[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[S. 1419 Placed on Calendar Senate (PCS)]
Calendar No. 158
107th CONGRESS
1st Session
S. 1419
To authorize appropriations for fiscal year 2002 for military
activities of the Department of Defense, to prescribe personnel
strengths for such fiscal year for the Armed Forces, and for other
purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
September 12, 2001
Mr. Levin, from the Committee on Armed Services, reported the following
original bill; which was read twice and placed on the calendar
_______________________________________________________________________
A BILL
To authorize appropriations for fiscal year 2002 for military
activities of the Department of Defense, to prescribe personnel
strengths for such fiscal year for the Armed Forces, and for other
purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Department of Defense Authorization
Act for Fiscal Year 2002''.
SEC. 2. TABLE OF CONTENTS.
The table of contents for this Act is as follows:
Sec. 1. Short title.
Sec. 2. Table of contents.
Sec. 3. Congressional defense committees defined.
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 agents and munitions destruction, Defense.
Sec. 107. Defense health programs.
Subtitle B--Army Programs
(Reserved)
Subtitle C--Navy Programs
Sec. 121. Virginia class submarine program.
Sec. 122. Multiyear procurement authority for F/A-18E/F aircraft
engines.
Sec. 123. V-22 Osprey aircraft program.
Subtitle D--Air Force Programs
Sec. 131. Multiyear procurement authority for C-17 aircraft.
Subtitle E--Other Matters
Sec. 141. Extension of pilot program on sales of manufactured articles
and services of certain Army industrial
facilities without regard to availability
from domestic sources.
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. F-22 aircraft program.
Sec. 212. C-5 aircraft reliability enhancement and reengining.
Sec. 213. Review of alternatives to the V-22 Osprey aircraft.
Sec. 214. Joint biological defense program.
Subtitle C--Missile Defense
Sec. 221. Presidential certification and expedited congressional
approval process for certain uses of
ballistic missile defense funds.
Sec. 222. Program elements and procurement budget displays for
ballistic missile defense programs.
Sec. 223. Ballistic missile defense research and development program
baseline document.
Sec. 224. Annual program plan for ballistic missile defense research
and development program.
Subtitle D--Other Matters
Sec. 231. Technology Transition Initiative.
Sec. 232. Communication of safety concerns between operational testing
and evaluation officials and program
managers.
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. Assistance to local educational agencies that benefit
dependents of members of the Armed Forces
and Department of Defense civilian
employees.
Sec. 305. Amount for impact aid for children with severe disabilities.
Subtitle B--Environmental Provisions
Sec. 311. Establishment in environmental restoration accounts of sub-
accounts for unexploded ordnance and
related constituents.
Sec. 312. Assessment of environmental remediation of unexploded
ordnance and related constituents.
Sec. 313. Department of Defense energy efficiency program.
Sec. 314. Extension of pilot program for sale of air pollution emission
reduction incentives.
Sec. 315. Reimbursement of Environmental Protection Agency for certain
response costs in connection with Hooper
Sands Site, South Berwick, Maine.
Sec. 316. Conformity of surety authority under environmental
restoration program with surety authority
under superfund.
Sec. 317. Procurement of alternative fueled and hybrid electric light
duty trucks.
Subtitle C--Commissaries and Nonappropriated Fund Instrumentalities
Sec. 321. Rebate agreements with producers of foods provided under the
special supplemental food program.
Sec. 322. Reimbursement for use of commissary facilities by military
departments for purposes other than
commissary sales.
Sec. 323. Public releases of commercially valuable information of
commissary stores.
Subtitle D--Other Matters
Sec. 331. Codification of authority for Department of Defense support
for counter-drug activities of other
governmental agencies.
Sec. 332. Exclusion of certain expenditures from limitation on private
sector performance of depot-level
maintenance.
Sec. 333. Repair, restoration, and preservation of Lafayette Escadrille
Memorial, Marnes la-Coguette, France.
Sec. 334. Implementation of the Navy-Marine Corps Intranet contract.
TITLE IV--MILITARY PERSONNEL AUTHORIZATIONS
Subtitle A--Active Forces
Sec. 401. End strengths for active forces.
Sec. 402. Authorized daily average active duty strength for Navy
enlisted members in pay grade E-8.
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.
Sec. 416. Strength and grade limitation accounting for reserve
component members on active duty in support
of a contingency operation.
Subtitle C--Authorization of Appropriations
Sec. 421. Authorization of appropriations for military personnel.
TITLE V--MILITARY PERSONNEL POLICY
Subtitle A--Officer Personnel Policy
Sec. 501. General officer positions.
Sec. 502. Reduction of time-in-grade requirement for eligibility for
promotion of first lieutenants and
lieutenants (junior grade).
Sec. 503. Promotion of officers to the grade of captain in the Army,
Air Force, or Marine Corps or to the grade
of lieutenant in the Navy without selection
board action.
Sec. 504. Authority to adjust date of rank.
Sec. 505. Extension of deferments of retirement or separation for
medical reasons.
Sec. 506. Exemption from administrative limitations of retired members
ordered to active duty as defense and
service attaches.
Sec. 507. Certifications of satisfactory performance for retirements of
officers in grades above major general and
rear admiral.
Sec. 508. Effective date of mandatory separation or retirement of
regular officer delayed by a suspension of
certain laws under emergency authority of
the President.
Sec. 509. Detail and grade of officer in charge of the United States
Navy Band.
Subtitle B--Reserve Component Personnel Policy
Sec. 511. Reauthorization and expansion of temporary waiver of the
requirement for a baccalaureate degree for
promotion of certain reserve officers of
the Army.
Sec. 512. Status list of reserve officers on active duty for a period
of three years or less.
Sec. 513. Equal treatment of Reserves and full-time active duty members
for purposes of managing deployments of
personnel.
Sec. 514. Modification of physical examination requirements for members
of the Individual Ready Reserve.
Sec. 515. Members of reserve components afflicted while remaining
overnight at duty station within commuting
distance of home.
Sec. 516. Retirement of reserve personnel without request.
Sec. 517. Space-required travel by Reserves on military aircraft.
Subtitle C--Education and Training
Sec. 531. Improved benefits under the Army College First program.
Sec. 532. Repeal of limitation on number of Junior Reserve Officers'
Training Corps units.
Sec. 533. Acceptance of fellowships, scholarships, or grants for legal
education of officers participating in the
funded legal education program.
Sec. 534. Grant of degree by Defense Language Institute Foreign
Language Center.
Sec. 535. Authority for the Marine Corps University to award the degree
of master of strategic studies.
Sec. 536. Foreign persons attending the service academies.
Sec. 537. Expansion of financial assistance program for health-care
professionals in reserve components to
include students in programs of education
leading to initial degree in medicine or
dentistry.
Sec. 538. Pilot program for Department of Veterans Affairs support for
graduate medical education and training of
medical personnel of the Armed Forces.
Sec. 539. Transfer of entitlement to educational assistance under
Montgomery GI Bill by members of the Armed
Forces with critical military skills.
Subtitle D--Decorations, Awards, and Commendations
Sec. 551. Authority for award of the Medal of Honor to Humbert R.
Versace for valor during the Vietnam War.
Sec. 552. Review regarding award of Medal of Honor to certain Jewish
American war veterans.
Sec. 553. Issuance of duplicate and replacement Medals of Honor.
Sec. 554. Waiver of time limitations for award of certain decorations
to certain persons.
Sec. 555. Sense of Senate on issuance of Korea Defense Service Medal.
Subtitle E--Funeral Honors Duty
Sec. 561. Active duty end strength exclusion for Reserves on active
duty or full-time National Guard duty for
funeral honors duty.
Sec. 562. Participation of retirees in funeral honors details.
Sec. 563. Benefits and protections for members in a funeral honors duty
status.
Sec. 564. Military leave for civilian employees serving as military
members of funeral honors detail.
Subtitle F--Uniformed Services Overseas Voting
Sec. 571. Sense of the Senate regarding the importance of voting by
members of the uniformed services.
Sec. 572. Uniform nondiscriminatory voting standards for administration
of elections under State and local election
systems.
Sec. 573. Guarantee of residency for military personnel.
Sec. 574. Extension of registration and balloting rights for absent
uniformed services voters to State and
local elections.
Sec. 575. Use of single application as a simultaneous absentee voter
registration application and absentee
ballot application.
Sec. 576. Use of single application for absentee ballots for all
Federal elections.
Sec. 577. Electronic voting demonstration project.
Sec. 578. Federal voting assistance program.
Subtitle G--Other Matters
Sec. 581. Persons authorized to be included in surveys of military
families regarding Federal programs.
Sec. 582. Correction and extension of certain Army recruiting pilot
program authorities.
Sec. 583. Offense of drunken operation of a vehicle, aircraft, or
vessel under the Uniform Code of Military
Justice.
Sec. 584. Authority of civilian employees to act as notaries.
Sec. 585. Review of actions of selection boards.
Sec. 586. Acceptance of voluntary legal assistance for the civil
affairs of members and former members of
the uniformed services and their
dependents.
Sec. 587. Extension of Defense Task Force on Domestic Violence.
Sec. 588. Transportation to annual meeting of next-of-kin of persons
unaccounted for from conflicts after World
War II.
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. Reserve component compensation for distributed learning
activities performed as inactive-duty
training.
Sec. 604. Clarifications for transition to reformed basic allowance for
subsistence.
Sec. 605. Increase of basic allowance for housing in the United States.
Sec. 606. Clarification of eligibility for supplemental subsistence
allowance.
Sec. 607. Correction of limitation on additional uniform allowance for
officers.
Sec. 608. Payment for unused leave in excess of 60 days accrued by
members of reserve components on active
duty for one year or less.
Subtitle B--Bonuses and Special and Incentive Pays
Sec. 611. Extension of certain bonuses and special pay authorities for
reserve forces.
Sec. 612. Extension of certain bonuses and special pay authorities for
nurse officer candidates, registered
nurses, and nurse anesthetists.
Sec. 613. Extension of special pay and bonus authorities for nuclear
officers.
Sec. 614. Extension of authorities relating to payment of other bonuses
and special pays.
Sec. 615. Hazardous duty pay for members of maritime visit, board,
search, and seizure teams.
Sec. 616. Submarine duty incentive pay rates.
Sec. 617. Career sea pay.
Sec. 618. Modification of eligibility requirements for Individual Ready
Reserve bonus for reenlistment, enlistment,
or extension of enlistment.
Sec. 619. Accession bonus for officers in critical skills.
Sec. 620. Modification of the nurse officer candidate accession program
restriction on students attending civilian
educational institutions with Senior
Reserve Officers' Training Programs.
Subtitle C--Travel and Transportation Allowances
Sec. 631. Eligibility for temporary housing allowance while in travel
or leave status between permanent duty
stations.
Sec. 632. Eligibility for payment of subsistence expenses associated
with occupancy of temporary lodging
incident to reporting to first permanent
duty station.
Sec. 633. Eligibility for dislocation allowance.
Sec. 634. Allowance for dislocation for the convenience of the
Government at home station.
Sec. 635. Travel and transportation allowances for family members to
attend the burial of a deceased member of
the uniformed services.
Sec. 636. Family separation allowance for members electing
unaccompanied tour by reason of health
limitations of dependents.
Sec. 637. Funded student travel for foreign study under an education
program approved by a United States school.
Sec. 638. Transportation or storage of privately owned vehicles on
change of permanent station.
Subtitle D--Matters Relating to Retirement and Survivor Benefits
Sec. 651. Payment of retired pay and compensation to disabled military
retirees.
Subtitle E--Other Matters
Sec. 661. Education savings plan for reenlistments and extensions of
service in critical specialties.
Sec. 662. Commissary benefits for new members of the Ready Reserve.
Sec. 663. Authorization of transitional compensation and commissary and
exchange benefits for dependents of
commissioned officers of the Public Health
Service and the National Oceanic and
Atmospheric Administration who are
separated for dependent abuse.
TITLE VII--HEALTH CARE
Subtitle A--TRICARE Benefits Modernization
Sec. 701. Requirement for integration of benefits.
Sec. 702. Domiciliary and custodial care.
Sec. 703. Long term care.
Sec. 704. Extended benefits for disabled beneficiaries.
Sec. 705. Conforming repeals.
Sec. 706. Effective date.
Subtitle B--Other Matters
Sec. 711. Repeal of requirement for periodic screenings and
examinations and related care for members
of Army Reserve units scheduled for early
deployment.
Sec. 712. Clarification of eligibility for reimbursement of travel
expenses of adult accompanying patient in
travel for specialty care.
Sec. 713. TRICARE program limitations on payment rates for
institutional health care providers and on
balance billing by institutional and
noninstitutional health care providers.
Sec. 714. Two-year extension of health care management demonstration
program.
Sec. 715. Study of health care coverage of members of the Selected
Reserve.
Sec. 716. Study of adequacy and quality of health care provided to
women under the defense health program.
Sec. 717. Pilot program for Department of Veterans Affairs support for
Department of Defense in the performance of
separation physical examinations.
TITLE VIII--ACQUISITION POLICY, ACQUISITION MANAGEMENT, AND RELATED
MATTERS
Subtitle A--Procurement Management and Administration
Sec. 801. Management of procurements of services.
Sec. 802. Savings goals for procurements of services.
Sec. 803. Competition requirement for purchases pursuant to multiple
award contracts.
Sec. 804. Risk reduction at initiation of major defense acquisition
program.
Sec. 805. Follow-on production contracts for products developed
pursuant to prototype projects.
Subtitle B--Defense Acquisition and Support Workforce
Sec. 811. Report on implementation of recommendations of the
Acquisition 2005 Task Force.
Sec. 812. Moratorium on reduction of the defense acquisition and
support workforce.
Sec. 813. Revision of acquisition workforce qualification requirements.
Subtitle C--Use of Preferred Sources
Sec. 821. Applicability of competition requirements to purchases from a
required source.
Sec. 822. Consolidation of contract requirements.
Sec. 823. Codification and continuation of Mentor-Protege Program as
permanent program.
Subtitle D--Amendments to General Contracting Authorities, Procedures,
and Related Matters
Sec. 831. Amendments to conform with administrative changes in
acquisition phase and milestone terminology
and to make related adjustments in certain
requirements applicable at milestone
transition points.
Sec. 832. Inapplicability of limitation to small purchases of miniature
or instrument ball or roller bearings under
certain circumstances.
TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT
Sec. 901. Deputy Under Secretary of Defense for Personnel and
Readiness.
Sec. 902. Responsibility of Under Secretary of the Air Force for
acquisition of space launch vehicles and
services.
Sec. 903. Sense of Congress regarding the selection of officers for
assignment as the Commander in Chief,
United States Transportation Command.
Sec. 904. Organizational realignment for Navy Director for
Expeditionary Warfare.
Sec. 905. Revised requirements for content of annual report on joint
warfighting experimentation.
Sec. 906. Suspension of reorganization of engineering and technical
authority policy within the Naval Sea
Systems Command.
Sec. 907. Conforming amendments relating to change of name of Air
Mobility Command.
TITLE X--GENERAL PROVISIONS
Subtitle A--Financial Matters
Sec. 1001. Transfer authority.
Sec. 1002. Reduction in authorizations of appropriations for Department
of Defense for management efficiencies.
Sec. 1003. Authorization of supplemental appropriations for fiscal year
2001.
Sec. 1004. United States contribution to NATO common-funded budgets in
fiscal year 2002.
Sec. 1005. Clarification of applicability of interest penalties for
late payment of interim payments due under
contracts for services.
Sec. 1006. Reliability of Department of Defense financial statements.
Sec. 1007. Senior Financial Management Oversight Council and financial
feeder systems compliance process.
Sec. 1008. Combating Terrorism Readiness Initiatives Fund for combatant
commands.
Subtitle B--Strategic Forces
Sec. 1011. Repeal of limitation on retirement or dismantlement of
strategic nuclear delivery systems.
Sec. 1012. Bomber force structure.
Sec. 1013. Additional element for revised nuclear posture review.
Subtitle C--Reporting Requirements
Sec. 1021. Information and recommendations on congressional reporting
requirements applicable to the Department
of Defense.
Sec. 1022. Report on combating terrorism.
Sec. 1023. Revised requirement for Chairman of the Joint Chiefs of
Staff to advise Secretary of Defense on the
assignment of roles and missions to the
Armed Forces.
Sec. 1024. Revision of deadline for annual report on commercial and
industrial activities.
Sec. 1025. Production and acquisition of vaccines for defense against
biological warfare agents.
Sec. 1026. Extension of times for Commission on the Future of the
United States Aerospace Industry to report
and to terminate.
Subtitle D--Armed Forces Retirement Home
Sec. 1041. Amendment of Armed Forces Retirement Home Act of 1991.
Sec. 1042. Definitions.
Sec. 1043. Revision of authority establishing the Armed Forces
Retirement Home.
Sec. 1044. Chief Operating Officer.
Sec. 1045. Residents of Retirement Home.
Sec. 1046. Local boards of trustees.
Sec. 1047. Directors, Deputy Directors, and staff of facilities.
Sec. 1048. Disposition of effects of deceased persons and unclaimed
property.
Sec. 1049. Transitional provisions.
Sec. 1050. Conforming and clerical amendments and repeals of obsolete
provisions.
Sec. 1051. Amendments of other laws.
Subtitle E--Other Matters
Sec. 1061. Requirement to conduct certain previously authorized
educational programs for children and
youth.
Sec. 1062. Authority to ensure demilitarization of significant military
equipment formerly owned by the Department
of Defense.
Sec. 1063. Conveyances of equipment and related materials loaned to
State and local governments as assistance
for emergency response to a use or
threatened use of a weapon of mass
destruction.
Sec. 1064. Authority to pay gratuity to members of the Armed Forces and
civilian employees of the United States for
slave labor performed for Japan during
World War II.
Sec. 1065. Retention of travel promotional items.
TITLE XI--DEPARTMENT OF DEFENSE CIVILIAN PERSONNEL POLICY
Subtitle A--Intelligence Personnel
Sec. 1101. Authority to increase maximum number of positions in the
Defense Intelligence Senior Executive
Service.
Sec. 1102. Continued applicability of certain civil service protections
for employees integrated into the National
Imagery and Mapping Agency from the Defense
Mapping Agency.
Subtitle B--Matters Relating to Retirement
Sec. 1111. Federal employment retirement credit for nonappropriated
fund instrumentality service.
Sec. 1112. Improved portability of retirement coverage for employees
moving between civil service employment and
employment by nonappropriated fund
instrumentalities.
Sec. 1113. Repeal of fiscal year 2003 limitations on exercise of
voluntary separation incentive pay
authority and voluntary early retirement
authority.
Subtitle C--Other Matters
Sec. 1121. Housing allowance for the chaplain for the Corps of Cadets
at the United States Military Academy.
Sec. 1122. Study of adequacy of compensation provided for teachers in
the Department of Defense overseas
dependents' schools.
Sec. 1123. Pilot program for payment of retraining expenses incurred by
employers of persons involuntarily
separated from employment by the Department
of Defense.
TITLE XII--MATTERS RELATING TO OTHER NATIONS
Subtitle A--Cooperative Threat Reduction With States of the Former
Soviet Union
Sec. 1201. Specification of Cooperative Threat Reduction programs and
funds.
Sec. 1202. Funding allocations.
Sec. 1203. Chemical weapons destruction.
Sec. 1204. Management of Cooperative Threat Reduction programs and
funds.
Sec. 1205. Additional matter in annual report on activities and
assistance under Cooperative Threat
Reduction programs.
Subtitle B--Other Matters
Sec. 1211. Support of United Nations-sponsored efforts to inspect and
monitor Iraqi weapons activities.
Sec. 1212. Cooperative research and development projects with NATO and
other countries.
Sec. 1213. International cooperative agreements on use of ranges and
other facilities for testing of defense
equipment.
Sec. 1214. Clarification of authority to furnish nuclear test
monitoring equipment to foreign
governments.
Sec. 1215. Participation of government contractors in chemical weapons
inspections at United States Government
facilities under the Chemical Weapons
Convention.
Sec. 1216. Authority to transfer naval vessels to certain foreign
countries.
TITLE XIII--CONTINGENT AUTHORIZATION OF APPROPRIATIONS
Sec. 1301. Authorization of appropriations contingent on increased
allocation of new budget authority.
Sec. 1302. Reductions.
Sec. 1303. Reference to Concurrent Resolution on the Budget for Fiscal
Year 2002.
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.
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, $2,123,391,000.
(2) For missiles, $1,807,384,000.
(3) For weapons and tracked combat vehicles,
$2,276,746,000.
(4) For ammunition, $1,187,565,000.
(5) For other procurement, $4,024,486,000.
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, $8,169,043,000.
(2) For weapons, including missiles and torpedoes,
$1,503,475,000.
(3) For shipbuilding and conversion, $9,522,121,000.
(4) For other procurement, $4,293,476,000.
(b) Marine Corps.--Funds are hereby authorized to be appropriated
for fiscal year 2002 for procurement for the Marine Corps in the amount
of $981,724,000.
(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 $476,099,000.
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, $10,892,957,000.
(2) For ammunition, $865,344,000.
(3) For missiles, $3,263,436,000.
(4) For other procurement, $8,081,721,000.
SEC. 104. DEFENSE-WIDE ACTIVITIES.
Funds are hereby authorized to be appropriated for fiscal year 2002
for Defense-wide procurement in the amount of $1,594,325,000.
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 $2,800,000.
SEC. 106. CHEMICAL AGENTS AND MUNITIONS DESTRUCTION, DEFENSE.
There is hereby authorized to be appropriated for the Office of the
Secretary of Defense for fiscal year 2002 the amount of $1,153,557,000
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
(Reserved)
Subtitle C--Navy Programs
SEC. 121. VIRGINIA CLASS SUBMARINE PROGRAM.
Section 123(b)(1) 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-25) is amended--
(1) by striking ``five Virginia class submarines'' and
inserting ``seven Virginia class submarines''; and
(2) by striking ``through 2006'' and inserting ``2007''.
SEC. 122. MULTIYEAR PROCUREMENT AUTHORITY FOR F/A-18E/F AIRCRAFT
ENGINES.
Beginning with the 2002 program year, the Secretary of the Navy
may, in accordance with section 2306b of title 10, United States Code,
enter into a multiyear contract for the procurement of engines for F/A-
18E/F aircraft.
SEC. 123. V-22 OSPREY AIRCRAFT PROGRAM.
The production rate for V-22 Osprey aircraft may not be increased
above the minimum sustaining production rate for which funds are
authorized to be appropriated by this Act until the Secretary of
Defense certifies to Congress that successful operational testing of
the aircraft demonstrates that--
(1) the solutions to the problems regarding the reliability
of hydraulic system components and flight control software that
were identified by the panel appointed by the Secretary of
Defense on January 5, 2001, to review the V-22 aircraft program
are adequate to achieve low risk for crews and passengers
aboard V-22 aircraft that are operating under operational
conditions;
(2) the V-22 aircraft can achieve reliability and
maintainability levels that are sufficient for the aircraft to
achieve operational availability at the level required for
fleet aircraft;
(3) the V-22 aircraft will be operationally effective--
(A) when employed in operations with other V-22
aircraft; and
(B) when employed in operations with other types of
aircraft; and
(4) the V-22 aircraft can be operated effectively, taking
into consideration the downwash effects inherent in the
operation of the aircraft, when the aircraft--
(A) is operated in remote areas with unimproved
terrain and facilities;
(B) is deploying and recovering personnel--
(i) while hovering within the zone of
ground effect; and
(ii) while hovering outside the zone of
ground effect; and
(C) is operated with external loads.
Subtitle D--Air Force Programs
SEC. 131. MULTIYEAR PROCUREMENT AUTHORITY FOR C-17 AIRCRAFT.
Beginning with the 2002 program year, the Secretary of the Air
Force may, in accordance with section 2306b of title 10, United States
Code, enter into a multiyear contract for the procurement of up to 60
C-17 aircraft.
Subtitle E--Other Matters
SEC. 141. EXTENSION OF PILOT PROGRAM ON SALES OF MANUFACTURED ARTICLES
AND SERVICES OF CERTAIN ARMY INDUSTRIAL FACILITIES
WITHOUT REGARD TO AVAILABILITY FROM DOMESTIC SOURCES.
Section 141(a) of the National Defense Authorization Act for Fiscal
Year 1998 (Public Law 105-85; 10 U.S.C. 4543 note) is amended by
striking ``through 2001'' and inserting ``through 2002''.
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, $6,899,170,000.
(2) For the Navy, $11,135,806,000.
(3) For the Air Force, $14,481,157,000.
(4) For Defense-wide activities, $14,099,702,000, of which
$221,355,000 is authorized for the Director of Operational Test
and Evaluation.
(5) For the Defense Health Program, $65,304,000.
SEC. 202. AMOUNT FOR BASIC AND APPLIED RESEARCH.
(a) Fiscal Year 2002.--Of the amounts authorized to be appropriated
by section 201, $5,093,605,000 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. F-22 AIRCRAFT PROGRAM.
(a) Repeal of Limitations on Total Cost of Engineering and
Manufacturing Development.--The following provisions of law are
repealed:
(1) Section 217(a) of the National Defense Authorization
Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat. 1660).
(2) Section 8125 of the Department of Defense
Appropriations Act, 2001 (Public Law 106-259; 114 Stat. 702).
(3) Section 219(b) 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-38).
(b) Conforming Amendments.--(1) Section 217 of the National Defense
Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111 Stat.
1660) is amended--
(A) in subsection (c)--
(i) by striking ``limitations set forth in
subsections (a) and (b)'' and inserting ``limitation
set forth in subsection (b)''; and
(ii) by striking paragraph (3); and
(B) in subsection (d)(2), by striking subparagraphs (D) and
(E).
(2) Section 131 of the National Defense Authorization Act for
Fiscal Year 2000 (Public Law 106-65; 113 Stat. 536) is amended--
(A) in subsection (a), by striking paragraph (2) and
inserting the following:
``(2) That the production phase for that program can be
executed within the limitation on total cost applicable to that
program under section 217(b) of the National Defense
Authorization Act for Fiscal Year 1998 (Public Law 105-85; 111
Stat. 1660).''; and
(B) in subsection (b)(3), by striking ``for the remainder
of the engineering and manufacturing development phase and''.
SEC. 212. C-5 AIRCRAFT RELIABILITY ENHANCEMENT AND REENGINING.
The Secretary of the Air Force shall ensure that engineering
manufacturing and development under the C-5 aircraft reliability
enhancement and reengining program includes kit development for an
equal number of C-5A and C-5B aircraft.
SEC. 213. REVIEW OF ALTERNATIVES TO THE V-22 OSPREY AIRCRAFT.
(a) Requirement for Review.--The Under Secretary of Defense for
Acquisition, Technology, and Logistics shall conduct a review of the
requirements of the Marine Corps and the Special Operations Command
that the V-22 Osprey aircraft is intended to meet in order to identify
the potential alternative means for meeting those requirements if the
V-22 Osprey aircraft program were to be terminated.
(b) Matters To Be Included.--The requirements reviewed shall
include the following:
(1) The requirements to be met by an aircraft replacing the
CH-46 medium lift helicopter.
(2) The requirements to be met by an aircraft replacing the
MH-53 helicopter.
(c) Funding.--Of the amount authorized to be appropriated by
section 201(2), $5,000,000 shall be available for carrying out the
review required by this section.
SEC. 214. JOINT BIOLOGICAL DEFENSE PROGRAM.
Section 217(a) 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-36) is amended by striking ``funds
authorized to be appropriated by this Act may not'' and inserting ``no
funds authorized to be appropriated to the Department of Defense for
fiscal year 2002 may''.
Subtitle C--Missile Defense
SEC. 221. PRESIDENTIAL CERTIFICATION AND EXPEDITED CONGRESSIONAL
APPROVAL PROCESS FOR CERTAIN USES OF BALLISTIC MISSILE
DEFENSE FUNDS.
(a) Limitation.--No funds authorized to be appropriated for
ballistic missile defense under this Act may be obligated or expended
for any activity that would be inconsistent with the requirements of
the Anti-Ballistic Missile Treaty of 1972 (as in effect on August 1,
2001), as determined by the President with the advice of the Secretary
of State and the Secretary of Defense, unless--
(1) the ABM Treaty has been modified or superseded by a new
strategic framework or other agreement in a manner that, as
determined by the President with the advice of those officials,
permits such activity; or
(2)(A) the President submits a certification to Congress in
accordance with the requirements of subsection (b); and
(B) there is enacted a joint resolution specifically
authorizing the obligation or expenditure in accordance with
the expedited procedures specified in subsection (c).
(b) Presidential Certification.--(1) A certification satisfies the
requirements of this subsection if the certification states that--
(A) the President has endeavored in good faith and for a
reasonable period to negotiate a new strategic framework or
other appropriate modification to the ABM Treaty, but has been
unable to do so;
(B) further efforts to negotiate such framework or other
modification are not likely to be successful within a
reasonable period; and
(C) it is in the national security interest of the United
States to conduct activities that would be inconsistent with
the requirements of the ABM Treaty.
(2) The President shall submit to Congress, with a certification
under subsection (a)(2)(A), a written statement that--
(A) sets forth the basis for the President's determination
to certify the matters in the certification under subparagraphs
(B) and (C) of paragraph (1); and
(B) specifies each activity for which the President has
determined that it is in the national interest to conduct with
funds authorized to be appropriated by this Act,
notwithstanding the inconsistency of the activity with the
requirements of the ABM Treaty.
(c) Expedited Approval Procedures.--(1) A joint resolution referred
to in subparagraph (B) of subsection (a)(2) means only a joint
resolution introduced after the date on which a certification of the
President pursuant to subparagraph (A) of such subsection is received
by Congress--
(A) the title of which is as follows: ``A joint resolution
approving the expenditure of funds for activities proposed by
the President on ________.'', the blank space being filled in
with the date on which the President submitted the
certification;
(B) which does not have a preamble; and
(C) the text of which only approves the activities
specified by the President in the written statement submitted
with the certification pursuant to subsection (b)(2)(B) by
providing after the enacting clause only the following: ``That
Congress approves the expenditure of funds for activities
proposed by the President on ________, notwithstanding the
inconsistency of such activities with the requirements of the
Anti-Ballistic Missile Treaty of 1972.'', the blank space being
filled in with the date on which the President submitted the
certification.
(2) A joint resolution described in paragraph (1) shall be
considered in a House of Congress in accordance with the procedures
applicable to joint resolutions under paragraphs (3) through (8) of
section 8066(c) of the Department of Defense Appropriations Act, 1985
(as contained in section 101(h) of Public Law 98-473; 98 Stat. 1936),
except that--
(A) the committee to which the joint resolution is referred
under this paragraph in the Senate shall be the Committee on
Armed Services of the Senate, and the committee to which the
joint resolution is referred under this paragraph in the House
of Representatives shall be the Committee on Armed Services of
the House of Representatives; and
(B) the limitation on total time for debate under section
8066(c)(5)(B) of the Department of Defense Appropriations Act,
1985, as applied to a joint resolution under this paragraph,
shall be 20 hours instead of 10 hours.
(d) Relationship to ABM Treaty.--Nothing in this section shall be
construed--
(1) to limit the authority of the United States to withdraw
from the ABM Treaty at any time upon a decision for the United
States that extraordinary events related to the subject matter
of the Treaty have jeopardized its supreme interests in
accordance with Article XV of the Treaty; or
(2) to authorize any obligation or expenditure of funds for
activities that would be inconsistent with the requirements of
the ABM Treaty, if the United States has not withdrawn from the
Treaty in accordance with Article XV of the Treaty.
(e) ABM Treaty Defined.--In this section, the terms ``Anti-
Ballistic Missile Treaty of 1972'' and ``ABM Treaty'' mean the Treaty
Between the United States of America and the Union of Soviet Socialist
Republics on the Limitation of Anti-Ballistic Missile Systems, signed
at Moscow on May 26, 1972, and includes the Protocol to that treaty,
signed at Moscow on July 3, 1974.
SEC. 222. PROGRAM ELEMENTS AND PROCUREMENT BUDGET DISPLAYS FOR
BALLISTIC MISSILE DEFENSE PROGRAMS.
(a) Program Elements.--Section 223 of title 10, United States Code,
is amended--
(1) by redesignating subsections (b) and (c) as subsections
(d) and (e); and
(2) by striking subsection (a) and inserting the following:
``(a) Program Elements Specified.--In the budget justification
materials submitted to Congress in support of the Department of Defense
budget for any fiscal year (as submitted with the budget of the
President under section 1105(a) of title 31), the amount requested for
activities of the Ballistic Missile Defense Organization shall be set
forth in accordance with the following program elements:
``(1) Ballistic Missile Defense system.
``(2) Terminal Defense segment.
``(3) Mid-Course Defense segment.
``(4) Boost Defense segment.
``(5) Sensors.
``(6) Technology.
``(b) Additional Information Required.--(1) Within each program
element set forth in paragraphs (2) through (5) of subsection (a), the
budget justification materials submitted to Congress shall separately
specify the amounts requested for specific categories of systems, as
follows:
``(A) Land-based systems.
``(B) Sea-based systems.
``(C) Air-based systems.
``(D) Space-based systems.
``(2) Within the amounts specified pursuant to paragraph (1), the
budget justification materials shall separately set forth amounts
requested for established programs, as follows:
``(A) Within the amount specified for land-based systems in
the Terminal Defense segment, the materials shall set forth the
amount requested for the Theater High-Altitude Area Defense
system and the amount requested for the Arrow system.
``(B) Within the amount specified for sea-based systems in
the Mid-Course Defense segment, the materials shall set forth
the amount requested for the Navy Theater Wide system.
``(C) Within the amount specified for air-based systems in
the Boost Defense segment, the materials shall set forth the
amount requested for the Airborne Laser system.
``(D) Within the amount specified for space-based systems
in the Boost Defense segment, the materials shall set forth the
amount requested for the Space-Based Laser system.
``(E) Within the amount specified for space-based systems
in the Sensors segment, the materials shall set forth the
amount requested for the Space-Based Infrared System Low
Component and the amount requested for the Russian American
Observation Satellites (RAMOS) system.
``(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 authorized to be appropriated for an
established program or class of systems described in subsection (b) in
excess of the amount specifically authorized for such program or class
of systems.
``(2) An obligation of funds for a program or class of systems
described in subsection (b) in excess of the specific amount authorized
for such program or class of systems may be made under the authority of
paragraph (1) only after--
``(A) the Secretary submits to Congress a notification of
the intent to do so together with a complete discussion of the
justification for doing so; and
``(B) 15 days have elapsed following the date of the
notification.
``(3) The Secretary may not, under the authority of paragraph (1)--
``(A) obligate an amount for any program or class of
systems described in subsection (b) that is in excess of the
lesser of--
``(i) the amount that is 115 percent of the amount
specifically authorized for such program or class of
systems; or
``(ii) the amount that is $100,000,000 more than
the amount specifically authorized for such program or
class of systems;
``(B) reduce the amount that is available for obligation or
expenditure for any such program or class of systems below the
higher of--
``(i) the amount that is 85 percent of the amount
specifically authorized for such program or class of
systems; or
``(ii) the amount that is $100,000,000 less than
the amount specifically authorized for such program or
class of systems; or
``(C) obligate amounts for any program element described in
subsection (a) in excess of the amount specifically authorized
for such program element.''.
(b) Repeal of Procurement Budget Display Requirement.--(1) Section
224 of such title is repealed.
(2) The table of sections at the beginning of chapter 9 of such
title is amended by striking the item relating to section 224.
SEC. 223. BALLISTIC MISSILE DEFENSE RESEARCH AND DEVELOPMENT PROGRAM
BASELINE DOCUMENT.
(a) Requirement for Baseline Document.--Not later than February 1,
2002, the Secretary of Defense shall submit to the congressional
defense committees a baseline document for the ballistic missile
defense research and development program through the period covered by
the future-years defense program that is submitted to Congress that
year under section 221 of title 10, United States Code.
(b) Contents of Baseline Document.--The baseline document required
by subsection (a) shall, at a minimum, include the following matters:
(1) A statement of the objectives of the ballistic missile
defense research and development program, including, at a
minimum, a specification of--
(A) the country or countries the program is
intended to protect;
(B) the type or types of missile threat the program
is intended to protect against, including the number of
ballistic missiles and types of countermeasures to be
addressed; and
(C) the level of success and degree of confidence
that are the intended standards for determining whether
and when the objectives are achieved.
(2) For each established program and each class of systems
identified under section 223(b) of title 10, United States
Code--
(A) each major technology to be pursued; and
(B) an explanation of how each such technology
relates to the objectives of the ballistic missile
defense research and development program.
(3) For each technology identified pursuant to paragraph
(2)(A)--
(A) a technical baseline that identifies research
and development objectives and program requirements for
the technology;
(B) a schedule baseline for the period covered by
the baseline document, including the specific key
program milestones and when the program is expected to
achieve each milestone;
(C) a cost baseline that includes estimates of the
total life-cycle costs and specifies for each year of
such period the costs for research and development of
the technology; and
(D) a testing baseline for such period that
specifies--
(i) key test events for the program;
(ii) when the tests are to be conducted;
(iii) the purposes of the tests; and
(iv) whether the tests are expected to
conflict with existing United States
obligations under international law.
(c) Consultation Requirements.--In developing the baseline document
required by subsection (a), the Secretary shall ensure that--
(1) the technical baseline required by subsection (b)(3)(A)
is developed in consultation with the Joint Requirements
Oversight Council and the Director of Program Analysis and
Evaluation of the Department of Defense;
(2) the schedule baseline required by subsection (b)(3)(B)
is developed in consultation with the Under Secretary of
Defense for Acquisition, Technology, and Logistics and the
Director of Program Analysis and Evaluation of the Department
of Defense;
(3) the cost baseline required by subsection (b)(3)(C) is
developed in consultation with the Cost Analysis and
Improvement Group of the Department of Defense; and
(4) the testing baseline required by subsection (b)(3)(D)
is developed in consultation with the Director of Operational
Testing and Evaluation and the Treaty Compliance Review Group
of the Department of Defense.
(d) Annual Updates to Baseline Document.--Beginning in 2003 and
ending with 2010, the Secretary shall--
(1) update the baseline document each year to cover the
period covered by the future-years defense program that is
submitted to Congress that year under section 221 of title 10,
United States Code; and
(2) submit the updated baseline document to the
congressional defense committees not later than February 1 of
that year.
SEC. 224. ANNUAL PROGRAM PLAN FOR BALLISTIC MISSILE DEFENSE RESEARCH
AND DEVELOPMENT PROGRAM.
(a) Requirement for Annual Program Plan.--With the submission of
the program baseline document, and with each annual update of the
program baseline document, required under section 223, the Secretary
shall submit to the congressional defense committees each year a
program of activities planned to be carried out during the fiscal year
in which submitted and the two fiscal years following such fiscal year.
(b) Content of Annual Program Plan.--Each program plan required by
subsection (a) shall include, at a minimum, the following matters:
(1) A funding profile that includes, for each major
technology identified in the program baseline document, an
estimate of--
(A) the total expenditures to be made in each
fiscal year covered by the program plan;
(B) the expenditures to be made for each
procurement or military construction activity to be
conducted in such period;
(C) the expenditures to be made for each ballistic
missile defense flight test to be conducted in such
period;
(D) the expenditures to be made for each other test
activity to be conducted in such period; and
(E) the expenditures to be made for each research
and development activity to be conducted in such
period.
(2) A program schedule that identifies, for each major
technology identified in the program baseline document--
(A) the planned schedule for each procurement or
military construction activity to be conducted during
the period covered by the program plan;
(B) the planned date of each ballistic missile
defense flight test to be conducted in such period;
(C) the planned schedule for each other test
activity to be conducted in such period; and
(D) the planned schedule for each research and
development activity to be conducted in such period.
(3) A legal compliance plan that includes a preliminary
assessment by the Treaty Compliance Review Group of the
Department of Defense regarding whether each expenditure
included in the funding profile and each activity included in
the schedule is likely to be consistent with existing United
States obligations under international law.
(c) Interim Program Plan.-- Not later than 60 days after the date
of enactment of this Act, the Secretary shall submit to the
congressional defense committees an interim program plan covering
planned program activities for fiscal years 2002 and 2003. The interim
program plan shall contain the information required by subsection (b)
for such fiscal years, and shall govern program activities until the
Secretary submits the program baseline document and program plan that
are required to be submitted on February 1, 2002.
(d) Modifications.--The Secretary may modify a program plan
submitted to the congressional defense committees pursuant to
subsection (a) at any time. A modification to a program plan shall
become effective 30 days after the date on which the congressional
defense committees are notified of the modification. Each notification
shall include a description of how the plan is to be modified and an
explanation of the reasons for the modification.
(e) Requirement That Obligations and Expenditures Be Consistent
With Program Plan.--(1) Not more than 25 percent of the funds
authorized to be appropriated for ballistic missile defense research,
development, test, and evaluation under section 201(4) may be obligated
or expended before the date on which the interim program plan required
by subsection (c) is submitted to the congressional defense committees.
(2) Not more than 50 percent of the funds authorized to be
appropriated for ballistic missile defense research, development, test,
and evaluation under section 201(4) may be obligated or expended before
the date on which the program baseline document required by section 223
and the first program plan required by subsection (a) are submitted to
the congressional defense committees.
(3) After the date on which the interim program plan required by
subsection (c) is submitted to the congressional defense committees,
none of the funds authorized to be appropriated for ballistic missile
defense research, development, test, and evaluation may be obligated or
expended for an activity unless--
(A) the cost of the activity is specifically identified in
the funding profile included in an interim program plan,
program plan, or modification to a program plan in accordance
with subsection (b)(1);
(B) the date or schedule for the activity is specifically
identified in an interim program plan, program plan, or
modification to a program plan in accordance with subsection
(b)(2);
(C) a preliminary assessment of the legal status of the
activity is specifically included in an interim program plan,
program plan, or modification to a program plan in accordance
with subsection (b)(3); and
(D) the interim program plan, program plan, or modification
to a program plan has been submitted to the congressional
defense committees and becomes effective in accordance with the
requirements of subsection (a), (c), or (d), respectively.
Subtitle D--Other Matters
SEC. 231. TECHNOLOGY TRANSITION INITIATIVE.
(a) Establishment and Conduct.--Chapter 139 of title 10, United
States Code, is amended by inserting after section 2354 the following
new section 2355:
``Sec. 2355. Technology Transition Initiative
``(a) Requirement for Program.--The Secretary of Defense shall
carry out a Technology Transition Initiative to facilitate the rapid
transition of new technologies from science and technology programs of
the Department of Defense into acquisition programs for the production
of the technologies.
``(b) Objectives.--The objectives of the Initiative are as follows:
``(1) To successfully demonstrate new technologies in
relevant environments.
``(2) To ensure that new technologies are sufficiently
mature for production.
``(c) Management.--(1) The Secretary of Defense shall designate a
senior official in the Office of the Secretary of Defense to manage the
Initiative.
``(2) In administering the Initiative, the Initiative Manager shall
report directly to the Under Secretary of Defense for Acquisition,
Technology, and Logistics.
``(3) The Initiative Manager shall--
``(A) in consultation with the Commander of the Joint
Forces Command, identify promising technologies that have been
demonstrated in science and technology programs of the
Department of Defense;
``(B) identify potential sponsors in the Department of
Defense to undertake the transition of such technologies into
production;
``(C) work with the science and technology community and
the acquisition community to develop memoranda of agreement,
joint funding agreements, and other cooperative arrangements to
provide for the transition of the technologies into production;
and
``(D) provide funding support for selected projects as
provided under subsection (d).
