    (a) Army.--(1) Chapter 357 of title 10, United States Code, is 
amended by adding at the end the following new section:
``Sec. 3754. Medal of honor: duplicate medal
    ``A person awarded a medal of honor shall, upon written application 
of that person, be issued, without charge, one duplicate medal of honor 
with ribbons and appurtenances. Such duplicate medal of honor shall be 
marked, in such manner as the Secretary of the Army may determine, as a 
duplicate or for display purposes only.''.
    (2) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item:

``3754. Medal of honor: duplicate medal.''.
    (b) Navy.--(1) Chapter 567 of title 10, United States Code, is 
amended by adding at the end the following new section:
``Sec. 6256. Medal of honor: duplicate medal
    ``A person awarded a medal of honor shall, upon written application 
of that person, be issued, without charge, one duplicate medal of honor 
with ribbons and appurtenances. Such duplicate medal of honor shall be 
marked, in such manner as the Secretary of the Navy may determine, as a 
duplicate or for display purposes only.''.
    (2) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item:

``6256. Medal of honor: duplicate medal.''.
    (c) Air Force.--(1) Chapter 857 of title 10, United States Code, is 
amended by adding at the end the following new section:
``Sec. 8754. Medal of honor: duplicate medal
    ``A person awarded a medal of honor shall, upon written application 
of that person, be issued, without charge, one duplicate medal of honor 
with ribbons and appurtenances. Such duplicate medal of honor shall be 
marked, in such manner as the Secretary of the Air Force may determine, 
as a duplicate or for display purposes only.''.
    (2) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item:

``8754. Medal of honor: duplicate medal.''.
    (d) Coast Guard.--(1) Chapter 13 of title 14, United States Code, 
is amended by inserting after section 503 the following new section:
``Sec. 504. Medal of honor: duplicate medal
    ``A person awarded a medal of honor shall, upon written application 
of that person, be issued, without charge, one duplicate medal of honor 
with ribbons and appurtenances. Such duplicate medal of honor shall be 
marked, in such manner as the Secretary may determine, as a duplicate 
or for display purposes only.''.
    (2) The table of sections at the beginning of such chapter is 
amended by inserting after the item relating to section 503 the 
following new item:

``504. Medal of honor: duplicate medal.''.
    (e) Definition of Medal of Honor for Purposes of Federal 
Unauthorized-Use Crime.--Section 704(b)(2)(B) of title 18, United 
States Code, is amended to read as follows:
            ``(B) As used in this subsection, `Congressional Medal of 
        Honor' means--
                    ``(i) a medal of honor awarded under section 3741, 
                6241, or 8741 of title 10 or section 491 of title 14;
                    ``(ii) a duplicate medal of honor issued under 
                section 3754, 6256, or 8754 of title 10 or section 504 
                of title 14; or
                    ``(iii) a replacement of a medal of honor provided 
                under section 3747, 6253, or 8747 of title 10 or 
                section 501 of title 14.''.

SEC. 544. AUTHORITY TO REPLACE STOLEN MILITARY DECORATIONS.

    (a) Army, Navy, and Air Force.--Sections 3747, 6253, and 8747 of 
title 10, United States Code, are each amended by striking ``lost or 
destroyed'' and inserting ``stolen, lost, or destroyed''.
    (b) Coast Guard.--Section 501 of title 14, United States Code, is 
amended by inserting ``stolen,'' before ``lost,''.

SEC. 545. WAIVER OF TIME LIMITATIONS FOR AWARD OF NAVY DISTINGUISHED 
              FLYING CROSS TO CERTAIN PERSONS.

    (a) Waiver.--Any limitation established by law or policy for the 
time within which a recommendation for the award of a military 
decoration or award must be submitted shall not apply to awards of 
decorations described in this section, the award of each such 
decoration having been determined by the Secretary concerned to be 
warranted in accordance with section 1130 of title 10, United States 
Code.
    (b) Distinguished Flying Cross.--Subsection (a) applies to the 
award of the Distinguished Flying Cross for service during World War II 
or Korea (including multiple awards to the same individual) in the case 
of each individual concerning whom the Secretary of the Navy (or an 
officer of the Navy acting on behalf of the Secretary) submitted to the 
Committee on Armed Services of the House of Representatives and the 
Committee on Armed Services of the Senate, during the period beginning 
on October 31, 2000, and ending on the day before the date of the 
enactment of this Act, a notice as provided in section 1130(b) of title 
10, United States Code, that the award of the Distinguished Flying 
Cross to that individual is warranted and that a waiver of time 
restrictions prescribed by law for recommendation for such award is 
recommended.

SEC. 546. KOREA DEFENSE SERVICE MEDAL.

    (a) Army.--(1) Chapter 357 of title 10, United States Code, as 
amended by section 543(a)(1), is further amended by adding at the end 
the following new section:
``Sec. 3755. Korea Defense Service Medal
    ``(a) The Secretary of the Army shall issue a campaign medal, to be 
known as the Korea Defense Service Medal, to each person who while a 
member of the Army served in the Republic of Korea or the waters 
adjacent thereto during the KDSM eligibility period and met the service 
requirements for the award of that medal prescribed under subsection 
(c).
    ``(b) In this section, the term `KDSM eligibility period' means the 
period beginning on July 28, 1954, and ending on such date after the 
date of the enactment of this section as may be determined by the 
Secretary of Defense to be appropriate for terminating eligibility for 
the Korea Defense Service Medal.
    ``(c) The Secretary of the Army shall prescribe service 
requirements for eligibility for the Korea Defense Service Medal. Those 
requirements shall not be more stringent than the service requirements 
for award of the Armed Forces Expeditionary Medal for instances in 
which the award of that medal is authorized.''.
    (2) The table of sections at the beginning of such chapter, as 
amended by section 543(a)(2), is further amended by adding at the end 
the following new item:

``3755. Korea Defense Service Medal.''.
    (b) Navy and Marine Corps.--(1) Chapter 567 of title 10, United 
States Code, as amended by section 543(b)(1), is further amended by 
adding at the end the following new section:
``Sec. 6257. Korea Defense Service Medal
    ``(a) The Secretary of the Navy shall issue a campaign medal, to be 
known as the Korea Defense Service Medal, to each person who while a 
member of the Navy or Marine Corps served in the Republic of Korea or 
the waters adjacent thereto during the KDSM eligibility period and met 
the service requirements for the award of that medal prescribed under 
subsection (c).
    ``(b) In this section, the term `KDSM eligibility period' means the 
period beginning on July 28, 1954, and ending on such date after the 
date of the enactment of this section as may be determined by the 
Secretary of Defense to be appropriate for terminating eligibility for 
the Korea Defense Service Medal.
    ``(c) The Secretary of the Navy shall prescribe service 
requirements for eligibility for the Korea Defense Service Medal. Those 
requirements shall not be more stringent than the service requirements 
for award of the Armed Forces Expeditionary Medal for instances in 
which the award of that medal is authorized.''.
    (2) The table of sections at the beginning of such chapter, as 
amended by section 543(b)(2), is further amended by adding at the end 
the following new item:

``6257. Korea Defense Service Medal.''.
    (c) Air Force.--(1) Chapter 857 of title 10, United States Code, as 
amended by section 543(c)(1), is further amended by adding at the end 
the following new section:
``Sec. 8755. Korea Defense Service Medal
    ``(a) The Secretary of the Air Force shall issue a campaign medal, 
to be known as the Korea Defense Service Medal, to each person who 
while a member of the Air Force served in the Republic of Korea or the 
waters adjacent thereto during the KDSM eligibility period and met the 
service requirements for the award of that medal prescribed under 
subsection (c).
    ``(b) In this section, the term `KDSM eligibility period' means the 
period beginning on July 28, 1954, and ending on such date after the 
date of the enactment of this section as may be determined by the 
Secretary of Defense to be appropriate for terminating eligibility for 
the Korea Defense Service Medal.
    ``(c) The Secretary of the Air Force shall prescribe service 
requirements for eligibility for the Korea Defense Service Medal. Those 
requirements shall not be more stringent than the service requirements 
for award of the Armed Forces Expeditionary Medal for instances in 
which the award of that medal is authorized.''.
    (2) The table of sections at the beginning of such chapter, as 
amended by section 543(c)(2), is further amended by adding at the end 
the following new item:

``8755. Korea Defense Service Medal.''.
    (d) Award for Service Before Date of Enactment.--The Secretary of 
the military department concerned shall take appropriate steps to 
provide in a timely manner for the issuance of the Korea Defense 
Service Medal, upon application therefor, to persons whose eligibility 
for that medal is by reason of service in the Republic of Korea or the 
waters adjacent thereto before the date of the enactment of this Act.

SEC. 547. COLD WAR SERVICE MEDAL.

    (a) Authority.--Chapter 57 of title 10, United States Code, is 
amended by adding at the end the following new section:
``Sec. 1134. Cold War service medal
    ``(a) Medal Authorized.--The Secretary concerned shall, upon 
application, issue the Cold War service medal to a person eligible to 
receive that medal. The Cold War service medal shall be of an 
appropriate design approved by the Secretary of Defense, with ribbons, 
lapel pins, and other appurtenances.
    ``(b) Eligibility.--(1) A person is eligible to receive the Cold 
War service medal if the person--
            ``(A) served on active duty during the Cold War;
            ``(B) has not been released from active duty with a 
        characterization of service less favorable than honorable and 
        has not received a discharge less favorable than an honorable 
        discharge; and
            ``(C) except as provided under paragraph (3), meets the 
        service requirements of paragraph (2).
    ``(2) The service requirements of this paragraph are--
            ``(A) in the case of a person who served on active duty 
        during the Cold War as an enlisted member, that the person have 
        completed that person's initial term of enlistment and after 
        the end of that initial term of enlistment have reenlisted for 
        an additional term of enlistment or have been appointed as an 
        officer; and
            ``(B) in the case of a person who served on active duty 
        during the Cold War as an officer, that the person have 
        completed that person's initial service obligation as an 
        officer and have served in the armed forces after completing 
        that initial service obligation.
    ``(3) The Secretary concerned, under regulations prescribed under 
this section, may waive the service requirements of paragraph (2)--
            ``(A) in the case of any person discharged or released from 
        active duty for a disability incurred or aggravated in line of 
        duty;
            ``(B) in the case of any person discharged for hardship 
        under section 1173 of this title; and
            ``(C) under any other circumstance for which the Secretary 
        determines that such a waiver is warranted.
    ``(c) One Award Authorized.--Not more than one Cold War service 
medal may be issued to any person.
    ``(d) Issuance to Representative of Deceased.--If a person who is 
eligible for the Cold War service medal dies before being issued that 
medal, the medal may, upon application, be issued to the person's 
representative, as designated by the Secretary concerned.
    ``(e) Replacement.--Under regulations prescribed by the Secretary 
concerned, a Cold War service medal that is lost, destroyed, or 
rendered unfit for use without fault or neglect on the part of the 
person to whom it was issued may be replaced without charge.
    ``(f) Uniform Regulations.--The Secretary of Defense shall ensure 
that regulations prescribed by the Secretaries of the military 
departments under this section are uniform so far as is practicable.
    ``(g) Cold War Defined.--In this section, the term `Cold War' means 
the period beginning on September 2, 1945, and ending at the end of 
December 26, 1991.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by adding at the end the following new item:

``1134. Cold War service medal.''.

SEC. 548. OPTION TO CONVERT AWARD OF ARMED FORCES EXPEDITIONARY MEDAL 
              AWARDED FOR OPERATION FREQUENT WIND TO VIETNAM SERVICE 
              MEDAL.

    (a) In General.--The Secretary of the military department concerned 
shall, upon the application of an individual who is an eligible Vietnam 
evacuation veteran, award that individual the Vietnam Service Medal, 
notwithstanding any otherwise applicable requirements for the award of 
that medal. Any such award shall be made in lieu of the Armed Forces 
Expeditionary Medal awarded the individual for participation in 
Operation Frequent Wind.
    (b) Eligible Vietnam Evacuation Veteran.--For purposes of this 
section, the term ``eligible Vietnam evacuation veteran'' means a 
member or former member of the Armed Forces who was awarded the Armed 
Forces Expeditionary Medal for participation in military operations 
designated as Operation Frequent Wind arising from the evacuation of 
Vietnam on April 29 and 30, 1975.

                 Subtitle F--Matters Relating to Voting

SEC. 551. VOTING ASSESSMENTS AND ASSISTANCE FOR MEMBERS OF THE 
              UNIFORMED SERVICES.

    (a) In General.--Chapter 80 of title 10, United States Code, is 
amended by adding at the end the following new section:
``Sec. 1566. Voting assistance: compliance assessments and assistance
    ``(a) Inspector General Assessments.--(1) The Department of Defense 
Inspector General shall each calendar year conduct a random and 
unannounced assessment at a minimum of 15 Department of Defense 
installations of the compliance at those installations with--
            ``(A) the requirements of the Uniformed and Overseas 
        Citizens Absentee Voting Act (42 U.S.C. 1973ff et seq.);
            ``(B) Department of Defense regulations regarding that Act 
        and the Federal Voting Assistance Program carried out under 
        that Act; and
            ``(C) other requirements of law regarding voting by members 
        of the armed forces.
    ``(2) Each assessment under paragraph (1) shall include a review of 
such compliance--
            ``(A) within units to which are assigned, in the aggregate, 
        not less than 20 percent of the personnel assigned to duty at 
        that installation;
            ``(B) within a representative survey of members of the 
        armed forces assigned to that installation and their 
        dependents; and
            ``(C) within unit voting assistance officers to measure 
        program effectiveness.
    ``(b) Regular Military Department Assessments.--The Secretary of 
each military department shall include in the set of issues and 
programs to be reviewed during any management effectiveness review or 
inspection an assessment of compliance with the Uniformed and Overseas 
Citizens Absentee Voting Act (42 U.S.C. 1973ff et seq.) and with 
Department of Defense regulations regarding the Federal Voting 
Assistance Program.
    ``(c) Voting Assistance Officers.--Voting assistance officers 
appointed or assigned under Department of Defense regulations regarding 
the Federal Voting Assistance Program shall be appointed or assigned 
with the expectation of serving in that capacity for a minimum of 30 
months. A member of the armed forces assigned to such a position may 
not be assigned other duties that would not be considered part of the 
member's primary military duties, except when a unit commander 
determines that insufficient personnel are available to fulfill all 
additional duty requirements. Performance evaluation reports pertaining 
to a member who has been assigned to serve as a voting assistance 
officer shall comment on the performance of the member as a voting 
assistance officer.
    ``(d) Delivery of Mail From Overseas Preceding Federal Elections.--
(1) During the four months preceding a general Federal election month, 
the Secretary of Defense shall periodically conduct surveys of all 
overseas locations and vessels at sea with military units responsible 
for collecting mail for return shipment to the United States and all 
port facilities in the United States and overseas where military-
related mail is collected for shipment to overseas locations or to the 
United States. The purpose of each survey shall be to determine if 
voting materials are awaiting shipment at any such location and, if so, 
the length of time that such materials have been held at that location. 
During the fourth and third months before a general Federal election 
month, such surveys shall be conducted biweekly. During the second and 
first months before a general Federal election month, such surveys 
shall be conducted weekly.
    ``(2) The Secretary shall ensure that voting materials are 
transmitted expeditiously by military postal authorities at all times.
    ``(3) In this section, the term `general Federal election month' 
means November in an even-numbered year.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by adding at the end the following new item:

``1566. Voting assistance: compliance assessments and assistance.''.

SEC. 552. ELECTRONIC VOTING DEMONSTRATION PROJECT.

    (a) Demonstration Project.--The Secretary of Defense shall carry 
out a demonstration project to examine voting in Federal elections by 
absent uniformed services voters through a long-distance electronic 
voting system. The demonstration project shall be carried out for 
voting in the regularly scheduled general election for Federal office 
in November 2002. Under the demonstration project, absent uniformed 
services voters participating in the project shall be provided a means, 
with the cooperation and assistance of State election officials of 
States that agree to participate in the project, to cast their ballots 
in that election through a long-distance electronic voting method.
    (b) Scope of Project.--The Secretary shall determine the scope of 
the demonstration project under this section, including the absent 
uniformed services voters authorized to participate in the project. The 
project shall be carried out with participation of sufficient numbers 
of absent uniformed services voters so that the results are 
statistically relevant.
    (c) Coordination With State Election Officials.--The Secretary 
shall carry out the demonstration project under this section through 
cooperative agreements with State election officials of States that 
agree to participate in the project.
    (d) Report to Congress.--Not later than June 1, 2003, the Secretary 
shall submit to Congress a report analyzing the demonstration project 
conducted under this section. The Secretary shall include in the report 
any recommendations the Secretary considers appropriate for continuing 
the project on an expanded basis during the next regularly scheduled 
general election for Federal office.
    (e) Absent Uniformed Services Voter Defined.--In this section, the 
term ``absent uniformed services voter'' has the meaning given that 
term in section 107(1) of the Uniformed and Overseas Citizens Absentee 
Voting Act (42 U.S.C. 1973ff-6(1)).

  Subtitle G--Matters Relating to Military Spouses and Family Members

SEC. 561. IMPROVED FINANCIAL AND OTHER ASSISTANCE TO MILITARY SPOUSES 
              FOR JOB TRAINING AND EDUCATION.

    (a) Examination of Existing Employment Assistance Programs.--(1) 
The Secretary of Defense shall examine existing Department of Defense 
and other Federal, State, and nongovernmental programs with the 
objective of improving retention of military personnel by increasing 
the employability of military spouses and assisting those spouses in 
gaining access to financial and other assistance for job training and 
education.
    (2) In conducting the examination, the Secretary shall give 
priority to facilitating and increasing access of military spouses to 
existing Department of Defense, Federal, State, and nongovernmental 
sources for the types of financial assistance set forth in paragraph 
(3), but shall also specifically assess whether the Department of 
Defense should begin a program for direct financial assistance to 
military spouses for some or all of those types of assistance and 
whether such a program of direct financial assistance would enhance 
retention.
    (3) In conducting the examination pursuant to paragraph (1), the 
Secretary should focus on financial assistance for military spouses for 
one or more of the following purposes:
            (A) Career-related education.
            (B) Certification and license fees for employment-related 
        purposes.
            (C) Apprenticeships and internships.
            (D) Technical training.
            (E) Training to improve job skills.
            (F) Career counseling.
            (G) Skills assessment.
            (H) Job-search skills.
            (I) Job-related transportation.
            (J) Child care.
            (K) Any additional employment-related purpose specified by 
        the Secretary for the purposes of the examination under 
        paragraph (1).
    (4) Not later than March 30, 2002, the Secretary of Defense shall 
submit to the Committee on Armed Services of the Senate and the 
Committee on Armed Services of the House of Representatives a report on 
the results of the examination under paragraph (1).
    (b) Review of Department of Defense Policies.--(1) The Secretary of 
Defense shall review Department of Defense policies that affect 
employment and education opportunities for military spouses in the 
Department of Defense in order to further expand those opportunities. 
The review shall include the consideration of providing, to the extent 
authorized by law, separate spouse preferences for employment by 
appropriated and nonappropriated fund operations.
    (2) Not later than March 30, 2002, the Secretary of Defense shall 
submit to the Committee on Armed Services of the Senate and the 
Committee on Armed Services of the House of Representatives a report on 
the results of the review under paragraph (1).
    (c) Spouse Employment Assistance.--Section 1784 of title 10, United 
States Code, is amended by adding at the end the following new 
subsections:
    ``(d) Space-Available Use of Facilities for Spouse Training 
Purposes.--Under regulations prescribed by the Secretary of Defense, 
the Secretary of a military department may make available to a non-
Department of Defense entity space in non-excess facilities controlled 
by that Secretary for the purpose of the non-Department of Defense 
entity providing employment-related training for military spouses.
    ``(e) Employment by Other Federal Agencies.--The Secretary of 
Defense shall work with the Director of the Office of Personnel 
Management and the heads of other Federal departments and agencies to 
expand and facilitate the use of existing Federal programs and 
resources in support of military spouse employment.
    ``(f) Private-Sector Employment.--The Secretary of Defense--
            ``(1) shall seek to develop partnerships with firms in the 
        private sector to enhance employment opportunities for spouses 
        of members of the armed forces and to provide for improved job 
        portability for such spouses, especially in the case of the 
        spouse of a member of the armed forces accompanying the member 
        to a new geographical area because of a change of permanent 
        duty station of the member; and
            ``(2) shall work with the United States Chamber of Commerce 
        and other appropriate private-sector entities to facilitate the 
        formation of such partnerships.
    ``(g) Employment With DOD Contractors.--The Secretary of Defense 
shall examine and seek ways for incorporating hiring preferences for 
qualified spouses of members of the armed forces into contracts between 
the Department of Defense and private-sector entities.''.

SEC. 562. AUTHORITY TO CONDUCT SURVEYS OF DEPENDENTS AND SURVIVORS OF 
              MILITARY RETIREES.

    (a) Extension of Survey Authority.--Subsection (a) of section 1782 
of title 10, United States Code, is amended to read as follows:
    ``(a) Authority.--The Secretary of Defense, in order to determine 
the effectiveness of Federal programs relating to military families and 
the need for new programs, may conduct surveys of--
            ``(1) members of the armed forces who are on active duty, 
        in an active status, or retired;
            ``(2) family members of such members; and
            ``(3) survivors of retired members.''.
    (b) Conforming Amendment.--Subsection (c) of such section is 
amended by striking ``family members'' and all that follows through 
``armed forces'' the second place it appears and inserting ``persons 
covered by subsection (a)''.

SEC. 563. CLARIFICATION OF TREATMENT OF CLASSIFIED INFORMATION 
              CONCERNING PERSONS IN A MISSING STATUS.

    Section 1506(b)(2) of title 10, United States Code, is amended--
            (1) by inserting ``(A)'' after ``(2)'';
            (2) by striking the period at the end and inserting ``of 
        all missing persons from the conflict or period of war to which 
        the classified information pertains.''; and
            (3) by adding at the end the following new subparagraph:
    ``(B) For purposes of subparagraph (A), information shall be 
considered to be made reasonably available if placed in a separate and 
distinct file that is available for review by persons specified in 
subparagraph (A) upon the request of any such person either to review 
the separate file or to review the personnel file of the missing person 
concerned.''.

SEC. 564. TRANSPORTATION TO ANNUAL MEETING OF NEXT-OF-KIN OF PERSONS 
              UNACCOUNTED FOR FROM CONFLICTS AFTER WORLD WAR II.

    (a) In General.--(1) Chapter 157 of title 10, United States Code, 
is amended by adding at the end the following new section:
``Sec. 2647. Transportation to annual meeting of next-of-kin of persons 
              unaccounted for from conflicts after World War II
    ``The Secretary of Defense may provide transportation for the next-
of-kin of persons who are unaccounted for from the Korean conflict, the 
Cold War, Vietnam War era, or the Persian Gulf War to and from an 
annual meeting in the United States. Such transportation shall be 
provided under such regulations as the Secretary of Defense may 
prescribe.''.
    (2) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item:

``2647. Transportation to annual meeting of next-of-kin of persons 
                            unaccounted for from conflicts after World 
                            War II.''.
    (b) Effective Date.--Section 2647 of title 10, United States Code, 
as added by subsection (a), shall take effect on October 1, 2001, or 
the date of the enactment of this Act, whichever is later.

SEC. 565. AMENDMENTS TO CHARTER OF DEFENSE TASK FORCE ON DOMESTIC 
              VIOLENCE.

    (a) Members Appointed From Private Sector.--Subsection (h)(1) of 
section 591 of the National Defense Authorization Act for Fiscal Year 
2000 (Public Law 106-65; 113 Stat. 639; 10 U.S.C. 1562 note) is 
amended--
            (1) by inserting ``who is a member of the Armed Forces or 
        civilian officer or employee of the United States'' after 
        ``Each member of the task force'';
            (2) by striking ``, but shall'' and all that follows and 
        inserting a period; and
            (3) by adding at the end the following new sentence: 
        ``Other members of the task force shall be appointed in 
        accordance with, and subject to, section 3161 of title 5, 
        United States Code.''.
    (b) Extension of Termination Date.--Subsection (j) of such section 
is amended by striking ``three years after the date of the enactment of 
this Act'' and inserting ``on April 24, 2003''.

             Subtitle H--Military Justice and Legal Matters

SEC. 571. REQUIREMENT THAT COURTS-MARTIAL CONSIST OF NOT LESS THAN 12 
              MEMBERS IN CAPITAL CASES.

    (a) Classification of General Court-Martial in Capital Cases.--
Section 816(1)(A) of title 10, United States Code (article 16(1)(A) of 
the Uniform Code of Military Justice) is amended by inserting after 
``five members'' the following: ``or, in a case in which the accused 
may be sentenced to a penalty of death, the number of members 
determined under section 825a of this title (article 25a)''.
    (b) Number of Members Required.--(1) Chapter 47 of title 10, United 
States Code (the Uniform Code of Military Justice), is amended by 
inserting after section 825 (article 25) the following new section:
``Sec. 825a. Art. 25a. Number of members in capital cases
    ``In a case in which the accused may be sentenced to a penalty of 
death, the number of members shall be not less than 12, unless 12 
members are not reasonably available because of physical conditions or 
military exigencies, in which case the convening authority shall 
specify a lesser number of members not less than five, and the court 
may be assembled and the trial held with not less than the number of 
members so specified. In such a case, the convening authority shall 
make a detailed written statement, to be appended to the record, 
stating why a greater number of members were not reasonably 
available.''.
    (2) The table of sections at the beginning of subchapter V of such 
chapter is amended by inserting after the item relating to section 825 
(article 25) the following new item:

``825a. 25a. Number of members in capital cases.''.
    (c) Absent and Additional Members.--Section 829(b) of such title 
(article 29 of the Uniform Code of Military Justice) is amended--
            (1) by inserting ``(1)'' after ``(b)'';
            (2) by striking ``five members'' both places it appears and 
        inserting ``the applicable minimum number of members''; and
            (3) by adding at the end the following new paragraph:
    ``(2) In this section, the term `applicable minimum number of 
members' means five members or, in a case in which the death penalty 
may be adjudged, the number of members determined under section 825a of 
this title (article 25a).''.
    (d) Applicability.--The amendments made by this section shall apply 
with respect to offenses committed after the date of the enactment of 
this Act.

SEC. 572. RIGHT OF CONVICTED ACCUSED TO REQUEST SENTENCING BY MILITARY 
              JUDGE.

    (a) Sentencing by Judge.--(1) Chapter 47 of title 10, United States 
Code (the Uniform Code of Military Justice), is amended by inserting 
after section 852 (article 52) the following new section:
``Sec. 852a. Art. 52a. Right of accused to request sentencing by 
              military judge rather than by members
    ``(a) In the case of an accused convicted of an offense by a court-
martial composed of a military judge and members, the sentence shall be 
tried before and adjudged by the military judge rather than the members 
if, after the findings are announced and before evidence in the 
sentencing proceeding is introduced, the accused, knowing the identity 
of the military judge and after consultation with defense counsel, 
requests orally on the record or in writing that the sentence be tried 
before and adjudged by the military judge rather than the members.
    ``(b) This section shall not apply with respect to an offense for 
which the death penalty may be adjudged unless the case has been 
previously referred to trial as a noncapital case.''.
    (2) The table of sections at the beginning of subchapter VII of 
such chapter is amended by inserting after the item relating to section 
852 (article 52) the following new item:

``852a. 52a. Right of accused to request sentencing by military judge 
                            rather than by members.''.
    (b) Effective Date.--Section 852a of title 10, United States Code 
(article 52a of the Uniform Code of Military Justice), as added by 
subsection (a), shall apply with respect to offenses committed after 
the date of the enactment of this Act.

SEC. 573. CODIFICATION OF REQUIREMENT FOR REGULATIONS FOR DELIVERY OF 
              MILITARY PERSONNEL TO CIVIL AUTHORITIES WHEN CHARGED WITH 
              CERTAIN OFFENSES

    (a) Codification of Existing Provisions.--Section 814 of title 10, 
United States Code (article 14 of the Uniform Code of Military 
Justice), is amended by adding at the end the following new subsection:
    ``(c) The Secretary of Defense shall ensure that the Secretaries of 
the military departments prescribe regulations under subsection (a) and 
that those regulations are uniform throughout the armed forces under 
the jurisdiction of the Secretary of Defense. Those regulations shall--
            ``(1) specifically provide for the delivery to the 
        appropriate civil authority for trial, in any appropriate case, 
        of a member accused by civil authority of parental kidnapping 
        or a similar offense, including criminal contempt arising from 
        any such offense or from child custody matters; and
            ``(2) specifically address the special needs for the 
        exercise of the authority contained in this section (article) 
        in a case in which a member of the armed forces assigned 
        overseas is accused of an offense by civil authority.''.
    (b) Repeal of Codified Provisions.--Section 721 of the National 
Defense Authorization Act, Fiscal Year 1989 (Public Law 100-456; 10 
U.S.C. 814 note), is repealed.

SEC. 574. AUTHORITY TO ACCEPT VOLUNTARY LEGAL SERVICES FOR MEMBERS OF 
              THE ARMED FORCES.

    (a) Authority.--Subsection (a) of section 1588 of title 10, United 
States Code, is amended by adding at the end the following new 
paragraph:
            ``(5) Voluntary legal assistance services under section 
        1044 of this title.''.
    (b) Applicable Federal Laws.--Subsection (d)(1) of such section is 
amended by adding at the end the following new subparagraph:
            ``(E) Section 1054 of this title (relating to defense of 
        certain suits arising out of legal malpractice), in the case of 
        persons providing voluntary legal assistance services under 
        subsection (a)(5).''.

                       Subtitle I--Other Matters

SEC. 581. SHIPMENT OF PRIVATELY OWNED VEHICLES WHEN MAKING PERMANENT 
              CHANGE OF STATION MOVES WITHIN UNITED STATES.

    Section 2634(h)(1) of title 10, United States Code, is amended by 
inserting ``or when the Secretary concerned determines that the 
transport of a vehicle upon such a transfer is advantageous and cost-
effective to the United States'' before the period at the end.

SEC. 582. PAYMENT OF VEHICLE STORAGE COSTS IN ADVANCE.

    Section 2634(b) of title 10, United States Code, is amended by 
adding at the end the following new paragraph:
    ``(4) Storage costs payable under this subsection may be paid in 
advance.''.

SEC. 583. PERMANENT AUTHORITY FOR USE OF MILITARY RECRUITING FUNDS FOR 
              CERTAIN EXPENSES AT DEPARTMENT OF DEFENSE RECRUITING 
              FUNCTIONS.

    (a) Repeal of Termination Provision.--Section 520c of title 10, 
United States Code, is amended by striking subsection (c).
    (b) Technical Amendments.--Subsection (a) of such section is 
amended--
            (1) in paragraph (4), by striking ``recruiting events'' and 
        inserting ``recruiting functions''; and
            (2) in paragraph (5), by striking ``recruiting efforts'' 
        the first place it appears and inserting ``recruiting 
        functions''.

SEC. 584. CLARIFICATION OF MILITARY RECRUITER ACCESS TO SECONDARY 
              SCHOOL DIRECTORY INFORMATION ABOUT STUDENTS.

    Section 503(c)(1) of title 10, United States Code, is amended by 
striking ``purposes,'' and all that follows and inserting the 
following: ``purposes--
            ``(A) the same access to secondary school students as is 
        provided generally to post-secondary educational institutions 
        or to prospective employers of those students; and
            ``(B) the same access to directory information concerning 
        those students as is provided to a post-secondary educational 
        institution upon an indication by a secondary school student 
        that the student seeks to enroll or intends to enroll at that 
        institution.''.

SEC. 585. REPEAL OF REQUIREMENT FOR FINAL COMPTROLLER GENERAL REPORT 
              RELATING TO ARMY END STRENGTH ALLOCATIONS.

    Section 552 of the National Defense Authorization Act for Fiscal 
Year 1996 (Public Law 104-106; 110 Stat. 319; 10 U.S.C. 115 note) is 
repealed.

SEC. 586. POSTHUMOUS ARMY COMMISSION IN THE GRADE OF CAPTAIN IN THE 
              CHAPLAINS CORPS TO ELLA E. GIBSON FOR SERVICE AS CHAPLAIN 
              OF THE FIRST WISCONSIN HEAVY ARTILLERY REGIMENT DURING 
              THE CIVIL WAR.

    The President is authorized and requested to posthumously appoint 
Ella E. Gibson to the grade of captain in the Chaplains Corps of the 
Army, the commission to issue as of the date of her appointment as 
chaplain to the First Wisconsin Heavy Artillery regiment during the 
Civil War and to be considered to have been in effect during the time 
during which she faithfully performed the services of a chaplain to 
that regiment and for which Congress by law (Private Resolution 31 of 
the 40th Congress, approved March 3, 1869) previously provided for her 
to be paid the full pay and emoluments of a chaplain in the United 
States Army as if she had been regularly commissioned and mustered into 
service.

SEC. 587. NATIONAL GUARD CHALLENGE PROGRAM.

    (a) Termination of Limitation on Federal Expenditures.--Subsection 
(b)(2)(A) of section 509 of title 32, United States Code, is amended by 
striking ``in a fiscal year'' and inserting ``in fiscal year 2001 or 
2002''.
    (b) Matching Funds Requirements.--Subsection (d) of such section is 
amended by striking paragraphs (1) through (4) and inserting the 
following new paragraphs:
            ``(1) for fiscal years 2001 and 2002, 60 percent of the 
        costs of operating the State program during that fiscal year; 
        and
            ``(2) for fiscal year 2003 and each subsequent fiscal year, 
        75 percent of the costs of operating the State program during 
        that fiscal year.''.
    (c) Repeal of Contingent Funding for JROTC.--(1) Section 2033 of 
title 10, United States Code, is repealed.
    (2) The table of sections at the beginning of chapter 102 of such 
title is amended by striking the item relating to section 2033.
    (3) The amendments made by this subsection shall take effect on 
October 1, 2002.

SEC. 588. PAYMENT OF FEHBP PREMIUMS FOR CERTAIN RESERVISTS CALLED TO 
              ACTIVE DUTY IN SUPPORT OF CONTINGENCY OPERATIONS.

    (a) In General.--Subsection (e) of section 8906 of title 5, United 
States Code, is amended by adding at the end the following new 
paragraph:
    ``(3)(A) An employing agency may pay both the employee and 
Government contributions, and any additional administrative expenses 
otherwise chargeable to the employee, with respect to health care 
coverage for an employee described in subparagraph (B) and the family 
of such employee.
    ``(B) An employee referred to in subparagraph (A) is an employee 
who--
            ``(i) is enrolled in a health benefits plan under this 
        chapter;
            ``(ii) is a member of a reserve component of the armed 
        forces;
            ``(iii) is called or ordered to active duty in support of a 
        contingency operation (as defined in section 101(a)(13) of 
        title 10);
            ``(iv) is placed on leave without pay or separated from 
        service to perform active duty; and
            ``(v) serves on active duty for a period of more than 30 
        consecutive days.
    ``(C) Notwithstanding the one-year limitation on coverage described 
in paragraph (1)(A), payment may be made under this paragraph for a 
period not to exceed 18 months.''.
    (b) Conforming Amendment.--The matter preceding paragraph (1) in 
subsection (f) of such section is amended to read as follows:
    ``(f) The Government contribution, and any additional payments 
under subsection (e)(3)(A), for health benefits for an employee shall 
be paid--''.
    (c) Applicability.--The amendments made by this section apply with 
respect to employees called to active duty on or after December 8, 
1995, and an agency may make retroactive payments to such employees for 
premiums paid on or after such date.

SEC. 589. 18-MONTH ENLISTMENT PILOT PROGRAM.

    (a) In General.--(1) Chapter 333 of title 10, United States Code, 
is amended by adding at the end the following new section:
``Sec. 3264. 18-month enlistment pilot program
    ``(a) During the pilot program period, the Secretary of the Army 
shall carry out a pilot program with the objective of increasing 
participation of prior service persons in the Selected Reserve and 
providing assistance in building the pool of participants in the 
Individual Ready Reserve.
    ``(b) Under the program, the Secretary may, notwithstanding section 
505(c) of this title, accept persons for original enlistment in the 
Army for a term of enlistment consisting of 18 months service on active 
duty, to be followed by three years of service in the Selected Reserve 
and then service in the Individual Ready Reserve to complete the 
military service obligation.
    ``(c) No more than 10,000 persons may be accepted for enlistment in 
the Army through the program under this section.
    ``(d) A person enlisting in the Army through the program under this 
section is eligible for an enlistment bonus under section 309 of title 
37, notwithstanding the enlistment time period specified in subsection 
(a) of that section.
    ``(e) For purposes of the program under this section, the pilot 
program period is the period beginning on October 1, 2003, and ending 
on December 31, 2007.
    ``(f) Not later than December 31, 2007, and December 31, 2012, the 
Secretary of the Army shall submit to the Committee on Armed Services 
of the Senate and the Committee on Armed Services of the House of 
Representatives a report on the program under this section. In each 
such report, the Secretary shall set forth the views of the Secretary 
on the success of the program in meeting the objectives stated in 
subsection (a) and whether the program should be continued and, if so, 
whether it should be modified or expanded.''.
    (2) The table of sections at the beginning of such chapter is 
amended by adding at the end the following new item:

``3264. 18-month enlistment pilot program.''.
    (b) Implementation Report.--The Secretary of the Army shall submit 
to the Committee on Armed Services of the Senate and the Committee on 
Armed Services of the House of Representatives a report on the 
Secretary's plan for implementation of section 3264 of title 10, United 
States Code, as added by subsection (a). Such report shall be submitted 
not later than March 1, 2002.

SEC. 590. PER DIEM ALLOWANCE FOR LENGTHY OR NUMEROUS DEPLOYMENTS.

    (a) Funding Source for Allowance.--Section 436(a) of title 37, 
United States Code, is amended by adding at the end the following new 
sentence: ``The Secretary shall pay the allowance from appropriations 
available for operation and maintenance for the armed force in which 
the member serves.''.
    (b) Expanded Report Regarding Management of Individual Member 
Deployments.--Section 574(d) of the Floyd D. Spence National Defense 
Authorization Act for Fiscal Year 2001 (as enacted by Public Law 106-
398; 114 Stat. 1654A-138) is amended in the second sentence by striking 
paragraphs (1) and (2) and inserting the following new paragraphs:
            ``(1) a discussion of the experience in tracking and 
        recording the deployments of members of the Armed Forces and 
        the payment of the per diem allowance for lengthy or numerous 
        deployments in accordance with section 436 of title 37, United 
        States Code;
            ``(2) specific comments regarding the effect of section 991 
        of title 10, United States Code, and section 436 of title 37, 
        United States Code, on the readiness of the Navy and Marine 
        Corps given the deployment intensive mission of these services; 
        and
            ``(3) any recommendations for revision of section 991 of 
        title 10, United States Code, or section 436 of title 37, 
        United States Code, that the Secretary considers 
        appropriate.''.

SEC. 591. CONGRESSIONAL REVIEW PERIOD FOR CHANGE IN GROUND COMBAT 
              EXCLUSION POLICY.

    Section 542(b) of the National Defense Authorization Act for Fiscal 
Year 1994 (Public Law 103-160; 10 U.S.C. 113 note) is amended--
            (1) in paragraph (1)--
                    (A) by striking ``not less than 90 days''; and
                    (B) by adding at the end the following new 
                sentence: ``Such a change may then be implemented only 
                after the end of a period of 60 days of continuous 
                session of Congress (excluding any day on which either 
                House of Congress is not in session) following the date 
                on which the report is received.''; and
            (2) by adding at the end the following new paragraph:
    ``(5) For purposes of this subsection, the continuity of a session 
of Congress is broken only by an adjournment of the Congress sine 
die.''.

          TITLE VI--COMPENSATION AND OTHER PERSONNEL BENEFITS

                     Subtitle A--Pay and Allowances

SEC. 601. INCREASE IN BASIC PAY FOR FISCAL YEAR 2002.

    (a) Waiver of Section 1009 Adjustment.--The adjustment to become 
effective during fiscal year 2002 required by section 1009 of title 37, 
United States Code, in the rates of monthly basic pay authorized 
members of the uniformed services shall not be made.
    (b) Increase in Basic Pay.--Effective on January 1, 2002, the rates 
of monthly basic pay for members of the uniformed services within each 
pay grade are as follows:
      

                        COMMISSIONED OFFICERS\1\
 Years of service computed under section 205 of title 37, United States
                                  Code
------------------------------------------------------------------------
    Pay Grade     2 or less    Over 2     Over 3     Over 4     Over 6
------------------------------------------------------------------------
O-10\2\.........      $0.00      $0.00      $0.00      $0.00       $0.00
O-9.............       0.00       0.00       0.00       0.00        0.00
O-8.............   7,180.20   7,415.40   7,571.10   7,614.90    7,809.30
O-7.............   5,966.40   6,371.70   6,371.70   6,418.20    6,657.90
O-6.............   4,422.00   4,857.90   5,176.80   5,176.80    5,196.60
O-5.............   3,537.00   4,152.60   4,440.30   4,494.30    4,673.10
O-4.............   3,023.70   3,681.90   3,927.60   3,982.50    4,210.50
O-3\3\..........   2,796.60   3,170.40   3,421.80   3,698.70    3,875.70
O-2\3\..........   2,416.20   2,751.90   3,169.50   3,276.30    3,344.10
O-1\3\..........   2,097.60   2,183.10   2,638.50   2,638.50    2,638.50
                 -------------------------------------------------------
                    Over 8    Over 10    Over 12    Over 14     Over 16
                 -------------------------------------------------------
O-10\2\.........      $0.00      $0.00      $0.00      $0.00       $0.00
O-9.............       0.00       0.00       0.00       0.00        0.00
O-8.............   8,135.10   8,210.70   8,519.70   8,608.50    8,874.30
O-7.............   6,840.30   7,051.20   7,261.80   7,472.70    8,135.10
O-6.............   5,418.90   5,448.60   5,448.60   5,628.60    6,305.70
O-5.............   4,673.10   4,813.50   5,073.30   5,413.50    5,755.80
O-4.............   4,395.90   4,696.20   4,930.20   5,092.50    5,255.70
O-3\3\..........   4,070.10   4,232.40   4,441.20   4,549.50    4,549.50
O-2\3\..........   3,344.10   3,344.10   3,344.10   3,344.10    3,344.10
O-1\3\..........   2,638.50   2,638.50   2,638.50   2,638.50    2,638.50
                 -------------------------------------------------------
                   Over 18    Over 20    Over 22    Over 24     Over 26
                 -------------------------------------------------------
O-10\2\.........      $0.00  11,601.90  11,659.20  11,901.30   12,324.00
O-9.............       0.00  10,147.50  10,293.60  10,504.80   10,873.80
O-8.............   9,259.50   9,614.70   9,852.00   9,852.00    9,852.00
O-7.............   8,694.90   8,694.90   8,694.90   8,694.90    8,738.70
O-6.............   6,627.00   6,948.30   7,131.00   7,316.10    7,675.20
O-5.............   5,919.00   6,079.80   6,262.80   6,262.80    6,262.80
O-4.............   5,310.60   5,310.60   5,310.60   5,310.60    5,310.60
O-3\3\..........   4,549.50   4,549.50   4,549.50   4,549.50    4,549.50
O-2\3\..........   3,344.10   3,344.10   3,344.10   3,344.10    3,344.10
O-1\3\..........   2,638.50   2,638.50   2,638.50   2,638.50    2,638.50
------------------------------------------------------------------------
\1\Notwithstanding the basic pay rates specified in this table, the
  actual rate of basic pay for commissioned officers in pay grades 0-7
  through O-10 may not exceed the rate of pay for level III of the
  Executive Schedule and the actual rate of basic pay for all other
  officers may not exceed the rate of pay for level V of the Executive
  Schedule.
\2\Subject to the preceding footnote, while serving as Chairman or Vice
  Chairman of the Joint Chiefs of Staff, Chief of Staff of the Army,
  Chief of Naval Operations, Chief of Staff of the Air Force, Commandant
  of the Marine Corps, or Commandant of the Coast Guard, the rate of
  basic pay for this grade is $13,598.10, regardless of cumulative years
  of service computed under section 205 of title 37, United States Code.
\3\This table does not apply to commissioned officers in pay grade O-1,
  O-2, or O-3 who have been credited with over 4 years of active duty
  service as an enlisted member or warrant officer.


  COMMISSIONED OFFICERS WITH OVER 4 YEARS OF ACTIVE DUTY SERVICE AS AN
                   ENLISTED MEMBER OR WARRANT OFFICER
 Years of service computed under section 205 of title 37, United States
                                  Code
------------------------------------------------------------------------
    Pay Grade     2 or less    Over 2     Over 3     Over 4     Over 6
------------------------------------------------------------------------
O-3E............      $0.00      $0.00      $0.00   3,698.70    3,875.70
O-2E............       0.00       0.00       0.00   3,276.30    3,344.10
O-1E............       0.00       0.00       0.00   2,638.50    2,818.20
                 -------------------------------------------------------
                    Over 8    Over 10    Over 12    Over 14     Over 16
                 -------------------------------------------------------
O-3E............   4,070.10   4,232.40   4,441.20   4,617.00    4,717.50
O-2E............   3,450.30   3,630.00   3,768.90   3,872.40    3,872.40
O-1E............   2,922.30   3,028.50   3,133.20   3,276.30    3,276.30
                 -------------------------------------------------------
                   Over 18    Over 20    Over 22    Over 24     Over 26
                 -------------------------------------------------------
O-3E............   4,855.20   4,855.20   4,855.20   4,855.20    4,855.20
O-2E............   3,872.40   3,872.40   3,872.40   3,872.40    3,872.40
O-1E............   3,276.30   3,276.30   3,276.30   3,276.30    3,276.30
------------------------------------------------------------------------


                           WARRANT OFFICERS\1\
 Years of service computed under section 205 of title 37, United States
                                  Code
------------------------------------------------------------------------
    Pay Grade      2 or less    Over 2     Over 3     Over 4     Over 6
------------------------------------------------------------------------
W-5..............      $0.00      $0.00      $0.00      $0.00      $0.00
W-4..............   2,889.60   3,108.60   3,198.00   3,285.90   3,437.10
W-3..............   2,638.80   2,862.00   2,862.00   2,898.90   3,017.40
W-2..............   2,321.40   2,454.00   2,569.80   2,654.10   2,726.40
W-1..............   2,049.90   2,217.60   2,330.10   2,402.70   2,511.90
                  ------------------------------------------------------
                     Over 8    Over 10    Over 12    Over 14    Over 16
                  ------------------------------------------------------
W-5..............      $0.00      $0.00      $0.00      $0.00      $0.00
W-4..............   3,586.50   3,737.70   3,885.30   4,038.00   4,184.40
W-3..............   3,152.40   3,330.90   3,439.50   3,558.30   3,693.90
W-2..............   2,875.20   2,984.40   3,093.90   3,200.40   3,318.00
W-1..............   2,624.70   2,737.80   2,850.00   2,963.70   3,077.10
                  ------------------------------------------------------
                    Over 18    Over 20    Over 22    Over 24    Over 26
                  ------------------------------------------------------
W-5..............      $0.00   4,965.60   5,136.00   5,307.00   5,478.60
W-4..............   4,334.40   4,480.80   4,632.60   4,782.00   4,935.30
W-3..............   3,828.60   3,963.60   4,098.30   4,233.30   4,368.90
W-2..............   3,438.90   3,559.80   3,680.10   3,801.30   3,801.30
W-1..............   3,189.90   3,275.10   3,275.10   3,275.10   3,275.10
------------------------------------------------------------------------
\1\Notwithstanding the basic pay rates specified in this table, the
  actual rate of basic pay for warrant officers may not exceed the rate
  of pay for level V of the Executive Schedule.