``(d) Jointly Funded Projects.--(1) The senior procurement
executive of each military department shall select technology projects
of the military department to recommend for funding support under the
Initiative and shall submit a list of the recommended projects, ranked
in order of priority, to the Initiative Manager. The projects shall be
selected, in a competitive process, on the basis of the highest
potential benefits in areas of interest identified by the Secretary of
that military department.
``(2) The Initiative Manager, in consultation with the Commander of
the Joint Forces Command, shall select projects for funding support
from among the projects on the lists submitted under paragraph (1). The
Initiative Manager shall provide funds, out of the Technology
Transition Fund, for each selected project. The total amount provided
for a project shall be an amount that equals or exceeds 50 percent of
the total cost of the project.
``(3) The senior procurement executive of the military department
shall manage each project selected under paragraph (2) that is
undertaken by the military department. Memoranda of agreement, joint
funding agreements, and other cooperative arrangements between the
science and technology community and the acquisition community shall be
used in carrying out the project if the senior procurement executive
determines that it is appropriate to do so to achieve the objectives of
the project.
``(e) Technology Transition Fund.--(1) There is established in the
Treasury of the United States a fund to be known as the `Technology
Transition Fund'.
``(2) Subject to the authority, direction, and control of the
Secretary of Defense, the Initiative Manager shall administer the Fund
consistent with the provisions of this section.
``(3) Amounts appropriated for the Initiative shall be deposited in
the Fund.
``(4) Amounts in the Fund shall be available, to the extent
provided in appropriations Acts, for carrying out the Initiative.
``(5) The President shall specify in the budget submitted for a
fiscal year pursuant to section 1105(a) of title 31 the amount provided
in that budget for the Initiative.
``(f) Definitions.--In this section:
``(1) The term `Initiative' means the Technology Transition
Initiative carried out under this section.
``(2) The term `Initiative Manager' means the official
designated to manage the Initiative under subsection (c).
``(3) The term `Fund' means the Technology Transition Fund
established under subsection (e).
``(4) The term `senior procurement executive', with respect
to a military department, means the official designated as the
senior procurement executive for that military department under
section 16(3) of the Office of Federal Procurement Policy Act
(41 U.S.C. 414(3)).''.
(b) Clerical Amendment.--The table of sections at the beginning of
such chapter is amended by inserting after the item relating to section
2354 the following new item:
``2355. Technology Transition Initiative.''.
SEC. 232. COMMUNICATION OF SAFETY CONCERNS BETWEEN OPERATIONAL TESTING
AND EVALUATION OFFICIALS AND PROGRAM MANAGERS.
Section 139 of title 10, United States Code, is amended by adding
at the end the following new subsection:
``(c) The Director shall ensure that safety concerns developed
during the operational test and evaluation of a weapon system under a
major defense acquisition program are timely communicated to the
program manager for consideration in the acquisition decisionmaking
process.''.
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, $21,134,982,000.
(2) For the Navy, $26,927,931,000.
(3) For the Marine Corps, $2,911,339,000.
(4) For the Air Force, $26,013,582,000.
(5) For Defense-wide activities, $12,482,532,000.
(6) For the Army Reserve, $1,803,146,000.
(7) For the Naval Reserve, $1,000,369,000.
(8) For the Marine Corps Reserve, $142,956,000.
(9) For the Air Force Reserve, $2,029,866,000.
(10) For the Army National Guard, $3,697,659,000.
(11) For the Air National Guard, $4,037,161,000.
(12) For the Defense Inspector General, $149,221,000.
(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 Counterdrug Activities,
Defense-wide, $860,381,000.
(21) For the Kaho'olawe Island Conveyance, Remediation, and
Environmental Restoration Trust Fund, $60,000,000.
(22) For the Defense Health Program, $17,546,750,000.
(23) For Cooperative Threat Reduction programs,
$403,000,000.
(24) For Overseas Contingency Operations Transfer Fund,
$2,844,226,000.
(25) For 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, $1,917,186,000.
(2) For the National Defense Sealift Fund, $506,408,000.
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. ASSISTANCE TO LOCAL EDUCATIONAL AGENCIES THAT BENEFIT
DEPENDENTS OF MEMBERS OF THE ARMED FORCES AND DEPARTMENT
OF DEFENSE CIVILIAN EMPLOYEES.
(a) Continuation of Department of Defense Program for Fiscal Year
2002.--Of the amount authorized to be appropriated by section 301(5)
for operation and maintenance for Defense-wide activities, $35,000,000
shall be available only for the purpose of providing educational
agencies assistance (as defined in subsection (d)(1)) 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. 305. AMOUNT FOR IMPACT AID FOR CHILDREN WITH SEVERE DISABILITIES.
Of the amount authorized to be appropriated under section 301(5),
$5,000,000 shall be available for payments under section 363 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-77).
Subtitle B--Environmental Provisions
SEC. 311. ESTABLISHMENT IN ENVIRONMENTAL RESTORATION ACCOUNTS OF SUB-
ACCOUNTS FOR UNEXPLODED ORDNANCE AND RELATED
CONSTITUENTS.
Section 2703 of title 10, United States Code, is amended--
(1) by redesignating subsections (b) through (f) as
subsections (c) through (g), respectively; and
(2) by inserting after subsection (a) the following new
subsection (b):
``(b) Sub-Accounts for Unexploded Ordnance and Related
Constituents.--There is hereby established within each environmental
restoration account established under subsection (a) a sub-account to
be known as the `Environmental Restoration Sub-Account, Unexploded
Ordnance and Related Constituents', for the account concerned.''.
SEC. 312. ASSESSMENT OF ENVIRONMENTAL REMEDIATION OF UNEXPLODED
ORDNANCE AND RELATED CONSTITUENTS.
(a) Report Required.--The report submitted to Congress under
section 2706(a) of title 10, United States Code, in 2002 shall include,
in addition to the matters required by such section, a comprehensive
assessment of the extent of unexploded ordnance and related
constituents at current and former facilities of the Department of
Defense.
(b) Elements.--The assessment included under subsection (a) in the
report referred to in that subsection shall include, at a minimum--
(1) an estimate of the aggregate projected costs of the
remediation of unexploded ordnance and related constituents at
all active facilities of the Department;
(2) an estimate of the aggregate projected costs of the
remediation of unexploded ordnance and related constituents at
all installations that are being, or have been, closed or
realigned under the base closure laws as of the date of the
report under subsection (a);
(3) an estimate of the aggregate projected costs of the
remediation of unexploded ordnance and related constituents at
all formerly used defense sites;
(4) a comprehensive plan for addressing the unexploded
ordinance and related constituents referred to in paragraphs
(1) through (3), including an assessment of the funding
required and the period of time over which such funding will be
provided; and
(5) an assessment of the technology available for the
remediation of unexploded ordnance and related constituents, an
assessment of the impact of improved technology on the cost of
remediation of such ordnance and constituents, and a plan for
the development and utilization of such improved technology.
(c) Requirements for Estimates.--(1) The estimates of aggregate
projected costs under each of paragraphs (1), (2), and (3) of
subsection (b) shall--
(A) be stated as a range of aggregate projected costs,
including a low estimate and a high estimate;
(B) set forth the differing assumptions underlying each
such low estimate and high estimate, including--
(i) any public uses for the facilities,
installations, or sites concerned that will be
available after the remediation has been completed;
(ii) the extent of the cleanup required to make the
facilities, installations, or sites concerned available
for such uses; and
(iii) the technologies to be applied to utilized
this purpose; and
(C) include, and identify separately, an estimate of the
aggregate projected costs of the remediation of any ground
water contamination that may be caused by unexploded ordnance
and related constituents at the facilities, installations, or
sites concerned.
(2) The high estimate of the aggregate projected costs for
facilities and installations under paragraph (1)(A) shall be based on
the assumption that all unexploded ordnance and related constituents at
such facilities and installations will be addressed, regardless of
whether there are any current plans to close such facilities or
installations or discontinue training at such facilities or
installations.
(3) The estimate of the aggregate projected costs of remediation of
ground water contamination under paragraph (1)(C) shall be based on a
comprehensive assessment of the risk of such contamination and of the
actions required to protect the ground water supplies concerned.
SEC. 313. DEPARTMENT OF DEFENSE ENERGY EFFICIENCY PROGRAM.
(a) In General.--The Secretary of Defense shall carry out a program
to significantly improve the energy efficiency of Department of Defense
facilities through 2010.
(b) Responsible Officials.--The Secretary shall designate a senior
official of the Department of Defense to be responsible for managing
the program for the Department and a senior official of each military
department to be responsible for managing the program for such
department.
(c) Energy Efficiency Goals.--The goal of the program shall be to
achieve reductions in energy consumption by Department facilities as
follows:
(1) In the case of industrial and laboratory facilities,
reductions in the average energy consumption per square foot of
such facilities, per unit of production or other applicable
unit, relative to energy consumption in 1990--
(A) by 20 percent by 2005; and
(B) by 25 percent by 2010.
(2) In the case of other facilities, reductions in average
energy consumption per gross square foot of such facilities,
relative to energy consumption per gross square foot in 1985--
(A) by 30 percent by 2005; and
(B) by 35 percent by 2010.
(d) Strategies for Improving Energy Efficiency.--In order to
achieve the goals set forth in subsection (c), the Secretary shall, to
the maximum extent practicable--
(1) purchase energy-efficient products, as so designated by
the Environmental Protection Agency and the Department of
Energy, and other energy-efficient products;
(2) utilize energy savings performance contracts, utility
energy-efficiency service contracts, and other contracts
designed to achieve energy conservation;
(3) use life-cycle cost analysis, including assessment of
life-cycle energy costs, in making decisions about investments
in products, services, construction, and other projects;
(4) conduct energy efficiency audits for approximately 10
percent of all Department of Defense facilities each year;
(5) explore opportunities for energy efficiency in
industrial facilities for steam systems, boiler operation, air
compressor systems, industrial processes, and fuel switching;
and
(6) retire inefficient equipment on an accelerated basis
where replacement results in lower life-cycle costs.
(e) Reports.-- Not later than January 1, 2002, and annually
thereafter through 2010, the Secretary shall submit to the
congressional defense committees a report on progress made toward
achieving the goals set forth in subsection (c). Each report shall
include, at a minimum--
(1) the percentage reduction in energy consumption
accomplished as of the date of such report by the Department,
and by each of the military departments, in facilities covered by the
goals set forth in subsection (c)(1);
(2) the percentage reduction in energy consumption
accomplished as of the date of such report by the Department,
and by each of the military departments, in facilities covered
by the goals set forth in subsection (c)(2); and
(3) the steps taken by the Department, and by each of the
military departments, to implement the energy efficiency
strategies required by subsection (d) in the preceding calendar
year.
SEC. 314. EXTENSION OF PILOT PROGRAM FOR SALE OF AIR POLLUTION EMISSION
REDUCTION INCENTIVES.
Section 351(a)(2) of the National Defense Authorization Act for
Fiscal Year 1998 (Public Law 105-85; 10 U.S.C. 2701 note) is amended by
striking ``September 30, 2001'' and inserting ``September 30, 2003''.
SEC. 315. REIMBURSEMENT OF ENVIRONMENTAL PROTECTION AGENCY FOR CERTAIN
RESPONSE COSTS IN CONNECTION WITH HOOPER SANDS SITE,
SOUTH BERWICK, MAINE.
(a) Authority To Reimburse.--Using amounts specified in subsection
(c), 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 for the response costs
incurred by the Environmental Protection Agency for actions taken
between May 12, 1992, and July 31, 2000, 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,
in accordance with the Interagency Agreement entered into by the
Department of the Navy and the Environmental Protection Agency in
January 2001.
(b) Treatment of Reimbursement.--Payment of the amount authorized
by subsection (a) shall be in full satisfaction of amounts due from the
Department of the Navy to the Environmental Protection Agency for the
response costs described in that subsection.
(c) Source of Funds.--Payment under subsection (a) shall be made
using amounts authorized to be appropriated by section 301(15) to the
Environmental Restoration Account, Navy, established by section
2703(a)(3) of title 10, United States Code.
SEC. 316. CONFORMITY OF SURETY AUTHORITY UNDER ENVIRONMENTAL
RESTORATION PROGRAM WITH SURETY AUTHORITY UNDER
SUPERFUND.
Section 2701(j)(1) of title 10, United States Code, is amended by
striking ``or after December 31, 1999''.
SEC. 317. PROCUREMENT OF ALTERNATIVE FUELED AND HYBRID ELECTRIC LIGHT
DUTY TRUCKS.
(a) Defense Fleets Not Covered by Requirement in Energy Policy Act
of 1992.--(1) The Secretary of Defense shall coordinate with the
Administrator of General Services to ensure that only hybrid electric
vehicles are procured by the Administrator for the Department of
Defense fleet of light duty trucks that is not in a fleet of vehicles
to which section 303 of the Energy Policy Act of 1992 (42 U.S.C. 13212)
applies.
(2) The Secretary, in consultation with the Administrator, may
waive the policy regarding the procurement of hybrid electric vehicles
in paragraph (1) to the extent that the Secretary determines
necessary--
(A) in the case of trucks that are exempt from the
requirements of section 303 of the Energy Policy Act of 1992
(42 U.S.C. 13212) for national security reasons under
subsection (b)(3)(E) of such section, to meet specific
requirements of the Department of Defense for capabilities of
light duty trucks;
(B) to procure vehicles consistent with the standards
applicable to the procurement of fleet vehicles for the Federal
Government; or
(C) to adjust to limitations on the commercial availability
of light duty trucks that are hybrid electric vehicles.
(3) This subsection applies with respect to procurements of light
duty trucks in fiscal year 2005 and subsequent fiscal years.
(b) Requirement To Exceed Requirement in Energy Policy Act of
1992.--(1) The Secretary of Defense shall coordinate with the
Administrator of General Services to ensure that, of the light duty
trucks procured in fiscal years after fiscal year 2004 for the fleets
of light duty vehicles of the Department of Defense to which section
303 of the Energy Policy Act of 1992 (42 U.S.C. 13212) applies--
(A) five percent of the total number of such trucks that
are procured in each of fiscal years 2005 and 2006 are
alternative fueled vehicles or hybrid electric vehicles; and
(B) ten percent of the total number of such trucks that are
procured in each fiscal year after fiscal year 2006 are
alternative fueled vehicles or hybrid electric vehicles.
(2) Light duty trucks acquired for the Department of Defense that
are counted to comply with section 303 of the Energy Policy Act of 1992
(42 U.S.C. 13212) for a fiscal year shall be counted to determine the
total number of light duty trucks procured for the Department of
Defense for that fiscal year for the purposes of paragraph (1), but
shall not be counted to satisfy the requirement in that paragraph.
(c) Report on Plans for Implementation.--At the same time that the
President submits the budget for fiscal year 2003 to Congress under
section 1105(a) of title 31, United States Code, the Secretary shall
submit to Congress a report summarizing the plans for carrying out
subsections (a) and (b).
(d) Definitions.--In this section:
(1) The term ``hybrid electric vehicle'' means a motor
vehicle that draws propulsion energy from onboard sources of
stored energy that are both--
(A) an internal combustion or heat engine using
combustible fuel; and
(B) a rechargeable energy storage system.
(2) The term ``alternative fueled vehicle'' has the meaning
given that term in section 301 of the Energy Policy Act of 1992
(43 U.S.C. 13211).
Subtitle C--Commissaries and Nonappropriated Fund Instrumentalities
SEC. 321. REBATE AGREEMENTS WITH PRODUCERS OF FOODS PROVIDED UNDER THE
SPECIAL SUPPLEMENTAL FOOD PROGRAM.
Section 1060a(b) of title 10, United States Code, is amended--
(1) by striking ``(b) Funding Mechanism.--'' and inserting
``(b) Funding.--(1)''; and
(2) by adding at the end the following new paragraph:
``(2)(A) In the administration of the program under this section,
the Secretary of Defense may enter into a contract with a producer of a
particular brand of food that provides for--
``(i) the Secretary of Defense to procure that particular
brand of food, exclusive of other brands of the same or similar
food, for the purpose of providing the food in commissary
stores of the Department of Defense as a supplemental food
under the program; and
``(ii) the producer to rebate to the Department of Defense
amounts equal to agreed portions of the amounts paid by the
department for the procurement of that particular brand of food
for the program.
``(B) The Secretary shall use competitive procedures under chapter
137 of this title for entering into contracts under this paragraph.
``(C) The period covered by a contract entered into under this
paragraph may not exceed one year. No such contract may be extended by
a modification of the contract, by exercise of an option, or by any
other means. Nothing in this subparagraph prohibits a contractor under
a contract entered into under this paragraph for any year from
submitting an offer for, and being awarded, a contract that is to be
entered into under this paragraph for a successive year.
``(D) Amounts rebated under a contract entered into under
subparagraph (A) shall be credited to the appropriation available for
carrying out the program under this section in the fiscal year in which
rebated, shall be merged with the other sums in that appropriation, and
shall be available for the program for the same period as the other
sums in the appropriation.''.
SEC. 322. REIMBURSEMENT FOR USE OF COMMISSARY FACILITIES BY MILITARY
DEPARTMENTS FOR PURPOSES OTHER THAN COMMISSARY SALES.
(a) Requirement.--Chapter 147 of title 10, United States Code, is
amended by inserting after section 2482a the following new section:
``Sec. 2483. Commissary stores: reimbursement for use of commissary
facilities by military departments
``(a) Payment Required.--The Secretary of a military department
shall pay the Defense Commissary Agency the amount determined under
subsection (b) for any use of a commissary facility by the military
department for a purpose other than commissary sales or operations in
support of commissary sales.
``(b) Amount.--The amount payable under subsection (a) for use of a
commissary facility by a military department shall be equal to the
share of depreciation of the facility that is attributable to that use,
as determined under regulations prescribed by the Secretary of Defense.
``(c) Covered Facilities.--This section applies with respect to a
commissary facility that is acquired, constructed, converted, expanded,
installed, or otherwise improved (in whole or in part) with the
proceeds of an adjustment or surcharge applied under section 2486(c) of
this title.
``(d) Crediting of Payments.--The Director of the Defense
Commissary Agency shall credit amounts paid under this section for use
of a facility to an appropriate account to which proceeds of an
adjustment or surcharge referred to in subsection (c) are credited.''.
(b) Clerical Amendment.--The table of sections at the beginning of
such chapter is amended by inserting after the item relating to section
2482a the following new item:
``2483. Commissary stores: reimbursement for use of commissary
facilities by military departments.''.
SEC. 323. PUBLIC RELEASES OF COMMERCIALLY VALUABLE INFORMATION OF
COMMISSARY STORES.
(a) Limitations and Authority.--Section 2487 of title 10, United
States Code, is amended to read as follows:
``Sec. 2487. Commissary stores: release of certain commercially
valuable information to the public
``(a) Authority To Limit Release.--(1) The Secretary of Defense may
limit the release to the public of any information described in
paragraph (2) if the Secretary determines that it is in the best
interest of the Department of Defense to limit the release of such
information. If the Secretary determines to limit the release of any
such information, the Secretary may provide for limited release of such
information in accordance with subsection (b).
``(2) Paragraph (1) applies to the following:
``(A) Information contained in the computerized business
systems of commissary stores or the Defense Commissary Agency
that is collected through or in connection with the use of
electronic scanners in commissary stores, including the
following information:
``(i) Data relating to sales of goods or services.
``(ii) Demographic information on customers.
``(iii) Any other information pertaining to
commissary transactions and operations.
``(B) Business programs, systems, and applications
(including software) relating to commissary operations that
were developed with funding derived from commissary surcharges.
``(b) Release Authority.--(1) The Secretary of Defense may, using
competitive procedures, enter into a contract to sell information
described in subsection (a)(2).
``(2) The Secretary of Defense may release, without charge,
information on an item sold in commissary stores to--
``(A) the manufacturer or producer of that item; or
``(B) the manufacturer or producer's agent when necessary
to accommodate electronic ordering of the item by commissary
stores.
``(3) The Secretary of Defense may, by contract entered into with a
business, grant to the business a license to use business programs
referred to in subsection (a)(2)(B), including software used in or
comprising any such program. The fee charged for the license shall be
based on the costs of similar programs developed and marketed by
businesses in the private sector, determined by means of surveys.
``(4) Each contract entered into under this subsection shall
specify the amount to be paid for information released or a license
granted under the contract, as the case may be.
``(c) Form of Release.--Information described in subsection (a)(2)
may not be released, under subsection (b) or otherwise, in a form that
identifies any customer or that provides information making it possible
to identify any customer.
``(d) Receipts.--Amounts received by the Secretary under this
section shall be credited to funds derived from commissary surcharges,
shall be merged with those funds, and shall be available for the same
purposes as the funds with which merged.
``(e) Definitions.--In this section, the term `commissary
surcharge' means any adjustment or surcharge applied under section
2486(c) of this title.''.
(b) Clerical Amendment.--The table of sections at the beginning of
chapter 147 of such title is amended to read as follows:
``2487. Commissary stores: release of certain commercially valuable
information to the public.''.
Subtitle D--Other Matters
SEC. 331. CODIFICATION OF AUTHORITY FOR DEPARTMENT OF DEFENSE SUPPORT
FOR COUNTERDRUG ACTIVITIES OF OTHER GOVERNMENTAL
AGENCIES.
(a) Authority.--(1) Chapter 18 of title 10, United States Code, is
amended by adding at the end the following new section:
``Sec. 383. Additional support for counterdrug activities of other
agencies
``(a) Support to Other Agencies.--The Secretary of Defense may
provide support for the counterdrug activities of any other department
or agency of the Federal Government or of any State, local, or foreign
law enforcement agency for any of the purposes set forth in subsection
(b) if such support is requested--
``(1) by the official who has responsibility for the
counterdrug activities of the department or agency of the
Federal Government, in the case of support for the department
or agency;
``(2) by the appropriate official of a State or local
government, in the case of support for the State or local law
enforcement agency; or
``(3) by an appropriate official of a department or agency
of the Federal Government that has counterdrug
responsibilities, in the case of support for a foreign law
enforcement agency.
``(b) Types of Support.--The purposes for which the Secretary may
provide support under subsection (a) are the following:
``(1) The maintenance and repair of equipment that has been
made available to any department or agency of the Federal
Government or to any State or local government by the
Department of Defense for the purposes of--
``(A) preserving the potential future utility of
such equipment for the Department of Defense; and
``(B) upgrading such equipment to ensure
compatibility of that equipment with other equipment
used by the Department of Defense.
``(2) The maintenance, repair, or upgrading of equipment
(including computer software), other than equipment referred to
in subparagraph (A) for the purpose of--
``(A) ensuring that the equipment being maintained
or repaired is compatible with equipment used by the
Department of Defense; and
``(B) upgrading such equipment to ensure the
compatibility of that equipment with equipment used by
the Department of Defense.
``(3) The transportation of personnel of the United States
and foreign countries (including per diem expenses associated
with such transportation), and the transportation of supplies
and equipment, for the purpose of facilitating counterdrug
activities within or outside the United States.
``(4) The establishment (including an unspecified minor
military construction project) and operation of bases of
operations or training facilities for the purpose of
facilitating counterdrug activities of the Department of
Defense or any Federal, State, or local law enforcement agency
within or outside the United States or counterdrug activities
of a foreign law enforcement agency outside the United States.
``(5) Counterdrug related training of law enforcement
personnel of the Federal Government, of State and local
governments, and of foreign countries, including associated
support expenses for trainees and the provision of materials
necessary to carry out such training.
``(6) The detection, monitoring, and communication of the
movement of--
``(A) air and sea traffic within 25 miles of and
outside the geographic boundaries of the United States;
and
``(B) surface traffic outside the geographic
boundary of the United States and within the United
States not to exceed 25 miles of the boundary if the
initial detection occurred outside of the boundary.
``(7) Construction of roads and fences and installation of
lighting to block drug smuggling corridors across international
boundaries of the United States.
``(8) Establishment of command, control, communications,
and computer networks for improved integration of law
enforcement, active military, and National Guard activities.
``(9) The provision of linguist and intelligence analysis
services.
``(10) Aerial and ground reconnaissance.
``(c) Limitation on Counterdrug Requirements.--The Secretary of
Defense may not limit the requirements for which support may be
provided under subsection (a) only to critical, emergent, or
unanticipated requirements.
``(d) Contract Authority.--In carrying out subsection (a), the
Secretary of Defense may acquire services or equipment by contract for
support provided under that subsection if the Department of Defense
would normally acquire such services or equipment by contract for the
purpose of conducting a similar activity for the Department of Defense.
``(e) Limited Waiver of Prohibition.--Notwithstanding section 376
of this title, the Secretary of Defense may provide support pursuant to
subsection (a) in any case in which the Secretary determines that the
provision of such support would adversely affect the military
preparedness of the United States in the short term if the Secretary
determines that the importance of providing such support outweighs such
short-term adverse effect.
``(f) Conduct of Training or Operation to Aid Civilian Agencies.--
In providing support pursuant to subsection (a), the Secretary of
Defense may plan and execute otherwise valid military training or
operations (including training exercises undertaken pursuant to section
1206(a) of the National Defense Authorization Act for Fiscal Years 1990
and 1991 (Public Law 101-189; 103 Stat. 1564; 10 U.S.C. 124 note)) for
the purpose of aiding civilian law enforcement agencies.
``(g) Relationship to Other Laws.--(1) The authority provided in
this section for the support of counterdrug activities by the
Department of Defense is in addition to, and except as provided in
paragraph (2), not subject to the requirements of any other provision
of this chapter.
``(2) Support under this section shall be subject to the provisions
of section 375 and, except as provided in subsection (e), section 376
of this title.
``(h) Congressional Notification of Facilities Projects.--(1) When
a decision is made to carry out a military construction project
described in paragraph (2), the Secretary of Defense shall submit to
the committees of Congress named in paragraph (3) a written notice of
the decision, including the justification for the project and the
estimated cost of the project. The project may be commenced only after
the end of the 21-day period beginning on the date on which the written
notice is received by the committees.
``(2) Paragraph (1) applies to an unspecified minor military
construction project that--
``(A) is intended for the modification or repair of a
Department of Defense facility for the purpose set forth in
subsection (b)(4); and
``(B) has an estimated cost of more than $500,000.
``(3) The committees referred to in paragraph (1) are as follows:
``(A) The Committee on Armed Services and the Committee on
Appropriations of the Senate.
``(B) The Committee on Armed Services and the Committee on
Appropriations of the House of Representatives.''.
(2) The table of sections at the beginning of such chapter is
amended by adding at the end the following new item:
``383. Additional support for counterdrug activities of other
agencies.''.
(b) Repeal of Superseded Provision.--Section 1004 of the National
Defense Authorization Act for Fiscal Year 1991 (Public Law 101-510; 10
U.S.C. 374 note) is repealed.
(c) Savings Provision.--The repeal of section 1004 of the National
Defense Authorization Act for Fiscal Year 1991 by subsection (b) shall
not affect any support provided under that section that is ongoing as
of the date of the enactment of this Act. The support may be continued
in accordance with section 383 of title 10, United States Code, as
added by subsection (a).
SEC. 332. EXCLUSION OF CERTAIN EXPENDITURES FROM LIMITATION ON PRIVATE
SECTOR PERFORMANCE OF DEPOT-LEVEL MAINTENANCE.
(a) Amounts Excluded.--Amounts expended out of funds described in
subsection (b) for the performance of a depot-level maintenance and
repair workload by non-Federal Government personnel at a Center of
Industrial and Technical Excellence designated pursuant to section
2474(a) of title 10, United States Code, shall not be counted for
purposes of section 2466(a) of such title if the personnel are provided
by private industry pursuant to a public-private partnership undertaken
by the Center under section 2474(b) of such title.
(b) Funds for Fiscal Years 2002 Through 2004.--The funds referred
to in subsection (a) are funds available to the military departments
for depot-level maintenance and repair workloads for fiscal years 2002,
2003, and 2004.
SEC. 333. REPAIR, RESTORATION, AND PRESERVATION OF LAFAYETTE ESCADRILLE
MEMORIAL, MARNES LA-COQUETTE, FRANCE.
(a) Authority To Make Grant.--The Secretary of the Air Force may,
using amounts specified in subsection (d), make a grant to the
Lafayette Escadrille Memorial Foundation, Inc., for purposes of the
repair, restoration, and preservation of the structure, plaza, and
surrounding grounds of the Lafayette Escadrille Memorial in Marnes la-
Coquette, France.
(b) Grant Amount.--The amount of the grant under subsection (a) may
not exceed $2,000,000.
(c) Use of Grant.--Amounts from the grant under this section shall
be used solely for the purposes described in subsection (a). None of
such amounts may be used for remuneration of any entity or individual
associated with fundraising for any project for such purposes.
(d) Funds for Grant.--Funds for the grant under this section shall
be derived from amounts authorized to be appropriated by section 301(4)
for operation and maintenance for the Air Force for fiscal year 2002.
SEC. 334. IMPLEMENTATION OF THE NAVY-MARINE CORPS INTRANET CONTRACT.
(a) Additional Phase-In Authority.--Subsection (b) 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 by adding at the end the following new paragraphs:
``(5)(A) The Secretary of the Navy may, before the submittal of the
joint certification referred to in paragraph (3)(D), contract for one
or more additional increments of work stations under the Navy-Marine
Corps Intranet contract, with the number of work stations to be ordered
in each additional increment to be determined by the Under Secretary of
Defense for Acquisition, Technology, and Logistics.
``(B) Upon determining the number of work stations in an additional
increment for purposes of subparagraph (A), the Under Secretary of
Defense for Acquisition, Technology, and Logistics shall submit to the
congressional defense committees a report, current as of the date of
such determination, on the following:
``(i) The number of work stations operating on the Navy-
Marine Corps Intranet.
``(ii) The status of testing and implementation of the
Navy-Marine Corps Intranet program.
``(iii) The number of work stations to be contracted for in
the additional increment.
``(C) The Under Secretary of Defense for Acquisition, Technology,
and Logistics may not make a determination to order any number of work
stations to be contracted for under subparagraph (A) in excess of the
number permitted under paragraph (2) until--
``(i) the completion of a three-phase contractor test and
user evaluation, observed by the Department of Defense, of the
work stations operating on the Navy-Marine Corps Intranet at
the first three sites under the Navy-Marine Corps Intranet
program; and
``(ii) the Chief Information Officer of the Navy has
certified to the Secretary of the Navy and the Chief
Information Officer of the Department of Defense that the
results of the test and evaluation referred to in clause (i)
are acceptable.
``(D) The Under Secretary of Defense for Acquisition, Technology,
and Logistics may not make a determination to order any number of work
stations to be contracted for under subparagraph (A) in excess of the
number provided for under subparagraph (C) until--
``(i) there has been a full transition of not less than
20,000 work stations to the Navy-Marine Corps Intranet;
``(ii) the work stations referred to in clause (i) have met
service-level agreements specified in the Navy-Marine Corps
Intranet contract for not less than 30 days, as determined by
contractor performance measurement under oversight by the
Department of the Navy; and
``(iii) the Chief Information Officer of the Department of
Defense and the Assistant Secretary of Defense for Command,
Control, Communications, and Intelligence jointly certify to
the congressional defense committees that the results of
testing of the work stations referred to in clause (i) are
acceptable.''.
(b) Definitions.--Subsection (f) of that section is amended to read
as follows:
``(f) Definitions.--In this section:
``(1) The term `Navy-Marine Corps Intranet contract' means
a contract providing for a long-term arrangement of the
Department of the Navy with the commercial sector that imposes
on the contractor a responsibility for, and transfers to the
contractor the risk of, providing and managing the significant
majority of desktop, server, infrastructure, and communication
assets and services of the Department of the Navy.
``(2) The term `provide', in the case of a work station
under the Navy-Marine Corps Intranet contract, means transfer
of the legacy information infrastructure and systems of the
user of the work station to Navy-Marine Corps Intranet
infrastructure and systems of the work station under the Navy-
Marine Corps Intranet contract and performance thereof
consistent with the service-level agreements specified in the
Navy-Marine Corps Intranet contract.''.
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. AUTHORIZED DAILY AVERAGE ACTIVE DUTY STRENGTH FOR NAVY
ENLISTED MEMBERS IN PAY GRADE E-8.
(a) In General.--Section 517(a) of title 10, United States Code, is
amended by inserting ``or the Navy'' after ``in the case of the Army''.
(b) Applicability.--The amendment made by subsection (a) shall take
effect on October 1, 2001, and shall apply with respect to fiscal years
beginning on or after that date.
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, 23,698.
(2) The Army Reserve, 13,406.
(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 Reserve, 6,249.
(2) For the Army National Guard of the United States,
23,615.
(3) For the Air Force Reserve, 9,818.
(4) For the Air National Guard of the United States,
22,422.
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, 0.
(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 the 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.--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.
``(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.--(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 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
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 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.--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.
``(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.
SEC. 416. STRENGTH AND GRADE LIMITATION ACCOUNTING FOR RESERVE
COMPONENT MEMBERS ON ACTIVE DUTY IN SUPPORT OF A
CONTINGENCY OPERATION.
(a) Active Duty Strength Accounting.--Section 115(c)(1) of title
10, United States Code, is amended to read as follows:
``(1) increase the end strength authorized pursuant to
subsection (a)(1)(A) for a fiscal year for any of the armed
forces by--
``(A) a number equal to not more than 1 percent of
that end strength; and
``(B) the number (if any) of the members of the
reserve components that, as determined by the
Secretary, are on active duty under section 12301(d) of
this title in support of a contingency operation.''.
(b) Limitation on Authorized Daily Average for Members in Pay
Grades E-8 and E-9 on Active Duty.--Section 517 of such title is
amended by adding at the end the following new paragraph:
``(d) The Secretary of Defense may increase the authorized daily
average number of enlisted members on active duty in an armed force in
pay grade E-8 or
E-9 in a fiscal year, as determined under subsection (a), by the number
(if any) of enlisted members of a reserve component of that armed force
in that pay grade who, as determined by the Secretary, are on active
duty under section 12301(d) of this title in support of a contingency
operation.''.
(c) Limitation on Authorized Strengths for Commissioned Officers in
Pay Grades O-4, O-5, and O-6 on Active Duty.--Section 523(b) of such
title is amended--
(1) in paragraphs (1) and (2) of subsection (a), by
striking ``Except as provided in subsection (c)'' and inserting
``Except as provided in subsections (c) and (e)''; and
(2) by adding at the end the following new subsection:
``(e) The Secretary of Defense may increase the limitation on the
total number of commissioned officers of an armed force authorized to
be serving on active duty at the end of any fiscal year in the grade of
O-4, O-5, or
O-6, determined under subsection (a), by the number (if any) of
commissioned officers of a reserve component of that armed force in
that grade who, as determined by the Secretary, are serving on active
duty under section 12301(d) of this title in support of a contingency
operation.''.
(d) Limitation on Authorized Strengths for General and Flag
Officers on Active Duty.--Section 526(a) of such title is amended--
(1) by striking ``Limitations.--The'' and inserting
``Limitations.--(1) Except as provided in paragraph (2), the'';
(2) by redesignating paragraphs (1), (2), (3), and (4) as
subparagraphs (A), (B), (C), and (D), respectively; and
(3) by adding at the end the following new paragraph (2):
``(2) The Secretary of Defense may increase the limitation on the
number of general and flag officers on active duty, determined under
paragraph (1), by the number (if any) of reserve component general and
flag officers who, as determined by the Secretary, are serving on
active duty under section 12301(d) of this title in support of a
contingency operation.''.
Subtitle C--Authorization of Appropriations
SEC. 421. AUTHORIZATION OF APPROPRIATIONS FOR MILITARY PERSONNEL.
There is hereby authorized to be appropriated to the Department of
Defense for military personnel for fiscal year 2002 a total of
$82,396,900,000. 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--Officer Personnel Policy
SEC. 501. GENERAL OFFICER POSITIONS.
(a) Increased Grade for Vice Chief of National Guard Bureau.--
Section 10505(c) of title 10, United States Code, is amended by
striking ``major general'' and inserting ``lieutenant general''.
(b) Increased Grade for Heads of Nurse Corps of the Armed Forces.--
(1) Section 3069(b) of title 10, United States Code, is amended by
striking ``brigadier general'' in the second sentence and inserting
``major general''.
(2) The first sentence of section 5150(c) of such title is
amended--
(A) by inserting ``rear admiral (upper half) in the case of
an officer in the Nurse Corps or'' after ``for promotion to the
grade of''; and
(B) by inserting ``in the case of an officer in the Medical
Service Corps'' after ``rear admiral (lower half)''.
(3) Section 8069(b) of such title is amended by striking
``brigadier general'' in the second sentence and inserting ``major
general''.
(c) Appointment and Grade of Chief of Army Veterinary Corps.--(1)
Chapter 307 of title 10, United States Code, is amended by inserting
after section 3070 the following new section 3071:
``Sec. 3071. Veterinary Corps: composition; Chief and assistant chief;
appointment; grade
``(a) Composition.--The Veterinary Corps consists of the Chief and
assistant chief of that corps and other officers in grades prescribed
by the Secretary of the Army.
``(b) Chief.--The Secretary of the Army shall appoint the Chief
from the officers of the Regular Army in that corps whose regular grade
is above lieutenant colonel and who are recommended by the Surgeon
General. An appointee who holds a lower regular grade shall be
appointed in the regular grade of brigadier general. The Chief serves
during the pleasure of the Secretary, but not for more than four years,
and may not be reappointed to the same position.
``(c) Assistant Chief.--The Surgeon General shall appoint the
assistant chief from the officers of the Regular Army in that corps
whose regular grade is above lieutenant colonel. The assistant chief
serves during the pleasure of the Surgeon General, but not for more
than four years and may not be reappointed to the same position.''.
(2) The table of sections at the beginning of such chapter is
amended by inserting after the item relating to section 3070 the
following new item:
``3071. Veterinary Corps: composition; Chief and assistant chief;
appointment; grade.''.
(d) Exclusions From Limitation of Active Duty Officers in Grades
Above Major General.--Section 525(b) of title 10, United States Code,
is amended--
(1) in paragraph (2)(B), by striking ``16.2 percent'' and
inserting ``17.5 percent'';
(2) in paragraph (3)--
(A) by inserting ``(A)'' after ``(3)''; and
(B) by adding at the end the following new
subparagraph:
``(B) An officer while serving as the Senior Military Assistant to
the Secretary of Defense, if serving in the grade of general or
lieutenant general, or admiral or vice admiral, is in addition to the
number that would otherwise be permitted for his armed force for that
grade under paragraph (1) or (2).''; and
(3) by striking paragraph (6) and inserting the following:
``(6)(A) An officer while serving in a position named in
subparagraph (B) is in addition to the number that would otherwise be
permitted for that officer's armed force for officers serving on active
duty in grades above major general under paragraph (1).
``(B) Subparagraph (A) applies with respect to the following
positions:
``(i) Chief of the National Guard Bureau.
``(ii) Vice Chief of the National Guard Bureau.''.
SEC. 502. REDUCTION OF TIME-IN-GRADE REQUIREMENT FOR ELIGIBILITY FOR
PROMOTION OF FIRST LIEUTENANTS AND LIEUTENANTS (JUNIOR
GRADE).
Paragraph (1) of section 619(a) of title 10, United States Code, is
amended by striking ``the following period of service'' and all that
follows through the end of the paragraph and inserting ``eighteen
months of service in the grade in which he holds a permanent
appointment.''.
SEC. 503. PROMOTION OF OFFICERS TO THE GRADE OF CAPTAIN IN THE ARMY,
AIR FORCE, OR MARINE CORPS OR TO THE GRADE OF LIEUTENANT
IN THE NAVY WITHOUT SELECTION BOARD ACTION.
(a) Active-Duty List Promotions.--(1) Section 611(a) of title 10,
United States Code, is amended by striking ``Under'' and inserting
``Except in the case of promotions recommended under section 624(a)(3)
of this title, under''.
(2) Section 624(a) of such title is amended by adding at the end
the following new paragraph (3):
``(3) The President may, upon a recommendation of the Secretary of
the military department concerned approved by the President, promote to
the grade of captain (for officers of the Regular Army, Regular Air
Force, or Regular Marine Corps) or lieutenant (for officers of the
Regular Navy) all fully qualified officers on the active-duty list in
the permanent or temporary grade of first lieutenant or lieutenant
(junior grade), respectively, who would be eligible for consideration
for promotion to the next higher grade by a selection board convened
under section 611(a) of this title. The Secretary of a military
department may make such a recommendation whenever the Secretary
determines that all such officers are needed in the next higher grade
to accomplish mission objectives. Promotions under this paragraph shall
be effectuated under regulations prescribed by the Secretary of the
military department concerned.''.
(3) Section 631 of such title is amended by adding at the end the
following new subsection (d):
``(d) For the purposes of this chapter--
``(1) a recommendation made by the Secretary of the
military department concerned under section 624(a)(3) of this
title that is approved by the President shall be treated in the
same manner as a report of a promotion selection board convened
under section 611(a) of this title that is approved by the
President; and
``(2) an officer of the Regular Army, Regular Air Force, or
Regular Marine Corps who holds the regular grade of first
lieutenant, and an officer of the Regular Navy who holds the
regular grade of lieutenant (junior grade), shall be treated as
having failed of selection for promotion if the Secretary of
the military department concerned determines that the officer
would be eligible for consideration for promotion to the next
higher grade by a selection board convened under section 611(a)
of this title but is not fully qualified for promotion when
recommending for promotion under section 624(a)(3) of this
title all fully qualified officers of the officer's armed force
in such grade who would be eligible for such consideration.''.
(b) Reserve Active-Status List Promotions.--(1) Section 14101(a) of
such title is amended by striking ``Whenever'' and inserting ``Except
in the case of promotions recommended under section 14308(b)(4) of this
title, whenever''.
(2) Section 14308(b) of such title is amended by adding at the end
the following new paragraph (4):
``(4) The President may, upon a recommendation of the Secretary of
the military department concerned approved by the President, promote to
the grade of captain (for officers of a reserve component of the Army,
Air Force, or Marine Corps) or lieutenant (for officers of the Naval
Reserve) all fully qualified officers on the reserve active-status list
in the permanent grade of first lieutenant or lieutenant (junior
grade), respectively, who would be eligible for consideration for
promotion to the next higher grade by a selection board convened under
section 14101(a) of this title. The Secretary of a military department
may make such a recommendation whenever the Secretary determines that
all such officers are needed in the next higher grade to accomplish
mission objectives. Promotions under this paragraph shall be
effectuated under regulations prescribed by the Secretary of the
military department concerned.''.
(3) Section 14504 of such title is amended by adding at the end the
following new subsection (c):
``(c) For the purposes of this chapter--
``(1) a recommendation made by the Secretary of the
military department concerned under section 14308(b)(4) of this
title that is approved by the President shall be treated the
same as a report of a promotion selection board convened under
section 14101(a) of this title that is approved by the
President; and
``(2) an officer on a reserve active-status list who holds
the grade of first lieutenant (in the case of an officer in a
reserve component of the Army, Air Force, or Marine Corps) or
the grade of lieutenant (junior grade) (in the case of an
officer of the Naval Reserve) shall be treated as having failed
of selection for promotion if the Secretary of the military
department concerned determines that the officer would be
eligible for consideration for promotion to the next higher
grade by a selection board convened under section 14101(a) of
this title but is not fully qualified for promotion when
recommending for promotion under section 14308(b)(4) of this
title all fully qualified officers of that officer's reserve
component in such grade who would be eligible for such
consideration.''.
SEC. 504. AUTHORITY TO ADJUST DATE OF RANK.
(a) Active Duty Officers.--Subsection 741(d) of title 10, United
States Code, is amended, by adding at the end the following new
paragraph (4):
``(4)(A) The Secretary concerned may adjust the date of rank of an
officer appointed to a higher grade under section 624(a) of this title
if the appointment is to a grade below O-7 and is delayed by reason of
unusual circumstances that cause an unintended delay in the processing
or approval of--
``(i) a report of a selection board recommending the
appointment of the officer to that grade; or
``(ii) the promotion list established on the basis of that
report.
``(B) The adjusted date of rank applicable to the grade of an
officer under subparagraph (A) shall be consistent with the officer's
position on the promotion list for that grade and competitive category
when additional officers in that grade and competitive category were
needed and shall also be consistent with compliance with the applicable
authorized strengths for officers in that grade and competitive
category.
``(C) The adjusted date of rank applicable to the grade of an
officer under subparagraph (A) shall be the effective date for the
officer's pay and allowances for the grade and for the officer's
position on the active-duty list.
``(D) In the case of an officer whose appointment to a higher grade
under this section is made by and with the advice and consent of the
Senate, the Secretary concerned shall transmit to the Committee on
Armed Services of the Senate a notification of any adjustment of a date
of rank for the appointment of an officer to a higher grade under
subparagraph (A) to a date that is prior to the date of the advice and
consent of the Senate on the appointment. The notification shall
include the name of the officer and a discussion of the reasons for the
adjustment.''.
(b) Reserve Officers.--Section 14308(c) of such title is amended--
(1) by redesignating paragraph (2) as paragraph (3);
(2) by inserting after paragraph (1) the following new
paragraph (2):
``(2)(A) The Secretary concerned may adjust the date of rank of an
officer appointed to a higher grade under this section if the
appointment is to a grade below O-7 and is delayed by reason of unusual
circumstances that cause an unintended delay in the processing or
approval of--
``(i) a report of a selection board recommending the
appointment of the officer to that grade; or
``(ii) the promotion list established on the basis of that
report.
``(B) The adjusted date of rank applicable to the grade of an
officer under subparagraph (A) shall be consistent with the officer's
position on the promotion list for that grade and competitive category
when additional officers in that grade and competitive category were
needed and shall also be consistent with compliance with the applicable
authorized strengths for officers in that grade and competitive
category.
``(C) The adjusted date of rank applicable to the grade of an
officer under subparagraph (A) shall be the effective date for the
officer's pay and allowances for the grade and for the officer's
position on the active-duty list.
``(D) In the case of an officer whose appointment to a higher grade
under this section is made by and with the advice and consent of the
Senate, the Secretary concerned shall transmit to the Committee on
Armed Services of the Senate a notification of any adjustment of a date
of rank for the appointment of an officer to a higher grade under
subparagraph (A) to a date that is prior to the date of the advice and
consent of the Senate on the appointment. The notification shall
include the name of the officer and a discussion of the reasons for the
adjustment.''; and
(3) in paragraph (3), as redesignated by paragraph (1), by
inserting ``provided in paragraph (2) or as otherwise'' after
``Except as''.
SEC. 505. EXTENSION OF DEFERMENTS OF RETIREMENT OR SEPARATION FOR
MEDICAL REASONS.
Section 640 of title 10, United States Code, is amended--
(1) by inserting ``(a) Deferment.--'' before ``The
Secretary''; and
(2) by adding at the end the following new subsection:
``(b) Authority To Extend.--In the case of an officer whose
retirement or separation under any of sections 632 through 638, or
section 1251, of this title is deferred under subsection (a), the
Secretary of the military department concerned may extend the deferment
by an additional period of not more than 30 days following the
completion of the evaluation of the officer's physical condition if the
Secretary determines that continuation of the officer would facilitate
the officer's transition to civilian life.''.
SEC. 506. EXEMPTION FROM ADMINISTRATIVE LIMITATIONS OF RETIRED MEMBERS
ORDERED TO ACTIVE DUTY AS DEFENSE AND SERVICE ATTACHES.
(a) Limitation of Period of Recalled Service.--Section 688(e)(2) of
title 10, United States Code, is amended by adding at the end the
following new subparagraph (D):
``(D) An officer who is assigned to duty as a defense
attache or service attache for the period of active duty to
which ordered.''.
(b) Limitation on Number of Recalled Officers on Active Duty.--
Section 690(b)(2) of such title is amended by adding at the end the
following new subparagraph (E):
``(E) An officer who is assigned to duty as a defense
attache or service attache for the period of active duty to
which ordered.''.
(c) Applicability.--The amendments made by subsections (a) and (b)
shall apply with respect to officers serving on active duty as a
defense attache or service attache on or after the date of the
enactment of this Act.
SEC. 507. CERTIFICATIONS OF SATISFACTORY PERFORMANCE FOR RETIREMENTS OF
OFFICERS IN GRADES ABOVE MAJOR GENERAL AND REAR ADMIRAL.
Section 1370(c) of title 10, United States Code, is amended by
adding at the end the following new paragraph:
``(3)(A) The Secretary of Defense may delegate authority to make a
certification for an officer under paragraph (1) to the Under Secretary
of Defense for Personnel and Readiness or the Deputy Under Secretary of
Defense for Personnel and Readiness. The certification authority may
not be delegated to any other official.
``(B) If an official to whom authority is delegated under
subparagraph (A) determines in the case of an officer that there is
potentially adverse information on the officer and that the information
has not previously been reported to the Senate in connection with the
action of the Senate on a previous appointment of that officer under
section 601 of this title, the official may not exercise the authority
in that case, but shall refer the case to the Secretary of Defense. The
Secretary of Defense shall personally issue or withhold a certification
for an officer under paragraph (1) in any case referred to the
Secretary under the preceding sentence.''.
SEC. 508. EFFECTIVE DATE OF MANDATORY SEPARATION OR RETIREMENT OF
REGULAR OFFICER DELAYED BY A SUSPENSION OF CERTAIN LAWS
UNDER EMERGENCY AUTHORITY OF THE PRESIDENT.
Section 12305 of title 10, United States Code, is amended by adding
at the end the following new subsection (c):
``(c) In the case of an officer of the Regular Army, Regular Navy,
Regular Air Force, or Regular Marine Corps whose mandatory separation
or retirement under section 632, 633, 634, 635, 636, 637, or 1251 of
this title is delayed by reason of a suspension under this section, the
separation or retirement of the officer upon termination of the
suspension shall take effect on the date elected by the officer, but
not later than 90 days after the date of the termination of the
suspension.''.
SEC. 509. DETAIL AND GRADE OF OFFICER IN CHARGE OF THE UNITED STATES
NAVY BAND.
Section 6221 of title 10, United States Code, is amended--
(1) by inserting ``(a) Establishment.--''; and
(2) by adding at the end the following new subsection:
``(b) Officer in Charge.--(1) An officer serving in a grade above
lieutenant may be detailed as Officer in Charge of the United States
Navy Band.
``(2) While serving as Officer in Charge of the United States Navy
Band, an officer holds the grade of captain if appointed to that grade
by the President, by and with the advice and consent of the Senate,
notwithstanding the limitation in section 5596(d) of this title.''.
Subtitle B--Reserve Component Personnel Policy
SEC. 511. REAUTHORIZATION AND EXPANSION OF TEMPORARY WAIVER OF THE
REQUIREMENT FOR A BACCALAUREATE DEGREE FOR PROMOTION OF
CERTAIN RESERVE OFFICERS OF THE ARMY.
(a) Reauthorization.--Subsection (b) of section 516 of the Strom
Thurmond National Defense Authorization Act for Fiscal Year 1999
(Public Law 105-261; 112 Stat. 2008; 10 U.S.C. 12205 note) is amended
by striking ``September 30, 2000'' and inserting ``September 30,
2003''.
(b) Expansion of Eligibility.--Subsection (a) of such section is
amended by striking ``before the date of the enactment of this Act''.
SEC. 512. STATUS LIST OF RESERVE OFFICERS ON ACTIVE DUTY FOR A PERIOD
OF THREE YEARS OR LESS.
(a) Clarification.--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),
under a call or order to active duty specifying a
period of three years or less and continuation
(pursuant to regulations prescribed by the Secretary
concerned) on the reserve active-status list;''.
(b) Retroactive Adjustments.--(1) The Secretary of the military
department concerned--
(A) may place on the active-duty list of the armed force
concerned any officer under the jurisdiction of the Secretary
who was placed on the reserve active-status list under
subparagraph (D) of section 641(1) of title 10, United States
Code, as added by section 521(2) 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);
and
(B) for the purposes of chapter 36 of such title (other
than section 640 of such title and, in the case of a warrant
officer, section 628 of such title), shall treat an officer
placed on the active-duty list under subparagraph (A) as having been on
the active-duty list continuously from the date on which the officer
was placed on the reserve active-status list as described in that
subparagraph.
(2) The Secretary of the military department concerned may place on
the reserve active-status list of the armed force concerned, effective
as of the date of the enactment of this Act, any officer who was placed
on the active-duty list before that date and after October 29, 1997,
while on active duty under section 12301(d) of title 10, United States
Code, other than as described under section 641(1)(C) of such title,
under a call or order to active duty specifying a period of three years
or less.
SEC. 513. EQUAL TREATMENT OF RESERVES AND FULL-TIME ACTIVE DUTY MEMBERS
FOR PURPOSES OF MANAGING DEPLOYMENTS OF PERSONNEL.
(a) Residence of Reserves at Home Station.--Section 991(b)(2) of
title 10, United States Code, is amended to read as follows:
``(2) In the case of a member of a reserve component who is
performing active service pursuant to orders that do not establish a
permanent change of station, the housing referred to in paragraph (1)
is any housing (which may include the member's residence) that the
member usually occupies for use during off-duty time when on garrison
duty at the member's permanent duty station or homeport, as the case
may be.''.
(b) Effective Date.--This section and the amendment made by this
section shall take effect on October 1, 2001, and shall apply with
respect to duty performed on or after that date.
SEC. 514. MODIFICATION OF PHYSICAL EXAMINATION REQUIREMENTS FOR MEMBERS
OF THE INDIVIDUAL READY RESERVE.
Section 10206 of title 10, United States Code, is amended--
(1) in subsection (a)--
(A) in the first sentence--
(i) by striking ``Ready Reserve'' and
inserting ``Selected Reserve''; and
(ii) by striking ``his'' and inserting
``the member's''; and
(B) in the second sentence, by striking ``Each
Reserve'' and inserting the following:
``(c) Each Reserve'';
(2) by redesignating subsection (b) as subsection (d); and
(3) by inserting after subsection (a) the following new
subsection (b):
``(b) A member of the Individual Ready Reserve or inactive National
Guard shall be examined for physical fitness as necessary to determine
the member's physical fitness for military duty or for promotion,
attendance at a school of the armed forces, or other action related to
career progression.''.
SEC. 515. MEMBERS OF RESERVE COMPONENTS AFFLICTED WHILE REMAINING
OVERNIGHT AT DUTY STATION WITHIN COMMUTING DISTANCE OF
HOME.
(a) Medical and Dental Care for Members.--Section 1074a(a)(3) of
title 10, United States Code, is amended by inserting before the period
at the end the following: ``or if the member remained overnight for
another reason authorized under applicable regulations''.
(b) Medical and Dental Care for Dependents.--Section 1076(a)(2)(C)
of title 10, United States Code, is amended by inserting before the
period at the end the following: ``or if the member remained overnight
for another reason authorized under applicable regulations''.
(c) Eligibility for Disability Retirement or Separation.--(1)
Section 1204(2)(B)(iii) of title 10, United States Code, is amended by
inserting before the semicolon at the end the following: ``or if the
member remained overnight for another reason authorized under
applicable regulations''.
(2) Section 1206(2)(A)(iii) of title 10, United States Code, is
amended by inserting before the semicolon the following: ``or if the
member remained overnight for another reason authorized under
applicable regulations''.
(d) Recovery, Care, and Disposition of Remains.--Section
1481(a)(2)(D) of title 10, United States Code, is amended by inserting
before the semicolon at the end the following: ``or if the member
remained overnight for another reason authorized under applicable
regulations''.
(e) Entitlement to Basic Pay.--Section 204 of title 37, United
States Code, is amended--
(1) in subsection (g)(1)(D), by inserting before the
semicolon the following: ``or if the member remained overnight
for another reason authorized under applicable regulations'';
and
(2) in subsection (h)(1)(D), by inserting before the
semicolon the following: ``or if the member remained overnight
for another reason authorized under applicable regulations''.
(f) Compensation for Inactive-Duty Training.--Section 206(a)(3)(C)
of title 37, United States Code, is amended by inserting before the
period at the end the following: ``or if the member remained overnight
for another reason authorized under applicable regulations''.
SEC. 516. RETIREMENT OF RESERVE PERSONNEL WITHOUT REQUEST.
(a) Retired Reserve.--Section 10154(2) of title 10, United States
Code, is amended by striking ``upon their request''.
(b) Retirement for Failure of Selection of Promotion.--(1)
Paragraph (2) of section 14513 of such title is amended by striking ``,
if the officer is qualified and applies for such transfer'' and
inserting ``if the officer is qualified for the transfer and does not
request (in accordance with regulations prescribed by the Secretary
concerned) not to be transferred to the Retired Reserve''.
(2)(A) The heading for such section is amended to read as follows:
``Sec. 14513. Transfer, retirement, or discharge for failure of
selection of promotion''.
(B) The item relating to such section in the table of sections at
the beginning of chapter 1407 of title 10, United States Code, is
amended to read as follows:
``14513. Transfer, retirement, or discharge for failure of selection of
promotion.''.
(c) Retirement for Years of Service or After Selection for Early
Removal.--Section 14514 of such title is amended--
(1) in paragraph (1), by striking ``, if the officer is
qualified and applies for such transfer'' and inserting ``if
the officer is qualified for the transfer and does not request
(in accordance with regulations prescribed by the Secretary
concerned) not to be transferred to the Retired Reserve''; and
(2) by striking paragraph (2) and inserting the following:
``(2) be discharged from the officer's reserve appointment
if the officer is not qualified for transfer to the Retired
Reserve or has requested (in accordance with regulations
prescribed by the Secretary concerned) not to be so
transferred.''.
(d) Retirement for Age.--Section 14515 of such title is amended--
(1) in paragraph (1), by striking ``, if the officer is
qualified and applies for such transfer'' and inserting ``if
the officer is qualified for the transfer and does not request
(in accordance with regulations prescribed by the Secretary
concerned) not to be transferred to the Retired Reserve''; and
(2) by striking paragraph (2) and inserting the following:
``(2) be discharged from the officer's reserve appointment
if the officer is not qualified for transfer to the Retired
Reserve or has requested (in accordance with regulations
prescribed by the Secretary concerned) not to be so
transferred.''.
(e) Discharge or Retirement of Warrant Officers for Years of
Service or Age.--(1) Chapter 1207 of such title is amended by adding at
the end the following new section:
``Sec. 12244. Warrant officers: discharge or retirement for years of
service or for age
``Each reserve warrant officer of the Army, Navy, Air Force, or
Marine Corps who is in an active status and has reached the maximum
years of service or age prescribed by the Secretary concerned shall--
``(1) be transferred to the Retired Reserve if the warrant
officer is qualified for the transfer and does not request (in
accordance with regulations prescribed by the Secretary
concerned) not to be transferred to the Retired Reserve; or
``(2) be discharged if the warrant officer is not qualified
for transfer to the Retired Reserve or has requested (in
accordance with regulations prescribed by the Secretary
concerned) not to be so transferred.''.
(2) The table of sections at the beginning of such chapter is
amended by adding at the end the following new item:
``12244. Warrant officers: discharge or retirement for years of service
or for age.''.
(f) Discharge or Retirement of Enlisted Members for Years of
Service or Age.--(1) Chapter 1203 of title 10, United States Code, is
amended by adding at the end the following new section:
``Sec. 12108. Enlisted members: discharge or retirement for years of
service or for age
``Each reserve enlisted member of the Army, Navy, Air Force, or
Marine Corps who is in an active status and has reached the maximum
years of service or age prescribed by the Secretary concerned shall--
``(1) be transferred to the Retired Reserve if the member
is qualified for the transfer and does not request (in
accordance with regulations prescribed by the Secretary
concerned) not to be transferred to the Retired Reserve; or
``(2) be discharged if the member is not qualified for
transfer to the Retired Reserve or has requested (in accordance
with regulations prescribed by the Secretary concerned) not to
be so transferred.''.
(2) The table of sections at the beginning of such chapter is
amended by adding at the end the following new item:
``12108. Enlisted members: discharge or retirement for years of service
or for age.''.
(g) Effective Date.--This section and the amendments made by this
section shall take effect on the first day of the first month that is
more than 180 days after the date of the enactment of this Act.
SEC. 517. SPACE-REQUIRED TRAVEL BY RESERVES ON MILITARY AIRCRAFT.
(a) Correction of Impairment to Authorized Travel With
Allowances.--Section 18505(a) of title 10, United States Code, is
amended by striking ``annual training duty or'' each place it appears.
(b) Conforming Amendments.--(1) The heading for such section is
amended to read as follows:
``Sec. 18505. Reserves traveling for inactive-duty training: space-
required travel on military aircraft''.
(2) The item relating to such section in the table of contents at
the beginning of chapter 1805 of title 10, United States Code, is
amended to read as follows:
``18505. Reserves traveling for inactive-duty training: space-required
travel on military aircraft.''.
Subtitle C--Education and Training
SEC. 531. IMPROVED BENEFITS UNDER THE ARMY COLLEGE FIRST PROGRAM.
(a) Increased Maximum Period of Delayed Entry.--Section 573 of the
National Defense Authorization Act for Fiscal Year 2000 (Public Law
106-65; 113 Stat. 623; 10 U.S.C. 513 note) is amended--
(1) in subsection (b)--
(A) by striking the matter preceding paragraph (1)
and inserting the following:
``(b) Delayed Entry With Allowance for Higher Education.--Under the
pilot program, the Secretary may--
``(1) exercise the authority under section 513 of title 10,
United States Code--'';
(B) by redesignating paragraphs (1) and (2) as
subparagraphs (A) and (B), respectively, and realigning
those subparagraphs four ems from the left margin;
(C) in subparagraph (A), as so redesignated, by
inserting ``and'' after the semicolon; and
(D) in subparagraph (B), as so redesignated, by
striking ``two years after the date of such enlistment
as a Reserve under paragraph (1)'' and inserting ``the
maximum period of delay determined for the person under
subsection (c)''; and
(2) in subsection (c)--
(A) by striking ``paragraph (2)'' and inserting
``paragraph (1)(B)'';
(B) by striking ``two-year period'' and inserting
``30-month period''; and
(C) by striking ``paragraph (1)'' and inserting
``paragraph (1)(A)''.
(b) Allowance Eligibility and Amount.--(1) Such section is further
amended--
(A) in subsection (b), by striking paragraph (3) and
inserting the following:
``(2) subject to paragraph (2) of subsection (d) and except
as provided in paragraph (3) of such subsection, pay an
allowance to the person for each month of that period during
which the member is enrolled in and pursuing such a program'';
and
(B) in subsection (d)--
(i) by redesignating paragraph (2) as paragraph
(4); and
(ii) by striking paragraph (1) and inserting the
following new paragraphs:
``(1) The monthly allowance paid under subsection (b)(2) shall be
equal to the amount of the subsistence allowance provided for certain
members of the Senior Reserve Officers' Training Corps under section
209(a) of title 37, United States Code.
``(2) An allowance may not be paid to a person under this section
for more than 24 months.
``(3) A member of the Selected Reserve of a reserve component may
be paid an allowance under this section only for months during which
the member performs satisfactorily as a member of a unit of the reserve
component that trains as prescribed in section 10147(a)(1) of title 10,
United States Code, or section 502(a) of title 32, United States Code.
Satisfactory performance shall be determined under regulations
prescribed by the Secretary.''.
(2) The heading for such subsection is amended by striking ``Amount
of''.
(c) Ineligibility for Loan Repayments.--Such section is further
amended--
(1) by redesignating subsections (e), (f), and (g) as
subsections (g), (h), and (i), respectively; and
(2) by inserting after subsection (d) the following new
subsection:
``(e) Ineligibility for Loan Repayments.--A person who has received
an allowance under this section is not eligible for any benefits under
chapter 109 of title 10, United States Code.''.
(d) Recoupment of Allowance.--Such section, as amended by
subsection (c), is further amended by inserting after subsection (e)
the following new subsection:
``(f) Recoupment of Allowance.--(1) A person who, after receiving
an allowance under this section, fails to complete the total period of
service required of that person in connection with delayed entry
authorized for the person under section 513 of title 10, United States
Code, shall repay the United States the amount which bears the same
ratio to the total amount of that allowance paid to the person as the
unserved part of the total required period of service bears to the
total period.
``(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 of a person in bankruptcy under title 11, United
States Code, that is entered less than five years after the date on
which the person was, or was to be, enlisted in the regular Army
pursuant to the delayed entry authority under section 513 of title 10,
United States Code, does not discharge that person from a debt arising
under paragraph (1).
``(4) The Secretary of the Army may waive, in whole or in part, a
debt arising under paragraph (1) in any case for which the Secretary
determines that recovery would be against equity and good conscience or
would be contrary to the best interests of the United States.''.
(e) Effective Date.--The amendments made by this section shall take
effect on October 1, 2001, and shall apply with respect to persons who,
on or after that date, are enlisted as described in subsection (a) of
section 513 of title 10, United States Code, with delayed entry
authorized under that section.
SEC. 532. REPEAL OF LIMITATION ON NUMBER OF JUNIOR RESERVE OFFICERS'
TRAINING CORPS UNITS.
Section 2031(a)(1) of title 10, United States Code, is amended by
striking the second sentence.
SEC. 533. ACCEPTANCE OF FELLOWSHIPS, SCHOLARSHIPS, OR GRANTS FOR LEGAL
EDUCATION OF OFFICERS PARTICIPATING IN THE FUNDED LEGAL
EDUCATION PROGRAM.
(a) FLEP Detail.--Section 2004 of title 10, United States Code, is
amended by adding at the end the following new subsection:
``(g) Acceptance of a fellowship, scholarship, or grant as
financial assistance for training described in subsection (a) in
accordance with section 2603(a) of this title does not disqualify the
officer accepting it from also being detailed at a law school for that
training under this section. Service obligations incurred under
subsection (b)(2)(C) and section 2603(b) of this title with respect to
the same training shall be served consecutively.''.
(b) Fellowships, Scholarships, or Grants.--Section 2603 of such
title is amended by adding at the end the following new subsection:
``(c) A detail of an officer for training at a law school under
section 2004 of this title does not disqualify the officer from also
accepting a fellowship, scholarship, or grant under this section as
financial assistance for that training. Service obligations incurred
under subsection (b) and section 2004(b)(2)(C) of this title with
respect to the same training shall be served consecutively.''.
SEC. 534. GRANT OF DEGREE BY DEFENSE LANGUAGE INSTITUTE FOREIGN
LANGUAGE CENTER.
(a) Authority.--Chapter 108 of title 10, United States Code, is
amended by adding at the end the following new section:
``Sec. 2167. Defense Language Institute: associate of arts
``Under regulations prescribed by the Secretary of Defense, the
Commandant of the Foreign Language Center of the Defense Language
Institute may confer an associate of arts degree in foreign language
upon graduates of the Institute who fulfill the requirements for the
degree, as certified by the Provost of the Institute.''.
(b) Clerical Amendment.--The table of sections at the beginning of
such chapter is amended by adding at the end the following new item:
``2167. Defense Language Institute: associate of arts.''.
SEC. 535. AUTHORITY FOR THE MARINE CORPS UNIVERSITY TO AWARD THE DEGREE
OF MASTER OF STRATEGIC STUDIES.
(a) Authority.--(1) Subsection (a) of section 7102 of title 10,
United States Code, is amended to read as follows:
``(a) Authority.--Upon the recommendation of the Director and
faculty of a college of the Marine Corps University, the President of
the Marine Corps University may confer a degree upon graduates of the
college who fulfill the requirements for the degree, as follows:
``(1) For the Marine Corps War College, the degree of
master of strategic studies.
``(2) For the Command and Staff College, the degree of
master of military studies.''.
(2)(A) The heading for such section is amended to read as follows:
``Sec. 7102. Marine Corps University: masters degrees''.
(B) The item relating to such section in the table of sections at
the beginning of chapter 609 of title 10, United States Code, is
amended to read as follows:
``7102. Marine Corps University: masters degrees.''.
(b) Condition for Initial Exercise of Authority.--(1) The President
of the Marine Corps University may exercise the authority provided
under section 7102(a)(1) of title 10, United States Code, only after
the Secretary of Education has notified the Secretary of the Navy of a
determination made under paragraph (2) that the requirements
established by the Marine Corps War College of the Marine Corps
University for the degree of master of strategic studies are in
accordance with the requirements typically imposed for awards of the
degree of master of arts by institutions of higher education in the
United States.
(2) The Secretary of Education shall review the requirements
established by the Marine Corps War College of the Marine Corps
University for the degree of master of strategic studies, determine
whether the requirements are in accordance with the requirements
typically imposed for awards of the degree of master of arts by
institutions of higher education in the United States, and notify the
Secretary of the Navy of the determination.
SEC. 536. FOREIGN PERSONS ATTENDING 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
``not more than 40 persons'' and inserting ``not more than 60
persons''.
(2) Subsection (b) of such section is amended--
(A) in paragraph (2), by striking ``unless a written waiver
of reimbursement is granted by the Secretary of Defense'' in
the first sentence; and
(B) by striking paragraph (3) and inserting the following:
``(3) The Secretary of Defense may waive, in whole or in part, the
requirement for reimbursement of the cost of instruction for a cadet
under paragraph (2). In the case of a partial waiver, the Secretary
shall establish the amount waived.''.
(b) United States Naval Academy.--(1) Subsection (a)(1) of section
6957 of such title is amended by striking ``not more than 40 persons''
and inserting ``not more than 60 persons''.
(2) Subsection (b) of such section is amended--
(A) in paragraph (2), by striking ``unless a written waiver
of reimbursement is granted by the Secretary of Defense'' in
the first sentence; and
(B) by striking paragraph (3) and inserting the following:
``(3) The Secretary of Defense may waive, in whole or in part, the
requirement for reimbursement of the cost of instruction for a
midshipman under paragraph (2). In the case of a partial waiver, the
Secretary shall establish the amount waived.''.
(c) United States Air Force Academy.--(1) Subsection (a)(1) of
section 9344 of such title is amended by striking ``not more than 40
persons'' and inserting ``not more than 60 persons''.
(2) Subsection (b) of such section is amended--
(A) in paragraph (2), by striking ``unless a written waiver
of reimbursement is granted by the Secretary of Defense'' in
the first sentence; and
(B) by striking paragraph (3) and inserting the following:
``(3) The Secretary of Defense may waive, in whole or in part, the
requirement for reimbursement of the cost of instruction for a cadet
under paragraph (2). In the case of a partial waiver, the Secretary
shall establish the amount waived.''.
(d) Applicability.--The amendments made by this section shall apply
with respect to academic years that begin after October 1, 2001.
SEC. 537. EXPANSION OF FINANCIAL ASSISTANCE PROGRAM FOR HEALTH-CARE
PROFESSIONALS IN RESERVE COMPONENTS TO INCLUDE STUDENTS
IN PROGRAMS OF EDUCATION LEADING TO INITIAL DEGREE IN
MEDICINE OR DENTISTRY.
(a) Medical and Dental Student Stipend.--Section 16201 of title 10,
United States Code, is amended--
(1) by redesignating subsection (e) as subsection (f); and
(2) by inserting after subsection (d) the following new
subsection (e):
``(e) Programs Leading to Initial Medical or Dental Degree.--(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 of the armed forces; and
``(B) is enrolled or has been accepted for enrollment in an
accredited medical or dental school in a program of education
and training that results in an initial degree in medicine or
dentistry.
``(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 that the student is satisfactorily
progressing toward an initial degree in medicine or dentistry
in a program of 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--
``(i) to complete the program of education and
training in which enrolled or accepted for enrollment
as described in paragraph (1)(B);
``(ii) to accept an appointment or designation in
the participant's reserve component, if tendered, based
upon the participant's health profession, following
satisfactory completion of the educational and
internship components of the program of education and
training;
``(iii) if required by regulations prescribed by
the Secretary of Defense, to apply for (if eligible)
and accept (if offered) residency training in a health
profession skill that has been designated by the
Secretary of Defense as a skill critically needed by
the armed forces in wartime; and
``(iv) to serve in the Selected Reserve, upon
successful completion of the program, for the period of
service applicable under paragraph (3).
``(3)(A) Except as provided in subparagraph (B), the minimum period
for which a participant shall serve in the Selected Reserve under the
agreement pursuant to paragraph (2)(D)(iv) shall be one year in the
Selected Reserve for each six months, or part thereof, for which the
participant is provided a stipend pursuant to the agreement.
``(B) If a participant referred to in subparagraph (A) enters into
an agreement under subsection (b) and, after completing a program of
education and training for which a stipend was provided under this
subsection, successfully completes residency training in the specialty
covered by the agreement, the minimum period for which the participant
shall serve in the Selected Reserve under that agreement and the
agreement under this subsection shall be one year for each year, or
part thereof, for which a stipend was provided under this chapter.''.
(b) Amount of Stipend.--Subsection (f) of such section, as
redesignated by subsection (a), is amended by striking ``or (c)'' and
inserting ``, (c), or (e)''.
(c) Eligibility for Assistance for Graduate Medical or Dental
Training.--Subsection (b) of such section is amended--
(1) by striking ``Specialties.--'' and inserting ``Wartime
Specialties.--''; and
(2) in paragraph (1)(B), by inserting ``, or has been
appointed,'' after ``assignment''.
(d) Service Obligation for Stipend for Other Professional
Programs.--(1) Subsection (b)(2)(D) of such section by striking ``agree
to serve, upon successful completion of the program, two years in the
Ready Reserve for each year,'' and inserting ``agree (subject to
subsection (e)(3)(B)) to serve, upon successful completion of the
program, one year in the Ready Reserve for each six months,''.
(2) Subsection (c)(2)(D) of such section is 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) Conforming Amendments.--(1) Subsection (a) of such section is
amended--
(A) in the first sentence--
(i) by inserting ``in health professions and''
after ``qualified''; and
(ii) by striking ``training in such'' and inserting
``education and training in such professions and''; and
(B) in the second sentence, by striking ``training in
certain'' and inserting ``education and training in certain
health professions and''.
(2) Subsections (b)(2)(A) and (c)(2)(A) of such section are amended
by striking ``subsection (e)'' and inserting ``subsection (f)''.
SEC. 538. PILOT PROGRAM FOR DEPARTMENT OF VETERANS AFFAIRS SUPPORT FOR
GRADUATE MEDICAL EDUCATION AND TRAINING OF MEDICAL
PERSONNEL OF THE ARMED FORCES.
(a) Requirement for Program.--The Secretary of Defense and the
Secretary of Veterans Affairs may jointly carry out a pilot program of
graduate medical education and training for medical personnel of the
Armed Forces.
(b) Department of Veterans Affairs Medical Centers.--Under any
pilot program carried out under this section, the Secretary of Defense
and the Secretary of Veterans Affairs shall provide for medical
personnel of the Armed Forces to pursue one or more programs of
graduate medical education and training in one or more medical centers
of the Department of Veterans Affairs.
(c) Agreement.--The Secretary of Defense and the Secretary of
Veterans Affairs shall enter into an agreement for carrying out any
pilot program under this section. The agreement shall provide a means
for the Secretary of Defense to defray the costs incurred by the
Secretary of Veterans Affairs in providing the graduate medical
education and training in, or the use of, the facility or facilities of
the Department of Veterans Affairs participating in the pilot program.
(d) Use of Existing Authorities.--To carry out the pilot program,
the Secretary of Defense and the Secretary of Veterans Affairs shall
exercise authorities provided to the Secretaries, respectively, under
other laws relating to the furnishing or support of medical education
and the cooperative use of facilities.
(e) Period of Program.--Any pilot program carried out under this
section shall begin not later than August 1, 2002, and shall terminate
on July 31, 2007.
(f) Annual Report.--(1) Not later than January 31, 2003, and
January 31 of each year thereafter, the Secretary of Defense and the
Secretary of Veterans Affairs shall jointly submit to Congress a report
on the conduct of any pilot program carried out under this section. The
report shall cover the preceding year and shall include the
Secretaries' assessment of the efficacy of providing for medical
personnel of the Armed Forces to pursue programs of graduate medical
education and training in medical centers of the Department of Veterans
Affairs.
(2) The reporting requirement under this subsection shall terminate
upon the submittal of the report due on January 31, 2008.
SEC. 539. TRANSFER OF ENTITLEMENT TO EDUCATIONAL ASSISTANCE UNDER
MONTGOMERY GI BILL BY MEMBERS OF THE ARMED FORCES WITH
CRITICAL MILITARY SKILLS.
(a) Authority To Transfer to Family Members.--(1) Subchapter II of
chapter 30 of title 38, United States Code, is amended by adding at the
end the following new section:
``Sec. 3020. Transfer of entitlement to basic educational assistance:
members of the Armed Forces with critical military skills
``(a) In General.--Subject to the provisions of this section, each
Secretary concerned may, for the purpose of enhancing recruitment and
retention of members of the Armed Forces with critical military skills
and at such Secretary's sole discretion, permit an individual described
in subsection (b) who is entitled to basic educational assistance under
this subchapter to elect to transfer, in whole or in part, up to 18
months of such individual's entitlement to such assistance to the
dependents specified in subsection (c).
``(b) Eligible Individuals.--An individual referred to in
subsection (a) is any member of the Armed Forces who, at the time of
the approval by the Secretary concerned of the member's request to
transfer entitlement to basic educational assistance under this
section--
``(1) has completed six years of service in the Armed
Forces;
``(2) either--
``(A) has a critical military skill designated by
the Secretary concerned for purposes of this section;
or
``(B) is in a military specialty designated by the
Secretary concerned for purposes of this section as
requiring critical military skills; and
``(3) enters into an agreement to serve at least four more
years as a member of the Armed Forces.
``(c) Eligible Dependents.--An individual approved to transfer an
entitlement to basic educational assistance under this section may
transfer the individual's entitlement as follows:
``(1) To the individual's spouse.
``(2) To one or more of the individual's children.
``(3) To a combination of the individuals referred to in
paragraphs (1) and (2).
``(d) Limitation on Months of Transfer.--The total number of months
of entitlement transferred by an individual under this section may not
exceed 18 months.
``(e) Designation of Transferee.--An individual transferring an
entitlement to basic educational assistance under this section shall--
``(1) designate the dependent or dependents to whom such
entitlement is being transferred and the percentage of such
entitlement to be transferred to each such dependent; and
``(2) specify the period for which the transfer shall be
effective for each dependent designated under paragraph (1).
``(f) Time for Transfer; Revocation and Modification.--(1) Subject
to the time limitation for use of entitlement under section 3031 of
this title, an individual approved to transfer entitlement to basic
educational assistance under this section may transfer such entitlement
at any time after the approval of individual's request to transfer such
entitlement without regard to whether the individual is a member of the
Armed Forces when the transfer is executed.
``(2)(A) An individual transferring entitlement under this section
may modify or revoke at any time the transfer of any unused portion of
the entitlement so transferred.
``(B) The modification or revocation of the transfer of entitlement
under this paragraph shall be made by the submittal of written notice
of the action to both the Secretary concerned and the Secretary of
Veterans Affairs.
``(g) Commencement of Use.--A dependent to whom entitlement to
basic educational assistance is transferred under this section may not
commence the use of the transferred entitlement until the following:
``(1) In the case of entitlement transferred to a spouse,
the completion by the individual making the transfer of 6 years
of service in the Armed Forces.
``(2) In the case of entitlement transferred to a child,
both--
``(A) the completion by the individual making the
transfer of 10 years of service in the Armed Forces;
and
``(B) either--
``(i) the completion by the child of the
requirements of a secondary school diploma (or
equivalency certificate); or
``(ii) the attainment by the child of 18
years of age.
``(h) Additional Administrative Matters.--(1) The use of any
entitlement to basic educational assistance transferred under this
section shall be charged against the entitlement of the individual
making the transfer at the rate of one month for each month of
transferred entitlement that is used.
``(2) Except as provided under subsection (e)(2) and subject to
paragraphs (4) and (5), a dependent to whom entitlement is transferred
under this section is entitled to basic educational assistance under
this subchapter in the same manner and at the same rate as the
individual from whom the entitlement was transferred.
``(3) The death of an individual transferring an entitlement under
this section shall not affect the use of the entitlement by the
individual to whom the entitlement is transferred.
``(4) Notwithstanding section 3031 of this title, a child to whom
entitlement is transferred under this section may not use any
entitlement so transferred after attaining the age of 26 years.
``(5) The administrative provisions of this chapter (including the
provisions set forth in section 3034(a)(1) of this title) shall apply
to the use of entitlement transferred under this section, except that
the dependent to whom the entitlement is transferred shall be treated
as the eligible veteran for purposes of such provisions.
``(6) The purposes for which a dependent to whom entitlement is
transferred under this section may use such entitlement shall include
the pursuit and completion of the requirements of a secondary school
diploma (or equivalency certificate).
``(i) Overpayment.--(1) In the event of an overpayment of basic
educational assistance with respect to a dependent to whom entitlement
is transferred under this section, the dependent and the individual
making the transfer shall be jointly and severally liable to the United
States for the amount of the overpayment for purposes of section 3685
of this title.
``(2) Except as provided in paragraph (3), if an individual
transferring entitlement under this section fails to complete the
service agreed to by the individual under subsection (b)(3) in
accordance with the terms of the agreement of the individual under that
subsection, the amount of any transferred entitlement under this
section that is used by a dependent of the individual as of the date of
such failure shall be treated as an overpayment of basic educational
assistance under paragraph (1).
``(3) Paragraph (2) shall not apply in the case of an individual
who fails to complete service agreed to by the individual--
``(A) by reason of the death of the individual; or
``(B) for a reason referred to in section
3011(a)(1)(A)(ii)(I) of this title.
``(j) Approvals of Transfer Subject to Availability of
Appropriations.--The Secretary concerned may approve transfers of
entitlement to basic educational assistance under this section in a
fiscal year only to the extent that appropriations for military
personnel are available in the fiscal year for purposes of making
deposits in the Department of Defense Education Benefits Fund under
section 2006 of title 10 in the fiscal year to cover the present value
of future benefits payable from the Fund for the Department of Defense
portion of payments of basic educational assistance attributable to
increased usage of benefits as a result of such transfers of
entitlement in the fiscal year.
``(k) Regulations.--The Secretary of Defense shall prescribe
regulations for purposes of this section. Such regulations shall
specify the manner and effect of an election to modify or revoke a
transfer of entitlement under subsection (f)(2), and shall specify the
manner of the applicability of the administrative provisions referred
to in subsection (h)(5) to a dependent to whom entitlement is
transferred under this section.
``(l) Annual Reports.--(1) Not later than January 31, 2003, and
each year thereafter, each Secretary concerned shall submit to the
Committees on Armed Services of the Senate and House of Representatives
a report on the transfers of entitlement to basic educational
assistance under this section that were approved by such Secretary
during the preceding year.
``(2) Each report shall set forth--
``(A) the number of transfers of entitlement under this
section that were approved by such Secretary during the
preceding year; or
``(B) if no transfers of entitlement under this section
were approved by such Secretary during that year, a
justification for such Secretary's decision not to approve any
such transfers of entitlement during that year.
``(m) Secretary Concerned Defined.--Notwithstanding section 101(25)
of this title, in this section, the term `Secretary concerned' means--
``(1) the Secretary of the Army with respect to matters
concerning the Army;
``(2) the Secretary of the Navy with respect to matters
concerning the Navy or the Marine Corps;
``(3) the Secretary of the Air Force with respect to
matters concerning the Air Force; and
``(4) the Secretary of the Defense with respect to matters
concerning the Coast Guard, or the Secretary of Transportation
when it is not operating as a service in the Navy.''.
(2) The table of sections at the beginning of such chapter is
amended by inserting after the item relating to section 3019 the
following new item:
``3020. Transfer of entitlement to basic educational assistance:
members of the Armed Forces with critical
military skills.''.
(b) Treatment Under Department of Defense Education Benefits
Fund.--Section 2006(b)(2) of title 10, United States Code, is amended
by adding at the end the following:
``(D) The present value of future benefits payable
from the Fund for the Department of Defense portion of
payments of educational assistance under subchapter II
of chapter 30 of title 38 attributable to increased
usage of benefits as a result of transfers of
entitlement to basic educational assistance under
section 3020 of that title during such period.''.
(c) Plan for Implementation.--Not later than June 30, 2002, the
Secretary of Defense shall submit to Congress a report describing the
manner in which the Secretaries of the military departments and the
Secretary of Transportation propose to exercise the authority granted
by section 3020 of title 38, United States Code, as added by subsection
(a). The report shall include the regulations prescribed under
subsection (k) of that section for purposes of the exercise of the
authority.
(d) Funding for Fiscal Year 2002.--Of the amount authorized to be
appropriated to the Department of Defense for military personnel for
fiscal year 2002 by section 421, $30,000,000 may be available in fiscal
year 2002 for deposit into the Department of Defense Education Benefits
Fund under section 2006 of title 10, United States Code, for purposes
of covering payments of amounts under subparagraph (D) of section
2006(b)(2) of title 10, United States Code (as added by subsection
(b)), as a result of transfers of entitlement to basic educational
assistance under section 3020 of title 38, United States Code (as added
by subsection (a)).
Subtitle D--Decorations, Awards, and Commendations
SEC. 551. AUTHORITY FOR AWARD OF THE MEDAL OF HONOR TO HUMBERT R.
VERSACE FOR VALOR DURING THE VIETNAM WAR.
(a) Waiver of Time Limitations.--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. 552. REVIEW REGARDING AWARD OF MEDAL OF HONOR TO CERTAIN JEWISH
AMERICAN WAR VETERANS.
(a) Review Required.--The Secretary of each military department
shall review the service records of each Jewish American war veteran
described in subsection (b) to determine whether or not that veteran
should be awarded the Medal of Honor.
(b) Covered Jewish American War Veterans.--The Jewish American war
veterans whose service records are to be reviewed under subsection (a)
are the following:
(1) Any Jewish American war veteran who was previously
awarded the Distinguished Service Cross, the Navy Cross, or the
Air Force Cross.
(2) Any other Jewish American war veteran whose name is
submitted to the Secretary concerned for such purpose by the
Jewish War Veterans of the United States of America 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, 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 in accordance with a
recommendation of the Secretary concerned under subsection (d).
(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,
Air Force Cross, or any other decoration has been
awarded.
(g) Jewish American War Veteran Defined.--In 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. 553. ISSUANCE OF DUPLICATE AND REPLACEMENT MEDALS OF HONOR.
(a) Army.--(1)(A) Chapter 357 of title 10, United States Code, is
amended by inserting after section 3747 the following new section:
``Sec. 3747a. Medal of honor: issuance of duplicate
``(a) Issuance.--Upon written application by a person to whom a
medal of honor has been awarded under this chapter, the Secretary of
the Army may issue to the person one duplicate medal of honor, with
ribbons and appurtenances. No charge may be imposed for the issuance of
the duplicate medal.