                           ENLISTED MEMBERS\1\
 Years of service computed under section 205 of title 37, United States
                                  Code
------------------------------------------------------------------------
    Pay Grade      2 or less    Over 2     Over 3     Over 4     Over 6
------------------------------------------------------------------------
E-9\2\...........      $0.00      $0.00      $0.00      $0.00      $0.00
E-8..............       0.00       0.00       0.00       0.00       0.00
E-7..............   1,986.90   2,169.00   2,251.50   2,332.50   2,417.40
E-6..............   1,701.00   1,870.80   1,953.60   2,033.70   2,117.40
E-5..............   1,561.50   1,665.30   1,745.70   1,828.50   1,912.80
E-4..............   1,443.60   1,517.70   1,599.60   1,680.30   1,752.30
E-3..............   1,303.50   1,385.40   1,468.50   1,468.50   1,468.50
E-2..............   1,239.30   1,239.30   1,239.30   1,239.30   1,239.30
E-1..............        \3\   1,105.50   1,105.50   1,105.50   1,105.50
                    1,105.50
                  ------------------------------------------------------
                     Over 8    Over 10    Over 12    Over 14    Over 16
                  ------------------------------------------------------
E-9\2\...........      $0.00  $3,423.90   3,501.30   3,599.40   3,714.60
E-8..............   2,858.10   2,940.60   3,017.70   3,110.10   3,210.30
E-7..............   2,562.90   2,645.10   2,726.40   2,808.00   2,892.60
E-6..............   2,254.50   2,337.30   2,417.40   2,499.30   2,558.10
E-5..............   2,030.10   2,110.20   2,193.30   2,193.30   2,193.30
E-4..............   1,752.30   1,752.30   1,752.30   1,752.30   1,752.30
E-3..............   1,468.50   1,468.50   1,468.50   1,468.50   1,468.50
E-2..............   1,239.30   1,239.30   1,239.30   1,239.30   1,239.30
E-1..............   1,105.50   1,105.50   1,105.50   1,105.50   1,105.50
                  ------------------------------------------------------
                    Over 18    Over 20    Over 22    Over 24    Over 26
                  ------------------------------------------------------
E-9\2\...........  $3,830.40   3,944.10   4,098.30   4,251.30   4,467.00
E-8..............   3,314.70   3,420.30   3,573.00   3,724.80   3,937.80
E-7..............   2,975.10   3,057.30   3,200.40   3,292.80   3,526.80
E-6..............   2,602.80   2,602.80   2,602.80   2,602.80   2,602.80
E-5..............   2,193.30   2,193.30   2,193.30   2,193.30   2,193.30
E-4..............   1,752.30   1,752.30   1,752.30   1,752.30   1,752.30
E-3..............   1,468.50   1,468.50   1,468.50   1,468.50   1,468.50
E-2..............   1,239.30   1,239.30   1,239.30   1,239.30   1,239.30
E-1..............   1,105.50   1,105.50   1,105.50   1,105.50   1,105.50
------------------------------------------------------------------------
\1\Notwithstanding the basic pay rates specified in this table, the
  actual rate of basic pay for enlisted members may not exceed the rate
  of pay for level V of the Executive Schedule.
\2\Subject to the preceding footnote, while serving as Sergeant Major of
  the Army, Master Chief Petty Officer of the Navy, Chief Master
  Sergeant of the Air Force, Sergeant Major of the Marine Corps, or
  Master Chief Petty Officer of the Coast Guard, basic pay for this
  grade is $5,382.90, regardless of cumulative years of service computed
  under section 205 of title 37, United States Code.
\3\In the case of members in pay grade E-1 who have served less than 4
  months on active duty, the rate of basic pay is $1,022.70.

SEC. 602. BASIC PAY RATE FOR CERTAIN RESERVE COMMISSIONED OFFICERS WITH 
              PRIOR SERVICE AS AN ENLISTED MEMBER OR WARRANT OFFICER.

    Section 203(d) of title 37, United States Code, is amended--
            (1) by inserting ``(1)'' after ``(d)'';
            (2) by striking ``who is credited'' and all that follows 
        through ``and enlisted member'' and inserting ``is described in 
        paragraph (2)''; and
            (3) by adding at the end the following new paragraph:
    ``(2) Paragraph (1) applies with respect to a commissioned officer 
in pay grade O-1, O-2, or O-3 who--
            ``(A) is credited with a total of over four years' active 
        service as warrant officer or as a warrant officer and enlisted 
        member; or
            ``(B) earned a total of more than 1,460 points credited 
        under section 12732(a)(2) of title 10 while serving as a 
        warrant officer or enlisted member.''.

SEC. 603. SUBSISTENCE ALLOWANCES.

    (a) Basic Allowance for Subsistence.--Section 402 of title 37, 
United States Code, is amended--
            (1) in subsection (b), by adding at the end the following 
        new paragraph:
    ``(4) For purposes of implementing paragraph (2), the monthly rate 
of basic allowance for subsistence that was in effect for an enlisted 
member for calendar year 2001 shall be deemed to be $233.''; and
            (2) by striking subsection (d) and inserting the following 
        new subsection:
    ``(d) Special Rule for Enlisted Members Who Mess Separately.--The 
Secretary of Defense may prescribe a basic allowance for subsistence 
for enlisted members at a rate higher than the rate provided for in 
subsection (b) when messing facilities of the United States are not 
available for the members.''
    (b) Termination of BAS Transitional Authority.--Effective as of 
October 1, 2001, section 603(c) of the Floyd D. Spence National Defense 
Authorization Act for Fiscal Year 2001 (as enacted by Public Law 106-
398; 114 Stat. 1654A-145) is amended by striking ``October 1, 2001'' 
and inserting ``January 1, 2002''.
    (c) Family Subsistence Supplemental Allowance for Low-Income 
Members of the Armed Forces.--Section 402a(b)(1) of title 37, United 
States Code, is amended by inserting ``with dependents'' after ``a 
member of the armed forces''.

SEC. 604. ELIGIBILITY FOR BASIC ALLOWANCE FOR HOUSING WHILE BETWEEN 
              PERMANENT DUTY STATIONS.

    (a) Repeal of Pay Grade Limitation.--Section 403(i) of title 37, 
United States Code, is amended by striking ``who is in a pay grade E-4 
(4 or more years of service) or above''.
    (b) Effective Date; Application.--The amendment made by this 
section shall take effect on January 1, 2003, and apply to members of 
the uniformed services in a travel or leave status between permanent 
duty stations on or after that date.

SEC. 605. UNIFORM ALLOWANCE FOR OFFICERS.

    (a) Relation to Initial Uniform Allowance.--Section 416(b)(1) of 
title 37, United States Code, is amended by striking ``$200'' and 
inserting ``$400''.
    (b) Effective Date.--The amendment made by this section shall take 
effect as of October 1, 2000.

SEC. 606. FAMILY SEPARATION ALLOWANCE FOR CERTAIN MEMBERS ELECTING TO 
              SERVE UNACCOMPANIED TOUR OF DUTY.

    (a) Availability of Allowance.--Section 427(c) of title 37, United 
States Code, is amended--
            (1) by striking ``A member'' in the first sentence and 
        inserting ``(1) Except as provided in paragraph (2) or (3), a 
        member'';
            (2) by redesignating the second sentence as paragraph (3); 
        and
            (3) by inserting after the first sentence the following new 
        paragraph:
    ``(2) A member who elects to serve an unaccompanied tour of duty 
because the movement of a dependent of the member to the permanent 
station is denied for certified medical reasons is entitled to an 
allowance under subsection (a)(1)(A).''.
    (b) Effective Date; Application.--The amendments made by this 
section shall take effect on January 1, 2002. Paragraph (2) of section 
427(c) of title 37, United States Code, as added by subsection (a), 
shall apply with respect to pay periods beginning on or after that date 
for a member of the uniformed services covered by such paragraph 
regardless of the date on which the member first made the election to 
serve an unaccompanied tour of duty.

           Subtitle B--Bonuses and Special and Incentive Pays

SEC. 611. ONE-YEAR EXTENSION OF CERTAIN BONUS AND SPECIAL PAY 
              AUTHORITIES FOR RESERVE FORCES.

    (a) Special Pay for Health Professionals in Critically Short 
Wartime Specialties.--Section 302g(f) of title 37, United States Code, 
is amended by striking ``December 31, 2001'' and inserting ``December 
31, 2002''.
    (b) Selected Reserve Reenlistment Bonus.--Section 308b(f) of such 
title is amended by striking ``December 31, 2001'' and inserting 
``December 31, 2002''.
    (c) Selected Reserve Enlistment Bonus.--Section 308c(e) of such 
title is amended by striking ``December 31, 2001'' and inserting 
``December 31, 2002''.
    (d) Special Pay for Enlisted Members Assigned to Certain High 
Priority Units.--Section 308d(c) of such title is amended by striking 
``December 31, 2001'' and inserting ``December 31, 2002''.
    (e) Selected Reserve Affiliation Bonus.--Section 308e(e) of such 
title is amended by striking ``December 31, 2001'' and inserting 
``December 31, 2002''.
    (f) Ready Reserve Enlistment and Reenlistment Bonus.--Section 
308h(g) of such title is amended by striking ``December 31, 2001'' and 
inserting ``December 31, 2002''.
    (g) Prior Service Enlistment Bonus.--Section 308i(f) of such title 
is amended by striking ``December 31, 2001'' and inserting ``December 
31, 2002''.
    (h) Repayment of Education Loans for Certain Health Professionals 
Who Serve in the Selected Reserve.--Section 16302(d) of title 10, 
United States Code, is amended by striking ``January 1, 2002'' and 
inserting ``January 1, 2003''.

SEC. 612. ONE-YEAR EXTENSION OF CERTAIN BONUS AND SPECIAL PAY 
              AUTHORITIES FOR NURSE OFFICER CANDIDATES, REGISTERED 
              NURSES, AND NURSE ANESTHETISTS.

    (a) Nurse Officer Candidate Accession Program.--Section 2130a(a)(1) 
of title 10, United States Code, is amended by striking ``December 31, 
2001'' and inserting ``December 31, 2002''.
    (b) Accession Bonus for Registered Nurses.--Section 302d(a)(1) of 
title 37, United States Code, is amended by striking ``December 31, 
2001'' and inserting ``December 31, 2002''.
    (c) Incentive Special Pay for Nurse Anesthetists.--Section 
302e(a)(1) of title 37, United States Code, is amended by striking 
``December 31, 2001'' and inserting ``December 31, 2002''.

SEC. 613. ONE-YEAR EXTENSION OF OTHER BONUS AND SPECIAL PAY 
              AUTHORITIES.

    (a) Aviation Officer Retention Bonus.--Section 301b(a) of title 37, 
United States Code, is amended by striking ``December 31, 2001'' and 
inserting ``December 31, 2002''.
    (b) Reenlistment Bonus for Active Members.--Section 308(g) of such 
title is amended by striking ``December 31, 2001'' and inserting 
``December 31, 2002''.
    (c) Enlistment Bonus for Active Members.--Section 309(e) of such 
title is amended by striking ``December 31, 2001'' and inserting 
``December 31, 2002''.
    (d) Special Pay for Nuclear-Qualified Officers Extending Period of 
Active Service.--Section 312(e) of such title is amended by striking 
``December 31, 2001'' and inserting ``December 31, 2002''.
    (e) Nuclear Career Accession Bonus.--Section 312b(c) of such title 
is amended by striking ``December 31, 2001'' and inserting ``December 
31, 2002''.
    (f) Nuclear Career Annual Incentive Bonus.--Section 312c(d) of such 
title is amended by striking ``December 31, 2001'' and inserting 
``December 31, 2002''.
    (g) Retention Bonus for Members With Critical Military Skills.--
Section 323(i) of such title is amended by striking ``December 31, 
2001'' and inserting ``December 31, 2002''.

SEC. 614. CONFORMING ACCESSION BONUS FOR DENTAL OFFICERS AUTHORITY WITH 
              AUTHORITIES FOR OTHER SPECIAL PAY AND BONUSES.

    Section 302h(a)(1) of title 37, United States Code, is amended by 
striking ``the date of the enactment of this section, and ending on 
September 30, 2002'' and inserting ``September 23, 1996, and ending on 
December 31, 2002''.

SEC. 615. ADDITIONAL TYPE OF DUTY RESULTING IN ELIGIBILITY FOR 
              HAZARDOUS DUTY INCENTIVE PAY.

    (a) Performance of Maritime Board and Search Operations.--Section 
301(a) of title 37, United States Code, is amended--
            (1) in paragraph (10), by striking ``or'' at the end;
            (2) by redesignating paragraph (11) as paragraph (12); and
            (3) by inserting after paragraph (10) the following new 
        paragraph:
            ``(11) involving regular participation as a member of a 
        team conducting visit, board, search, and seizure operations 
        aboard vessels in support of maritime interdiction operations; 
        or''.
    (b) Monthly Amount.--Subsection (c) of such section is amended--
            (1) in paragraph (1), by striking ``(10)'' and inserting 
        ``(11)''; and
            (2) in paragraph (2)(A), by striking ``(11)'' and inserting 
        ``(12)''.
    (c) Effective Date; Application.--The amendments made by this 
section shall take effect on January 1, 2002, and apply to duty 
described in the amendment made by subsection (a)(2) on or after that 
date.

SEC. 616. EQUAL TREATMENT OF RESERVISTS PERFORMING INACTIVE-DUTY 
              TRAINING FOR RECEIPT OF AVIATION CAREER INCENTIVE PAY.

    (a) Incentive Pay Equity for Reservists.--Subsection (d) of section 
301a of title 37, United States Code, is amended to read as follows:
    ``(d) Members Performing Inactive-Duty Training.--Under regulations 
prescribed by the President and to the extent provided for by 
appropriations, in the case of a member of a reserve component of a 
uniformed service, or of the National Guard, who is entitled to 
compensation under section 206 of this title, and who performs, under 
orders, duty described in subsection (a), the member is also entitled 
to monthly incentive pay under subsection (b) for the performance of 
that duty in the same manner as a member with corresponding years of 
aviation service who is entitled to basic pay. Such member is entitled 
to the incentive pay for as long as the member remains qualified for 
it, as provided in subsection (a). This subsection does not apply to a 
member who is entitled to basic pay under section 204 of this title.''.
    (b) Effective Date; Application.--The amendment made by this 
section shall take effect on January 1, 2002, and apply to duty 
described in the amendment made by subsection (a)(2) on or after that 
date.

SEC. 617. SECRETARIAL DISCRETION IN PRESCRIBING SUBMARINE DUTY 
              INCENTIVE PAY RATES.

    (a) Authority of Secretary of the Navy; Maximum Rate.--Section 301c 
of title 37, United States Code, is amended by striking subsection (b) 
and inserting the following new subsection:
    ``(b) Monthly Rates.--(1) Subject to paragraph (2), a member who 
meets the requirements prescribed in subsection (a) is entitled to 
monthly submarine duty incentive pay in an amount prescribed by the 
Secretary of the Navy.
    ``(2) The monthly amount of submarine duty incentive pay may not 
exceed $1,000.''.
    (b) Conforming Amendments.--Such section is further amended--
            (1) in subsection (a), by striking ``set forth in'' each 
        place it appears and inserting ``prescribed pursuant to''; and
            (2) in subsection (d), by striking ``authorized by'' and 
        inserting ``prescribed pursuant to''.
    (c) Effective Date; Transition.--The amendments made by this 
section shall take effect on January 1, 2002. The tables set forth in 
subsection (b) of section 301c of title 37, United States Code, as in 
effect on December 31, 2001, shall continue to apply until the 
Secretary of the Navy prescribes new submarine duty incentive pay rates 
as authorized by the amendment made by subsection (a).

SEC. 618. IMPOSITION OF CRITICAL WARTIME SKILL REQUIREMENT FOR 
              ELIGIBILITY FOR INDIVIDUAL READY RESERVE BONUS.

    Section 308h(a)(1) of title 37, United States Code, is amended--
            (1) by striking ``and who'' and inserting ``, who is 
        qualified in a skill or speciality designated by the Secretary 
        concerned as critically short to meet wartime requirements, and 
        who''; and
            (2) by striking ``a combat or combat support skill of''.

SEC. 619. INSTALLMENT PAYMENT AUTHORITY FOR 15-YEAR CAREER STATUS 
              BONUS.

    (a) Member Election.--Section 322(d) of title 37, United States 
Code, is amended--
            (1) in paragraph (1), by striking ``paid in a single lump 
        sum of'' and inserting ``equal to'';
            (2) by redesignating paragraph (2) as paragraph (4), and in 
        such paragraph, by striking ``The bonus'' and inserting ``The 
        lump sum payment of the bonus, and the first installment 
        payment in the case of members who elect to receive the bonus 
        in installments,''; and
            (3) by inserting after paragraph (1) the following new 
        paragraphs:
    ``(2) A member electing to receive the bonus under this section 
shall elect one of the following payment options:
            ``(A) A single lump sum of $30,000.
            ``(B) Two installments of $15,000 each.
            ``(C) Three installments of $10,000 each.
            ``(D) Four installments of $7,500 each.
            ``(E) Five installments of $6,000 each.
    ``(3) If a member elects installment payments under paragraph (2), 
the second installment (and subsequent installments, as applicable) 
shall be paid on the earlier of the following dates:
            ``(A) The annual anniversary date of the payment of the 
        first installment.
            ``(B) January 15 of each succeeding calendar year.''.
    (c) Effective Date; Application.--The amendments made by this 
section shall take effect on the date of the enactment of this Act. The 
Secretary concerned (as defined in section 101(5) of title 37, United 
States Code) shall extend to each member of the uniformed services who 
has executed the written agreement required by subsection (a)(2) of 
section 322 of such title before that date, but who has not received 
the lump sum payment by that date, an opportunity to make the election 
authorized by subsection (d) of such section, as amended by subsection 
(a) of this section.

SEC. 620. ACCESSION BONUS FOR NEW OFFICERS.

    (a) Bonus Authorized.--Chapter 5 of title 37, United States Code, 
is amended by adding at the end the following new section:
``Sec. 324. Special pay: accession bonus for new officers
    ``(a) Accession Bonus Authorized.--Under regulations prescribed by 
the Secretary concerned, a person who executes a written agreement to 
accept a commission as an officer of the armed forces and serve on 
active duty for the period specified in the agreement may, upon 
acceptance of the agreement by the Secretary concerned, be paid an 
accession bonus in an amount determined by the Secretary concerned.
    ``(b) Limitation on Amount of Bonus.--The amount of an accession 
bonus under subsection (a) may not exceed $100,000.
    ``(c) Payment Method.--Upon acceptance of a written agreement under 
subsection (a) by the Secretary concerned, the total amount of the 
accession bonus payable under the agreement becomes fixed. The 
agreement shall specify whether the accession bonus will be paid by the 
Secretary in a lump sum or installments.
    ``(d) Relation to Other Accession Bonus Authority.--An individual 
may not receive a accession bonus under this section and section 302d, 
302h, 302j, or 312b of this title for the same period of service.
    ``(e) Repayment.--(1) If an individual who has entered into an 
agreement under subsection (a) and has received all or part of the 
accession bonus under the agreement fails to accept a commission as an 
officer or to commence or complete the total period of active duty 
service specified in the agreement, the Secretary concerned may require 
the individual to repay the United States, on a pro rata basis and to 
the extent that the Secretary determines conditions and circumstances 
warrant, any or all of the amount paid to the individual under the 
agreement.
    ``(2) An obligation to repay the United States imposed under 
paragraph (1) is for all purposes a debt owed to the United States.
    ``(3) A discharge in bankruptcy under title 11 that is entered less 
than five years after the termination of a written agreement entered 
into under subsection (a) does not discharge the individual signing the 
agreement from a debt arising under such agreement or under paragraph 
(1).''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by adding at the end the following new item:

``324. Special pay: accession bonus for new officers.''.

            Subtitle C--Travel and Transportation Allowances

SEC. 631. MINIMUM PER DIEM RATE FOR TRAVEL AND TRANSPORTATION ALLOWANCE 
              FOR TRAVEL PERFORMED UPON A CHANGE OF PERMANENT STATION 
              AND CERTAIN OTHER TRAVEL.

    (a) Establishment of Rate.--Section 404(d) of title 37, United 
States Code, is amended by adding at the end the following new 
paragraph:
    ``(5) The per diem rates established under paragraph (2)(A) for 
travel performed in connection with a change of permanent station or 
for travel described in paragraph (2) or (3) of subsection (a) shall be 
equal to the standard per diem rates established in the Federal travel 
regulation for travel within the continental United States of civilian 
employees and their dependents, unless the Secretaries concerned 
determines that a higher rate for members is more appropriate.''.
    (b) Effective Date; Application.--The amendment made by this 
section shall take effect on January 1, 2003, and apply to travel 
covered by such amendment that is performed on or after that date by 
members of the uniformed services and their dependents.

SEC. 632. PAYMENT OR REIMBURSEMENT OF TEMPORARY SUBSISTENCE EXPENSES.

    (a) Inclusion of Officers.--Subsection (a)(2)(C) of section 404a of 
title 37, United States Code, is amended by striking ``an enlisted 
member'' and inserting ``a member''.
    (b) Increase in Maximum Daily Authorized Rate.--Subsection (e) of 
such section is amended by striking ``$110'' and inserting ``$180''.
    (c) Effective Date; Application.--The amendments made by this 
section shall take effect on January 1, 2002, and apply with respect to 
an order in connection with a change of permanent station issued on or 
after that date.

SEC. 633. INCREASED WEIGHT ALLOWANCE FOR TRANSPORTATION OF BAGGAGE AND 
              HOUSEHOLD EFFECTS FOR JUNIOR ENLISTED MEMBERS.

    (a) Increased Weight Allowances.--The table in section 406(b)(1)(C) 
of title 37, United States Code, is amended--
            (1) by striking the two footnotes; and
            (2) by striking the items relating to pay grade E-1 through 
        E-4 and inserting the following new items:

 
 
 
``E-4.............................................      7,000      8,000
``E-3.............................................      5,000      8,000
``E-2.............................................      5,000      8,000
``E-1.............................................      5,000   8,000''.
 

    (b) Effective Date; Application.--The amendments made by this 
section shall take effect on January 1, 2003, and apply with respect to 
an order in connection with a change of temporary or permanent station 
issued on or after that date.

SEC. 634. REIMBURSEMENT OF MEMBERS FOR MANDATORY PET QUARANTINE FEES 
              FOR HOUSEHOLD PETS.

    Section 406(a)(1) of title 37, United States Code, is amended in 
the last sentence by striking ``$275'' and inserting ``$675''.

SEC. 635. AVAILABILITY OF DISLOCATION ALLOWANCE FOR MARRIED MEMBER, 
              WHOSE SPOUSE IS A MEMBER, ASSIGNED TO MILITARY FAMILY 
              HOUSING.

    (a) Allowance Available.--Section 407(a)(2) of title 37, United 
States Code, is amended by adding at the end the following new 
subparagraph:
            ``(F) A member married to another member, both of whom are 
        without other dependents, who actually moves to a new permanent 
        duty station where the member is assigned to family housing 
        provided by the United States, except that only one dislocation 
        allowance may be paid to the married couple with respect to the 
        move.''.
    (b) Effective Date; Application.--The amendments made by this 
section shall take effect on January 1, 2003, and apply with respect to 
an order to move for a member of a uniformed service issued on or after 
that date.

SEC. 636. ELIMINATION OF PROHIBITION ON RECEIPT OF DISLOCATION 
              ALLOWANCE BY MEMBERS ORDERED TO FIRST DUTY STATION.

    (a) Allowance Available.--Section 407(e) of title 37, United States 
Code, is amended--
            (1) by striking ``First or Last Duty'' and inserting 
        ``Effect of Order From Last Duty Station''; and
            (2) by striking ``from the member's home to the member's 
        first duty station or''.
    (b) Effective Date; Application.--The amendments made by this 
section shall take effect on January 1, 2003, and apply with respect to 
an order to move for a member of a uniformed service issued on or after 
that date.

SEC. 637. PARTIAL DISLOCATION ALLOWANCE AUTHORIZED FOR HOUSING MOVES 
              ORDERED FOR GOVERNMENT CONVENIENCE.

    (a) Authorization of Partial Dislocation Allowance.--Section 407 of 
title 37, United States Code is amended--
            (1) by redesignating subsections (f) and (g) as subsections 
        (g) and (h), respectively; and
            (2) by inserting after subsection (e) the following new 
        subsection:
    ``(f) Partial Dislocation Allowance.--(1) Under regulations 
prescribed by the Secretary concerned, a member ordered to occupy or 
vacate family housing provided by the United States to permit the 
privatization or renovation of housing or for any other reason (other 
than pursuant to a permanent change of station) may be paid a partial 
dislocation allowance of $500.
    ``(2) Effective on the same date that the monthly rates of basic 
pay for all members are increased under section 1009 of this title or 
another provision of law, the Secretary of Defense shall adjust the 
rate of the partial dislocation allowance authorized by this subsection 
by the percentage equal to the average percentage increase in the rates 
of basic pay.
    ``(3) Subsections (c) and (d) do not apply to the partial 
dislocation allowance authorized by this subsection.''.
    (b) Effective Date; Application.--The amendments made by this 
section shall take effect on January 1, 2002, and apply with respect to 
an order to move for a member of a uniformed service issued on or after 
that date.

SEC. 638. ALLOWANCES FOR TRAVEL PERFORMED IN CONNECTION WITH MEMBERS 
              TAKING AUTHORIZED LEAVE BETWEEN CONSECUTIVE OVERSEAS 
              TOURS.

    Section 411b(a)(1) of title 37, United States Code, is amended by 
striking ``, or his designee, or to a place no farther distant than his 
home of record''.

SEC. 639. FUNDED STUDENT TRAVEL AS PART OF SCHOOL-SPONSORED EXCHANGE 
              PROGRAMS.

    (a) Recognition of Temporary Exchange Programs.--Section 430 of 
title 37, United States Code, is amended--
            (1) in subsection (a)(3), by inserting before the comma at 
        the end the following: ``or is attending a school outside the 
        continental United States, if the dependent is attending the 
        school outside the continental United States for less than one 
        year under a program approved by the school in the continental 
        United States at which the dependent is enrolled''; and
            (2) in subsection (b)(1), by striking ``in the continental 
        United States for the purpose of obtaining a formal education'' 
        in the first sentence and inserting ``described in subsection 
        (a)(3)''.
    (b) Limitation on Amount of Allowance.--Subsection (b) of such 
section is amended by adding at the end the following new paragraph:
    ``(3) The transportation allowance under paragraph (1) for a 
dependent child who is attending a school outside the continental 
United States for less than one year under a program approved by the 
school in the continental United States at which the dependent is 
enrolled shall not exceed the allowance the member would be paid for a 
trip between the school in the continental United States and the 
member's duty station outside the continental United States and 
return.''.
    (c) Effective Date.--The amendments made by this section shall take 
effect on January 1, 2002.

          Subtitle D--Retirement and Survivor Benefit Matters

SEC. 641. CONTINGENT AUTHORITY FOR CONCURRENT RECEIPT OF MILITARY 
              RETIRED PAY AND VETERANS' DISABILITY COMPENSATION.

    (a) Restoration of Retired Pay Benefits.--Chapter 71 of title 10, 
United States Code, is amended by adding at the end the following new 
section:
``Sec. 1414. Members eligible for retired pay who have service-
              connected disabilities: payment of retired pay and 
              veterans' disability compensation; contingent authority
    ``(a) Payment of Both Retired Pay and Compensation.--Subject to 
subsection (b), a member or former member of the uniformed services who 
is entitled to retired pay (other than as specified in subsection (c)) 
and who is also entitled to veterans' disability compensation is 
entitled to be paid both without regard to sections 5304 and 5305 of 
title 38, subject to the enactment of qualifying offsetting legislation 
as specified in subsection (f).
    ``(b) Special Rule for Chapter 61 Career Retirees.--The retired pay 
of a member retired under chapter 61 of this title with 20 years or 
more of service otherwise creditable under section 1405 of this title 
at the time of the member's retirement is subject to reduction under 
sections 5304 and 5305 of title 38, but only to the extent that the 
amount of the member's retired pay under chapter 61 of this title 
exceeds the amount of retired pay to which the member would have been 
entitled under any other provision of law based upon the member's 
service in the uniformed services if the member had not been retired 
under chapter 61 of this title.
    ``(c) Exception.--Subsection (a) does not apply to a member retired 
under chapter 61 of this title with less than 20 years of service 
otherwise creditable under section 1405 of this title at the time of 
the member's retirement.
    ``(d) Definitions.--In this section:
            ``(1) The term `retired pay' includes retainer pay, 
        emergency officers' retirement pay, and naval pension.
            ``(2) The term `veterans' disability compensation' has the 
        meaning given the term `compensation' in section 101(12) of 
        title 38.
    ``(e) Effective Date.--If qualifying offsetting legislation (as 
defined in subsection (f)) is enacted, the provisions of subsection (a) 
shall take effect on--
            ``(1) the first day of the first month beginning after the 
        date of the enactment of such qualifying offsetting 
        legislation; or
            ``(2) the first day of the fiscal year that begins in the 
        calendar year in which such legislation is enacted, if that 
        date is later than the date specified in paragraph (1).
    ``(f) Effectiveness Contingent on Enactment of Offsetting 
Legislation.--(1) The provisions of subsection (a) shall be effective 
only if--
            ``(A) the President, in the budget for any fiscal year, 
        proposes the enactment of legislation that, if enacted, would 
        be qualifying offsetting legislation; and
            ``(B) after that budget is submitted to Congress, there is 
        enacted qualifying offsetting legislation.
    ``(2) For purposes of this subsection:
            ``(A) The term `qualifying offsetting legislation' means 
        legislation (other than an appropriations Act) that includes 
        provisions that--
                    ``(i) offset fully the increased outlays to be made 
                by reason of the provisions of subsection (a) for each 
                of the first 10 fiscal years beginning after the date 
                of the enactment of such legislation;
                    ``(ii) expressly state that they are enacted for 
                the purpose of the offset described in clause (i); and
                    ``(iii) are included in full on the PayGo 
                scorecard.
            ``(B) The term `PayGo scorecard' means the estimates that 
        are made by the Director of the Congressional Budget Office and 
        the Director of the Office of Management and Budget under 
        section 252(d) of the Balanced Budget and Emergency Deficit 
        Control Act of 1985 (2 U.S.C. 902(d)) with respect to the ten 
        fiscal years following the date of the enactment of the 
        legislation that is qualifying offsetting legislation for 
        purposes of this section.''.
    (b) Conforming Termination of Special Compensation Program.--
Section 1413(a) of such title is amended by adding at the end the 
following new sentence: ``If the provisions of subsection (a) of 
section 1414 of this title become effective in accordance with 
subsection (f) of that section, payments under this section shall be 
terminated effective as of the month beginning on the effective date 
specified in subsection (e) of that section.''.
    (c) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by adding at the end the following new item:

``1414. Members eligible for retired pay who have service-connected 
                            disabilities: payment of retired pay and 
                            veterans' disability compensation; 
                            contingent authority.''.
    (d) Prohibition of Retroactive Benefits.--If the provisions of 
subsection (a) of section 1414 of title 10, United States Code, becomes 
effective in accordance with subsection (f) of that section, no benefit 
may be paid to any person by reason of those provisions for any period 
before the effective date specified in subsection (e) of that section.

                       Subtitle E--Other Matters

SEC. 651. FUNERAL HONORS DUTY ALLOWANCE FOR RETIRED MEMBERS.

    (a) Allowance Authorized.--Subsection (a) of section 435 of title 
37, United States Code, is amended--
            (1) by inserting ``(1)'' before ``The Secretary''; and
            (2) by adding at the end the following new paragraph:
    ``(2) The Secretary concerned may also authorize payment of an 
allowance under this section to a retired member of the armed forces 
who performs at least two hours of duty preparing for or performing 
honors at the funeral of a veteran.''.
    (b) Relation to Other Compensation.--Such section is further 
amended by adding at the end the following new subsection:
    ``(c) Concurrent Payment.--Notwithstanding any other provision of 
law, the allowance paid to a retired member of the armed forces under 
this section shall be in addition to any other compensation to which 
the retired member may be entitled under this title or titles 10 or 
38.''.

                   TITLE VII--HEALTH CARE PROVISIONS

                      Subtitle A--TRICARE Program

SEC. 701. IMPLEMENTING COST-EFFECTIVE PAYMENT RATES UNDER THE TRICARE 
              PROGRAM.

    Not later than January 1, 2002, the Secretary of Defense shall, 
with respect to categories of health care providers or services for 
which the Secretary has not already done so and to the extent that the 
Secretary determines is practicable--
            (1) implement the payment rates used under medicare, or 
        similar rates based on medicare payment methods, to pay for 
        health care services provided by institutional and 
        noninstitutional providers under the TRICARE program; and
            (2) as a condition of participation in the TRICARE program, 
        prohibit balance billing of covered beneficiaries by 
        institutional providers and limit balance billing by 
        noninstitutional providers (subject to any exceptions the 
        Secretary determines appropriate) consistent with the limiting 
        charge percentage under medicare.

SEC. 702. WAIVER OF NONAVAILABILITY STATEMENT OR PREAUTHORIZATION 
              REQUIREMENT.

    (a) In General.--Section 721 of the Floyd D. Spence National 
Defense Authorization Act for Fiscal Year 2001 (as enacted in Public 
Law 106-398; 114 Stat. 1654A-184) is amended--
            (1) in the matter preceding paragraph (1) in subsection 
        (a), by striking ``new'';
            (2) by striking subsection (c) and inserting the following:
    ``(c) Exceptions.--(1) Subject to paragraph (2), the Secretary may 
provide that subsection (a) shall not apply for a period of up to one 
year if--
            ``(A) the Secretary--
                    ``(i) demonstrates significant costs would be 
                avoided by performing specific procedures at the 
                affected military medical treatment facility or 
                facilities;
                    ``(ii) determines that a specific procedure must be 
                provided at the affected military medical treatment 
                facility or facilities to ensure the proficiency levels 
                of the practitioners at the facility or facilities; or
                    ``(iii) determines that the lack of nonavailability 
                statement data would significantly interfere with 
                TRICARE contract administration;
            ``(B) the Secretary provides notification of the 
        Secretary's intent to make an exception under this subsection 
        to covered beneficiaries who receive care at the military 
        medical treatment facility or facilities that will be affected 
        by the decision to make an exception under this subsection;
            ``(C) the Secretary provides notification to the Committees 
        on Armed Services of the House of Representatives and the 
        Senate of the Secretary's intent to make an exception under 
        this subsection, the reason for making an exception, and the 
        date that a nonavailability statement will be required; and
            ``(D) 60 days have elapsed since the date of the 
        notification described in subparagraph (C).
    ``(2)(A) Except as provided in subparagraph (B), the Secretary may 
make an exception under this subsection with respect to--
            ``(i) one or more services performed at a military medical 
        treatment facility or facilities; or
            ``(ii) one or more services performed in a TRICARE region.
    ``(B) With respect to maternity care, the Secretary may make an 
exception under this subsection with respect to a military medical 
treatment facility.
    ``(3) In the case of health care provided in conjunction with a 
graduate medical education program, the period of nonapplicability 
described in paragraph (1) shall be, instead of one year, the period 
for which a residency review committee has approved the program.''; and
            (3) in subsection (d), by striking ``October 1, 2001'' and 
        inserting ``two years after the date of the enactment of the 
        National Defense Authorization Act for Fiscal Year 2002''.
    (b) Report.--Not later than March 1, 2002, the Secretary of Defense 
shall submit to the Committees on Armed Services of the House of 
Representatives and the Senate a report on the Secretary's plans for 
implementing such section.

SEC. 703. IMPROVEMENTS IN ADMINISTRATION OF THE TRICARE PROGRAM.

    (a) Expansion of TRICARE Program.--Section 1072(7) of title 10, 
United States Code, is amended by striking ``the competitive selection 
of contractors to financially underwrite''.
    (b) Reduction of Contract Start-Up Time.--Section 1095c(b) of such 
title is amended--
            (1) in paragraph (1)--
                    (A) by striking ``The'' and inserting ``Except as 
                provided in paragraph (3), the''; and
                    (B) by striking ``contract.'' and all that follows 
                through ``as soon as practicable after the award of 
                the''; and
            (2) by adding at the end the following new paragraph:
    ``(3) The Secretary may reduce the nine-month start-up period 
required under paragraph (1) if--
            ``(A) the Secretary--
                    ``(i) determines that a shorter period is 
                sufficient to ensure effective implementation of all 
                contract requirements; and
                    ``(ii) submits notification to the Committees on 
                Armed Services of the House of Representatives and the 
                Senate of the Secretary's intent to reduce the nine-
                month start-up period; and
            ``(B) 60 days have elapsed since the date of such 
        notification.''.

SEC. 704. SUB-ACUTE AND LONG-TERM CARE PROGRAM REFORM.

    (a) In General.--(1) Chapter 55 of title 10, United States Code, is 
amended by inserting after section 1074i the following new section:
``Sec. 1074j. Sub-acute care program
    ``(a) Establishment.--The Secretary of Defense shall establish an 
effective, efficient, and integrated sub-acute care benefits program 
under this chapter (hereinafter referred to in this section as the 
`program'). Except as otherwise provided in this section, the types of 
health care authorized under the program shall be the same as those 
provided under section 1079 of this title. The Secretary, after 
consultation with the other administering Secretaries, shall promulgate 
regulations to carry out this section.
    ``(b) Benefits.--(1) The program shall include a uniform skilled 
nursing facility benefit that shall be provided in the manner and under 
the conditions described in section 1861(h) and (i) of the Social 
Security Act (42 U.S.C. 1395x(h) and (i)), except that the limitation 
on the number of days of coverage under section 1812(a) and (b) of such 
Act (42 U.S.C. 1395d(a) and (b)) shall not be applicable under the 
program. Skilled nursing facility care for each spell of illness shall 
continue to be provided for as long as medically necessary and 
appropriate.
    ``(2) In this subsection:
            ``(A) The term `skilled nursing facility' has the meaning 
        given such term in section 1819(a) of the Social Security Act 
        (42 U.S.C. 1395i-3(a)).
            ``(B) The term `spell of illness' has the meaning given 
        such term in section 1861(a) of such Act (42 U.S.C. 1395x(a)).
    ``(3) The program shall include a comprehensive, intermittent home 
health care benefit that shall be provided in the manner and under the 
conditions described in section 1861(m) of the Social Security Act (42 
U.S.C. 1395x(m)).''.
    (2) The table of sections at the beginning of such chapter is 
amended by inserting after the item relating to section 1074i the 
following new item:

``1074j. Sub-acute care program.''.
    (b) Extended Benefits for Certain Dependents.--Section 1079 of such 
title is amended by striking subsections (d), (e), and (f) and 
inserting the following new subsections:
    ``(d)(1) The Secretary of Defense shall establish a program to 
provide extended benefits for eligible dependents, which may include 
the provision of comprehensive health care services, including case 
management services, to assist in the reduction of the disabling 
effects of a qualifying condition of an eligible dependent. 
Registration shall be required to receive the extended benefits.
    ``(2) The Secretary of Defense, after consultation with the other 
administering Secretaries, shall promulgate regulations to carry out 
this subsection.
    ``(3) In this subsection:
            ``(A) The term `eligible dependent' means a dependent of a 
        member of the uniformed services on active duty for a period of 
        more than 30 days, as described in subparagraph (A), (D), or 
        (I) of section 1072(2) of this title, who has a qualifying 
        condition.
            ``(B) The term `qualifying condition' means the condition 
        of a dependent who is moderately or severely mentally retarded, 
        has a serious physical disability, or has an extraordinary 
        physical or psychological condition.
    ``(e) Extended benefits for eligible dependents under subsection 
(d) may include comprehensive health care services with respect to the 
qualifying condition of such a dependent, and include, to the extent 
such benefits are not provided under provisions of this chapter other 
than under this section, the following:
            ``(1) Diagnosis.
            ``(2) Inpatient, outpatient, and comprehensive home health 
        care supplies and services.
            ``(3) Training, rehabilitation, and special education.
            ``(4) Institutional care in private nonprofit, public, and 
        State institutions and facilities and, if appropriate, 
        transportation to and from such institutions and facilities.
            ``(5) Custodial care, notwithstanding the prohibition in 
        section 1077(b)(1) of this title.
            ``(6) Respite care for the primary caregiver of the 
        eligible dependent.
            ``(7) Such other services and supplies as determined 
        appropriate by the Secretary, notwithstanding the limitations 
        in subsection (a)(13).
    ``(f) Members shall be required to share in the cost of any 
benefits provided to their dependents under subsection (d) as follows:
            ``(1) Members in the lowest enlisted pay grade shall be 
        required to pay the first $25 incurred each month, and members 
        in the highest commissioned pay grade shall be required to pay 
        the first $250 incurred each month. The amounts to be paid by 
        members in all other pay grades shall be determined under 
        regulations to be prescribed by the Secretary of Defense in 
        consultation with the administering Secretaries.
            ``(2) A member who has more than one dependent incurring 
        expenses in a given month under a plan covered by subsection 
        (d) shall not be required to pay an amount greater than would 
        be required if the member had only one such dependent.''.
    (c) Definitions of Custodial Care and Domiciliary Care.--Section 
1072 of title 10, United States Code, is amended by adding at the end 
the following new paragraphs:
            ``(8) The term `custodial care' means treatment or 
        services, regardless of who recommends such treatment or 
        services or where such treatment or services are provided, 
        that--
                    ``(A) can be rendered safely and reasonably by a 
                person who is not medically skilled; or
                    ``(B) is or are designed mainly to help the patient 
                with the activities of daily living.
            ``(9) The term `domiciliary care' means care provided to a 
        patient in an institution or homelike environment because--
                    ``(A) providing support for the activities of daily 
                living in the home is not available or is unsuitable; 
                or
                    ``(B) members of the patient's family are unwilling 
                to provide the care.''.
    (d) Conforming Amendment.--Section 1079 of title 10, United States 
Code, is amended in subsection (a) by striking paragraph (17).
    (e) Continuation of Individual Case Management Services for Certain 
Eligible Beneficiaries.--(1) Notwithstanding the termination of the 
Individual Case Management Program by subsection (d), the Secretary of 
Defense shall, in any case in which the Secretary makes the 
determination described in paragraph (2), continue to provide payment 
as if such program were in effect for home health care or custodial 
care services provided to an eligible beneficiary that would otherwise 
be excluded from coverage under regulations implementing chapter 55 of 
title 10, United States Code.
    (2) The determination referred to in paragraph (1) is a 
determination that discontinuation of payment for services not 
otherwise provided under such chapter would result in the provision of 
services inadequate to meet the needs of the eligible beneficiary and 
would be unjust to such beneficiary.
    (3) For purposes of this subsection, ``eligible beneficiary'' means 
a covered beneficiary (as that term is defined in section 1072 of title 
10, United States Code) who, before the effective date of this section, 
was provided custodial care services under the Individual Case 
Management Program for which the Secretary provided payment.
    (f) Report on Initiatives Regarding Long-Term Care.--The Secretary 
of Defense shall, not later than April 1, 2002, submit to Congress a 
report on the feasibility and desirability of establishing new 
initiatives, taking into account chapter 90 of title 5, United States 
Code, to improve the availability of long-term care for members and 
retired members of the uniformed services and their families.
    (g) Reference in Title 10 to Long-Term Care Program in Title 5.--
(1) Chapter 55 of title 10, United States Code, is amended by inserting 
after section 1074j (as added by subsection (a)) the following new 
section:
``Sec. 1074k. Long-term care insurance
    ``Provisions regarding long-term care insurance for members and 
certain former members of the uniformed services and their families are 
set forth in chapter 90 of title 5.''.
    (2) The table of sections at the beginning of such chapter is 
amended by inserting after the item relating to section 1074j (as added 
by subsection (a)) the following new item:

``1074k. Long-term care insurance.''.
    (h) Effective Date.--This section, and the amendments made by this 
section, shall take effect on October 1, 2001.

SEC. 705. REIMBURSEMENT OF TRAVEL EXPENSES OF A PARENT, GUARDIAN, OR 
              RESPONSIBLE FAMILY MEMBER OF A MINOR COVERED BENEFICIARY.

    Section 1074i of title 10, United States Code, is amended by adding 
at the end the following new sentence: ``In any case in which 
reimbursement of travel expenses of a covered beneficiary who is a 
minor and dependent is required under this section, the Secretary also 
shall provide reimbursement for reasonable travel expenses of the 
parent or guardian of, or the family member responsible for, such 
covered beneficiary.''.

                       Subtitle B--Other Matters

SEC. 711. PROHIBITION AGAINST REQUIRING MILITARY RETIREES TO RECEIVE 
              HEALTH CARE SOLELY THROUGH THE DEPARTMENT OF DEFENSE.

    No provision of law (whether enacted before or after this Act) may 
be construed as authorizing the Secretary of Defense to take any action 
that would require, or have the effect of requiring, a member or former 
member of the Armed Forces who is entitled to retired or retainer pay 
to enroll to receive health care from the Federal Government only 
through the Department of Defense. This section may not be superseded 
by a subsequent Act unless that Act--
            (1) specifically refers to this section; and
            (2) specifically states that such provision of law 
        supersedes the provisions of this section.

SEC. 712. TRAUMA AND MEDICAL CARE PILOT PROGRAM.

    (a) Requirement To Conduct Pilot Program.--The Secretary of Defense 
shall conduct a pilot program under which the Brooke Army Medical 
Center and the Wilford Hall Air Force Medical Center in San Antonio, 
Texas, may charge civilians who are not covered beneficiaries under 
chapter 55 of title 10, United States Code, fees representing the 
actual costs of trauma and other medical care provided to such 
civilians using private sector itemized rates.
    (b) Use of Fees Collected.--(1) The Brooke Army Medical Center and 
the Wilford Hall Air Force Medical Center may use the amounts collected 
under the pilot program for--
            (A) trauma consortium activities;
            (B) administrative, operating, and equipment costs; and
            (C) readiness training.
    (2) The operating budgets of those medical centers shall not be 
reduced as a result of fees collected under the pilot program.
    (c) Efficient Practices.--Under the pilot program, the commander of 
the Brooke Army Medical Center or Wilford Hall Air Force Medical Center 
may authorize the use of funds appropriated to the Department of 
Defense for medical care for trauma and other medical care provided at 
such center to civilians described in subsection (a).
    (d) Length of Pilot Program.--The pilot program under this section 
shall commence on October 1, 2001, and be conducted for a period of 
three years.
    (e) Reports.--The Secretary of Defense shall submit to Congress not 
later than October 1st of each of 2002 through 2004 a report describing 
the progress and effectiveness of the pilot program carried out under 
this section.

SEC. 713. ENHANCEMENT OF MEDICAL PRODUCT DEVELOPMENT.

    Section 980 of title 10, United States Code, is amended--
            (1) by inserting ``(a)'' before ``Funds''; and
            (2) by adding at the end the following new subsection:
    ``(b) The Secretary of Defense may waive the prohibition in this 
section with respect to a specific research project to advance the 
development of a medical product necessary to the armed forces if the 
research project is carried out in accordance with all other applicable 
laws.''.

SEC. 714. REPEAL OF OBSOLETE REPORT REQUIREMENT.

    Section 701 of the National Defense Authorization Act for Fiscal 
Year 2000 (Public Law 106-65; 10 U.S.C. 1074g note) is amended by 
striking subsection (d).

SEC. 715. CLARIFICATIONS AND IMPROVEMENTS REGARDING THE DEPARTMENT OF 
              DEFENSE MEDICARE-ELIGIBLE RETIREE HEALTH CARE FUND.