``(b) Special Marking.--A duplicate medal of honor issued under
this section shall be marked as a duplicate or for display purposes
only. The Secretary shall prescribe the manner in which the duplicate
medal is marked.
``(c) Issuance Not To Be Considered Additional Award.--The issuance
of a duplicate medal of honor under of this section may not be
considered an award of more than one medal of honor prohibited by
section 3744(a) of this title.''.
(B) The table of sections at the beginning of such chapter is
amended by inserting after the item relating to section 3747 the
following:
``3747a. Medal of honor: issuance of duplicate.''.
(2) Section 3747 of title 10, United States Code, is amended by
striking ``lost'' and inserting ``stolen, lost,''.
(b) Navy and Marine Corps.--(1)(A) Chapter 567 of such title is
amended by inserting after section 6253 the following new section:
``Sec. 6253a. Medal of honor: issuance of duplicate
``(a) Issuance.--Upon written application by a person to whom a
medal of honor has been awarded under this chapter, the Secretary of
the Navy may issue to the person one duplicate medal of honor, with
ribbons and appurtenances. No charge may be imposed for the issuance of
the duplicate medal.
``(b) Special Marking.--A duplicate medal of honor issued under
this section shall be marked as a duplicate or for display purposes
only. The Secretary shall prescribe the manner in which the duplicate
medal is marked.
``(c) Issuance Not To Be Considered Additional Award.--The issuance
of a duplicate medal of honor under this section may not be considered
an award of more than one medal of honor prohibited by section 6247 of
this title.''.
(B) The table of sections at the beginning of such chapter is
amended by inserting after the item relating to section 6253 the
following:
``6253a. Medal of honor: issuance of duplicate.''.
(2) Section 6253 of title 10, United States Code, is amended by
striking ``lost'' and inserting ``stolen, lost,''.
(c) Air Force.--(1)(A) Chapter 857 of such title is amended by
inserting after section 8747 the following new section:
``Sec. 8747a. Medal of honor: issuance of duplicate
``(a) Issuance.--Upon written application by a person to whom a
medal of honor has been awarded under this chapter, the Secretary of
the Air Force may issue to the person one duplicate medal of honor,
with ribbons and appurtenances. No charge may be imposed for the
issuance of the duplicate medal.
``(b) Special Marking.--A duplicate medal of honor issued under
this section shall be marked as a duplicate or for display purposes
only. The Secretary shall prescribe the manner in which the duplicate
medal is marked.
``(c) Issuance Not To Be Considered Additional Award.--The issuance
of a duplicate medal of honor under this section may not be considered
an award of more than one medal of honor prohibited by section 8744(a)
of this title.''.
(B) The table of sections at the beginning of such chapter is
amended by inserting after the item relating to section 8747 the
following:
``8747a. Medal of honor: issuance of duplicate.''.
(2) Section 8747 of title 10, United States Code, is amended by
striking ``lost'' and inserting ``stolen, lost,''.
SEC. 554. WAIVER OF TIME LIMITATIONS FOR AWARD OF CERTAIN DECORATIONS
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) Silver Star.--Subsection (a) applies to the award of the Silver
Star to Wayne T. Alderson, of Glassport, Pennsylvania, for gallantry in
action from March 15 to March 18, 1945, while serving as a member of
the Army.
(c) Distinguished Flying Cross.--Subsection (a) applies to the
award of the Distinguished Flying Cross for service during World War II
(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
30, 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. 555. SENSE OF SENATE ON ISSUANCE OF KOREA DEFENSE SERVICE MEDAL.
It is the sense of the Senate that the Secretary of Defense should
consider authorizing the issuance of a campaign medal, to be known as
the Korea Defense Service Medal, to each person who while a member of
the Armed Forces served in the Republic of Korea, or the waters
adjacent thereto, during the period beginning on July 28, 1954, and
ending on such date after that date as the Secretary considers
appropriate.
Subtitle E--Funeral Honors Duty
SEC. 561. ACTIVE DUTY END STRENGTH EXCLUSION FOR RESERVES ON ACTIVE
DUTY OR FULL-TIME NATIONAL GUARD DUTY FOR FUNERAL HONORS
DUTY.
Section 115(d) of title 10, United States Code, is amended by
adding at the end the following new paragraph:
``(10) Members of reserve components on active duty or
full-time National Guard duty to prepare for and to perform
funeral honors functions under section 1491 of this title.''.
SEC. 562. PARTICIPATION OF RETIREES IN FUNERAL HONORS DETAILS.
(a) Authority.--(1) Subsection (b)(2) of section 1491 of title 10,
United States Code, is amended by inserting ``, members or former
members of the armed forces in a retired status,'' in the second
sentence after ``members of the armed forces''.
(2) Subsection (h) of such section is amended to read as follows:
``(h) Definitions.--In this section:
``(1) The term `retired status', with respect to a member
or former member of the armed forces, means that the member or
former member--
``(A) is on a retired list of an armed force;
``(B) is entitled to receive retired or retainer
pay; or
``(C) except for not having attained 60 years of
age, would be entitled to receive retired pay upon
application under chapter 1223 of this title.
``(2) The term `veteran' means a decedent who--
``(A) served in the active military, naval, or air
service (as defined in section 101(24) of title 38) and
who was discharged or released therefrom under
conditions other than dishonorable; or
``(B) was a member or former member of the Selected
Reserve described in section 2301(f) of title 38.''.
(b) Funeral Honors Duty Allowance.--Section 435(a) of title 37,
United States Code, is amended--
(1) by inserting ``(1)'' after ``(a) Allowance
Authorized.--''; and
(2) by adding at the end the following new paragraph:
``(2)(A) The Secretary concerned may authorize payment of an
allowance to a member or former member of the armed forces in a retired
status (as defined in section 1491(h) of title 10) for participating as
a member of a funeral honors detail under section 1491 of title 10 for
a period of at least two hours, including time for preparation.
``(B) An allowance paid to a member or former member under
subparagraph (A) shall be in addition to any retired or retainer pay or
other compensation to which the member or former member is entitled
under this title or title 10 or 38.''.
SEC. 563. BENEFITS AND PROTECTIONS FOR MEMBERS IN A FUNERAL HONORS DUTY
STATUS.
(a) Funeral Honors Duty Defined.--Section 101(d) of title 10,
United States Code, is amended by adding at the end the following new
paragraph:
``(8) The term `funeral honors duty' means duty under
section 12503 of this title or section 115 of title 32.''.
(b) Applicability of Uniform Code of Military Justice.--Section 802
of title 10, United States Code, is amended--
(1) in subsection (a)(3), by inserting ``or engaged in
funeral honors duty'' after ``on inactive-duty training''; and
(2) in subsection (d)(2)(B), by inserting ``or engaged in
funeral honors duty'' after ``on inactive-duty training''.
(c) Commissary Stores Privileges for Dependents of a Deceased
Reserve Component Member.--Section 1061(b) of such title is amended--
(1) in paragraph (1)--
(A) by striking ``or'' the first place it appears;
and
(B) by inserting ``, or funeral honors duty''
before the semicolon; and
(2) in paragraph (2)--
(A) by striking ``or'' the third place it appears;
and
(B) by inserting ``, or funeral honors duty''
before the period.
(d) Payment of a Death Gratuity.--(1) Section 1475(a) of such title
is amended--
(A) in paragraph (2), by inserting ``or while engaged in
funeral honors duty'' after ``Public Health Service)''; and
(B) in paragraph (3)--
(i) by striking ``or inactive duty training'' the
first place it appears and inserting ``inactive-duty
training'';
(ii) by inserting ``or funeral honors duty,'' after
``Public Health Service),''; and
(iii) by striking ``or inactive duty training'' the
second place it appears and inserting ``, inactive-duty
training, or funeral honors duty''.
(2) Section 1476(a) of such title is amended--
(A) in paragraph (1)--
(i) in subparagraph (A), by striking ``or'';
(ii) in subparagraph (B), by striking the period at
the end and inserting ``; or''; and
(iii) by adding at the end the following new
subparagraph:
``(C) funeral honors duty.''; and
(B) in paragraph (2)(A), by striking ``or inactive-duty
training'' and inserting ``, inactive-duty training, or funeral
honors duty''.
(e) Military Authority for Members of the Coast Guard Reserve.--(1)
Section 704 of title 14, United States Code, is amended by striking
``or inactive-duty training'' in the second sentence and inserting ``,
inactive-duty training, or funeral honors duty''.
(2) Section 705(a) of such title is amended by inserting ``on
funeral honors duty,'' after ``on inactive-duty training,''.
(f) Veterans Benefits.--Section 101(24) of title 38, United States
Code, is amended--
(1) by striking ``and'' at the end of subparagraph (B);
(2) by striking the period at the end of subparagraph
(C)(ii) and inserting ``; and''; and
(3) by adding at the end the following new subparagraph
(D):
``(D) any period of funeral honors duty (as defined in
section 101(d) of title 10) during which the individual
concerned was disabled or died from an injury incurred or
aggravated in line of duty.''.
(g) Effective Date.--This section and the amendments made by this
section shall take effect on October 1, 2001.
SEC. 564. MILITARY LEAVE FOR CIVILIAN EMPLOYEES SERVING AS MILITARY
MEMBERS OF FUNERAL HONORS DETAIL.
Section 6323(a) of title 5, United States Code, is amended--
(1) in the first sentence of paragraph (1), by striking
``active duty, inactive duty training'' and all that follows
through ``National Guard'' and inserting ``military duty or
training described in paragraph (4)''; and
(2) by adding at the end the following new paragraph:
``(4) The entitlement under paragraph (1) applies to the
performance of duty or training as a Reserve of the armed forces or
member of the National Guard, as follows:
``(A) Active duty.
``(B) Inactive duty training (as defined in section 101 of
title 37).
``(C) Field or coast defense training under sections 502
through 505 of title 32.
``(D) Funeral honors duty under section 12503 of title 10
or section 115 of title 32.''.
Subtitle F--Uniformed Services Overseas Voting
SEC. 571. SENSE OF THE SENATE REGARDING THE IMPORTANCE OF VOTING BY
MEMBERS OF THE UNIFORMED SERVICES.
(a) Sense of the Senate.--It is the sense of the Senate that each
administrator of a Federal, State, or local election should--
(1) be aware of the importance of the ability of each
uniformed services voter to exercise their right to vote; and
(2) perform their duties with the intent to ensure that--
(A) each uniformed services voter receives the
utmost consideration and cooperation when voting; and
(B) each valid ballot cast by such a voter is duly
counted.
(b) Uniformed Services Voter Defined.--In this section, the term
``uniformed services voter'' means--
(1) a member of a uniformed service (as defined in section
101(a)(5) of title 10, United States Code) in active service;
(2) a member of the merchant marine (as defined in section
107 of the Uniformed and Overseas Citizens Absentee Voting Act
(42 U.S.C. 1973ff-6)); and
(3) a spouse or dependent of a member referred to in
subparagraph (A) or (B) who is qualified to vote.
SEC. 572. UNIFORM NONDISCRIMINATORY VOTING STANDARDS FOR ADMINISTRATION
OF ELECTIONS UNDER STATE AND LOCAL ELECTION SYSTEMS.
Section 102 of the Uniformed and Overseas Citizens Absentee Voting
Act (42 U.S.C. 1973ff-1) is amended--
(1) by inserting ``(a) Elections for Federal Offices.--''
before ``Each State shall--''; and
(2) by adding at the end the following new subsection (c):
``(c) General Principles for Voting by Overseas and Absent
Uniformed Service Voters.--(1) A State shall ensure that each voting
system used within the State for elections for Federal, State, and
local offices provides overseas voters and absent uniformed service
voters with a meaningful opportunity to exercise their voting rights as
citizens of the United States.
``(2) A State shall count an absentee ballot for an election for
Federal, State, or local office that is timely submitted by an overseas
voter or absent uniformed service voter to the proper official of the
State and is otherwise valid.''.
SEC. 573. GUARANTEE OF RESIDENCY FOR MILITARY PERSONNEL.
Article VII of the Soldiers' and Sailors' Civil Relief Act of 1940
(50 U.S.C. App. 590 et seq.) is amended by adding at the end the
following:
``Sec. 704. (a) For purposes of voting for any Federal office (as
defined in section 301 of the Federal Election Campaign Act of 1971 (2
U.S.C. 431)) or a State or local office, a person who is absent from a
State in compliance with military or naval orders shall not, solely by
reason of that absence--
``(1) be deemed to have lost a residence or domicile in
that State, without regard to whether or not the person intends
to return to that State;
``(2) be deemed to have acquired a residence or domicile in
any other State; or
``(3) be deemed to have become a resident in or a resident
of any other State.
``(b) In this section, the term `State' includes a territory or
possession of the United States, a political subdivision of a State,
territory, or possession, and the District of Columbia.''.
SEC. 574. EXTENSION OF REGISTRATION AND BALLOTING RIGHTS FOR ABSENT
UNIFORMED SERVICES VOTERS TO STATE AND LOCAL ELECTIONS.
(a) In General.--Section 102 of the Uniformed and Overseas Citizens
Absentee Voting Act (42 U.S.C. 1973ff-1), as amended by section 572, is
further amended by inserting after subsection (a) the following new
subsection (b):
``(b) Elections for State and Local Offices.--Each State shall--
``(1) permit absent uniformed services voters to use
absentee registration procedures and vote by absentee ballot in
general, special, primary, and runoff elections for State and
local offices; and
``(2) accept and process, with respect to any election
described in paragraph (1), any otherwise valid voter
registration application from an absent uniformed services
voter if the application is received by the appropriate State
election official not less than 30 days before the date of the
election.''.
(b) Conforming Amendment.--The heading for title I of such Act is
amended by striking ``FOR FEDERAL OFFICE''.
SEC. 575. USE OF SINGLE APPLICATION AS A SIMULTANEOUS ABSENTEE VOTER
REGISTRATION APPLICATION AND ABSENTEE BALLOT APPLICATION.
Subsection (a) of section 102 of the Uniformed and Overseas
Citizens Absentee Voting Act (42 U.S.C. 1973ff-1), as redesignated by
section 572(1), is further amended--
(1) by striking ``and'' at the end of paragraph (2);
(2) by striking the period at the end of paragraph (3) and
inserting a semicolon; and
(3) by inserting after paragraph (3) the following new
paragraph (4):
``(4) accept and process the official post card form
(prescribed under section 101) as a simultaneous absentee voter
registration application and absentee ballot application;
and''.
SEC. 576. USE OF SINGLE APPLICATION FOR ABSENTEE BALLOTS FOR ALL
FEDERAL ELECTIONS.
Subsection (a) of section 102 of the Uniformed and Overseas
Citizens Absentee Voting Act (42 U.S.C. 1973ff-1), as amended by
section 575, is further amended by inserting after paragraph (4) the
following new paragraph (5):
``(5) accept and process, with respect to all general,
special, primary, and runoff elections for Federal office
occurring during a year, any otherwise valid absentee ballot
application from an absent uniformed services voter or overseas
voter, if a single application for any such election is
received by the appropriate State election official not less
than 30 days before the first election for Federal office
occurring during the year.''.
SEC. 577. ELECTRONIC VOTING DEMONSTRATION PROJECT.
(a) In General.--The Secretary of Defense shall carry out a
demonstration project under which absent uniformed services voters (as
defined in section 107(1) of the Uniformed and Overseas Citizens
Absentee Voting Act (42 U.S.C. 1973ff-6(1))) are permitted to cast
ballots in the regularly scheduled general election for Federal office
for November 2002, through an electronic voting system.
(b) Coordination With State Election Officials.--To the greatest
extent practicable, the Secretary of Defense shall carry out the
demonstration project under this section through cooperative agreements
with State election officials.
(c) Report to Congress.--Not later than June 1, 2003, the Secretary
of Defense shall submit a report to Congress analyzing the
demonstration project conducted under this section, and shall include
in the report any recommendations the Secretary of Defense considers
appropriate for continuing the project on an expanded basis during the
next regularly scheduled general election for Federal office.
SEC. 578. FEDERAL VOTING ASSISTANCE PROGRAM.
(a) In General.--The Secretary of Defense shall promulgate
regulations to require each of the Armed Forces to ensure their
compliance with any directives issued by the Secretary of Defense in
implementing the Federal Voting Assistance Program (referred to in this
section as the ``Program'') or any similar program.
(b) Review and Report.--(1) The Inspector General of each of the
Armed Forces shall--
(A) conduct an annual review of the effectiveness of the
Program or any similar program;
(B) conduct an annual review of the compliance with the
Program or any similar program of the branch; and
(C) submit an annual report to the Inspector General of the
Department of Defense on the results of the reviews under
subparagraphs (A) and (B).
(2) Not later than March 31, 2003, and annually thereafter, the
Inspector General of the Department of Defense shall submit a report to
Congress on--
(A) the effectiveness of the Program or any similar
program; and
(B) the level of compliance with the Program or any similar
program of the branches of the Armed Forces.
Subtitle G--Other Matters
SEC. 581. PERSONS AUTHORIZED TO BE INCLUDED IN SURVEYS OF MILITARY
FAMILIES REGARDING FEDERAL PROGRAMS.
(a) Addition of Certain Family Members and Survivors.--Subsection
(a) of section 1782 of title 10, United States Code, is amended to read
as follows:
``(a) Authority.--The Secretary of Defense may conduct surveys of
persons to determine the effectiveness of Federal programs relating to
military families and the need for new programs, as follows:
``(1) Members of the armed forces on active duty or in an
active status.
``(2) Retired members of the armed forces.
``(3) Members of the families of such members and retired
members of the armed forces (including surviving members of the
families of deceased members and deceased retired members).''.
(b) Federal Recordkeeping Requirements.--Subsection (c) of such
section is amended to read as follows:
``(c) Federal Recordkeeping Requirements.--With respect to a survey
authorized under subsection (a) that includes a person referred to in
that subsection who is not an employee of the United States or is not
considered an employee of the United States for the purposes of section
3502(3)(A)(i) of title 44, the person shall be considered as being an
employee of the United States for the purposes of that section.''.
SEC. 582. CORRECTION AND EXTENSION OF CERTAIN ARMY RECRUITING PILOT
PROGRAM AUTHORITIES.
(a) Contract Recruiting Initiatives.--Subsection (d)(2) of section
561 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-130) is amended--
(1) in subparagraphs (A) and (D), by inserting ``and Army
Reserve'' after ``Regular Army''; and
(2) in subparagraph (B), by striking ``and chain of
command''.
(b) Extension of Authority.--Subsection (e) of such section is
amended by striking ``December 31, 2005'' and inserting ``September 30,
2007''.
(c) Extension of Time for Reports.--Subsection (g) of such section
is amended by striking ``February 1, 2006'' and inserting ``February 1,
2008''.
SEC. 583. OFFENSE OF DRUNKEN OPERATION OF A VEHICLE, AIRCRAFT, OR
VESSEL UNDER THE UNIFORM CODE OF MILITARY JUSTICE.
(a) Lower Standard of Alcohol Concentration.--Section 911 of title
10, United States Code (article 111 of the Uniform Code of Military
Justice), is amended by striking ``0.10 grams'' both places it appears
in paragraph (2) and inserting ``0.08 grams''.
(b) Effective Date.--The amendments made by subsection (a) shall
take effect on the date of the enactment of this Act and shall apply to
acts described in paragraph (2) of section 911 of title 10, United
States Code, that are committed on or after that date.
SEC. 584. AUTHORITY OF CIVILIAN EMPLOYEES TO ACT AS NOTARIES.
(a) Clarification of Status of Civilian Attorneys Eligible To Act
as Notaries.--Subsection (b) of section 1044a of title 10, United
States Code, is amended by striking ``legal assistance officers'' in
paragraph (2) and inserting ``legal assistance attorneys''.
(b) Other Civilian Employees Designated To Act as Notaries
Abroad.--Such subsection is further amended by adding at the end the
following new paragraph:
``(5) For the performance of notarial acts at locations
outside the United States, all employees of a military
department or the Coast Guard who are designated by regulations
of the Secretary concerned or by statute to have those powers
for exercise outside the United States.''.
SEC. 585. REVIEW OF ACTIONS OF SELECTION BOARDS.
(a) In General.--(1) Chapter 79 of title 10, United States Code, is
amended by adding at the end the following:
``Sec. 1558. Exclusive remedies in cases involving selection boards
``(a) Correction of Military Records.--The Secretary concerned may
correct a person's military records in accordance with a recommendation
made by a special board. Any such correction shall be effective,
retroactively, as of the effective date of the action taken on a report
of a previous selection board that resulted in the action corrected in
the person's military records.
``(b) Relief Associated With Corrections of Certain Actions.--(1)
The Secretary concerned shall ensure that a person receives relief
under paragraph (2) or (3), as the person may elect, if the person--
``(A) was separated or retired from an armed force, or
transferred to the retired reserve or to inactive status in a
reserve component, as a result of a recommendation of a
selection board; and
``(B) becomes entitled to retention on or restoration to
active duty or active status in a reserve component as a result
of a correction of the person's military records under
subsection (a).
``(2)(A) With the consent of a person referred to in paragraph (1),
the person shall be retroactively and prospectively restored to the
same status, rights, and entitlements (less appropriate offsets against
back pay and allowances) in the person's armed force as the person
would have had if the person had not been selected to be separated,
retired, or transferred to the retired reserve or to inactive status in
a reserve component, as the case may be, as a result of an action
corrected under subsection (a). An action under this subparagraph is
subject to subparagraph (B).
``(B) Nothing in subparagraph (A) shall be construed to permit a
person to be on active duty or in an active status in a reserve
component after the date on which the person would have been separated,
retired, or transferred to the retired reserve or to inactive status in
a reserve component if the person had not been selected to be
separated, retired, or transferred to the retired reserve or to
inactive status in a reserve component, as the case may be, in an
action of a selection board that is corrected under subsection (a).
``(3) If the person does not consent to a restoration of status,
rights, and entitlements under paragraph (2), the person shall receive
back pay and allowances (less appropriate offsets) and service credit
for the period beginning on the date of the person's separation,
retirement, or transfer to the retired reserve or to inactive status in
a reserve component, as the case may be, and ending on the earlier of--
``(A) the date on which the person would have been so
restored under paragraph (2), as determined by the Secretary
concerned; or
``(B) the date on which the person would otherwise have
been separated, retired, or transferred to the retired reserve
or to inactive status in a reserve component, as the case may
be.
``(c) Finality of Unfavorable Action.--If a special board makes a
recommendation not to correct the military records of a person
regarding action taken in the case of that person on the basis of a
previous report of a selection board, the action previously taken on
that report shall be considered as final as of the date of the action
taken on that report.
``(d) Regulations.--(1) The Secretary concerned may prescribe
regulations to carry out this section (other than subsection (e)) with
respect to the armed force or armed forces under the jurisdiction of
the Secretary.
``(2) The Secretary may prescribe in the regulations the
circumstances under which consideration by a special board may be
provided for under this section, including the following:
``(A) The circumstances under which consideration of a
person's case by a special board is contingent upon application
by or for that person.
``(B) Any time limits applicable to the filing of an
application for consideration.
``(3) Regulations prescribed by the Secretary of a military
department under this subsection shall be subject to the approval of
the Secretary of Defense.
``(e) Judicial Review.--(1) A person challenging for any reason the
action or recommendation of a selection board, or the action taken by
the Secretary concerned on the report of a selection board, is not
entitled to relief in any judicial proceeding unless the person has
first been considered by a special board under this section or the
Secretary concerned has denied such consideration.
``(2) A court of the United States may review a determination by
the Secretary concerned not to convene a special board in the case of
any person. In any such case, a court may set aside the Secretary's
determination only if the court finds the determination to be arbitrary
or capricious, not based on substantial evidence, or otherwise contrary
to law. If a court sets aside a determination not to convene a special
board, it shall remand the case to the Secretary concerned, who shall
provide for consideration of the person by a special board.
``(3) A court of the United States may review a recommendation of a
special board or an action of the Secretary concerned on the report of
a special board convened for consideration of a person. In any such
case, a court may set aside the recommendation or action, as the case
may be, only if the court finds that the recommendation or action was
contrary to law or involved a material error of fact or a material
administrative error. If a court sets aside the recommendation of a
special board, it shall remand the case to the Secretary concerned, who
shall provide for reconsideration of the person by another special
board. If a court sets aside the action of the Secretary concerned on
the report of a special board, it shall remand the case to the
Secretary concerned for a new action on the report of the special
board.
``(4)(A) If, not later than six months after receiving a complete
application for consideration by a special board in any case, the
Secretary concerned has not convened a special board and has not denied
consideration by a special board in that case, the Secretary shall be
deemed to have denied the consideration of the case for the purposes of
this subsection.
``(B) If, not later than one year after the convening of a special
board in any case, the Secretary concerned has not taken final action
on the report of the special board, the Secretary shall be deemed to
have denied relief in such case for the purposes of this subsection.
``(C) Under regulations prescribed under subsection (d), the
Secretary concerned may waive the applicability of subparagraph (A) or
(B) in a case if the Secretary determines that a longer period for
consideration of the case is warranted. The Secretary of a military
department may not delegate authority to make a determination under
this subparagraph.
``(f) Exclusivity of Remedies.--Notwithstanding any other provision
of law, but subject to subsection (g), the remedies provided under this
section are the only remedies available to a person for correcting an
action or recommendation of a selection board regarding that person or
an action taken on the report of a selection board regarding that
person.
``(g) Existing Jurisdiction.--(1) Nothing in this section limits
the jurisdiction of any court of the United States under any provision
of law to determine the validity of any statute, regulation, or policy
relating to selection boards, except that, in the event that any such
statute, regulation, or policy is held invalid, the remedies prescribed
in this section shall be the sole and exclusive remedies available to
any person challenging the recommendation of a special board on the
basis of the invalidity.
``(2) Nothing in this section limits authority to correct a
military record under section 1552 of this title.
``(h) Inapplicability to Coast Guard.--This section does not apply
to the Coast Guard when it is not operating as a service in the Navy.
``(i) Definitions.--In this section:
``(1) The term `special board'--
``(A) means a board that the Secretary concerned
convenes under any authority to consider whether to
recommend a person for appointment, enlistment,
reenlistment, assignment, promotion, retention,
separation, retirement, or transfer to inactive status
in a reserve component instead of referring the records
of that person for consideration by a previously
convened selection board which considered or should
have considered that person;
``(B) includes a board for the correction of
military or naval records convened under section 1552
of this title, if designated as a special board by the
Secretary concerned; and
``(C) does not include a promotion special
selection board convened under section 628 or 14502 of
this title.
``(2) The term `selection board'--
``(A) means a selection board convened under
section 573(c), 580, 580a, 581, 611(b), 637, 638, 638a,
14101(b), 14701, 14704, or 14705 of this title, and any
other board convened by the Secretary concerned under
any authority to recommend persons for appointment,
enlistment, reenlistment, assignment, promotion, or
retention in the armed forces or for separation,
retirement, or transfer to inactive status in a reserve
component for the purpose of reducing the number of
persons serving in the armed forces; and
``(B) does not include--
``(i) a promotion board convened under
section 573(a), 611(a), or 14101(a) of this
title;
``(ii) a special board;
``(iii) a special selection board convened
under section 628 of this title; or
``(iv) a board for the correction of
military records convened under section 1552 of
this title.''.
(2) The table of sections at the beginning of such chapter is
amended by adding at the end the following:
``1558. Exclusive remedies in cases involving selection boards .''.
(b) Special Selection Boards.--Section 628 of such title is
amended--
(1) by redesignating subsection (g) as subsection (j); and
(2) by inserting after subsection (f) the following:
``(g) Judicial Review.--(1) A court of the United States may review
a determination by the Secretary concerned under subsection (a)(1) or
(b)(1) not to convene a special selection board in the case of an
officer or former officer of the armed forces. If the court finds the
determination to be arbitrary or capricious, not based on substantial
evidence, or otherwise contrary to law, it shall remand the case to the
Secretary concerned, who shall provide for consideration of the officer
or former officer by a special selection board under this section.
``(2) A court of the United States may review the action of a
special selection board convened under this section upon the request of
an officer or former officer of the armed forces and any action taken
by the President on the report of the board. If the court finds that
the action was contrary to law or involved a material error of fact or
a material administrative error, it shall remand the case to the
Secretary concerned, who shall provide for reconsideration of the
officer or former officer by another special selection board.
``(3)(A) For the purposes of this subsection, the Secretary
concerned shall be deemed to have determined not to convene a special
selection board under subsection (a)(1) or (b)(1) in the case of an
officer or former officer of the armed forces upon a failure of the
Secretary to make a determination on the convening of a special
selection board in that case within six months after receiving a
properly completed request to convene a special selection board under
that authority in that case.
``(B) Under regulations prescribed by the Secretary concerned, the
Secretary may waive the applicability of subparagraph (A) in the case
of a request for the convening of a special selection board if the
Secretary determines that a longer period for consideration of the
request is warranted. The Secretary concerned may not delegate
authority to make a determination under this subparagraph.
``(h) Limitations of Other Jurisdiction.--(1) No official or court
of the United States may, with respect to a claim based to any extent
on the failure of an officer or former officer of the armed forces to
be selected for promotion by a promotion board--
``(A) consider the claim unless the officer or former
officer has first been referred by the Secretary concerned to a
special selection board convened under this section and acted
upon by that board and the report of the board has been
approved by the President; or
``(B) except as provided in subsection (g), grant any
relief on the claim unless the officer or former officer has
been selected for promotion by a special selection board
convened under this section to consider the officer for
recommendation for promotion and the report of the board has
been approved by the President.
``(i) Existing Jurisdiction.--(1) Nothing in this section limits
the jurisdiction of any court of the United States under any provision
of law to determine the validity of any statute, regulation, or policy
relating to selection boards, except that, in the event that any such
statute, regulation, or policy is held invalid, the remedies prescribed
in this section shall be the sole and exclusive remedies available to
any person challenging the recommendation of a selection board on the
basis of the invalidity.
``(2) Nothing in this section limits authority to correct a
military record under section 1552 of this title.''.
(c) Effective Date and Applicability.--(1) The amendments made by
this section shall take effect on the date of the enactment of this Act
and, except as provided in paragraph (2), shall apply with respect to
any proceeding pending on or after that date without regard to whether
a challenge to an action of a selection board of any of the Armed
Forces being considered in such proceeding was initiated before, on, or
after that date.
(2) The amendments made by this section shall not apply with
respect to any action commenced in a court of the United States before
the date of the enactment of this Act.
SEC. 586. ACCEPTANCE OF VOLUNTARY LEGAL ASSISTANCE FOR THE CIVIL
AFFAIRS OF MEMBERS AND FORMER MEMBERS OF THE UNIFORMED
SERVICES AND THEIR DEPENDENTS.
(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) Legal services voluntarily provided as legal
assistance under section 1044 of this title.''.
(b) Defense of Legal Malpractice.--Subsection (d)(1) of that
section is amended by adding at the end the following new subparagraph:
``(E) Section 1054 of this title (relating to legal
malpractice), for a person voluntarily providing legal services
accepted under subsection (a)(5), as if the person were
providing the services as an attorney of a legal staff within
the Department of Defense.''.
SEC. 587. EXTENSION OF DEFENSE TASK FORCE ON DOMESTIC VIOLENCE.
Section 591(j) of the National Defense Authorization Act for Fiscal
Year 2000 (Public Law 106-65; 113 Stat. 641, 10 U.S.C. 1562 note) is
amended by striking ``three years after the date of the enactment of
this Act'' and inserting ``April 24, 2003''.
SEC. 588. 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 those
annual meetings sanctioned by the Department of Defense 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.
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.
(a) Service Credit.--Section 203(d) of title 37, United States
Code, is amended--
(1) by inserting ``(1)'' after ``(d)'';
(2) by striking ``active service as a warrant officer or as
a warrant officer and an enlisted member'' and inserting
``service described in paragraph (2)''; and
(3) by adding at the end the following new paragraph:
``(2) Service to be taken into account for purposes of computing
basic pay under paragraph (1) is as follows:
``(A) Active service as a warrant officer or as a warrant
officer and an enlisted member, in the case of--
``(i) a commissioned officer on active duty who is
paid from funds appropriated for active-duty personnel;
or
``(ii) a commissioned officer on active Guard and
Reserve duty.
``(B) In the case of a commissioned officer (not referred
to in subparagraph (A)(ii)) who is paid from funds appropriated
for reserve personnel, service as a warrant officer, or as a
warrant officer and enlisted member, for which at least 1,460
points have been credited to the officer for the purposes of
section 12732(a)(2) of title 10.''.
(b) Effective Date.--The amendments made by subsection (a) shall
take effect on October 1, 2001, and shall apply with respect to months
beginning on or after that date.
SEC. 603. RESERVE COMPONENT COMPENSATION FOR DISTRIBUTED LEARNING
ACTIVITIES PERFORMED AS INACTIVE-DUTY TRAINING.
(a) Compensation Authorized.--Section 206(d) of title 37, United
States Code, is amended to read as follows:
``(d)(1) Compensation is payable under this section to a member in
a grade below E-7 for a period of instruction or duty in pursuit of the
satisfaction of educational requirements imposed on members of the
uniformed services by law or regulations if--
``(A) the particular activity in pursuit of the
satisfaction of such requirements is an activity approved for
that period of instruction or duty by the commander who
prescribes the instruction or duty for the member for that
period; and
``(B) the member attains the learning objectives required
for the period of instruction or duty, as determined under
regulations prescribed by the Secretary concerned.
``(2) Acceptable means of pursuit of the satisfaction of
educational requirements for the purposes of compensation under this
section include any means (which may include electronic, documentary,
or distributed learning) that is authorized for the attainment of
educational credit toward the satisfaction of those requirements in
regulations prescribed by the Secretary concerned.''.
(b) Definition of Inactive-Duty Training.--Section 101(22) of title
37, United States Code, is amended by striking ``but does not include
work or study in connection with a correspondence course of a uniformed
service''.
SEC. 604. CLARIFICATIONS FOR TRANSITION TO REFORMED BASIC ALLOWANCE FOR
SUBSISTENCE.
(a) Baseline Amount for Calculating Allowance for Enlisted
Members.--For the purposes of section 402(b)(2) of title 37, United
States Code, the monthly rate of basic allowance for subsistence that
is in effect for an enlisted member for the year ending December 31,
2001, is $233.
(b) Rate for Enlisted Members When Messing Facilities Not
Available.--(1) Notwithstanding section 402 of title 37, United States
Code, the Secretary of Defense, or the Secretary of Transportation with
respect to the Coast Guard when it is not operating as a service in the
Navy, may prescribe a rate of basic allowance for subsistence to apply
to enlisted members of the uniformed services when messing facilities
of the United States are not available. The rate may be higher than
the rate of basic allowance for subsistence that would otherwise be
applicable to the members under that section, but may not be higher
than the highest rate that was in effect for enlisted members of the
uniformed services under those circumstances before the date of the
enactment of this Act.
(2) Paragraph (1) shall cease to be effective on the first day of
the first month for which the basic allowance for subsistence
calculated for enlisted members of the uniformed services under section
402 of title 37, United States Code, exceeds the rate of the basic
allowance for subsistence prescribed under that paragraph.
(c) Date for Early Termination of BAS Transitional Authority.--
Section 603(c) 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-145) is amended by striking ``October 1, 2001,'' and
inserting ``January 1, 2002,''.
SEC. 605. INCREASE IN BASIC ALLOWANCE FOR HOUSING IN THE UNITED STATES.
(a) Acceleration of Increase.--Subsection 403(b)(1) of title 37,
United States Code, is amended by adding at the end the following:
``After September 30, 2002, the rate prescribed for a grade and
dependency status for a military housing area in the United States may
not be less than the median cost of adequate housing for members in
that grade and dependency status in that area, as determined on the
basis of the costs of adequate housing determined for the area under
paragraph (2).''.
(b) Fiscal Year 2002 Rates.--(1) Subject to subsection (b)(3) of
section 403 of title 37, United States Code, in the administration of
such section 403 for fiscal year 2002, the monthly amount of a basic
allowance for housing for an area of the United States for a member of
a uniformed service shall be equal to 92.5 percent of the monthly cost
of adequate housing in that area, as determined by the Secretary of
Defense, for members of the uniformed services serving in the same pay
grade and with the same dependency status as the member.
(2) In addition to the amount determined by the Secretary of
Defense under section 403(b)(3) of title 37, United States Code, to be
the total amount to be paid during fiscal year 2002 for the basic
allowance for housing for military housing areas inside the United
States, $232,000,000 of the amount authorized to be appropriated by
section 421 for military personnel may be used by the Secretary to
further increase the total amount available for the basic allowance for
housing for military housing areas inside the United States.
SEC. 606. CLARIFICATION OF ELIGIBILITY FOR SUPPLEMENTAL SUBSISTENCE
ALLOWANCE.
Section 402a(b)(1) of title 37, United States Code, is amended by
inserting ``with dependents'' after ``a member of the armed forces''.
SEC. 607. CORRECTION OF LIMITATION ON ADDITIONAL UNIFORM ALLOWANCE FOR
OFFICERS.
Section 416(b)(1) of title 37, United States Code, is amended by
striking ``$200'' and inserting ``$400''.
SEC. 608. PAYMENT FOR UNUSED LEAVE IN EXCESS OF 60 DAYS ACCRUED BY
MEMBERS OF RESERVE COMPONENTS ON ACTIVE DUTY FOR ONE YEAR
OR LESS.
(a) Eligibility.--Section 501(b)(5) of title 37, United States
Code, is amended by--
(1) striking ``or'' at the end of subparagraph (B);
(2) striking the period at the end of subparagraph (C) and
inserting ``; or''; and
(3) adding at the end the following new subparagraph:
``(D) by a member of a reserve component while serving on
active duty, full-time National Guard duty, or active duty for
training for a period of more than 30 days but not in excess of
365 days.''.
(b) Effective Date.--This section and the amendments made by this
section shall take effect on October 1, 2001, and shall apply with
respect to periods of active duty that begin on or after that date.
Subtitle B--Bonuses and Special and Incentive Pays
SEC. 611. EXTENSION OF CERTAIN BONUSES 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. EXTENSION OF CERTAIN BONUSES AND SPECIAL PAY AUTHORITIES FOR
NURSE OFFICER CANDIDATES, REGISTERED NURSES, AND NURSE
ANESTHETISTS.
(a) Nurse Officer Candidate Accession Program.--Section 2130a(a)(1)
of title 10, United States Code, is amended by striking ``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. EXTENSION OF SPECIAL PAY AND BONUS AUTHORITIES FOR NUCLEAR
OFFICERS.
(a) 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''.
(b) Nuclear Career Accession Bonus.--Section 312b(c) of such title
is amended by striking ``December 31, 2001'' and inserting ``December
31, 2002''.
(c) Nuclear Career Annual Incentive Bonus.--Section 312c(d) of such
title is amended by striking ``December 31, 2001'' and inserting
``December 31, 2002''.
SEC. 614. EXTENSION OF AUTHORITIES RELATING TO PAYMENT OF OTHER BONUSES
AND SPECIAL PAYS.
(a) Aviation Officer Retention Bonus.--Section 301b(a) of title 37,
United States Code, is amended by striking ``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) Bonus for Enlistment for Two or More Years.--Section 309(e) of
such title is amended by striking ``December 31, 2001'' and inserting
``December 31, 2002''.
(d) Retention Bonus for Members With Critical Skills.--Section
323(i) of such title is amended by striking ``December 31, 2001'' and
inserting ``December 31, 2002''.
SEC. 615. HAZARDOUS DUTY PAY FOR MEMBERS OF MARITIME VISIT, BOARD,
SEARCH, AND SEIZURE TEAMS.
(a) Eligibility.--Section 301(a) of title 37, United States Code,
is amended--
(1) by striking ``or'' at the end of paragraph (10);
(2) by striking the period at the end of paragraph (11) and
inserting ``; or''; and
(3) by inserting at the end the following new paragraph:
``(12) involving regular participation as a member of a
team conducting visit, board, search, and seizure operations
aboard vessels in support of maritime interdiction
operations.''.
(b) Effective Date.--This section and the amendments made by this
section shall take effect on October 1, 2001.
SEC. 616. SUBMARINE DUTY INCENTIVE PAY RATES.
(a) Authority.--Section 301c of title 37, United States Code, is
amended by striking subsection (b) and inserting the following:
``(b) The Secretary of the Navy shall prescribe the monthly rates
of submarine duty incentive pay. The maximum monthly rate may not
exceed $1,000.''.
(b) Conforming Amendments.--(1) Subsection (a) of such section is
amended--
(A) by striking ``in the amount set forth in subsection
(b)'' in paragraphs (1) and (2); and
(B) in paragraph (4), by striking ``that pay in the amount
set forth in subsection (b)'' and inserting ``submarine duty
incentive pay''.
(2) Subsection (d) of such section is amended by striking ``monthly
incentive pay authorized by subsection (b)'' and inserting ``monthly
submarine duty incentive pay authorized''.
(c) Effective Date.--The amendments made by this section shall take
effect on October 1, 2002.
SEC. 617. CAREER SEA PAY.
(a) In General.--Section 305a(d) of title 37, United States Code,
is amended by adding at the end the following: ``Under no circumstances
shall a member of the uniformed services be excluded from this
entitlement by virtue of his or her rank, no matter how junior, or
subjected to a minimum time in service or underway in order to rate
this entitlement.''.
(b) Effective Date and Applicability.--The amendment made by
subsection (a) shall take effect on October 1, 2001, and shall apply
with respect to pay periods beginning on or after that date.
SEC. 618. MODIFICATION OF ELIGIBILITY REQUIREMENTS FOR INDIVIDUAL READY
RESERVE BONUS FOR REENLISTMENT, ENLISTMENT, OR EXTENSION
OF ENLISTMENT.
(a) Eligibility Based on Qualifications in Critically Short Wartime
Skills or Specialties.--Section 308h(a) of title 37, United States
Code, is amended to read as follows:
``(a)(1) The Secretary concerned may pay a bonus as provided in
subsection (b) to an eligible person who reenlists, enlists, or
voluntarily extends an enlistment in a reserve component of an armed
force for assignment to an element (other than the Selected Reserve) of
the Ready Reserve of that armed force if the reenlistment, enlistment,
or extension is for a period of three years, or for a period of six
years, beyond any other period the person is obligated to serve.
``(2) A person is eligible for a bonus under this section if the
person--
``(A) is or has been a member of an armed force;
``(B) is qualified in a skill or specialty designated by
the Secretary concerned as a critically short wartime skill or
critically short wartime specialty, respectively; and
``(C) has not failed to complete satisfactorily any
original term of enlistment in the armed forces.
``(3) For the purposes of this section, the Secretary concerned may
designate a skill or specialty as a critically short wartime skill or
critically short wartime specialty, respectively, for an armed force
under the jurisdiction of the Secretary if the Secretary determines
that--
``(A) the skill or specialty is critical to meet wartime
requirements of the armed force; and
``(B) there is a critical shortage of personnel in that
armed force who are qualified in that skill or specialty.''.
(b) Regulations.--The Secretaries of the military departments shall
prescribe the regulations necessary for administering section 308h of
title 37, United States Code, as amended by this section, not later
than the effective date determined under subsection (c)(1).
(c) Effective Date.--This section and the amendments made by this
section--
(1) shall take effect on the first day of the first month
that begins more than 180 days after the date of the enactment
of this Act; and
(2) shall apply with respect to reserve component
reenlistments, enlistments, and extensions of enlistments that
are executed on or after the first day of that month.