    (a) Clarification Regarding Coverage.--Subsection (b) of section 
1111 of title 10, United States Code, is amended to read as follows:
    ``(b) In this chapter:
            ``(1) The term `Department of Defense retiree health care 
        programs' means the provisions of this title or any other 
        provision of law creating an entitlement to or eligibility for 
        health care under a Department of Defense or uniformed services 
        program for a member or former member of a participating 
        uniformed service who is entitled to retired or retainer pay, 
        and an eligible dependent under such program.
            ``(2) The term `designated Department of Defense health 
        care program' means a program described in paragraph (1) of 
        this subsection that is designated under section 1113(c).
            ``(3) The term `eligible dependent' means a dependent (as 
        such term is defined in section 1072(2)) described in section 
        1076(a)(2) (other than a dependent of a member on active duty), 
        1076(b), 1086(c)(2), or 1086(c)(3)).
            ``(4) The term `medicare-eligible', with respect to any 
        person, means entitled to benefits under part A of title XVIII 
        of the Social Security Act (42 U.S.C. 1395c et seq.).
            ``(5) The term `participating uniformed service' means the 
        Army, Navy, Air Force, and Marine Corps, and any other 
        uniformed service that is covered by an agreement entered into 
        under subsection (c).''
    (b) Participation of Other Uniformed Services.--(1) Section 1111 of 
such title is further amended by adding after subsection (b), the 
following new subsection:
    ``(c) The Secretary of Defense may enter into an agreement with any 
other administering Secretary for participation in the Fund by a 
uniformed service under the jurisdiction of that Secretary. Any such 
agreement shall require that Secretary to make contributions to the 
Fund on behalf of the members of the uniformed service under the 
jurisdiction of that Secretary comparable to the contributions to the 
Fund made by the Secretary of Defense under section 1116.''
    (2) Section 1112 of such title is amended by adding at the end the 
following new paragraph:
            ``(4) Amounts paid into the Fund pursuant to section 
        1111(c).''.
    (3) Section 1115 of such title is amended--
            (A) in subsection (a), by inserting ``participating'' 
        before ``uniformed services''; and
    (B) in subparagraphs (A)(ii) and (B)(ii) of subsection (b)(1), by 
inserting ``under the jurisdiction of the Secretary of Defense'' after 
``uniformed services''.
    (4) Section 1116(a) of such title is amended in paragraphs (1)(B) 
and (2)(B) by inserting ``under the jurisdiction of the Secretary of 
Defense'' after ``uniformed services''.
    (c) Clarification of Payments From the Fund.--(1) The second 
sentence of subsection (a) of section 1111 of such title is amended by 
inserting ``designated'' before ``Department of Defense retiree health 
care programs for medicare-eligible beneficiaries''.
    (2) Subsection (a) of section 1113 of such title is amended to read 
as follows:
    ``(a) There shall be paid from the Fund amounts payable for the 
costs of designated Department of Defense retiree health care programs 
for the benefit of members or former members of a participating 
uniformed service who are entitled to retired or retainer pay and are 
medicare-eligible, and eligible dependents described in section 
1111(b)(3) who are medicare-eligible.''
    (3) Such section is further amended by adding at the end the 
following new subsection:
    ``(c) For purposes of payments from the Fund under subsection (a), 
the Secretary of Defense shall designate the program authorized by 
section 1086 of this title.''.
    (d) Technical Amendments.--(1) The heading for section 1111 of such 
title is amended to read as follows:
``Sec. 1111. Establishment and purpose of Fund; definitions; authority 
              to enter into agreements''.
    (2) The item relating to section 1111 in the table of sections at 
the beginning of chapter 56 of such title is amended to read as 
follows:

``1111. Establishment and purpose of Fund; definitions; authority to 
                            enter into agreements.''.
    (f) Effective Date.--The amendments made by this section shall take 
effect on October 1, 2002.

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

             Subtitle A--Acquisition Policy and Management

SEC. 801. ACQUISITION MILESTONES.

    (a) Title 10, U.S.C.--Title 10, United States Code, is amended--
            (1) in section 2366(c), subsections (b)(3)(A), (c)(3)(A), 
        and (h)(1) of section 2432, and section 2434(a), by striking 
        ``engineering and manufacturing development'' each place such 
        words appear and inserting ``system development and 
        demonstration'';
            (2) in section 2400--
                    (A) in subsection (a)(2), by striking ``engineering 
                and manufacturing development'' and inserting ``system 
                development and demonstration''; and
                    (B) in subsections (a)(1)(A), (a)(2), (a)(4) and 
                (a)(5), by striking ``milestone II'' each place such 
                term appears and inserting ``milestone B''; and
            (3) in section 2435--
                    (A) in subsection (b), by striking ``engineering 
                and manufacturing development'' and inserting ``system 
                development and demonstration'';
                    (B) in subsection (c)(1), by striking 
                ``demonstration and validation'' and inserting ``system 
                development and demonstration'';
                    (C) in subsection (c)(2), by striking ``engineering 
                and manufacturing development'' and inserting 
                ``production and deployment''; and
                    (D) in subsection (c)(3), by striking ``production 
                and deployment'' and inserting ``full rate 
                production''.
    (b) Other Laws.--(1) Section 811(c) of the Floyd D. Spence National 
Defense Authorization Act for Fiscal Year 2001 (as enacted in Public 
Law 106-398; 114 Stat. 1654A-211) is amended--
            (A) by striking ``Milestone I'' and inserting ``Milestone 
        B'';
            (B) by striking ``Milestone II'' and inserting ``Milestone 
        C''; and
            (C) by striking ``Milestone III'' and inserting ``full rate 
        production''.
    (2) Section 8102(b) of the Department of Defense Appropriations 
Act, 2001 (Public Law 106-259; 114 Stat. 696) is amended--
            (A) by striking ``Milestone I'' and inserting ``Milestone 
        B'';
            (B) by striking ``Milestone II'' and inserting ``Milestone 
        C''; and
            (C) by striking ``Milestone III'' and inserting ``full rate 
        production''.

SEC. 802. ACQUISITION WORKFORCE QUALIFICATIONS.

    (a) Qualifications.--Section 1724 of title 10, United States Code, 
is amended--
            (1) in subsection (a)--
                    (A) by striking the matter preceding paragraph (1) 
                and inserting the following:
    ``(a) Contracting Officers.--The Secretary of Defense shall require 
that, in order to qualify to serve in an acquisition position as a 
contracting officer with authority to award or administer contracts for 
amounts above the simplified acquisition threshold referred to in 
section 2304(g) of this title, an employee of the Department of Defense 
or member of the armed forces (other than the Coast Guard) must, except 
as provided in subsections (c) and (d)--'';
                    (B) in paragraph (1)--
                            (i) by striking ``mandatory''; and
                            (ii) by striking ``at the grade level'' and 
                        all that follows and inserting ``(A) in the 
                        case of an employee, serving in the position 
                        within the grade of the General Schedule in 
                        which the employee is serving, and (B) in the 
                        case of a member of the armed forces, in the 
                        member's grade;''; and
                    (C) in paragraph (3)(A), by inserting a comma after 
                ``business'';
            (2) by striking subsection (b) and inserting the following 
        new subsection:
    ``(b) GS-1102 Series Positions and Similar Military Positions.--(1) 
The Secretary of Defense shall require that in order to qualify to 
serve in a position in the Department of Defense that is in the GS-1102 
occupational series an employee or potential employee of the Department 
of Defense meet the requirements set forth in paragraph (3) of 
subsection (a). The Secretary may not require that in order to serve in 
such a position an employee or potential employee meet any of the 
requirements of paragraphs (1) and (2) of that subsection.
    ``(2) The Secretary of Defense shall require that in order for a 
member of the armed forces to be selected for an occupational specialty 
within the armed forces that (as determined by the Secretary) is 
similar to the GS-1102 occupational series a member of the armed forces 
meet the requirements set forth in paragraph (3) of subsection (a). The 
Secretary may not require that in order to be selected for such an 
occupational specialty a member meet any of the requirements of 
paragraphs (1) and (2) of that subsection.''; and
            (3) by striking subsections (c) and (d) inserting the 
        following new subsections:
    ``(c) Exceptions.--The qualification requirements imposed by the 
Secretary of Defense pursuant to subsections (a) and (b) shall not 
apply to an employee of the Department of Defense or member of the 
armed forces who--
            ``(1) served as a contracting officer with authority to 
        award or administer contracts in excess of the simplified 
        acquisition threshold on or before September 30, 2000;
            ``(2) served, on or before September 30, 2000, in a 
        position either as an employee in the GS-1102 series or as a 
        member of the armed forces in similar occupational specialty;
            ``(3) is in the contingency contracting force; or
            ``(4) is described in subsection (e)(1)(B).
    ``(d) Waiver.--The acquisition career program board concerned may 
waive any or all of the requirements of subsections (a) and (b) with 
respect to an employee of the Department of Defense or member of the 
armed forces if the board certifies that the individual possesses 
significant potential for advancement to levels of greater 
responsibility and authority, based on demonstrated job performance and 
qualifying experience. With respect to each waiver granted under this 
subsection, the board shall set forth in a written document the 
rationale for its decision to waive such requirements. Such document 
shall be submitted to and retained by the Director of Acquisition 
Education, Training, and Career Development.
    ``(e) Developmental Opportunities.--(1) The Secretary of Defense 
may--
            ``(A) establish or continue one or more programs for the 
        purpose of recruiting, selecting, appointing, educating, 
        qualifying, and developing the careers of individuals to meet 
        the requirements in subparagraphs (A) and (B) of subsection 
        (a)(3);
            ``(B) appoint individuals to developmental positions in 
        those programs; and
            ``(C) separate from the civil service after a three-year 
        probationary period any individual appointed under this 
        subsection who, as determined by the Secretary, fails to 
        complete satisfactorily any program described in subparagraph 
        (A).
    ``(2) To qualify for any developmental program described in 
paragraph (1)(A), an individual shall have--
            ``(A) been awarded a baccalaureate degree from an 
        accredited institution of higher education authorized to grant 
        baccalaureate degrees; or
            ``(B) completed at least 24 semester credit hours or the 
        equivalent of study from an accredited institution of higher 
        education in any of the disciplines of accounting, business, 
        finance, law, contracts, purchasing, economics, industrial 
        management, marketing, quantitative methods, or organization 
        and management.
    ``(f) Contingency Contracting Force.--The Secretary shall establish 
qualification requirements for the contingency contracting force 
consisting of members of the armed forces whose mission is to deploy in 
support of contingency operations and other operations of the 
Department of Defense, including--
            ``(1) completion of at least 24 semester credit hours or 
        the equivalent of study from an accredited institution of 
        higher education or similar educational institution in any of 
        the disciplines of accounting, business, finance, law, 
        contracts, purchasing, economics, industrial management, 
        marketing, quantitative methods, or organization and 
        management; or
            ``(2) passage of an examination that demonstrates skills, 
        knowledge, or abilities comparable to that of an individual who 
        has completed at least 24 semester credit hours or the 
        equivalent of study in any of the disciplines described in 
        paragraph (1).''.
    (b) Clerical Amendment.--Section 1732(c)(2) of such title is 
amended by inserting a comma after ``business''.

SEC. 803. TWO-YEAR EXTENSION OF PROGRAM APPLYING SIMPLIFIED PROCEDURES 
              TO CERTAIN COMMERCIAL ITEMS.

    Section 4202(e) of the Clinger-Cohen Act of 1996 (divisions D and E 
of Public Law 104-106; 110 Stat. 654; 10 U.S.C. 2304 note) is amended 
by striking ``January 1, 2002'' and inserting ``January 1, 2004''.

SEC. 804. CONTRACTS FOR SERVICES TO BE PERFORMED OUTSIDE THE UNITED 
              STATES.

    (a) In General.--Chapter 141 of title 10, United States Code, is 
amended by inserting after section 2381 the following new section:
``Sec. 2382. Contracts for services to be performed outside the United 
              States
    ``The Secretary of Defense may enter into contracts to employ 
individuals or organizations to perform services in countries other 
than the United States without regard to laws regarding the 
negotiation, making, and performance of contracts and performance of 
work in the United States. Individuals employed by contract to perform 
such services shall not by virtue of such employment be considered to 
be employees of the United States Government for purposes of any law 
administered by the Office of Personnel Management, but the Secretary 
may determine the applicability to such individuals of any other law 
administered by the Secretary concerning the employment of such 
individuals in countries other than the United States.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by inserting after the item relating to section 
2381 the following new item:

``2382. Contracts for services to be performed outside the United 
                            States.''.

SEC. 805. CODIFICATION AND MODIFICATION OF ``BERRY AMENDMENT'' 
              REQUIREMENTS.

    (a) Berry Amendment Requirements.--(1) Chapter 148 of title 10, 
United States Code, is amended by inserting after section 2533 the 
following new section:
``Sec. 2533a. Requirement to buy certain articles from American 
              sources; exceptions
    ``(a) Requirement.--Except as provided in subsections (c) through 
(g), funds appropriated or otherwise available to the Department of 
Defense may not be used for the procurement of an item described in 
subsection (b) if the item is not grown, reprocessed, reused, or 
produced in the United States.
    ``(b) Covered Items.--An item referred to in subsection (a) is any 
of the following:
            ``(1) An article or item of--
                    ``(A) food;
                    ``(B) clothing;
                    ``(C) tents, tarpaulins, parachutes, or covers;
                    ``(D) cotton and other natural fiber products, 
                woven silk or woven silk blends, spun silk yarn for 
                cartridge cloth, synthetic fabric or coated synthetic 
                fabric (including all textile fibers and yarns that are 
                for use in such fabrics), canvas products, or wool 
                (whether in the form of fiber or yarn or contained in 
                fabrics, materials, or manufactured articles); or
                    ``(E) any item of individual equipment manufactured 
                from or containing such fibers, yarns, fabrics, or 
                materials.
            ``(2) Specialty metals, including stainless steel flatware.
            ``(3) Hand or measuring tools.
    ``(c) Exception.--The Secretary of Defense or the Secretary of the 
military department concerned may waive the requirement in subsection 
(a) if--
            ``(1) such Secretary determines that satisfactory quality 
        and sufficient quantity of any such article or item described 
        in subsection (b)(1) or specialty metals (including stainless 
        steel flatware) grown, reprocessed, reused, or produced in the 
        United States cannot be procured as and when needed at United 
        States market prices;
            ``(2) such Secretary has provided notice to the public 
        regarding the waiver;
            ``(3) such Secretary has notified the Committees on 
        Appropriations, Armed Services, and Small Business of the House 
        of Representatives and the Senate regarding the waiver and 
        provided a justification to such committees for the waiver; and
            ``(4) 30 days have elapsed since the date of the 
        notification of such committees.
    ``(d) Exception for Certain Procurements Outside the United 
States.--Subsection (a) does not apply to the following:
            ``(1) Procurements outside the United States in support of 
        combat operations.
            ``(2) Procurements by vessels in foreign waters.
            ``(3) Emergency procurements or procurements of perishable 
        foods by an establishment located outside the United States for 
        the personnel attached to such establishment.
    ``(e) Exception for Specialty Metals and Chemical Warfare 
Protective Clothing.--Subsection (a) does not preclude the procurement 
of specialty metals or chemical warfare protective clothing produced 
outside the United States if--
            ``(1) such procurement is necessary--
                    ``(A) to comply with agreements with foreign 
                governments requiring the United States to purchase 
                supplies from foreign sources for the purposes of 
                offsetting sales made by the United States Government 
                or United States firms under approved programs serving 
                defense requirements; or
                    ``(B) in furtherance of agreements with foreign 
                governments in which both such governments agree to 
                remove barriers to purchases of supplies produced in 
                the other country or services performed by sources of 
                the other country; and
            ``(2) any such agreement with a foreign government 
        complies, where applicable, with the requirements of section 36 
        of the Arms Export Control Act (22 U.S.C. 2776) and with 
        section 2457 of this title.
    ``(f) Exception for Certain Foods.--Subsection (a) does not 
preclude the procurement of foods manufactured or processed in the 
United States.
    ``(g) Exception for Small Purchases.--Subsection (a) does not apply 
to purchases for amounts not greater than the simplified acquisition 
threshold referred to in section 2304(g) of this title.
    ``(h) Applicability to Contracts and Subcontracts for Procurement 
of Commercial Items.--This section is applicable to contracts and 
subcontracts for the procurement of commercial items notwithstanding 
section 34 of the Office of Federal Procurement Policy Act (41 U.S.C. 
430).
    ``(i) Geographic Coverage.--In this section, the term `United 
States' includes the commonwealths, territories, and possessions of the 
United States.
    ``(j) Exception for Commissaries, Exchanges, and Other 
Nonappropriated Fund Instrumentalities.--Subsection (a) does not apply 
to items purchased for resale purposes in commissaries, military 
exchanges, or nonappropriated fund instrumentalities operated by the 
military departments or the Department of Defense.''.
    (2) The table of sections at the beginning of such chapter is 
amended by inserting after the item relating to section 2533 the 
following new item:

``2533a. Requirement to buy certain articles from American sources; 
                            exceptions.''.
    (b) Repeal of Source Provisions.--The following provisions of law 
are repealed:
            (1) Section 9005 of the Department of Defense 
        Appropriations Act, 1993 (Public Law 102-396; 10 U.S.C. 2241 
        note).
            (2) Section 8109 of the Department of Defense 
        Appropriations Act, 1997 (as contained in section 101(b) of 
        Public Law 104-208; 110 Stat. 3009-111; 10 U.S.C. 2241 note).

                Subtitle B--Erroneous Payments Recovery

SEC. 811. SHORT TITLE.

    This subtitle may be cited as the ``Erroneous Payments Recovery Act 
of 2001''.

SEC. 812. IDENTIFICATION OF ERRORS MADE BY EXECUTIVE AGENCIES IN 
              PAYMENTS TO CONTRACTORS AND RECOVERY OF AMOUNTS 
              ERRONEOUSLY PAID.

    (a) Program Required.--The head of each executive agency that 
enters into contracts with a total value in excess of $500,000,000 in a 
fiscal year shall carry out a cost-effective program for identifying 
any errors made in paying the contractors and for recovering any 
amounts erroneously paid to the contractors.
    (b) Recovery Audits and Activities.--A program of an executive 
agency under subsection (a) shall include recovery audits and recovery 
activities. The head of the executive agency shall determine, in 
accordance with guidance provided under subsection (c), the classes of 
contracts to which recovery audits and recovery activities are 
appropriately applied.
    (c) OMB Guidance.--The Director of the Office of Management and 
Budget shall issue guidance for the conduct of programs under 
subsection (a). The guidance shall include the following:
            (1) Definitions of the terms ``recovery audit'' and 
        ``recovery activity'' for the purposes of the programs.
            (2) The classes of contracts to which recovery audits and 
        recovery activities are appropriately applied under the 
        programs.
            (3) Protections for the confidentiality of--
                    (A) sensitive financial information that has not 
                been released for use by the general public; and
                    (B) information that could be used to identify a 
                person.
            (4) Policies and procedures for ensuring that the 
        implementation of the programs does not result in duplicative 
        audits of contractor records.
            (5) Policies regarding the types of contracts executive 
        agencies may use for the procurement of recovery services, 
        including guidance for use, in appropriate circumstances, of a 
        contingency contract pursuant to which the head of an executive 
        agency may pay a contractor an amount equal to a percentage of 
        the total amount collected for the United States pursuant to 
        that contract.
            (6) Protections for a contractor's records and facilities 
        through restrictions on the authority of a contractor under a 
        contract for the procurement of recovery services for an 
        executive agency--
                    (A) to require the production of any record or 
                information by any person other than an officer, 
                employee, or agent of the executive
                agency;
                    (B) to establish, or otherwise have, a physical 
                presence on the property or premises of any private 
                sector entity for the purposes of performing the 
                contract; or
                    (C) to act as agents for the Government in the 
                recovery of funds erroneously paid to contractors.
            (7) Policies for the appropriate types of management 
        improvement programs authorized by section 815 that executive 
        agencies may carry out to address overpayment problems and the 
        recovery of overpayments.

SEC. 813. DISPOSITION OF RECOVERED FUNDS.

    (a) Availability of Funds for Recovery Audits and Activities 
Program.--Funds collected under a program carried out by an executive 
agency under section 812 shall be available to the executive agency, in 
such amounts as are provided in advance in appropriations Acts, for the 
following purposes:
            (1) To reimburse the actual expenses incurred by the 
        executive agency in the administration of the program.
            (2) To pay contractors for services under the program in 
        accordance with the guidance issued under section 812(c)(5).
    (b) Funds Not Used for Program.--Any amounts erroneously paid by an 
executive agency that are recovered under such a program of an 
executive agency and are not used to reimburse expenses or pay 
contractors under subsection (a)--
            (1) shall be credited to the appropriations from which the 
        erroneous payments were made that remain available for 
        obligation as of the time such amounts were collected, shall be 
        merged with other amounts in those appropriations, and shall be 
        available for the purposes and period for which such 
        appropriations are available; or
            (2) if no such appropriation remains available for 
        obligation at that time, shall be disposed of as provided in 
        subsection (c).
    (c) Other Dispositions.--Of the total amount collected under such a 
program of an executive agency that is to be disposed of under this 
subsection--
            (1) up to 25 percent of such amount may be expended by the 
        head of the executive agency for carrying out any management 
        improvement program of the executive agency under section 815; 
        and
            (2) the remainder of that total amount, including any 
        amount not expended under paragraph (1), shall be deposited in 
        the Treasury as miscellaneous receipts.
    (d) Priority of Other Authorized Dispositions.--Notwithstanding 
subsections (b) and (c), the authority under such subsections may not 
be exercised to use, credit, or deposit funds collected under such a 
program as provided in those subsections to the extent that any other 
provision of law requires or authorizes the crediting of such funds to 
a nonappropriated fund instrumentality, revolving fund, working-capital 
fund, trust fund, or other fund or account.

SEC. 814. SOURCES OF RECOVERY SERVICES.

    (a) Consideration of Available Recovery Resources.--(1) In carrying 
out a program under section 812, the head of an executive agency shall 
consider all resources available to that official to carry out the 
program.
    (2) The resources considered by the head of an executive agency for 
carrying out the program shall include the resources available to the 
executive agency for such purpose from the following sources:
            (A) The executive agency.
            (B) Other departments and agencies of the United States.
            (C) Private sector sources.
    (b) Compliance With Applicable Law and Regulations.--Before 
entering into a contract with a private sector source for the 
performance of services under a program of the executive agency carried 
out under section 812, the head of an executive agency shall comply 
with--
            (1) any otherwise applicable provisions of Office of 
        Management and Budget Circular A-76; and
            (2) any other applicable provision of law or regulation 
        with respect to the selection between employees of the United 
        States and private sector sources for the performance of 
        services.

SEC. 815. MANAGEMENT IMPROVEMENT PROGRAMS.

    In accordance with guidance provided by the Director of the Office 
of Management and Budget under section 812, the head of an executive 
agency required to carry out a program under section 812 may carry out 
a program for improving management processes within the executive 
agency--
            (1) to address problems that contribute directly to the 
        occurrence of errors in the paying of contractors of the 
        executive agency; or
            (2) to improve the recovery of overpayments due to the 
        agency.

SEC. 816. REPORTS.

    (a) Requirement for Reports.--Not later than 30 months after the 
date of the enactment of this Act, and annually for each of the first 
two years following the year of the first report, the Director of the 
Office of Management and Budget shall submit to the Committee on 
Government Reform of the House of Representatives and the Committee on 
Governmental Affairs of the Senate, a report on the implementation of 
this subtitle.
    (b) Content.--Each report shall include--
            (1) a general description and evaluation of the steps taken 
        by the heads of executive agencies to carry out the programs 
        under this subtitle, including any management improvement 
        programs carried out under section 815;
            (2) the costs incurred by executive agencies to carry out 
        the programs under this subtitle; and
            (3) the amounts recovered under the programs under this 
        subtitle.

SEC. 817. RELATIONSHIP TO AUTHORITY OF INSPECTORS GENERAL.

    Nothing in this subtitle shall be construed as impairing the 
authority of an Inspector General under the Inspector General Act of 
1978 or any other provision of law.

SEC. 818. PRIVACY PROTECTIONS.

    (a) Prohibition.--Any nongovernmental entity that, in the course of 
recovery auditing or recovery activity under this subtitle, obtains 
information that identifies an individual or with respect to which 
there is a reasonable basis to believe that the information can be used 
to identify an individual, may not disclose the information for any 
purpose other than such recovery auditing or recovery activity and 
governmental oversight of such activity, unless disclosure for that 
other purpose is authorized by the individual to the executive agency 
that contracted for the performance of the recovery auditing or 
recovery activity.
    (b) Liability.--Any person that violates subsection (a) shall be 
liable for any damages (including nonpecuniary damages), costs, and 
attorneys fees incurred by the individual as a result of the violation.

SEC. 819. DEFINITION.

    In this subtitle, the term ``executive agency'' has the meaning 
given that term in section 4(1) of the Office of Federal Procurement 
Policy Act (41 U.S.C. 403(1)).

      TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT

SEC. 901. FURTHER REDUCTIONS IN DEFENSE ACQUISITION AND SUPPORT 
              WORKFORCE

    (a) Reduction of Defense Acquisition and Support Workforce.--The 
Secretary of Defense shall accomplish reductions in defense acquisition 
and support personnel positions during fiscal year 2002 so that the 
total number of such personnel as of October 1, 2002, is less than the 
total number of such personnel as of October 1, 2001, by at least 
13,000.
    (b) Defense Acquisition Workforce Defined.--For purposes of this 
section, the term ``defense acquisition and support personnel'' has the 
meaning given that term in section 931(d) of the Strom Thurmond 
National Defense Authorization Act for Fiscal Year 1999 (Public Law 
105-261; 112 Stat. 2106).

SEC. 902. SENSE OF CONGRESS ON ESTABLISHMENT OF AN OFFICE OF 
              TRANSFORMATION IN THE DEPARTMENT OF DEFENSE.

    (a) Findings.--Congress finds the following:
            (1) The Armed Forces should give careful consideration to 
        implementating transformation to meet operational challenges 
        and exploit opportunities resulting from changes in the threat 
        environment and the emergence of new technologies.
            (2) A 1999 Defense Science Board report on transformation 
        concluded that there was no overall Department of Defense 
        vision for transformation, no road map, no metrics to measure 
        progress, and little sense of urgency.
            (3) Historic case studies have shown that within the 
        military, as well as commercial enterprises, successful 
        transformation must be directed from the highest levels of an 
        organization.
    (b) Sense of Congress on Establishment of Office of 
Transformation.--It is the sense of Congress that the Secretary of 
Defense should consider the establishment of an Office of 
Transformation within the Office of the Secretary of Defense to advise 
the Secretary on--
            (1) development of force transformation strategies to 
        ensure that the military of the future is prepared to dissuade 
        potential military competitors and, if that fails, to fight and 
        win decisively across the spectrum of future conflict;
            (2) ensuring a continuous and broadly focused 
        transformation process;
            (3) service and joint acquisition and experimentation 
        efforts, funding for experimentation efforts, promising 
        operational concepts and technologies, and other transformation 
        activities, as appropriate; and
            (4) development of service and joint operational concepts, 
        transformation implementation strategies, and risk management 
        strategies.
    (c) Sense of Congress on Funding.--It is the sense of Congress that 
the Secretary of Defense should consider providing funding adequate for 
sponsoring selective prototyping efforts, wargames, and studies and 
analyses and for appropriate staffing, as recommended by the director 
of an Office of Transformation as described in subsection (b).

SEC. 903. REVISED JOINT REPORT ON ESTABLISHMENT OF NATIONAL 
              COLLABORATIVE INFORMATION ANALYSIS CAPABILITY.

    (a) Revised Report.--At the same time as the submission of the 
budget for fiscal year 2003 under section 1105 of title 31, United 
States Code, the Secretary of Defense and the Director of Central 
Intelligence shall submit to the congressional defense committees and 
the congressional intelligence committees a revised report assessing 
alternatives for the establishment of a national collaborative 
information analysis capability.
    (b) Matters Included.--The revised report shall cover the same 
matters required to be included in the DOD/CIA report, except that the 
alternative architectures assessed in the revised report shall be 
limited to architectures that include the participation of all Federal 
agencies involved in the collection of intelligence. The revised report 
shall also include a draft of legislation sufficient to carry out the 
preferred architecture identified in the revised report.
    (c) Officials To Be Consulted.--The revised report shall be 
prepared after consultation with all appropriate Federal officials, 
including the following:
            (1) The Secretary of the Treasury.
            (2) The Secretary of Commerce.
            (3) The Secretary of State.
            (4) The Attorney General.
            (5) The Director of the Federal Bureau of Investigation.
            (6) The Administrator of the Drug Enforcement 
        Administration.
            (7) The Director of the Defense Threat Reduction Agency.
            (8) The Director of the Defense Information Systems Agency.
    (d) DOD/CIA Report Defined.--In this section, the term ``DOD/CIA 
report'' means the joint report required by section 933 of the Floyd D. 
Spence National Defense Authorization Act for Fiscal Year 2001 (as 
enacted into law by Public Law 106-398; 114 Stat. 1654A-237).

SEC. 904. ELIMINATION OF TRIENNIAL REPORT BY CHAIRMAN OF THE JOINT 
              CHIEFS OF STAFF ON ROLES AND MISSIONS OF THE ARMED 
              FORCES.

    (a) Repeal of Requirement for Separate Report by Chairman of the 
Joint Chiefs of Staff.--Section 153 of title 10, United States Code, is 
amended by striking subsection (b).
    (b) Roles and Missions Considered as Part of Defense Quadrennial 
Review.--Subsection 118(e) of such title is amended--
            (1) by inserting ``(1)'' before ``Upon the completion'';
            (2) by designating the second and third sentences as 
        paragraph (3); and
            (3) by inserting after paragraph (1), as designated by 
        paragraph (1) of this subsection, the following new paragraph:
    ``(2) As part of his assessment under paragraph (1), the Chairman 
shall provide his assessment of the assignment of functions (or roles 
and missions) to the armed forces and such recommendations for changes 
thereto as the Chairman considers necessary to achieve maximum 
efficiency of the armed forces. In preparing such assessment, the 
Chairman shall consider (among other matters) the following:
            ``(A) Unnecessary duplication of effort among the armed 
        forces.
            ``(B) Changes in technology that can be applied effectively 
        to warfare.''.

SEC. 905. REPEAL OF REQUIREMENT FOR SEMIANNUAL REPORTS THROUGH MARCH 
              2003 ON ACTIVITIES OF JOINT REQUIREMENTS OVERSIGHT 
              COUNCIL.

    Section 916 of the Floyd D. Spence National Defense Authorization 
Act for Fiscal Year 2001 (as enacted into law by Public Law 106-398; 
114 Stat. 1654A-231) is repealed.

SEC. 906. CORRECTION OF REFERENCES TO AIR MOBILITY COMMAND.

    (a) References in Title 10, United States Code.--Sections 2554(d) 
and 2555(a) of title 10, United States Code, are each amended by 
striking ``Military Airlift Command'' and inserting ``Air Mobility 
Command''.
    (b) Repeal of Obsolete Provision.--Section 8074 of such title is 
amended by striking subsection (c).
    (c) References in Title 37, United States Code.--Sections 430(c) 
and 432(b) of title 37, United States Code, are each amended by 
striking ``Military Airlift Command'' and inserting ``Air Mobility 
Command''.

SEC. 907. ORGANIZATIONAL ALIGNMENT CHANGE FOR DIRECTOR FOR 
              EXPEDITIONARY WARFARE.

    Section 5038(a) of title 10, United States Code, is amended by 
striking ``Office of the Deputy Chief of Naval Operations for 
Resources, Warfare Requirements, and Assessments'' and inserting 
``office of the Deputy Chief of Naval Operations with responsibility 
for warfare requirements and programs''.

                      TITLE X--GENERAL PROVISIONS

                     Subtitle A--Financial Matters

SEC. 1001. TRANSFER AUTHORITY.

    (a) Authority To Transfer Authorizations.--(1) Upon determination 
by the Secretary of Defense that such action is necessary in the 
national interest, the Secretary may transfer amounts of authorizations 
made available to the Department of Defense in this division for fiscal 
year 2002 between any such authorizations for that fiscal year (or any 
subdivisions thereof). Amounts of authorizations so transferred shall 
be merged with and be available for the same purposes as the 
authorization to which transferred.
    (2) The total amount of authorizations that the Secretary may 
transfer under the authority of this section may not exceed 
$2,000,000,000.
    (b) Limitations.--The authority provided by this section to 
transfer authorizations--
            (1) may only be used to provide authority for items that 
        have a higher priority than the items from which authority is 
        transferred; and
            (2) may not be used to provide authority for an item that 
        has been denied authorization by Congress.
    (c) Effect on Authorization Amounts.--A transfer made from one 
account to another under the authority of this section shall be deemed 
to increase the amount authorized for the account to which the amount 
is transferred by an amount equal to the amount transferred.
    (d) Notice to Congress.--The Secretary shall promptly notify 
Congress of each transfer made under subsection (a).

SEC. 1002. INCORPORATION OF CLASSIFIED ANNEX.

    (a) Status of Classified Annex.--The Classified Annex prepared by 
the Committee on Armed Services of the House of Representatives to 
accompany its report on the bill H.R. 2586 of the One Hundred Seventh 
Congress and transmitted to the President is hereby incorporated into 
this Act.
    (b) Construction With Other Provisions of Act.--The amounts 
specified in the Classified Annex are not in addition to amounts 
authorized to be appropriated by other provisions of this Act.
    (c) Limitation on Use of Funds.--Funds appropriated pursuant to an 
authorization contained in this Act that are made available for a 
program, project, or activity referred to in the Classified Annex may 
only be expended for such program, project, or activity in accordance 
with such terms, conditions, limitations, restrictions, and 
requirements as are set out for that program, project, or activity in 
the Classified Annex.
    (d) Distribution of Classified Annex.--The President shall provide 
for appropriate distribution of the Classified Annex, or of appropriate 
portions of the annex, within the executive branch of the Government.

SEC. 1003. LIMITATION ON FUNDS FOR BOSNIA AND KOSOVO PEACEKEEPING 
              OPERATIONS FOR FISCAL YEAR 2002.

    (a) Limitation.--Of the amounts authorized to be appropriated by 
section 301(24) for the Overseas Contingency Operations Transfer Fund--
            (1) no more than $1,315,600,000 may be obligated for 
        incremental costs of the Armed Forces for Bosnia peacekeeping 
        operations; and
            (2) no more than $1,528,600,000 may be obligated for 
        incremental costs of the Armed Forces for Kosovo peacekeeping 
        operations.
    (b) Presidential Waiver.--The President may waive the limitation in 
subsection (a)(1), or the limitation in subsection (a)(2), after 
submitting to Congress the following:
            (1) The President's written certification that the waiver 
        is necessary in the national security interests of the United 
        States.
            (2) The President's written certification that exercising 
        the waiver will not adversely affect the readiness of United 
        States military forces.
            (3) A report setting forth the following:
                    (A) The reasons that the waiver is necessary in the 
                national security interests of the United States.
                    (B) The specific reasons that additional funding is 
                required for the continued presence of United States 
                military forces participating in, or supporting, Bosnia 
                peacekeeping operations, or Kosovo peacekeeping 
                operations, as the case may be, for fiscal year 2002.
                    (C) A discussion of the impact on the military 
                readiness of United States Armed Forces of the 
                continuing deployment of United States military forces 
                participating in, or supporting, Bosnia peacekeeping 
                operations, or Kosovo peacekeeping operations, as the 
                case may be.
            (4) A supplemental appropriations request for the 
        Department of Defense for such amounts as are necessary for the 
        additional fiscal year 2002 costs associated with United States 
        military forces participating in, or supporting, Bosnia or 
        Kosovo peacekeeping operations.
    (c) Peacekeeping Operations Defined.--For the purposes of this 
section:
            (1) The term ``Bosnia peacekeeping operations'' has the 
        meaning given such term in section 1004(e) of the Strom 
        Thurmond National Defense Authorization Act for Fiscal Year 
        1999 (Public Law 105-261; 112 Stat. 2112).
            (2) The term ``Kosovo peacekeeping operations''--
                    (A) means the operation designated as Operation 
                Joint Guardian and any other operation involving the 
                participation of any of the Armed Forces in 
                peacekeeping or peace enforcement activities in and 
                around Kosovo; and
                    (B) includes, with respect to Operation Joint 
                Guardian or any such other operation, each activity 
                that is directly related to the support of the 
                operation.

SEC. 1004. INCREASE IN LIMITATIONS ON ADMINISTRATIVE AUTHORITY OF THE 
              NAVY TO SETTLE ADMIRALTY CLAIMS.

    (a) Admiralty Claims Against the United States.--Section 7622 of 
title 10, United States Code, is amended--
            (1) in subsections (a) and (b), by striking ``$1,000,000'' 
        and inserting ``$15,000,000''; and
            (2) in subsection (c), by striking ``$100,000'' and 
        inserting ``$1,000,000''.
    (b) Admiralty Claims by the United States.--Section 7623 of such 
title is amended--
            (1) in subsection (a)(2), by striking ``$1,000,000'' and 
        inserting ``$15,000,000''; and
            (2) in subsection (c), by striking ``$100,000'' and 
        inserting ``$1,000,000''.
    (c) Effective Date.--The amendments made by this section shall 
apply with respect to any claim accruing on or after February 1, 2001.

                       Subtitle B--Naval Vessels

SEC. 1011. REVISION IN TYPES OF EXCESS NAVAL VESSELS FOR WHICH APPROVAL 
              BY LAW IS REQUIRED FOR DISPOSAL TO FOREIGN NATIONS.

    (a) Revision in Vessel Threshold.--Section 7307 of title 10, United 
States Code, is amended--
            (1) in subsection (a), by striking ``A naval vessel'' and 
        inserting ``Except as provided in subsection (b), a combatant 
        naval vessel'';
            (2) by redesignating subsection (b) as subsection (c);
            (3) by inserting after subsection (a) the following new 
        subsection (b):
    ``(b) Treatment of Vessels Held by Foreign Nations by Loan or 
Lease.--Subsection (a) shall not apply to the disposal to another 
nation of a vessel described in that subsection that, at the time of 
the disposal, is held by the nation to which the disposal is to be made 
pursuant to a loan or lease arrangement made under section 61 of the 
Arms Export Control Act (22 U.S.C. 2796) or any other provision of 
law.''; and
            (4) by adding after subsection (c), as redesignated by 
        paragraph (2), the following new subsection:
    ``(d) Inapplicability of Vessel Disposals to Aggregate Annual Value 
Limitations.--The value of a vessel transferred to another country 
under an applicable provision of law as described in subsection (c) 
shall not be counted for the purposes of any aggregate limit on the 
value of articles transferred to other countries under that provision 
of law during any year (or other applicable period of time).''.
    (b) Technical Amendments.--Subsection (a) of such section is 
further amended--
            (1) by striking ``Larger or Newer'' in the subsection 
        heading and inserting ``Certain Combatant; and
            (2) by striking ``approved by law enacted after August 5, 
        1974'' and inserting ``specifically approved by law''.

                  Subtitle C--Counter-Drug Activities

SEC. 1021. EXTENSION OF REPORTING REQUIREMENT REGARDING DEPARTMENT OF 
              DEFENSE EXPENDITURES TO SUPPORT FOREIGN COUNTER-DRUG 
              ACTIVITIES.

    Section 1022 of the Floyd D. Spence National Defense Authorization 
Act for Fiscal Year 2001 (as enacted by Public Law 106-398; 114 Stat. 
1654A-255) is amended--
            (1) by inserting ``and April 15, 2002,'' after ``January 1, 
        2001,''; and
            (2) by striking ``fiscal year 2000'' and inserting ``the 
        preceding fiscal year''.

SEC. 1022. AUTHORITY TO TRANSFER TRACKER AIRCRAFT CURRENTLY USED BY 
              ARMED FORCES FOR COUNTER-DRUG PURPOSES.

    (a) Transfer Authority.--The Secretary of Defense may transfer to 
the administrative jurisdiction and operational control of another 
Federal agency all Tracker aircraft in the inventory of the Department 
of Defense.
    (b) Effect of Failure To Transfer.--If the transfer authority 
provided by subsection (a) is not exercised by the Secretary of Defense 
by September 30, 2002, any Tracker aircraft remaining in the inventory 
of the Department of Defense may not be used by the Armed Forces for 
counter-drug purposes after that date.

SEC. 1023. AUTHORITY TO TRANSFER TETHERED AEROSTAT RADAR SYSTEM 
              CURRENTLY USED BY ARMED FORCES FOR COUNTER-DRUG PURPOSES.

    (a) Transfer Authority.--The Secretary of Defense may transfer to 
the administrative jurisdiction and operational control of another 
Federal agency the Tethered Aerostat Radar System currently used by the 
Armed Forces in maritime, air, and land counter-drug detection and 
monitoring.
    (b) Effect of Failure To Transfer.--If the transfer authority 
provided by subsection (a) is not exercised by the Secretary of Defense 
by September 30, 2002, the Tethered Aerostat Radar System may not be 
used by the Armed Forces for counter-drug purposes after that date.

                          Subtitle D--Reports

SEC. 1031. REQUIREMENT THAT DEPARTMENT OF DEFENSE REPORTS TO CONGRESS 
              BE ACCOMPANIED BY ELECTRONIC VERSION.

    (a) In General.--Chapter 23 of title 10, United States Code, is 
amended by inserting after the table of sections the following new 
section:
``Sec. 480. Department of Defense reports: submission in electronic 
              form
    ``(a) Requirement.--Whenever the Secretary of Defense or any other 
official of the Department of Defense is required by law to submit a 
report to Congress (or any committee of either House of Congress), the 
Secretary or other official shall provide to Congress (or each such 
committee) a copy of the report in an electronic medium.
    ``(b) Exception.--Subsection (a) does not apply to a report 
submitted in classified form.
    ``(c) Definition.--In this section, the term `report' includes any 
certification, notification, or other communication in writing.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by inserting before the item relating to 
section 481 the following new item:

``480. Department of Defense reports: submission in electronic form.''.

SEC. 1032. REPORT ON DEPARTMENT OF DEFENSE ROLE IN HOMELAND SECURITY 
              MATTERS.

    The Secretary of Defense shall conduct a study on the appropriate 
role for the Department of Defense in homeland security matters. The 
Secretary shall submit to the Congress a report on the results of that 
study at the same time that the budget of the President for fiscal year 
2003 is submitted to Congress.

SEC. 1033. REVISION OF ANNUAL REPORT TO CONGRESS ON NATIONAL GUARD AND 
              RESERVE COMPONENT EQUIPMENT.

    The text of section 10541 of title 10, United States Code, is 
amended to read as follows:
    ``(a) Requirement.--The Secretary of Defense shall submit to 
Congress each year, not later than March 1, a written report concerning 
the equipment of the National Guard and the reserve components of the 
armed forces. Each such report shall cover the current fiscal year and 
the three succeeding years.
    ``(b) Matters To Be Included in Report.--Each report under this 
section shall include the following (shown in the aggregate and 
separately for each reserve component):
            ``(1) A list of major items of equipment required and on-
        hand in the inventories of the reserve components.
            ``(2) A list of major items of equipment that are expected 
        to be procured from commercial sources or transferred from the 
        active component to the reserve components.
            ``(3) A statement of major items of equipment in the 
        inventories of the reserve components that are substitutes for 
        a required major item of equipment.
            ``(4) A narrative explanation of the plan of the Secretary 
        concerned to equip each reserve component, including an 
        explanation of the plan to equip units of the reserve 
        components that are short major items of equipment at the 
        outset of war or a contingency operation.
            ``(5) A narrative discussing the current status of the 
        compatibility and interoperability of equipment between the 
        reserve components and the active forces and the effect of that 
        level of compatibility or interoperability on combat 
        effectiveness, together with a plan to achieve full equipment 
        compatibility and interoperability.
            ``(6) A narrative discussing modernization shortfalls and 
        maintenance backlogs within the reserve components and the 
        effect of those shortfalls on combat effectiveness.
            ``(7) A narrative discussing the overall age and condition 
        of equipment currently in the inventory of the reserve 
        components.
    ``(c) Major Items of Equipment.--In this section, the term `major 
items of equipment' includes ships, aircraft, combat vehicles, and key 
combat support equipment.
    ``(d) Format and Level of Detail.--Each report under this section 
shall be expressed in the same format and with the same level of detail 
as the information presented in the Future-Years Defense Program 
Procurement Annex prepared by the Department of Defense.''.

                       Subtitle E--Other Matters

SEC. 1041. DEPARTMENT OF DEFENSE GIFT AUTHORITIES.

    (a) Additional Items Authorized To Be Donated by Secretary of the 
Navy.--Section 7545 of title 10, United States Code, is amended--
            (1) in subsection (a)--
                    (A) by striking ``Subject to'' and all that follows 
                through ``by him,'' and inserting ``Authority To Make 
                Loans and Gifts.--The Secretary of the Navy'';
                    (B) by striking ``captured, condemned,'' and all 
                that follows through ``to--'' and inserting ``items 
                described in subsection (b) that are not needed by the 
                Department of the Navy to any of the following:''
                    (C) by capitalizing the first letter after the 
                paragraph designation in each of paragraphs (1) through 
                (12);
                    (D) by striking the semicolon at the end of 
                paragraphs (1) through (10) and inserting a period;
                    (E) by striking ``; or'' at the end of paragraph 
                (11) and inserting a period;
                    (F) in paragraph (5), by striking ``World War I or 
                World War II'' and inserting ``a foreign war'';
                    (G) in paragraph (6), by striking ``soldiers' 
                monument'' and inserting ``servicemen's monument''; and
                    (H) in paragraph (8), by inserting ``or memorial'' 
                after ``a museum'';
            (2) by redesignating subsections (b) and (c) as subsections 
        (d) and (e), respectively;
            (3) by inserting after subsection (a) the following new 
        subsections:
    ``(b) Items Eligible for Disposal.--This section applies to the 
following types of property held by the Department of the Navy:
            ``(1) Captured, condemned, or obsolete ordnance material.
            ``(2) Captured, condemned, or obsolete combat or shipboard 
        material.
    ``(c) Regulations.--A loan or gift made under this section shall be 
subject to regulations prescribed by the Secretary of the Navy and to 
regulations under section 205 of the Federal Property and 
Administrative Services Act of 1949 (40 U.S.C. 486).'';
            (4) in subsection (d) (as redesignated by paragraph (2)), 
        by inserting ``Maintenance of the Records of the Government.--
        '' after the subsection designation;
            (5) in subsection (e) (as redesignated by paragraph (2)), 
        by inserting ``Alternative Authorities To Make Gifts or 
        Loans.--'' after the subsection designation; and
            (6) by adding at the end the following new subsection:
    ``(f) Authority To Transfer a Portion of a Vessel.--The Secretary 
may lend, give, or otherwise transfer any portion of the hull or 
superstructure of a vessel stricken from the Naval Vessel Register and 
designated for scrapping to a qualified organization specified in 
subsection (a). The terms and conditions of an agreement for the 
transfer of a portion of a vessel under this section shall include a 
requirement that the transferee will maintain the material conveyed in 
a condition that will not diminish the historical value of the material 
or bring discredit upon the Navy.''.
    (b) Conforming Amendments.--Section 2572(a) of such title is 
amended--
            (1) in paragraph (2), by striking ``soldiers' monument'' 
        and inserting ``servicemen's monument''; and
            (2) in paragraph (4), by inserting ``or memorial'' after 
        ``An incorporated museum''.

SEC. 1042. TERMINATION OF REFERENDUM REQUIREMENT REGARDING CONTINUATION 
              OF MILITARY TRAINING ON ISLAND OF VIEQUES, PUERTO RICO, 
              AND IMPOSITION OF ADDITIONAL CONDITIONS ON CLOSURE OF 
              LIVE-FIRE TRAINING RANGE.

    (a) In General.--Title XV of the Floyd D. Spence National Defense 
Authorization Act for Fiscal Year 2001 (as enacted by Public Law 106-
398; 114 Stat. 1654A-348) is amended by striking sections 1503, 1504, 
and 1505 and inserting the following new sections:

``SEC. 1503. CONDITIONS ON CLOSURE OF VIEQUES NAVAL TRAINING RANGE.

    ``(a) Required Certification.--The Secretary of the Navy may close 
the Vieques Naval Training Range on the island of Vieques, Puerto Rico, 
and discontinue live-fire training at that range only if--
            ``(1) the Chief of Naval Operations and the Commandant of 
        the Marine Corps jointly certify that there is an alternative 
        training facility that provides an equivalent or superior level 
        of training for units of the Navy and the Marine Corps 
        stationed or deployed in the eastern United States; and
            ``(2) the new facility is available and fully capable of 
        supporting such training immediately upon cessation of live-
        fire training on Vieques.
    ``(b) Equivalent or Superior Level of Training Defined.--In this 
section, the term `equal or superior level of training' refers to an 
ability by the Armed Forces to conduct at a single location coordinated 
live-fire training, including simultaneous large-scale tactical air 
strikes, naval surface fire support and artillery, and amphibious 
landing operations, as was conducted at Vieques Naval Training Range 
before April 19, 1999.

``SEC. 1504. NAVY RETENTION OF CLOSED VIEQUES NAVAL TRAINING RANGE.

    ``(a) Retention.--If the conditions specified in section 1503(a) 
are satisfied and the Secretary of the Navy terminates all Navy and 
Marine Corps training operations on the island of Vieques, the 
Secretary of the Navy shall retain administrative jurisdiction over the 
Live Impact Area and all other Department of Defense real properties on 
the eastern side of the island for possible reactivation for training 
use, including live-fire training, in the event a national emergency.
    ``(b) Administration.--The Secretary of the Navy may enter into a 
cooperative agreement with the Secretary of the Interior to provide for 
management of the property described in subsection (a), pending 
reactivation for training use, by appropriate agencies of the 
Department of the Interior as follows:
            ``(1) Management of the Live Impact Area as a wilderness 
        area under the Wilderness Act (16 U.S.C. 1131 et seq.), 
        including a prohibition on public access to the area.
            ``(2) Management of the remaining property as wildlife 
        refuges under the National Wildlife Refuge System 
        Administration Act of 1966 (16 U.S.C. 668dd et seq.).
    ``(c) Live Impact Area Defined.--In this section, the term `Live 
Impact Area' means the parcel of real property, consisting of 
approximately 900 acres (more or less), on the island of Vieques that 
is designated by the Secretary of the Navy for targeting by live 
ordnance in the training of forces of the Navy and Marine Corps.''.
    (b) Conforming Amendment.--Section 1507(c) of such Act is amended 
by striking ``the issuance of a proclamation described in section 
1504(a) or''.

SEC. 1043. REPEAL OF LIMITATION ON REDUCTIONS IN PEACEKEEPER ICBM 
              MISSILES.

    Subsection (a)(1) of section 1302 of the National Defense 
Authorization Act for Fiscal Year 1998 (Public Law 105-85) is amended 
by striking subparagraph (D).

SEC. 1044. SENSE OF THE CONGRESS ON THE IMPORTANCE OF THE KWAJALEIN 
              MISSILE RANGE/RONALD REAGAN DEFENSE INITIATIVE TEST SITE 
              AT KWAJALEIN ATOLL.

    (a) Importance of Missile Range.--Congress recognizes the 
importance of the Kwajalein Missile Range to the Department of Defense, 
particularly in that--
            (1) Kwajalein acts as a buffer between Hawaii and Asia and 
        provides an important role in monitoring potential adversaries 
        in the Pacific Theatre; and
            (2) the range is the only location at which tests for 
        United States exoatmospheric ballistic missile defense 
        intercepts occurs.
    (b) Findings.--Congress finds that the Department of Defense 
conducted a study regarding the importance of Kwajalein Missile Range 
and made the following findings:
            (1) The United States has an overriding defense interest in 
        continuing the use of the Kwajalein Missile Range and 
        facilities on Kwajalein Atoll.
            (2) The requirements of United States missile defense and 
        space surveillance programs, combined with the uniqueness of 
        Kwajalein's location, and infrastructure investment, make 
        renewal of the Compact in the best interest of the Department 
        of Defense.
    (c) Sense of Congress.--It is the sense of Congress that the United 
States--
            (1) should work to continue the long-term relationship of 
        the Department of Defense with the Kwajalein Missile Range/
        Ronald Reagan Defense Initiative Test Site at Kwajalein Atoll; 
        and
            (2) should continue to recognize the vital importance of 
        that test site to the national security of the United States 
        and peacekeeping efforts in Asia.

SEC. 1045. TRANSFER OF VIETNAM ERA F-4 AIRCRAFT TO NONPROFIT MUSEUM.

    (a) Authority To Convey.--The Secretary of the Air Force may 
convey, without consideration, to the nonprofit National Aviation 
Museum and Foundation of Oklahoma (in this section referred to as the 
``museum''), all right, title, and interest of the United States in and 
to one surplus F-4 aircraft that is flyable or that can be readily 
restored to flyable condition. The conveyance shall be made by means of 
a conditional deed of gift.
    (b) Condition of Aircraft.--(1) The Secretary may not convey 
ownership of an aircraft under subsection (a) until the Secretary 
determines that the museum has altered the aircraft in such manner as 
the Secretary determines necessary to ensure that the aircraft does not 
have any capability for use as a platform for launching or releasing 
munitions or any other combat capability that it was designed to have.
    (2) The Secretary is not required to repair or alter the condition 
of the aircraft before conveying ownership of the aircraft.
    (c) Reverter Upon Breach of Conditions.--The Secretary shall 
include in the instrument of conveyance of the aircraft--
            (1) a condition that the museum not convey any ownership 
        interest in, or transfer possession of, the aircraft to any 
        other party without the prior approval of the Secretary;
            (2) a condition that the museum operate and maintain the 
        aircraft in compliance with all applicable limitations and 
        maintenance requirements imposed by the Administrator of the 
        Federal Aviation Administration; and
            (3) a condition that if the Secretary determines at any 
        time that the museum has conveyed an ownership interest in, or 
        transferred possession of, the aircraft to any other party 
        without the prior approval of the Secretary, or has failed to 
        comply with the condition set forth in paragraph (2), all 
        right, title, and interest in and to the aircraft, including 
        any repair or alteration of the aircraft, shall revert to the 
        United States, and the United States shall have the right of 
        immediate possession of the aircraft.
    (d) Conveyance at No Cost to the United States.--The conveyance of 
the aircraft under subsection (a) shall be made at no cost to the 
United States. Any costs associated with the conveyance, costs of 
determining compliance with subsection (b), and costs of operation and 
maintenance of the aircraft conveyed shall be borne by the museum.
    (e) Additional Terms and Conditions.--The Secretary may require 
such additional terms and conditions in connection with a conveyance 
under this section as the Secretary considers appropriate to protect 
the interests of the United States.

SEC. 1046. BOMBER FORCE STRUCTURE.

    (a) Limitation.--None of the funds available to the Department of 
Defense for fiscal year 2002 may be obligated or expended for retiring 
or dismantling any of the 93 B-1B Lancer bombers in service as of June 
1, 2001, or for transferring or reassigning any of those aircraft from 
the unit or the facility to which assigned as of that date, until each 
of the following has occurred:
            (1) The President transmits to Congress a national security 
        strategy report under section 108 of the National Security Act 
        of 1947 (50 U.S.C. 4040) as required by subsection (a)(3) of 
        that section.
            (2) The Secretary of Defense submits to the Committee on 
        Armed Services of the Senate and the Committee on Armed 
        Services of the House of Representatives the Quadrennial 
        Defense Review (QDR) under section 118 of title 10, United 
        States Code, that under that section is required to be 
        submitted not later than September 30, 2001.
            (3) The Secretary of Defense submits to the Committee on 
        Armed Services of the Senate and the Committee on Armed 
        Services of the House of Representatives a report that 
        provides--
                    (A) the changes in national security considerations 
                from those applicable to the air force bomber studies 
                conducted during 1992 and 1995 that warrant changes in 
                the current configuration of the bomber fleet; and
                    (B) the plans of the Department of Defense for 
                assigning new missions to the National Guard units that 
                currently fly B-1 aircraft and for the transition of 
                those units and their facilities from the current B-1 
                mission to their future missions.
            (4) The Secretary of Defense submits to Congress the annual 
        report of the Secretary for 2001 required by section 113(c) of 
        title 10, United States Code.
            (5) The Secretary of Defense submits to Congress a report 
        on the results of the Revised Nuclear Posture Review conducted 
        under section 1042 of the Floyd D. Spence National Defense 
        Authorization Act for Fiscal Year 2001 (as enacted into law by 
        Public Law 106-398; 114 Stat. 1654A-262), as required by 
        subsection (c) of that section.
            (6) The Secretary of Defense conducts, and submits to the 
        Committee on Armed Services of the Senate and Committee on 
        Armed Services of the House of Representatives a report on the 
        results of, a comprehensive study to determine--
                    (A) the role of manned bomber aircraft appropriate 
                to meet the requirements derived from the National 
                Security Strategy report referred to in paragraph (1);
                    (B) the amount and type of bomber force structure 
                in the United States Air Force appropriate to meet the 
                requirements derived from the National Security 
                Strategy report referred to in paragraph (1); and
                    (C) the most cost effective allocation of bomber 
                force structure, factoring in use of the reserve 
                components of the Air Force consistent with the 
                requirements of the National Security Strategy report 
                referred to in paragraph (1).
    (b) GAO Study and Report.--The Comptroller General of the United 
States shall conduct a study on the same matters as specified in 
subparagraphs (A), (B), and (C) of subsection (a)(6). The Comptroller 
General shall submit to Congress a report containing the results of 
that study not later than 180 days after the date of the submission of 
the report referred to in subsection (a)(6)
    (c) Definitions.--For purposes of this section:
            (1) Amount and type of bomber force structure.--The term 
        ``amount and type of bomber force structure'' means the 
        required numbers of B-2 aircraft, B-52 aircraft, and B-1 
        aircraft consistent with the requirements of the National 
        Security Strategy referred to in subsection (a)(1).
            (2) Cost effective allocation of bomber force structure.--
        The term ``cost effective allocation of bomber force 
        structure'' means the lowest cost for stationing, maintaining, 
        and operating the bomber fleet fully consistent with the 
        requirements of the National Security Strategy referred to in 
        subsection (a)(1).

SEC. 1047. TECHNICAL AND CLERICAL AMENDMENTS.

    (a) Title 10, United States Code.--Title 10, United States Code, is 
amended as follows:
            (1) The tables of chapters at the beginning of subtitle A, 
        and at the beginning of part II of subtitle A, are each amended 
        by striking the period after ``1111'' in the item relating to 
        chapter 56.
            (2) Section 119(g)(2) is amended by striking ``National 
        Security Subcommittee'' and inserting ``Subcommittee on 
        Defense''.
            (3) Section 130c(b)(3)(C) is amended by striking 
        ``subsection (f)'' and inserting ``subsection (g)''.
            (4) Section 176(a)(3) is amended by striking ``Chief 
        Medical Director'' and inserting ``Under Secretary for 
        Health''.
            (5)(A) Section 503(c) is amended in paragraph (6)(A)(i) by 
        striking ``14101(18)'' and ``8801(18)'' and inserting ``14101'' 
        and ``8801'', respectively.
            (B) The amendment made by subparagraph (A) shall take 
        effect on July 1, 2002, immediately after the amendment to such 
        section effective that date by section 563(a) of the Floyd D. 
        Spence National Defense Authorization Act for Fiscal Year 2001 
        (as enacted by Public Law 106-398; 114 Stat. 131).
            (6) Section 663(e) is amended--
                    (A) by striking ``Armed Forces Staff College'' in 
                paragraph (1) and inserting ``Joint Forces Staff 
                College''; and
                    (B) by striking ``Armed Forces Staff College'' and 
                inserting ``Joint Forces Staff College''.
            (7) Section 667(17) is amended by striking ``Armed Forces 
        Staff College'' both places it appears and inserting ``Joint 
        Forces Staff College''.
            (8) Section 874(a) is amended by inserting after ``a 
        sentence of confinement for life without eligibility for 
        parole'' the following: ``that is adjudged for an offense 
        committed after October 29, 2000''.
            (9) Section 1056(c)(2) is amended by striking ``, not later 
        than September 30, 1991,''.
            (10) The table of sections at the beginning of chapter 55 
        is amended by transferring the item relating to section 1074i, 
        as inserted by section 758(b) of the Floyd D. Spence National 
        Defense Authorization Act for Fiscal Year 2001 (as enacted by 
        Public Law 106-398; 114 Stat. 1654A-200), so as to appear after 
        the item relating to section 1074h.
            (11) Section 1097a(e) is amended by striking ``section 
        1072'' and inserting ``section 1072(2)''.
            (12) Sections 1111(a) and 1114(a)(1) are each amended by 
        striking ``hereafter'' and inserting ``hereinafter''.
            (13) Section 1116 is amended--
                    (A) in subsection (a)(2)(B), by inserting an open 
                parenthesis before ``other than for training''; and
                    (B) in subsection (b)(2)(D), by striking ``section 
                111(c)(4)'' and inserting ``section 1115(c)(4)''.
            (14) The heading for subchapter II of chapter 75 is 
        transferred within that chapter so as to appear before the 
        table of sections at the beginning of that subchapter (as if 
        the amendment made by section 721(c)(1) of the National Defense 
        Authorization Act for Fiscal Year 2000 (Public Law 106-65; 113 
        Stat. 694) had inserted that heading following section 1471 
        instead of before section 1475).
            (15) Section 1611(d) is amended by striking ``with''.
            (16) Section 2166(e)(9) is amended by striking ``App. 2'' 
        and inserting ``App.''.
            (17) Section 2323(a)(1)(C) is amended--
                    (A) by striking ``section 1046(3)'' and inserting 
                ``section 365(3)'';
                    (B) by striking ``20 U.S.C. 1135d-5(3)'' and 
                inserting ``20 U.S.C. 1067k''; and
                    (C) by striking ``, which, for the purposes of this 
                section'' and all that follows through the period at 
                the end and inserting a period.
            (18) Section 2375(b) is amended by inserting ``(41 U.S.C. 
        430)'' after ``section 34 of the Office of Federal Procurement 
        Policy Act''.
            (19) Section 2376(1) is amended by inserting ``(41 U.S.C. 
        403)'' after ``section 4 of the Office of Federal Procurement 
        Policy Act''.
            (20) Section 2410f(a) is amended by inserting after 
        ``inscription'' the following: ``, or another inscription with 
        the same meaning,''.
            (21) Section 2461a(a)(2) is amended by striking 
        ``effeciency'' and inserting ``efficiency''.
            (22) Section 2467 is amended--
                    (A) in subsection (a)(2)--
                            (i) by striking ``, United States Code'' in 
                        subparagraph (A); and
                            (ii) by striking ``such'' in subparagraphs 
                        (B) and (C); and
                    (B) in subsection (b)(2)(A), by striking ``United 
                States Code,''.
            (23) Section 2535 is amended--
                    (A) in subsection (a)--
                            (i) by striking ``intent of Congress'' and 
                        inserting ``intent of Congress--'';
                            (ii) by realigning clauses (1), (2), (3), 
                        and (4) so that each such clause appears as a 
                        separate paragraph indented two ems from the 
                        left margin; and
                            (iii) in paragraph (1), as so realigned, by 
                        striking ``Armed Forces'' and inserting ``armed 
                        forces'';
                    (B) in subsection (b)(1)--
                            (i) by striking ``in this section, the 
                        Secretary is authorized and directed to--'' and 
                        inserting ``in subsection (a), the Secretary of 
                        Defense shall--''; and
                            (ii) by striking ``defense industrial 
                        reserve'' in subparagraph (A) and inserting 
                        ``Defense Industrial Reserve''; and
                    (C) in subsection (c)--
                            (i) by striking paragraph (1);
                            (ii) by redesignating paragraph (2) as 
                        paragraph (1) and in that paragraph--
                                    (I) by striking ``means'' and 
                                inserting ``means--'';
                                    (II) by realigning clauses (A), 
                                (B), and (C) so that each such clause 
                                appears as a separate subparagraph 
                                indented four ems from the left margin; 
                                and
                                    (III) by inserting ``and'' at the 
                                end of subparagraph (B), as so 
                                realigned; and
                            (iii) by redesignating paragraph (3) as 
                        paragraph (2).
            (24) Section 2541c is amended by striking ``subtitle'' both 
        places it appears in the matter preceding paragraph (1) and 
        inserting ``subchapter''.
            (25) The second section 2555, added by section 1203(a) of 
        the Floyd D. Spence National Defense Authorization Act for 
        Fiscal Year 2001 (as enacted by Public Law 106-398; 114 Stat. 
        1654A-324), is redesignated as section 2565, and the item 
        relating to that section in the table of sections at the 
        beginning of chapter 152 is revised to conform to such 
        redesignation.
            (26) The second section 2582, added by section 1(a) of 
        Public Law 106-446 (114 Stat. 1932), is redesignated as section 
        2583, and the item relating to that section in the table of 
        sections at the beginning of chapter 153 is revised to conform 
        to such redesignation.
            (27)(A) Section 2693(a) is amended--
                    (i) in the matter preceding paragraph (1), by 
                inserting ``of Defense'' after ``Secretary''; and
                    (ii) in paragraph (3)--
                            (I) by inserting ``to the Secretary of 
                        Defense'' after ``certifies'';
                            (II) by inserting ``(42 U.S.C. 3762a)'' 
                        after ``of 1968''; and
                            (III) by striking ``to the public agencies 
                        referred to in section 515(a)(1) or 515(a)(3) 
                        of title I of such Act'' and inserting ``to a 
                        public agency referred to in paragraph (1) or 
                        (3) of subsection (a) of such section''.
            (B)(i) The heading of such section is amended to read as 
        follows:
``Sec. 2693. Conveyance of certain property: Department of Justice 
              correctional options program''.
            (ii) The item relating to such section in the table of 
        sections at the beginning of chapter 159 is amended to read as 
        follows:

``2693. Conveyance of certain property: Department of Justice 
                            correctional options program.''.
            (28) Section 3014(f)(3) is amended by striking ``the number 
        equal to'' and all that follows and inserting ``67.''.
            (29) Section 5014(f)(3) is amended by striking ``the number 
        equal to'' and all that follows and inserting ``74.''.
            (30) Section 8014(f)(3) is amended by striking ``the number 
        equal to'' and all that follows and inserting ``60.''.
            (31) Section 9783(e)(1) is amended by striking 
        ``40101(a)(2)'' and inserting ``40102(a)(2)''.
            (32) Section 12741(a)(2) is amended by striking 
        ``received'' and inserting ``receive''.
    (b) Amendments Relating to Change in Title of Under Secretary of 
Defense for Acquisition, Technology, and Logistics.--Title 10, United 
States Code, is further amended as follows:
            (1) Section 133a(b) is amended by striking ``shall assist 
        the Under Secretary of Defense for Acquisition and Technology'' 
        and inserting ``shall assist the Under Secretary of Defense for 
        Acquisition, Technology, and Logistics''.
            (2) The following provisions are each amended by striking 
        ``Under Secretary of Defense for Acquisition and Technology'' 
        and inserting ``Under Secretary of Defense for Acquisition, 
        Technology, and Logistics'': sections 139(c), 139(f), 
        171(a)(3), 179(a)(1), 1702, 1703, 1707(a), 1722(a), 
        1722(b)(2)(B), 1735(c)(1), 1737(c)(1), 1737(c)(2)(B), 1741(b), 
        1746(a), 1761(b)(4), 1763, 2302c(a)(2), 2304(f)(1)(B)(iii), 
        2304(f)(6)(B), 2311(c)(1), 2311(c)(2)(B), 2350a(b)(2), 
        2350a(e)(1)(A), 2350a(e)(2)(B), 2350a(f)(1), 2399(b)(3), 
        2435(b), 2435(d)(2), 2521(a), and 2534(i)(3).
            (3)(A) The heading for section 1702 is amended to read as 
        follows:
``Sec. 1702. Under Secretary of Defense for Acquisition, Technology, 
              and Logistics: authorities and responsibilities''.
            (B) The item relating to section 1702 in the table of 
        sections at the beginning of subchapter I of chapter 87 is 
        amended to read as follows:

``1702. Under Secretary of Defense for Acquisition, Technology, and 
                            Logistics: authorities and 
                            responsibilities.''.
            (4) Section 2503(b) is amended by striking ``Under 
        Secretary of Defense for Acquisition'' and inserting ``Under 
        Secretary of Defense for Acquisition, Technology, and 
        Logistics''.
    (c) Amendments To Substitute Calendar Dates for Date-of-Enactment 
References.--Title 10, United States Code, is further amended as 
follows:
            (1) Section 130c(d)(1) is amended by striking ``the date of 
        the enactment of the Floyd D. Spence National Defense 
        Authorization Act for Fiscal Year 2001'' and inserting 
        ``October 30, 2000,''.
            (2) Section 184(a) is amended by striking ``the date of the 
        enactment of this section,'' and inserting ``October 30, 
        2000,''.
            (3) Section 986(a) is amended by striking ``the date of the 
        enactment of this section,'' and inserting ``October 30, 
        2000,''.
            (4) Section 1074g(a)(8) is amended by striking ``the date 
        of the enactment of this section'' and inserting ``October 5, 
        1999,''.
            (5) Section 1079(h)(2) is amended by striking ``the date of 
        the enactment of this paragraph'' and inserting ``February 10, 
        1996,''.
            (6) Section 1206(5) is amended by striking ``the date of 
        the enactment of the National Defense Authorization Act for 
        Fiscal Year 2000,'' and inserting ``October 5, 1999,''.
            (7) Section 1405(c)(1) is amended by striking ``the date of 
        the enactment of the National Defense Authorization Act for 
        Fiscal Year 1995,'' and inserting ``October 5, 1994,''.
            (8) Section 1407(f)(2) is amended by striking ``the date of 
        the enactment of this subsection--'' and inserting ``October 
        30, 2000--''.
            (9) Section 1408(d)(6) is amended by striking ``the date of 
        the enactment of this paragraph'' and inserting ``August 22, 
        1996,''.
            (10) Section 1511(b) is amended by striking ``the date of 
        the enactment of this chapter.'' and inserting ``February 10, 
        1996.''.
            (11) Section 2461a(b)(1) is amended by striking ``the date 
        of the enactment of this section,'' and inserting ``October 30, 
        2000,''.
            (12) Section 4021(c)(1) is amended by striking ``the date 
        of the enactment of this section.'' and inserting ``November 
        29, 1989.''.
            (13) Section 6328(a) is amended by striking ``the date of 
        the enactment of this section'' and inserting ``February 10, 
        1996,''.
            (14) Section 7439 is amended--
                    (A) in subsection (a)(2), by striking ``one year 
                after the date of the enactment of this section,'' and 
                inserting ``November 18, 1998,'';
                    (B) in subsection (b)(1), by striking ``the date of 
                the enactment of this section,'' and inserting 
                ``November 18, 1997,'';
                    (C) in subsection (b)(2), by striking ``the end of 
                the one-year period beginning on the date of the 
                enactment of this section.'' and inserting ``November 
                18, 1998.''; and
                    (D) in subsection (f)(2), by striking ``the date of 
                the enactment of this section'' and inserting 
                ``November 18, 1997,''.
            (15) Section 12533 is amended--
                    (A) in each of subsections (b) and (c)(1), by 
                striking ``the date of the enactment of this section.'' 
                and inserting ``November 18, 1997.''; and
                    (B) in each of subsections (c)(2) and (d), by 
                striking ``the date of the enactment of this section'' 
                and inserting ``November 18, 1997,''.
            (16) Section 12733(3) is amended--
                    (A) in subparagraph (B), by striking ``the date of 
                the enactment of the Floyd D. Spence National Defense 
                Authorization Act for Fiscal Year 2001;'' and inserting 
                ``October 30, 2000;''; and
                    (B) in subparagraph (C), by striking ``the date of 
                the enactment of the Floyd D. Spence National Defense 
                Authorization Act for Fiscal Year 2001'' and inserting 
                ``October 30, 2000,''.
    (d) Amendments Relating to Change in Title of McKinney-Vento 
Homeless Assistance Act.--The following provisions are each amended by 
striking ``Stewart B. McKinney Homeless Assistance Act'' and inserting 
``McKinney-Vento Homeless Assistance Act'':
            (1) Sections 2814(j)(2), 2854a(d)(2), and 2878(d)(4) of 
        title 10, United States Code.
            (2) Sections 2905(b)(6)(A) and 2910(11) of the Defense Base 
        Closure and Realignment Act of 1990 (part A of title XXIX of 
        Public Law 101-510; 10 U.S.C. 2687 note).
            (3) Section 204(b)(6)(A) of the Defense Authorization 
        Amendments and Base Closure and Realignment Act (Public Law 
        100-526; 10 U.S.C. 2687 note).
            (4) Section 2915(c)(10) of the National Defense 
        Authorization Act for Fiscal Year 1994 (10 U.S.C. 2687 note).
            (5) Section 2(e)(4)(A) of the Base Closure Community 
        Redevelopment and Homeless Assistance Act of 1994 (Public Law 
        103-421; 10 U.S.C. 2687 note).
            (6) Section 1053(a) of the National Defense Authorization 
        Act for Fiscal Year 1997 (110 Stat. 2650).
    (e) Amendments To Repeal Obsolete Provisions.--Title 10, United 
States Code, is further amended as follows:
            (1) Section 1144 is amended--
                    (A) in subsection (a)(3), by striking the second 
                sentence; and
                    (B) by striking subsection (e).
            (2) Section 1581(b) is amended--
                    (A) by striking ``(1)'' and all that follows 
                through ``The Secretary of Defense shall deposit'' and 
                inserting ``The Secretary of Defense shall deposit''; 
                and
                    (B) by striking ``on or after December 5, 1991,''.
            (3) Subsection (e) of section 1722 is repealed.
            (4) Subsection 1732(a) is amended by striking the second 
        sentence.
            (5) Section 1734 is amended--
                    (A) in subsection (b)(1)(B), by striking ``on and 
                after October 1, 1991,''; and
                    (B) in subsection (e)(2), by striking the last 
                sentence.
            (6)(A) Section 1736 is repealed.
            (B) The table of sections at the beginning of subchapter 
        III of chapter 87 is amended by striking the item relating to 
        section 1736.
            (7)(A) Sections 1762 and 1764 are repealed.
            (B) The table of sections at the beginning of subchapter V 
        of chapter 87 is amended by striking the items relating to 
        sections 1762 and 1764.
            (8) Section 2112(a) is amended by striking ``, with the 
        first class graduating not later than September 21, 1982''.
            (9) Section 2218(d)(1) is amended by striking ``for fiscal 
        years after fiscal year 1993''.
            (10)(A) Section 2468 is repealed.
            (B) The table of sections at the beginning of chapter 146 
        is amended by striking the item relating to section 2468.
            (11) Section 2832 is amended--
                    (A) by striking ``(a)'' before ``The Secretary of 
                Defense''; and
                    (B) by striking subsection (b).
            (12) Section 7430(b)(2) is amended--
                    (A) by striking ``at a price less than'' and all 
                that follows through ``the current sales price'' and 
                inserting ``at a price less than the current sales 
                price'';
                    (B) by striking ``; or'' and inserting a period; 
                and
                    (C) by striking subparagraph (B).
    (f) Public Law 106-398.--Effective as of October 30, 2000, and as 
if included therein as enacted, the Floyd D. Spence National Defense 
Authorization Act for Fiscal Year 2001 (as enacted into law by Public 
Law 106-398) is amended as follows:
            (1) Section 525(b)(1) (114 Stat. 1654A-109) is amended by 
        striking ``subsection (c)'' and inserting ``subsections (a) and 
        (b)''.
            (2) Section 1152(c)(2) (114 Stat. 1654A-323) is amended by 
        inserting ``inserting'' after ``and''.
    (g) Public Law 106-65.--Effective as of October 5, 1999, and as if 
included therein as enacted, the National Defense Authorization Act for 
Fiscal Year 2000 (Public Law 106-65) is amended as follows:
            (1) Section 531(b)(2)(A) (113 Stat. 602) is amended by 
        inserting ``in subsection (a),'' after ``(A)''.
            (2) Section 549(a)(2) (113 Stat. 611) is amended by 
        striking ``such chapter'' and inserting ``chapter 49 of title 
        10, United States Code,''.
            (3) Section 576(a)(3) (10 U.S.C. 1501 note; 113 Stat. 625) 
        is amended by adding a period at the end.
            (4) Section 577(a)(2) (113 Stat. 625) is amended by 
        striking ``bad conduct'' in the first quoted matter and 
        inserting ``bad-conduct''.
            (5) Section 811(d)(3)(B)(v) (10 U.S.C. 2302 note; 113 Stat. 
        709) is amended by striking ``Mentor-Protegee'' and inserting 
        ``Mentor-Protege''.
            (6) Section 1052(b)(1) (113 Stat. 764) is amended by 
        striking ```The Department'' and inserting ``the `Department''.
            (7) Section 1053(a)(5) (10 U.S.C. 113 note; 113 Stat. 764) 
        is amended by inserting ``and'' before ``Marines''.
            (8) Section 1402(f)(2)(A) (22 U.S.C. 2778 note; 113 Stat. 
        799) is amended by striking ``3201 note'' and inserting 
        ``6305(4)''.
            (9) Section 2902(d) (10 U.S.C. 111 note; 113 Stat. 882) is 
        amended by striking ``section 2871(b)'' and inserting ``section 
        2881(b)''.
    (h) Public Law 102-484.--The National Defense Authorization Act for 
Fiscal Year 1993 (Public Law 102-484) is amended as follows:
            (1) Section 3161(c)(6)(C) (42 U.S.C. 7274h(c)(6)(C)) is 
        amended by striking ``title IX of the Public Works and Economic 
        Development Act of 1965 (42 U.S.C. 3241 et seq.)'' and 
        inserting ``title II of the Public Works and Economic 
        Development Act of 1965 (42 U.S.C. 3141 et seq.)''.
            (2) Section 4416(b)(1) (10 U.S.C. 12681 note) is amended by 
        striking ``force reduction period'' and inserting ``force 
        reduction transition period''.
            (3) Section 4461(5) (10 U.S.C. 1143 note) is amended by 
        adding a period at the end.
    (i) Other Laws.--
            (1) Section 1083(c) of the National Defense Authorization 
        Act for Fiscal Year 1998 (Public Law 105-85; 10 U.S.C. 113 
        note) is amended by striking ``Names'' and inserting ``Name''.
            (2) Section 845(d)(1)(B)(ii) of the National Defense 
        Authorization Act for Fiscal Year 1994 (Public Law 103-160; 10 
        U.S.C. 2371 note) is amended by inserting a closed parenthesis 
        after ``41 U.S.C. 414(3))''.
            (3) Section 1123(b) of the National Defense Authorization 
        Act for Fiscal Years 1990 and 1991 (Public Law 101-189; 103 
        Stat. 1556) is amended by striking ``Armed Forces Staff 
        College'' each place it appears and inserting ``Joint Forces 
        Staff College''.
            (4) Section 1412(g)(2)(C)(vii) of the Department of Defense 
        Authorization Act, 1986 (50 U.S.C. 1521(g)(2)(C)(vii)) is 
        amended by striking ``(c)(3)'' and inserting ``(c)(4)''.
            (5) Section 8336 of title 5, United States Code, is 
        amended--
                    (A) in subsection (d)(2), by striking ``subsection 
                (o)'' and inserting ``subsection (p)''; and
                    (B) by redesignating the second subsection (o), 
                added by section 1152(a)(2) of the Floyd D. Spence 
                National Defense Authorization Act for Fiscal Year 2001 
                (as enacted by Public Law 106-398; 114 Stat. 1654A-
                320), as subsection (p).
            (6) Section 9001(3) of title 5, United States Code, is 
        amended by striking ``and'' at the end of subparagraph (A) and 
        inserting ``or''.
            (7) Section 318(h)(3) of title 37, United States Code, is 
        amended by striking ``subsection (a)'' and inserting 
        ``subsection (b)''.
            (8) Section 3695(a)(5) of title 38, United States Code, is 
        amended by striking ``1610'' and inserting ``1611''.
            (9) Section 13(b) of the Peace Corps Act (22 U.S.C. 
        2512(b)) is amended by striking ``, subject to section 5532 of 
        title 5, United States Code''.
            (10) Section 127(g)(6) of the Trade Deficit Review 
        Commission Act (19 U.S.C. 2213 note), as amended by section 
        311(b) of the Legislative Branch Appropriations Act, 2000 
        (Public Law 106-57; 113 Stat. 428), is amended--
                    (A) by striking ``authorities.--'' and all that 
                follows through ``An individual'' and inserting 
                ``authorities.--An individual''; and
                    (B) by striking subparagraph (B).
            (11) Section 28 of the Atomic Energy Act of 1954 (42 U.S.C. 
        2038) is amended in the last sentence by striking '', subject 
        to'' and all that follows through the period at the end and 
        inserting a period.
            (12) Section 3212 of the National Nuclear Security 
        Administration Act (50 U.S.C. 2402) is amended by redesignating 
        the second subsection (e), added by section 3159(a) of the 
        Floyd D. Spence National Defense Authorization Act for Fiscal 
        Year 2001 (as enacted by Public Law 106-398; 114 Stat. 1654A-
        469), as subsection (f).

                      TITLE XI--CIVILIAN PERSONNEL

SEC. 1101. UNDERGRADUATE TRAINING PROGRAM FOR EMPLOYEES OF THE NATIONAL 
              IMAGERY AND MAPPING AGENCY.

    (a) Authority To Carry Out Training Program.--Subchapter III of 
chapter 22 of title 10, United States Code, is amended by adding at the 
end the following new section:
``Sec. 462. Undergraduate training program
    ``(a) Authority To Carry Out Program.--The Secretary of Defense may 
authorize the Director of the National Imagery and Mapping Agency to 
establish an undergraduate training program under which civilian 
employees of the National Imagery and Mapping Agency may be assigned as 
students at accredited professional, technical, and other institutions 
of higher learning for training at the undergraduate level in skills 
critical to effective performance of the mission of the National 
Imagery and Mapping Agency. Such training may lead to the award of a 
baccalaureate degree.
    ``(b) Purpose.--The purpose of the program authorized by subsection 
(a) is to facilitate the recruitment of individuals, particularly 
minority high school students, with a demonstrated capability to 
develop skills critical to the mission of the National Imagery and 
Mapping Agency, including skills in mathematics, computer science, 
engineering, and foreign languages.
    ``(c) Requirements.--(1) To be eligible for assignment under 
subsection (a), an employee of the National Imagery and Mapping Agency 
must agree in writing--
            ``(A) to continue in the service of the National Imagery 
        and Mapping Agency for the period of the assignment and to 
        complete the educational course of training for which the 
        employee is assigned;
            ``(B) to continue in the service of the National Imagery 
        and Mapping Agency following completion of the assignment for a 
        period of one-and-a-half years for each year of the assignment 
        or part thereof;
            ``(C) to reimburse the United States for the total cost of 
        education (excluding the employee's pay and allowances) 
        provided under this section to the employee if, before the 
        employee's completing the educational course of training for 
        which the employee is assigned, the assignment or the 
        employee's employment with the National Imagery and Mapping 
        Agency is terminated either by the National Imagery and Mapping 
        Agency due to misconduct by the employee or by the employee 
        voluntarily; and
            ``(D) to reimburse the United States if, after completing 
        the educational course of training for which the employee is 
        assigned, the employee's employment with the National Imagery 
        and Mapping Agency is terminated either by the National Imagery 
        and Mapping Agency due to misconduct by the employee or by the 
        employee voluntarily, before the employee's completion of the 
        service obligation period described in subparagraph (B), in an 
        amount that bears the same ratio to the total cost of the 
        education (excluding the employee's pay and allowances) 
        provided to the employee as the unserved portion of the service 
        obligation period described in subparagraph (B) bears to the 
        total period of the service obligation described in 
        subparagraph (B).
    ``(2) Subject to paragraph (3), the obligation to reimburse the 
United States under an agreement described in paragraph (1), including 
interest due on such obligation, is for all purposes a debt owing the 
United States.
    ``(3)(A) A discharge in bankruptcy under title 11, United States 
Code, shall not release a person from an obligation to reimburse the 
United States required under an agreement described in paragraph (1) if 
the final decree of the discharge in bankruptcy is issued within five 
years after the last day of the combined period of service obligation 
described in subparagraphs (A) and (B) of paragraph (1).
    ``(B) The Secretary of Defense may release a person, in whole or in 
part, from the obligation to reimburse the United States under an 
agreement described in paragraph (1) when, in his discretion, the 
Secretary determines that equity or the interests of the United States 
so require.
    ``(C) The Secretary of Defense shall permit an employee assigned 
under this section who, before commencing a second academic year of 
such assignment, voluntarily terminates the assignment or the 
employee's employment with the National Imagery and Mapping Agency, to 
satisfy his obligation under an agreement described in paragraph (1) by 
reimbursing the United States according to a schedule of monthly 
payments which results in completion of reimbursement by a date five 
years after the date of termination of the assignment or employment or 
earlier at the option of the employee.
    ``(d) Disclosure Required.--(1) When an employee is assigned under 
this section to an institution, the Secretary shall disclose to the 
institution to which the employee is assigned that the National Imagery 
and Mapping Agency employs the employee and that the National Imagery 
and Mapping Agency funds the employee's education.
    ``(2) Efforts by the Secretary to recruit individuals at 
educational institutions for participation in the undergraduate 
training program established by this section shall be made openly and 
according to the common practices of universities and employers 
recruiting at such institutions.
    ``(e) Appropriation of Funds Required.--The Secretary may pay, 
directly or by reimbursement to employees, expenses incident to 
assignments under subsection (a), in any fiscal year only to the extent 
that appropriated funds are available for such purpose.
    ``(f) Inapplicability of Certain Laws.--Chapter 41 of title 5 and 
subsections (a) and (b) of section 3324 of title 31 shall not apply 
with respect to this section.
    ``(g) Regulations.--The Secretary of Defense may prescribe such 
regulations as may be necessary to implement this section.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such subchapter is amended by adding at the end the following new item:

``462. Undergraduate training program.''.

SEC. 1102. PILOT PROGRAM FOR PAYMENT OF RETRAINING EXPENSES.

    (a) Authority To Carry Out Pilot Program.--(1) The Secretary of 
Defense may establish a pilot program to facilitate the reemployment of 
eligible employees of the Department of Defense who are involuntarily 
separated due to a reduction in force, relocation as a result of a 
transfer of function, realignment, or change of duty station. Under the 
pilot program, the Secretary may pay retraining incentives to encourage 
non-Federal employers to hire and retain such eligible employees.
    (2) Under the pilot program, the Secretary may enter into an 
agreement with a non-Federal employer under which the employer agrees--
            (A) to employ an eligible employee for at least 12 months 
        at a salary that is mutually agreeable to the employer and the 
        eligible employee; and
            (B) to certify to the Secretary the amount of costs 
        incurred by the employer for any necessary training (as defined 
        by the Secretary) provided to such eligible employee in 
        connection with the employment.
    (3) The Secretary may pay a retraining incentive to the non-Federal 
employer upon the employee's completion of 12 months of continuous 
employment with that employer. The Secretary shall determine the amount 
of the incentive, except that in no event may such amount exceed the 
amount certified with respect to such eligible employee under paragraph 
(2)(A), or $10,000, whichever is greater.
    (4) In a case in which an eligible employee does not remain 
employed by the non-Federal employer for at least 12 months, the 
Secretary may pay to the employer a prorated amount of what would have 
been the full retraining incentive if the eligible employee had 
remained employed for such 12-month period.
    (b) Eligible Employees.--For purposes of this section, an eligible 
employee is an employee of the Department of Defense, serving under an 
appointment without time limitation, who has been employed by the 
Department for a continuous period of at least 12 months and who has 
been given notice of separation pursuant to a reduction in force, 
relocation as a result of a transfer of function, realignment, or 
change of duty station, except that such term does not include--
            (1) a reemployed annuitant under the retirement systems 
        described in subchapter III of chapter 83 of title 5, United 
        States Code, or chapter 84 of such title, or another retirement 
        system for employees of the Federal Government;
            (2) an employee who, upon separation from Federal service, 
        is eligible for an immediate annuity under subchapter III of 
        chapter 83 of such title, or subchapter II of chapter 84 of 
        such title; or
            (3) an employee who is eligible for disability retirement 
        under any of the retirement systems referred to in paragraph 
        (1).
    (c) Duration.--No incentive may be paid under the pilot program for 
training commenced after September 30, 2005.
    (d) Definitions.--In this section:
            (1) The term ``non-Federal employer'' means an employer 
        that is not an Executive agency, as defined in section 105 of 
        title 5, United States Code, or an entity in the legislative or 
        judicial branch of the Federal Government.
            (2) The term ``reduction in force'' has the meaning of that 
        term as used in chapter 35 of such title 5.
            (3) The term ``realignment'' has the meaning given that 
        term in section 2910 of the Defense Base Closure and 
        Realignment Act of 1990 (title XXIX of Public Law 101-510; 10 
        U.S.C. 2687 note).

SEC. 1103. PAYMENT OF EXPENSES TO OBTAIN PROFESSIONAL CREDENTIALS.

    (a) In General.--Chapter 57 of title 5, United States Code, is 
amended by adding at the end the following new section:
``Sec. 5757. Payment of expenses to obtain professional credentials
    ``(a) An agency may use appropriated funds or funds otherwise 
available to the agency to pay for--
            ``(1) expenses for employees to obtain professional 
        credentials, including expenses for professional accreditation, 
        State-imposed and professional licenses, and professional 
        certification; and
            ``(2) examinations to obtain such credentials.
    ``(b) The authority under subsection (a) may not be exercised on 
behalf of any employee occupying or seeking to qualify for appointment 
to any position that is excepted from the competitive service because 
of the confidential, policy-determining, policy-making, or policy-
advocating character of the position.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by adding at the end the following new item:

``5757. Payment of expenses to obtain professional credentials.''.

SEC. 1104. RETIREMENT PORTABILITY ELECTIONS FOR CERTAIN DEPARTMENT OF 
              DEFENSE AND COAST GUARD EMPLOYEES.

    (a) Civil Service Retirement System.--Section 8347(q) of title 5, 
United States Code, is amended--
            (1) in paragraph (1)(B), by striking ``has 5 or more years 
        of civilian service creditable under'' and inserting ``is 
        employed subject to''; and
            (2) in paragraph (2)(B)--
                    (A) by striking ``vested''; and
                    (B) by striking ``, as the term `vested 
                participant' is defined by such system''.
    (b) Federal Employees' Retirement System.--Section 8461(n) of such 
title is amended--
            (1) in paragraph (1)(B), by striking ``has 5 or more years 
        of civilian service creditable under'' and inserting ``is 
        employed subject to''; and
            (2) in paragraph (2)(B)--
                    (A) by striking ``vested''; and
                    (B) by striking ``, as the term `vested 
                participant' is defined by such system''.

SEC. 1105. REMOVAL OF REQUIREMENT THAT GRANTING CIVIL SERVICE 
              COMPENSATORY TIME BE BASED ON AMOUNT OF IRREGULAR OR 
              OCCASIONAL OVERTIME WORK.

    Section 5543 of title 5, United States Code, is amended by striking 
``irregular or occasional'' in each place such words appear.

SEC. 1106. APPLICABILITY OF CERTAIN LAWS TO CERTAIN INDIVIDUALS 
              ASSIGNED TO WORK IN THE FEDERAL GOVERNMENT.

    Section 3374(c)(2) of title 5, United States Code, is amended by 
inserting ``the Ethics in Government Act of 1978, section 1043 of the 
Internal Revenue Code of 1986, section 27 of the Office of Federal 
Procurement Policy Act,'' after ``chapter 73 of this title,''.

SEC. 1107. LIMITATION ON PREMIUM PAY.

    Section 5547 of title 5, United States Code, is amended--
            (1) by striking subsections (a) and (b) and inserting the 
        following new subsections:
    ``(a) An employee may be paid premium pay under sections 5542, 5545 
(a), (b), and (c), 5545a, and 5546 (a) and (b) of this title only to 
the extent that the aggregate of such employee's basic pay and premium 
pay under those provisions would, in any calendar year, exceed the 
maximum rate payable for GS-15 in effect at the end of such calendar 
year.
    ``(b) Subsection (a) shall not apply to any employee of the Federal 
Aviation Administration or the Department of Defense who is paid 
premium pay under section 5546a of this title.''; and
            (2) in subsection (c)--
                    (A) in paragraph (1), by striking ``Subsections (a) 
                and (b)'' and inserting ``Subsection (a)''; and
                    (B) in paragraph (2), by striking ``pay period'' 
                and inserting ``calendar year''.

SEC. 1108. USE OF COMMON OCCUPATIONAL AND HEALTH STANDARDS AS A BASIS 
              FOR DIFFERENTIAL PAYMENTS MADE AS A CONSEQUENCE OF 
              EXPOSURE TO ASBESTOS.

    (a) Prevailing Rate Systems.--Section 5343(c)(4) of title 5, United 
States Code, is amended by inserting before the semicolon the 
following: ``(and for any hardship or hazard related to asbestos, such 
differentials shall be determined by applying occupational safety and 
health standards consistent with the permissible exposure limit 
promulgated by the Secretary of Labor under the Occupational Safety and 
Health Act of 1970)''.
    (b) General Schedule Pay Rates.--The first sentence of section 
5545(d) of such title is amended by inserting before the period the 
following: ``(and for any hardship or hazard related to asbestos, such 
differentials shall be determined by applying occupational safety and 
health standards consistent with the permissible exposure limit 
promulgated by the Secretary of Labor under the Occupational Safety and 
Health Act of 1970)''.
    (c) Applicability.--Any administrative or judicial determination 
made after the date of enactment of this Act concerning differential 
back payments related to asbestos under section 5343(c)(4) or 5545(d) 
of such title shall be based on the occupational safety and health 
standards described in such section, respectively.

SEC. 1109. AUTHORITY FOR DESIGNATED CIVILIAN EMPLOYEES ABROAD TO ACT AS 
              A NOTARY.

    (a) In General.--Paragraph (4) of section 1044a(b) of title 10, 
United States Code, is amended--
            (1) by inserting ``and, when outside the United States, all 
        civilian employees of the Department of Defense,'' after ``duty 
        status,''; and
            (2) by inserting ``or the Department of Defense'' before 
        ``or by statute''.
    (b) Clarification of Status of Civilian Attorneys Acting as a 
Notary.--Paragraph (2) of such section is amended by striking ``legal 
assistance officers'' and inserting ``legal assistance attorneys''.

SEC. 1110. ``MONRONEY AMENDMENT'' RESTORED TO ITS PRIOR FORM.

    Paragraph (2) of section 5343(d) of title 5, United States Code, is 
amended to read as such paragraph last read before the enactment of 
section 1242 of the Department of Defense Authorization Act, 1986 
(Public Law 99-145; 99 Stat. 735).

             TITLE XII--MATTERS RELATING TO FOREIGN NATIONS

SEC. 1201. CLARIFICATION OF AUTHORITY TO FURNISH NUCLEAR TEST 
              MONITORING EQUIPMENT TO FOREIGN GOVERNMENTS.

    Section 2565 of title 10, United States Code, as redesignated by 
section 1047(a)(25), is amended--
            (1) in subsection (a)--
                    (A) by striking ``Convey or'' in the subsection 
                heading and inserting ``Transfer Title to or 
                Otherwise'';
                    (B) in paragraph (1)--
                            (i) by striking ``convey'' and inserting 
                        ``transfer title''; and
                            (ii) by striking ``and'' after 
                        ``equipment;'';
                    (C) by striking the period at the end of paragraph 
                (2) and inserting ``; and''; and
                    (D) by adding at the end the following new 
                paragraph:
            ``(3) inspect, test, maintain, repair, or replace any such 
        equipment.''; and
            (2) in subsection (b)--
                    (A) by striking ``conveyed or otherwise provided'' 
                and inserting ``provided to a foreign government'';
                    (B) by inserting ``and'' at the end of paragraph 
                (1);
                    (C) by striking ``; and'' at the end of paragraph 
                (2) and inserting a period; and
                    (D) by striking paragraph (3).