SEC. 619. ACCESSION BONUS FOR OFFICERS IN CRITICAL SKILLS.
(a) In General.--(1) Chapter 5 of title 37, United States Code, is
amended by inserting after section 323 the following new section:
``Sec. 324. Special pay: critical officer skills accession bonus
``(a) Accession Bonus Authorized.--A person who executes a written
agreement to accept a commission as an officer of an armed force and
serve on active duty in a designated critical officer skill for the
period specified in the agreement may be paid an accession bonus upon
acceptance of the written agreement by the Secretary concerned.
``(b) Designation of Critical Officer Skills.--(1) The Secretary of
Defense, or the Secretary of Transportation with respect to the Coast
Guard when it is not operating as a service in the Navy, shall
designate the critical officer skills for the purposes of this section.
The Secretary of Defense may so designate a skill for any one or more
of the armed forces.
``(2) A skill may be designated as a critical officer skill for an
armed force for the purposes of this section if--
``(A) in order to meet requirements of the armed force, it
is critical for the armed force to have a sufficient number of
officers who are qualified in that skill; and
``(B) in order to mitigate a current or projected
significant shortage of personnel in the armed force who are
qualified in that skill, it is critical to access into that
armed force in sufficient numbers persons who are qualified in
that skill or are to be trained in that skill.
``(c) Amount of Bonus.--The amount of a bonus paid with respect to
a critical officer skill shall be determined under regulations jointly
prescribed by the Secretary of Defense and the Secretary of
Transportation, but may not exceed $20,000.
``(d) Limitation on Eligibility for Bonus.--An individual may not
be paid a bonus under subsection (a) if the individual has received, or
is receiving, an accession bonus for the same period of service under
section 302d, 302h, or 312b of this title.
``(e) Payment Method.--Upon acceptance of a written agreement
referred to in subsection (a) by the Secretary concerned, the total
amount payable pursuant to the agreement under this section becomes
fixed and may be paid by the Secretary in either a lump sum or
installments.
``(f) Repayment for Failure To Complete Obligated Service.--(1) A
person who, after having received all or part of the bonus under this
section pursuant to an agreement referred to in subsection (a), fails
to accept an appointment as a commissioned officer or to commence or
complete the total period of active duty service in a designated
critical officer skill as provided in the agreement shall refund to the
United States the amount that bears the same ratio to the total amount
of the bonus authorized for such person as the unserved part of the
period of agreed active duty service in a designated critical officer
skill bears to the total period of the agreed active duty service, but
not more than the amount that was paid to the person.
``(2) Subject to paragraph (3), an obligation to reimburse the
United States imposed under paragraph (1) is for all purposes a debt
owed to the United States.
``(3) The Secretary concerned may waive, in whole or in part, a
refund required under paragraph (1) if the Secretary concerned
determines that recovery would be against equity and good conscience or
would be contrary to the best interests of the United States.
``(4) 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 person signing the
agreement from a debt arising under such agreement or under paragraph
(1).
``(g) Termination of Authority.--No bonus may be paid under this
section with respect to an agreement entered into after December 31,
2002.''.
(2) The table of sections at the beginning of such chapter is
amended by inserting after the item relating to section 323 the
following new item:
``324. Special pay: critical officer skills accession bonus.''.
(b) Effective Date.--Section 324 of title 37, United States Code
(as added by subsection (a)), shall take effect on October 1, 2001.
SEC. 620. MODIFICATION OF THE NURSE OFFICER CANDIDATE ACCESSION PROGRAM
RESTRICTION ON STUDENTS ATTENDING CIVILIAN 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 striking ``that does not have
a Senior Reserve Officers' Training Program established under
section 2102 of this title'' and inserting ``and, in the case
of a student so enrolled at a civilian institution that has a
Senior Reserve Officers' Training Program established under
section 2102 of this title, is not eligible to participate in
the Senior Reserve Officers' Training Program''.
Subtitle C--Travel and Transportation Allowances
SEC. 631. ELIGIBILITY FOR TEMPORARY HOUSING ALLOWANCE WHILE IN TRAVEL
OR LEAVE STATUS BETWEEN PERMANENT DUTY STATIONS.
(a) Personnel in Grades Below E-4.--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.--The amendment made by subsection (a) shall
take effect on October 1, 2001.
SEC. 632. ELIGIBILITY FOR PAYMENT OF SUBSISTENCE EXPENSES ASSOCIATED
WITH OCCUPANCY OF TEMPORARY LODGING INCIDENT TO REPORTING
TO FIRST PERMANENT DUTY STATION.
(a) Officer Personnel.--Section 404a(a)(2)(C) of title 37, United
States Code, is amended by striking ``an enlisted member'' and
inserting ``a member''.
(b) Effective Date.--The amendment made by subsection (a) shall
take effect on October 1, 2001.
SEC. 633. ELIGIBILITY FOR DISLOCATION ALLOWANCE.
(a) Members With Dependents When Ordered to First Duty Station.--
Section 407 of title 37, United States Code, is amended--
(1) in subsection (a)(2), by adding at the end the
following new subparagraph:
``(F) A member whose dependents actually move from the
member's place of residence in connection with the performance
of orders for the member to report to the member's first
permanent duty station if the move--
``(i) is to the permanent duty station or a
designated location; and
``(ii) is an authorized move.''; and
(2) in subsection (e), by inserting ``(except as provided
in subsection (a)(2)(F))'' after ``first duty station''.
(b) Married Members Without Dependents Assigned to Government
Family Quarters.--Subsection (a) of such section, as amended by
subsection (a), is further amended--
(1) by adding at the end of paragraph (2) the following new
subparagraph:
``(G) Each of two members married to each other who--
``(i) is without dependents;
``(ii) actually moves with the member's spouse to a
new permanent duty station; and
``(iii) is assigned to family quarters of the
United States at or in the vicinity of the new duty
station.''; and
(2) by adding at the end of the subsection the following
new paragraph:
``(4) If a primary dislocation allowance is payable to two members
described in subparagraph (G) of paragraph (2) who are married to each
other, the amount of the allowance payable to such members shall be the
amount otherwise payable under this subsection to the member in the
higher pay grade, or to either member if both members are in the same
pay grade. The allowance shall be paid jointly to both members.''.
(c) Effective Date.--This section and the amendments made by this
section shall take effect on October 1, 2001.
SEC. 634. ALLOWANCE FOR DISLOCATION FOR THE CONVENIENCE OF THE
GOVERNMENT AT HOME STATION.
(a) Authority.--(1) Chapter 7 of title 37, United States Code is
amended by inserting after section 407 the following new section:
``Sec. 407a. Travel and transportation: allowance for dislocation for
the convenience of the Government at home station
``(a) Authority.--Under regulations prescribed by the Secretary
concerned, a member of the uniformed services may be paid a dislocation
allowance under this section when ordered, for the convenience of the
Government and not pursuant to a permanent change of station, to occupy
or to vacate family housing provided by the Department of Defense, or
by the Department of Transportation in the case of the Coast Guard.
``(b) Amount.--(1) Subject to paragraph (2), the amount of a
dislocation allowance paid under this section is $500.
``(2) Effective on the same date that the monthly rates of basic
pay for members of the uniformed services are increased under section
1009 of this title or by a law increasing those rates by a percentage
specified in the law, the amount of the dislocation allowance provided
under this section shall be increased by the percentage by which the
monthly rates of basic pay are so increased.
``(c) Advance Payment.--A dislocation allowance payable under this
section may be paid in advance.''.
(2) The table of sections at the beginning of such chapter is
amended by inserting after the item relating to section 407 the
following new item:
``407a. Travel and transportation: allowance for dislocation for the
convenience of the Government at home
station.''.
(b) Effective Date.--Section 407a of title 37, United States Code,
shall take effect on October 1, 2001.
SEC. 635. TRAVEL AND TRANSPORTATION ALLOWANCES FOR FAMILY MEMBERS TO
ATTEND THE BURIAL OF A DECEASED MEMBER OF THE UNIFORMED
SERVICES.
(a) Consolidation of Authorities.--Section 411f of title 37, United
States Code, is amended--
(1) in subsection (a)--
(A) by inserting ``Allowances Authorized.--(1)''
after ``(a)'';
(B) by striking ``the dependents of a member'' and
inserting ``eligible members of the family of a member
of the uniformed services'';
(C) by striking ``such dependents'' and inserting
``such persons''; and
(D) by inserting at the end the following new
paragraph:
``(2) An attendant accompanying a person provided travel and
transportation allowances under this section for travel to the burial
ceremony for a deceased member may also be provided under the uniform
regulations round trip travel and transportation allowances for travel
to the burial ceremony if--
``(A) the accompanied person is unable to travel unattended
because of age, physical condition, or other justifiable
reason, as determined under the uniform regulations; and
``(B) there is no other eligible member of the family of
the deceased member traveling to the burial ceremony who is
eligible for travel and transportation allowances under this
section and is qualified to serve as the attendant.'';
(2) in subsection (b)--
(A) in paragraph (1)--
(i) by striking ``(1) Except as provided in
paragraph (2)'' and inserting ``Limitations.--
(1) Except as provided in paragraphs (2) and
(3)''; and
(ii) by inserting before the period at the
end the following: ``and the time necessary for
such travel'';
(B) in paragraph (2), by striking ``be extended to
accommodate'' and inserting ``not exceed the rates for
2 days and''; and
(C) by adding at the end the following new
paragraph:
``(3) If a deceased member is interred in a cemetery maintained by
the American Battle Monuments Commission, the travel and transportation
allowances authorized under this section may be provided to and from
such cemetery and may not exceed the rates for 2 days and the time
necessary for such travel.''; and
(3) by striking subsection (c) and inserting the following:
``(c) Eligible Members of Family.--The following members of the
family of a deceased member of the uniformed services are eligible for
the travel and transportation allowances under this section:
``(1) The surviving spouse (including a remarried surviving
spouse) of the deceased member.
``(2) The unmarried child or children of the deceased
member referred to in section 401(a)(2) of this title.
``(3) If no person described in paragraphs (1) and (2) is
provided travel and transportation allowances under this
section, the parent or parents of the deceased member (as
defined in section 401(b)(2) of this title).
``(4) If no person described in paragraphs (1), (2), and
(3) is provided travel and transportation allowances under this
section, then--
``(A) the person who directs the disposition of the
remains of the deceased member under section 1482(c) of
title 10, or, in the case of a deceased member whose
remains are commingled and buried in a common grave in
a national cemetery, the person who would have been
designated under such section to direct the disposition
of the remains if individual identification had been
made; and
``(B) up to two additional persons closely related
to the deceased member who are selected by the person
referred to in subparagraph (A).
``(d) Definitions.--In this section:
``(1) The term `burial ceremony' includes the following:
``(A) An interment of casketed or cremated remains.
``(B) A placement of cremated remains in a
columbarium.
``(C) A memorial service for which reimbursement is
authorized under section 1482(d)(2) of title 10.
``(D) A burial of commingled remains that cannot be
individually identified in a common grave in a national
cemetery.
``(2) The term `member of the family' includes a person
described in section 1482(c)(4) of title 10 who, except for
this paragraph, would not otherwise be considered a family
member.''.
(b) Repeal of Superseded Laws.--(1) Section 1482 of title 10,
United States Code, is amended by striking subsection (d) and
redesignating subsections (e), (f), and (g) as subsections (d), (e),
and (f), respectively.
(2) The Funeral Transportation and Living Expense Benefits Act of
1974 (Public Law 93-257; 88 Stat. 53; 37 U.S.C. 406 note) is repealed.
(c) Applicability.--The amendments made by this Act shall apply
with respect to deaths that occur on or after the later of--
(1) October 1, 2001; or
(2) the date of the enactment of this Act.
SEC. 636. FAMILY SEPARATION ALLOWANCE FOR MEMBERS ELECTING
UNACCOMPANIED TOUR BY REASON OF HEALTH LIMITATIONS OF
DEPENDENTS.
(a) Eligibility.--Section 427(c) of title 37, United States Code,
is amended--
(1) in the first sentence, by striking ``A member who
elects'' and inserting ``(1) Except as provided in paragraph
(2), a member who elects'';
(2) in the second sentence, by striking ``The Secretary
concerned may waive the preceding sentence'' and inserting the
following:
``(3) The Secretary concerned may waive paragraph (1)''; and
(3) by inserting after paragraph (1) (as designated by the
amendment made by paragraph (1) of this section) the following
new paragraph:
``(2) The prohibition in the first sentence of paragraph (1) does
not apply in the case of a member who elects to serve a tour of duty
unaccompanied by his dependents at the member's permanent station
because a dependent cannot accompany the member to or at that permanent
station for medical reasons certified by a health care professional in
accordance with regulations prescribed for the administration of this
section.''.
(b) Effective Date.--This section and the amendments made by this
section shall take effect on October 1, 2001.
SEC. 637. FUNDED STUDENT TRAVEL FOR FOREIGN STUDY UNDER AN EDUCATION
PROGRAM APPROVED BY A UNITED STATES SCHOOL.
(a) Authority.--Section 430 of title 37, United States Code, is
amended--
(1) in subsection (a)(3)--
(A) by striking ``attending'' and inserting
``enrolled in''; and
(B) by inserting before the comma at the end the
following: ``and is attending that school or is
participating in a foreign study program approved by
that school and, pursuant to that program, is attending
a school outside the United States for a period of not
more than one year''; and
(2) in subsection (b)--
(A) in the first sentence of paragraph (1), by
striking ``each unmarried dependent child,'' and all
that follows through ``the school being attended'' and
inserting ``each unmarried dependent child (described
in subsection (a)(3)) of one annual trip between the
school being attended by that child''; and
(B) by adding at the end the following new
paragraph:
``(3) The transportation allowance paid under paragraph (1) for an
annual trip of a dependent child described in subsection (a)(3) who is
attending a school outside the United States may not exceed the
transportation allowance that would be paid under this section for the
annual trip of that child between the child's school in the continental
United States and the member's duty station outside the continental
United States and return.''.
(b) Effective Date.--This section and the amendments made by this
section shall take effect on October 1, 2001, and shall apply with
respect to travel that originates outside the continental United States
(as defined in section 430(f) of title 37, United States Code), on or
after that date.
SEC. 638. TRANSPORTATION OR STORAGE OF PRIVATELY OWNED VEHICLES ON
CHANGE OF PERMANENT STATION.
(a) Advance Payment of Storage Costs.--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.''.
(b) Shipment in Permanent Change of Station Within CONUS.--
Subsection (h)(1) of such section is amended--
(1) by striking ``includes'' in the second sentence and all
that follows and inserting ``includes the following:''; and
(2) by adding at the end the following subparagraphs:
``(A) An authorized change in home port of a
vessel.
``(B) A transfer or assignment between two
permanent stations in the continental United States
when--
``(i) the member cannot, because of injury
or the conditions of the order, drive the motor
vehicle between the permanent duty stations; or
``(ii) the Secretary concerned determines
that it is advantageous and cost-effective to
the Government for one motor vehicle of the
member to be transported between the permanent
duty stations.''.
(c) Effective Date.--This section and the amendments made by this
section shall take effect on October 1, 2001.
Subtitle D--Matters Relating to Retirement and Survivor Benefits
SEC. 651. PAYMENT OF RETIRED PAY AND COMPENSATION TO DISABLED MILITARY
RETIREES.
(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
``(a) Payment of Both Retired Pay and Compensation.--Except as
provided in 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.
``(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(13) of
title 38.''.
(b) Repeal of Special Compensation Program.--Section 1413 of such
title is repealed.
(c) Clerical Amendments.--The table of sections at the beginning of
such chapter is amended--
(1) by striking the item relating to section 1413; and
(2) 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.''.
(d) Effective Date.--(1) The amendments made by this section shall
take effect on the later of--
(A) the first day of the first month that begins after the
date of the enactment of qualifying offsetting legislation as
described in subsection (e); or
(B) October 1, 2002.
(2) No benefits may be paid to any person by reason of section 1414
of title 10, United States Code, as added by the amendment made by
subsection (a), for any period before the effective date under
paragraph (1).
(e) Effectiveness Contingent on Offsetting Legislation.--(1) The
amendments made by this section shall be effective only if--
(A) the President, in the budget for fiscal year 2003 that
is submitted to Congress under section 1105(a) of title 31,
United States Code, proposes legislation which, if enacted,
would be qualifying offsetting legislation; and
(B) there is enacted during the second session of the One
Hundred Seventh Congress qualifying offsetting legislation.
(2) In this section:
(A) The term ``qualifying offsetting legislation'' means
legislation (other than an appropriations Act) that includes
provisions that--
(i) offset fully the increased outlays for each of
fiscal years 2003 through 2012 to be made by reason of
the amendments made by this section;
(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 with respect to fiscal years through fiscal year 2012
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.
Subtitle E--Other Matters
SEC. 661. EDUCATION SAVINGS PLAN FOR REENLISTMENTS AND EXTENSIONS OF
SERVICE IN CRITICAL SPECIALTIES.
(a) Establishment of Savings Plan.--(1) Chapter 5 of title 37,
United States Code, is amended by adding at the end the following new
section:
``Sec. 324. Incentive bonus: savings plan for education expenses and
other contingencies
``(a) Benefit and Eligibility.--The Secretary concerned may
purchase United States savings bonds under this section for a member of
the armed forces who is eligible as follows:
``(1) A member who, before completing three years of
service on active duty, enters into a commitment to perform
qualifying service.
``(2) A member who, after completing three years of service
on active duty but not more than nine years of service on
active duty, enters into a commitment to perform qualifying
service.
``(3) A member who, after completing nine years of service
on active duty, enters into a commitment to perform qualifying
service.
``(b) Qualifying Service.--For the purposes of this section,
qualifying service is service on active duty in a specialty designated
by the Secretary concerned as critical to meet requirements (whether or
not such specialty is designated as critical to meet wartime or
peacetime requirements) for a period that--
``(1) is not less than six years; and
``(2) does not include any part of a period for which the
member is obligated to serve on active duty under an enlistment
or other agreement for which a benefit has previously been paid
under this section.
``(c) Forms of Commitment to Additional Service.--For the purposes
of this section, a commitment means--
``(1) in the case of an enlisted member, a reenlistment;
and
``(2) in the case of a commissioned officer, an agreement
entered into with the Secretary concerned.
``(d) Amounts of Bonds.--The total of the face amounts of the
United States savings bonds authorized to be purchased for a member
under this section for a commitment shall be as follows:
``(1) In the case of a purchase for a member under
paragraph (1) of subsection (a), $5,000.
``(2) In the case of a purchase for a member under
paragraph (2) of subsection (a), the amount equal to the excess
of $15,000 over the total of the face amounts of any United
States savings bonds previously purchased for the member under
this section.
``(3) In the case of a purchase for a member under
paragraph (3) of subsection (a), the amount equal to the excess
of $30,000 over the total of the face amounts of any United
States savings bonds previously purchased for the member under
this section.
``(e) Total Amount of Benefit.--The total amount of the benefit
authorized for a member when United States savings bonds are purchased
for the member under this section by reason of a commitment by that
member shall be the sum of--
``(1) the purchase price of the United States savings
bonds; and
``(2) the amounts that would be deducted and withheld for
the payment of individual income taxes if the total amount
computed under this subsection for that commitment were paid to
the member as a bonus.
``(f) Amount Withheld for Taxes.--The total amount payable for a
member under subsection (e)(2) for a commitment by that member shall be
withheld, credited, and otherwise treated in the same manner as amounts
deducted and withheld from the basic pay of the member.
``(g) Repayment for Failure To Complete Obligated Service.--(1) If
a person fails to complete the qualifying service for which the person
is obligated under a commitment for which a benefit has been paid under
this section, the person shall refund to the United States the amount
that bears the same ratio to the total amount paid for the person (as
computed under subsection (e)) for that particular commitment as the
uncompleted part of the period of qualifying service bears to the total
period of the qualifying service for which obligated.
``(2) Subject to paragraph (3), an obligation to reimburse the
United States imposed under paragraph (1) is for all purposes a debt
owed to the United States.
``(3) The Secretary concerned may waive, in whole or in part, a
refund required under paragraph (1) if the Secretary concerned
determines that recovery would be against equity and good conscience or
would be contrary to the best interests of the United States.
``(4) A discharge in bankruptcy under title 11 that is entered less
than five years after the termination of an enlistment or other
agreement under this section does not discharge the person signing such
reenlistment or other agreement from a debt arising under the
reenlistment or agreement, respectively, or this subsection.
``(h) Relationship to Other Special Pays.--The benefit authorized
under this section is in addition to any other bonus or incentive or
special pay that is paid or payable to a member under any other
provision of this chapter for any portion of the same qualifying
service.
``(i) Regulations.--This section shall be administered under
regulations prescribed by the Secretary of Defense for the armed forces
under his jurisdiction and by the Secretary of Transportation for the
Coast Guard when the Coast Guard is not operating as a service in the
Navy.''.
(2) The table of sections at the beginning of such chapter is
amended by adding at the end the following new item:
``324. Incentive bonus: savings plan for education and other
contingencies.''.
(b) Effective Date.--Section 324 of title 37, United States Code
(as added by subsection (a)), shall take effect on October 1, 2001, and
shall apply with respect to reenlistments and other agreements for
qualifying service (described in that section) that are entered into on
or after that date.
(c) Funding for Fiscal Year 2002.--Of the amount authorized to be
appropriated to the Department of Defense for military personnel for
fiscal year 2002 by section 421, $20,000,000 may be available in that
fiscal year for the purchase of United States savings bonds under
section 324 of title 37, United States Code (as added by subsection
(a)).
SEC. 662. COMMISSARY BENEFITS FOR NEW MEMBERS OF THE READY RESERVE.
(a) Eligibility.--Section 1063 of title 10, United States Code, is
amended--
(1) by redesignating subsections (b) and (c) as subsections
(c) and (d), respectively; and
(2) by inserting after subsection (a) the following new
subsection (b):
``(b) Eligibility of New Members.--(1) The Secretary concerned
shall authorize a new member of the Ready Reserve to use commissary
stores of the Department of Defense for a number of days accruing at
the rate of two days for each month in which the member participates
satisfactorily in training required under section 10147(a)(1) of this
title or section 502(a) of title 32, as the case may be.
``(2) For the purposes of paragraph (1), a person shall be
considered a new member of the Ready Reserve upon becoming a member and
continuing without a break in the membership until the earlier of--
``(A) the date on which the member becomes eligible to use
commissary stores under subsection (a); or
``(B) December 31 of the first calendar year in which the
membership has been continuous for the entire year.
``(3) A new member may not be authorized under this subsection to
use commissary stores for more than 24 days for any calendar year.''.
(b) Required Documentation.--Subsection (d) of such section, as
redesignated by subsection (a)(1), is amended by adding at the end the
following: ``The regulations shall specify the required documentation
of satisfactory participation in training for the purposes of
subsection (b).''.
(c) Conforming Amendment.--Subsection (c) of such section, as
redesignated by subsection (a)(1), is amended by striking ``Subsection
(a)'' and inserting ``Subsections (a) and (b)''.
(d) Clerical Amendments.--(1) The heading for such section is
amended to read as follows:
``Sec. 1063. Use of commissary stores: members of Ready Reserve''.
(2) Subsection (a) of such section is amended by striking ``of
Ready Reserve'' and inserting ``With 50 or More Creditable Points''.
(3) The item relating to such section in the table of sections at
the beginning of chapter 54 of title 10, United States Code, is amended
to read as follows:
``1063. Use of commissary stores: members of Ready Reserve.''.
SEC. 663. AUTHORIZATION OF TRANSITIONAL COMPENSATION AND COMMISSARY AND
EXCHANGE BENEFITS FOR DEPENDENTS OF COMMISSIONED OFFICERS
OF THE PUBLIC HEALTH SERVICE AND THE NATIONAL OCEANIC AND
ATMOSPHERIC ADMINISTRATION WHO ARE SEPARATED FOR
DEPENDENT ABUSE.
(a) Commissioned Officers of the Public Health Service.--Section
221(a) of the Public Health Service Act (42 U.S.C. 213a(a)) is amended
by adding at the end the following new paragraph:
``(17) Section 1059, Transitional compensation and
commissary and exchange benefits for dependents of members
separated for dependent abuse.''.
(b) Commissioned Officers of the National Oceanic and Atmospheric
Administration.--Section 3(a) of the Act entitled ``An Act to revise,
codify, and enact into law, title 10 of the United States Code,
entitled `Armed Forces', and title 32 of the United States Code,
entitled `National Guard''', approved August 10, 1956 (33 U.S.C.
857a(a)), is amended by adding at the end the following new paragraph:
``(17) Section 1059, Transitional compensation and
commissary and exchange benefits for dependents of members
separated for dependent abuse.''.
TITLE VII--HEALTH CARE
Subtitle A--TRICARE Benefits Modernization
SEC. 701. REQUIREMENT FOR INTEGRATION OF BENEFITS.
(a) In General.--The Secretary of Defense shall--
(1) terminate the Individual Case Management Program
carried out under section 1079(a)(17) of title 10, United
States Code (as in effect on September 30, 2001); and
(2) integrate the beneficiaries under that program, and the
furnishing of care to those beneficiaries, into the TRICARE
program as modified pursuant to the amendments made by this
subtitle.
(b) Repeal of Separate Authority.--Section 1079 of title 10, United
States Code, is amended by striking paragraph (17).
(c) Savings Provision.--Nothing in this subtitle or the amendments
made by this subtitle shall be construed--
(1) to modify any eligibility requirement for any person
receiving benefits under the Individual Case Management Program
before October 1, 2001; or
(2) to terminate any benefits available under that program
before that date.
(d) Consultation Requirement.--The Secretary of Defense shall
consult with the other administering Secretaries referred to in section
1072(3) of title 10, United States Code, in carrying out this section.
SEC. 702. DOMICILIARY AND CUSTODIAL CARE.
Section 1072 of title 10, United States Code, is amended by adding
at the end the following new paragraphs:
``(8) The term `domiciliary care' means treatment or
services involving assistance with the performance of
activities of daily living that is provided to a patient in a
home-like setting because--
``(A) the treatment or services are not available,
or are not suitable to be provided, to the patient in
the patient's home; or
``(B) no member of the patient's family is willing
to provide the treatment or services.
``(9) The term `custodial care'--
``(A) means treatment or services that--
``(i) could be provided safely and
reasonably by a person not trained as a
physician, nurse, paramedic, or other health
care provider; or
``(ii) are provided principally to assist
the recipient of the treatment or services with
the performance of activities of daily living;
and
``(B) includes any treatment or service described
in subparagraph (A) without regard to--
``(i) the source of any recommendation to
provide the treatment or service; and
``(ii) the setting in which the treatment
or service is provided.''.
SEC. 703. LONG TERM CARE.
(a) Limitation.--Chapter 55 of title 10, United States Code, is
amended by inserting after section 1074i the following new section:
``Sec. 1074j. Long term care benefits program
``(a) Requirement for Program.--The Secretary of Defense shall
provide long term health care benefits under the TRICARE program in an
effective and efficient manner that integrates those benefits with the
benefits provided on a less than a long term basis under the TRICARE
program.
``(b) Authorized Care.--The types of health care authorized to be
provided under this section shall include the following:
``(1) The types of health care authorized to be acquired by
contract under section 1079 of this title.
``(2) Extended care services.
``(3) Post-hospital extended care services.
``(4) Comprehensive intermittent home health services.
``(c) Duration of Post-Hospital Extended Care Services.--The post-
hospital extended care services provided in a skilled nursing facility
to a patient during a spell of illness under subsection (b)(3) shall
continue for as long as is medically necessary and appropriate. The
limitation on the number of days of coverage under subsections (a)(2)
and (b)(2)(A) of section 1812 of the Social Security Act (42 U.S.C.
1395d) shall not apply with respect to the care provided that patient.
``(d) Regulations.--The Secretary of Defense shall, after
consultation with the other administering Secretaries, prescribe
regulations to carry out this section.
``(e) Definitions.--In this section:
``(1) The term `extended care services' has the meaning
given the term in subsection (h) of section 1861 of the Social
Security Act (42 U.S.C. 1395x).
``(2) The term `post-hospital extended services' has the
meaning given the term in subsection (i) of section 1861 of the
Social Security Act (42 U.S.C. 1395x).
``(3) The term `home health services' has the meaning given
the term in subsection (m) of section 1861 of the Social
Security Act (42 U.S.C. 1395x).
``(4) The term `skilled nursing facility' has the meaning
given the term in section 1819(a) of the Social Security Act
(42 U.S.C. 1395i-3(a)).
``(5) The term `spell of illness' has the meaning given the
term in subsection (a) of section 1861 of the Social Security
Act (42 U.S.C. 1395x).''.
(b) Clerical Amendment.--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. Long term care benefits program.''.
SEC. 704. EXTENDED BENEFITS FOR DISABLED BENEFICIARIES.
Section 1079 of title 10, United States Code, is amended by
striking subsections (d), (e), and (f) and inserting the following:
``(d)(1) The health care benefits contracted for under this section
shall include extended benefits for dependents referred to in the first
sentence of subsection (a) who have any of the following qualifying
conditions:
``(A) Moderate or severe mental retardation.
``(B) A serious physical disability.
``(C) Any extraordinary physical or psychological
condition.
``(2) The extended benefits under paragraph (1) may include
comprehensive health care and case management services, to the extent
not otherwise provided under this chapter with respect to a qualifying
condition, as follows:
``(A) Diagnosis.
``(B) Inpatient, outpatient, and comprehensive home health
supplies and services.
``(C) Training and rehabilitation, including special
education and assistive technology devices.
``(D) Institutional care in private nonprofit, public, and
State institutions and facilities and, when appropriate,
transportation to and from such institutions and facilities.
``(E) Any other services and supplies determined
appropriate under regulations prescribed under paragraph (9).
``(3) The extended benefits under paragraph (1) may also include
respite care for the primary caregiver of a dependent eligible for
extended benefits under this subsection.
``(4) Home health supplies and services may be provided to a
dependent under paragraph (2)(B) as other than part-time or
intermittent services (as determined in accordance with the second
sentence of section 1861(m) of the Social Security Act (42 U.S.C.
1395x(m)) only if--
``(A) the provision of such supplies and services in the
home of the dependent is medically appropriate; and
``(B) the cost of the provision of such supplies and
services to the dependent is equal to or less than the cost of
the provision of similar supplies and services to the dependent
in a skilled nursing facility.
``(5) Subsection (a)(13) shall not apply to the provision of care
and services determined appropriate to be provided as extended benefits
under this subsection.
``(6) Subject to paragraph (7), a member of the uniformed services
shall pay a share of the cost of any care and services provided as
extended benefits to any of the dependents of the member under this
subsection as follows:
``(A) In the case of a member in the lowest enlisted pay
grade, the first $25 of the cumulative costs of all care
furnished to one or more dependents of the member in a month.
``(B) In the case of a member in the highest commissioned
pay grade, the first $250 of the cumulative costs of all care
furnished to one or more dependents of the member in a month.
``(C) In the case of a member in any other pay grade, a
fixed amount of the cumulative costs of all care furnished to
one or more dependents of the member in a month, as prescribed
for that pay grade in regulations prescribed under paragraph
(9).
``(7)(A) In the case of extended benefits provided under
subparagraph (C) or (D) of paragraph (2) to a dependent of a member of
the uniformed services--
``(i) the Government's share of the total cost of providing
such benefits in any month shall not exceed $2,500, except for
costs that a member is exempt from paying under subparagraph
(B); and
``(ii) the member shall pay (in addition to any amount
payable under paragraph (6)) the amount, if any, by which the
amount of such total cost for the month exceeds the
Government's maximum share under clause (i).
``(B) A member of the uniformed services who incurs expenses under
subparagraph (A) for a month for more than one dependent shall not be
required to pay for the month under clause (ii) of that subparagraph an
amount greater than the amount the member would otherwise be required
to pay under that clause for the month if the member were incurring
expenses under that subparagraph for only one dependent.
``(8) To qualify for extended benefits under subparagraph (C) or
(D) of paragraph (2), a dependent of a member of the uniformed services
shall be required to use public facilities to the extent such
facilities are available and adequate, as determined under joint
regulations of the administering Secretaries.
``(9) The Secretary of Defense, in consultation with the other
administering Secretaries, shall prescribe regulations to carry out
this subsection.''.
SEC. 705. CONFORMING REPEALS.
The following provisions of law are repealed:
(1) Section 703 of the National Defense Authorization Act
for Fiscal Year 2000 (Public Law 106-65; 113 Stat. 682; 10
U.S.C. 1077 note).
(2) Section 8118 of the Department of Defense
Appropriations Act, 2000 (Public Law 106-79; 113 Stat. 1260).
(3) Section 8100 of the Department of Defense
Appropriations Act, 2001 (Public Law 106-259; 114 Stat. 696).
SEC. 706. EFFECTIVE DATE.
This subtitle and the amendments made by this subtitle shall take
effect on October 1, 2001.
Subtitle B--Other Matters
SEC. 711. REPEAL OF REQUIREMENT FOR PERIODIC SCREENINGS AND
EXAMINATIONS AND RELATED CARE FOR MEMBERS OF ARMY RESERVE
UNITS SCHEDULED FOR EARLY DEPLOYMENT.
Section 1074a of title 10, United States Code, is amended--
(1) by striking subsection (d); and
(2) by redesignating subsection (e) as subsection (d).
SEC. 712. CLARIFICATION OF ELIGIBILITY FOR REIMBURSEMENT OF TRAVEL
EXPENSES OF ADULT ACCOMPANYING PATIENT IN TRAVEL FOR
SPECIALTY CARE.
Section 1074i of title 10, United States Code, is amended by
inserting before the period at the end the following: ``and, when
accompaniment by an adult is necessary, for a parent or guardian of the
covered beneficiary or another member of the covered beneficiary's
family who is at least 21 years of age''.
SEC. 713. TRICARE PROGRAM LIMITATIONS ON PAYMENT RATES FOR
INSTITUTIONAL HEALTH CARE PROVIDERS AND ON BALANCE
BILLING BY INSTITUTIONAL AND NONINSTITUTIONAL HEALTH CARE
PROVIDERS.
(a) Institutional Providers.--Section 1079(j) of title 10, United
States Code, is amended--
(1) in paragraph (2)(A)--
(A) by striking ``(A)''; and
(B) by striking ``may be determined under joint
regulations'' and inserting ``shall be determined under
joint regulations'';
(2) by redesignating subparagraph (B) of paragraph (2) as
paragraph (4), and, in such paragraph, as so redesignated, by
striking ``subparagraph (A),'' and inserting ``this
subsection,''; and
(3) by inserting before paragraph (4), as redesignated by
paragraph (2), the following new paragraph (3):
``(3) A contract for a plan covered by this section shall include a
clause that prohibits each provider of services under the plan from
billing any person covered by the plan for any balance of charges for
services in excess of the amount paid for those services under the
joint regulations referred to in paragraph (2), except for any unpaid
amounts of deductibles or copayments that are payable directly to the
provider by the person.''.
(b) Noninstitutional Providers.--Section 1079(h)(4) of such title
is amended--
(1) by inserting ``(A)'' after ``(4)''; and
(B) by adding at the end the following new
subparagraph:
``(B) The regulations shall include a restriction that prohibits an
individual health care professional (or other noninstitutional health
care provider) from billing a beneficiary for services for more than
the amount that is equal to--
``(i) the excess of the limiting charge (as defined in
section 1848(g)(2) of the Social Security Act (42 U.S.C. 1395w-
4(g)(2))) that would be applicable if the services had been
provided by the professional (or other provider) as an
individual health care professional (or other noninstitutional
health care provider) on a nonassignment-related basis under
part B of title XVIII of such Act over the amount that is
payable by the United States for those services under this
subsection, plus
``(ii) any unpaid amounts of deductibles or copayments that
are payable directly to the professional (or other provider) by
the beneficiary.''.
(c) Effective Date.--The amendments made by this section shall take
effect on October 1, 2001.
SEC. 714. TWO-YEAR EXTENSION OF HEALTH CARE MANAGEMENT DEMONSTRATION
PROGRAM.
(a) Extension.--Subsection (d) of section 733 of the Floyd D.
Spence National Defense Authorization Act for Fiscal Year 2001 (as
enacted by Public Law 106-398; 114 Stat. 1654A-191) is amended by
striking ``December 31, 2001'' and inserting ``December 31, 2003''.
(b) Report.--Subsection (e) of that section is amended--
(1) by striking ``Reports.--'' and inserting ``Report.--'';
and
(2) by striking ``March 15, 2002'' and inserting ``March
15, 2004''.
SEC. 715. STUDY OF HEALTH CARE COVERAGE OF MEMBERS OF THE SELECTED
RESERVE.
(a) Requirement for Study.--The Comptroller General shall carry out
a study of the needs of members of the Selected Reserve of the Ready
Reserve of the Armed Forces and their families for health care
benefits.
(b) Report.--Not later than March 1, 2002, the Comptroller General
shall submit to Congress a report on the study under subsection (a).
The report shall include the following matters:
(1) An analysis of how members of the Selected Reserve
currently obtain coverage for health care benefits when not on
active duty, together with statistics on enrollments in health
care benefits plans, including--
(A) the percentage of members of the Selected
Reserve who are not covered by an employer health
benefits plan;
(B) the percentage of members of the Selected
Reserve who are not covered by an individual health
benefits plan; and
(C) the percentage of members of the Selected
Reserve who are not covered by any health insurance or
other health benefits plan.
(2) An assessment of the disruptions in health benefits
coverage that a mobilization of members of the Selected Reserve
has caused for the members and their families.
(3) An assessment of the cost and effectiveness of various
options for preventing or reducing disruptions described in
paragraph (2), including--
(A) providing health care benefits to all members
of the Selected Reserve and their families through
TRICARE, the Federal Employees Health Benefits Program,
or otherwise;
(B) revising and extending the program of
transitional medical and dental care that is provided
under section 1074b of title 10, United States Code,
for members of the Armed Forces upon release from
active duty served in support of a contingency
operation;
(C) requiring the health benefits plans of members
of the Selected Reserve, including individual health
benefits plans and group health benefits plans, to
permit members of the Selected Reserve to elect to
resume coverage under such health benefits plans upon
release from active duty in support of a contingency
operation;
(D) providing financial assistance for paying
premiums or other subscription charges for continuation
of coverage by private sector health insurance or other
health benefits plans; and
(E) any other options that the Comptroller General
determines advisable to consider.
SEC. 716. STUDY OF ADEQUACY AND QUALITY OF HEALTH CARE PROVIDED TO
WOMEN UNDER THE DEFENSE HEALTH PROGRAM.
(a) Requirement for Study.--The Comptroller General shall carry out
a study of the adequacy and quality of the health care provided to
women under chapter 55 of title 10, United States Code.
(b) Specific Consideration.--The study shall include an intensive
review of the availability and quality of reproductive health care
services.
(c) Report.--The Comptroller General shall submit a report on the
results of the study to Congress not later than April 1, 2002.
SEC. 717. PILOT PROGRAM FOR DEPARTMENT OF VETERANS AFFAIRS SUPPORT FOR
DEPARTMENT OF DEFENSE IN THE PERFORMANCE OF SEPARATION
PHYSICAL EXAMINATIONS.
(a) Authority.--The Secretary of Defense and the Secretary of
Veterans Affairs may jointly carry out a pilot program for the
performance of the physical examinations required in connection with
the separation of members of the uniformed services. The requirements
of this section shall apply to a pilot program, if any, that is carried
out under the authority of this subsection.
(b) Performance of Physical Examinations by Department of Veterans
Affairs.--Under the pilot program, the Secretary of Veterans Affairs
shall perform the physical examinations of members of the uniformed
services separating from the uniformed services who are in one or more
geographic areas designated for the pilot program by the Secretaries.
(c) Reimbursement.--The Secretary of Defense shall provide for
reimbursing the Secretary of Veterans Affairs for the cost incurred by
the Secretary of Veterans Affairs in performing, under the pilot
program, the items of physical examination that are required by the
Secretary concerned in connection with the separation of a member of a
uniformed service. Reimbursements shall be paid out of funds available
for the performance of separation physical examinations of members of
that uniformed service in facilities of the uniformed services.
(d) Agreement.--(1) The Secretary of Defense and the Secretary of
Veterans Affairs shall enter into an agreement for carrying out a pilot
program established under this section. The agreement shall specify the
geographic area in which the pilot program is carried out and the means
for making reimbursement payments.
(2) The other administering Secretaries shall also enter into the
agreement to the extent that the Secretary of Defense determines
necessary to apply the pilot program, including the requirement for
reimbursement, to the uniformed services not under the jurisdiction of
the Secretary of a military department.
(e) Consultation Requirement.--In developing and carrying out the
pilot program, the Secretary of Defense shall consult with the other
administering Secretaries.
(f) Period of Program.--Any pilot program established under this
section shall begin not later than July 1, 2002, and terminate on
December 31, 2005.
(g) Reports.--(1) Not later than January 31, 2004, the Secretary of
Defense and the Secretary of Veterans Affairs shall jointly submit to
Congress an interim report on the conduct of the pilot program.
(2) Not later than March 1, 2005, the Secretary of Defense and the
Secretary of Veterans Affairs shall jointly submit to Congress a final
report on the conduct of the pilot program.
(3) Each report under this subsection shall include the
Secretaries' assessment, as of the date of such report, of the efficacy
of the performance of separation physical examinations as provided for
under the pilot program.
(h) Definitions.--In this section:
(1) The term ``administering Secretaries'' has the meaning
given the term in section 1072(3) of title 10, United States
Code.
(2) The term ``Secretary concerned'' has the meaning given
the term in section 101(5) of title 37, United States Code.
TITLE VIII--ACQUISITION POLICY, ACQUISITION MANAGEMENT, AND RELATED
MATTERS
Subtitle A--Procurement Management and Administration
SEC. 801. MANAGEMENT OF PROCUREMENTS OF SERVICES.
(a) Responsibility of Under Secretary of Defense for Acquisition,
Technology, and Logistics.--Section 133(b) of title 10, United States
Code, is amended--
(1) by striking ``and'' at the end of paragraph (4);
(2) by redesignating paragraph (5) as paragraph (6); and
(3) by inserting after paragraph (4) the following new
paragraph (5):
``(5) managing the procurements of services for the
Department of Defense; and''.
(b) Requirement for Management Structure.--(1) Chapter 137 of such
title is amended by inserting after section 2328 the following new
section:
``Sec. 2330. Procurements of services: management structure
``(a) Requirement for Management Structure.--The Under Secretary of
Defense for Acquisition, Technology, and Logistics shall establish a
structure for the management of procurements of services for the
Department of Defense.
``(b) Delegation of Authority.--(1) The management structure shall
provide for a designated official in each Defense Agency, military
department, and command to exercise the responsibility for the
management of the procurements of services for the official's Defense
Agency, military department, or command, respectively.
``(2) For the exercise of the responsibility under paragraph (1), a
designated official shall report, and be accountable, to--
``(A) the Under Secretary of Defense for Acquisition,
Technology, and Logistics; and
``(B) such other officials as the Under Secretary may
prescribe for the management structure.
``(3) Paragraph (2) shall not affect the responsibility of a
designated official for a military department who is not the Secretary
of that military department to report, and be accountable, to the
Secretary of the military department.
``(c) Contracting Responsibilities of Designated Officials.--The
responsibilities of an official designated under subsection (b) shall
include, with respect to the procurements of services for the Defense
Agency, military department, or command of that official, the
following:
``(1) Ensuring that the services are procured by means of
contracts or task orders that are in the best interests of the
Department of Defense and are entered into or issued and
managed in compliance with the applicable statutes,
regulations, directives, and other requirements, regardless of
whether the services are procured through a contract of the
Department of Defense or through a contract entered into by an
official of the United States outside the Department of
Defense.
``(2) Establishing within the Department of Defense
appropriate contract vehicles for use in the procurement of
services so as to ensure that officials of the Department of
Defense are accountable for the procurement of the services in
accordance with the requirements of paragraph (1).
``(3) Analyzing data collected under section 2330a of this
title on contracts that are entered into for the procurement of
services.
``(4) Approving, in advance, any procurement of services
that is to be made through the use of--
``(A) a contract or task order that is not a
performance-based contract or task order; or
``(B) a contract entered into, or a task order
issued, by an official of the United States outside the
Department of Defense.
``(d) Definition.--In this section, the term `performance-based',
with respect to a contract or a task order means that the contract or
task- order, respectively, includes the use of performance work
statements that set forth contract requirements in clear, specific, and
objective terms with measurable outcomes.''.
(2) Not later than 180 days after the date of the enactment of this
Act, the Under Secretary of Defense for Acquisition, Technology, and
Logistics shall issue guidance for officials in the management
structure established under section 2330 of title 10, United States
Code (as added by paragraph (1)), regarding how to carry out their
responsibilities under that section. The guidance shall include, at a
minimum, the following:
(A) Specific dollar thresholds, approval levels, and
criteria for advance approvals under subsection (c)(4) of such
section 2330.
(B) A prohibition on the procurement of services through
the use of a contract entered into, or a task order issued, by
an official of the United States outside the Department of
Defense that is not a performance-based contract or task order,
unless an appropriate official in the management structure
established under such section 2330 determines in writing that
the use of that means for the procurement is justified on the
basis of exceptional circumstances as being in the best
interests of the Department of Defense.
(c) Tracking of Procurements of Services.--Chapter 137 of title 10,
United States Code, as amended by subsection (b), is further amended by
inserting after section 2330 the following new section:
``Sec. 2330a. Procurements of services: tracking
``(a) Data Collection Required.--The Secretary of Defense shall
establish a data collection system to provide management information
with regard to each purchase of services by a military department or
Defense Agency in excess of the simplified acquisition threshold,
regardless of whether such a purchase is made in the form of a
contract, task order, delivery order, military interdepartmental
purchase request, or any other form of interagency agreement.
``(b) Data To Be Collected.--The data required to be collected
under subsection (a) includes the following:
``(1) The services purchased.
``(2) The total dollar amount of the purchase.
``(3) The form of contracting action used to make the
purchase.
``(4) Whether the purchase was made through--
``(A) a performance-based contract, performance-
based task order, or other performance-based
arrangement that contains firm fixed prices for the
specific tasks to be performed;
``(B) any other performance-based contract,
performance-based task order, or performance-based
arrangement; or
``(C) any contract, task order, or other
arrangement that is not performance based.
``(5) In the case of a purchase made through an agency
other than the Department of Defense--
``(A) the agency through which the purchase is
made; and
``(B) the reasons for making the purchase through
that agency.
``(6) The extent of competition provided in making the
purchase (including the number of offerors).
``(7) whether the purchase was made from--
``(A) a small business concern;
``(B) a small business concern owned and controlled
by socially and economically disadvantaged individuals;
or
``(C) a small business concern owned and controlled
by women.
``(c) Compatibility With Data Collection System for Information
Technology Purchases.--To the maximum extent practicable, a single data
collection system shall be used to collect data under this section and
information under section 2225 of this title.
``(d) Definitions.--In this section:
``(1) The term `performance-based', with respect to a
contract, task order, or arrangement, means that the contract,
task order, or arrangement, respectively, includes the use of
performance work statements that set forth contract
requirements in clear, specific, and objective terms with
measurable outcomes.
``(2) The definitions set forth in section 2225(f) of this
title for the terms `simplified acquisition threshold', `small
business concern', `small business concern owned and controlled
by socially and economically disadvantaged individuals', and
`small business concern owned and controlled by women' shall
apply.''.
(d) Requirement for Program Review Structure.--(1) Not later than
180 days after the date of the enactment of this Act, the Secretary of
Defense shall issue and implement a policy that applies to the
procurement of services by the Department of Defense a program review
structure that is similar to the one developed for and applied to the
procurement of systems by the Department of Defense.
(2) The program review structure for the procurement of services
shall, at a minimum, include the following:
(A) Standards for determining which procurements should be
subject to review by either the senior procurement executive of
a military department or the senior procurement executive of
the Department of Defense under such section, including
criteria based on dollar thresholds, program criticality, or
other appropriate measures.
(B) Appropriate milestones at which those reviews should
take place.
(C) A description of the specific matters that should be
reviewed.
(e) Comptroller General Review.--Not later than 90 days after the
date on which the Secretary issues the policy required by subsection
(d) and the Under Secretary of Defense for Acquisition, Technology, and
Logistics issues the guidance required by subsection (b)(2), the
Comptroller General shall submit to the Committees on Armed Services of
the Senate and the House of Representatives an assessment of the
compliance with the requirements of this section and the amendments
made by this section.
(f) Definitions.--In this section:
(1) The term ``senior procurement executive'' means the
official designated as the senior procurement executive under
section 16(3) of the Office of Federal Procurement Policy Act
(41 U.S.C. 414(3)).
(2) The term ``performance-based'', with respect to a
contract or a task order means that the contract or task order,
respectively, includes the use of performance work statements
that set forth contract requirements in clear, specific, and
objective terms with measurable outcomes.
(g) Clerical Amendments.--(1) The heading for section 2331 of title
10, United States Code, is amended to read as follows:
``Sec. 2331. Procurements of services: contracts for professional and
technical services''.
(2) The table of sections at the beginning of chapter 137 of such
title is amended by striking the item relating to section 2331 and
inserting the following new items:
``2330. Procurements of services: management structure.
``2330a. Procurements of services: tracking.
``2331. Procurements of services: contracts for professional and
technical services.''.
SEC. 802. SAVINGS GOALS FOR PROCUREMENTS OF SERVICES.
(a) Goals.--(1) It shall be an objective of the Department of
Defense to achieve savings in expenditures for procurements of services
through the use of--
(A) performance-based services contracting;
(B) competition for task orders under services contracts;
and
(C) program review, spending analyses, and improved
management of services contracts.
(2) In furtherance of that objective, the Department of Defense
shall have goals to use improved management practices to achieve, over
10 fiscal years, reductions in the total amount that would otherwise be
expended by the Department for the procurement of services (other than
military construction) in a fiscal year by the amount equal to 10
percent of the total amount of the expenditures of the Department for
fiscal year 2000 for procurement of services (other than military
construction), as follows:
(A) By fiscal year 2002, a three percent reduction.
(B) By fiscal year 2003, a four percent reduction.
(C) By fiscal year 2004, a five percent reduction.
(D) By fiscal year 2011, a ten percent reduction.
(b) Annual Report.--Not later than March 1, 2002, and annually
thereafter through March 1, 2006, the Secretary of Defense shall submit
to the congressional defense committees a report on the progress made
toward meeting the objective and goals established in subsection (a).
Each report shall include, at a minimum, the following information:
(1) A summary of the steps taken or planned to be taken in
the fiscal year of the report to improve the management of
procurements of services.
(2) A summary of the steps planned to be taken in the
following fiscal year to improve the management of procurements
of services.
(3) An estimate of the amount that will be expended by the
Department of Defense for procurements of services in the
fiscal year of the report.
(4) An estimate of the amount that will be expended by the
Department of Defense for procurements of services in the
following fiscal year.
(5) An estimate of the amount of savings that, as a result
of improvement of the management practices used by the
Department of Defense, will be achieved for the procurement of
services by the Department in the fiscal year of the report and
in the following fiscal year.
(c) Review and Report by Comptroller General.--The Comptroller
General shall review each report submitted by the Secretary pursuant to
subsection (b), and within 90 days after the date of the report, submit
to Congress a report containing the Comptroller General's assessment of
the extent to which the Department of Defense has taken steps necessary
to achieve the objective and goals established by subsection (a). In
each report the Comptroller General shall, at a minimum, address--
(1) the accuracy and reliability of the estimates included
in the Secretary's report; and
(2) the effectiveness of the improvements in management
practices that have been taken, and those that are planned to
be taken, in the Department of Defense to achieve savings in
procurements of services by the Department.
SEC. 803. COMPETITION REQUIREMENT FOR PURCHASES PURSUANT TO MULTIPLE
AWARD CONTRACTS.
(a) Regulations Required.--Not later than 180 days after the date
of the enactment of this Act, the Secretary of Defense shall promulgate
in the Department of Defense Supplement to the Federal Acquisition
Regulation regulations requiring competition in the purchase of
products and services by the Department of Defense pursuant to multiple
award contracts.
(b) Content of Regulations.--The regulations required by subsection
(a) shall provide, at a minimum, that each individual procurement of
products and services in excess of $50,000 that is made under a
multiple award contract shall be made on a competitive basis unless a
contracting officer of the Department of Defense--
(1) waives the requirement on the basis of a determination
that one of the circumstances described in paragraphs (1)
through (4) of section 2304(c) of title 10, United States Code,
applies to such individual procurement; and
(2) justifies the determination in writing.
(c) Reporting Requirement.--The Secretary shall submit to the
congressional defense committees each year a report on the use of the
waiver authority provided in the regulations prescribed under
subsection (b). The report for a year shall include, at a minimum, for
each military department and each Defense Agency, the following:
(1) The number of the waivers granted.
(2) The dollar value of the procurements for which the
waivers were granted.
(3) The bases on which the waivers were granted.
(d) Definitions.--In this section:
(1) The term ``individual procurement'' means a task order,
delivery order, or other purchase.
(2) The term ``multiple award contract'' means--
(A) a contract that is entered into by the
Administrator of General Services under the multiple
award schedule program referred to in section
2302(2)(C) of title 10, United States Code;
(B) a multiple award task order contract or
delivery order contract that is entered into under the
authority of sections 2304a through 2304d of title 10,
United States Code, or sections 303H through 303K of
the Federal Property and Administrative Services Act of
1949 (41 U.S.C. 253h through 253k); and
(C) any other indeterminate delivery, indeterminate
quantity contract that is entered into by the head of a
Federal agency with two or more sources pursuant to the
same solicitation.
(3) The term ``competitive basis'', with respect to an
individual procurement of products or services under a multiple
award contract, means procedures that--
(A) require fair notice to be provided to all
contractors offering such products or services under
the multiple award contract of the intent to make that
procurement; and
(B) afford all such contractors a fair opportunity
to make an offer and have that offer fully and fairly
considered by the official making the procurement.
(4) The term ``Defense Agency'' has the meaning given that
term in section 101(a)(11) of title 10, United States Code.
(e) Applicability.--The regulations promulgated by the Secretary
pursuant to subsection (a) shall take effect not later than 180 days
after the date of the enactment of this Act and shall apply to all
individual procurements that are made under multiple award contracts on
or after the effective date, without regard to whether the multiple
award contracts were entered into before, on, or after such effective
date.
SEC. 804. RISK REDUCTION AT INITIATION OF MAJOR DEFENSE ACQUISITION
PROGRAM.
(a) Standard for Technological Maturity.--(1) Chapter 144 of title
10, United States Code, is amended by inserting after section 2431 the
following new section:
``Sec. 2431a. Risk reduction at program initiation
``(a) Requirement for Demonstration of Critical Technologies.--Each
critical technology that is to be used in production under a major
defense acquisition program shall be successfully demonstrated in a
relevant environment, as determined in writing by the Under Secretary
of Defense for Acquisition, Technology, and Logistics.
``(b) Prohibition.--Neither of the following actions may be taken
in a major defense acquisition program before the requirement of
subsection (a) has been satisfied for the program:
``(1) Milestone B approval.
``(2) Initiation of the program without a Milestone B
approval.
``(c) Waiver.--The Under Secretary of Defense for Acquisition,
Technology, and Logistics may waive the prohibition in subsection (b)
with respect to a major defense acquisition program if the Milestone
Decision Authority for the program certifies to the Under Secretary
that exceptional circumstances justify proceeding with an action
described in that subsection for the program before compliance with
subsection (a).
``(d) Annual Report on Waivers.--(1) The Secretary of Defense shall
submit to the Committees on Armed Services and on Appropriations of the
Senate and the House of Representatives each year the justification for
any waiver granted with respect to a major defense acquisition program
under subsection (c) during the fiscal year covered by the report.
``(2) The report for a fiscal year shall be submitted with the
submission of the weapons development and procurement schedules under
section 2431 of this title and shall cover the fiscal year preceding
the fiscal year in which submitted.
``(e) Definitions.--In this section:
``(1) The term `Milestone B approval' means approval to
begin integrated system development and demonstration.
``(2) The term `Milestone Decision Authority' means the
official of the Department of Defense who is designated in
accordance with criteria prescribed by the Secretary of Defense
to approve entry of a major defense acquisition program into
the next phase of the acquisition process.''.
(2) The table of sections at the beginning of such chapter is
amended by inserting after the item relating to section 2431 the
following:
``2431a. Risk reduction at program initiation.''.
(b) Effective Date and Applicability.--(1) Section 2431a of title
10, United States Code (as added by subsection (a)), shall take effect
on the date of the enactment of this Act and shall apply to--
(A) any major defense acquisition program that is initiated
on or after that date without a Milestone B approval having
been issued for the program; and
(B) any major defense acquisition program that is initiated
more than 6 months after that date with a Milestone B approval
having been issued for the program before the initiation of the
program.
(2) In paragraph (1):
(A) The term ``major defense acquisition program'' has the
meaning given the term in section 2430 of title 10, United
States Code.
(B) The term ``Milestone B approval'' has the meaning given
the term under section 2431a(d) of title 10, United States Code
(as added by subsection (a)).
SEC. 805. FOLLOW-ON PRODUCTION CONTRACTS FOR PRODUCTS DEVELOPED
PURSUANT TO PROTOTYPE PROJECTS.
Section 845 of the National Defense Authorization Act for Fiscal
Year 1994 (10 U.S.C. 2371 note) is amended--
(1) by redesignating subsection (f) as subsection (g); and
(2) by inserting after subsection (e) the following new
subsection (f):
``(f) Follow-On Production Contracts.--(1) A transaction entered
into under this section for a prototype project that satisfies the
conditions set forth in subsection (d)(1)(B)(i) may provide for the
award of a follow-on production contract to the participants in the
transaction for a specific number of units at specific target prices.
The number of units specified in the transaction shall be determined on
the basis of a balancing of the level of the investment made in the
project by the participants other than the Federal Government with the
interest of the Federal Government in having competition among sources
in the acquisition of the product or products prototyped under the
project.
``(2) A follow-on production contract provided for in a transaction
under paragraph (1) may be awarded to the participants in the
transaction without the use of competitive procedures, notwithstanding
the requirements of section 2304 of title 10, United States Code, if--
``(A) competitive procedures were used for the selection of
parties for participation in the transaction;
``(B) the participants in the transaction successfully
completed the prototype project provided for in the
transaction;
``(C) the number of units provided for in the follow-on
production contract does not exceed the number of units
specified in the transaction for such a follow-on production
contract; and
``(D) the prices established in the follow-on production
contract do not exceed the target prices specified in the
transaction for such a follow-on production contract.''.
Subtitle B--Defense Acquisition and Support Workforce
SEC. 811. REPORT ON IMPLEMENTATION OF RECOMMENDATIONS OF THE
ACQUISITION 2005 TASK FORCE.
(a) Requirement for Report.--Not later than March 1, 2002, the
Secretary of Defense shall submit to the Committees on Armed Services
of the Senate and the House of Representatives a report on the extent
of the implementation of the recommendations set forth in the final
report of the Department of Defense Acquisition 2005 Task Force,
entitled ``Shaping the Civilian Acquisition Workforce of the Future''.
(b) Content of Report.--The report shall include the following:
(1) For each recommendation in the final report that is
being implemented or that the Secretary plans to implement--
(A) a summary of all actions that have been taken
to implement the recommendation; and
(B) a schedule, with specific milestones, for
completing the implementation of the recommendation.
(2) For each recommendation in the final report that the
Secretary does not plan to implement--
(A) the reasons for the decision not to implement
the recommendation; and
(B) a summary of any alternative actions the
Secretary plans to take to address the purposes
underlying the recommendation.
(3) A summary of any additional actions the Secretary plans
to take to address concerns raised in the final report about
the size and structure of the acquisition workforce of the
Department of Defense.
(c) Comptroller General Review.--Not later than 60 days after the
date on which the Secretary submits the report required by subsection
(a), the Comptroller General shall--
(1) review the report; and
(2) submit to the committees referred to in subsection (a)
the Comptroller General's assessment of the extent to which the
report--
(A) complies with the requirements of this section;
and
(B) addresses the concerns raised in the final
report about the size and structure of the acquisition
workforce of the Department of Defense.
SEC. 812. MORATORIUM ON REDUCTION OF THE DEFENSE ACQUISITION AND
SUPPORT WORKFORCE.
(a) Prohibition.--Notwithstanding any other provision of law, the
defense acquisition and support workforce may not be reduced, during
fiscal years 2002, 2003, and 2004, below the level of that workforce as
of September 30, 2001, determined on the basis of full-time equivalent
positions.
(b) Waiver Authority.--The Secretary of Defense may waive the
prohibition in subsection (a) and reduce the level of the defense
acquisition and support workforce upon submitting to Congress the
Secretary's certification that the defense acquisition and support
workforce, at the level to which reduced, will be able efficiently and
effectively to perform the workloads that are required of that
workforce consistent with the cost-effective management of the defense
acquisition system to obtain best value equipment and with ensuring
military readiness.
(c) Defense Acquisition and Support Workforce Defined.--In this
section, the term ``defense acquisition and support workforce'' means
Armed Forces and civilian personnel who are assigned to, or are
employed in, an organization of the Department of Defense that is--
(1) an acquisition organization specified in Department of
Defense Instruction 5000.58, dated January 14, 1992; or
(2) an organization not so specified that has acquisition
as its predominant mission, as determined by the Secretary of
Defense.
SEC. 813. REVISION OF ACQUISITION WORKFORCE QUALIFICATION REQUIREMENTS.
(a) Special Requirements for Members of a Contingency Contracting
Force.--(1) Subchapter II of chapter 87 of title 10, United States
Code, is amended by inserting after section 1724 the following new
section:
``Sec. 1724a. Contingency contracting force: qualification requirements
``(a) Contingency Contracting Force.--The Secretary of Defense may
identify as a contingency contracting force the acquisition positions
described in subsections (a) and (b) of section 1724 of this title that
involve duties requiring the personnel in those positions to deploy to
perform contracting functions in support of a contingency operation or
other Department of Defense operation.
``(b) Qualification Requirements.--The Secretary of Defense shall
prescribe the qualification requirements for a person appointed to a
position in any contingency contracting force identified under
subsection (a). The requirements shall include requirements that the
person--
``(1) either--
``(A) have completed the credits of study as
described in section 1724(a)(3)(B) of this title;
``(B) have passed an examination considered by the
Secretary of Defense to demonstrate that the person has
skills, knowledge, or abilities comparable to that of a
person who has completed the credits of study described
in such section; or
``(C) through a combination of having completed
some of the credits of study described in such section
and having passed an examination, have demonstrated
that the person has skills, knowledge, or abilities
comparable to that of a person who has completed all of
the credits of study described in such section; and
``(2) have satisfied such additional requirements for
education and experience as the Secretary may prescribe.''.
(2) The table of sections at the beginning of such subchapter is
amended by inserting after the item relating to section 1724 the
following new item:
``1724a. Contingency contracting force: qualification requirements.''.
(b) Exceptions to Generally Applicable Qualification
Requirements.--Subsection (c) of such section is amended to read as
follows:
``(c) Exceptions.--(1) The requirements imposed under subsection
(a) or (b) of this section shall not apply to a person for either of
the following purposes:
``(A) In the case of an employee, to qualify to serve in
the position in which the employee was serving on October 1,
1993, or in any other position in the same or lower grade and
involving the same or lower level of responsibilities as the
position in which the employee was serving on such date.
``(B) To qualify to serve in an acquisition position in any
contingency contracting force identified under section 1724a of
this title.
``(2) Subject to paragraph (3), the requirements imposed under
subsection (a) or (b) shall not apply to a person who, before October
1, 2000, served--
``(A) as a contracting officer in an executive agency with
authority to award or administer contracts in excess of the
simplified acquisition threshold (referred to in section
2304(g) of this title); or
``(B) in a position in an executive agency either as an
employee in the GS-1102 occupational series or as a member of
the armed forces in a similar occupational specialty.
``(3) For the exception in subparagraph (A) or (B) of paragraph (2)
to apply to an employee with respect to the requirements imposed under
subsection (a) or (b), the employee must--
``(A) before October 1, 2000--
``(i) have received a baccalaureate degree as
described in subparagraph (A) of subsection (a)(3);
``(ii) have completed credits of study as described
in subparagraph (B) of subsection (a)(3);
``(iii) have passed an examination considered by
the Secretary of Defense to demonstrate skills,
knowledge, or abilities comparable to that of a person
who has completed credits of study as described in
subparagraph (B) of subsection (a)(3); or
``(iv) have been granted a waiver of the
applicability of the requirements imposed under
subsection (a) or (b), as the case may be; or
``(B) on October 1, 1991, had at least 10 years of
experience in one or more acquisition positions in the
Department of Defense, comparable positions in other government
agencies or the private sector, or similar positions in which
an individual obtains experience directly relevant to the field
of contracting.''.
(c) Clarification of Applicability of Waiver Authority to Members
of the Armed Forces.--Subsection (d) of such section is amended by
striking ``employee or member of'' in the first sentence and inserting
``employee of, or a member of an armed force in,''.
(d) Office of Personnel Management Approval of Generally Applicable
Discretionary Requirements.--Section 1725 of title 10, United States
Code, is amended--
(1) in subsection (a), by striking ``section 1723 or under
section 1724(a)(4) of this title'' in the first sentence and
inserting ``section 1723, 1724(a)(4), or 1724a(b)(2)''; and
(2) in subsection (b), by striking ``subsection (a)(3) or
(b) of section 1724 of this title'' in the first sentence and
inserting ``subsection (a)(3), (b), or (c)(3)(A)(iii) of
section 1724 of this title or under subparagraph (B) or (C) of
section 1724a(b)(1) of this title''.
(e) Technical Corrections.--Sections 1724(a)(3)(B) and 1732(c)(2)
of such title are amended by striking ``business finance'' and
inserting ``business, finance''.
Subtitle C--Use of Preferred Sources
SEC. 821. APPLICABILITY OF COMPETITION REQUIREMENTS TO PURCHASES FROM A
REQUIRED SOURCE.
(a) Conditions for Competition.--(1) Chapter 141 of title 10,
United States Code, is amended by adding at the end the following:
``Sec. 2410n. Products of Federal Prison Industries: procedural
requirements
``(a) Market Research Before Purchase.--Before purchasing a product
listed in the latest edition of the Federal Prison Industries catalog
under section 4124(d) of title 18, the Secretary of Defense shall
conduct market research to determine whether the Federal Prison
Industries product is comparable in price, quality, and time of
delivery to products available from the private sector.
``(b) Limited Competition Requirement.--If the Secretary determines
that a Federal Prison Industries product is not comparable in price,
quality, and time of delivery to products available from the private
sector, the Secretary shall use competitive procedures for the
procurement of the product. In conducting such a competition, the
Secretary shall consider a timely offer from Federal Prison Industries
for award in accordance with the specifications and evaluation factors
specified in the solicitation.
``(c) Exemptions.--Notwithstanding any other provision of law, the
Secretary shall not be required--
(1) to purchase from Federal Prison Industries any product
that is--
(A) integral to, or embedded in, a product that is
not available from Federal Prison Industries; or
(B) a national security system; or
(2) to make a purchase from Federal Prison Industries in a
total amount that is less than the micropurchase threshold, as
defined in section 32(f) of the Office of Federal Procurement
Policy Act (41 U.S.C. 428(f)).
``(d) Definitions.--In this section:
``(1) The term `competitive procedures' has the meaning
given that term in section 2302(2) of this title.
``(2) The term `national security system' means any
telecommunications or information system operated by the United
States Government, the function, operation, or use of which--
``(A) involves intelligence activities;
``(B) involves cryptologic activities related to
national security;
``(C) involves command and control of military
forces;
``(D) involves equipment that is an integral part
of a weapon or a weapon system; or
``(E) is critical to the direct fulfillment of
military or intelligence missions, except for a system
that is to be used for routine administrative and
business applications (including payroll, finance,
logistics, and personnel management applications).''.
(2) The table of sections at the beginning of such chapter is
amended by adding at the end the following:
``2410n. Products of Federal Prison Industries: procedural
requirements.''.
(b) Applicability.--Section 2410n of title 10, United States Code
(as added by subsection (a)), shall apply to purchases initiated on or
after October 1, 2001.
SEC. 822. CONSOLIDATION OF CONTRACT REQUIREMENTS.
(a) Amendment to Title 10.--(1) Chapter 141 of title 10, United
States Code, is amended by inserting after section 2381 the following
new section:
``Sec. 2382. Consolidation of contract requirements: policy and
restrictions
``(a) Policy.--The Secretary of Defense shall require the Secretary
of each military department, the head of each Defense Agency, and the
head of each Department of Defense Field Activity to ensure that the
decisions made by that official regarding consolidation of contract
requirements of the department, agency, or activity as the case may be,
are made with a view to providing small business concerns with
appropriate opportunities to participate in Department of Defense
procurements as prime contractors and appropriate opportunities to
participate in such procurements as subcontractors.
``(b) Limitation on Use of Acquisition Strategies Involving
Consolidation.--(1) An official of a military department, Defense
Agency, or Department of Defense Field Activity may not execute an
acquisition strategy that includes a consolidation of contract
requirements of the military department, agency, or activity with a
total value in excess of $5,000,000, unless the senior procurement
executive concerned first--
``(A) conducts market research;
``(B) identifies any alternative contracting approaches
that would involve a lesser degree of consolidation of contract
requirements; and
``(C) determines that the consolidation is necessary and
justified.
``(2) A senior procurement executive may determine that an
acquisition strategy involving a consolidation of contract requirements
is necessary and justified for the purposes of paragraph (1) if the
benefits of the acquisition strategy substantially exceed the benefits
of each of the possible alternative contracting approaches identified
under subparagraph (B) of that paragraph. However, savings in
administrative or personnel costs alone do not constitute, for such
purposes, a sufficient justification for a consolidation of contract
requirements in a procurement unless the total amount of the cost
savings is expected to be substantial in relation to the total cost of
the procurement.
``(3) Benefits considered for the purposes of paragraphs (1) and
(2) may include cost and, regardless of whether quantifiable in dollar
amounts--
``(A) quality;
``(B) acquisition cycle;
``(C) terms and conditions; and
``(D) any other benefit.
``(c) Definitions.--In this section:
``(1) The terms `consolidation of contract requirements'
and `consolidation', with respect to contract requirements of a
military department, Defense Agency, or Department of Defense
Field Activity, mean a use of a solicitation to obtain offers
for a single contract or a multiple award contract to satisfy
two or more requirements of that department, agency, or
activity for goods or services that have previously been
provided to, or performed for, that department, agency, or
activity under two or more separate contracts smaller in cost
than the total cost of the contract for which the offers are
solicited.
``(2) The term ``multiple award contract'' means--
``(A) a contract that is entered into by the
Administrator of General Services under the multiple
award schedule program referred to in section
2302(2)(C) of this title;
``(B) a multiple award task order contract or
delivery order contract that is entered into under the
authority of sections 2304a through 2304d of this title
or sections 303H through 303K of the Federal Property
and Administrative Services Act of 1949 (41 U.S.C. 253h
through 253k); and
``(C) any other indeterminate delivery,
indeterminate quantity contract that is entered into by
the head of a Federal agency with two or more sources
pursuant to the same solicitation.
``(3) The term `senior procurement executive concerned'
means--
``(A) with respect to a military department, the
official designated under section 16(3) of the Office
of Federal Procurement Policy Act (41 U.S.C. 414(3)) as
the senior procurement executive for the military
department; or
``(B) with respect to a Defense Agency or a
Department of Defense Field Activity, the official so
designated for the Department of Defense.
``(4) The term `small business concern' means a business
concern that is determined by the Administrator of the Small
Business Administration to be a small-business concern by
application of the standards prescribed under section 3(a) of
the Small Business Act (15 U.S.C. 632(a)).''.
(2) 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. Consolidation of contract requirements: policy and
restrictions.''.
(b) Data Review.--(1) The Secretary of Defense shall revise the
data collection systems of the Department of Defense to ensure that
such systems are capable of identifying each procurement that involves
a consolidation of contract requirements within the department with a
total value in excess of $5,000,000.
(2) The Secretary shall ensure that appropriate officials of the
Department of Defense periodically review the information collected
pursuant to paragraph (1) in cooperation with the Small Business
Administration--
(A) to determine the extent of the consolidation of
contract requirements in the Department of Defense; and
(B) to assess the impact of the consolidation of contract
requirements on the availability of opportunities for small
business concerns to participate in Department of Defense
procurements, both as prime contractors and as subcontractors.
(3)(A) No official of the Department of Defense may modify any
existing agency data collection system, create a new agency data
collection system, or collect data not available in existing agency
data collection systems for the purpose of complying with any
requirement of law or regulation to collect data on the consolidation
or bundling of contract requirements except to the extent necessary to
comply with paragraph (1).
(B) The prohibition relating to the collection of data under
subparagraph (A) does not apply to any sampling or study of Department
of Defense contracts that--
(i) is carried out for the purposes of reviewing and
assessing such contracts; and
(ii) does not require a modification of data collection
systems, or the creation of new data collection systems, in the
Department of Defense.
(4) In this subsection:
(A) The term ``bundling of contract requirements'' has the
meaning given that term in section 3(o)(2) of the Small
Business Act (15 U.S.C. 632(o)(2)).
(B) The term ``consolidation of contract requirements'' has
the meaning given that term in section 2382(c)(1) of title 10,
United States Code, as added by subsection (a).
SEC. 823. CODIFICATION AND CONTINUATION OF MENTOR-PROTEGE PROGRAM AS
PERMANENT PROGRAM.
(a) In General.--(1) Chapter 141 of title 10, United States Code,
is amended by inserting after section 2402 the following new section:
``Sec. 2403. Mentor-Protege Program
``(a) Establishment of Program.--The Secretary of Defense shall
carry out a program known as the `Mentor-Protege Program'.
``(b) Purpose.--The purpose of the program is to provide incentives
for major Department of Defense contractors to furnish eligible small
business concerns (as defined in subsection (l)(2)) with assistance
designed to enhance the capabilities of eligible small business
concerns to perform as subcontractors and suppliers under Department of
Defense contracts and other contracts and subcontracts in order to
increase the participation of such business concerns as subcontractors
and suppliers under Department of Defense contracts, other Federal
Government contracts, and commercial contracts.
``(c) Program Participants.--(1) A business concern meeting the
eligibility requirements set out in subsection (d) may enter into
agreements under subsection (e) and furnish assistance to eligible
small business concerns upon making application to the Secretary of
Defense and being approved for participation in the program by the
Secretary. A business concern participating in the program pursuant to
such an approval shall be known, for the purposes of the program, as a
`mentor firm'.
``(2) An eligible small business concern may obtain assistance from
a mentor firm upon entering into an agreement with the mentor firm as
provided in subsection (e). An eligible small business concern may not
be a party to more than one agreement to receive such assistance at any
time. An eligible small business concern receiving such assistance
shall be known, for the purposes of the program, as a `protege firm'.
``(3) In entering into an agreement pursuant to subsection (e), a
mentor firm may rely in good faith on a written representation of a
business concern that such business concern is a small business concern
described in subsection (l)(2)(A). The Administrator of the Small
Business Administration shall determine the status of such business
concern as such a small business concern in the event of a protest
regarding the status of the business concern. If at any time the
business concern is determined by the Administrator not to be such a
small business concern, assistance furnished to the business concern by
the mentor firm after the date of the determination may not be
considered assistance furnished under the program.
``(d) Mentor Firm Eligibility.--Subject to subsection (c)(1), a
mentor firm eligible for award of Federal contracts may enter into an
agreement with one or more protege firms under subsection (e) and
provide assistance under the program pursuant to that agreement if--
``(1) during the fiscal year preceding the fiscal year in
which the mentor firm enters into the agreement, the total
amount of the Department of Defense contracts awarded such
mentor firm and the subcontracts awarded such mentor firm under
Department of Defense contracts was equal to or greater than
$100,000,000; or
``(2) the mentor firm demonstrates the capability to assist
in the development of protege firms, and is approved by the
Secretary of Defense pursuant to criteria specified in the
regulations prescribed pursuant to subsection (k).
``(e) Mentor-Protege Agreement.--Before providing assistance to a
protege firm under the program, a mentor firm shall enter into a
mentor-protege agreement with the protege firm regarding the assistance
to be provided by the mentor firm. The agreement shall include the
following:
``(1) A developmental program for the protege firm, in such
detail as may be reasonable, including--
``(A) factors to assess the protege firm's
developmental progress under the program; and
``(B) the anticipated number and type of
subcontracts to be awarded the protege firm.
``(2) A program participation term for any period of not
more than three years, except that the term may be a period of
up to five years if the Secretary of Defense determines in
writing that unusual circumstances justify a program
participation term in excess of three years.
``(3) Procedures for the protege firm to terminate the
agreement voluntarily and for the mentor firm to terminate the
agreement for cause.
``(f) Forms of Assistance.--A mentor firm may provide a protege
firm the following:
``(1) Assistance, by using mentor firm personnel, in--
``(A) general business management, including
organizational management, financial management, and
personnel management, marketing, business development,
and overall business planning;
``(B) engineering and technical matters such as
production, inventory control, and quality assurance;
and
``(C) any other assistance designed to develop the
capabilities of the protege firm under the
developmental program referred to in subsection (e).
``(2) Award of subcontracts on a noncompetitive basis to
the protege firm under the Department of Defense or other
contracts.
``(3) Payment of progress payments for performance of the
protege firm under such a subcontract in amounts as provided
for in the subcontract, but in no event may any such progress
payment exceed 100 percent of the costs incurred by the protege
firm for the performance.
``(4) Advance payments under such subcontracts.
``(5) Loans.
``(6) Cash in exchange for an ownership interest in the
protege firm, not to exceed 10 percent of the total ownership
interest.
``(7) Assistance obtained by the mentor firm for the
protege firm from one or more of the following:
``(A) Small business development centers
established pursuant to section 21 of the Small
Business Act (15 U.S.C. 648).
``(B) Entities providing procurement technical
assistance pursuant to chapter 142 of this title.
``(C) A historically Black college or university or
a minority institution of higher education.
``(g) Incentives for Mentor Firms.--(1) The Secretary of Defense
may provide to a mentor firm reimbursement for the total amount of any
progress payment or advance payment made under the program by the
mentor firm to a protege firm in connection with a Department of
Defense contract awarded the mentor firm.
``(2)(A) The Secretary of Defense may provide to a mentor firm
reimbursement for the costs of the assistance furnished to a protege
firm pursuant to paragraphs (1) and (7) of subsection (f) as provided
for in a line item in a Department of Defense contract under which the
mentor firm is furnishing products or services to the Department,
subject to a maximum amount of reimbursement specified in such
contract. The preceding sentence does not apply in a case in which the
Secretary of Defense determines in writing that unusual circumstances
justify reimbursement using a separate contract.
``(B) The determinations made in annual performance reviews of a
mentor firm's mentor-protege agreement under subsection (j)(2) shall be
a major factor in the determinations of amounts of reimbursement, if
any, that the mentor firm is eligible to receive in the remaining years
of the program participation term under the agreement.
``(C) The total amount reimbursed under this paragraph to a mentor
firm for costs of assistance furnished in a fiscal year to a protege
firm may not exceed $1,000,000, except in a case in which the Secretary
of Defense determines in writing that unusual circumstances justify a
reimbursement of a higher amount.
``(3)(A) Costs incurred by a mentor firm in providing assistance to
a protege firm that are not reimbursed pursuant to paragraph (2) shall
be recognized as credit in lieu of subcontract awards for purposes of
determining whether the mentor firm attains a subcontracting
participation goal applicable to such mentor firm under a Department of
Defense contract, under a contract with another executive agency, or
under a divisional or company-wide subcontracting plan negotiated with
the Department of Defense or another executive agency.
``(B) The amount of the credit given a mentor firm for any such
unreimbursed costs shall be equal to--
``(i) four times the total amount of such costs
attributable to assistance provided by entities described in
subsection (f)(7);
``(ii) three times the total amount of such costs
attributable to assistance furnished by the mentor firm's
employees; and
``(iii) two times the total amount of any other such costs.
``(C) Under regulations prescribed pursuant to subsection (k), the
Secretary of Defense shall adjust the amount of credit given a mentor
firm pursuant to subparagraphs (A) and (B) if the Secretary determines
that the firm's performance regarding the award of subcontracts to
eligible small business concerns has declined without justifiable
cause.
``(4) A mentor firm shall receive credit toward the attainment of a
subcontracting participation goal applicable to such mentor firm for
each subcontract for a product or service awarded under such contract
by a mentor firm to a business concern that, except for its size, would
be a small business concern owned and controlled by socially and
economically disadvantaged individuals, but only if--
``(A) the size of such business concern is not more than
two times the maximum size specified by the Administrator of
the Small Business Administration for purposes of determining
whether a business concern furnishing such product or service
is a small business concern; and
``(B) the business concern formerly had a mentor-protege
agreement with such mentor firm that was not terminated for
cause.
``(h) Relationship to Small Business Act.--(1) For purposes of the
Small Business Act, no determination of affiliation or control (either
direct or indirect) may be found between a protege firm and its mentor
firm on the basis that the mentor firm has agreed to furnish (or has
furnished) to its protege firm pursuant to a mentor-protege agreement
any form of developmental assistance described in subsection (f).
``(2) Notwithstanding section 8 of the Small Business Act (15
U.S.C. 637), the Small Business Administration may not determine an
eligible small business concern to be ineligible to receive any
assistance authorized under the Small Business Act on the basis that
such business concern has participated in the Mentor-Protege Program or
has received assistance pursuant to any developmental assistance
agreement authorized under such program.
``(3) The Small Business Administration may not require a firm that
is entering into, or has entered into, an agreement under subsection
(e) as a protege firm to submit the agreement, or any other document
required by the Secretary of Defense in the administration of the
Mentor-Protege Program, to the Small Business Administration for
review, approval, or any other purpose.
``(i) Participation in Mentor-Protege Program Not To Be a Condition
for Award of a Contract or Subcontract.--A mentor firm may not require
a business concern to enter into an agreement with the mentor firm
pursuant to subsection (e) as a condition for being awarded a contract
by the mentor firm, including a subcontract under a contract awarded to
the mentor firm.
``(j) Reports and Reviews.--(1) The mentor firm and protege firm
under a mentor-protege agreement shall submit to the Secretary of
Defense an annual report on the progress made by the protege firm in
employment, revenues, and participation in Department of Defense
contracts during the fiscal year covered by the report. The requirement
for submission of an annual report applies with respect to each fiscal
year covered by the program participation term under the agreement and
each of the two fiscal years following the expiration of the
program participation term. The Secretary shall prescribe the timing
and form of the annual report.
``(2)(A) The Secretary shall conduct an annual performance review
of each mentor-protege agreement that provides for reimbursement of
costs. The Secretary shall determine on the basis of the review
whether--
``(i) all costs reimbursed to the mentor firm under the
agreement were reasonably incurred to furnish assistance to the
protege firm in accordance with the requirements of this
section and applicable regulations; and
``(ii) the mentor firm and protege firm accurately reported
progress made by the protege firm in employment, revenues, and
participation in Department of Defense contracts during the
program participation term covered by the mentor-protege
agreement and the two fiscal years following the expiration of
the program participation term.
``(B) The Secretary shall act through the Commander of the Defense
Contract Management Command in carrying out the reviews and making the
determinations under subparagraph (A).
``(k) Regulations and Policies.--(1) The Secretary of Defense shall
prescribe regulations to carry out the Mentor-Protege Program. The
regulations shall include the following:
``(A) The requirements set forth in section 8(d) of the
Small Business Act (15 U.S.C. 673(d)).
``(B) Procedures by which mentor firms may terminate
participation in the program.
``(2) The Department of Defense policy regarding the Mentor-Protege
Program shall be published and maintained as an appendix to the
Department of Defense Supplement to the Federal Acquisition Regulation.
``(l) Definitions.--In this section:
``(1) The term `small business concern' means a business
concern that meets the requirements of section 3(a) of the
Small Business Act (15 U.S.C. 632(a)) and the regulations
promulgated pursuant thereto.
``(2) The term `eligible small business concern' is a small
business concern that--
``(A) is either--
``(i) a disadvantaged small business
concern; or
``(ii) a small business concern owned and
controlled by women; and
``(B) is eligible for the award of Federal
contracts.
``(3) The term `disadvantaged small business concern'
means--
``(A) a small business concern owned and controlled
by socially and economically disadvantaged individuals,
as defined in section 8(d)(3)(C) of the Small Business
Act (15 U.S.C. 637(d)(3)(C));
``(B) a business entity owned and controlled by an
Indian tribe as defined by section 8(a)(13) of the
Small Business Act (15 U.S.C. 637(a)(13));
``(C) a business entity owned and controlled by a
Native Hawaiian Organization as defined by section
8(a)(15) of the Small Business Act (15 U.S.C.
637(a)(15)); or
``(D) a qualified organization employing the
severely disabled.
``(4) The term `small business concern owned and controlled
by women' has the meaning given such term in section 8(d)(3)(D)
of the Small Business Act (15 U.S.C. 637(d)(3)(D)).
``(5) The term `historically Black college and university'
means any of the historically Black colleges and universities
referred to in section 2323 of this title.
``(6) The term `minority institution of higher education'
means an institution of higher education with a student body
that reflects the composition specified in paragraphs (3), (4),
and (5) of section 312(b) of the Higher Education Act of 1965
(20 U.S.C. 1058(b)), as in effect on September 30, 1992.
``(7) The term `subcontracting participation goal', with
respect to a Department of Defense contract, means a goal for
the extent of the participation by eligible small business
concerns in the subcontracts awarded under such contract, as
established pursuant to section 2323 of this title and section
8(d) of the Small Business Act (15 U.S.C. 637(d)).
``(8) The term `qualified organization employing the
severely disabled' means a business entity operated on a for-
profit or nonprofit basis that--
``(A) uses rehabilitative engineering to provide
employment opportunities for severely disabled
individuals and integrates severely disabled
individuals into its workforce;
``(B) employs severely disabled individuals at a
rate that averages not less than 20 percent of its
total workforce;
``(C) employs each severely disabled individual in
its workforce generally on the basis of 40 hours per
week; and
``(D) pays not less than the minimum wage
prescribed pursuant to section 6 of the Fair Labor
Standards Act of 1938 (29 U.S.C. 206) to those
employees who are severely disabled individuals.
``(9) The term `severely disabled individual' means an
individual who has a physical or mental disability which
constitutes a substantial handicap to employment and which, in
accordance with criteria prescribed by the Committee for
Purchase From People Who Are Blind or Severely Disabled
established by the first section of the Javits-Wagner-O'Day Act
(41 U.S.C. 46), is of such a nature that the individual is
otherwise prevented from engaging in normal competitive
employment.''.