SEC. 1202. ACQUISITION OF LOGISTICAL SUPPORT FOR SECURITY FORCES.

    Section 5 of the Multinational Force and Observers Participation 
Resolution (22 U.S.C. 3424) is amended by adding at the end the 
following new subsection:
    ``(d)(1) The United States may use contractors to provide 
logistical support to the Multinational Force and Observers under this 
section in lieu of providing such support through a logistical support 
unit comprised of members of the United States Armed Forces.
    ``(2) Notwithstanding subsections (a) and (b) and section 7(b), 
support by a contractor under this subsection may be provided without 
reimbursement, whenever the President determines that such action 
enhances or supports the national security interests of the United 
States.''.

SEC. 1203. REPORT ON THE SALE AND TRANSFER OF MILITARY HARDWARE, 
              EXPERTISE, AND TECHNOLOGY FROM STATES OF THE FORMER 
              SOVIET UNION TO THE PEOPLE'S REPUBLIC OF CHINA.

    Section 1202 of the National Defense Authorization Act for Fiscal 
Year 2000 (Public Law 106-65; 113 Stat. 781; 10 U.S.C. 113 note) is 
amended by adding at the end the following new subsection:
    ``(d) Report on Sales and Transfers From States of the Former 
Soviet Union to China.--(1) The report to be submitted under this 
section not later than March 1, 2002, shall include in a separate 
section a report describing the sales and transfer of military 
hardware, expertise, and technology from states of the former Soviet 
Union to the People's Republic of China. The report shall set forth the 
history of such sales and transfers since 1990, forecast possible 
future sales and transfers, and address the implications of those sales 
and transfers for the security of the United States and its friends and 
allies in Asia.
    ``(2) The report shall include analysis and forecasts of the 
following matters related to military cooperation between states of the 
former Soviet Union and the People's Republic of China:
            ``(A) The policy of each of those states with respect to 
        arms sales to, and military cooperation with, the People's 
        Republic of China.
            ``(B) Any laws or regulations of those states that could 
        prohibit or limit such sales or cooperation.
            ``(C) The extent in each of those states of government 
        knowledge, cooperation, or condoning of sales or transfers of 
        military hardware, expertise, or technology to the People's 
        Republic of China.
            ``(D) An itemization of sales or transfers of military 
        hardware, expertise, or technology from any of those states to 
        the People's Republic of China that have taken place since 
        1990, with a particular focus on command, control, 
        communications, and intelligence systems.
            ``(E) A description of any sale or transfer of military 
        hardware, expertise, or technology from any of those states to 
        the People's Republic of China that is currently under 
        negotiation or contemplation through the end of 2005.
            ``(F) Identification of Chinese defense industries in which 
        technicians from states of the former Soviet Union are working 
        and of defense industries of those states in which Chinese 
        technicians are working and a description in each case of the 
        extent and the nature of the work performed by such 
        technicians.
            ``(G) The extent of assistance by any of those states to 
        key research and development programs of China, including 
        programs for development of weapons of mass destruction and 
        delivery vehicles for such weapons, programs for development of 
        advanced conventional weapons, and programs for development of 
        unconventional weapons.
            ``(H) The extent of assistance by any of those states to 
        information warfare or electronic warfare programs of China.
            ``(I) The extent of assistance by any of those states to 
        manned and unmanned space operations of China.
            ``(J) The extent to which arms sales by any of those states 
        to the People's Republic of China are a source of funds for 
        military research and development or procurement programs in 
        the selling state.
    ``(3) The report under paragraph (1) shall include, with respect to 
each area of analysis and forecasts specified in paragraph (2)--
            ``(A) an assessment of the military effects of such sales 
        or transfers to entities in the People's Republic of China;
            ``(B) an assessment of the ability of the People's 
        Liberation Army to assimilate such sales or transfers, mass 
        produce new equipment, or develop doctrine for use; and
            ``(C) the potential threat of developments related to such 
        effects on the security interests of the United States and its 
        friends and allies in Asia.''.

SEC. 1204. LIMITATION ON FUNDING FOR JOINT DATA EXCHANGE CENTER.

    (a) Limitation.--Funds made available to the Department of Defense 
for fiscal year 2002 may not be obligated or expended for any activity 
associated with the Joint Data Exchange Center in Moscow, Russia, 
until--
            (1) the United States and the Russian Federation enter into 
        a cost-sharing agreement as described in subsection (d) of 
        section 1231 of the Floyd D. Spence National Defense 
        Authorization Act for Fiscal Year 2001, as enacted into law by 
        Public Law 106-398 (114 Stat. 1654A-329);
            (2) the United States and the Russian Federation enter into 
        an agreement or agreements exempting the United States and any 
        United States person from Russian taxes, and from liability 
        under Russian laws, with respect to activities associated with 
        the Joint Data Exchange Center;
            (3) the Secretary of Defense submits to the Committee on 
        Armed Services of the Senate and the Committee on Armed 
        Services of the House of Representatives a copy of each 
        agreement referred to in paragraphs (1) and (2); and
            (4) a period of 30 days has expired after the date of the 
        final submission under paragraph (3).
    (b) Joint Data Exchange Center.--For purposes of this section, the 
term ``Joint Data Exchange Center'' means the United States-Russian 
Federation joint center for the exchange of data to provide early 
warning of launches of ballistic missiles and for notification of such 
launches that is provided for in a joint United States-Russian 
Federation memorandum of agreement signed in Moscow in June 2000.

SEC. 1205. EXTENSION OF AUTHORITY TO PROVIDE ASSISTANCE UNDER WEAPONS 
              OF MASS DESTRUCTION ACT FOR SUPPORT OF UNITED NATIONS-
              SPONSORED EFFORTS TO INSPECT AND MONITOR IRAQI WEAPONS 
              ACTIVITIES.

    (a) Limitation on Amount of Assistance in Fiscal Year 2002.--The 
total amount of the assistance for fiscal year 2002 that is provided by 
the Secretary of Defense under section 1505 of the Weapons of Mass 
Destruction Control Act of 1992 (22 U.S.C. 5859a) as activities of the 
Department of Defense in support of activities under that Act may not 
exceed $15,000,000. Such assistance may be provided for fiscal year 
2002 only to support activities of an organization established for the 
purpose of (or otherwise given the mission of providing) a 
comprehensive accounting for all items, facilities, and capabilities in 
Iraq related to weapons of mass destruction.
    (b) Extension of Authority To Provide Assistance.--Subsection (f) 
of section 1505 of the Weapons of Mass Destruction Control Act of 1992 
(22 U.S.C. 5859a) is amended by striking ``2001'' and inserting 
``2002''.
    (c) Change of Quarterly Report Requirement to Annual Report.--(1) 
Subsection (e)(1) of such section is amended--
            (A) by striking ``quarter of a'' in the first sentence; and
            (B) by striking ``(for the preceding quarter and 
        cumulatively)'' and inserting ``for the preceding fiscal 
        year''.
    (2) The amendments made by subsection (a) shall take effect on 
November 1, 2001, or the date of the enactment of this Act, whichever 
is later.

SEC. 1206. REPEAL OF REQUIREMENT FOR REPORTING TO CONGRESS ON MILITARY 
              DEPLOYMENTS TO HAITI.

    Section 1232(b) of the National Defense Authorization Act for 
Fiscal Year 2000 (Public Law 106-65; 113 Stat. 788) is repealed.

SEC. 1207. REPORT BY COMPTROLLER GENERAL ON PROVISION OF DEFENSE 
              ARTICLES, SERVICES, AND MILITARY EDUCATION AND TRAINING 
              TO FOREIGN COUNTRIES AND INTERNATIONAL ORGANIZATIONS.

    (a) Study.--The Comptroller General shall conduct a study of the 
following:
            (1) The benefits derived by each foreign country or 
        international organization from the receipt of defense 
        articles, defense services, or military education and training 
        provided after December 31, 1989, pursuant to the drawdown of 
        such articles, services, or education and training from the 
        stocks of the Department of Defense under section 506, 516, or 
        552 of the Foreign Assistance Act of 1961 (22 U.S.C. 2318, 
        2321j, or 2348a) or any other provision of law.
            (2) Any benefits derived by the United States from the 
        provision of defense articles, defense services, and military 
        education and training described in paragraph (1).
            (3) The affect on the readiness of the Armed Forces as a 
        result of the provision by the United States of defense 
        articles, defense services, and military education and training 
        described in paragraph (1).
            (4) The cost to the Department of Defense with respect to 
        the provision of defense articles, defense services, and 
        military education and training described in paragraph (1).
    (b) Reports.--(1) Not later than April 15, 2002, the Comptroller 
General shall submit to Congress an interim report containing the 
results to that date of the study conducted under subsection (a).
    (2) Not later than August 1, 2002, the Comptroller General shall 
submit to Congress a final report containing the results of the study 
conducted under subsection (a).

SEC. 1208. LIMITATION ON NUMBER OF MILITARY PERSONNEL IN COLOMBIA.

    (a) Limitation.--None of the funds available to the Department of 
Defense may be used to support or maintain more than 500 members of the 
Armed Forces on duty in the Republic of Colombia at any time.
    (b) Exceptions.--There shall be excluded from counting for the 
purposes of the limitation in subsection (a) the following:
            (1) A member of the Armed Forces in the Republic of 
        Colombia for the purpose of rescuing or retrieving United 
        States military or civilian Government personnel, except that 
        the period for which such a member may be so excluded may not 
        exceed 30 days unless expressly authorized by law.
            (2) A member of the Armed Forces assigned to the United 
        States Embassy in Colombia as an attache, as a member of the 
        security assistance office, or as a member of the Marine Corps 
        security contingent.
            (3) A member of the Armed Forces in Colombia to participate 
        in relief efforts in responding to a natural disaster.
            (4) Nonoperational transient military personnel.

  TITLE XIII--COOPERATIVE THREAT REDUCTION WITH STATES OF THE FORMER 
                              SOVIET UNION

SEC. 1301. SPECIFICATION OF COOPERATIVE THREAT REDUCTION PROGRAMS AND 
              FUNDS.

    (a) Specification of CTR Programs.--For purposes of section 301 and 
other provisions of this Act, Cooperative Threat Reduction programs are 
the programs specified in section 1501(b) of the National Defense 
Authorization Act for Fiscal Year 1997 (Public Law 104-201; 110 Stat. 
2731; 50 U.S.C. 2362 note).
    (b) Fiscal Year 2002 Cooperative Threat Reduction Funds Defined.--
As used in this title, the term ``fiscal year 2002 Cooperative Threat 
Reduction funds'' means the funds appropriated pursuant to the 
authorization of appropriations in section 301 for Cooperative Threat 
Reduction programs.
    (c) Availability of Funds.--Funds appropriated pursuant to the 
authorization of appropriations in section 301 for Cooperative Threat 
Reduction programs shall be available for obligation for three fiscal 
years.

SEC. 1302. FUNDING ALLOCATIONS.

    (a) Funding for Specific Purposes.--Of the $403,000,000 authorized 
to be appropriated to the Department of Defense for fiscal year 2002 in 
section 301(23) for Cooperative Threat Reduction programs, not more 
than the following amounts may be obligated for the purposes specified:
            (1) For strategic offensive arms elimination in Russia, 
        $133,400,000.
            (2) For strategic nuclear arms elimination in Ukraine, 
        $51,500,000.
            (3) For nuclear weapons transportation security in Russia, 
        $9,500,000.
            (4) For nuclear weapons storage security in Russia, 
        $56,000,000.
            (5) For biological weapons proliferation prevention 
        activities in the former Soviet Union, $17,000,000.
            (6) For activities designated as Other Assessments/
        Administrative Support, $13,200,000.
            (7) For defense and military contacts, $18,700,000.
            (8) For activities related to the construction of a 
        chemical weapons destruction facility in Russia, $35,000,000.
            (9) For elimination of chemical weapons production 
        facilities in Russia, $15,000,000.
            (10) For weapons of mass destruction infrastructure 
        elimination activities in Kazakhstan, $6,000,000.
            (11) For weapons of mass destruction infrastructure 
        elimination activities in Ukraine, $6,000,000.
            (12) For activities to assist Russia in the elimination of 
        plutonium production reactors, $41,700,000.
    (b) Report on Obligation or Expenditure of Funds for Other 
Purposes.--No fiscal year 2002 Cooperative Threat Reduction funds may 
be obligated or expended for a purpose other than a purpose listed in 
paragraphs (1) through (12) of subsection (a) until 30 days after the 
date that the Secretary of Defense submits to Congress a report on the 
purpose for which the funds will be obligated or expended and the 
amount of funds to be obligated or expended. Nothing in the preceding 
sentence shall be construed as authorizing the obligation or 
expenditure of fiscal year 2002 Cooperative Threat Reduction funds for 
a purpose for which the obligation or expenditure of such funds is 
specifically prohibited under this title or any other provision of law.
    (c) Limited Authority To Vary Individual Amounts.--(1) Subject to 
paragraphs (2) and (3), in any case in which the Secretary of Defense 
determines that it is necessary to do so in the national interest, the 
Secretary may obligate amounts appropriated for fiscal year 2002 for a 
purpose listed in any of the paragraphs in subsection (a) in excess of 
the amount specifically authorized for such purpose.
    (2) An obligation of funds for a purpose stated in any of the 
paragraphs in subsection (a) in excess of the specific amount 
authorized for such purpose may be made using the authority provided in 
paragraph (1) only after--
            (A) the Secretary submits to Congress notification of the 
        intent to do so together with a complete discussion of the 
        justification for doing so; and
            (B) 15 days have elapsed following the date of the 
        notification.
    (3) The Secretary may not, under the authority provided in 
paragraph (1), obligate amounts for the purposes stated in subsection 
(a)(3) or any of paragraphs (5) through (12) of subsection (a) in 
excess of 115 percent of the amount specifically authorized for such 
purposes.

SEC. 1303. PROHIBITION AGAINST USE OF FUNDS UNTIL SUBMISSION OF 
              REPORTS.

    No fiscal year 2002 Cooperative Threat Reduction funds may be 
obligated or expended until 30 days after the date of the submission 
of--
            (1) the report required to be submitted in fiscal year 2001 
        under section 1308(a) of the Floyd D. Spence National Defense 
        Authorization Act for Fiscal Year 2001 (as enacted in Public 
        Law 106-398; 114 Stat. 1654A-341); and
            (2) the multiyear plan required to be submitted for fiscal 
        year 2001 under section 1308(h) of such Act.

SEC. 1304. REPORT ON USE OF REVENUE GENERATED BY ACTIVITIES CARRIED OUT 
              UNDER COOPERATIVE THREAT REDUCTION PROGRAMS.

    Not later than 60 days after the date of the enactment of this Act, 
the Secretary of Defense shall submit to Congress a report describing 
how the Secretary plans to monitor the use of revenue generated by 
activities carried out under Cooperative Threat Reduction programs in 
Russia and Ukraine.

SEC. 1305. PROHIBITION AGAINST USE OF FUNDS FOR SECOND WING OF FISSILE 
              MATERIAL STORAGE FACILITY.

    (a) Prohibition.--No funds authorized to be appropriated for 
Cooperative Threat Reduction programs for any fiscal year may be used 
for the design, planning, or construction of a second wing for a 
storage facility for Russian fissile material.
    (b) Conforming Amendment.--Section 1304 of the Floyd D. Spence 
National Defense Authorization Act for Fiscal Year 2001 (as enacted in 
Public Law 106-398; 114 Stat. 1654A-341) is amended to read as follows:

``SEC. 1304. LIMITATION ON USE OF FUNDS FOR FISSILE MATERIAL STORAGE 
              FACILITY.

    Out of funds authorized to be appropriated for Cooperative Threat 
Reduction programs for fiscal year 2001 or any other fiscal year, not 
more than $412,600,000 may be used for planning, design, or 
construction of the first wing for the storage facility for Russian 
fissile material referred to in section 1302(a)(5).''.

SEC. 1306. PROHIBITION AGAINST USE OF FUNDS FOR CONSTRUCTION OR 
              REFURBISHMENT OF CERTAIN FOSSIL FUEL ENERGY PLANTS.

    Section 1307 of the Floyd D. Spence National Defense Authorization 
Act for Fiscal Year 2001 (as enacted in Public Law 106-398; 114 Stat. 
1654A-341) is amended--
            (1) by striking the heading and inserting the following new 
        heading:

``SEC. 1307. PROHIBITION AGAINST USE OF FUNDS FOR CONSTRUCTION OR 
              REFURBISHMENT OF FOSSIL FUEL ENERGY PLANTS; REPORT.''; 
              AND

            (2) by striking subsection (a) and inserting the following 
        new subsection:
    ``(a) Prohibition.--No funds appropriated for Cooperative Threat 
Reduction programs for any fiscal year may be used for the construction 
or refurbishment of a fossil fuel energy plant intended to provide 
power to local communities that receive power from nuclear energy 
plants that produce plutonium.''.

SEC. 1307. REPORTS ON ACTIVITIES AND ASSISTANCE UNDER COOPERATIVE 
              THREAT REDUCTION PROGRAMS.

    Section 1308(c)(4) of the Floyd D. Spence National Defense 
Authorization Act for Fiscal Year 2001 (as enacted in Public Law 106-
398; 114 Stat. 1654A-342) is amended--
            (1) in the matter preceding subparagraph (A)--
                    (A) by striking ``audits'' and all that follows 
                through ``conducted'' and inserting ``means (including 
                program management, audits, examinations, and other 
                means) used''; and
                    (B) by striking ``and that such assistance is being 
                used for its intended purpose'' and inserting ``, that 
                such assistance is being used for its intended purpose, 
                and that such assistance is being used efficiently and 
                effectively'';
            (2) in subparagraph (C), by inserting ``and an assessment 
        of whether the assistance being provided is being used 
        effectively and efficiently'' before the semicolon; and
            (3) in subparagraph (D), by striking ``audits, 
        examinations, and other''.

SEC. 1308. REPORT ON RESPONSIBILITY FOR CARRYING OUT COOPERATIVE THREAT 
              REDUCTION PROGRAMS.

    Not later than March 15, 2002, the Secretary of Defense shall 
submit to Congress a report describing--
            (1) the rationale for executing Cooperative Threat 
        Reduction programs under the auspices of the Department of 
        Defense and the justification for maintaining responsibility 
        for any particular project carried out through Cooperative 
        Threat Reduction programs with the Department of Defense;
            (2) options for transferring responsibility for carrying 
        out Cooperative Threat Reduction programs to an executive 
        agency (or agencies) other than the Department of Defense, if 
        appropriate; and
            (3) how such a transfer might be carried out.

SEC. 1309. CHEMICAL WEAPONS DESTRUCTION.

    Section 1305 of the National Defense Authorization Act for Fiscal 
Year 2000 (Public Law 106-65; 113 Stat. 794) is amended by inserting 
before the period at the end the following: ``until the Secretary of 
Defense submits to Congress a certification that there has been--
            ``(1) full and accurate disclosure by Russia of the size of 
        its existing chemical weapons stockpile;
            ``(2) a demonstrated annual commitment by Russia to 
        allocate at least $25,000,000 to chemical weapons elimination;
            ``(3) development by Russia of a practical plan for 
        destroying its stockpile of nerve agents;
            ``(4) enactment of a law by Russia that provides for the 
        elimination of all nerve agents at a single site; and
            ``(5) an agreement by Russia to destroy its chemical 
        weapons production facilities at Volgograd and 
        Novocheboksark''.

                TITLE XIV--DEFENSE SPACE REORGANIZATION

SEC. 1401. SHORT TITLE.

    This title may be cited as the ``Defense Space Reorganization Act 
of 2001''.

SEC. 1402. AUTHORITY TO ESTABLISH POSITION OF UNDER SECRETARY OF 
              DEFENSE FOR SPACE, INTELLIGENCE, AND INFORMATION.

    (a) Authority To Establish Position.--The President may establish 
in the Department of Defense the position of Under Secretary of Defense 
for Space, Intelligence, and Information. If that position is so 
established, the Under Secretary of Defense for Space, Intelligence, 
and Information shall perform duties and exercise powers as set forth 
in section 137 of title 10, United States Code, as added by subsection 
(e).
    (b) Deadline for Exercise of Authority.--The authority provided in 
subsection (a) may not be exercised after December 31, 2003.
    (c) Notice of Exercise of Authority.--(1) If the authority provided 
in subsection (a) is exercised, the President shall immediately submit 
to Congress notification in writing of the establishment of the 
position of Under Secretary of Defense for Space, Intelligence, and 
Information, together with the date as of which the position is 
established. If the President declines to exercise the authority 
provided in subsection (a), the President shall, before the date 
specified in subsection (b), submit to Congress a report on how the 
President has implemented the recommendations of the report of the 
Space Commission with respect to the Department of Defense.
    (2) For purposes of paragraph (1), the term ``report of the Space 
Commission'' means the report of the Commission To Assess United States 
National Security Space Management and Organization, dated January 11, 
2001, and submitted to Congress under section 1623 of the National 
Defense Authorization Act for Fiscal Year 2000 (Public Law 106-65; 113 
Stat. 815).
    (d) Contingent Enactment of U.S. Code Amendments.--If the position 
of Under Secretary of Defense for Space, Intelligence, and Information 
is established under the authority provided in subsection (a), then the 
amendments set forth in subsections (e) and (f) shall be executed, 
effective as of the date specified in the notice submitted under the 
first sentence of subsection (c)(1). Otherwise, those amendments shall 
not be executed.
    (e) Appointment, Duties, Etc., of Under Secretary.--(1) Subject to 
subsection (d), chapter 4 of title 10, United States Code, is amended--
            (A) by redesignating section 137 as section 139a and 
        transferring such section (as so redesignated) within such 
        chapter so as to appear after section 139; and
            (B) by inserting after section 136 the following new 
        section 137:
``Sec. 137. Under Secretary of Defense for Space, Intelligence, and 
              Information
    ``(a) There is an Under Secretary of Defense for Space, 
Intelligence, and Information, appointed from civilian life by the 
President, by and with the advice and consent of the Senate.
    ``(b) Subject to the authority, direction, and control of the 
Secretary of Defense, the Under Secretary of Defense for Space, 
Intelligence, and Information shall perform such duties and exercise 
such powers relating to the space, intelligence, and information 
programs and activities of the Department of Defense as the Secretary 
of Defense may prescribe.
    ``(c) The Secretary of Defense shall designate the Under Secretary 
of Defense for Space, Intelligence, and Information as the Chief 
Information Officer of the Department of Defense under section 
3506(a)(2)(B) of title 44.
    ``(d) The Under Secretary of Defense for Space, Intelligence, and 
Information takes precedence in the Department of Defense after the 
Under Secretary of Defense for Personnel and Readiness.''.
    (2) Subject to subsection (d), section 131(b) of that title is 
amended--
            (A) by redesignating paragraphs (6) through (11) as 
        paragraphs (7) through (12), respectively; and
            (B) by inserting after paragraph (5) the following new 
        paragraph (6):
            ``(6) The Under Secretary of Defense for Space, 
        Intelligence, and Information.''.
    (3) Subject to subsection (d), the table of sections at the 
beginning of chapter 4 of such title is amended--
            (A) by striking the item relating to section 137 and 
        inserting the following new item:

``137. Under Secretary of Defense for Space, Intelligence, and 
                            Information.'';
        and
            (B) by inserting after the item relating to section 139 the 
        following new item:

``139a. Director of Defense Research and Engineering.''.
    (f) Assistant Secretaries of Defense.--Subject to subsection (d), 
section 138 of such title is amended--
            (1) in subsection (a), by striking ``nine'' and inserting 
        ``eleven''; and
            (2) in subsection (b), by inserting after paragraph (2) the 
        following new paragraph:
    ``(3) Not more than three of the Assistant Secretaries may be 
assigned duties under the authority of the Under Secretary of Defense 
for Space, Intelligence, and Information and shall report to that Under 
Secretary.''.
    (g) Report.--Not later than 30 days before exercising the authority 
provided in subsection (a), the President shall submit to Congress a 
report on the proposed organization of the office of the Under 
Secretary of Defense for Space, Intelligence, and Information. If such 
a report has not been submitted as of April 15, 2002, the President 
shall submit to Congress a report, not later than that date, setting 
forth the President's view as of that date of the desirability of 
establishing the position of Under Secretary of Defense for Space, 
Intelligence, and Information in the Department of Defense.

SEC. 1403. AUTHORITY TO DESIGNATE UNDER SECRETARY OF THE AIR FORCE AS 
              ACQUISITION EXECUTIVE FOR SPACE OF THE DEPARTMENT OF 
              DEFENSE.

    (a) Executive Agent.--Part IV of subtitle A of title 10, United 
States Code, is amended by inserting after chapter 134 the following 
new chapter:

                     ``CHAPTER 135--SPACE PROGRAMS

``Sec.
``2271. Executive agent.
``Sec. 2271. Executive agent
    ``(a) Secretary of the Air Force.--The Secretary of the Air Force 
may be designated as the executive agent of the Department of Defense--
            ``(1) for the planning of the acquisition programs, 
        projects, and activities of the Department that relate to 
        space; and
            ``(2) for the execution of those programs, projects, and 
        activities.
    ``(b) Acquisition Executive.--The Secretary may designate the Under 
Secretary of the Air Force as the acquisition executive of the Air 
Force for the programs, projects, and activities referred to in 
subsection (a).''.
    (b) Clerical Amendment.--The tables of chapters at the beginning of 
such subtitle and the beginning of part IV of such subtitle are amended 
by inserting after the item relating to chapter 134 the following new 
item:

``135. Space Programs.......................................    2271''.

SEC. 1404. MAJOR FORCE PROGRAM CATEGORY FOR SPACE PROGRAMS.

    (a) Requirement.--The Secretary of Defense may create a major force 
program category for space programs for purposes of the future-years 
defense program under section 221 of title 10, United States Code.
    (b) Commencement.--If the category under subsection (a) is created, 
such category shall be included in each future-years defense program 
submitted to Congress under section 221 of title 10, United States 
Code, in fiscal years after fiscal year 2002.

SEC. 1405. COMPTROLLER GENERAL ASSESSMENT OF IMPLEMENTATION OF 
              RECOMMENDATIONS OF SPACE COMMISSION.

    (a) Assessment.--(1) The Comptroller General shall carry out an 
assessment through February 15, 2003, of the actions taken by the 
Secretary of Defense in implementing the recommendations in the report 
of the Space Commission that are applicable to the Department of 
Defense.
    (2) For purposes of paragraph (1), the term ``report of the Space 
Commission'' means the report of the Commission To Assess United States 
National Security Space Management and Organization, dated January 11, 
2001, and submitted to Congress under section 1623 of the National 
Defense Authorization Act for Fiscal Year 2000 (Public Law 106-65; 113 
Stat. 815).
    (b) Reports.--Not later than February 15 of each of 2002 and 2003, 
the Comptroller General shall submit to the Committee on Armed Services 
of the Senate and the Committee on Armed Services of the House of 
Representatives a report on the assessment carried out under subsection 
(a). Each report shall set forth the results of the assessment as of 
the date of such report.

SEC. 1406. COMMANDER OF AIR FORCE SPACE COMMAND.

    (a) In General.--Chapter 845 of title 10, United States Code, is 
amended by adding at the end the following new section:
``Sec. 8584. Commander of Air Force Space Command
    ``The Secretary of Defense may require that the officer serving as 
commander of the Air Force Space Command not serve simultaneously as 
commander of the United States Space Command (or any successor 
combatant command with responsibility for space) or as commander of the 
United States element of the North American Air Defense Command.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by adding at the end the following new item:

``8584. Commander of Air Force Space Command.''.

SEC. 1407. AUTHORITY TO ESTABLISH SEPARATE CAREER FIELD IN THE AIR 
              FORCE FOR SPACE.

    The Secretary of the Air Force, acting through the Under Secretary 
of the Air Force, may establish and implement policies and procedures 
to develop a cadre of technically competent officers with the 
capability to develop space doctrine, concepts of space operations, and 
management of space systems for the Air Force.

            DIVISION B--MILITARY CONSTRUCTION AUTHORIZATIONS

SEC. 2001. SHORT TITLE; DEFINITION.

    (a) Short Title.--This division may be cited as the ``Military 
Construction Authorization Act for Fiscal Year 2002''.
    (b) Definition of Fiscal Year 2001 Defense Authorization Act.--In 
this division, the term ``Spence Act'' means the Floyd D. Spence 
National Defense Authorization Act for Fiscal Year 2001, as enacted 
into law by Public Law 106-398 (114 Stat. 1654).

                            TITLE XXI--ARMY

SEC. 2101. AUTHORIZED ARMY CONSTRUCTION AND LAND ACQUISITION PROJECTS.

    (a) Inside the United States.--Using amounts appropriated pursuant 
to the authorization of appropriations in section 2104(a)(1), the 
Secretary of the Army may acquire real property and carry out military 
construction projects for the installations and locations inside the 
United States, and in the amounts, set forth in the following table:


                     Army: Inside the United States
------------------------------------------------------------------------
                                    Installation or
             State                      location             Amount
------------------------------------------------------------------------
Alabama........................  Anniston Army Depot..        $5,150,000
                                 Fort Rucker..........       $11,400,000
                                 Redstone Arsenal.....        $7,200,000
Alaska.........................  Fort Richardson......       $97,000,000
                                 Fort Wainwright......       $27,200,000
Arizona........................  Fort Huachuca........        $6,100,000
                                 Yuma Proving Ground..        $3,100,000
California.....................  Defense Language             $5,900,000
                                  Institute.
                                 Fort Irwin...........       $23,000,000
Colorado.......................  Fort Carson..........       $66,000,000
District of Columbia...........  Fort McNair..........       $11,600,000
Georgia........................  Fort Benning.........       $23,900,000
                                 Fort Gillem..........       $43,600,000
                                 Fort Gordon..........       $34,000,000
                                 Fort Stewart/Hunter         $39,800,000
                                  Army Air Field......
Hawaii.........................  Navy Public Works           $11,800,000
                                  Center, Pearl Harbor
                                 Pohakuloa Training           $5,100,000
                                  Facility.
                                 Wheeler Army Air            $50,000,000
                                  Field.
Kansas.........................  Fort Riley...........       $10,900,000
Kentucky.......................  Fort Campbell........       $88,900,000
Louisiana......................  Fort Polk............       $21,200,000
Maryland.......................  Aberdeen Proving            $58,300,000
                                  Ground.
                                 Fort Meade...........        $5,800,000
                                 Fort Leonard Wood....       $12,250,000
New Jersey.....................  Fort Monmouth........       $20,000,000
                                 Picatinny Arsenal....       $10,200,000
New Mexico.....................  White Sands Missile          $7,600,000
                                  Range.
New York.......................  Fort Drum............       $59,350,000
North Carolina.................  Fort Bragg...........       $21,300,000
                                 Sunny Point Military        $11,400,000
                                  Ocean Terminal......
Oklahoma.......................  Fort Sill............        $5,100,000
South Carolina.................  Fort Jackson.........        $3,650,000
Texas..........................  Corpus Christi Army         $10,400,000
                                  Depot.
                                 Fort Sam Houston.....        $9,650,000
                                 Fort Bliss...........        $5,000,000
                                 Fort Hood............      $104,200,000
Virginia.......................  Fort Belvoir.........       $35,950,000
                                 Fort Eustis..........       $24,750,000
                                 Fort Lee.............       $23,900,000
Washington.....................  Fort Lewis...........      $238,200,000
                                                       -----------------
                                     Total:...........    $1,300,710,000
------------------------------------------------------------------------


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


                     Army: Outside the United States
------------------------------------------------------------------------
                                     Installation or
            Country                      location             Amount
------------------------------------------------------------------------
Germany........................  Area Support Group,         $36,000,000
                                  Bamberg...............
                                 Area Support Group,         $13,500,000
                                  Darmstadt.............
                                 Baumholder.............      $9,000,000
                                 Hanau..................      $7,200,000
                                 Heidelberg.............     $15,300,000
                                 Mannheim...............     $16,000,000
                                 Wiesbaden Air Base.....     $26,300,000
Korea..........................  Camp Carroll...........     $16,593,000
                                 Camp Casey.............      $8,500,000
                                 Camp Hovey.............     $35,750,000
                                 Camp Humphreys.........     $14,500,000
                                 Camp Jackson...........      $6,100,000
                                 Camp Stanley...........     $28,000,000
Kwajalein......................  Kwajalein Atoll........     $11,000,000
                                                         ---------------
                                     Total:.............    $243,743,000
------------------------------------------------------------------------

    (c) Unspecified Worldwide.--Using amounts appropriated pursuant to 
the authorization of appropriations in section 2104(a)(3), the 
Secretary of the Army may acquire real property and carry out military 
construction projects for the installation and location, and in the 
amount set forth in the following table:


                       Army: Unspecified Worldwide
------------------------------------------------------------------------
            Location                   Installation           Amount
------------------------------------------------------------------------
Unspecified Worldwide..........  Classified Location....      $4,000,000
------------------------------------------------------------------------

SEC. 2102. FAMILY HOUSING.

    (a) Construction and Acquisition.--Using amounts appropriated 
pursuant to the authorization of appropriations in section 
2104(a)(6)(A), the Secretary of the Army may construct or acquire 
family housing units (including land acquisition) at the installations, 
for the purposes, and in the amounts, set forth in the following table:


                                              Army: Family Housing
----------------------------------------------------------------------------------------------------------------
            State or Country                Installation or location             Purpose               Amount
----------------------------------------------------------------------------------------------------------------
Alaska..................................  Fort Wainwright............  32 Units...................   $12,000,000
Arizona.................................  Fort Huachuca..............  72 Units...................   $10,800,000
Georgia.................................  Fort Stewart...............  160 Units..................    $2,500,000
Kansas..................................  Fort Leavenworth...........  40 Units...................   $10,000,000
Texas...................................  Fort Bliss.................  76 Units...................   $13,600,000
Korea...................................  Camp Humphreys.............  54 Units...................   $12,800,000
                                                                                                   -------------
                                                                           Total:.................   $61,700,000
----------------------------------------------------------------------------------------------------------------

    (b) Planning and Design.--Using amounts appropriated pursuant to 
the authorization of appropriations in section 2104(a)(6)(A), the 
Secretary of the Army may carry out architectural and engineering 
services and construction design activities with respect to the 
construction or improvement of family housing units in an amount not to 
exceed $11,592,000.

SEC. 2103. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.

    Subject to section 2825 of title 10, United States Code, and using 
amounts appropriated pursuant to the authorization of appropriations in 
section 2104(a)(6)(A), the Secretary of the Army may improve existing 
military family housing units in an amount not to exceed $220,750,000.

SEC. 2104. AUTHORIZATION OF APPROPRIATIONS, ARMY.

    (a) In General.--Funds are hereby authorized to be appropriated for 
fiscal years beginning after September 30, 2001, for military 
construction, land acquisition, and military family housing functions 
of the Department of the Army in the total amount of $3,018,077,000, as 
follows:
            (1) For military construction projects inside the United 
        States authorized by section 2101(a), $1,089,416,000.
            (2) For military construction projects outside the United 
        States authorized by section 2101(b), $243,743,000.
            (3) For a military construction project at an unspecified 
        worldwide location authorized by section 2101(c), $4,000,000.
            (4) For unspecified minor construction projects authorized 
        by section 2805 of title 10, United States Code, $18,000,000.
            (5) For architectural and engineering services and 
        construction design under section 2807 of title 10, United 
        States Code, $163,676,000.
            (6) For military family housing functions:
                    (A) For construction and acquisition, planning and 
                design, and improvement of military family housing and 
                facilities, $294,576,000.
                    (B) For support of military family housing 
                (including the functions described in section 2833 of 
                title 10, United States Code), $1,102,732,000.
            (7) For the construction of a cadet development center at 
        the United States Military Academy, West Point, New York, 
        authorized by section 2101(a) of the Military Construction 
        Authorization Act for Fiscal Year 1999 (division B of Public 
        Law 105-261, 112 Stat. 2182), $37,900,000.
            (8) For the construction of phase 2C of a barracks complex, 
        Tagaytay Street, at Fort Bragg, North Carolina, authorized by 
        section 2101(a) of the Military Construction Authorization Act 
        for Fiscal Year 2000 (division B of Public Law 106-65; 113 
        Stat. 825), $17,500,000.
            (9) For the construction of phase 1C of a barracks complex, 
        Wilson Street, at Schofield Barracks, Hawaii, authorized by 
        section 2101(a) of the Military Construction Authorization Act 
        for Fiscal Year 2000 (division B of Public Law 106-65, 113 
        Stat. 825), $23,000,000.
            (10) For construction of phase 2 of a basic combat training 
        complex at Fort Leonard Wood, Missouri, authorized by section 
        2101(a) of the Military Construction Authorization Act for 
        Fiscal Year 2001 (division B of the Spence Act; 114 Stat. 
        1654A-389), as amended by section 2105 of this Act, 
        $27,000,000.
            (11) For the construction of phase 2 of a battle simulation 
        center at Fort Drum, New York, authorized by section 2101(a) of 
        the Military Construction Authorization Act for Fiscal Year 
        2001 (division B of the Spence Act; 114 Stat. 1654A-389), as 
        amended by section 2105 of this Act, $9,000,000.
            (12) For the construction of phase 1 of a barracks complex, 
        Butner Road, at Fort Bragg, North Carolina, authorized by 
        section 2101(a) of the Military Construction Authorization Act 
        for Fiscal Year 2001 (division B of the Spence Act; 114 Stat. 
        1654A-389), $49,000,000.
            (13) For the construction of phase 1 of a barracks complex, 
        Longstreet Road, at Fort Bragg, North Carolina, authorized by 
        section 2101(a) of the Military Construction Authorization Act 
        for Fiscal Year 2001 (division B of the Spence Act; 114 Stat. 
        1654A-389), $27,000,000.
            (14) For the construction of a multipurpose digital 
        training range at Fort Hood, Texas, authorized by section 
        2101(a) of the Military Construction Authorization Act for 
        Fiscal Year 2001 (division B of the Spence Act; 114 Stat. 
        1654A-389), as amended by section 2105 of this Act, 
        $13,000,000.
            (15) For the homeowners assistance program, as authorized 
        by section 2832(a) of title 10, United States Code, 
        $10,119,000, to remain available until expended.
    (b) Limitation on Total Cost of Construction Projects.--
Notwithstanding the cost variations authorized by section 2853 of title 
10, United States Code, and any other cost variation authorized by law, 
the total cost of all projects carried out under section 2101 of this 
Act may not exceed--
            (1) The total amount authorized to be appropriated under 
        paragraphs (1), (2), (3) of subsection (a);
            (2) $52,000,000 (the balance of the amount authorized under 
        section 2201 (a) for construction of a barracks complex, D 
        Street, at Fort Richardson, Alaska);
            (3) $41,000,000 (the balance of the amount authorized under 
        section 2201 (a) for construction of phase 1 of a barracks 
        complex, Nelson Blvd, at Fort Carson, Colorado);
            (4) $36,000,000 (the balance of the amount authorized under 
        section 2201 (a) for construction of phase 1 of a basic combat 
        training complex at Fort Jackson, South Carolina); and
            (5) $102,000,000 (the balance of the amount authorized 
        under section 2201 (a) for construction of a barracks complex, 
        17th & B Streets, at Fort Lewis, Washington).
    (c) Adjustment.--The total amount authorized to be appropriated 
pursuant to paragraphs (1) through (15) of subsection (a) is the sum of 
the amounts authorized to be appropriated in such paragraphs, reduced 
by--
            (1) $36,168,000, which represents the combination of 
        savings resulting from adjustments to foreign currency exchange 
        rates for military construction outside the United States; and
            (2) $75,417,000, which represents the combination of 
        savings resulting from adjustments to foreign currency exchange 
        rates for military family housing construction and military 
        family housing support outside the United States.

SEC. 2105. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN FISCAL YEAR 
              2001 PROJECTS.

    (a) Modification.--The table in section 2101(a) of the Military 
Construction Authorization Act for Fiscal Year 2001 (division B of the 
Spence Act; 114 Stat. 1654A-389) is amended--
            (1) in the item relating to Fort Leonard Wood, Missouri, by 
        striking ``$65,400,000'' in the amount column and inserting 
        ``$69,400,000'';
            (2) in the item relating to Fort Drum, New York, by 
        striking ``$18,000,000'' in the amount column and inserting 
        ``$21,000,000'';
            (3) in the item relating to Fort Hood, Texas, by striking 
        ``$36,492,000'' in the amount column and inserting 
        ``$39,492,000''; and
            (4) by striking the amount identified as the total in the 
        amount column and inserting ``$623,074,000''.
    (b) Conforming Amendments.--Section 2104 of that Act (114 Stat. 
1654A-391) is amended--
            (1) in subsection (a), in the matter preceding paragraph 
        (1), by striking ``$1,925,344,000'' and inserting 
        ``$1,935,744,000'';
            (2) in subsection (b)(2), by striking ``$22,600,000'' and 
        inserting ``$27,000,000'';
            (3) in subsection (b)(3), by striking ``$10,000,000'' and 
        inserting ``$13,000,000''; and
            (4) in subsection (b)(6), by striking ``$6,000,000'' and 
        inserting ``$9,000,000''.

                            TITLE XXII--NAVY

SEC. 2201. AUTHORIZED NAVY CONSTRUCTION AND LAND ACQUISITION PROJECTS.

    (a) Inside the United States.--Using amounts appropriated pursuant 
to the authorization of appropriations in section 2204(a)(1), the 
Secretary of the Navy may acquire real property and carry out military 
construction projects for the installations and locations inside the 
United States, and in the amounts, set forth in the following table:


                     Navy: Inside the United States
------------------------------------------------------------------------
                                     Installation or
             State                      location              Amount
------------------------------------------------------------------------
Arizona........................  Marine Corps Air            $22,570,000
                                  Station, Yuma........
California.....................  Marine Air-Ground Task      $75,125,000
                                  Force Training
                                  Center, Twentynine
                                  Palms................
                                 Marine Corps Air             $4,470,000
                                  Station, Camp
                                  Pendleton............
                                 Marine Corps Air             $3,680,000
                                  Station, Miramar.....
                                 Marine Corps Base,          $96,490,000
                                  Camp Pendleton.......
                                 Naval Air Facility, El      $23,520,000
                                  Centro...............
                                 Naval Air Station,          $10,010,000
                                  Lemoore..............
                                 Naval Air Warfare           $30,200,000
                                  Center, China Lake...
                                 Naval Air Warfare           $13,730,000
                                  Center, Point Mugu,
                                  San Nicholas Island..
                                 Naval Amphibious Base,       $8,610,000
                                  Coronado.............
                                 Naval Construction          $12,400,000
                                  Battalion Center,
                                  Port Hueneme.........
                                 Naval Construction           $3,780,000
                                  Training Center, Port
                                  Hueneme..............
                                 Naval Station, San          $47,240,000
                                  Diego.
District of Columbia...........  Naval Air Facility,          $9,810,000
                                  Washington...........
Florida........................  Naval Air Station, Key      $11,400,000
                                  West.
                                 Naval Air Station,           $2,140,000
                                  Whiting Field, Milton
                                 Naval Station, Mayport      $16,420,000
                                 Naval Station,               $3,700,000
                                  Pensacola.
Hawaii.........................  Marine Corps Base,          $24,920,000
                                  Kaneohe..............
                                 Naval Magazine               $6,000,000
                                  Lualualei.
                                 Naval Shipyard, Pearl       $20,000,000
                                  Harbor.
                                 Naval Station, Pearl        $40,600,000
                                  Harbor.
                                 Navy Public Works           $16,900,000
                                  Center, Pearl Harbor.
Illinois.......................  Naval Training Center,      $82,260,000
                                  Great Lakes..........
Indiana........................  Naval Surface Warfare       $14,930,000
                                  Center, Crane........
Maine..........................  Naval Air Station,          $67,395,000
                                  Brunswick.
Maryland.......................  Naval Air Warfare            $2,260,000
                                  Center, Patuxent
                                  River................
                                 Naval Air Warfare            $5,100,000
                                  Center, St. Inigoes..
                                 Naval Explosive              $1,250,000
                                  Ordinance Disposal
                                  Technology Center,
                                  Indian Head..........
Mississippi....................  Naval Construction          $21,660,000
                                  Battalion Center,
                                  Gulfport.............
                                 Naval Air Station,           $3,400,000
                                  Meridian.
Missouri.......................  Marine Corps Support         $9,010,000
                                  Activity, Kansas City
North Carolina.................  Marine Corps Air             $4,050,000
                                  Station, New River...
                                 Marine Corps Base,          $67,070,000
                                  Camp Lejeune.........
Pennsylvania...................  Naval Foundry and           $14,800,000
                                  Propeller Center,
                                  Philadelphia.........
Rhode Island...................  Naval Station, Newport      $15,290,000
South Carolina.................  Marine Corps Air             $8,020,000
                                  Station, Beaufort....
                                 Marine Corps Recruit         $5,430,000
                                  Depot, Parris Island.
                                 Naval Hospital,              $7,600,000
                                  Beaufort.
Tennessee......................  Naval Support                $3,900,000
                                  Activity, Millington.
Texas..........................  Naval Air Station,           $9,060,000
                                  Joint Reserve Base,
                                  Ft. Worth............
Virginia.......................  Marine Corps Air             $3,790,000
                                  Facility, Quantico...
                                 Marine Corps Combat          $9,390,000
                                  Dev Com..............
                                 Naval Amphibious Base,       $9,090,000
                                  Little Creek.........
                                 Naval Station, Norfolk     $139,270,000
Washington.....................  Naval Air Station,           $3,470,000
                                  Whidbey Island.......
                                 Naval Shipyard,             $14,000,000
                                  Bremerton.
                                 Naval Station, Everett       $6,820,000
                                 Strategic Weapons            $3,900,000
                                  Facility, Bangor.....
                                                        ----------------
                                     Total:............   $1,038,920,000
------------------------------------------------------------------------


    (b) Outside the United States.--Using amounts appropriated pursuant 
to the authorization of appropriations in section 2204(a)(2), the 
Secretary of the Navy may acquire real property and carry out military 
construction projects for the locations outside the United States, and 
in the amounts, set forth in the following table:


                     Navy: Outside the United States
------------------------------------------------------------------------
                                     Installation or
            Country                      location             Amount
------------------------------------------------------------------------
Greece.........................  Naval Support Activity      $12,240,000
                                  Joint Headquarters
                                  Command, Larissa......
                                 Naval Support Activity,      $3,210,000
                                  Souda Bay.............
Guam...........................  Naval Station, Guam....      $9,300,000
                                 Navy Public Works           $14,800,000
                                  Center, Guam.
Iceland........................  Naval Air Station,           $2,820,000
                                  Keflavik.
Italy..........................  Naval Air Station,           $3,060,000
                                  Sigonella.
Spain..........................  Naval Station, Rota....      $2,240,000
                                                         ---------------
                                     Total:.............     $47,670,000
----------------------------------------------------------------------
    (a) Construction and Acquisition.--Using amounts appropriated 
pursuant to the authorization of appropriations in section 
2204(a)(5)(A), the Secretary of the Navy may construct or acquire 
family housing units (including land acquisition) at the installations, 
for the purposes, and in the amounts set forth in the following table:


                                              Navy: Family Housing
----------------------------------------------------------------------------------------------------------------
                  State                     Installation or location             Purpose               Amount
----------------------------------------------------------------------------------------------------------------
Arizona.................................  Marine Corps Air Station,    51 Units...................    $9,017,000
                                           Yuma......................
California..............................  Marine Air-Ground Task       74 Units...................   $16,250,000
                                           Force Training Center,
                                           Twentynine Palms..........
Hawaii..................................  Marine Corps Base, Kaneohe.  172 Units..................   $46,996,000
                                          Naval Station, Pearl Harbor  70 Units...................   $16,827,000
Mississippi.............................  Naval Construction           160 Units..................   $23,354,000
                                           Battalion Center, Gulfport
Virginia................................  Marine Corps Combat          81 Units...................   $10,000,000
                                           Development Command,
                                           Quantico..................
Italy...................................  Naval Air Station,           10 Units...................    $2,403,000
                                           Sigonella.................
                                                                                                   -------------
                                                                           Total:.................  $124,847,000
----------------------------------------------------------------------------------------------------------------

    (b) Planning and Design.--Using amounts appropriated pursuant to 
the authorization of appropriations in section 2204(a)(5)(A), the 
Secretary of the Navy may carry out architectural and engineering 
services and construction design activities with respect to the 
construction or improvement of military family housing units in an 
amount not to exceed $6,499,000.