(2) The table of sections at the beginning of such chapter is
amended by inserting after the item relating to section 2402 the
following new item:
``2403. Mentor-Protege Program.''.
(b) Repeal of Superseded Law.--Section 831 of the National Defense
Authorization Act for Fiscal Year 1991 (10 U.S.C. 2302 note) is
repealed.
(c) Continuation of Temporary Reporting Requirement.--(1) Not later
than six months after the end of each of fiscal years 2001 through
2004, the Secretary of Defense shall submit to Congress an annual
report on the Mentor-Protege Program for that fiscal year.
(2) The annual report for a fiscal year shall include, at a
minimum, the following:
(A) The number of mentor-protege agreements that were
entered into during the fiscal year.
(B) The number of mentor-protege agreements that were in
effect during the fiscal year.
(C) The total amount reimbursed during the fiscal year to
mentor firms pursuant to section 2403(g) of title 10, United
States Code (as added by subsection (a)), or section 831(g) of
the National Defense Authorization Act for fiscal year 1991 (as
in effect on the day before the date of the enactment of this
Act).
(D) Each mentor-protege agreement, if any, that was
approved during the fiscal year in accordance with section
2403(e)(2) of title 10, United States Code (as added by
subsection (a)), or section 831(e)(2) of the National Defense
Authorization Act for Fiscal Year 1991 (as in effect on the day
before the date of the enactment of this Act) to provide a
program participation term in excess of three years, together
with the justification for the approval.
(E) Each reimbursement of a mentor firm in excess of the
limitation in subsection (g)(2)(C) of section 2403 of title 10,
United States Code (as added by subsection (a)), or subsection
(g)(2)(C) of section 831 of the National Defense Authorization
Act for Fiscal Year 1991 (as in effect on the day before the
date of the enactment of this Act) that was made during the
fiscal year pursuant to an approval granted in accordance with
that subsection, together with the justification for the
approval.
(F) Trends in the progress made in employment, revenues,
and participation in Department of Defense contracts by the
protege firms participating in the program during the fiscal
year and the protege firms that completed or otherwise
terminated participation in the program during the preceding
two fiscal years.
(d) Continuation of Requirement for GAO Study and Report.--Nothing
in this section shall be construed as modifying the requirements of
section 811(d)(3) of the National Defense Authorization Act for Fiscal
Year 2000 (Public Law 106-65; 113 Stat. 709).
(e) Savings Provisions.--(1) All orders, determinations, rules,
regulations, contracts, privileges, and other administrative actions
that--
(A) have been issued, made, granted, or allowed to become
effective under the pilot Mentor-Protege Program under section
831 of the National Defense Authorization Act for Fiscal Year
1991, as in effect on the day before the date of the enactment
of this Act, including any such action taken by a court of
competent jurisdiction, and
(B) are in effect at the end of such day, or were final
before the date of the enactment of this Act and are to become
effective on or after that date,
shall continue in effect according to their terms until modified,
terminated, superseded, set aside, or revoked in accordance with law by
the Secretary of Defense or a court of competent jurisdiction or by
operation of law.
(2) This section and the amendments made by this section shall not
affect any proceedings, including notices of proposed rulemaking, that
are pending before the Department of Defense as of the date of the
enactment of this Act, with respect to the administration of the pilot
Mentor-Protege Program under section 831 of the National Defense
Authorization Act for Fiscal Year 1991, as in effect on the day before
that date, but such proceedings and applications shall be continued.
Orders shall be issued in such proceedings, appeals shall be taken
therefrom, and payments shall be made pursuant to such orders, as if
this section had not been enacted, and orders issued in any such
proceedings shall continue in effect until modified, terminated,
superseded, or revoked by a duly authorized official, by a court of
competent jurisdiction, or by operation of law. Nothing in this section
shall be deemed to prohibit the discontinuance or modification of any
such proceeding under the same terms and conditions and to the same
extent that such proceeding could have been discontinued or modified if
this section had not been enacted.
(3) The amendment made by subsection (a)(1), and the repeal of
section 831 of the National Defense Authorization Act for Fiscal Year
1991 by subsection (b), shall not be construed as modifying or
otherwise affecting the requirement in section 811(f)(2) of the
National Defense Authorization Act for Fiscal Year 2000 (Public Law
106-65; 113 Stat. 709).
Subtitle D--Amendments to General Contracting Authorities, Procedures,
and Related Matters
SEC. 831. AMENDMENTS TO CONFORM WITH ADMINISTRATIVE CHANGES IN
ACQUISITION PHASE AND MILESTONE TERMINOLOGY AND TO MAKE
RELATED ADJUSTMENTS IN CERTAIN REQUIREMENTS APPLICABLE AT
MILESTONE TRANSITION POINTS.
(a) Acquisition Phase Terminology.--The following provisions of
title 10, United States Code, are amended by striking ``engineering and
manufacturing development'' each place it appears and inserting
``system development and demonstration'': sections 2366(c) and 2434(a),
and subsections (b)(3)(A)(i), (c)(3)(A), and (h)(1) of section 2432.
(b) Milestone Transition Points.--(1) Section 811(c) 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-211), is
amended by striking ``Milestone I approval, Milestone II approval, or
Milestone III approval (or the equivalent) of a major automated
information system'' and inserting ``approval of a major automated
information system at Milestone B or C or for full rate production, or
an equivalent approval,''.
(2) Department of Defense Directive 5000.1, as revised in
accordance with subsection (b) of section 811 of such Act, shall be
further revised as necessary to comply with subsection (c) of such
section, as amended by paragraph (1), within 60 days after the date of
the enactment of this Act.
(c) Adjustments to Requirement for Determination of Quantity for
Low-Rate Initial Production.--Section 2400(a) of title 10, United
States Code, is amended--
(1) by striking ``milestone II'' each place it appears in
paragraphs (1)(A), (2), (4) and (5) and inserting ``milestone
B''; and
(2) in paragraph (2), by striking ``engineering and
manufacturing development'' and inserting ``system development
and demonstration''.
(d) Adjustments to Requirements for Baseline Description and the
Related Limitation.--Section 2435 of title 10, United States Code, is
amended--
(1) in subsection (b), by striking ``engineering and
manufacturing development'' and inserting ``system development
and demonstration''; and
(2) in subsection (c)--
(A) in paragraph (1), by striking ``demonstration
and validation'' and inserting ``system development and
demonstration'';
(B) in paragraph (2), by striking ``engineering and
manufacturing development'' and inserting ``production
and deployment''; and
(C) in paragraph (3), by striking ``production and
deployment'' and inserting ``full rate production''.
SEC. 832. INAPPLICABILITY OF LIMITATION TO SMALL PURCHASES OF MINIATURE
OR INSTRUMENT BALL OR ROLLER BEARINGS UNDER CERTAIN
CIRCUMSTANCES.
Section 2534(g)(2) of title 10, United States Code, is amended--
(1) by striking ``contracts'' and inserting ``a contract'';
(2) by striking the period at the end and inserting
``unless the head of the contracting activity determines that--
''; and
(3) by adding at the end the following:
``(A) the amount of the purchase does not exceed $25,000;
``(B) the precision level of the ball or roller bearings to
be procured under the contract is rated lower than the rating
known as Annual Bearing Engineering Committee (ABEC) 5 or
Roller Bearing Engineering Committee (RBEC) 5, or an equivalent
of such rating;
``(C) at least two manufacturers in the national technology
and industrial base that are capable of producing the ball or
roller bearings have not responded to a request for quotation
issued by the contracting activity for that contract; and
``(D) no bearing to be procured under the contract has a
basic outside diameter (exclusive of flange diameters) in
excess of 30 millimeters.''.
TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT
SEC. 901. DEPUTY UNDER SECRETARY OF DEFENSE FOR PERSONNEL AND
READINESS.
(a) Establishment of Position.--(1) Chapter 4 of title 10, United
States Code, is amended by inserting after section 136 the following
new section:
``Sec. 136a. Deputy Under Secretary of Defense for Personnel and
Readiness
``(a) There is a Deputy Under Secretary of Defense for Personnel
and Readiness, appointed from civilian life by the President, by and
with the advice and consent of the Senate.
``(b) The Deputy Under Secretary of Defense for Personnel and
Readiness shall assist the Under Secretary of Defense for Personnel and
Readiness in the performance of the duties of that position. The Deputy
Under Secretary of Defense for Personnel and Readiness shall act for,
and exercise the powers of, the Under Secretary when the Under
Secretary is absent or disabled.''.
(2) The table of sections at the beginning of such chapter is
amended by inserting after the item relating to section 136 the
following new item:
``136a. Deputy Under Secretary of Defense for Personnel and
Readiness.''.
(b) Executive Level IV.--Section 5315 of title 5, United States
Code, is amended by inserting after ``Deputy Under Secretary of Defense
for Policy.'' the following:
``Deputy Under Secretary of Defense for Personnel and
Readiness.''.
(c) Reduction in Number of Assistant Secretaries of Defense.--(1)
Section 138(a) of title 10, United States Code, is amended by striking
``nine'' and inserting ``eight''.
(2) Section 5315 of title 5, United States Code, is amended by
striking ``Assistant Secretaries of Defense (9).'' and inserting the
following:
``Assistant Secretaries of Defense (8).''.
SEC. 902. RESPONSIBILITY OF UNDER SECRETARY OF THE AIR FORCE FOR
ACQUISITION OF SPACE LAUNCH VEHICLES AND SERVICES.
Section 8015(b) of title 10, United States Code, is amended--
(1) by inserting ``(1)'' after ``(b)''; and
(2) by adding at the end the following new paragraph:
``(2) The Under Secretary shall be responsible for planning and
contracting for, and for managing, the acquisition of space launch
vehicles and space launch services for the Department of Defense and
the National Reconnaissance Office.''.
SEC. 903. SENSE OF CONGRESS REGARDING THE SELECTION OF OFFICERS FOR
ASSIGNMENT AS THE COMMANDER IN CHIEF, UNITED STATES
TRANSPORTATION COMMAND.
(a) Findings.--Congress makes the following findings:
(1) The Goldwater-Nichols Department of Defense
Reorganization Act of 1986 envisioned that an officer would be
assigned to serve as the commander of a combatant command on
the basis of being the best qualified officer for the
assignment rather than the best qualified officer of the armed
force that has historically supplied an officer to serve in
that assignment.
(2) In order to provide for greater competition among the
Armed Forces for selection of officers for assignment as the
commanders of the combatant commands and assignment to certain
other joint positions in the grade of general or admiral,
Congress provided temporary relief from the limitation on the
number of officers serving on active duty in the grade of
general or admiral in section 405 of the National Defense
Authorization Act for Fiscal Year 1995 and thereafter extended
that relief until September 30, 2003, but has also required
that the Secretary of Defense be furnished the name of at least
one officer from each of the Armed Forces for consideration for
appointment to each such position.
(3) Most of the positions of commanders of the combatant
commands have been filled successively by officers of more than
one of the Armed Forces since the enactment of the Goldwater-
Nichols Department of Defense Reorganization Act of 1986.
(4) However, general officers of the Air Force with only
limited experience in the transportation services have usually
filled the position of Commander in Chief of the United States
Transportation Command.
(5) The United States Transportation Command and its
component commands could benefit from the appointment of an
officer selected from the two armed forces that are the primary
users of their transportation resources, namely the Army and
the Marine Corps.
(b) Sense of Congress.-- In light of the findings set forth in
subsection (a), it is the sense of Congress that the Secretary of
Defense should, when considering officers for recommendation to the
President for appointment as the Commander in Chief, United States
Transportation Command, give careful consideration to recommending an
officer of the Army or the Marine Corps.
SEC. 904. ORGANIZATIONAL REALIGNMENT FOR NAVY 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 for Warfare
Requirements and Programs''.
SEC. 905. REVISED REQUIREMENTS FOR CONTENT OF ANNUAL REPORT ON JOINT
WARFIGHTING EXPERIMENTATION.
Section 485(b) of title 10, United States Code, is amended--
(1) by inserting before the period at the end of paragraph
(1) the following: ``, together with a specific assessment of
whether there is a need for a major force program for funding
joint warfighting experimentation and for funding the
development and acquisition of any technology the value of
which has been empirically demonstrated through such
experimentation''; and
(2) in paragraph (4)(E)--
(A) by inserting ``(by lease or by purchase)''
after ``acquire''; and
(B) by inserting ``(including any prototype)''
after ``or equipment''.
SEC. 906. SUSPENSION OF REORGANIZATION OF ENGINEERING AND TECHNICAL
AUTHORITY POLICY WITHIN THE NAVAL SEA SYSTEMS COMMAND.
(a) Suspension.--During the period specified in subsection (b), the
Secretary of the Navy may not commence or continue any change in
engineering or technical authority policy for the Naval Sea Systems
Command or its subsidiary activities.
(b) Duration.--Subsection (a) applies during the period beginning
on the date of enactment of this Act and ending 60 days after the date
on which the Secretary submits to the congressional defense committees
a report that sets forth in detail the Navy's plans and justification
for the reorganization of engineering and technical authority policy
within the Naval Sea Systems Command.
SEC. 907. CONFORMING AMENDMENTS RELATING TO CHANGE OF NAME OF AIR
MOBILITY COMMAND.
(a) Title 10, United States Code.--Title 10, United States Code, is
amended--
(1) by striking ``Military Airlift Command'' in sections
2554(d) and 2555(a) and inserting ``Air Mobility Command''; and
(2) in section 8074, by striking subsection (c).
(b) Title 37, United States Code.--Sections 430(c) and 432(b) of
title 37, United States Code, are amended by striking ``Military
Airlift Command'' and inserting ``Air Mobility Command''.
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. REDUCTION IN AUTHORIZATIONS OF APPROPRIATIONS FOR DEPARTMENT
OF DEFENSE FOR MANAGEMENT EFFICIENCIES.
Notwithstanding any other provision of this Act, the total amount
authorized to be appropriated for the Department of Defense by
divisions A and B of this Act is hereby reduced by $1,630,000,000, to
reflect savings to be achieved through implementation of the provisions
of title VIII and other management efficiencies and business process
reforms.
SEC. 1003. AUTHORIZATION OF SUPPLEMENTAL APPROPRIATIONS FOR FISCAL YEAR
2001.
Amounts authorized to be appropriated to the Department of Defense
for fiscal year 2001 in the Floyd D. Spence National Defense
Authorization Act for Fiscal Year 2001 (as enacted into law by Public
Law 106-398) are hereby adjusted, with respect to any such authorized
amount, by the amount by which appropriations pursuant to such
authorization were increased (by a supplemental appropriation) or
decreased (by a rescission), or both, in title I of the Supplemental
Appropriations Act, 2001 (Public Law 107-20).
SEC. 1004. UNITED STATES CONTRIBUTION TO NATO COMMON-FUNDED BUDGETS IN
FISCAL YEAR 2002.
(a) Fiscal Year 2002 Limitation.--The total amount contributed by
the Secretary of Defense in fiscal year 2002 for the common-funded
budgets of NATO may be any amount up to, but not in excess of, the
amount specified in subsection (b) (rather than the maximum amount that
would otherwise be applicable to those contributions under the fiscal
year 1998 baseline limitation).
(b) Total Amount.--The amount of the limitation applicable under
subsection (a) is the sum of the following:
(1) The amounts of unexpended balances, as of the end of
fiscal year 2001, of funds appropriated for fiscal years before
fiscal year 2002 for payments for those budgets.
(2) The amount specified in subsection (c)(1).
(3) The amount specified in subsection (c)(2).
(4) The total amount of the contributions authorized to be
made under section 2501.
(c) Authorized Amounts.--Amounts authorized to be appropriated by
titles II and III of this Act are available for contributions for the
common-funded budgets of NATO as follows:
(1) Of the amount provided in section 201(1), $708,000 for
the Civil Budget.
(2) Of the amount provided in section 301(1), $175,849,000
for the Military Budget.
(d) Definitions.--For purposes of this section:
(1) Common-funded budgets of nato.--The term ``common-
funded budgets of NATO'' means the Military Budget, the
Security Investment Program, and the Civil Budget of the North
Atlantic Treaty Organization (and any successor or additional
account or program of NATO).
(2) Fiscal year 1998 baseline limitation.--The term
``fiscal year 1998 baseline limitation'' means the maximum
annual amount of Department of Defense contributions for
common-funded budgets of NATO that is set forth as the annual
limitation in section 3(2)(C)(ii) of the resolution of the
Senate giving the advice and consent of the Senate to the
ratification of the Protocols to the North Atlantic Treaty of
1949 on the Accession of Poland, Hungary, and the Czech
Republic (as defined in section 4(7) of that resolution),
approved by the Senate on April 30, 1998.
SEC. 1005. CLARIFICATION OF APPLICABILITY OF INTEREST PENALTIES FOR
LATE PAYMENT OF INTERIM PAYMENTS DUE UNDER CONTRACTS FOR
SERVICES.
Section 1010(d) 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-251) is amended by inserting before the
period at the end of the first sentence the following: ``, and shall
apply with respect to interim payments that are due on or after such
date under contracts entered into before, on, or after that date''.
SEC. 1006. RELIABILITY OF DEPARTMENT OF DEFENSE FINANCIAL STATEMENTS.
(a) Annual Report on Reliability.--(1) Not later than July 1 of
each year, the Secretary of Defense shall submit to the recipients
referred to in paragraph (3) a report on the reliability of the
Department of Defense financial statements, including the financial
statements of each component of the department that is required to
prepare a financial statement under section 3515(c) of title 31, United
States Code.
(2) The annual report shall contain the following:
(A) A conclusion regarding whether the policies and
procedures of the Department of Defense, and the systems used
within the Department of Defense, for the preparation of
financial statements allow the achievement of reliability in
the financial statements.
(B) For each of the financial statements prepared for the
Department of Defense for the fiscal year in which the report
is submitted, a conclusion regarding the expected reliability
of the financial statement (evaluated on the basis of Office of
Management and Budget guidance on financial statements),
together with a discussion of the major deficiencies to be
expected in the statement.
(C) A summary of the specific sections of the annual
Financial Management Improvement Plan of the Department of
Defense, current as of the date of the report, that--
(i) detail the priorities, milestones, and measures
of success that apply to the preparation of the
financial statements;
(ii) detail the planned improvements in the process
for the preparation of financial statements that are to
be implemented within 12 months after the date on which
the plan is issued; and
(iii) provide an estimate of when each financial
statement will convey reliable information.
(3) The annual report shall be submitted to the following:
(A) The Committee on Armed Services and the Committee on
Governmental Affairs of the Senate.
(B) The Committee on Armed Services and the Committee on
Government Reform of the House of Representatives.
(C) The Director of the Office of Management and Budget.
(D) The Secretary of the Treasury.
(E) The Comptroller General of the United States.
(4) The Secretary of Defense shall make a copy of the annual report
available to the Inspector General of the Department of Defense.
(b) Minimization of Use of Resources for Unreliable Financial
Statements.--(1) With respect to each financial statement for a fiscal
year that the Secretary of Defense assesses as being expected to be
unreliable in the annual report under subsection (a), the Under
Secretary of Defense (Comptroller) or the Assistant Secretary
(Financial Management and Comptroller) of the military department
concerned shall take appropriate actions to minimize the resources,
including contractor support, that are used to develop, compile, and
report the financial statement.
(2)(A) With the annual budget justifications for the Department of
Defense submitted to Congress each year, the Under Secretary of Defense
(Comptroller) shall submit, with respect to the fiscal year in which
submitted, the preceding fiscal year, and the following fiscal year,
the following information:
(i) An estimate of the resources that the Department of
Defense is saving or expects to save as a result of actions
taken and to be taken under paragraph (1) with respect to the
preparation of financial statements.
(ii) A discussion of how the resources saved as estimated
under clause (i) have been redirected or are to be redirected
from the preparation of financial statements to the improvement
of systems underlying financial management within the
Department of Defense and to the improvement of financial
management policies, procedures, and internal controls within
the Department of Defense.
(B) The Assistant Secretaries (Financial Management and
Comptroller) of the Army, Navy, and Air Force shall provide the Under
Secretary of Defense (Comptroller) with the information necessary for
making the estimate required by subparagraph (A)(i).
(c) Information to Auditors.--Not later than October 31 of each
year, the Under Secretary of Defense (Comptroller) and the Assistant
Secretaries (Financial Management and Comptroller) of the Army, Navy,
and Air Force shall each provide to the auditors of the financial
statement of that official's department for the fiscal year ending
during the preceding month the official's preliminary management
representation, in writing, regarding the expected reliability of the
financial statement. The representation shall be consistent with
guidance issued by the Director of the Office of Management and Budget
and shall include the basis for the reliability assessment stated in
the representation.
(d) Limitation on Inspector General Audits.--(1) On each financial
statement that an official asserts is unreliable under subsection (b)
or (c), the Inspector General of the Department of Defense shall only
perform the audit procedures required by generally accepted government
auditing standards consistent with any representation made by
management.
(2)(A) With the annual budget justifications for the Department of
Defense submitted to Congress each year, the Under Secretary of Defense
(Comptroller) shall submit, with respect to the fiscal year in which
submitted, the preceding fiscal year, and the following fiscal year,
information which the Inspector General shall report to the Under
Secretary, as follows:
(i) An estimate of the resources that the Inspector General
is saving or expects to save as a result of actions taken and
to be taken under paragraph (1) with respect to the auditing of
financial statements.
(ii) A discussion of how the resources saved as estimated
under clause (i) have been redirected or are to be redirected
from the auditing of financial statements to the oversight and
improvement of systems underlying financial management within
the Department of Defense and to the oversight and improvement
of financial management policies, procedures, and internal
controls within the Department of Defense.
(e) Period of Applicability.--(1) Except as provided in paragraph
(2), the requirements of this section shall apply with respect to
financial statements for fiscal years after fiscal year 2000 and before
fiscal year 2006 and to the auditing of those financial statements.
(2) If the Secretary of Defense certifies to the Inspector General
of the Department of Defense that the financial statement for the
Department of Defense, or a financial statement for a component of the
Department of Defense, for a fiscal year is reliable, this section
shall not apply with respect to that financial statement or to any
successive financial statement for the department or that component, as
the case may be, for any later fiscal year.
SEC. 1007. SENIOR FINANCIAL MANAGEMENT OVERSIGHT COUNCIL AND FINANCIAL
FEEDER SYSTEMS COMPLIANCE PROCESS.
(a) Establishment of Senior Financial Management Oversight
Council.--(1) The Secretary of Defense shall establish a Senior
Financial Management Oversight Council.
(2) The Council shall be composed of the Under Secretary of Defense
(Comptroller), the Under Secretary of Defense (Acquisition, Technology,
and Logistics), the Under Secretary of Defense (Personnel and
Readiness), and other key managers of the Department of Defense
(including key managers in Defense Agencies and military departments)
who are designated by the Secretary.
(3) The Under Secretary of Defense (Comptroller) shall be the
Chairman of the Council.
(b) Duties.--The Senior Financial Management Oversight Council
shall have the following duties:
(1) To establish a financial and feeder systems compliance
process that ensures that each critical accounting, financial
management, and feeder system of the Department of Defense is
compliant with applicable Federal financial management and
reporting requirements.
(2) To develop a management plan for the implementation of
the financial and feeder systems compliance process.
(3) To supervise and monitor the actions that are necessary
to implement the management plan, as approved by the Secretary
of Defense.
(c) Management Plan for Implementation of Financial Feeder Systems
Compliance Process.--The management plan developed under subsection
(b)(2) shall include among its principal elements at least the
following elements:
(1) A requirement to establish and maintain a complete
inventory of all critical systems necessary to produce and
compile data for financial statements.
(2) A phased process for improving systems that provides
for mapping financial data flow from sources to financial
statements before other actions are initiated.
(3) Periodic submittal of status reports to the Senior
Financial Management Oversight Council.
(4) Documentation of the completion of each phase of the
improvement of a system.
(5) Independent audit at the validation phase for each
critical system.
(d) Report.--(1) Not later than March 1, 2002, the Secretary of
Defense shall submit to the Committees on Armed Services of the Senate
and the House of Representatives a report on the implementation of the
Senior Financial Management Oversight Council and financial feeder
systems compliance process.
(2) The report shall include a discussion of the following matters:
(A) The Senior Financial Management Oversight Council (or
any successor organization), including--
(i) composition;
(ii) the roles and responsibilities regarding
supervision and monitoring of the actions necessary to
ensure that the critical accounting, financial
management, and feeder systems of the Department of
Defense comply with Federal financial management and
reporting requirements; and
(iii) a summary of the actions taken by the Council
to ensure that the systems comply with such
requirements.
(B) The principal elements of the management plan developed
under subsection (b)(2) that are being implemented or that the
Secretary plans to implement, including--
(i) a summary of all actions that have been taken
to implement each of the elements; and
(ii) a schedule, with specific milestones, for
completing the implementation of each of the elements.
(C) The principal elements of the management plan that the
Secretary does not plan to implement, together with the reasons
for not implementing those elements.
SEC. 1008. COMBATING TERRORISM READINESS INITIATIVES FUND FOR COMBATANT
COMMANDS.
(a) Funding for Initiatives.--Chapter 6 of title 10, United States
Code, is amended by inserting after section 166a the following new
section:
``Sec. 166b. Combatant commands: funding for combating terrorism
readiness initiatives
``(a) Combating Terrorism Readiness Initiatives Fund.--From funds
made available in any fiscal year for the budget account in the
Department of Defense known as the `Combating Terrorism Readiness
Initiatives Fund', the Chairman of the Joint Chiefs of Staff may
provide funds to the commander of a combatant command, upon the request
of the commander, or, with respect to a geographic area or areas not
within the area of responsibility of a commander of a combatant
command, to an officer designated by the Chairman of the Joint Chiefs
of Staff for such purpose. The Chairman may provide such funds for
initiating any activity named in subsection (b) and for maintaining and
sustaining the activity for the fiscal year in which initiated and one
additional fiscal year.
``(b) Authorized Activities.--Activities for which funds may be
provided under subsection (a) are the following:
``(1) Procurement and maintenance of physical security
equipment.
``(2) Improvement of physical security sites.
``(3) Under extraordinary circumstances--
``(A) physical security management planning;
``(B) procurement and support of security forces
and security technicians;
``(C) security reviews and investigations and
vulnerability assessments; and
``(D) any other activity relating to physical
security.
``(c) Priority.--The Chairman of the Joint Chiefs of Staff, in
considering requests for funds in the Combating Terrorism Readiness
Initiatives Fund, should give priority consideration to emergency or
emergent unforeseen high-priority requirements for combating terrorism.
``(d) Relationship to Other Funding.--Any amount provided by the
Chairman of the Joint Chiefs of Staff for a fiscal year out of the
Combating Terrorism Readiness Initiatives Fund for an activity referred
to in subsection (b) shall be in addition to amounts otherwise
available for that activity for that fiscal year.
``(e) Limitation.--Funds may not be provided under this section for
any activity that has been denied authorization by Congress.''.
(b) Clerical Amendment.--The table of sections at the beginning of
such chapter is amended by inserting after the item relating to section
166a the following new item:
``166b. Combatant commands: funding for combating terrorism readiness
initiatives.''.
Subtitle B--Strategic Forces
SEC. 1011. REPEAL OF LIMITATION ON RETIREMENT OR DISMANTLEMENT OF
STRATEGIC NUCLEAR DELIVERY SYSTEMS.
Section 1302 of the National Defense Authorization Act for Fiscal
Year 1998 (Public Law 105-85; 111 Stat. 1948) is repealed.
SEC. 1012. 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 facility to which assigned as of that date, until 30 days
after the latest of the following:
(1) The date on which the President transmits to Congress
the national security strategy report required in 2001 pursuant
to section 108(a)(1) of the National Security Act of 1947 (50
U.S.C. 404a(a)(1)).
(2) The date on which 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 is required to be submitted under that
section not later than September 30, 2001.
(3) The date on which the Secretary of Defense submits to
the committees referred to in paragraph (2) a report that sets
forth--
(A) the changes in national security considerations
from those applicable to the air force bomber studies
conducted during 1992, 1995, and 1999 that warrant
changes in the current configuration of the bomber
fleet;
(B) the role of manned bomber aircraft appropriate
to meet the requirements of the national security
strategy referred to in paragraph (1);
(C) the amount and type of bomber force structure
in the United States Air Force appropriate to meet the
requirements of the national security strategy referred
to in paragraph (1);
(D) the results of a comparative analysis of the
cost of basing, maintaining, operating, and upgrading
the B-1B Lancer bomber fleet in the active force of the
Air Force with the cost of basing, maintaining,
operating, and upgrading the B-1B Lancer bomber fleet
in a mix of active and reserve component forces of the
Air Force; and
(E) 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 such new missions.
(4) The date on which the Secretary of Defense submits to
Congress the 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 amended by section 1013 of this Act.
(b) GAO Study and Report.--The Comptroller General of the United
States shall conduct a study on the matters specified in subsection
(a)(3). The Comptroller General shall submit to Congress a report
containing the results of the study not later than January 31, 2002.
(c) Amount and Type of Bomber Force Structure Defined.--In this
section, 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).
SEC. 1013. ADDITIONAL ELEMENT FOR REVISED NUCLEAR POSTURE REVIEW.
Section 1041(b) of the Floyd D. Spence National Defense
Authorization Act for Fiscal Year 2001 (as enacted by Public Law 106-
398; 114 Stat. 1654A-262) is amended by adding at the end the following
new paragraph:
``(7) The possibility of deactivating or dealerting nuclear
warheads or delivery systems immediately, or immediately after
a decision to retire any specific warhead, class of warheads,
or delivery system or systems.''.
Subtitle C--Reporting Requirements
SEC. 1021. INFORMATION AND RECOMMENDATIONS ON CONGRESSIONAL REPORTING
REQUIREMENTS APPLICABLE TO THE DEPARTMENT OF DEFENSE.
(a) Compilation of Reporting Requirements.--The Secretary of
Defense shall compile a list of all provisions of law in effect on the
date of the enactment of this Act that require or request the
President, with respect to the national defense functions of the
Federal Government, or any officer or employee of the Department of
Defense, to submit a report, notification, or study to Congress or any
committee of Congress. The preceding sentence does not apply to a
provision of law that requires or requests only one report,
notification, or study.
(b) Submittal of Compilation.--(1) The Secretary shall submit the
list compiled under subsection (a) to Congress not later than 60 days
after the date of the enactment of this Act.
(2) In submitting the list, the Secretary shall specify for each
provision of law compiled in the list--
(A) the date of the enactment of such provision of law and
a current citation in law for such provision of law; and
(B) the Secretary's assessment of the continuing utility of
any report, notification, or study arising under such provision
of law, both for the executive branch and for Congress.
(3) The Secretary may also include with the list any
recommendations that the Secretary considers appropriate for the
consolidation of reports, notifications, and studies under the
provisions of law described in subsection (a), together with a proposal
for legislation to implement such recommendations.
SEC. 1022. REPORT ON COMBATING TERRORISM.
(a) Requirement for Report.--The Secretary of Defense shall submit
to Congress a report on the Department of Defense policies, plans, and
procedures for combating terrorism.
(b) Content.--(1) The Secretary shall identify and explain in the
report the Department of Defense structure, strategy, roles,
relationships, and responsibilities for combating terrorism.
(2) The report shall also include a discussion of the following
matters:
(A) The policies, plans, and procedures relating to how the
Assistant Secretary of Defense for Special Operations and Low
Intensity Conflict and the Joint Task Force-Civil Support of
the Joint Forces Command are to perform, and coordinate the
performance of, their functions for combating terrorism with--
(i) the various teams in the Department of Defense
that have responsibilities to respond to acts or
threats of terrorism, including--
(I) the weapons of mass destruction civil
support teams when operating as the National
Guard under the command of the Governor of a
State, the Governor of Puerto Rico, or the
Commanding General of the District of Columbia
National Guard, as the case may be; and
(II) the weapons of mass destruction civil
support teams when operating as the Army
National Guard of the United States or the Air
National Guard of the United States under the
command of the President;
(ii) the Army's Director of Military Support;
(iii) the various teams in other departments and
agencies of the Federal Government that have
responsibilities to respond to acts or threats of
terrorism;
(iv) the organizations outside the Federal
Government, including any private sector entities, that
are to function as first responders to acts or threats
of terrorism; and
(v) the units and organizations of the reserve
components of the Armed Forces that have missions
relating to combating terrorism.
(B) Any preparedness plans to combat terrorism that are
developed for installations of the Department of Defense by the
commanders of the installations and the integration of those
plans with the plans of the teams and other organizations
described in subparagraph (A).
(C) The policies, plans, and procedures for using and
coordinating the Joint Staff's integrated vulnerability
assessment teams inside the United States and outside the
United States.
(D) The missions of Fort Leonard Wood and other
installations for training units, weapons of mass destruction
civil support teams and other teams, and individuals in
combating terrorism.
(3) The report shall also include the Secretary's views on the
appropriate number and missions of the Department of Defense teams
referred to in paragraph (2)(A)(i).
(c) Time for Submittal.--The Secretary shall submit the report
under this section not later than 180 days after the date of the
enactment of this Act.
SEC. 1023. REVISED REQUIREMENT FOR CHAIRMAN OF THE JOINT CHIEFS OF
STAFF TO ADVISE SECRETARY OF DEFENSE ON THE ASSIGNMENT OF
ROLES AND MISSIONS TO THE ARMED FORCES.
(a) Assessment During Defense Quadrennial Review.--Subsection
118(e) of title 10, United States Code, is amended--
(1) by inserting ``(1)'' after ``(e) CJCS Review.--''; and
(2) by adding at the end the following new paragraph:
``(2) The Chairman shall include in the assessment submitted under
paragraph (1), the Chairman's assessment of the assignment of functions
(or roles and missions) to the armed forces together with any
recommendations for changes in assignment that the Chairman considers
necessary to achieve the maximum efficiency of the armed forces. In
making the assessment, the Chairman should 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.''.
(b) Repeal of Requirement for Triennial Report on Assignment of
Roles and Missions.--Section 153 of such title is amended by striking
subsection (b).
(c) Conforming Amendment.--Subsection (a) of such section 153 is
amended by striking ``(a) Planning; Advice; Policy Formulation.--''.
SEC. 1024. REVISION OF DEADLINE FOR ANNUAL REPORT ON COMMERCIAL AND
INDUSTRIAL ACTIVITIES.
Section 2461(g) of title 10, United States Code, is amended by
striking ``February 1'' and inserting ``June 30''.
SEC. 1025. PRODUCTION AND ACQUISITION OF VACCINES FOR DEFENSE AGAINST
BIOLOGICAL WARFARE AGENTS.
(a) Government Facility.--(1) Subject to the availability of funds
appropriated and authorized to be appropriated for such purposes, the
Secretary of Defense may--
(A) design, construct, and operate on an installation of
the Department of Defense a facility for the production of
vaccines described in subsection (b)(1);
(B) qualify and validate the facility for the production of
vaccines in accordance with the requirements of the Food and
Drug Administration; and
(C) contract with a private sector source for the
production of vaccines in that facility.
(2) The Secretary shall use competitive procedures under chapter
137 of title 10, United States Code, to enter into contracts to carry
out subparagraphs (A) and (C) of paragraph (1).
(b) Plan.--(1) The Secretary of Defense shall develop a long-range
plan to provide for the production and acquisition of vaccines to meet
the requirements of the Department of Defense to prevent or mitigate
the physiological effects of exposure to biological warfare agents.
(2) The plan shall include the following:
(A) An evaluation of the need for one or more vaccine
production facilities that are specifically dedicated to
meeting the requirements of the Department of Defense and other
national interests.
(B) An evaluation of the alternative options for the means
of production of the vaccines, including--
(i) use of public facilities, private facilities,
or a combination of public and private facilities; and
(ii) management and operation of the facilities by
the Federal Government, one or more private persons, or
a combination of the Federal Government and one or more
private persons.
(C) The means for producing the vaccines that the Secretary
determines most appropriate.
(3) The Secretary shall ensure that the plan is consistent with the
requirement for safe and effective vaccines approved by the Food and
Drug Administration.
(4) In preparing the plan, the Secretary shall--
(A) consider and, as the Secretary determines appropriate,
include the information compiled and the analyses developed in
meeting the reporting requirements set forth in sections 217
and 218 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-36 and 1654A-37); and
(B) consult with the heads of other appropriate departments
and agencies of the Federal Government.
(c) Report.--Not later than February 1, 2002, the Secretary of
Defense shall submit to the congressional defense committees a report
on the plan for the production of vaccines required by subsection (b).
The report shall include, at a minimum, the plan and the following
matters:
(1) A description of the policies and requirements of the
Department of Defense regarding acquisition and use of the
vaccines.
(2) The estimated schedule for the acquisition of the
vaccines in accordance with the plan.
(3) A discussion of the options considered for production
of the vaccines under subsection (b)(2)(B).
(4) The Secretary's recommendations for the most
appropriate course of action to meet the requirements described
in subsection (b)(1), together with the justification for the
recommendations and the long-term cost of implementing the
recommendations.
SEC. 1026. EXTENSION OF TIMES FOR COMMISSION ON THE FUTURE OF THE
UNITED STATES AEROSPACE INDUSTRY TO REPORT AND TO
TERMINATE.
(a) Submittal of Report.--Subsection (d) of section 1092 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-302) is
amended by striking ``Not later than March 1, 2002,'' and inserting
``Not later than one year after the date of its first meeting,''.
(b) Termination.--Subsection (g) of such section is amended by
striking ``30 days'' and inserting ``60 days''.
Subtitle D--Armed Forces Retirement Home
SEC. 1041. AMENDMENT OF ARMED FORCES RETIREMENT HOME ACT OF 1991.
Except as otherwise expressly provided, whenever in this subtitle
an amendment or repeal is expressed in terms of an amendment to, or a
repeal of, a section or other provision, the reference shall be
considered to be made to a section or other provision of the Armed
Forces Retirement Home Act of 1991 (title XV of Public Law 101-510; 24
U.S.C. 401 et seq.).
SEC. 1042. DEFINITIONS.
Section 1502 (24 U.S.C. 401) is amended--
(1) by striking paragraphs (1), (2), (3), (4), and (5), and
inserting the following:
``(1) The term `Retirement Home' includes the institutions
established under section 1511, as follows:
``(A) The Armed Forces Retirement Home--Washington.
``(B) The Armed Forces Retirement Home--Gulfport.
``(2) The term `Local Board' means a Local Board of
Trustees established under section 1516.
``(3) The terms `Armed Forces Retirement Home Trust Fund'
and `Fund' mean the Armed Forces Retirement Home Trust Fund
established under section 1519(a).'';
(2) by redesignating paragraphs (6), (7), and (8) as
paragraphs (4), (5), and (6); and
(3) in paragraph (5), as so redesignated--
(A) in subparagraph (C), by striking ``, Manpower
and Personnel'' and inserting ``for Personnel''; and
(B) in subparagraph (D), by striking ``with
responsibility for personnel matters'' and inserting
``for Manpower and Reserve Affairs''.
SEC. 1043. REVISION OF AUTHORITY ESTABLISHING THE ARMED FORCES
RETIREMENT HOME.
Section 1511 (24 U.S.C. 411) is amended to read as follows:
``SEC. 1511. ESTABLISHMENT OF THE ARMED FORCES RETIREMENT HOME.
``(a) Independent Establishment.--The Armed Forces Retirement Home
is an independent establishment in the executive branch.
``(b) Purpose.--The purpose of the Retirement Home is to provide,
through the Armed Forces Retirement Home--Washington and the Armed
Forces Retirement Home--Gulfport, residences and related services for
certain retired and former members of the Armed Forces.
``(c) Facilities.--(1) Each facility of the Retirement Home
referred to in paragraph (2) is a separate establishment of the
Retirement Home.
``(2) The United States Soldiers' and Airmen's Home is hereby
redesignated as the Armed Forces Retirement Home--Washington. The Naval
Home is hereby redesignated as the Armed Forces Retirement Home--
Gulfport.
``(d) Operation.--(1) The Chief Operating Officer of the Armed
Forces Retirement Home is the head of the Retirement Home. The Chief
Operating Officer is subject to the authority, direction, and control
of the Secretary of Defense.
``(2) Each facility of the Retirement Home shall be maintained as a
separate establishment of the Retirement Home for administrative
purposes and shall be under the authority, direction, and control of
the Director of that facility. The Director of each facility of the
Retirement Home is subject to the authority, direction, and control of
the Chief Operating Officer.
``(e) Property and Facilities.--(1) The Retirement Home shall
include such property and facilities as may be acquired under paragraph
(2) or accepted under section 1515(f) for inclusion in the Retirement
Home.
``(2) The Secretary of Defense may acquire, for the benefit of the
Retirement Home, property and facilities for inclusion in the
Retirement Home.
``(3) The Secretary of Defense may dispose of any property of the
Retirement Home, by sale, lease, or otherwise, that the Secretary
determines is excess to the needs of the Retirement Home. The proceeds
from such a disposal of property shall be deposited in the Armed Forces
Retirement Home Trust Fund. No such disposal of real property shall be
effective earlier than 120 days after the date on which the Secretary
transmits a notification of the proposed disposal to the Committees on
Armed Services of the Senate and the House of Representatives.
``(f) Department of Defense Support.--The Secretary of Defense may
make available from the Department of Defense to the Retirement Home,
on a nonreimbursable basis, administrative support and office services,
legal and policy planning assistance, access to investigative
facilities of the Inspector General of the Department of Defense and of
the military departments, and any other support necessary to enable the
Retirement Home to carry out its functions under this title.
``(g) Accreditation.--The Chief Operating Officer shall endeavor to
secure for each facility of the Retirement Home accreditation by a
nationally recognized civilian accrediting organization, such as the
Continuing Care Accreditation Commission and the Joint Commission for
Accreditation of Health Organizations.
``(h) Annual Report.--The Secretary of Defense shall transmit to
Congress an annual report on the financial and other affairs of the
Retirement Home for each fiscal year.''.
SEC. 1044. CHIEF OPERATING OFFICER.
(a) Establishment and Authority of Position.--Section 1515 (24
U.S.C. 415) is amended to read as follows:
``SEC. 1515. CHIEF OPERATING OFFICER.
``(a) Appointment.--(1) The Secretary of Defense shall appoint the
Chief Operating Officer of the Retirement Home. The Secretary of
Defense may make the appointment without regard to the provisions of
title 5, United States Code, governing appointments in the civil
service.
``(2) The Chief Operating Officer shall serve at the pleasure of
the Secretary of Defense.
``(3) The Secretary of Defense shall evaluate the performance of
the Chief Operating Officer at least once each year.
``(b) Qualifications.--To qualify for appointment as the Chief
Operating Officer, a person shall--
``(1) be a continuing care retirement community
professional;
``(2) have appropriate leadership and management skills;
and
``(3) have experience and expertise in the operation and
management of retirement homes and in the provision of long-
term medical care for older persons.
``(c) Responsibilities.--(1) The Chief Operating Officer shall be
responsible to the Secretary of Defense for the overall direction,
operation, and management of the Retirement Home and shall report to
the Secretary on those matters.
``(2) The Chief Operating Officer shall supervise the operation and
administration of the Armed Forces Retirement Home--Washington and the
Armed Forces Retirement Home--Gulfport, including the Local Boards of
those facilities.