SEC. 2203. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.

    Subject to section 2825 of title 10, United States Code, and using 
amounts appropriated pursuant to the authorization of appropriations in 
section 2204(a)(5)(A), the Secretary of the Navy may improve existing 
military family housing units in an amount not to exceed $201,834,000.

SEC. 2204. AUTHORIZATION OF APPROPRIATIONS, NAVY.

    (a) In General.--Funds are hereby authorized to be appropriated for 
fiscal years beginning after September 30, 2001, for military 
construction, land acquisition, and military family housing functions 
of the Department of the Navy in the total amount of $2,389,605,000, as 
follows:
            (1) For military construction projects inside the United 
        States authorized by section 2201(a), $980,018,000.
            (2) For military construction projects outside the United 
        States authorized by section 2201(b), $47,670,000.
            (3) For unspecified minor construction projects authorized 
        by section 2805 of title 10, United States Code, $10,546,000.
            (4) For architectural and engineering services and 
        construction design under section 2807 of title 10, United 
        States Code, $35,392,000.
            (5) For military family housing functions:
                    (A) For construction and acquisition, planning and 
                design, and improvement of military family housing and 
                facilities, $332,352,000.
                    (B) For support of military housing (including 
                functions described in section 2833 of title 10, United 
                States Code), $913,823,000.
            (6) For construction of phase 6 of a large anachoic chamber 
        facility at the Patuxent River Naval Air Warfare Center, 
        Maryland, authorized by section 2201(a) of the Military 
        Construction Authorization Act for Fiscal Year 1993 (division B 
        of Public Law 102-484; 106 Stat. 2590), $10,770,000.
            (7) For construction of the Commander-in-Chief 
        Headquarters, Pacific Command, Camp H.M. Smith, Hawaii, 
        authorized by section 2201(a) of the Military Construction 
        Authorization Act for Fiscal Year 2000 (division B of Public 
        Law 106-65; 113 Stat. 828), as amended by section 2205, 
        $37,580,000.
            (8) For repair of a pier at Naval Station, San Diego, 
        California, authorized by section 2201(a) of the Military 
        Construction Authorization Act for Fiscal Year 2001 (division B 
        of the Spence Act; 114 Stat. 1654A-396), $17,500,000.
            (9) For replacement of a pier at Naval Shipyard, Bremerton, 
        Washington, authorized by section 2201(a) of the Military 
        Construction Authorization Act for Fiscal Year 2001 (division B 
        of the Spence Act; 114 Stat. 1654A-396), $24,460,000.
    (b) Limitation on Total Cost of Construction Projects.--
Notwithstanding the cost variations authorized by section 2853 of title 
10, United States Code, and any other cost variation authorized by law, 
the total cost of all projects carried out under section 2201 of this 
Act may not exceed--
            (1) the total amount authorized to be appropriated under 
        paragraphs (1) and (2) of subsection (a);
            (2) $33,240,000 (the balance of the amount authorized under 
        section 2201(a) for replacement of a pier, increment I, at 
        Naval Station, Norfolk, Virginia; and
            (3) $20,100,000 (the balance of the amount authorized under 
        section 2201(a) for a combined propulsion and explosives lab at 
        Naval Air Warfare Center, China Lake, California).
    (c) Adjustment.--The total amount authorized to be appropriated 
pursuant to paragraphs (1) through (9) of subsection (a) is the sum of 
the amounts authorized to be appropriated in such paragraphs, reduced 
by--
            (1) $6,854,000, which represents the combination of savings 
        resulting from adjustments to foreign currency exchange rates 
        for military construction outside the United States; and
            (2) $13,652,000, which represents the combination of 
        savings resulting from adjustments to foreign currency exchange 
        rates for military family housing construction and military 
        family housing support outside the United States.

SEC. 2205. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN FISCAL YEAR 
              2000 PROJECT.

    (a) Modification.--The table in section 2201(a) of the Military 
Construction Authorization Act for Fiscal Year 2000 (division B of 
Public Law 106-65; 113 Stat. 828) is amended--
            (1) in the item relating to Camp H.M. Smith, Hawaii, by 
        striking ``$86,050,000'' in the amount column and inserting 
        ``$89,050,000''; and
            (2) by striking the amount identified as the total in the 
        amount column and inserting ``$820,230,000''.
    (b) Conforming Amendments.--Section 2204 of that Act (113 Stat. 
830) is amended--
            (1) in subsection (a), in the matter preceding paragraph 
        (1), by striking ``$2,108,087,000'' and inserting 
        ``$2,111,087,000''; and
            (2) in subsection (b)(3), by striking ``$70,180,000'' and 
        inserting ``$73,180,000''.

                         TITLE XXIII--AIR FORCE

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

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


                   Air Force: Inside the United States
------------------------------------------------------------------------
                                     Installation or
             State                       location             Amount
------------------------------------------------------------------------
Alabama........................  Maxwell Air Force Base.     $34,400,000
Alaska.........................  Eareckson Air Force          $4,600,000
                                  Base.
                                 Elmendorf Air Force         $32,200,000
                                  Base.
Arizona........................  Davis-Monthan Air Force     $23,500,000
                                  Base..................
                                 Luke Air Force Base....      $4,500,000
Arkansas.......................  Little Rock Air Force       $10,600,000
                                  Base..................
California.....................  Beale Air Force Base...      $7,900,000
                                 Edwards Air Force Base.     $21,300,000
                                 Los Angeles Air Force       $23,000,000
                                  Base.
                                 Travis Air Force Base..     $10,100,000
                                 Vandenberg Air Force        $11,800,000
                                  Base.
Colorado.......................  Buckley Air Force Base.     $23,200,000
                                 Schriever Air Force         $30,400,000
                                  Base.
                                 United States Air Force     $25,500,000
                                  Academy...............
District of Columbia...........  Bolling Air Force Base.      $2,900,000
Florida........................  Cape Canaveral Air           $7,800,000
                                  Force Station.........
                                 Eglin Air Force Base...     $11,400,000
                                 Hurlburt Field.........     $10,400,000
                                 MacDill Air Force Base.     $10,000,000
                                 Tyndall Air Force Base.     $20,350,000
Georgia........................  Moody Air Force Base...      $4,900,000
                                 Robins Air Force Base..     $14,650,000
Hawaii.........................  Hickman Air Force Base.      $6,300,000
Idaho..........................  Mountain Home Air Force     $14,600,000
                                  Base.
Kansas.........................  McConnell Air Force          $5,100,000
                                  Base.
Maryland.......................  Andrews Air Force Base.     $19,420,000
Massachusetts..................  Hanscom Air Force Base.      $9,400,000
Mississippi....................  Keesler Air Force Base.     $28,600,000
Nevada.........................  Nellis Air Force Base..     $12,600,000
New Jersey.....................  McGuire Air Force Base.     $36,550,000
New Mexico.....................  Cannon Air Force Base..      $9,400,000
                                 Kirtland Air Force Base     $19,800,000
North Carolina.................  Pope Air Force Base....     $17,800,000
North Dakota...................  Grand Forks Air Force        $7,800,000
                                  Base.
Ohio...........................  Wright-Patterson Air         $5,800,000
                                  Force Base............
Oklahoma.......................  Altus Air Force Base...     $20,200,000
                                 Tinker Air Force Base..     $17,700,000
South Carolina.................  Shaw Air Force Base....     $24,400,000
Tennessee......................  Arnold Air Force Base..     $24,400,000
Texas..........................  Lackland Air Force Base     $12,800,000
                                 Laughlin Air Force Base     $15,600,000
                                 Sheppard Air Force Base     $45,200,000
Utah...........................  Hill Air Force Base....     $44,000,000
Virginia.......................  Langley Air Force Base.     $47,300,000
Washington.....................  Fairchild Air Force          $2,800,000
                                  Base.
                                 McChord Air Force Base.     $20,700,000
Wyoming........................  F E Warren Air Force        $10,200,000
                                  Base.
                                                         ---------------
                                     Total:.............    $822,320,000
------------------------------------------------------------------------

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


                  Air Force: Outside the United States
------------------------------------------------------------------------
                                     Installation or
            Country                      location             Amount
------------------------------------------------------------------------
Germany........................  Ramstein Air Force Base     $42,900,000
                                 Spangdahlem Air Base...      $8,700,000
Greenland......................  Thule..................     $19,000,000
Guam...........................  Andersen Air Force Base     $10,150,000
Italy..........................  Aviano Air Base........     $11,800,000
Korea..........................  Kunsan Air Base........     $12,000,000
                                 Osan Air Base..........    $101,142,000
Turkey.........................  Eskisehir..............      $4,000,000
United Kingdom.................  Royal Air Force,            $11,300,000
                                  Lakenheath.
                                 Royal Air Force,            $22,400,000
                                  Mildenhall.
Wake Island....................  Wake Island............     $25,000,000
                                                         ---------------
                                     Total:.............    $268,392,000
------------------------------------------------------------------------

    (c) Unspecified Worldwide.--Using the amounts appropriated pursuant 
to the authorization of appropriations in section 2304(a)(3), the 
Secretary of the Air Force may acquire real property and carry out 
military construction projects for the installation and location and in 
the amounts, set forth in the following table:


                    Air Force: Unspecified Worldwide
------------------------------------------------------------------------
            Location                   Installation           Amount
------------------------------------------------------------------------
Unspecified Worldwide..........  Classified Location....      $4,458,000
------------------------------------------------------------------------

SEC. 2302. FAMILY HOUSING.

    (a) Construction and Acquisition.--Using amounts appropriated 
pursuant to the authorization of appropriations in section 
2304(a)(7)(A), the Secretary of the Air Force may construct or acquire 
family housing units (including land acquisition) at the installations, 
for the purposes, and in the amounts, set forth in the following table:


                                            Air Force: Family Housing
----------------------------------------------------------------------------------------------------------------
                 State                     Installation or location             Purpose               Amount
----------------------------------------------------------------------------------------------------------------
Arizona................................  Luke Air Force Base........  120 Units.................     $15,712,000
California.............................  Travis Air Force Base......  118 Units.................     $18,150,000
Colorado...............................  Buckley Air Force Base.....  55 Units..................     $11,400,000
Delaware...............................  Dover Air Force Base.......  120 Units.................     $18,145,000
District of Columbia...................  Bolling Air Force Base.....  136 Units.................     $16,926,000
Hawaii.................................  Hickam Air Force Base......  102 Units.................     $25,037,000
Louisiana..............................  Barksdale Air Force Base...  56 Units..................      $7,300,000
South Dakota...........................  Ellsworth Air Force Base...  78 Units..................     $13,700,000
Virginia...............................  Langley Air Force Base.....  4 Units...................      $1,200,000
Portugal...............................  Lajes Field, Azores........  64 Units..................     $13,230,000
                                                                                                 ---------------
                                                                          Total:................    $140,800,000
----------------------------------------------------------------------------------------------------------------

    (b) Planning and Design.--Using amounts appropriated pursuant to 
the authorization of appropriations in section 2304(a)(7)(A), the 
Secretary of the Air Force may carry out architectural and engineering 
services and construction design activities with respect to the 
construction or improvement of military family housing units in an 
amount not to exceed $24,558,000.

SEC. 2303. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.

    Subject to section 2825 of title 10, United States Code, and using 
amounts appropriated pursuant to the authorization of appropriations in 
section 2304(a)(7)(A), the Secretary of the Air Force may improve 
existing military family housing units in an amount not to exceed 
$370,879,000.

SEC. 2304. AUTHORIZATION OF APPROPRIATIONS, AIR FORCE.

    (a) In General.--Funds are hereby authorized to be appropriated for 
fiscal years beginning after September 30, 2001, for military 
construction, land acquisition, and military family housing functions 
of the Department of the Air Force in the total amount of 
$2,526,034,000 as follows:
            (1) For military construction projects inside the United 
        States authorized by section 2301(a), $806,020,000.
            (2) For military construction projects outside the United 
        States authorized by section 2301(b), $268,392,000.
            (3) For the military construction projects at unspecified 
        worldwide locations authorized by section 2301(c), $4,458,000.
            (4) For unspecified minor construction projects authorized 
        by section 2805 of title 10, United States Code, $11,250,000.
            (5) For architectural and engineering services and 
        construction design under section 2807 of title 10, United 
        States Code, $84,630,000.
            (6) For military housing functions:
                    (A) For construction and acquisition, planning and 
                design, and improvement of military family housing and 
                facilities, $536,237,000.
                    (B) For support of military family housing 
                (including functions described in section 2833 of title 
                10, United States Code), $866,171,000.
            (7) $12,600,000 for construction of an air freight terminal 
        and base supply complex at McGuire Air Force Base, New Jersey, 
        authorized by section 2301(a) of the Military Construction 
        Authorization Act for Fiscal Year 2001 (division B of the 
        Spence Act; 114 Stat. 1654A-399), as amended by section 2305.
    (b) Limitation on Total Cost of Construction Projects.--
Notwithstanding the cost variations authorized by section 2853 of title 
10, United States Code, and any other cost variation authorized by law, 
the total cost of all projects carried out under section 2301 of this 
Act may not exceed--
            (1) the total amount authorized to be appropriated under 
        paragraphs (1), (2), and (3) of subsection (a); and
            (2) $12,000,000 (the balance of the amount authorized under 
        section 2301(a) for a maintenance depot hanger at Hill Air 
        Force Base, Utah).
    (c) Adjustment.--The total amount authorized to be appropriated 
pursuant to paragraphs (1) through (7) of subsection (a) is the sum of 
the amounts authorized to be appropriated in such paragraphs, reduced 
by--
            (1) $15,846,000, which represents the combination of 
        savings resulting from adjustments to foreign currency exchange 
        rates for military construction outside the United States; and
            (2) $47,878,000, which represents the combination of 
        savings resulting from adjustments to foreign currency exchange 
        rates for military family housing construction and military 
        family housing support outside the United States.

SEC. 2305. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN FISCAL YEAR 
              2001 PROJECT.

    (a) Modification.--The table in section 2301(a) of the Military 
Construction Authorization Act for Fiscal Year 2001 (division B of the 
Spence Act; 114 Stat. 1654A-399) is amended--
            (1) in the item relating to McGuire Air Force Base, New 
        Jersey, by striking ``$29,772,000'' in the amount column and 
        inserting ``$32,972,000''; and
            (2) by striking the amount identified as the total in the 
        amount column and inserting ``$748,955,000''.
    (b) Conforming Amendments.--Section 2304(b)(2) of that Act (114 
Stat. 1654A-402) is amended by striking ``$9,400,000'' and inserting 
``$12,600,000''.

                      TITLE XXIV--DEFENSE AGENCIES

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

    (a) Inside the United States.--Using amounts appropriated pursuant 
to the authorization of appropriations in section 2403(a)(1), the 
Secretary of Defense may acquire real property and carry out military 
construction projects for the installations and locations inside the 
United States, and in the amounts, set forth in the following table:


               Defense Agencies: Inside the United States
------------------------------------------------------------------------
                                     Installation or
             Agency                      location             Amount
------------------------------------------------------------------------
Chemical Demilitarization......  Blue Grass Army Depot,      $47,220,000
                                  Kentucky..............
Defense Education Activity.....  Laurel Bay, South           $12,850,000
                                  Carolina..............
                                 Marine Corps Base, Camp      $8,857,000
                                  LeJeune, North
                                  Carolina..............
Defense Logistics Agency.......  Defense Distribution        $30,000,000
                                  Depot Tracy,
                                  California............
                                 Defense Distribution        $19,900,000
                                  New Cumberland,
                                  Pennsylvania..........
                                 Eielson Air Force Base,      $8,800,000
                                  Alaska................
                                 Fort Belvoir, Virginia.        $900,000
                                 Grand Forks Air Force        $9,110,000
                                  Base, North Dakota....
                                 Hickam Air Force Base,      $29,200,000
                                  Hawaii................
                                 McGuire Air Force Base,      $4,400,000
                                  New Jersey............
                                 Minot Air Force Base,       $14,000,000
                                  North Dakota..........
                                 Philadelphia,                $2,429,000
                                  Pennsylvania..........
                                 Pope Air Force Base,         $3,400,000
                                  North Carolina........
Special Operations Command.....  Aberdeen Proving             $3,200,000
                                  Ground, Maryland......
                                 Fort Benning, Georgia..      $5,100,000
                                 Fort Bragg, North           $35,962,000
                                  Carolina..............
                                 Fort Lewis, Washington.      $6,900,000
                                 Hurlburt Field, Florida     $13,400,000
                                 MacDill Air Force Base,     $12,000,000
                                  Florida...............
                                 Naval Station, San          $13,650,000
                                  Diego, California.....
TRICARE Management Activity....  Andrews Air Force Base,     $10,250,000
                                  Maryland..............
                                 Dyess Air Force Base,        $3,300,000
                                  Texas.................
                                 F. E. Warren Air Force       $2,700,000
                                  Base, Wyoming.........
                                 Fort Hood, Texas.......     $12,200,000
                                 Fort Stewart/Hunter         $11,000,000
                                  Army Air Field,
                                  Georgia...............
                                 Holloman Air Force           $5,700,000
                                  Base, New Mexico......
                                 Hurlburt Field, Florida      $8,800,000
                                 Marine Corps Base, Camp      $1,150,000
                                  Pendleton, California.
                                 Marine Corps Logistics       $5,800,000
                                  Base, Albany, Georgia.
                                 Naval Air Station,           $1,900,000
                                  Whidbey Island,
                                  Washington............
                                 Naval Hospital,              $1,600,000
                                  Twentynine Palms,
                                  California............
                                 Naval Station, Mayport,     $24,000,000
                                  Florida...............
                                 Naval Station, Norfolk,     $21,000,000
                                  Virginia..............
                                 Schriever Air Force          $4,000,000
                                  Base, Colorado........
Washington Headquarters          Pentagon Reservation,       $25,000,000
 Services......................   Virginia..............
                                                         ---------------
                                     Total:.............    $325,228,000
------------------------------------------------------------------------

    (b) Outside the United States.--Using amounts appropriated pursuant 
to the authorization of appropriations in section 2403(a)(2), the 
Secretary of Defense may acquire real property and carry out military 
construction projects for the installations and locations outside the 
United States, and in the amounts, set forth in the following table:


               Defense Agencies: Outside the United States
------------------------------------------------------------------------
                                     Installation or
             Agency                      location             Amount
------------------------------------------------------------------------
Defense Education Activity.....  Aviano Air Base, Italy.      $3,647,000
                                 Geilenkirchen AB,            $1,733,000
                                  Germany...............
                                 Heidelberg, Germany....      $3,312,000
                                 Kaiserslautern, Germany      $1,439,000
                                 Kitzingen, Germany.....      $1,394,000
                                 Landstuhl, Germany.....      $1,444,000
                                 Ramstein Air Force           $2,814,000
                                  Base, Germany.........
                                 Royal Air Force,            $22,132,000
                                  Feltwell, United
                                  Kingdom...............
                                 Vogelweh Annex, Germany      $1,558,000
                                 Wiesbaden Air Base,          $1,378,000
                                  Germany...............
                                 Wuerzburg, Germany.....      $2,684,000
Defense Logistics Agency.......  Anderson Air Force          $20,000,000
                                  Base, Guam............
                                 Camp Casey, Korea......      $5,500,000
                                 Naval Station, Rota,         $3,000,000
                                  Spain.................
                                 Yokota Air Base, Japan.     $13,000,000
Office Secretary of Defense....  Comalapa Air Base, El       $12,577,000
                                  Salvador..............
TRICARE Management Activity....  Heidelberg, Germany....     $28,000,000
                                 Lajes Field, Azores,         $3,750,000
                                  Portugal..............
                                 Thule, Greenland.......     $10,800,000
                                                         ---------------
                                     Total:.............    $140,162,000
------------------------------------------------------------------------

SEC. 2402. ENERGY CONSERVATION PROJECTS.

    Using amounts appropriated pursuant to the authorization of 
appropriations in section 2403(a)(6), the Secretary of Defense may 
carry out energy conservation projects under section 2865 of title 10, 
United States Code, in the amount of $35,600,000.

SEC. 2403. AUTHORIZATION OF APPROPRIATIONS, DEFENSE AGENCIES.

    (a) In General.--Funds are hereby authorized to be appropriated for 
fiscal years beginning after September 30, 2001, for military 
construction, land acquisition, and military family housing functions 
of the Department of Defense (other than the military departments), in 
the total amount of $1,421,319,000 as follows:
            (1) For military construction projects inside the United 
        States authorized by section 2401(a), $370,164,000.
            (2) For military construction projects outside the United 
        States authorized by section 2401(b), $140,162,000.
            (3) For unspecified minor construction projects under 
        section 2805 of title 10, United States Code, $24,492,000.
            (4) For contingency construction projects of the Secretary 
        of Defense under section 2804 of title 10, United States Code, 
        $10,000,000.
            (5) For architectural and engineering services and 
        construction design under section 2807 of title 10, United 
        States Code, $74,496,000.
            (6) For energy conservation projects authorized by section 
        2402 of this Act, $35,600,000.
            (7) For base closure and realignment activities as 
        authorized by the Defense Base Closure and Realignment Act of 
        1990 (part A of title XXIX of Public Law 101-510; 10 U.S.C. 
        2687 note), $532,200,000.
            (8) For military family housing functions:
                    (A) For improvement of military family housing and 
                facilities, $250,000.
                    (B) For support of military family housing 
                (including functions described in section 2833 of title 
                10, United States Code), $43,762,000, of which not more 
                than $37,298,000 may be obligated or expended for the 
                leasing of military family housing units worldwide.
                    (C) For credit to the Department of Defense Family 
                Housing Improvement Fund established by section 
                2883(a)(1) of title 10, United States Code, $2,000,000.
            (9) For the construction of phase 6 of an ammunition 
        demilitarization facility at Pine Bluff Arsenal, Arkansas, 
        authorized by section 2401(a) of the Military Construction 
        Authorization Act for Fiscal Year 1995 (division B of Public 
        Law 103-337; 108 Stat. 3040), as amended by section 2407 of the 
        Military Construction Authorization Act for Fiscal Year 1996 
        (division B of Public Law 104-106; 110 Stat. 539), section 2408 
        of the Military Construction Authorization Act for Fiscal Year 
        1998 (division B of Public Law 105-85; 111 Stat. 1982), section 
        2406 of the Military Construction Authorization Act for Fiscal 
        Year 1999 (division B of Public Law 105-261; 112 Stat. 2197), 
        and section 2407 of this Act, $26,000,000.
            (10) For the construction of phase 3 of an ammunition 
        demilitarization facility at Pueblo Army Depot, Colorado, 
        authorized by section 2401(a) of the Military Construction 
        Authorization Act for Fiscal Year 1997 (division B of Public 
        Law 104-201; 110 Stat. 2775), as amended by section 2406 of the 
        Military Construction Authorization Act for Fiscal Year 2000 
        (division B of Public Law 106-65; 113 Stat. 839), $11,000,000.
            (11) For construction of phase 4 of an ammunition 
        demilitarization facility at Newport Army Depot, Indiana, 
        authorized by section 2401(a) of the Military Construction 
        Authorization Act for Fiscal Year 1999 (division B of Public 
        Law 105-261; 112 Stat. 2193), $66,000,000.
            (12) For construction of phase 4 of an ammunition 
        demilitarization facility at Aberdeen Proving Ground, Maryland, 
        authorized by section 2401(a) of the Military Construction 
        Authorization Act for Fiscal Year 1999 (division B of Public 
        Law 105-261; 112 Stat. 2193), as amended by section 2406 of 
        this Act, $66,500,000.
            (13) For construction of a hospital at Fort Wainwright, 
        Alaska, authorized by section 2201(a) of the Military 
        Construction Authorization Act for Fiscal Year 2000 (division B 
        of Public Law 106-65; 113 Stat. 836), $18,500,000.
            (14) For construction of an aircrew water survival training 
        facility at Naval Air Station, Whidbey Island, Washington, 
        authorized by section 2401(a) of the Military Construction 
        Authorization Act for Fiscal Year 2000 (division B of Public 
        Law 106-65; 113 Stat. 836), as amended by section 2405 of this 
        Act, $6,600,000.
            (15) For the construction of phase 2 of an ammunition 
        demilitarization facility at Blue Grass Army Depot, Kentucky, 
        authorized by section 2401(a) of the Military Construction 
        Authorization Act for Fiscal Year 2000 (division B of Public 
        Law 106-65, 113 Stat. 836), as amended by section 2405, 
        $3,000,000.
            (16) For construction of FHOTC Support Facilities at Camp 
        Pendleton, California, authorized by section 2401(a) of the 
        Military Construction Authorization Act for Fiscal Year 2001 
        (division B of the Spence Act; 114 Stat.1654A-402), as amended 
        by section 2404 of this Act, $3,150,000.
            (17) For replacement of a Medical/Dental Clinic, Las 
        Flores, at Camp Pendleton, California, authorized by section 
        2401(a) of the Military Construction Authorization Act for 
        Fiscal Year 2001 (division B of the Spence Act; 114 Stat.1654A-
        402), as amended by section 2404 of this Act, $3,800,000.
            (18) For replacement of a Medical/Dental Clinic, Las 
        Pulgas, at Camp Pendleton, California, authorized by section 
        2401(a) of the Military Construction Authorization Act for 
        Fiscal Year 2001 (division B of the Spence Act; 114 Stat.1654A-
        402), as amended by section 2404 of this Act, $4,050,000.
            (19) For replacement of a Medical/Dental Clinic, Horno, at 
        Camp Pendleton, California, authorized by section 2401(a) of 
        the Military Construction Authorization Act for Fiscal Year 
        2001 (division B of the Spence Act; 114 Stat.1654A-402), as 
        amended by section 2404 of this Act, $4,300,000.
    (b) Limitation on Total Cost of Construction Projects.--
Notwithstanding the cost variations authorized by section 2853 of title 
10, United States Code, and any other cost variation authorized by law, 
the total cost of all projects carried out under section 2401 of this 
Act may not exceed the total amount authorized to be appropriated under 
paragraphs (1) and (2) of subsection (a).
    (c) Adjustments.--The total amount authorized to be appropriated 
pursuant to paragraphs (1) through (19) of subsection (a) is the sum of 
the amounts authorized to be appropriated in such paragraphs, reduced 
by--
            (1) $17,857,000, which represents the combination of 
        savings resulting from adjustments to foreign currency exchange 
        rates for military construction outside the United States; and
            (2) $10,250,000, which represents the combination of 
        project savings in military construction resulting from 
        favorable bids, reduced overhead charges, and cancellations due 
        to force structure changes.

SEC. 2404. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN FISCAL YEAR 
              2001 PROJECT.

    The table in section 2401(a) of the Military Construction 
Authorization Act for Fiscal Year 2001 (division B of the Spence Act; 
114 Stat. 1654A-402) is amended--
            (1) under the agency heading relating to TRICARE Management 
        Activity, in the item relating to Marine Corps Base, Camp 
        Pendleton, California, by striking ``$14,150,000'' and 
        inserting ``$15,300,000''; and
            (2) by striking the amount identified as the total in the 
        amount column and inserting ``$258,056,000''.

SEC. 2405. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN FISCAL YEAR 
              2000 PROJECTS.

    (a) Modification.--The table in section 2401(a) of the Military 
Construction Authorization Act for Fiscal Year 2000 (division B of 
Public Law 106-65; 113 Stat. 836) is amended--
            (1) under the agency heading relating to TRICARE Management 
        Activity, in the item relating to Naval Air Station, Whidbey 
        Island, Washington, by striking ``$4,700,000'' inserting 
        ``$6,600,000'';
            (2) under the agency heading relating to Chemical 
        Demilitarization, in the item relating to Blue Grass Army 
        Depot, Kentucky, by striking ``$206,800,000'' in the amount 
        column and inserting ``$254,030,000''; and
            (3) by striking the amount identified as the total in the 
        amount column and inserting ``$636,550,000''.
    (b) Conforming Amendment.--Section 2405(b)(3) of that Act (113 
Stat. 839) is amended by striking ``$184,000,000'' and inserting 
``$231,230,000''.

SEC. 2406. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN FISCAL YEAR 
              1999 PROJECT.

    The table in section 2401(a) of the Military Construction 
Authorization Act for Fiscal Year 1999 (division B of Public Law 105-
261; 112 Stat. 2193) is amended--
            (1) under the agency heading relating to Chemical 
        Demilitarization, in the item relating to Aberdeen Proving 
        Ground, Maryland, by striking ``$186,350,000'' in the amount 
        column and inserting ``$223,950,000''; and
            (2) by striking the amount identified as the total in the 
        amount column and inserting ``$727,616,000''.
    (b) Conforming Amendments.--Section 2404(b)(3) of that Act (112 
Stat. 2196) is amended by striking ``$158,000,000'' and inserting 
``$195,600,000''.

 SEC. 2407. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN FISCAL YEAR 
              1995 PROJECT.

    The table in section 2401 of the Military Construction 
Authorization Act for Fiscal Year 1995 (division B of Public Law 103-
337; 108 Stat. 3040), as amended by section 2407 of the Military 
Construction Authorization Act for Fiscal Year 1996 (division B of 
Public Law 104-106; 110 Stat. 539), section 2408 of the Military 
Construction Authorization Act for Fiscal Year 1998 (division B of 
Public Law 105-85; 111 Stat. 1982), and section 2406 of the Military 
Construction Authorization Act for Fiscal Year 1999 (division B of 
Public Law 105-261; 112 Stat. 2197), is amended under the agency 
heading relating to Chemical Agents and Munitions Destruction, in the 
item relating to Pine Bluff Arsenal, Arkansas, by striking 
``$154,400,000'' in the amount column and inserting ``$177,400,000''.

SEC. 2408. PROHIBITION ON EXPENDITURES TO DEVELOP FORWARD OPERATING 
              LOCATION ON ARUBA FOR UNITED STATES SOUTHERN COMMAND 
              COUNTER-DRUG DETECTION AND MONITORING FLIGHTS.

    None of the funds appropriated under the heading ``military 
construction, defense-wide'' in chapter 3 of title III of the Emergency 
Supplemental Act, 2000 (Public Law 106-246; 114 Stat. 579), may be used 
by the Secretary of Defense to develop any forward operating location 
on the island of Aruba to serve as a location from which the United 
States Southern Command could conduct counter-drug detection and 
monitoring flights.

   TITLE XXV--NORTH ATLANTIC TREATY ORGANIZATION SECURITY INVESTMENT 
                                PROGRAM

SEC. 2501. AUTHORIZED NATO CONSTRUCTION AND LAND ACQUISITION PROJECTS.

    The Secretary of Defense may make contributions for the North 
Atlantic Treaty Organization Security Investment Program as provided in 
section 2806 of title 10, United States Code, in an amount not to 
exceed the sum of the amount authorized to be appropriated for this 
purpose in section 2502 and the amount collected from the North 
Atlantic Treaty Organization as a result of construction previously 
financed by the United States.

SEC. 2502. AUTHORIZATION OF APPROPRIATIONS, NATO.

    Funds are hereby authorized to be appropriated for fiscal years 
beginning after September 30, 2001, for contributions by the Secretary 
of Defense under section 2806 of title 10, United States Code, for the 
share of the United States of the cost of projects for the North 
Atlantic Treaty Organization Security Investment Program authorized by 
section 2501, in the amount of $162,600,000.

                TITLE XXVI--GUARD AND RESERVE FACILITIES

SEC. 2601. AUTHORIZED GUARD AND RESERVE CONSTRUCTION AND LAND 
              ACQUISITION PROJECTS.

    (a) In General.--There are authorized to be appropriated for fiscal 
years beginning after September 30, 2001, for the costs of acquisition, 
architectural and engineering services, and construction of facilities 
for the Guard and Reserve Forces, and for contributions therefor, under 
chapter 1803 of title 10, United States Code (including the cost of 
acquisition of land for those facilities), the following amounts:
            (1) For the Department of the Army--
                    (A) for the Army National Guard of the United 
                States, $304,915,000; and
                    (B) for the Army Reserve, $173,017,000.
            (2) For the Department of the Navy, for the Naval and 
        Marine Corps Reserve, $53,291,000.
            (3) For the Department of the Air Force--
                    (A) for the Air National Guard of the United 
                States, $197,472,000; and
                    (B) for the Air Force Reserve, $79,132,000.

                        TITLE XXVII--EXPIRATION

                            AND EXTENSION OF

                             AUTHORIZATIONS

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

    (a) Expiration of Authorizations After Three Years.--Except as 
provided in subsection (b), all authorizations contained in titles XXI 
through XXVI for military construction projects, land acquisition, 
family housing projects and facilities, and contributions to the North 
Atlantic Treaty Organization Security Investment program (and 
authorizations of appropriations therefor) shall expire on the later 
of--
            (1) October 1, 2004; or
            (2) the date of the enactment of an Act authorizing funds 
        for military construction for fiscal year 2005.
    (b) Exception.--Subsection (a) shall not apply to authorizations 
for military construction projects, land acquisition, family housing 
projects and facilities, and contributions to the North Atlantic Treaty 
Organization Security Investment program (and authorizations of 
appropriations therefor) for which appropriated funds have been 
obligated before the later of--
            (1) October 1, 2004; or
            (2) the date of the enactment of an Act authorizing funds 
        for fiscal year 2005 for military construction projects, land 
        acquisition, family housing projects and facilities, or 
        contributions to the North Atlantic Treaty Organization 
        Security Investment program.

SEC. 2702. EXTENSION OF AUTHORIZATIONS OF CERTAIN FISCAL YEAR 1999 
              PROJECTS.

    (a) Exception.--Notwithstanding section 2701 of the Military 
Construction Authorization Act for Fiscal Year 1999 (division B of 
Public Law 105-261; 112 Stat. 2199), authorizations set forth in the 
tables in subsection (b), as provided in section 2302 or 2601 of that 
Act, shall remain in effect until October 1, 2002, or the date of the 
enactment of an Act authorizing funds for military construction for 
fiscal year 2003, whichever is later.
    (b) Tables.--The tables referred to in subsection (a) are as 
follows:


                               Air Force: Extension of 1999 Project Authorizations
----------------------------------------------------------------------------------------------------------------
                 State                   Installation or location             Project                 Amount
----------------------------------------------------------------------------------------------------------------
Delaware..............................  Dover Air Force Base.....  Family Housing Replacement         $8,998,000
                                                                    (55 Units)..................
Florida...............................  Patrick Air Force Base...  Family Housing Replacement         $9,692,000
                                                                    (46 Units)..................
New Mexico............................  Kirtland Air Force Base..  Family Housing Replacement         $6,400,000
                                                                    (37 Units)..................
Ohio..................................  Wright-Patterson Air       Family Housing Replacement         $5,600,000
                                         Force Base..............   (40 Units)..................
----------------------------------------------------------------------------------------------------------------



                          Army National Guard: Extension of 1999 Project Authorizations
----------------------------------------------------------------------------------------------------------------
                 State                   Installation or location             Project                 Amount
----------------------------------------------------------------------------------------------------------------
Massachusetts.........................  Westfield................  Army Aviation Support              $9,274,000
                                                                    Facility....................
South Carolina........................  Spartanburg..............  Readiness Center.............      $5,260,000
----------------------------------------------------------------------------------------------------------------

SEC. 2703. EXTENSION OF AUTHORIZATIONS OF CERTAIN FISCAL YEAR 1998 
              PROJECTS.

    (a) Extension.--Notwithstanding section 2701 of the Military 
Construction Authorization Act for Fiscal Year 1998 (division B of 
Public Law 105-85; 111 Stat. 1984), authorizations set forth in the 
tables in subsection (b), as provided in section 2102, 2202, or 2302 of 
that Act and extended by section 2702 of the Military Construction 
Authorization Act for Fiscal Year 2001 (division B of the Spence Act; 
114 Stat. 1654A-408), shall remain in effect until October 1, 2002, or 
the date of the enactment of an Act authorizing funds for military 
construction for fiscal year 2003, whichever is later.
    (b) Tables.--The tables referred to in subsection (a) are as 
follows:


                                  Army: Extension of 1998 Project Authorization
----------------------------------------------------------------------------------------------------------------
                 State                   Installation or location             Project                 Amount
----------------------------------------------------------------------------------------------------------------
Maryland..............................  Fort Meade...............  Family Housing Construction        $7,900,000
                                                                    (56 units)..................
----------------------------------------------------------------------------------------------------------------



                                 Navy: Extension of 1998 Project Authorizations
----------------------------------------------------------------------------------------------------------------
                 State                   Installation or location             Project                 Amount
----------------------------------------------------------------------------------------------------------------
California............................  Naval Complex, San Diego.  Family Housing Replacement        $13,500,000
                                                                    (94 units)..................
California............................  Marine Corps Air Station,  Family Housing Construction       $28,881,000
                                         Miramar.................   (166 units).................
Louisiana.............................  Naval Complex, New         Family Housing Replacement        $11,930,000
                                         Orleans.................   (100 units).................
Texas.................................  Naval Air Station, Corpus  Family Housing Construction       $22,250,000
                                         Christi.................   (212 units).................
----------------------------------------------------------------------------------------------------------------



                               Air Force: Extension of 1998 Project Authorization
----------------------------------------------------------------------------------------------------------------
                 State                   Installation or location             Project                 Amount
----------------------------------------------------------------------------------------------------------------
New Mexico............................  Kirtland Air Force Base..  Family Housing Replacement        $20,900,000
                                                                    (180 units).................
----------------------------------------------------------------------------------------------------------------

SEC. 2704. EFFECTIVE DATE.

    Titles XXI, XXII, XXIII, XXIV, XXV, and XXVI shall take effect on 
the later of--
            (1) October 1, 2001; or
            (2) the date of the enactment of this Act.

                    TITLE XXVIII--GENERAL PROVISIONS

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

SEC. 2801. INCREASE IN CERTAIN UNSPECIFIED MINOR MILITARY CONSTRUCTION 
              PROJECT THRESHOLDS.

    Section 2805 of title 10, United States Code, is amended--
            (1) in subsection (b)(1), by striking ``$500,000'' and 
        inserting ``$750,000'';
            (2) in subsection (c)(1)(A), by striking ``$1,000,000'' and 
        inserting ``$1,500,000''; and
            (3) in subsection (c)(1)(B), by striking ``$500,000'' and 
        inserting ``$750,000''.

SEC. 2802. EXCLUSION OF UNFORESEEN ENVIRONMENTAL HAZARD REMEDIATION 
              FROM LIMITATION ON AUTHORIZED COST VARIATIONS.

    Subsection (d) of section 2853 of title 10, United States Code, is 
amended to read as follows:
    ``(d) The limitation on cost increases in subsection (a) does not 
apply--
            ``(1) to the settlement of a contractor claim under a 
        contract; or
            ``(2) to the costs associated with the required remediation 
        of an environmental hazard in connection with a military 
        construction project or military family housing project, such 
        as asbestos removal, radon abatement, lead-based paint removal 
        or abatement, or any other legally required environmental 
        hazard remediation, if the required remediation could not have 
        reasonably been anticipated at the time the project was 
        approved originally by Congress.''.

SEC. 2803. REPEAL OF ANNUAL REPORTING REQUIREMENT ON MILITARY 
              CONSTRUCTION AND MILITARY FAMILY HOUSING ACTIVITIES.

    (a) Repeal.--Section 2861 of title 10, United States Code, is 
repealed.
    (b) Clerical Amendment.--The table of sections at the beginning of 
subchapter III of chapter 169 of such title is amended by striking the 
item relating to section 2861.

SEC. 2804. PERMANENT AUTHORIZATION FOR ALTERNATIVE AUTHORITY FOR 
              ACQUISITION AND IMPROVEMENT OF MILITARY HOUSING.

    (a) Repeal of Termination Provision.--Section 2885 of title 10, 
United States Code, is repealed.
    (b) Clerical Amendment.--The table of sections at the beginning of 
subchapter IV of chapter 169 of such title is amended by striking the 
item relating to section 2885.

        Subtitle B--Real Property and Facilities Administration

SEC. 2811. USE OF MILITARY INSTALLATIONS FOR CERTAIN RECREATIONAL 
              ACTIVITIES.

    Section 2671 of title 10, United States Code, is amended--
            (1) by transferring subsection (b) to the end of the 
        section and redesignating such subsection, as so transferred, 
        as subsection (e); and
            (2) by inserting after subsection (a) the following new 
        subsection (b):
    ``(b) Subsection (a) shall not apply with respect to all or certain 
specified hunting, fishing, or trapping at a military installation or 
facility if the Secretary of Defense determines that the application of 
the State or Territory fish and game laws to such hunting, fishing, or 
trapping without modification could result in undesirable consequences 
for public safety or adverse effects on morale, welfare, or recreation 
activities at the installation or facility. The Secretary may not waive 
or modify the requirements under subsection (a)(2) regarding a license 
for such hunting, fishing, or trapping or any fee imposed by a State or 
Territory to obtain such a license.''.

SEC. 2812. BASE EFFICIENCY PROJECT AT BROOKS AIR FORCE BASE, TEXAS.

    (a) Indemnification of Transferees.--Section 136 of the Military 
Construction Appropriations Act, 2001 (division A of Public Law 106-
246; 114 Stat. 520), is amended--
            (1) by striking subsection (n);
            (2) by redesignating subsection (m) as subsection (n); and
            (3) by inserting after subsection (l) the following new 
        subsection:
    ``(m) Indemnification of Transferees.--(1) With respect to the 
disposal of real property under subsection (e) at the Base as part of 
the Project, the Secretary shall hold harmless, defend, and indemnify 
in full the Community and other persons and entities described in 
paragraph (2) from and against any suit, claim, demand or action, 
liability, judgment, cost or other fee arising out of any claim for 
personal injury or property damage (including death, illness, or loss 
of or damage to property or economic loss) that results from, or is in 
any manner predicated upon, the release or threatened release of any 
hazardous substance, pollutant or contaminant, or petroleum or 
petroleum derivative as a result of Department of Defense activities at 
the Base.
    ``(2) The persons and entities referred to in paragraph (1) are the 
following:
            ``(A) The Community (including any officer, agent, or 
        employee of the Community) that acquires ownership or control 
        of any real property at the Base as described in paragraph (1).
            ``(B) The State of Texas or any political subdivision of 
        the State (including any officer, agent, or employee of the 
        State or political subdivision) that acquires such ownership or 
        control.
            ``(C) Any other person or entity that acquires such 
        ownership or control.
            ``(D) Any successor, assignee, transferee, lender, or 
        lessee of a person or entity described in subparagraphs (A) 
        through (C).
    ``(3) To the extent the persons and entities described in paragraph 
(2) contributed to any such release or threatened release, paragraph 
(1) shall not apply.
    ``(4) No indemnification may be afforded under this subsection 
unless the person or entity making a claim for indemnification--
            ``(A) notifies the Department of Defense in writing within 
        two years after such claim accrues or begins action within six 
        months after the date of mailing, by certified or registered 
        mail, of notice of final denial of the claim by the Department 
        of Defense;
            ``(B) furnishes to the Department of Defense copies of 
        pertinent papers the entity receives;
            ``(C) furnishes evidence or proof of any claim, loss, or 
        damage covered by this subsection; and
            ``(D) provides, upon request by the Department of Defense, 
        access to the records and personnel of the entity for purposes 
        of defending or settling the claim or action.
    ``(5) In any case in which the Secretary determines that the 
Department of Defense may be required to make indemnification payments 
to a person under this subsection for any suit, claim, demand or 
action, liability, judgment, cost or other fee arising out of any claim 
for personal injury or property damage referred to in paragraph (1), 
the Secretary may settle or defend, on behalf of that person, the claim 
for personal injury or property damage. If the person to whom the 
Department of Defense may be required to make indemnification payments 
does not allow the Secretary to settle or defend the claim, the person 
may not be afforded indemnification with respect to that claim under 
this subsection.
    ``(6) For purposes of paragraph (4)(A), the date on which a claim 
accrues is the date on which the plaintiff knew (or reasonably should 
have known) that the personal injury or property damage referred to in 
paragraph (1) was caused or contributed to by the release or threatened 
release of a hazardous substance, pollutant or contaminant, or 
petroleum or petroleum derivative as a result of Department of Defense 
activities at the Base.
    ``(7) Nothing in this subsection shall be construed as affecting or 
modifying in any way section 120(h) of the Comprehensive Environmental 
Response, Compensation, and Liability Act of 1980 (42 U.S.C. 9620(h)).
    ``(8) In this subsection, the terms `facility', `hazardous 
substance', `release', and `pollutant or contaminant' have the meanings 
given such terms in section 101 of the Comprehensive Environmental 
Response, Compensation, and Liability Act of 1980, respectively (42 
U.S.C. 9601).''.
    (b) Definitions.--Paragraph (9) of subsection (n) of such section, 
as redesignated by subsection (a)(2), is amended by striking ``, who 
shall be a civilian official of the Department appointed by the 
President with the advice and consent of the Senate''.

            Subtitle C--Defense Base Closure and Realignment

SEC. 2821. LEASE BACK OF BASE CLOSURE PROPERTY.

    (a) 1988 Law.--Section 204(b)(4) of the Defense Authorization 
Amendments and Base Closure and Realignment Act (Public Law 100-526; 10 
U.S.C. 2687 note) is amended--
            (1) by redesignating subparagraphs (E), (F), (G), (H), and 
        (I) as subparagraphs (F), (G), (H), (I), and (J), respectively; 
        and
            (2) by inserting after subparagraph (D) the following new 
        subparagraph (E):
    ``(E)(i) The Secretary may transfer real property at an 
installation approved for closure or realignment under this title 
(including property at an installation approved for realignment which 
will be retained by the Department of Defense or another Federal agency 
after realignment) to the redevelopment authority for the installation 
if the redevelopment authority agrees to lease, directly upon transfer, 
one or more portions of the property transferred under this 
subparagraph to the Secretary or to the head of another department or 
agency of the Federal Government. Subparagraph (B) shall apply to a 
transfer under this subparagraph.
    ``(ii) A lease under clause (i) shall be for a term of not to 
exceed 50 years, but may provide for options for renewal or extension 
of the term by the department or agency concerned.
    ``(iii) A lease under clause (i) may not require rental payments by 
the United States.
    ``(iv) A lease under clause (i) shall include a provision 
specifying that if the department or agency concerned ceases requiring 
the use of the leased property before the expiration of the term of the 
lease, the remainder of the lease term may be satisfied by the same or 
another department or agency of the Federal Government using the 
property for a use similar to the use under the lease. Exercise of the 
authority provided by this clause shall be made in consultation with 
the redevelopment authority concerned.
    ``(v) Notwithstanding clause (iii) or chapter 137 of title 10, 
United States Code, if a lease under clause (i) involves a substantial 
portion of the installation, the department or agency concerned may 
obtain facility services for the leased property and common area 
maintenance from the redevelopment authority or the redevelopment 
authority's assignee as a provision of the lease. The facility services 
and common area maintenance shall be provided at a rate no higher than 
the rate charged to non-Federal tenants of the transferred property. 
Facility services and common area maintenance covered by the lease 
shall not include--
            ``(I) municipal services that a State or local government 
        is required by law to provide to all landowners in its 
        jurisdiction without direct charge; or
            ``(II) firefighting or security-guard functions.''.
    (b) 1990 Law.--Section 2905(b)(4)(E) of the Defense Base Closure 
and Realignment Act of 1990 (part A of title XXIX of Public Law 101-
510; 10 U.S.C. 2687 note) is amended by adding at the end the following 
new clause:
    ``(v) Notwithstanding clause (iii) or chapter 137 of title 10, 
United States Code, if a lease under clause (i) involves a substantial 
portion of the installation, the department or agency concerned may 
obtain facility services for the leased property and common area 
maintenance from the redevelopment authority or the redevelopment 
authority's assignee as a provision of the lease. The facility services 
and common area maintenance shall be provided at a rate no higher than 
the rate charged to non-Federal tenants of the transferred property. 
Facility services and common area maintenance covered by the lease 
shall not include--
            ``(I) municipal services that a State or local government 
        is required by law to provide to all landowners in its 
        jurisdiction without direct charge; or
            ``(II) firefighting or security-guard functions.''.

                      Subtitle D--Land Conveyances

                        PART I--ARMY CONVEYANCES

SEC. 2831. MODIFICATION OF LAND EXCHANGE, ROCK ISLAND ARSENAL, 
              ILLINOIS.

    (a) Additional Conveyance Authorized.--Subsection (a) of section 
2832 of the Military Construction Authorization Act for Fiscal Year 
2000 (division B of Public Law 106-65; 113 Stat. 857) is amended--
            (1) by inserting ``(1)'' before ``The Secretary''; and
            (2) by adding at the end the following new paragraph:
    ``(2) The Secretary may convey to the City all right, title, and 
interest of the United States in and to an additional parcel of real 
property, including improvements thereon, at the Rock Island Arsenal 
consisting of approximately .513 acres.''.
    (b) Consideration.--Subsection (b) of such section is amended--
            (1) by inserting ``(1)'' before ``As consideration'';
            (2) by striking ``subsection (a)'' both places it appears 
        and inserting ``subsection (a)(1)''; and
            (3) by adding at the end the following new paragraph:
    ``(2) As consideration for the conveyance under subsection (a)(2), 
the City shall convey to the Secretary all right, title, and interest 
of the City in and to a parcel of real property consisting of 
approximately .063 acres and construct on the parcel, at the City's 
expense, a new access ramp to the Rock Island Arsenal.''.

SEC. 2832. MODIFICATION OF LAND CONVEYANCES, FORT DIX, NEW JERSEY.

    Section 2835(c) of the Military Construction Authorization Act for 
Fiscal Year 1998 (division B of Public Law 105-85; 111 Stat. 2004) is 
amended by adding at the end the following new paragraph:
    ``(3) Notwithstanding paragraphs (1) or (2), the Borough and Board 
may exchange between each other, without the consent of the Secretary, 
all or any portion of the property conveyed under subsection (a) so 
long as the property continues to be used by the grantees for economic 
development or educational purposes.''.

SEC. 2833. LEASE AUTHORITY, FORT DERUSSY, HAWAII.

    Notwithstanding section 809 of the Military Construction 
Authorization Act, 1968 (Public Law 90-110; 81 Stat. 309) and section 
2814(b) of the Military Construction Authorization Act, 1989 (Public 
Law 100-456; 102 Stat. 2117), the Secretary of the Army may enter into 
a lease with the City of Honolulu, Hawaii, for the purpose of making 
available to the City a parcel of real property at Fort DeRussy, 
Hawaii, for the construction of a parking facility.

SEC. 2834. LAND EXCHANGE AND CONSOLIDATION, FORT LEWIS, WASHINGTON.

    (a) Exchange Authorized.--(1) The Secretary of the Army may convey 
to the Nisqually Tribe, a federally recognized Indian tribe whose 
tribal lands are located within the State of Washington, all right, 
title, and interest of the United States in and to two parcels of real 
property, including any improvements thereon, consisting of 
approximately 138 acres at Fort Lewis, Washington, in exchange for the 
real property described in subsection (b).
    (2) The property authorized for conveyance under paragraph (1) does 
not include Bonneville Power Administration transmission facilities or 
the right of way described in subsection (c).
    (b) Consideration.--As consideration for the conveyance under 
subsection (a), the Nisqually Tribe shall--
            (1) acquire from Thurston Country, Washington, several 
        parcels of real property consisting of approximately 416 acres 
        that are owned by the county, are within the boundaries of Fort 
        Lewis, and are currently leased by the Army, and
            (2) convey fee title over the acquired property to the 
        Secretary.
    (c) Right-of-Way for Bonneville Power Administration.--The 
Secretary may use the authority provided in section 2668 of title 10, 
United States Code, to convey to the Bonneville Power Administration a 
right-of-way that authorizes the Bonneville Power Administration to use 
real property at Fort Lewis as a route for the Grand Coulee-Olympia and 
Olympia-White River electric transmission lines and appurtenances to 
facilitate the removal of such transmission lines from tribal lands of 
the Nisqually Tribe.
    (d) Description of Property.--The exact acreage and legal 
description of the real property to be conveyed under subsection (a) 
and acquired under subsection (b) shall be determined by a survey 
satisfactory to the Secretary and the Nisqually Tribe. The cost of the 
survey shall be borne by the recipient of the property.
    (e) Additional Terms and Conditions.--The Secretary may require 
such additional terms and conditions in connection with the conveyances 
under this section as the Secretary considers appropriate to protect 
the interests of the United States.

SEC. 2835. LAND CONVEYANCE, WHITTIER-ANCHORAGE PIPELINE TANK FARM, 
              ANCHORAGE, ALASKA.

    (a) Conveyance Authorized.--The Secretary of the Army may convey, 
without consideration, to the Port of Anchorage, an entity of the 
Municipality of Anchorage, Alaska, all right, title, and interest of 
the United States in and to two adjoining parcels of real property, 
including any improvements thereon, consisting of approximately 48 
acres in Anchorage, Alaska, which are known as of the Whittier-
Anchorage Pipeline Tank Farm, for the purpose of permitting the Port of 
Anchorage to use the parcels for economic development.
    (b) Description of Property.--The exact acreage and legal 
description of the real property to be conveyed under subsection (a) 
shall be determined by a survey satisfactory to the Secretary. The cost 
of the survey shall be borne by the recipient of the real property.
    (c) Additional Terms and Conditions.--The Secretary may require 
such additional terms and conditions in connection with the conveyance 
under this section (a) as the Secretary considers appropriate to 
protect the interests of the United States.

                       PART II--NAVY CONVEYANCES

SEC. 2841. TRANSFER OF JURISDICTION, CENTERVILLE BEACH NAVAL STATION, 
              HUMBOLDT COUNTY, CALIFORNIA.

    (a) Transfer Authorized.--The Secretary of the Navy may transfer, 
without reimbursement, to the administrative jurisdiction of the 
Secretary of the Interior the real property, including any improvements 
thereon, consisting of the closed Centerville Beach Naval Station in 
Humboldt County, California, for the purpose of permitting the 
Secretary of the Interior to manage the real property as open space or 
for other public purposes.
    (b) Legal Description.--The exact acreage and legal description of 
the real property to be transferred under this section shall be 
determined by a survey satisfactory to the Secretary of the Navy. The 
cost of the survey shall be borne by the Secretary of the Interior.
    (c) Additional Terms and Conditions.--The Secretary of the Navy may 
require such additional terms and conditions in connection with the 
transfer under this section as the Secretary of the Navy considers 
appropriate to protect the interests of the United States.

SEC. 2842. LAND CONVEYANCE, NAVAL WEAPONS INDUSTRIAL RESERVE PLANT, 
              TOLEDO, OHIO.

    (a) Conveyance Authorized.--(1) The Secretary of the Navy may 
convey, without consideration, to the Toledo-Lucas County Port 
Authority, Ohio (in this section referred to as the ``Port 
Authority''), all right, title, and interest of the United States in 
and to a parcel of real property consisting of approximately 29 acres, 
including any improvements thereon, and comprising the Naval Weapons 
Industrial Reserve Plant, Toledo, Ohio.
    (2) The Secretary may include in the conveyance under paragraph (1) 
such facilities, equipment, fixtures, and other personal property 
located or based on the parcel conveyed under that paragraph, or used 
in connection with the parcel, as the Secretary determines to be not 
required by the Navy for other purposes.
    (b) Lease Authority.--Until such time as the real property 
described in subsection (a)(1) is conveyed by deed, the Secretary may 
lease the real property, together with any improvements, facilities, 
equipment, fixtures, and other personal property thereon, to the Port 
Authority in exchange for security services, fire protection services, 
and maintenance services provided by the Port Authority for the real 
property.
    (c) Conditions of Conveyance.--(1) The conveyance under subsection 
(a), and any lease under subsection (b), shall be subject to the 
conditions that the Port Authority--
            (A) accept the parcel, and any improvements, facilities, 
        equipment, fixtures, and other personal property thereon, in 
        their condition at the time of the conveyance or lease, as the 
        case may be; and
            (B) except as provided in paragraph (2), use the parcel, 
        and any improvements, facilities, equipment, fixtures, and 
        other personal property thereon, whether directly or through an 
        agreement with a public or private entity, for economic 
        development, redevelopment, or retention purposes, including 
        the creation or preservation of jobs and employment 
        opportunities, or such other public purposes as the Port 
        Authority determines appropriate.
    (2) The Port Authority may at any time convey, lease, or sublease, 
as the case may be, the parcel, and any improvements, facilities, 
equipment, fixtures, and other personal property thereon, to a public 
or private entity for purposes described in paragraph (1)(B).
    (d) Inspection.--The Secretary may permit the Port Authority to 
review and inspect the improvements, facilities, equipment, fixtures, 
and other personal property located on the parcel described in 
subsection (a)(1) for purposes of the conveyance authorized by that 
subsection and the lease authorized by subsection (b).
    (e) Description of Property.--The exact acreage and legal 
description of the real property to be conveyed under subsection 
(a)(1), and of any facilities, equipment fixtures, or other personal 
property to be conveyed under subsection (a)(2), shall be determined by 
a survey and other means satisfactory to the Secretary. The cost of any 
activities under the preceding sentence shall be borne by the Port 
Authority.
    (f) Additional Terms and Conditions.--The Secretary may require 
such additional terms and conditions in connection with the conveyance 
under subsection (a)(1), and any lease under subsection (b), as the 
Secretary considers appropriate to protect the interests of the United 
States.

SEC. 2843. MODIFICATION OF AUTHORITY FOR CONVEYANCE OF NAVAL COMPUTER 
              AND TELECOMMUNICATIONS STATION, CUTLER, MAINE.

    Section 2853(a) of the Military Construction Authorization Act for 
Fiscal Year 2001 (division B of the Spence Act; 114 Stat. 1654A-430) is 
amended by inserting ``any or'' before ``all right''.

SEC. 2844. MODIFICATION OF LAND CONVEYANCE, FORMER UNITED STATES MARINE 
              CORPS AIR STATION, EAGLE MOUNTAIN LAKE, TEXAS.

    Section 5 of Public Law 85-258 (71 Stat. 583) is amended by 
inserting before the period at the end the following: ``or for the 
protection, maintenance, and operation of other Texas National Guard 
facilities''.

SEC. 2845. LAND TRANSFER AND CONVEYANCE, NAVAL SECURITY GROUP ACTIVITY, 
              WINTER HARBOR, MAINE.

    (a) Transfer of Jurisdiction of Schoodic Point Property 
Authorized.--(1) The Secretary of the Navy may transfer, without 
consideration, to the Secretary of the Interior administrative 
jurisdiction of a parcel of real property, including any improvements 
thereon and appurtenances thereto, consisting of approximately 26 acres 
as generally depicted as Tract 15-116 on the map entitled ``Acadia 
National Park Schoodic Point Area'', numbered 123/80,418 and dated May 
2001. The map shall be on file and available for inspection in the 
appropriate offices of the National Park Service.
    (2) The transfer authorized by this subsection shall occur, if at 
all, concurrently with the reversion of administrative jurisdiction of 
a parcel of real property consisting of approximately 71 acres, as 
depicted as Tract 15-115 on the map referred to in paragraph (1), from 
the Secretary of the Navy to the Secretary of the Interior as 
authorized by Public Law 80-260 (61 Stat. 519) and to be executed on or 
about June 30, 2002.
    (b) Conveyance of Corea and Winter Harbor Properties Authorized.--
The Secretary of the Navy may convey, without consideration, to the 
State of Maine, any political subdivision of the State of Maine, or any 
tax-supported agency in the State of Maine, all right, title, and 
interest of the United States in and to any of the parcels of real 
property, including any improvements thereon and appurtenances thereto, 
consisting of approximately 485 acres and comprising the former 
facilities of the Naval Security Group Activity, Winter Harbor, Maine, 
located in Hancock County, Maine, except for the real property 
described in subsection (a)(1).
    (c) Transfer of Personal Property.--The Secretary of the Navy shall 
transfer, without consideration, to the Secretary of the Interior in 
the case of the real property transferred under subsection (a), or to 
any recipient of such real property in the case of real property 
conveyed under subsection (b), any or all personal property associated 
with such real property so transferred or conveyed, including--
            (1) the ambulances and any fire trucks or other 
        firefighting equipment; and
            (2) any personal property required to continue the 
        maintenance of the infrastructure of such real property, 
        including the generators and an uninterrupted power supply in 
        building 154 at the Corea site.
    (d) Maintenance of Property Pending Conveyance.--The Secretary of 
the Navy shall maintain any real property, including any improvements 
thereon, appurtenances thereto, and supporting infrastructure, to be 
conveyed under subsection (b) until the earlier of--
            (1) the date of the conveyance of such real property under 
        subsection (b); or
            (2) September 30, 2003.
    (e) Interim Lease.--(1) Until such time as any parcel of real 
property to be conveyed under subsection (b) is conveyed by deed under 
that subsection, the Secretary of the Navy may lease such parcel to any 
person or entity determined by the Secretary to be an appropriate 
lessee of such parcel.
    (2) The amount of rent for a lease under paragraph (1) shall be the 
amount determined by the Secretary to be appropriate, and may be an 
amount less than the fair market value of the lease.
    (f) Reimbursement for Environmental and Other Assessments.--(1) The 
Secretary of the Navy may require each recipient of real property 
conveyed under subsection (b) to reimburse the Secretary for the costs 
incurred by the Secretary for any environmental assessment, study, or 
analysis carried out by the Secretary with respect to such property 
before completing the conveyance under that subsection.
    (2) The amount of any reimbursement required under paragraph (1) 
shall be determined by the Secretary, but may not exceed the cost of 
the assessment, study, or analysis for which reimbursement is required.
    (3) Section 2695(c) of title 10, United States Code, shall apply to 
any amount received by the Secretary under this subsection.
    (g) Description of Property.--The exact acreage and legal 
description of the real property transferred under subsection (a), and 
each parcel of real property conveyed under subsection (b), shall be 
determined by a survey satisfactory to the Secretary of the Navy. The 
cost of any survey under the preceding sentence for real property 
conveyed under subsection (b) shall be borne by the recipient of the 
real property.
    (h) Additional Terms and Conditions.--The Secretary of the Navy may 
require such additional terms and conditions in connection with any 
conveyance under subsection (b), and any lease under subsection (e), as 
the Secretary considers appropriate to protect the interests of the 
United States.

                    PART III--AIR FORCE CONVEYANCES

SEC. 2851. WATER RIGHTS CONVEYANCE, ANDERSEN AIR FORCE BASE, GUAM.

    (a) Authority To Convey.--In conjunction with the conveyance of the 
water supply system for Anderson Air Force Base, Guam, under the 
authority of section 2688 of title 10, United States Code, and in 
accordance with all the requirements of that section, the Secretary of 
the Air Force may convey all right, title, and interest of the United 
States, or such lesser estate as the Secretary considers appropriate to 
serve the interests of the United States, in the water rights related 
to the following Air Force properties located on Guam:
            (1) Andy South, also known as the Andersen Administrative 
        Annex.
            (2) Marianas Bonins Base Command.
            (3) Andersen Water Supply Annex, also known as the Tumon 
        Water Well or the Tumon Maui Well.
    (b) Additional Requirements.--The Secretary may exercise the 
authority contained in subsection (a) only if--
            (1) the Secretary determines that adequate supplies of 
        potable groundwater exist under the main base and northwest 
        field portions of Andersen Air Force Base to meet the current 
        and long-term requirements of the installation for water;
            (2) the Secretary determines that such supplies of 
        groundwater are economically obtainable; and
            (3) the Secretary requires the conveyee of the water rights 
        under subsection (a) to provide a water system capable of 
        meeting the water supply needs of the main base and northwest 
        field portions of Anderson Air Force Base, as determined by the 
        Secretary.
    (c) Interim Water Supplies.--If the Secretary determines that it is 
in the best interests of the United States to transfer title to the 
water rights and utility systems at Andy South and Andersen Water 
Supply Annex before placing into service a replacement water system and 
well field on Andersen Air Force Base, the Secretary may require that 
the United States have the primary right to all water produced from 
Andy South and Andersen Water Supply Annex until the replacement water 
system and well field is placed into service and operates to the 
satisfaction of the Secretary. In exercising the authority provided by 
this subsection, the Secretary may retain a reversionary interest in 
the water rights and utility systems at Andy South and Andersen Water 
Supply Annex until such time as the new replacement water system and 
well field is placed into service and operates to the satisfaction of 
the Secretary.
    (d) Sale of Excess Water Authorized.--(1) As part of the conveyance 
of water rights under subsection (a), the Secretary may authorize the 
conveyee of the water system to sell to public or private entities such 
water from Andersen Air Force Base as the Secretary determines to be 
excess to the needs of the United States. In the event the Secretary 
authorizes the conveyee to resell water, the Secretary shall negotiate 
a reasonable return to the United States of the value of such excess 
water sold by the conveyee, which return the Secretary may receive in 
the form of reduced charges for utility services provided by the 
conveyee.
    (2) If the Secretary cannot meet the requirements of subsection 
(b), and the Secretary determines to proceed with a water utility 
system conveyance under section 2688 of title 10, United States Code, 
without the conveyance of water rights, the Secretary may provide in 
any such conveyance that the conveyee of the water system may sell to 
public or private entities such water from Andy South and Andersen 
Water Supply Annex as the Secretary determines to be excess to the 
needs of the United States. The Secretary shall negotiate a reasonable 
return to the United States of the value of such excess water sold by 
the conveyee, which return the Secretary may receive in the form of 
reduced charges for utility services provided by the conveyee.
    (e) Treatment of Water Rights.--For purposes of section 2688 of 
title 10, United States Code, the water rights referred to in 
subsection (a) shall be considered as part of a utility system (as that 
term is defined in subsection (h)(2) of such section).

SEC. 2852. REEXAMINATION OF LAND CONVEYANCE, LOWRY AIR FORCE BASE, 
              COLORADO.

    The Secretary of the Air Force shall reevaluate the terms and 
conditions of the pending negotiated sale agreement with the Lowry 
Redevelopment Authority for certain real property at Lowry Air Force 
Base, Colorado, in light of changed circumstances regarding the 
property, including changes in the flood plain designations affecting 
some of the property, to determine whether the changed circumstances 
warrant a reduction in the amount of consideration otherwise required 
under the agreement or other modifications to the agreement.

                       Subtitle E--Other Matters

SEC. 2861. TRANSFER OF JURISDICTION FOR DEVELOPMENT OF ARMED FORCES 
              RECREATION FACILITY, PARK CITY, UTAH.

    (a) Transfer Required.--(1) The Secretary of the Interior shall 
transfer, without reimbursement, to the administrative jurisdiction of 
the Secretary of the Air Force a parcel of real property in Park City, 
Utah, including any improvements thereon, that consists of 
approximately 35 acres, is located in township 2 south, range 4 east, 
Salt Lake meridian, and is designated as parcel 3 by the Bureau of Land 
Management.
    (2) The transfer shall be subject to existing rights, except that 
the Secretary of the Interior shall terminate any lease with respect to 
the parcel issued under the Act of June 14, 1926 (commonly known as the 
Recreation and Public Purposes Act; 43 U.S.C. 689 et seq.), and still 
in effect as of the date of the enactment of this Act.
    (3) The transfer required by this subsection shall be completed not 
later than one year after the date of the enactment of this Act.
    (b) Use of Transferred Land.--(1) The Secretary of the Air Force 
may use the real property transferred under subsection (a) as the 
location for an armed forces recreation facility to be developed using 
nonappropriated funds.
    (2) The Secretary of the Air Force may return the transferred 
property (or property acquired in exchange for the transferred property 
under subsection (c)) to the administrative jurisdiction of the 
Secretary of the Interior at any time upon certifying that development 
of the armed forces recreation facility would not be in the best 
interests of the Government.
    (c) Subsequent Conveyance Authority.--(1) In lieu of developing the 
armed forces recreation facility on the real property transferred under 
subsection (a), the Secretary of the Air Force may convey or lease the 
property to the State of Utah, a local government, or a private entity 
in exchange for other property to be used as the site of the facility.
    (2) The values of the properties exchanged by the Secretary under 
this subsection either shall be equal, or if they are not equal, the 
values shall be equalized by the payment of money to the grantor or to 
the Secretary as the circumstances require. The conveyance or lease 
shall be on such other terms as the Secretary of the Air Force 
considers to be advantageous to the development of the facility.
    (d) Alternative Development Authority.--The Secretary of the Air 
Force may lease the real property transferred under subsection (a), or 
any property acquired pursuant to subsection (c), to another party and 
may enter into a contract with the party for the design, construction, 
and operation of the armed forces recreation facility. The Secretary of 
the Air Force may authorize the contractor to operate the facility as 
both a military and a commercial operation if the Secretary determines 
that such an authorization is a necessary incentive for the contractor 
to agree to design, construct, and operate the facility.
    (e) Legal Description.--The exact acreage and legal description of 
the real property to be transferred under subsection (a) shall be 
determined by a survey. The cost of the survey shall be borne by the 
Secretary of the Air Force.

SEC. 2862. SELECTION OF SITE FOR UNITED STATES AIR FORCE MEMORIAL AND 
              RELATED LAND TRANSFERS FOR THE IMPROVEMENT OF ARLINGTON 
              NATIONAL CEMETERY, VIRGINIA.

    (a) Definitions.--In this section:
            (1) The term ``Arlington Naval Annex'' means the parcel of 
        Federal land located in Arlington County, Virginia, that is 
        subject to transfer to the administrative jurisdiction of the 
        Secretary of the Army under section 2881 of the Military 
        Construction Authorization Act for Fiscal Year 2000 (division B 
        of Public Law 106-65; 113 Stat. 879).
            (2) The term ``Foundation'' means the Air Force Memorial 
        Foundation, which was authorized in Public Law 103-163 (107 
        Stat. 1973; 40 U.S.C. 1003 note) to establish a memorial in the 
        District of Columbia or its environs to honor the men and women 
        who have served in the United States Air Force and its 
        predecessors.
            (3) The term ``Air Force Memorial'' means the United States 
        Air Force Memorial to be established by the Foundation.
            (4) The term ``Arlington Ridge tract'' means the parcel of 
        Federal land in Arlington County, Virginia, known as the Nevius 
        Tract and transferred to the Department of the Interior in 
        1953, that is bounded generally by--
                    (A) Arlington Boulevard (United States Route 50) to 
                the north;
                    (B) Jefferson Davis Highway (Virginia Route 110) to 
                the east;
                    (C) Marshall Drive to the south; and
                    (D) North Meade Street to the west.
            (5) The term ``Section 29'' means a parcel of Federal land 
        in Arlington County, Virginia, that is currently administered 
        by the Secretary of the Interior within the boundaries of 
        Arlington National Cemetery and is identified as ``Section 
        29''.
    (b) Offer of Portion of Arlington Naval Annex as Site for Air Force 
Memorial.--Within 60 days after the date of the enactment of this Act, 
the Secretary of Defense shall offer to the Foundation an option to 
use, without reimbursement, up to three acres of the Arlington Naval 
Annex as the site within which the Foundation will construct the Air 
Force Memorial. The offered acreage shall include the promontory 
adjacent to, and the land underlying, Wing 8 of Federal Office Building 
#2 in the northeast quadrant of the Arlington Naval Annex.
    (c) Acceptance or Rejection of Offer.--
            (1) Deadline.--Within 90 days after the date on which the 
        Secretary of Defense makes the offer required by subsection 
        (b), the Foundation shall provide written notice to the 
        Secretary of the decision of the Foundation to accept or 
        decline the offer.
            (2) Effect of acceptance.--Subject to subsection (d), if 
        the Foundation accepts the offer of the Secretary of Defense, 
        the Foundation shall relinquish all claims to the previously 
        approved location for the Air Force Memorial. No other 
        commemorative work may thereafter be established on the 
        Arlington Naval Annex property.
            (3) Effect of rejection.--If the Foundation declines the 
        offer of the Secretary of Defense, the Foundation may resume 
        its efforts to construct the Air Force Memorial on the 
        Arlington Ridge tract from the farthest point of progress. Any 
        administrative record compiled during previous proceedings 
        related to the siting of the memorial on the Arlington Ridge 
        tract pursuant to Public Law 103-163 (40 U.S.C. 1003 note), 
        shall be preserved, and all deadlines tolled, while the 
        Foundation is considering the offer of a site for the memorial 
        within the Arlington Naval Annex.
    (d) Preparation for and Construction of Air Force Memorial.--
            (1) Preparation for construction.--Not later than two years 
        after the date on which the Foundation accepts the offer made 
        under subsection (b) and has available sufficient funds to 
        construct the Air Force Memorial, the Secretary of Defense, in 
        coordination with the Foundation, shall remove all structures 
        and prepare the Arlington Naval Annex site for use as may be 
        necessary to permit construction of the memorial and 
        appropriate access.
            (2) Construction of memorial.--Upon the removal of 
        structures and preparation of the property for use as required 
        by paragraph (1), the Secretary of Defense shall permit the 
        Foundation to commence construction of the Air Force Memorial 
        on the Arlington Naval Annex site.
            (3) Relation to other transfer authority.--Nothing in this 
        section alters the deadline for transfer of the Arlington Naval 
        Annex to the Secretary of the Army and remediation of the 
        transferred land for use as part of Arlington National 
        Cemetery, as required by section 2881 of the Military 
        Construction Authorization Act for Fiscal Year 2000.
            (4) Oversight.--The Secretary of Defense shall have 
        exclusive authority in all matters relating to approval of the 
        siting and design of the Air Force Memorial on the Arlington 
        Naval Annex site, and the siting, design, and construction of 
        the memorial on such site shall not be subject to the 
        requirements of the Commemorative Works Act (40 U.S.C. 1001 et 
        seq.).
    (e) Access and Management of Resulting Air Force Memorial.--The 
Secretary of the Army may enter into a cooperative agreement with the 
Foundation to provide for management of the Air Force Memorial 
constructed on the Arlington Naval Annex site and to guarantee public 
access to the memorial.
    (f) Land Transfer, Arlington Ridge Tract.--
            (1) Transfer required.--Within 30 days after the date of 
        the enactment of this Act, the Secretary of the Interior shall 
        transfer, without reimbursement, to the Secretary of the Army 
        administrative jurisdiction over the Arlington Ridge tract.
            (2) Use of land.--The Secretary of the Army shall 
        incorporate the Arlington Ridge tract into Arlington National 
        Cemetery and may designate and use up to 15 acres of that 
        portion of the tract east of the Netherlands Carillon and 
        Marine Corps Memorial as new in-ground burial sites, for both 
        full casket and cremated remains, for the burial of eligible 
        individuals in Arlington National Cemetery. Burial sites shall 
        not be developed within 50 feet of the pathway, in existence as 
        of the date of the enactment of this Act, that connects the 
        Netherlands Carillon and the Marine Corps Memorial or the 
        existing roadway that circles the Marine Corps Memorial. No 
        other structures shall be permitted on the Arlington Ridge 
        tract.
            (3) Access and management of existing memorials.--The 
        Secretary of the Army and the Secretary of the Interior shall 
        enter into a cooperative agreement to continue National Park 
        Service management of the Netherlands Carillon and the Marine 
        Corps Memorial and to guarantee public access to these 
        locations.
    (g) Land Transfer, Section 29.--
            (1) Transfer required.--Within 30 days after the date of 
        the enactment of this Act, the Secretary of the Interior shall 
        transfer, without reimbursement, to the Secretary of the Army 
        administrative jurisdiction over that portion of Section 29 
        located more than 50 feet from Sherman Drive and located 
        between Ord and Weitzel Drive and the southern boundary of 
        Section 29.
            (2) Use of land.--The Secretary of the Army shall use the 
        transferred property only for the development of in-ground 
        burial sites and columbarium which are designed to meet the 
        contours of Section 29. The Secretary of the Army shall 
        preserve the natural setting of the parcel and the mature trees 
        on the parcel to the greatest extent practicable while 
        providing for its efficent use as burial space.
            (3) Management of remainder.--The Secretary of the Army and 
        the Secretary of the Interior shall enter into a cooperative 
        agreement to continue National Park Service management of that 
        portion of Section 29 that is not transferred under this 
        subsection to provide a natural setting and visual buffer for 
        Arlington House, the Robert E. Lee Memorial.
    (h) Removal of Arlington Naval Annex as Possible National Military 
Museum Site.--
            (1) Existing navy annex transfer.--Section 2881 of the 
        Military Construction Authorization Act for Fiscal Year 2000 
        (division B of Public Law 106-65; 113 Stat. 879) is amended--
                    (A) in subsection (b)--
                            (i) by striking ``(1) Subject to paragraph 
                        (2), the'' and inserting ``The''; and
                            (ii) by striking paragraph (2);
                    (B) by striking subsections (d), (e), and (f); and
                    (C) by redesignating subsections (g) and (h) as 
                subsections (d) and (e), respectively.
            (2) Commission on National Military Museum.--Section 2902 
        of the Military Construction Authorization Act for Fiscal Year 
        2000 (division B of Public Law 106-65; 113 Stat. 881; 10 U.S.C. 
        111 note) is amended by striking subsection (d) and inserting 
        the following new subsection:
    ``(d) Prohibition on Consideration of Arlington Naval Annex.--The 
Commission may not consider any portion of the Navy Annex property 
described in section 2881 as a possible site for a national military 
museum.''.

SEC. 2863. MANAGEMENT OF THE PRESIDIO OF SAN FRANCISCO.

    (a) Authority To Lease Certain Housing Units for Use as Army 
Housing.--Title I of division I of the Omnibus Parks and Public Lands 
Management Act of 1996 (Public Law 104-333; 16 U.S.C. 460bb note) is 
amended by adding at the end the following new section:

``SEC. 107. AUTHORITY TO LEASE CERTAIN HOUSING UNITS WITHIN THE 
              PRESIDIO.

    ``(a) Availability of Housing Units for Army Lease.--The Trust 
shall make available for lease, to those persons designated by the 
Secretary of the Army, housing units specified in subsection (b).
    ``(b) Housing Units.--The housing units referred to in this section 
are identified as follows:
            ``(1) Liggett 715 A&B, 716 A&B, 717 A&B, 718 A&B, 719 A&B, 
        and 720 A&B.
            ``(2) West Washington 1401 A&B, 1403 A&B, and 1405 B.
            ``(3) Infantry Terrace 340, 341, 342, and 343.
            ``(4) Wright Loop 1332.
    ``(c) Replacement of Damaged or Destroyed Housing Units.--In the 
event of significant damage to or destruction of a housing unit 
specified in subsection (b), the Trust shall provide a substitute 
housing unit of equal size and accommodation.
    ``(d) Lease Amount.--The monthly amount charged by the Trust for 
the lease of a housing unit, including utilities and municipal 
services, under this section shall not exceed the monthly rate of the 
basic allowance for housing that the occupant of the housing unit is 
entitled to receive under section 403 of title 37, United States Code. 
The Department of the Army shall have no other fiscal obligations with 
regard to the housing units specified in subsection (b) or housing 
units replaced pursuant to subsection (c).
    ``(e) Relations to Trust Funding Limitations.--The Trust shall 
comply with this section without regard to the requirement of section 
105(b) that the Trust achieve financial self-sufficiency.''.
    (b) Increased Borrowing Authority.--Section 104(d)(3) of title I of 
division I of the Omnibus Parks and Public Lands Management Act of 
1996, as redesignated by section 101(13)(G) of the Omnibus Parks 
Technical Corrections Act of 2000 (Public Law 106-176; 114 Stat. 25), 
is amended--
            (1) by striking ``$50,000,000'' and inserting 
        ``$150,000,000''; and
            (2) by striking ``paragraph (3) of''.

SEC. 2864. EFFECT OF LIMITATION ON CONSTRUCTION OF ROADS OR HIGHWAYS, 
              MARINE CORPS BASE, CAMP PENDLETON, CALIFORNIA.

    Section 2851 of the Military Construction Authorization Act for 
Fiscal Year 1999 (division B of Public Law 105-261; 112 Stat. 2219), as 
amended by section 2881 of the Spence Act (114 Stat. 1654A-438), is 
amended by adding at the end the following new subsection:
    ``(g) Limitation on Construction of Roads or Highways.--If a State 
law enacted after January 1, 2001, directly or indirectly prohibits or 
restricts the construction or approval of a road or highway within the 
easement granted under this section, the State law shall not be 
effective with respect to such construction or approval.''.

SEC. 2865. ESTABLISHMENT OF WORLD WAR II MEMORIAL AT ADDITIONAL 
              LOCATION ON GUAM.

    Section 2886 of the Military Construction Authorization Act for 
Fiscal Year 2001 (division B of the Spence Act; 114 Stat. 1654A-441) is 
amended--
            (1) in subsection (a), by inserting ``, and on Federal 
        lands near Yigo,'' after ``Fena Caves'';
            (2) in the heading of subsection (b), by striking 
        ``Memorial'' and inserting ``Memorials''; and
            (3) in subsections (b) and (c), by striking ``memorial'' 
        each place it appears and inserting ``memorials''.

            TITLE XXIX--FORT IRWIN MILITARY LAND WITHDRAWAL

SEC. 2901. SHORT TITLE.

    This title may be cited as the ``Fort Irwin Military Land 
Withdrawal Act of 2001''.

SEC. 2902. WITHDRAWAL AND RESERVATION OF LANDS FOR NATIONAL TRAINING 
              CENTER.

    (a) Withdrawal.--Subject to valid existing rights and except as 
otherwise provided in this title, all public lands and interests in 
lands described in subsection (c) are hereby withdrawn from all forms 
of appropriation under the general land laws, including the mining laws 
and mineral and geothermal leasing laws, and jurisdiction over such 
lands and interests in lands withdrawn and reserved by this title is 
hereby transferred to the Secretary of the Army.
    (b) Reservation.--The lands withdrawn under subsection (a) are 
reserved for use by the Secretary of the Army for the following 
purposes:
            (1) The conduct of combined arms military training at the 
        National Training Center.
            (2) The development and testing of military equipment at 
        the National Training Center.
            (3) Other defense-related purposes consistent with the 
        purposes specified in paragraphs (1) and (2).
            (4) Conservation and related research purposes.
    (c) Land Description.--The public lands and interests in lands 
withdrawn and reserved by this section comprise approximately 110,000 
acres in San Bernardino County, California, as generally depicted as 
``Proposed Withdrawal Land'' on the map entitled ``National Training 
Center--Proposed Withdrawal of Public Lands for Training Purposes,'' 
dated September 21, 2000, and filed in accordance with section 2903.
    (d) Changes in Use.--The Secretary of the Army shall consult with 
the Secretary of the Interior before using the lands withdrawn and 
reserved by this section for any purpose other than those purposes 
identified in subsection (b).
    (e) Indian Tribes.--Nothing in this title shall be construed as 
altering any rights reserved for tribal use by treaty or Federal law. 
The Secretary of the Army shall consult with federally recognized 
Indian tribes in the vicinity of the lands withdrawn under subsection 
(a) before taking action affecting rights or cultural resources 
protected by treaty or Federal law.

SEC. 2903. MAP AND LEGAL DESCRIPTION.

    (a) Preparation of Map and Legal Description.--As soon as 
practicable after the date of the enactment of this Act, the Secretary 
of the Interior shall--
            (1) publish in the Federal Register a notice containing the 
        legal description of the lands withdrawn and reserved by this 
        title; and
            (2) file a map and legal description of the lands withdrawn 
        and reserved by this title with the Committee on Energy and 
        Natural Resources of the Senate and the Committee on Resources 
        of the House of Representatives.
    (b) Legal Effect.--The map and legal description shall have the 
same force and effect as if included in this title, except that the 
Secretary of the Interior may correct clerical and typographical errors 
in the map and legal description.
    (c) Availability.--Copies of the map and the legal description 
shall be available for public inspection in the following offices:
            (1) The offices of the California State Director, 
        California Desert District Office, and Riverside and Barstow 
        Field Offices of the Bureau of Land Management.
            (2) The Office of the Commander, National Training Center 
        and Fort Irwin.
    (d) Costs.--The Secretary of the Army shall reimburse the Secretary 
of the Interior for the costs incurred by the Secretary of the Interior 
in implementing this section.

SEC. 2904. MANAGEMENT OF WITHDRAWN AND RESERVED LANDS.

    (a) General Management Authority.--During the period of the 
withdrawal and reservation made by this title, the Secretary of the 
Army shall manage the lands withdrawn and reserved by this title for 
the purposes specified in section 2902.
    (b) Temporary Prohibition on Certain Use.--Military use of the 
lands withdrawn and reserved by this title that result in ground 
disturbance, as determined by the Secretary of the Army and the 
Secretary of the Interior, are prohibited until the Secretary of the 
Army and the Secretary of the Interior certify to Congress that there 
has been full compliance with respect to such lands with the 
appropriate provisions of this title, the Endangered Species Act of 
1973 (16 U.S.C. 1531 et seq.), the National Environmental Policy Act of 
1969 (42 U.S.C. 4321 et seq.), and other applicable laws.
    (c) Access Restrictions.--
            (1) In general.--If the Secretary of the Army determines 
        that military operations, public safety, or national security 
        require the closure to the public of any road, trail, or other 
        portion of the lands withdrawn and reserved by this title, the 
        Secretary may take such action as the Secretary determines 
        necessary or desirable to effect and maintain such closure.
            (2) Limitation.--Any closure under paragraph (1) shall be 
        limited to the minimum areas and periods that the Secretary of 
        the Army determines are required for the purposes specified in 
        such paragraph.
            (3) Notice.--Immediately preceding and during any closure 
        under paragraph (1), the Secretary of the Army shall post 
        appropriate warning notices and take other steps, as necessary, 
        to notify the public of the closure.
    (d) Integrated Natural Resources Management Plan.--The Secretary of 
the Army shall prepare and implement, in accordance with title I of the 
Sikes Act (16 U.S.C. 670 et seq.), an integrated natural resources 
management plan for the lands withdrawn and reserved by this title. In 
addition to the elements required under the Sikes Act, the integrated 
natural resources management plan shall include the following:
            (1) A requirement that any hunting, fishing, and trapping 
        on the lands withdrawn and reserved by this title be conducted 
        in accordance with section 2671 of title 10, United States 
        Code.
            (2) A requirement that the Secretary of the Army take 
        necessary actions to prevent, suppress, and manage brush and 
        range fires occurring within the boundaries of Fort Irwin and 
        brush and range fires occurring outside the boundaries of Fort 
        Irwin that result from military activities at Fort Irwin.
    (e) Firefighting.--Notwithstanding section 2465 of title 10, United 
States Code, the Secretary of the Army may obligate funds appropriated 
or otherwise available to the Secretary of the Army to enter into a 
memorandum of understanding, cooperative agreement, or contract for 
fire fighting services to carry out the requirements of subsection 
(d)(2). The Secretary of the Army shall reimburse the Secretary of the 
Interior for costs incurred by the Secretary of the Interior to assist 
in carrying out the requirements of such subsection.
    (f) Consultation With National Aeronautics and Space 
Administration.--In preparing and implementing any plan, report, 
assessment, survey, opinion, or impact statement regarding the lands 
withdrawn and reserved by this title, the Secretary of the Army shall 
consult with the Administrator of the National Aeronautics and Space 
Administration whenever proposed Army actions have the potential to 
affect the operations or the environmental management of the Goldstone 
Deep Space Communications Complex. The requirement for consultation 
shall apply, at a minimum, to the following:
            (1) Plans for military training, military equipment 
        testing, or related activities that have the potential of 
        impacting communications between Goldstone Deep Space 
        Communications Complex and space flight missions or other 
        transmission or receipt of signals from outer space by the 
        Goldstone Deep Space Communications Complex.
            (2) The integrated natural resources management plan 
        required by subsection (d).
            (3) The West Mojave Coordinated Management Plan referred to 
        in section 2907.
            (4) Any document prepared in compliance with the Endangered 
        Species Act of 1973, the National Environmental Policy Act of 
        1969, and other laws applicable to the lands withdrawn and 
        reserved by this title.
    (g) Use of Mineral Materials.--Notwithstanding any other provision 
of this title or the Act of July 31, 1947 (commonly known as the 
Materials Act of 1947, 30 U.S.C. 601 et seq.), the Secretary of the 
Army may use sand, gravel, or similar mineral material resources of the 
type subject to disposition under such Act from the lands withdrawn and 
reserved by this title if the use of such resources is required for 
construction needs of the National Training Center.

SEC. 2905. WATER RIGHTS.

    (a) No Reserved Water Right Established.--Nothing in this title 
shall be construed--
            (1) to establish a reservation in favor of the United 
        States with respect to any water or water right on the lands 
        withdrawn and reserved by this title; or
            (2) to authorize the appropriation of water on such lands 
        by the United States after the date of the enactment of this 
        Act, except in accordance with applicable State law.
    (b) Effect on Previously Acquired or Reserved Water Rights.--This 
section shall not be construed to affect any water rights acquired or 
reserved by the United States before the date of the enactment of this 
Act, and the Secretary of the Army may exercise any such previously 
acquired or reserved water rights.

SEC. 2906. ENVIRONMENTAL COMPLIANCE AND ENVIRONMENTAL RESPONSE 
              REQUIREMENTS.

    (a) Agreement Concerning Environment and Public Health.--The 
Secretary of the Army and the Secretary of the Interior may enter into 
such agreements concerning the environment and public health as are 
necessary, appropriate, and in the public interest to carry out the 
purposes of this title.
    (b) Relation to Other Environmental Laws.--Nothing in this section 
shall be construed to alter the rights, responsibilities, and 
obligations of the Secretary of the Army or the Secretary of the 
Interior under the Comprehensive Environmental Response, Compensation 
and Liability Act of 1980 (42 U.S.C. 9601 et seq.) or other 
environmental laws applicable to the lands withdrawn and reserved by 
this title.

SEC. 2907. WEST MOJAVE COORDINATED MANAGEMENT PLAN.

    (a) Completion.--The Secretary of the Interior shall make every 
effort to complete the West Mojave Coordinated Management Plan not 
later than two years after the date of the enactment of this Act.
    (b) Consideration of Withdrawal and Reservation Impacts.--The 
Secretary of the Interior shall ensure that the West Mojave Coordinated 
Management Plan considers the impacts of the availability or 
nonavailability of the lands withdrawn and reserved by this title on 
the plan as a whole.
    (c) Consultation.--The Secretary of the Interior shall consult with 
the Secretary of the Army and the Administrator of the National 
Aeronautics and Space Administration in the development of the West 
Mojave Coordinated Management Plan.

SEC. 2908. RELEASE OF WILDERNESS STUDY AREAS.

    Congress hereby finds and directs that lands withdrawn and reserved 
by this title have been adequately studied for wilderness designation 
pursuant to section 603(c) of the Federal Land Policy and Management 
Act of 1976 (43 U.S.C. 1782(c)), and are no longer subject to the 
requirement of such section pertaining to the management of wilderness 
study areas in a manner that does not impair the suitability of such 
areas for preservation as wilderness.

SEC. 2909. TRAINING ACTIVITY SEPARATION FROM UTILITY CORRIDORS.

    (a) Required Separation.--All military ground activity training on 
the lands withdrawn and reserved by this title shall remain at least 
500 meters from any utility system, in existence as of the date of the 
enactment of this Act, in Utility Planning Corridor D, as described in 
the California Desert Conservation Area Plan, dated 1980 and 
subsequently amended.
    (b) Exception.--Subsection (a) does not modify the use of any lands 
used, as of the date of the enactment of this Act, by the National 
Training Center for training or alter any right of access granted by 
interagency agreement.

SEC. 2910. DURATION OF WITHDRAWAL AND RESERVATION.

    (a) Termination Date.--Unless extended pursuant to section 2911, 
unless relinquishment is postponed by the Secretary of the Interior 
pursuant to section 2912(b), and except as provided in section 2912(d), 
the withdrawal and reservation made by this title shall terminate 25 
years after the date of the enactment of this Act.
    (b) Limitation on Subsequent Availability for Appropriation.--At 
the time of termination of the withdrawal and reservation made by this 
title, the previously withdrawn lands shall not be open to any forms of 
appropriation under the general land laws, including the mining laws 
and the mineral and geothermal leasing laws, until the Secretary of the 
Interior publishes in the Federal Register an appropriate order that 
shall state the date upon which such lands shall be restored to the 
public domain and opened.

SEC. 2911. EXTENSION OF INITIAL WITHDRAWAL AND RESERVATION.

    (a) Notification Requirement.--Not later than three years before 
the termination date specified in section 2910(a), the Secretary of the 
Army shall notify Congress and the Secretary of the Interior concerning 
whether the Army will have a continuing military need, beyond the 
termination date, for all or any portion of the lands withdrawn and 
reserved by this title.
    (b) Process for Extension of Withdrawal and Reservation.--
            (1) Consultation and application.--If the Secretary of the 
        Army determines that there will be a continuing military need 
        after the termination date for any of the lands withdrawn and 
        reserved by this title, the Secretary of the Army shall--
                    (A) consult with the Secretary of the Interior 
                concerning any adjustments to be made to the extent of, 
                or to the allocation of management responsibility for, 
                such needed lands; and
                    (B) file with the Secretary of the Interior, within 
                one year after the notice required by subsection (a), 
                an application for extension of the withdrawal and 
                reservation of such needed lands.
            (2) Application requirements.--Notwithstanding any general 
        procedure of the Department of the Interior for processing 
        Federal land withdrawals, an application for extension of the 
        land withdrawal and reservation made by this title shall be 
        considered to be complete if the application includes the 
        information required by section 3 of Public Law 85-337 
        (commonly known as the Engle Act; 43 U.S.C. 157), except that 
        no information shall be required concerning the use or 
        development of mineral, timber, or grazing resources unless, 
        and only to the extent, the Secretary of the Army proposes to 
        use or develop such resources during the period of extension.
    (c) Submission of Proposed Extension to Congress.--The Secretary of 
the Interior and the Secretary of the Army may submit to Congress a 
legislative proposal for the extension of the withdrawal and 
reservation made by this title. The legislative proposal shall be 
accompanied by an appropriate analysis of environmental impacts 
associated with the proposal, as required by section 102(2)(C) of the 
National Environmental Policy Act of 1969 (42 U.S.C. 4332(2)(C)).

SEC. 2912. TERMINATION AND RELINQUISHMENT.

    (a) Notice of Termination.--During the first 22 years of the 
withdrawal and reservation made by this title, if the Secretary of the 
Army determines that there is no continuing military need for the lands 
withdrawn and reserved by this title, or any portion of such lands, the 
Secretary of the Army shall submit to the Secretary of the Interior a 
notice of intent to relinquish jurisdiction over such lands. The notice 
shall specify the proposed date of relinquishment.
    (b) Acceptance of Jurisdiction.--The Secretary of the Interior may 
accept jurisdiction over any lands covered by a notice under subsection 
(a) if the Secretary of the Interior determines that the Secretary of 
the Army has taken or will take all environmental response and 
restoration activities required under applicable laws and regulations.
    (c) Notice of Acceptance.--If the Secretary of the Interior decides 
to accept jurisdiction over lands covered by a notice under subsection 
(a) before the termination date of the withdrawal and reservation, the 
Secretary shall publish in the Federal Register an appropriate order 
that shall--
            (1) terminate the withdrawal and reservation of such lands 
        under this title;
            (2) constitute official acceptance of administrative 
        jurisdiction over the lands by the Secretary of the Interior; 
        and
            (3) state the date upon which such lands shall be opened to 
        the operation of the general land laws, including the mining 
        laws and the mineral and geothermal leasing laws, if 
        appropriate.
    (d) Retained Army Jurisdiction.--Notwithstanding the termination 
date specified in section 2910, unless and until the Secretary of the 
Interior accepts jurisdiction of land proposed for relinquishment 
pursuant to this section, such land shall remain withdrawn and reserved 
for the Secretary of the Army for the limited purposes of environmental 
response and restoration actions under section 2906 and continued land 
management responsibilities pursuant to the integrated natural 
resources management plan required under section 2904, until such 
environmental response and restoration activities on those lands are 
completed.
    (e) Severability of Functions.--All functions described under this 
section, including transfers, relinquishments, extensions, and other 
determinations, may be made on a parcel-by-parcel basis.

SEC. 2913. DELEGATION OF AUTHORITY.

    (a) Secretary of the Army.--The Secretary of the Army may delegate 
to officials in the Department of the Army such functions as the 
Secretary of the Army may determine appropriate to carry out this 
title.
    (b) Secretary of the Interior.--The functions of the Secretary of 
the Interior under this title may be delegated, except that the order 
described in section 2912(c) may be approved and signed only by the 
Secretary of the Interior, the Deputy Secretary of the Interior, or an 
Assistant Secretary of the Department of the Interior.

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

      TITLE XXXI--DEPARTMENT OF ENERGY NATIONAL SECURITY PROGRAMS

         Subtitle A--National Security Programs Authorizations

SEC. 3101. NATIONAL NUCLEAR SECURITY ADMINISTRATION.

    Funds are hereby authorized to be appropriated to the Department of 
Energy for fiscal year 2002 for the activities of the National Nuclear 
Security Administration in carrying out programs necessary for national 
security in the amount of $6,859,895,000, to be allocated as follows:
            (1) Weapons activities.--For weapons activities, 
        $5,369,488,000, to be allocated as follows:
                    (A) For stewardship operation and maintenance, 
                $4,527,192,000, to be allocated as follows:
                            (i) For directed stockpile work, 
                        $1,043,791,000.
                            (ii) For campaigns, $2,036,413,000, to be 
                        allocated as follows:
                                    (I) For operation and maintenance, 
                                $1,653,441,000.
                                    (II) For construction, 
                                $382,972,000, to be allocated as 
                                follows:
                                            Project 01-D-101, 
                                        distributed information systems 
                                        laboratory, Sandia National 
                                        Laboratories, Livermore, 
                                        California, $5,400,000.
                                            Project 00-D-103, terascale 
                                        simulation facility, Lawrence 
                                        Livermore National Laboratory, 
                                        Livermore, California, 
                                        $20,000,000.
                                            Project 00-D-105, strategic 
                                        computing complex, Los Alamos 
                                        National Laboratory, Los 
                                        Alamos, New Mexico, 
                                        $11,070,000.
                                            Project 00-D-107, joint 
                                        computational engineering 
                                        laboratory, Sandia National 
                                        Laboratories, Albuquerque, New 
                                        Mexico, $5,377,000.
                                            Project 98-D-125, tritium 
                                        extraction facility, Savannah 
                                        River Plant, Aiken, South 
                                        Carolina, $81,125,000.
                                            Project 98-D-126, 
                                        accelerator production of 
                                        tritium (APT), various 
                                        locations, $15,000,000.
                                            Project 96-D-111, national 
                                        ignition facility (NIF), 
                                        Lawrence Livermore National 
                                        Laboratory, Livermore, 
                                        California, $245,000,000.
                            (iii) For readiness in technical base and 
                        facilities, $1,446,988,000, to be allocated as 
                        follows:
                                    (I) For operation and maintenance, 
                                $1,292,324,000.
                                    (II) For plant projects (including 
                                maintenance, restoration, planning, 
                                construction, acquisition, modification 
                                of facilities, and the continuation of 
                                projects authorized in prior years, and 
                                land acquisition related thereto), 
                                $154,664,000, to be allocated as 
                                follows:
                                            Project 02-D-101, 
                                        microsystems and engineering 
                                        sciences applications (MESA), 
                                        Sandia National Laboratories, 
                                        Albuquerque, New Mexico, 
                                        $2,000,000.
                                            Project 02-D-103, project 
                                        engineering and design (PED), 
                                        various locations, $9,180,000.
                                            Project 02-D-107, 
                                        electrical power systems safety 
                                        communications and bus 
                                        upgrades, Nevada Test Site, 
                                        Nevada, $3,507,000.
                                            Project 01-D-103, 
                                        preliminary project design and 
                                        engineering, various locations, 
                                        $45,379,000.
                                            Project 01-D-124, highly 
                                        enriched uranium (HEU) 
                                        materials storage facility, Y-
                                        12 Plant, Oak Ridge, Tennessee, 
                                        $9,500,000.
                                            Project 01-D-126, weapons 
                                        evaluation test laboratory, 
                                        Pantex Plant, Amarillo, Texas, 
                                        $7,700,000.
                                            Project 01-D-800, sensitive 
                                        compartmented information 
                                        facility, Lawrence Livermore 
                                        National Laboratory, Livermore, 
                                        California, $12,993,000.
                                            Project 99-D-103, isotope 
                                        sciences facilities, Lawrence 
                                        Livermore National Laboratory, 
                                        Livermore, California, 
                                        $4,400,000.
                                            Project 99-D-104, 
                                        protection of real property 
                                        (roof reconstruction, phase 
                                        II), Lawrence Livermore 
                                        National Laboratory, Livermore, 
                                        California, $2,800,000.
                                            Project 99-D-106, model 
                                        validation and system 
                                        certification center, Sandia 
                                        National Laboratories, 
                                        Albuquerque, New Mexico, 
                                        $4,955,000.
                                            Project 99-D-125, replace 
                                        boilers and controls, Kansas 
                                        City Plant, Kansas City, 
                                        Missouri, $300,000.
                                            Project 99-D-127, stockpile 
                                        management restructuring 
                                        initiative, Kansas City plant, 
                                        Kansas City, Missouri, 
                                        $22,200,000.
                                            Project 99-D-128, stockpile 
                                        management restructuring 
                                        initiative, Pantex Plant, 
                                        Amarillo, Texas, $3,300,000.
                                            Project 98-D-123, stockpile 
                                        management restructuring 
                                        initiative, tritium facility 
                                        modernization and 
                                        consolidation, Savannah River 
                                        Plant, Aiken, South Carolina, 
                                        $13,700,000.
                                            Project 98-D-124, stockpile 
                                        management restructuring 
                                        initiative, Y-12 consolidation, 
                                        Oak Ridge, Tennessee, 
                                        $6,850,000.
                                            Project 97-D-123, 
                                        structural upgrades, Kansas 
                                        City Plant, Kansas City, 
                                        Missouri, $3,000,000.
                                            Project 96-D-102, stockpile 
                                        stewardship facilities 
                                        revitalization, Phase VI, 
                                        various locations, $2,900,000.
                    (B) For facilities and infrastructure, $50,600,000.
                    (C) For secure transportation asset, $121,800,000, 
                to be allocated as follows:
                            (i) For operation and maintenance, 
                        $77,571,000.
                            (ii) For program direction, $44,229,000.
                    (D) For safeguards and security, $448,881,000, to 
                be allocated as follows:
                            (i) For operations and maintenance, 
                        $439,281,000.
                            (ii) For plant projects (including 
                        maintenance, restoration, planning, 
                        construction, acquisition, modification of 
                        facilities, and the continuation of projects 
                        authorized in prior years, and land acquisition 
                        related thereto), $9,600,000, to be allocated 
                        as follows:
                                    Project 99-D-132, stockpile 
                                management restructuring initiative, 
                                nuclear material safeguards and 
                                security upgrades project, Los Alamos 
                                National Laboratory, Los Alamos, New 
                                Mexico, $9,600,000.
                    (E) For program direction, $250,000,000.
                    (F) The total amount authorized by this paragraph 
                is the sum of the amounts authorized to be appropriated 
                by subparagraphs (A) through (E), reduced by 
                $28,985,000, to be derived from a security charge for 
                reimbursable work.
            (2) Defense nuclear nonproliferation.--For other nuclear 
        security activities, $773,700,000, to be allocated as follows:
                    (A) For nonproliferation and verification research 
                and development, $206,102,000, to be allocated as 
                follows:
                            (i) For operation and maintenance, 
                        $170,296,000.
                            (ii) For plant projects (including 
                        maintenance, restoration, planning, 
                        construction, acquisition, modification of 
                        facilities, and the continuation of projects 
                        authorized in prior years, and land acquisition 
                        related thereto), $35,806,000, to be allocated 
                        as follows:
                                    Project 00-D-192, nonproliferation 
                                and international security center 
                                (NISC), Los Alamos National Laboratory, 
                                Los Alamos, New Mexico, $35,806,000.
                    (B) For arms control, $101,500,000.
                    (C) For international materials protection, 
                control, and accounting, $138,800,000.
                    (D) For highly enriched uranium transparency 
                implementation, $13,950,000.
                    (E) For international nuclear safety, $10,800,000.
                    (F) For fissile materials control and disposition, 
                $293,089,000, to be allocated as follows:
                            (i) For United States surplus fissile 
                        materials disposition, $236,089,000, to be 
                        allocated as follows:
                                    (I) For operation and maintenance, 
                                $130,089,000.
                                    (II) For plant projects (including 
                                maintenance, restoration, planning, 
                                construction, acquisition, modification 
                                of facilities, and the continuation of 
                                projects authorized in prior years, and 
                                land acquisition related thereto), 
                                $106,000,000, to be allocated as 
                                follows:
                                            Project 01-D-407, highly 
                                        enriched uranium blend-down, 
                                        Savannah River Site, Aiken, 
                                        South Carolina, $24,000,000.
                                            Project 99-D-141, pit 
                                        disassembly and conversion 
                                        facility, Savannah River Site, 
                                        Aiken, South Carolina, 
                                        $16,000,000.
                                            Project 99-D-143, mixed 
                                        oxide fuel fabrication 
                                        facility, Savannah River Site, 
                                        Aiken, South Carolina, 
                                        $63,000,000.
                                            Project 99-D-142, 
                                        immobilization and associated 
                                        processing facility, Savannah 
                                        River Site, Aiken, South 
                                        Carolina, $3,000,000.
                            (ii) For Russian surplus fissile materials 
                        disposition, $57,000,000, to be allocated as 
                        follows:
                                    (I) For Russian plutonium 
                                disposition, and support and oversight 
                                in the United States, $56,000,000.
                                    (II) For advanced reactor 
                                technology, $1,000,000.
                    (G) For program direction, $51,459,000.
                    (H) The total amount authorized by this paragraph 
                is the sum of the amounts authorized to be appropriated 
                by subparagraphs (A) through (G), reduced by 
                $42,000,000, to be derived from offsets and use of 
                prior year balances.
            (3) Naval reactors.--For naval reactors, $688,045,000, to 
        be allocated as follows:
                    (A) For naval reactors development, $665,445,000, 
                to be allocated as follows:
                            (i) For operation and maintenance, 
                        $652,245,000.
                            (ii) For plant projects (including 
                        maintenance, restoration, planning, 
                        construction, acquisition, modification of 
                        facilities, and the continuation of projects 
                        authorized in prior years, and land acquisition 
                        related thereto), $13,200,000, to be allocated 
                        as follows:
                                    Project 01-D-200, major office 
                                replacement building, Schenectady, New 
                                York, $9,000,000.
                                    Project 90-N-102, expended core 
                                facility dry cell project, Naval 
                                Reactors Facility, Idaho, $4,200,000.
                    (B) For program direction, $22,600,000.
            (4) Defense nuclear counterintelligence.--For defense 
        nuclear counterintelligence, $13,662,000.
            (5) Office of administrator for nuclear security.--For the 
        Office of the Administrator for Nuclear Security, for program 
        direction, $15,000,000.

SEC. 3102. DEFENSE ENVIRONMENTAL RESTORATION AND WASTE MANAGEMENT.

    (a) In General.--Funds are hereby authorized to be appropriated to 
the Department of Energy for fiscal year 2002 for environmental 
restoration and waste management activities in carrying out programs 
necessary for national security in the amount of $4,646,427,000, to be 
allocated as follows:
            (1) Closure projects.--For closure projects carried out in 
        accordance with section 3143 of the National Defense 
        Authorization Act for Fiscal Year 1997 (Public Law 104-201; 110 
        Stat. 2836; 42 U.S.C. 7277n), $1,050,538,000.
            (2) Site/project completion.--For site completion and 
        project completion in carrying out environmental management 
        activities necessary for national security programs, 
        $920,196,000, to be allocated as follows:
                    (A) For operation and maintenance, $872,030,000.
                    (B) For plant projects (including maintenance, 
                restoration, planning, construction, acquisition, 
                modification of facilities, and the continuation of 
                projects authorized in prior years, and land 
                acquisition related thereto), $48,166,000, to be 
                allocated as follows:
                            Project 02-D-420, FB line plutonium 
                        stabilization and packaging, Savannah River 
                        Site, Aiken, South Carolina, $20,000,000.
                            Project 01-D-402, Intec cathodic protection 
                        system expansion, Idaho National Engineering 
                        and Environmental Laboratory, Idaho Falls, 
                        Idaho, $3,256,000.
                            Project 01-D-414, preliminary project, 
                        engineering and design (PE&D), various 
                        locations, $10,254,000.
                            Project 99-D-402, tank farm support 
                        services, F&H areas, Savannah River Site, 
                        Aiken, South Carolina, $5,040,000.
                            Project 99-D-404, health physics 
                        instrumentation laboratory, Idaho National 
                        Engineering and Environmental Laboratory, Idaho 
                        Falls, Idaho, $2,700,000.
                            Project 98-D-453, plutonium stabilization 
                        and handling system for plutonium finishing 
                        plant, Richland, Washington, $1,910,000.
                            Project 96-D-471, chlorofluorocarbon 
                        heating, ventilation, and air conditioning and 
                        chiller retrofit, Savannah River Site, Aiken, 
                        South Carolina, $4,244,000.
                            Project 86-D-103, decontamination and waste 
                        treatment facility, Lawrence Livermore National 
                        Laboratory, Livermore, California, $762,000.
            (3) Post-2006 completion.--For post-2006 completion in 
        carrying out environmental restoration and waste management 
        activities necessary for national security programs, 
        $3,021,201,000, to be allocated as follows:
                    (A) For operation and maintenance, $1,761,979,000.
                    (B) For plant projects (including maintenance, 
                restoration, planning, construction, acquisition, 
                modification of facilities, and the continuation of 
                projects authorized in prior years, and land 
                acquisition related thereto), $6,754,000, to be 
                allocated as follows:
                            Project 93-D-187, high-level waste removal 
                        from filled waste tanks, Savannah River Site, 
                        Aiken, South Carolina, $6,754,000.
                    (C) For the Office of River Protection in carrying 
                out environmental restoration and waste management 
                activities necessary for national security programs, 
                $832,468,000, to be allocated as follows:
                            (i) For operation and maintenance, 
                        $272,151,000.
                            (ii) For plant projects (including 
                        maintenance, restoration, planning, 
                        construction, acquisition, modification of 
                        facilities, and the continuation of projects 
                        authorized in prior years, and land acquisition 
                        related thereto), $560,317,000, to be allocated 
                        as follows:
                                    Project 01-D-416, waste treatment 
                                and immobilization plant, Richland, 
                                Washington, $520,000,000.
                                    Project 97-D-402, tank farm 
                                restoration and safe operations, 
                                Richland, Washington, $33,473,000.
                                    Project 94-D-407, initial tank 
                                retrieval systems, Richland, 
                                Washington, $6,844,000.
            (4) Science and technology development.--For science and 
        technology development in carrying out environmental 
        restoration and waste management activities necessary for 
        national security programs, $196,000,000.
            (5) Excess facilities.--For excess facilities in carrying 
        out environmental restoration and waste management activities 
        necessary for national security programs, $1,300,000.
            (6) Safeguards and security.--For safeguards and security 
        in carrying out environmental restoration and waste management 
        activities necessary for national security programs, 
        $205,621,000.
            (7) Program direction.--For program direction in carrying 
        out environmental restoration and waste management activities 
        necessary for national security programs, $355,761,000.
    (b) Adjustment.--The total amount authorized to be appropriated by 
subsection (a) is the sum of the amounts authorized to be appropriated 
by paragraphs (1) through (7) of that subsection, reduced by 
$53,652,000, to be derived from offsets and use of prior year balances.

SEC. 3103. OTHER DEFENSE ACTIVITIES.

    (a) In General.--Funds are hereby authorized to be appropriated to 
the Department of Energy for fiscal year 2002 for other defense 
activities in carrying out programs necessary for national security in 
the amount of $502,099,000, to be allocated as follows:
            (1) Intelligence.--For intelligence, $40,844,000.
            (2) Counterintelligence.--For counterintelligence, 
        $32,727,000.
            (3) Security and emergency operations.--For security and 
        emergency operations, $269,250,000, to be allocated as follows:
                    (A) For nuclear safeguards and security, 
                $121,188,000.
                    (B) For security investigations, $44,927,000.
                    (C) For corporate management information programs, 
                $20,000,000.
                    (D) For program direction, $83,135,000.
            (4) Independent oversight and performance assurance.--For 
        independent oversight and performance assurance, $14,904,000.
            (5) Environment, safety, and health.--For the Office of 
        Environment, Safety, and Health, $105,293,000, to be allocated 
        as follows:
                    (A) For environment, safety, and health (defense), 
                $84,500,000.
                    (B) For program direction, $20,793,000.
            (6) Worker and community transition assistance.--For worker 
        and community transition assistance, $21,900,000, to be 
        allocated as follows:
                    (A) For worker and community transition, 
                $19,000,000.
                    (B) For program direction, $2,900,000.
            (7) Office of hearings and appeals.--For the Office of 
        Hearings and Appeals, $2,893,000.
            (8) National security programs administrative support.--For 
        national security programs administrative support, $25,000,000.
    (b) Adjustment.--The amount authorized to be appropriated pursuant 
to subsection (a) is the total of the amounts authorized to be 
appropriated by paragraphs (1) through (8) of that subsection, reduced 
by $10,712,000, of which $10,000,000 is to reflect an offset provided 
by use of prior year balances and $712,000 is to reflect an offset 
provided by user organizations for security investigations.

SEC. 3104. DEFENSE ENVIRONMENTAL MANAGEMENT PRIVATIZATION.

    Funds are hereby authorized to be appropriated to the Department of 
Energy for fiscal year 2002 for privatization initiatives in carrying 
out environmental restoration and waste management activities necessary 
for national security programs in the amount of $126,208,000, to be 
allocated as follows:
            Project 98-PVT-2, spent nuclear fuel dry storage, Idaho 
        Falls, Idaho, $49,332,000.
            Project 97-PVT-2, advanced mixed waste treatment project 
        Idaho Falls, Idaho, $40,000,000.
            Project 97-PVT-3, transuranic waste treatment, Oak Ridge, 
        Tennessee, $10,826,000.
            Project 98-PVT-5, environmental management/waste management 
        disposal, Oak Ridge, Tennessee, $26,050,000.

SEC. 3105. DEFENSE NUCLEAR WASTE DISPOSAL.

    Funds are hereby authorized to be appropriated to the Department of 
Energy for fiscal year 2002 for payment to the Nuclear Waste Fund 
established in section 302(c) of the Nuclear Waste Policy Act of 1982 
(42 U.S.C. 10222(c)) in the amount of $310,000,000.

                Subtitle B--Recurring General Provisions

SEC. 3121. REPROGRAMMING.

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

SEC. 3122. LIMITS ON GENERAL PLANT PROJECTS.

    (a) In General.--The Secretary of Energy may carry out any 
construction project under the general plant projects authorized by 
this title if the total estimated cost of the construction project does 
not exceed $5,000,000.
    (b) Report to Congress.--If, at any time during the construction of 
any general plant project authorized by this title, the estimated cost 
of the project is revised because of unforeseen cost variations and the 
revised cost of the project exceeds $5,000,000, the Secretary shall 
immediately furnish a report to the congressional defense committees 
explaining the reasons for the cost variation.

SEC. 3123. LIMITS ON CONSTRUCTION PROJECTS.

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

SEC. 3124. FUND TRANSFER AUTHORITY.

    (a) Transfer to Other Federal Agencies.--The Secretary of Energy 
may transfer funds authorized to be appropriated to the Department of 
Energy pursuant to this title to other Federal agencies for the 
performance of work for which the funds were authorized. Funds so 
transferred may be merged with and be available for the same purposes 
and for the same time period as the authorizations of the Federal 
agency to which the amounts are transferred.
    (b) Transfer Within Department of Energy.--(1) Subject to paragraph 
(2), the Secretary of Energy may transfer funds authorized to be 
appropriated to the Department of Energy pursuant to this title between 
any such authorizations. Amounts of authorizations so transferred may 
be merged with and be available for the same purposes and for the same 
period as the authorization to which the amounts are transferred.
    (2) Not more than 5 percent of any such authorization may be 
transferred between authorizations under paragraph (1). No such 
authorization may be increased or decreased by more than 5 percent by a 
transfer under such paragraph.
    (c) Limitations.--The authority provided by this section to 
transfer authorizations--
            (1) may be used only to provide funds for items relating to 
        activities necessary for national security programs that have a 
        higher priority than the items from which the funds are 
        transferred; and
            (2) may not be used to provide funds for an item for which 
        Congress has specifically denied funds.
    (d) Notice to Congress.--The Secretary of Energy shall promptly 
notify the Committees on Armed Services of the Senate and House of 
Representatives of any transfer of funds to or from authorizations 
under this title.

SEC. 3125. AUTHORITY FOR CONCEPTUAL AND CONSTRUCTION DESIGN.

    (a) Requirement of Conceptual Design.--(1) Subject to paragraph (2) 
and except as provided in paragraph (3), before submitting to Congress 
a request for funds for a construction project that is in support of a 
national security program of the Department of Energy, the Secretary of 
Energy shall complete a conceptual design for that project.
    (2) If the estimated cost of completing a conceptual design for a 
construction project exceeds $3,000,000, the Secretary shall submit to 
Congress a request for funds for the conceptual design before 
submitting a request for funds for the construction project.
    (3) The requirement in paragraph (1) does not apply to a request 
for funds--
            (A) for a construction project the total estimated cost of 
        which is less than $5,000,000; or
            (B) for emergency planning, design, and construction 
        activities under section 3126.
    (b) Authority for Construction Design.--(1) Within the amounts 
authorized by this title, the Secretary of Energy may carry out 
construction design (including architectural and engineering services) 
in connection with any proposed construction project if the total 
estimated cost for such design does not exceed $600,000.
    (2) If the total estimated cost for construction design in 
connection with any construction project exceeds $600,000, funds for 
that design must be specifically authorized by law.

SEC. 3126. AUTHORITY FOR EMERGENCY PLANNING, DESIGN, AND CONSTRUCTION 
              ACTIVITIES.

    (a) Authority.--The Secretary of Energy may use any funds available 
to the Department of Energy pursuant to an authorization in this title, 
including funds authorized to be appropriated for advance planning and 
construction design under sections 3101, 3102, and 3103, to perform 
planning, design, and construction activities for any Department of 
Energy national security program construction project that, as 
determined by the Secretary, must proceed expeditiously in order to 
protect public health and safety, to meet the needs of national 
defense, or to protect property.
    (b) Limitation.--The Secretary may not exercise the authority under 
subsection (a) in the case of any construction project until the 
Secretary has submitted to the congressional defense committees a 
report on the activities that the Secretary intends to carry out under 
this section and the circumstances making those activities necessary.
    (c) Specific Authority.--The requirement of section 3125(b)(2) does 
not apply to emergency planning, design, and construction activities 
conducted under this section.

SEC. 3127. FUNDS AVAILABLE FOR ALL NATIONAL SECURITY PROGRAMS OF THE 
              DEPARTMENT OF ENERGY.

    Subject to the provisions of appropriation Acts and section 3121, 
amounts appropriated pursuant to this title for management and support 
activities and for general plant projects are available for use, when 
necessary, in connection with all national security programs of the 
Department of Energy.

SEC. 3128. AVAILABILITY OF FUNDS.

    (a) In General.--Except as provided in subsection (b), when so 
specified in an appropriations Act, amounts appropriated for operation 
and maintenance or for plant projects may remain available until 
expended.
    (b) Exception for Program Direction Funds.--Amounts appropriated 
for program direction pursuant to an authorization of appropriations in 
subtitle A shall remain available to be expended only until the end of 
fiscal year 2003.

SEC. 3129. TRANSFERS OF DEFENSE ENVIRONMENTAL MANAGEMENT FUNDS AT FIELD 
              OFFICES OF THE DEPARTMENT OF ENERGY.

    (a) Transfer Authority for Defense Environmental Management 
Funds.--The Secretary of Energy shall provide the manager of each field 
office of the Department of Energy with the authority to transfer 
defense environmental management funds from a program or project under 
the jurisdiction of the office to another such program or project.
    (b) Limitations.--(1) Only one transfer may be made to or from any 
program or project under subsection (a) in a fiscal year.
    (2) The amount transferred to or from a program or project under 
subsection (a) may not exceed $5,000,000 in a fiscal year.
    (3) A transfer may not be carried out by a manager of a field 
office under subsection (a) unless the manager determines that the 
transfer is necessary to address a risk to health, safety, or the 
environment or to assure the most efficient use of defense 
environmental management funds at the field office.
    (4) Funds transferred pursuant to subsection (a) may not be used 
for an item for which Congress has specifically denied funds or for a 
new program or project that has not been authorized by Congress.
    (c) Exemption From Reprogramming Requirements.--The requirements of 
section 3121 shall not apply to transfers of funds pursuant to 
subsection (a).
    (d) Notification.--The Secretary, acting through the Assistant 
Secretary of Energy for Environmental Management, shall notify Congress 
of any transfer of funds pursuant to subsection (a) not later than 30 
days after such transfer occurs.
    (e) Definitions.--In this section:
            (1) The term ``program or project'' means, with respect to 
        a field office of the Department of Energy, any of the 
        following:
                    (A) A program referred to or a project listed in 
                paragraph (2) or (3) of section 3102.
                    (B) A program or project not described in 
                subparagraph (A) that is for environmental restoration 
                or waste management activities necessary for national 
                security programs of the Department, that is being 
                carried out by the office, and for which defense 
                environmental management funds have been authorized and 
                appropriated before the date of the enactment of this 
                Act.
            (2) The term ``defense environmental management funds'' 
        means funds appropriated to the Department of Energy pursuant 
        to an authorization for carrying out environmental restoration 
        and waste management activities necessary for national security 
        programs.
    (f) Duration of Authority.--The managers of the field offices of 
the Department may exercise the authority provided under subsection (a) 
during fiscal year 2002.

SEC. 3130. TRANSFERS OF WEAPONS ACTIVITIES FUNDS AT NATIONAL SECURITY 
              LABORATORIES AND NUCLEAR WEAPONS PRODUCTION FACILITIES.

    (a) Transfer Authority.--The Secretary of Energy, acting through 
the Administrator for Nuclear Security, shall provide the head of each 
national security laboratory and nuclear weapons production facility 
with the authority to transfer weapons activities funds from a program 
under the jurisdiction of such laboratory or facility to another such 
program.
    (b) Limitations.--(1) The amount transferred under subsection (a) 
by a laboratory or facility in a fiscal year may not exceed the lesser 
of--
            (A) $5,000,000; and
            (B) 10 percent of the total weapons activities funds 
        available to that laboratory or facility in that fiscal year 
        for programs under the jurisdiction of such laboratory or 
        facility.
    (2) A transfer may not be carried out under subsection (a) unless 
the head of the laboratory or facility determines that the transfer 
will result in cost savings and efficiencies.
    (3) A transfer may not be carried out under subsection (a) to cover 
a cost overrun or scheduling delay for any program.
    (4) Funds transferred pursuant to subsection (a) may not be used 
for an item for which Congress has specifically denied, limited, or 
increased funds or for a new program that has not been authorized by 
Congress.
    (c) Exemption From Reprogramming Requirements.--The requirements of 
section 3121 shall not apply to transfers of funds pursuant to 
subsection (a).
    (d) Notification.--The Secretary, acting through the Administrator 
for Nuclear Security, shall notify Congress of any transfer of funds 
pursuant to subsection (a) not later than 30 days after such transfer 
occurs.
    (e) Definitions.--In this section:
            (1) The term ``program'' means, with respect to a national 
        security laboratory or nuclear weapons production facility, any 
        of the following:
                    (A) A program referred to or listed in paragraph 
                (1) of section 3101.
                    (B) A program not described in subparagraph (A) 
                that is for weapons production or weapons component 
                production of the National Nuclear Security 
                Administration that is being carried out by the 
                laboratory or facility, and for which weapons 
                activities funds have been authorized and appropriated 
                before the date of the enactment of this Act.
            (2) The term ``weapons activities funds'' means funds 
        appropriated to the Department of Energy pursuant to an 
        authorization for weapons activities of the National Nuclear 
        Security Administration in carrying out programs necessary for 
        national security.
            (3) The terms ``national security laboratory'' and 
        ``nuclear weapons production facility'' have the meanings given 
        such terms in section 3281 of the National Nuclear Security 
        Administration Act (title XXXII of Public Law 106-65; 113 Stat. 
        968; 50 U.S.C. 2471).
    (f) Duration of Authority.--The heads of the national security 
laboratories and nuclear weapons production facilities may exercise the 
authority provided under subsection (a) during fiscal year 2002.

   Subtitle C--Program Authorizations, Restrictions, and Limitations

SEC. 3131. TERMINATION DATE OF OFFICE OF RIVER PROTECTION, RICHLAND, 
              WASHINGTON.

    Subsection (f) of section 3139 of the Strom Thurmond National 
Defense Authorization Act for Fiscal Year 1999 (Public Law 105-261; 112 
Stat. 2250), as amended by section 3141 of the Floyd D. Spence National 
Defense Authorization Act for Fiscal Year 2001 (as enacted into law by 
Public Law 106-398; 114 Stat. 1654A-462), is amended to read as 
follows:
    ``(f) Termination.--(1) The Office shall terminate on the later to 
occur of the following dates:
            ``(A) September 30, 2010.
            ``(B) The date on which the Assistant Secretary of Energy 
        for Environmental Management determines, in consultation with 
        the head of the Office, that continuation of the Office is no 
        longer necessary to carry out the responsibilities of the 
        Department of Energy under the Tri-Party Agreement.
    ``(2) The Assistant Secretary shall notify, in writing, the 
committees referred to in subsection (d) of a determination under 
paragraph (1).
    ``(3) In this subsection, the term `Tri-Party Agreement' means the 
Hanford Federal Facility Agreement and Consent Order entered into among 
the Department of Energy, the Environmental Protection Agency, and the 
State of Washington Department of Ecology.''.

SEC. 3132. ORGANIZATIONAL MODIFICATIONS FOR NATIONAL NUCLEAR SECURITY 
              ADMINISTRATION.

    (a) Establishment of Principal Deputy Administrator.--(1) Subtitle 
A of the National Nuclear Security Administration Act is amended by 
inserting after section 3213 (50 U.S.C. 2403) the following new 
section:

``SEC. 3213A. PRINCIPAL DEPUTY ADMINISTRATOR.

    ``(a) In General.--(1) There is in the Administration a Principal 
Deputy Administrator, who is appointed by the President, by and with 
the advice and consent of the Senate.
    ``(2) The Principal Deputy Administrator shall be appointed from 
among persons who--
            ``(A) have extensive background in national security, 
        organizational management, and appropriate technical fields; 
        and
            ``(B) are well qualified to manage the nuclear weapons, 
        nonproliferation, and materials disposition programs of the 
        Administration in a manner that advances and protects the 
        national security of the United States.
    ``(b) Duties.--Subject to the authority, direction, and control of 
the Administrator, the Principal Deputy Administrator shall perform 
such duties and exercise such powers as the Administrator may 
prescribe, including the coordination of activities among the elements 
of the Administration. The Principal Deputy Administrator shall act 
for, and exercise the powers of, the Administrator when the 
Administrator is disabled or the position of Administrator is 
vacant.''.
    (2) The table of contents preceding section 3201 of such Act is 
amended by inserting after the item relating to section 3213 the 
following new item:

``Sec. 3213A. Principal Deputy Administrator.''
    (3) Section 5315 of title 5, United States Code, is amended--
            (A) by inserting before the item relating to Deputy 
        Administrators of the National Nuclear Security Administration 
        the following new item:
            ``Principal Deputy Administrator, National Nuclear Security 
        Administration.''; and
            (B) by inserting ``Additional'' before ``Deputy 
        Administrators of the National Nuclear Security 
        Administration''.
    (b) Elimination of Requirement that National Security Laboratories 
and Nuclear Weapons Production Facilities Report to Deputy 
Administrator for Defense Programs.--Section 3214 of the National 
Nuclear Security Administration Act (50 U.S.C. 2404) is amended by 
striking subsection (c).
    (c) Repeal of Duplicative Provision.--Section 3245 of the National 
Nuclear Security Administration Act (50 U.S.C. 2443) is repealed.

SEC. 3133. CONSOLIDATION OF NUCLEAR CITIES INITIATIVE PROGRAM WITH 
              INITIATIVES FOR PROLIFERATION PREVENTION PROGRAM.

    The Administrator for Nuclear Security shall consolidate the 
Nuclear Cities Initiative program with the Initiatives for 
Proliferation Prevention program under a single management line. The 
consolidation shall be completely accomplished not later than July 1, 
2002.

SEC. 3134. DISPOSITION OF SURPLUS DEFENSE PLUTONIUM AT SAVANNAH RIVER 
              SITE, AIKEN, SOUTH CAROLINA.

    (a) Consultation Required.--The Secretary of Energy shall consult 
with the Governor of the State of South Carolina regarding any 
decisions or plans of the Secretary related to the disposition of 
surplus defense plutonium located at the Savannah River Site, Aiken, 
South Carolina, including the plan required by subsection (b).
    (b) Plan for Disposition.--Not later than February 1, 2002, the 
Secretary shall submit to Congress a plan for disposal of the surplus 
defense plutonium currently located at the Savannah River Site and for 
disposal of defense plutonium and defense plutonium materials to be 
shipped to the Savannah River Site in the future. The plan shall review 
each option considered for such disposal, identify the preferred 
option, and state the cost of construction and operation of the 
facilities required by the Department of Energy's Record of Decision 
for the Storage and Disposition of Weapons-Usable Fissile Materials 
Final Programmatic Environmental Impact Statement dated January 14, 
1997. The plan shall also specify a schedule for the expeditious 
construction of such facilities, including milestones, and a firm 
schedule for funding the cost of such facilities. The plan shall 
specify, in addition, the means by which all such plutonium will be 
removed in a timely manner from the Savannah River Site for storage or 
disposal elsewhere.
    (c) Requirement for Alternative Disposition.--If the Secretary 
determines that proceeding with construction of the Plutonium 
Immobilization Plant at the Savannah River Site is not feasible, the 
Department shall modify the design of the Mixed Oxide Fuel Fabrication 
facility at the Savannah River Site so that it includes an 
immobilization capability. If the Secretary determines that proceeding 
with the Mixed Oxide Fuel Fabrication facility is not feasible, the 
Department shall proceed with construction of the Plutonium 
Immobilization Plant.
    (d) Limitation on Plutonium Shipments.--If the plan required in 
subsection (b) is not submitted to Congress by February 1, 2002, the 
Secretary shall be prohibited from shipping defense plutonium or 
defense plutonium materials to the Savannah River Site during the 
period beginning on February 1, 2002, and ending on the date on which 
such plan is submitted to Congress.

SEC. 3135. SUPPORT FOR PUBLIC EDUCATION IN THE VICINITY OF LOS ALAMOS 
              NATIONAL LABORATORY, NEW MEXICO.

    (a) Support for Fiscal 2002.--From amounts appropriated or 
otherwise made available to the Secretary of Energy by this title--
            (1) $5,000,000 shall be available for payment by the 
        Secretary for fiscal year 2002 to the not-for-profit Los Alamos 
        National Laboratory Foundation, as chartered in accordance with 
        section 3167(a) of the National Defense Authorization Act for 
        Fiscal Year 1998 (Public Law 105-85; 111 Stat. 2052); and
            (2) $8,000,000 shall be available for extension of the 
        contract between the Department of Energy and the Los Alamos 
        Public Schools through fiscal year 2002.
    (b) Support for Fiscal 2003.--Subject to the availability of 
appropriations, the Secretary is authorized to--
            (1) make payment for fiscal year 2003 similar to the 
        payment referred to in subsection (a)(1); and
            (2) provide for a contract extension through fiscal 2003 
        similar to the contract extension referred to in subsection 
        (a)(2).
    (c) Use of Funds.--The foundation referred to in subsection (a)(1) 
shall--
            (1) utilize funds provided under this section as a 
        contribution to the endowment fund for the foundation; and
            (2) use the income generated from investments in the 
        endowment fund that are attributable to payments made under 
        this section to fund programs to support the educational needs 
        of children in public schools in the vicinity of Los Alamos 
        National Laboratory.
    (d) Report.--Not later than March 1, 2002, the Secretary shall 
submit to the congressional defense committees a report setting forth 
the following:
            (1) An evaluation of the requirements for continued 
        payments beyond fiscal year 2003 into the endowment fund of the 
        foundation referred to in subsection (a) to enable the 
        foundation to meet the goals of the Department to support the 
        recruitment and retention of staff at the Los Alamos National 
        Laboratory.
            (2) The Secretary's recommendations for any further support 
        beyond fiscal year 2003 directly to the Los Alamos Public 
        Schools.

          TITLE XXXII--DEFENSE NUCLEAR FACILITIES SAFETY BOARD

SEC. 3201. AUTHORIZATION.

    There are authorized to be appropriated for fiscal year 2002, 
$18,500,000 for the operation of the Defense Nuclear Facilities Safety 
Board under chapter 21 of the Atomic Energy Act of 1954 (42 U.S.C. 2286 
et seq.).

                TITLE XXXIII--NATIONAL DEFENSE STOCKPILE

SEC. 3301. DEFINITIONS.

    In this title:
            (1) The term ``National Defense Stockpile'' means the 
        stockpile provided for in section 4 of the Strategic and 
        Critical Materials Stock Piling Act (50 U.S.C. 98c).
            (2) The term ``National Defense Stockpile Transaction 
        Fund'' means the fund established under section 9(a) of the 
        Strategic and Critical Materials Stock Piling Act (50 U.S.C. 
        98h(a)).
            (3) The term ``Market Impact Committee'' means the Market 
        Impact Committee appointed under section 10(c) of the Strategic 
        and Critical Materials Stock Piling Act (50 U.S.C. 98h-1(c)).

SEC. 3302. AUTHORIZED USES OF STOCKPILE FUNDS.

    (a) Obligation of Stockpile Funds.--During fiscal year 2002, the 
National Defense Stockpile Manager may obligate up to $65,200,000 of 
the funds in the National Defense Stockpile Transaction Fund for the 
authorized uses of such funds under section 9(b)(2) of the Strategic 
and Critical Materials Stock Piling Act (50 U.S.C. 98h(b)(2)), 
including the disposal of hazardous materials that are environmentally 
sensitive.
    (b) Additional Obligations.--The National Defense Stockpile Manager 
may obligate amounts in excess of the amount specified in subsection 
(a) if the National Defense Stockpile Manager notifies Congress that 
extraordinary or emergency conditions necessitate the additional 
obligations. The National Defense Stockpile Manager may make the 
additional obligations described in the notification after the end of 
the 45-day period beginning on the date on which Congress receives the 
notification.
    (c) Limitations.--The authorities provided by this section shall be 
subject to such limitations as may be provided in appropriations Acts.

SEC. 3303. DISPOSAL OF OBSOLETE AND EXCESS MATERIALS CONTAINED IN 
              NATIONAL DEFENSE STOCKPILE.

    (a) Disposal Authorized.--Subject to subsection (b), the President 
may dispose of certain materials contained in the National Defense 
Stockpile that are obsolete or excess to stockpile requirements, in the 
quantities specified in the following table:


                     Authorized Stockpile Disposals
------------------------------------------------------------------------
   Material for disposal                              Quantity
------------------------------------------------------------------------
Bauxite, Refractory.......................  40,000 short tons
Chromium Metal............................  3,512 short tons
Iridium...................................  25,140 troy ounces
Jewel Bearings............................  30,273,221 pieces
Manganese, Ferro HC.......................  209,074 short tons
Palladium.................................  11 troy ounces
Quartz Crystal............................  216,648 pounds
Tantalum Metal Ingot......................  120,228 pounds of contained
                                             Tantalum
Tantalum Metal Powder.....................  36,020 pounds of contained
                                             Tantalum
Thorium Nitrate...........................  600,000 pounds
------------------------------------------------------------------------

    (b) Consultation With Market Impact Committee.--In disposing of 
materials under subsection (a), the President shall consult with the 
Market Impact Committee to ensure that the disposal of the materials 
does not disrupt the usual markets of producers, processors, and 
consumers of the materials.
    (c) Relationship to Other Disposal Authority.--The disposal 
authority provided in subsection (a) is new disposal authority and is 
in addition to, and shall not affect, any other disposal authority 
provided by law regarding the materials specified in the table in such 
subsection.

SEC. 3304. EXPEDITED IMPLEMENTATION OF AUTHORITY TO DISPOSE OF COBALT 
              FROM NATIONAL DEFENSE STOCKPILE.

    Section 3305(a)(1) of the National Defense Authorization Act for 
Fiscal Year 1998 (Public Law 105-85; 50 U.S.C. 98d note) is amended by 
striking ``fiscal year 2003'' and inserting ``the two-fiscal year 
period ending September 30, 2003''.

                 TITLE XXXIV--NAVAL PETROLEUM RESERVES

SEC. 3401. AUTHORIZATION OF APPROPRIATIONS.

    (a) Amount.--There are hereby authorized to be appropriated to the 
Secretary of Energy $17,371,000 for fiscal year 2002 for the purpose of 
carrying out activities under chapter 641 of title 10, United States 
Code, relating to the naval petroleum reserves.
    (b) Period of Availability.--Funds appropriated pursuant to the 
authorization of appropriations in subsection (a) shall remain 
available until expended.

                  TITLE XXXV--MARITIME ADMINISTRATION

SEC. 3501. AUTHORIZATION OF APPROPRIATIONS FOR FISCAL YEAR 2002.

    Funds are hereby authorized to be appropriated for fiscal year 
2002, to be available without fiscal year limitation if so provided in 
appropriations Acts, for the use of the Department of Transportation 
for the Maritime Administration as follows:
            (1) For expenses necessary for operations and training 
        activities, $89,054,000.
            (2) For expenses under the loan guarantee program 
        authorized by title XI of the Merchant Marine Act, 1936 (46 
        App. U.S.C. 1271 et seq.), $103,978,000, of which--
                    (A) $100,000,000 is for the cost (as defined in 
                section 502(5) of the Federal Credit Reform Act of 1990 
                (2 U.S.C. 661a(5))) of loan guarantees under the 
                program; and
                    (B) $3,978,000 is for administrative expenses 
                related to loan guarantee commitments under the 
                program.
            (3) For expenses to dispose of obsolete vessels in the 
        National Defense Reserve Fleet, $10,000,000.

SEC. 3502. DEFINE ``WAR RISKS'' TO VESSELS TO INCLUDE CONFISCATION, 
              EXPROPRIATION, NATIONALIZATION, AND DEPRIVATION OF THE 
              VESSELS.

    Section 1201(c) of the Merchant Marine Act, 1936 (46 App. U.S.C. 
1281(c)) is amended to read as follows:
    ``(c) The term `war risks' includes to such extent as the Secretary 
may determine--
            ``(1) all or any part of any loss that is excluded from 
        marine insurance coverage under a `free of capture or seizure' 
        clause, or under analogous clauses; and
            ``(2) other losses from hostile acts, including 
        confiscation, expropriation, nationalization, or 
        deprivation.''.

SEC. 3503. HOLDING OBLIGOR'S CASH AS COLLATERAL UNDER TITLE XI OF 
              MERCHANT MARINE ACT, 1936.

    Title XI of the Merchant Marine Act, 1936 (46 App. U.S.C. 1271 et 
seq.) is amended by inserting after section 1108 the following:

``SEC. 1109. DEPOSIT FUND.

    ``(a) Establishment of Deposit Fund.--There is established in the 
Treasury a deposit fund for purposes of this section. The Secretary 
may, in accordance with an agreement under subsection (b), deposit into 
and hold in the deposit fund cash belonging to an obligor to serve as 
collateral for a guarantee under this title made with respect to the 
obligor.
    ``(b) Agreement.--
            ``(1) In general.--The Secretary and an obligor shall enter 
        into a reserve fund or other collateral account agreement to 
        govern the deposit, withdrawal, retention, use, and 
        reinvestment of cash of the obligor held in the deposit fund 
        established by subsection (a).
            ``(2) Terms.--The agreement shall contain such terms and 
        conditions as are required under this section and such 
        additional terms as are considered by the Secretary to be 
        necessary to protect fully the interests of the United States.
            ``(3) Security interest of united states.--The agreement 
        shall include terms that grant to the United States a security 
        interest in all amounts deposited into the deposit fund.
    ``(c) Investment.--The Secretary may invest and reinvest any part 
of the amounts in the deposit fund established by subsection (a) in 
obligations of the United States with such maturities as ensure that 
amounts in the deposit fund will be available as required for purposes 
of agreements under subsection (b). Cash balances of the deposit fund 
in excess of current requirements shall be maintained in a form of 
uninvested funds and the Secretary of the Treasury shall pay interest 
on these funds.
    ``(d) Withdrawals.--
            ``(1) In general.--The cash deposited into the deposit fund 
        established by subsection (a) may not be withdrawn without the 
        consent of the Secretary.
            ``(2) Use of income.--Subject to paragraph (3), the 
        Secretary may pay any income earned on cash of an obligor 
        deposited into the deposit fund in accordance with the terms of 
        the agreement with the obligor under subsection (b).
            ``(3) Retention against default.--The Secretary may retain 
        and offset any or all of the cash of an obligor in the deposit 
        fund, and any income realized thereon, as part of the 
        Secretary's recovery against the obligor in case of a default 
        by the obligor on an obligation.''.
            Amend the title so as to read: ``A bill to authorize 
        appropriations for fiscal year 2002 for military activities of 
        the Department of Defense, for military construction, and for 
        defense activities of the Department of Energy, to prescribe 
        personnel strengths for such fiscal year for the Armed Forces, 
        and for other purposes.''.




                                                 Union Calendar No. 113

107th CONGRESS

  1st Session

                               H. R. 2586

                          [Report No. 107-194]

_______________________________________________________________________

                                 A BILL

     To authorize appropriations for fiscal year 2002 for military 
    activities of the Department of Defense, to prescribe military 
   personnel strengths for fiscal year 2002, and for other purposes.

_______________________________________________________________________

                           September 4, 2001

Reported with amendments, committed to the Committee of the Whole House 
          on the State of the Union, and ordered to be printed