``(3) The Chief Operating Officer shall perform the following
duties:
``(A) Issue, and ensure compliance with, appropriate rules
for the operation of the Retirement Home.
``(B) Periodically visit, and inspect the operation of, the
facilities of the Retirement Home.
``(C) Periodically examine and audit the accounts of the
Retirement Home.
``(D) Establish any advisory body or bodies that the Chief
Operating Officer considers to be necessary.
``(d) Compensation.--(1) The Secretary of Defense may prescribe the
pay of the Chief Operating Officer without regard to the provisions of
title 5, United States Code, governing classification and pay, except
that the basic pay, including locality pay, of the Chief Operating
Officer may not exceed the limitations established in section 5307 of
such title.
``(2) In addition to basic pay and any locality pay prescribed for
the Chief Operating Officer, the Secretary may award the Chief
Operating Officer, not more than once each year, a bonus based on the
performance of the Chief Operating Officer for the year. The Secretary
shall prescribe the amount of any such bonus.
``(e) Administrative Staff.--(1) The Chief Operating Officer may,
subject to the approval of the Secretary of Defense, appoint a staff to
assist in the performance of the Chief Operating Officer's duties in
the overall administration of the Retirement Home.
``(2) The Chief Operating Officer shall prescribe the rates of pay
applicable to the members of the staff appointed under paragraph (1),
without regard to the provisions of title 5, United States Code,
regarding classification and pay, except that--
``(A) a staff member who is a member of the Armed Forces on
active duty or who is a full-time officer or employee of the
United States may not receive additional pay by reason of
service on the administrative staff; and
``(B) the limitations in section 5373 of title 5, United
States Code, relating to pay set by administrative action,
shall apply to the rates of pay prescribed under this
paragraph.
``(f) Acceptance of Gifts.--(1) The Chief Operating Officer may
accept gifts of money, property, and facilities on behalf of the
Retirement Home.
``(2) Monies received as gifts, or realized from the disposition of
property and facilities received as gifts, shall be deposited in the
Armed Forces Retirement Home Trust Fund.''.
(b) Transfer of Authorities.--(1) The following provisions are
amended by striking ``Retirement Home Board'' each place it appears and
inserting ``Chief Operating Officer'':
(A) Section 1512 (24 U.S.C. 412), relating to eligibility
and acceptance for residence in the Armed Forces Retirement
Home.
(B) Section 1513(a) (24 U.S.C. 412(a)), relating to
services provided to residents of the Armed Forces Retirement
Home.
(C) Section 1518(c) (24 U.S.C. 418(c)), relating to
inspection of the Armed Forces Retirement Home.
(2) Section 1519(c) (24 U.S.C. 419(c)), relating to authority to
invest funds in the Armed Forces Retirement Home Trust Fund, is amended
by striking ``Director'' and inserting ``Chief Operating Officer''.
(3) Section 1521(a) (24 U.S.C. 421(a)), relating to payment of
residents for services, is amended by striking ``Chairman of the Armed
Forces Retirement Board'' and inserting ``Chief Operating Officer''.
(4) Section 1522 (24 U.S.C. 422), relating to authority to accept
certain uncompensated services, is amended--
(A) in subsection (a)--
(i) by striking ``Chairman of the Retirement Home
Board or the Director of each establishment'' and
inserting ``Chief Operating Officer or the Director of
a facility''; and
(ii) by striking ``unless'' and all that follows
through ``Retirement Home Board'';
(B) in subsection (b)(1)--
(i) by striking ``Chairman of the Retirement Home
Board or the Director of the establishment'' and
inserting ``Chief Operating Officer or the Director of
a facility''; and
(ii) by inserting ``offering the services'' after
``notify the person'';
(C) in subsection (b)(2), by striking ``Chairman'' and
inserting ``Chief Operating Officer'';
(D) in subsection (c), by striking ``Chairman of the
Retirement Home Board or the Director of an establishment'' and
inserting ``Chief Operating Officer or the Director of a
facility''; and
(E) in subsection (e)--
(i) by striking ``Chairman of the Retirement Board
or the Director of the establishment'' in the first
sentence and inserting ``Chief Operating Officer or the
Director of a facility''; and
(ii) by striking ``Chairman'' in the second
sentence and inserting ``Chief Operating Officer''.
(5) Section 1523(b) (24 U.S.C. 423(b)), relating to preservation of
historic buildings and grounds at the Armed Forces Retirement Home--
Washington, is amended by striking ``Chairman of the Retirement Home
Board'' and inserting ``Chief Operating Officer''.
SEC. 1045. RESIDENTS OF RETIREMENT HOME.
(a) Repeal of Requirement of Resident To Reapply After Substantial
Absence.--Subsection (e) of section 1512 (24 U.S.C. 412) is repealed.
(b) Fees Paid by Residents.--Section 1514 (24 U.S.C. 414) is
amended to read as follows:
``SEC. 1514. FEES PAID BY RESIDENTS.
``(a) Monthly Fees.--The Director of each facility of the
Retirement Home shall collect a monthly fee from each resident of that
facility.
``(b) Deposit of Fees.--The Directors shall deposit fees collected
under subsection (a) in the Armed Forces Retirement Home Trust Fund.
``(c) Fixing Fees.--(1) The Chief Operating Officer, with the
approval of the Secretary of Defense, shall from time to time prescribe
the fees required by subsection (a). Changes to such fees shall be
based on the financial needs of the Retirement Home and the ability of
the residents to pay. A change of a fee may not take effect until 120
days after the Secretary of Defense transmits a notification of the
change to the Committees on Armed Services of the Senate and the House
of Representatives.
``(2) The fee shall be fixed as a percentage of the monthly income
and monthly payments (including Federal payments) received by a
resident. The fee shall be subject to a limitation on maximum monthly
amount. The percentage shall be the same for each facility of the
Retirement Home. The Secretary of Defense may make any adjustment in a
percentage or limitation on maximum amount that the Secretary
determines appropriate.
``(d) Transitional Fee Structures.--(1) Until different fees are
prescribed and take effect under subsection (c), the percentages and
limitations on maximum monthly amount that are applicable to fees
charged residents of the Retirement Home are (subject to any adjustment
that the Secretary of Defense determines appropriate) as follows:
``(A) For months beginning before January 1, 2002--
``(i) for a permanent health care resident, 65
percent (without limitation on maximum monthly amount);
and
``(ii) for a resident who is not a permanent health
care resident, 40 percent (without limitation on
maximum monthly amount).
``(B) For months beginning after December 31, 2001--
``(i) for an independent living resident, 35
percent, but not to exceed $1,000 each month;
``(ii) for an assisted living resident, 40 percent,
but not to exceed $1,500 each month; and
``(iii) for a long-term care resident, 65 percent,
but not to exceed $2,500 each month.
``(2) Notwithstanding the limitations on maximum monthly amount
prescribed under subsection (c) or set forth in paragraph (1)(B), until
an independent living resident or assisted living resident of the Armed
Forces Retirement Home--Gulfport occupies a renovated room at that
facility, as determined by the Secretary of Defense, the limitation on
maximum monthly amount applicable to the resident for months beginning
after December 31, 2001, shall be--
``(A) in the case of an independent living resident, $800;
and
``(B) in the case of an assisted living resident, $1,300.
SEC. 1046. LOCAL BOARDS OF TRUSTEES.
Section 1516 (24 U.S.C. 416) is amended to read as follows:
``SEC. 1516. LOCAL BOARDS OF TRUSTEES.
``(a) Establishment.--Each facility of the Retirement Home shall
have a Local Board of Trustees.
``(b) Duties.--The Local Board for a facility shall serve in an
advisory capacity to the Director of the facility and to the Chief
Operating Officer.
``(c) Composition.--(1) The Local Board for a facility shall
consist of at least 11 members who (except as otherwise specifically
provided) shall be appointed by the Secretary of Defense in
consultation with each of the Secretaries of the military departments
concerned. At least one member of the Local Board shall have a
perspective that is oriented toward the Retirement Home overall. The
Local Board for a facility shall consist of the following members:
``(A) One member who is a civilian expert in nursing home
or retirement home administration and financing from the
geographical area of the facility.
``(B) One member who is a civilian expert in gerontology
from the geographical area of the facility.
``(C) One member who is a service expert in financial
management.
``(D) One representative of the Department of Veterans
Affairs regional office nearest in proximity to the facility,
who shall be designated by the Secretary of Veterans Affairs.
``(E) One representative of the resident advisory committee
or council of the facility, who shall be a nonvoting member.
``(F) One enlisted representative of the Services' Retiree
Advisory Council.
``(G) The senior noncommissioned officer of one of the
Armed Forces.
``(H) One senior representative of the military hospital
nearest in proximity to the facility.
``(I) One senior judge advocate from one of the Armed
Forces.
``(J) The Director of the facility, who shall be a
nonvoting member.
``(K) One senior representative of one of the chief
personnel officers of the Armed Forces.
``(L) Other members designated by the Secretary of Defense
(if the Local Board is to have more than 11 members).
``(2) The Secretary of Defense shall designate one member of a
Local Board to serve as the chairman of the Local Board at the pleasure
of the Secretary of Defense.
``(d) Terms.--(1) Except as provided in subsections (e), (f), and
(g), the term of office of a member of a Local Board shall be five
years.
``(2) Unless earlier terminated by the Secretary of Defense, a
person may continue to serve as a member of the Local Board after the
expiration of the member's term until a successor is appointed or
designated, as the case may be.
``(e) Early Expiration of Term.--A member of a Local Board who is a
member of the Armed Forces or an employee of the United States serves
as a member of the Local Board only for as long as the member is
assigned to or serving in a position for which the duties include the
duty to serve as a member of the Local Board.
``(f) Vacancies.--(1) A vacancy in the membership of a Local Board
shall be filled in the manner in which the original appointment or
designation was made, as the case may be.
``(2) A member appointed or designated to fill a vacancy occurring
before the end of the term of the predecessor of the member shall be
appointed or designated, as the case may be, for the remainder of the
term for which the predecessor was appointed.
``(3) A vacancy in a Local Board shall not affect its authority to
perform its duties.
``(g) Early Termination.--The Secretary of Defense may terminate
the appointment of a member of a Local Board before the expiration of
the member's term for any reason that the Secretary determines
appropriate.
``(h) Compensation.--(1) Except as provided in paragraph (2), a
member of a Local Board shall--
``(A) be provided a stipend consistent with the daily
government consultant fee for each day on which the member is
engaged in the performance of services for the Local Board; and
``(B) while away from home or regular place of business in
the performance of services for the Local Board, be allowed
travel expenses (including per diem in lieu of subsistence) in
the same manner as a person employed intermittently in
Government under sections 5701 through 5707 of title 5, United
States Code.
``(2) A member of a Local Board who is a member of the Armed Forces
on active duty or a full-time officer or employee of the United States
shall receive no additional pay by reason of serving a member of a
Local Board.''.
SEC. 1047. DIRECTORS, DEPUTY DIRECTORS, AND STAFF OF FACILITIES.
Section 1517 (24 U.S.C. 417) is amended to read as follows:
``SEC. 1517. DIRECTORS, DEPUTY DIRECTORS, AND STAFF OF FACILITIES.
``(a) Appointment.--The Secretary of Defense shall appoint a
Director and a Deputy Director for each facility of the Retirement
Home.
``(b) Director.--The Director of a facility shall--
``(1) be a member of the Armed Forces serving on active
duty in a grade above lieutenant colonel or commander;
``(2) have appropriate leadership and management skills;
and
``(3) be required to pursue a course of study to receive
certification as a retirement facilities director by an
appropriate civilian certifying organization, if the Director
is not so certified at the time of appointment.
``(c) Duties of Director.--(1) The Director of a facility shall be
responsible for the day-to-day operation of the facility, including the
acceptance of applicants to be residents of that facility.
``(2) The Director of a facility shall keep accurate and complete
records of the facility.
``(d) Deputy Director.--(1) The Deputy Director of a facility
shall--
``(A) be a civilian with experience as a continuing care
retirement community professional; and
``(B) have appropriate leadership and management skills.
``(2) The Deputy Director of a facility shall--
``(A) be appointed without regard to the provisions of
title 5, United States Code, governing appointments in the
competitive service; and
``(B) serve at the pleasure of the Secretary of Defense,
without regard to the provisions of title 5, United States
Code.
``(e) Duties of Deputy Director.--The Deputy Director of a facility
shall, under the authority, direction, and control of the Director of
the facility, perform such duties as the Director may assign.
``(f) Staff.--(1) The Director of a facility may, subject to the
approval of the Chief Operating Officer, appoint and prescribe the pay
of such principal staff as the Director considers appropriate to assist
the Director in operating the facility.
``(2) The principal staff of a facility shall include persons with
experience and expertise in the operation and management of retirement
homes and in the provision of long-term medical care for older persons.
``(3) The Director of a facility may exercise the authority under
paragraph (1) without regard to the provisions of title 5, United
States Code, governing appointments in the competitive service,
classification, and pay, except that the limitations in section 5373 of
such title (relating to pay set by administrative action) shall apply
to the rates of pay prescribed under this paragraph.
``(g) Annual Evaluation of Directors.--(1) The Chief Operating
Officer shall evaluate the performance of each of the Directors of the
facilities of the Retirement Home each year.
``(2) The Chief Operating Officer shall submit to the Secretary of
Defense any recommendations regarding a Director that the Chief
Operating Officer determines appropriate taking into consideration the
annual evaluation.''.
SEC. 1048. DISPOSITION OF EFFECTS OF DECEASED PERSONS AND UNCLAIMED
PROPERTY.
(a) Legal Representation for Retirement Home.--Subsection (b)(2)(A)
of section 1520 (24 U.S.C. 420) is amended by inserting ``who is a
full-time officer or employee of the United States or a member of the
Armed Forces on active duty'' after ``may designate an attorney''.
(b) Correction of Reference.--Subsection (b)(1)(B) of such section
is amended by inserting ``Armed Forces'' before ``Retirement Home Trust
Fund''.
SEC. 1049. TRANSITIONAL PROVISIONS.
Part B is amended by striking sections 1531, 1532, and 1533 and
inserting the following:
``SEC. 1531. TEMPORARY CONTINUATION OF ARMED FORCES RETIREMENT HOME
BOARD.
``Until the Secretary of Defense appoints the first Chief Operating
Officer after the enactment of the National Defense Authorization Act
for Fiscal Year 2002, the Armed Forces Retirement Home Board, as
constituted on the day before the date of the enactment of that Act,
shall continue to serve and shall perform the duties of the Chief
Operating Officer.
``SEC. 1532. TEMPORARY CONTINUATION OF DIRECTOR OF THE ARMED FORCES
RETIREMENT HOME--WASHINGTON.
``The person serving as the Director of the Armed Forces Retirement
Home--Washington on the day before the enactment of the National
Defense Authorization Act for Fiscal Year 2002 may continue to serve as
the Director of that facility until April 2, 2002.
``SEC. 1533. TEMPORARY CONTINUATION OF INCUMBENT DEPUTY DIRECTORS.
``A person serving as the Deputy Director of a facility of the
Retirement Home on the day before the enactment of the National Defense
Authorization Act for Fiscal Year 2002 may continue to serve, at the
pleasure of the Secretary of Defense, as the Deputy Director until the
date on which a Deputy Director is appointed for that facility under
section 1517, except that the service in that position may not continue
under this section after December 31, 2004.''.
SEC. 1050. CONFORMING AND CLERICAL AMENDMENTS AND REPEALS OF OBSOLETE
PROVISIONS.
(a) Conforming Amendments.--(1) Section 1513(b) (24 U.S.C. 413(b)),
relating to services provided to residents of the Armed Forces
Retirement Home, is amended by striking ``maintained as a separate
establishment'' in the second sentence.
(2) The heading for section 1519 (24 U.S.C. 419) is amended to read
as follows:
``SEC. 1519. ARMED FORCES RETIREMENT HOME TRUST FUND.''.
(3) Section 1520 (24 U.S.C. 420), relating to disposition of
effects of deceased persons and unclaimed property, is amended--
(A) in subsection (a), by striking ``each facility that is
maintained as a separate establishment'' and inserting ``a
facility'';
(B) in subsection (b)(2)(A), by striking ``maintained as a
separate establishment''; and
(C) in subsection (e), by striking ``Directors'' and
inserting ``Director of the facility''.
(4)(A) Section 1523 (24 U.S.C. 423), relating to preservation of
historic buildings and grounds at the Armed Forces Retirement Home--
Washington, is amended by striking ``United States Soldiers' and
Airmen's Home'' each place it appears and inserting ``Armed Forces
Retirement Home--Washington''.
(B) The heading for such section is amended to read as follows:
``SEC. 1523. PRESERVATION OF HISTORIC BUILDINGS AND GROUNDS AT THE
ARMED FORCES RETIREMENT HOME--WASHINGTON.''.
(5) Section 1524 (24 U.S.C. 424), relating to conditional
supervisory control of the Retirement Home Board, is repealed.
(b) Repeal of Obsolete Provisions.--The following provisions are
repealed:
(1) Section 1512(f) (24 U.S.C. 412(f)), relating to the
applicability of certain eligibility requirements.
(2) Section 1519(d) (24 U.S.C. 419(d)), relating to
transitional accounts in the Armed Forces Retirement Home Trust
Fund.
(3) Part C, relating to effective date and authorization of
appropriations.
(c) Addition of Table of Contents.--Title XV of the National
Defense Authorization Act for Fiscal Year 1991 (Public Law 101-510; 104
Stat. 1722) is amended by inserting after the heading for such title
the following:
``Sec. 1501. Short title.
``Sec. 1502. Definitions.
``Part A--Establishment and Operation of Retirement Home
``Sec. 1511. Establishment of the Armed Forces Retirement Home.
``Sec. 1512. Residents of Retirement Home.
``Sec. 1513. Services provided residents.
``Sec. 1514. Fees paid by residents.
``Sec. 1515. Chief Operating Officer.
``Sec. 1516. Local Boards of Trustees.
``Sec. 1517. Directors, Deputy Directors, and staff of facilities.
``Sec. 1518. Inspection of Retirement Home.
``Sec. 1519. Armed Forces Retirement Home Trust Fund.
``Sec. 1520. Disposition of effects of deceased persons; unclaimed
property.
``Sec. 1521. Payment of residents for services.
``Sec. 1522. Authority to accept certain uncompensated services.
``Sec. 1523. Preservation of historic buildings and grounds at the
Armed Forces Retirement Home--Washington.
``Part B--Transitional Provisions
``Sec. 1531. Temporary Continuation of Armed Forces Retirement Home
Board.
``Sec. 1532. Temporary Continuation of Director of the Armed Forces
Retirement Home--Washington.
``Sec. 1533. Temporary Continuation of Incumbent Deputy Directors.''.
SEC. 1051. AMENDMENTS OF OTHER LAWS.
(a) Employee Performance Appraisals.--Section 4301(2) of title 5,
United States Code, is amended--
(1) by striking ``or'' at the end of subparagraph (G);
(2) by striking ``and'' at the end of subparagraph (H) and
inserting ``or''; and
(3) by inserting at the end the following new subparagraph:
``(I) the Chief Operating Officer and the Deputy
Directors of the Armed Forces Retirement Home; and''.
(b) Exclusion of Certain Officers From Certain Limitations
Applicable to General and Flag Officers on Active Duty.--(1) Section
525 of title 10, United States Code, is amended by adding at the end
the following new subsection:
``(e) An officer while serving as a Director of the Armed Forces
Retirement Home, if serving in the grade of major general or rear
admiral, is in addition to the number that would otherwise be permitted
for that officer's armed force for that grade under subsection (a).''.
(2)(A) Section 526 of such title is amended by adding at the end
the following new subsection:
``(e) Exclusion of Directors of Armed Forces Retirement Home.--The
limitations of this section do not apply to a general or flag officer
while the officer is assigned as the Director of a facility of the
Armed Forces Retirement Home.''.
(B) Subsection (d) of such section is amended by inserting
``Reserve Component'' after ``Exclusion of Certain''.
(3) Section 688(e)(2) of such title is amended by adding at the end
the following new subparagraph:
``(D) A general officer or flag officer assigned as the
Director of a facility of the Armed Forces Retirement Home for
the period of active duty to which ordered.''.
(4) Section 690 of title 10, United States Code, is amended--
(A) in subsection (a)--
(i) by striking the second sentence and inserting
the following: ``The following officers are not counted
for the purposes of this subsection:''; and
(ii) by adding at the end the following:
``(1) A retired officer ordered to active duty for a period
of 60 days or less.
``(2) A general or flag officer who is assigned as the
Director of a facility of the Armed Forces Retirement Home for
the period of active duty to which ordered.''; and
(B) in subsection (b), by adding at the end of paragraph
(2) the following new subparagraph:
``(E) A general officer or flag officer assigned as the
Director of a facility of the Armed Forces Retirement Home for
the period of active duty to which ordered.''.
Subtitle E--Other Matters
SEC. 1061. REQUIREMENT TO CONDUCT CERTAIN PREVIOUSLY AUTHORIZED
EDUCATIONAL PROGRAMS FOR CHILDREN AND YOUTH.
(a) National Guard Challenge Program.--Section 509(a) of title 32,
United States Code, is amended by striking ``The Secretary of Defense
may'' and inserting ``The Secretary of Defense shall''.
(b) STARBASE Program.--Section 2193b(a) of title 10, United States
Code, is amended by striking ``The Secretary of Defense may'' and
inserting ``The Secretary of Defense shall''.
SEC. 1062. AUTHORITY TO ENSURE DEMILITARIZATION OF SIGNIFICANT MILITARY
EQUIPMENT FORMERLY OWNED BY THE DEPARTMENT OF DEFENSE.
(a) Prohibition.--It is unlawful for any person to possess
significant military equipment formerly owned by the Department of
Defense unless--
(1) the military equipment has been demilitarized in
accordance with standards prescribed by the Secretary of
Defense;
(2) the person is in possession of the military equipment
for the purpose of demilitarizing the equipment pursuant to a
Federal Government contract; or
(3) the person is specifically authorized by law or
regulation to possess the military equipment.
(b) Referral to Attorney General.--The Secretary of Defense shall
notify the Attorney General of any potential violation of subsection
(a) of which the Secretary becomes aware.
(c) Authority To Require Demilitarization.--(1) The Attorney
General may require any person who, in violation of subsection (a), is
in possession of significant military equipment formerly owned by the
Department of Defense--
(A) to demilitarize the equipment;
(B) to have the equipment demilitarized by a third party;
or
(C) to return the equipment to the Federal Government for
demilitarization.
(2) When the demilitarization of significant military equipment is
carried out pursuant to subparagraph (A) or (B) of paragraph (1), an
officer or employee of the United States designated by the Attorney
General shall have the right to confirm, by inspection or other means
authorized by the Attorney General, that the equipment has been
demilitarized.
(3) If significant military equipment is not demilitarized or
returned to the Federal Government for demilitarization as required
under paragraph (1) within a reasonable period after the Attorney
General notifies the person in possession of the equipment of the
requirement to do so, the Attorney General may request that a court of
the United States issue a warrant authorizing the seizure of the
military equipment in the same manner as is provided for a search
warrant. If the court determines that there is probable cause to
believe that the person is in possession of significant military
equipment in violation of subsection (a), the court shall issue a
warrant authorizing the seizure of such equipment.
(d) Demilitarization of Equipment.--(1) The Attorney General shall
transfer any military equipment returned to the Federal Government or
seized pursuant to subsection (c) to the Department of Defense for
demilitarization.
(2) If the person in possession of significant military equipment
obtained the equipment in accordance with any other provision of law,
the Secretary of Defense shall bear all costs of transportation and
demilitarization of the equipment and shall either--
(A) return the equipment to the person upon completion of
the demilitarization; or
(B) reimburse the person for the cost incurred by that
person to acquire the equipment if the Secretary determines
that the cost to demilitarize and return the property to the
person would be prohibitive.
(e) Establishment of Demilitarization Standards.--(1) The Secretary
of Defense shall prescribe regulations regarding the demilitarization
of military equipment.
(2) The regulations shall be designed to ensure that--
(A) the equipment, after demilitarization, does not
constitute a significant risk to public safety and does not
have--
(i) a significant capability for use as a weapon;
or
(ii) a uniquely military capability; and
(B) any person from whom private property is taken for
public use under this section receives just compensation for
the taking of the property.
(3) The regulations shall, at a minimum, define--
(A) the classes of significant military equipment requiring
demilitarization before disposal; and
(B) what constitutes demilitarization for each class of
significant military equipment.
(f) Definition of Significant Military Equipment.--In this section,
the term ``significant military equipment'' means equipment that has a
capability described in clause (i) or (ii) of subsection (e)(2) and--
(1) is a defense article listed on the United States
Munitions List maintained under section 38 of the Arms Export
Control Act (22 U.S.C. 2778) that is designated on that list as
significant military equipment; or
(2) is designated by the Secretary of Defense under the
regulations prescribed under subsection (e) as being equipment
that it is necessary in the interest of public safety to
demilitarize before disposal by the United States.
SEC. 1063. CONVEYANCES OF EQUIPMENT AND RELATED MATERIALS LOANED TO
STATE AND LOCAL GOVERNMENTS AS ASSISTANCE FOR EMERGENCY
RESPONSE TO A USE OR THREATENED USE OF A WEAPON OF MASS
DESTRUCTION.
Section 1412(e) of the Defense Against Weapons of Mass Destruction
Act of 1996 (title XIV of Public Law 104-201; 110 Stat. 2718; 50 U.S.C.
2312(e)) is amended by adding at the end the following new paragraph:
``(5) A conveyance of ownership of United States property
to a State or local government, without cost and without regard
to subsection (f) and title II of the Federal Property and
Administrative Services Act of 1949 (or any other provision of
law relating to the disposal of property of the United States),
if the property is equipment, or equipment and related
materials, that is in the possession of the State or local
government on the date of the enactment of the National Defense
Authorization Act for Fiscal Year 2002 pursuant to a loan of
the property as assistance under this section.''.
SEC. 1064. AUTHORITY TO PAY GRATUITY TO MEMBERS OF THE ARMED FORCES AND
CIVILIAN EMPLOYEES OF THE UNITED STATES FOR SLAVE LABOR
PERFORMED FOR JAPAN DURING WORLD WAR II.
(a) Payment of Gratuity Authorized.--The Secretary of Veterans
Affairs may pay a gratuity to a covered veteran or civilian internee,
or to the surviving spouse of a covered veteran or civilian internee,
in the amount of $20,000.
(b) Covered Veteran or Civilian Internee Defined.--In this section,
the term ``covered veteran or civilian internee'' means any individual
who--
(1) was a member of the Armed Forces, a civilian employee
of the United States, or an employee of a contractor of the
United States during World War II;
(2) served in or with United States combat forces during
World War II;
(3) was captured and held as a prisoner of war or prisoner
by Japan in the course of such service; and
(4) was required by the Imperial Government of Japan, or
one or more Japanese corporations, to perform slave labor
during World War II.
(c) Relationship to Other Payments.--Any amount paid a person under
this section for activity described in subsection (b) is in addition to
any other amount paid such person for such activity under any other
provision of law.
SEC. 1065. RETENTION OF TRAVEL PROMOTIONAL ITEMS.
(a) In General.--To the extent provided in subsection (b), a
Federal employee, member of the foreign service, member of a uniformed
service, any family member or dependent of such an employee or member,
or other individual traveling at Government expense who receives a
promotional item (including frequent flyer miles, upgrades, or access
to carrier clubs or facilities) as a result of using travel or
transportation services procured by the United States or accepted under
section 1353 of title 31, United States Code, may retain the
promotional item for personal use if the promotional item is obtained
under the same terms as those offered to the general public and at no
additional cost to the Government.
(b) Applicability to Executive Branch Only.--Subsection (a)--
(1) applies only to travel that is at the expense of the
executive branch; and
(2) does not apply to travel by any officer, employee, or
other official of the Government outside the executive branch.
(c) Conforming Amendment.--Section 6008 of the Federal Acquisition
Streamlining Act of 1994 (Public Law 103-355; 5 U.S.C. 5702 note) is
amended by adding at the end the following new subsection:
``(d) Inapplicability to Executive Branch.--The guidelines issued
under subsection (a) and the requirement under subsection (b) shall not
apply to any agency of the executive branch or to any Federal employee
or other personnel in the executive branch.''.
(d) Applicability.--This section shall apply with respect to
promotional items received before, on, or after the date of enactment
of this Act.
TITLE XI--DEPARTMENT OF DEFENSE CIVILIAN PERSONNEL POLICY
Subtitle A--Intelligence Personnel
SEC. 1101. AUTHORITY TO INCREASE MAXIMUM NUMBER OF POSITIONS IN THE
DEFENSE INTELLIGENCE SENIOR EXECUTIVE SERVICE.
Section 1606(a) of title 10, United States Code, is amended by
striking ``517.'' and inserting the following: ``517, except that the
Secretary may increase such maximum number by one position for each
Senior Intelligence Service position in the Central Intelligence Agency
that is permanently eliminated by the Director of Central Intelligence
after the date of the enactment of the National Defense Authorization
Act for Fiscal Year 2002. In no event may the number of positions in
the Defense Intelligence Senior Executive Service exceed 544.''.
SEC. 1102. CONTINUED APPLICABILITY OF CERTAIN CIVIL SERVICE PROTECTIONS
FOR EMPLOYEES INTEGRATED INTO THE NATIONAL IMAGERY AND
MAPPING AGENCY FROM THE DEFENSE MAPPING AGENCY.
Section 1612(b) of title 10, United States Code, is amended by
adding at the end the following new paragraph:
``(4)(A) If not otherwise applicable to an employee described in
subparagraph (B), subchapters II and IV of chapter 75 of title 5 shall
continue to apply to the employee for as long as the employee serves on
and after October 1, 1996, without a break in service, as an employee
of the Department of Defense in any position, or successively in two or
more positions, in the National Imagery and Mapping Agency.
``(B) This paragraph applies to a person who--
``(i) on September 30, 1996, was employed as an employee of
the Department of Defense in a position in the Defense Mapping
Agency to whom subchapters II and IV of title 5 applied; and
``(ii) on October 1, 1996, became an employee of the
National Imagery and Mapping Agency under paragraph 1601(a) of
this title.''.
Subtitle B--Matters Relating to Retirement
SEC. 1111. FEDERAL EMPLOYMENT RETIREMENT CREDIT FOR NONAPPROPRIATED
FUND INSTRUMENTALITY SERVICE.
(a) Civil Service Retirement System.--(1) Section 8332(b) of title
5, United States Code, is amended--
(A) by striking ``and'' at the end of paragraph (15);
(B) by striking the period at the end of paragraph (16) and
inserting ``; and'';
(C) by inserting after paragraph (16) the following new
paragraph:
``(17) service performed by any individual as an employee
of a nonappropriated fund instrumentality of the Department of
Defense or the Coast Guard described in section 2105(c) of this
title that is not covered by paragraph (16), if the individual
elects (in accordance with regulations prescribed by the
Office) at the time of separation from service to have such
service credited under this paragraph.'';
(D) in the last sentence, by inserting ``or (17)'' after
``service of the type described in paragraph (16)''; and
(E) by inserting after the last sentence the following:
``Service credited under paragraph (17) may not also be
credited under any other retirement system provided for
employees of a nonappropriated fund instrumentality.''.
(2) Section 8334 of such title is amended by adding at the end the
following new subsection:
``(o) Notwithstanding subsection (c), no deposit may be made with
respect to service credited under section 8332(b)(17) of this title.''.
(3) Section 8339 of such title is amended by adding at the end the
following new subsection:
``(u) The annuity of an employee retiring under this subchapter
with service credited under section 8332(b)(17) of this title shall be
reduced to the maximum amount necessary to ensure that the present
value of the annuity payable to the employee is actuarially equivalent
to the present value of the annuity that would be payable to the
employee under this subchapter if it were computed on the basis of
service that does not include service credited under section
8332(b)(17) of this title. The amount of the reduction shall be
computed under regulations prescribed by the Office of Personnel
Management for the administration of this subsection.''.
(b) Federal Employees' Retirement System.--(1) Section 8411 of such
title is amended--
(A) in subsection (b)--
(i) by striking ``and'' at the end of paragraph
(4);
(ii) by striking the period at the end of paragraph
(5) and inserting ``; and''; and
(iii) by inserting after paragraph (5) the
following new paragraph:
``(6) service performed by any individual as an employee of
a nonappropriated fund instrumentality of the Department of
Defense or the Coast Guard described in section 2105(c) of this
title, if the individual elects (in accordance with regulations
prescribed by the Office) at the time of separation from
service to have such service credited under this paragraph.'';
and
(B) by adding at the end the following new subsection:
``(k)(1) The Office of Personnel Management shall accept, for the
purposes if this chapter, the certification of the head of a
nonappropriated fund instrumentality of the United States concerning
service of the type described in subsection (b)(6) that was performed
for such nonappropriated fund instrumentality.
``(2) Service credited under subsection (b)(6) may not also be
credited under any other retirement system provided for employees of a
nonappropriated fund instrumentality.''.
(2)(A) Section 8422 of such title is amended by adding at the end
the following new subsection:
``(g) No deposit may be made with respect to service credited under
section 8411(b)(6) of this title.''.
(B) The heading for such section is amended to read as follows:
``Sec. 8422. Deductions from pay; contributions for other service''.
(C) The item relating to such section in the table of contents at
the beginning of chapter 84 of title 5, United States Code, is amended
to read as follows:
``8422. Deductions from pay; contributions for other service.''.
(3) Section 8415 of such title is amended by adding at the end the
following new subsection:
``(j) The annuity of an employee retiring under this chapter with
service credited under section 8411(b)(6) of this title shall be
reduced to the maximum amount necessary to ensure that the present
value of the annuity payable to the employee under this subchapter is
actuarially equivalent to the present value of the annuity that would
be payable to the employee under this subchapter if it were computed on
the basis of service that does not include service credited under
section 8411(b)(6) of this title. The amount of the reduction shall be
computed under regulations prescribed by the Office of Personnel
Management for the administration of this subsection.''.
(c) Applicability.--The amendments made by this section shall apply
only to separations from service as an employee of the United States on
or after the date of the enactment of this Act.
SEC. 1112. IMPROVED PORTABILITY OF RETIREMENT COVERAGE FOR EMPLOYEES
MOVING BETWEEN CIVIL SERVICE EMPLOYMENT AND EMPLOYMENT BY
NONAPPROPRIATED FUND INSTRUMENTALITIES.
(a) Civil Service Retirement System.--Section 8347(q) of title 5,
United States Code, is amended--
(1) in paragraph (1)--
(A) by inserting ``and'' at the end of subparagraph
(A);
(B) by striking subparagraph (B); and
(C) by redesignating subparagraph (C) as
subparagraph (B); and
(2) in paragraph (2)(B)--
(A) by striking ``vested''; and
(B) by striking ``, as the term'' and all that
follows through ``such system''.
(b) Federal Employees' Retirement System.--Section 8461(n) of such
title is amended--
(1) in paragraph (1)--
(A) by inserting ``and'' at the end of subparagraph
(A);
(B) by striking subparagraph (B); and
(C) by redesignating subparagraph (C) as
subparagraph (B); and
(2) in paragraph (2)(B)--
(A) by striking ``vested''; and
(B) by striking ``, as the term'' and all that
follows through ``such system''.
SEC. 1113. REPEAL OF FISCAL YEAR 2003 LIMITATION ON EXERCISE OF
VOLUNTARY SEPARATION INCENTIVE PAY AUTHORITY AND
VOLUNTARY EARLY RETIREMENT AUTHORITY.
Section 1153(b)(2) 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-323) is amended by striking ``during
fiscal years 2002 and 2003'' and inserting ``during fiscal year 2002''.
Subtitle C--Other Matters
SEC. 1121. HOUSING ALLOWANCE FOR THE CHAPLAIN FOR THE CORPS OF CADETS
AT THE UNITED STATES MILITARY ACADEMY.
Section 4337 of title 10, United States Code, is amended by
striking the second sentence and inserting the following: ``The
chaplain is entitled to a housing allowance equal to the basic
allowance for housing that is applicable for an officer in pay grade O-
5 at the Academy under section 403 of title 37, and to fuel and light
for quarters in kind.''.
SEC. 1122. STUDY OF ADEQUACY OF COMPENSATION PROVIDED FOR TEACHERS IN
THE DEPARTMENT OF DEFENSE OVERSEAS DEPENDENTS' SCHOOLS.
(a) Requirement for Study.--The Comptroller General shall carry out
a study of the adequacy of the pay and other elements of the
compensation provided for teachers in the defense dependents' education
system established under the Defense Dependents' Education Act of 1978
(20 U.S.C. 921 et seq.).
(b) Specific Considerations.--In carrying out the study, the
Comptroller General shall consider the following issues:
(1) Whether the compensation is adequate for recruiting and
retaining high quality teachers.
(2) Whether any revision of the Defense Department Overseas
Teachers Pay and Personnel Practices Act (20 U.S.C. 901 et seq)
or the regulations under that Act is advisable to address any
problems identified with respect to the recruitment and
retention of high quality teachers or for other purposes.
(c) Report.--The Comptroller General shall submit a report on the
results of the study to Congress not later than March 1, 2002. The
report shall include the following:
(1) The Comptroller General's conclusions on the issues
considered.
(2) Any recommendations for actions that the Comptroller
General considers appropriate.
SEC. 1123. PILOT PROGRAM FOR PAYMENT OF RETRAINING EXPENSES INCURRED BY
EMPLOYERS OF PERSONS INVOLUNTARILY SEPARATED FROM
EMPLOYMENT BY THE DEPARTMENT OF DEFENSE.
(a) Authority.--The Secretary of Defense may carry out a pilot
program in accordance with this section to facilitate the reemployment
of employees of the Department of Defense who are being separated as
described in subsection (b) by providing employers outside the Federal
Government with retraining incentive payments to encourage those
employers to hire, train, and retain such employees.
(b) Covered Employees.--A retraining incentive payment may be made
under subsection (c) with respect to a person who--
(1) has been involuntarily separated from employment by the
United States due to--
(A) a reduction in force (within the meaning of
chapter 35 of title 5, United States Code); or
(B) a relocation resulting from a transfer of
function (within the meaning of section 3503 of title
5, United States Code), realignment, or change of duty
station; and
(2) when separated--
(A) was employed without time limitation in a
position in the Department of Defense;
(B) had been employed in such position or any
combination of positions in the Department of Defense
for a continuous period of at least one year;
(C) was not a reemployed annuitant under subchapter
III of chapter 83 of title 5, United States Code,
chapter 84 of such title, or another retirement system
for employees of the Federal Government;
(D) was not eligible for an immediate annuity under
subchapter III of chapter 83 of title 5, United States
Code, or subchapter II of chapter 84 of such title; and
(E) was not eligible for disability retirement
under any of the retirement systems referred to in
subparagraph (C).
(c) Retraining Incentive.--(1) Under the pilot program, the
Secretary may pay a retraining incentive to any person outside the
Federal Government that, pursuant to an agreement entered into under
subsection (d), employs a former employee of the United States referred
to in subsection (b).
(2) For employment of a former employee that is continuous for one
year, the amount of any retraining incentive paid to the employer under
paragraph (1) shall be the lesser of--
(A) the amount equal to the total cost incurred by the
employer for any necessary training provided to the former
employee in connection with the employment by that employer, as
determined by the Secretary taking into consideration a
certification by the employer under subsection (d); or
(B) $10,000.
(3) For employment of a former employee that terminates within one
year after the employment begins, the amount of any retraining
incentive paid to the employer under paragraph (1) shall be equal to
the amount that bears the same ratio to the amount computed under
paragraph (2) as the period of continuous employment of the employee by
that employer bears to one year.
(4) The cost of the training of a former employee of the United
States for which a retraining incentive is paid to an employer under
this subsection may include any cost incurred by the employer for
training that commenced for the former employee after the former
employee, while still employed by the Department of Defense, received a
notice of the separation from employment by the United States.
(5) Not more than one retraining incentive may be paid with respect
to a former employee under this subsection.
(d) Employer Agreement.--Under the pilot program, the Secretary
shall enter into an agreement with an employer outside the Federal
Government that provides for the employer--
(1) to employ a person described in subsection (b) for at
least one year for a salary or rate of pay that is mutually
agreeable to the employer and such person; and
(2) to certify to the Secretary the cost incurred by the
employer for any necessary training provided to such person in
connection with the employment of the person by that employer.
(e) Necessary Training.--For the purposes of this section, the
necessity of training provided a former employee of the Department of
Defense shall be determined under regulations prescribed by the
Secretary of Defense for the administration of this section.
(f) Termination of Pilot Program.--No retraining incentive may be
paid under this section for training commenced after September 30,
2005.
TITLE XII--MATTERS RELATING TO OTHER NATIONS
Subtitle A--Cooperative Threat Reduction With States of the Former
Soviet Union
SEC. 1201. 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. 1202. 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,
$133,405,000.
(2) For strategic nuclear arms elimination in Ukraine,
$51,500,000.
(3) For weapons of mass destruction infrastructure
elimination in Ukraine, $6,024,000.
(4) For weapons of mass destruction infrastructure
elimination in Kazakhstan, $6,000,000.
(5) For weapons transportation security in Russia,
$9,500,000.
(6) For weapons storage security in Russia, $56,000,000.
(7) For implementation of a cooperative program with the
Government of Russia to eliminate the production of weapons
grade plutonium at Russian reactors, $41,700,000.
(8) For biological weapons proliferation prevention
activities in the former Soviet Union, $17,000,000.
(9) For chemical weapons destruction in Russia,
$50,000,000.
(10) For activities designated as Other Assessments/
Administrative Support, $13,221,000.
(11) For defense and military contacts, $18,650,000.
(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 (11) 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 any of the
paragraphs of subsection (a) in excess of 115 percent of the amount
specifically authorized for such purposes.
SEC. 1203. CHEMICAL WEAPONS DESTRUCTION.
Section 1305 of the National Defense Authorization Act for Fiscal
Year 2000 (Public Law 106-65; 113 Stat. 794; 22 U.S.C. 5952 note) 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;
``(5) an agreement by Russia to destroy its chemical
weapons production facilities at Volgograd and Novocheboksark;
and
``(6) a demonstrated commitment from the international
community to fund and build infrastructure needed to support
and operate the facility''.
SEC. 1204. MANAGEMENT OF COOPERATIVE THREAT REDUCTION PROGRAMS AND
FUNDS.
(a) Authority Over Management.--The Secretary of Defense shall have
authority, direction, and control over the management of Cooperative
Threat Reduction programs and the funds for such programs.
(b) Executive Agent.--The Defense Threat Reduction Agency shall be
the executive agent of the Department of Defense for the functions of
the Department relating to Cooperative Threat Reduction programs.
(c) Specification of Funds in Department of Defense Budget.--The
budget justification materials submitted to Congress in support of the
budget of the Department of Defense for each fiscal year (as submitted
with the budget of the President under section 1105(a) of title 31,
United States Code) shall include amounts, if any, requested for such
fiscal year for Cooperative Threat Reduction programs.
SEC. 1205. ADDITIONAL MATTER IN ANNUAL REPORT ON ACTIVITIES AND
ASSISTANCE UNDER COOPERATIVE THREAT REDUCTION PROGRAMS.
Section 1308(c) of the Floyd D. Spence National Defense
Authorization Act for Fiscal Year 2001 (at enacted by Public Law 106-
398; 114 Stat. 1654A-341) is amended by adding at the end of the
following new paragraph:
``(6) A description of the amount of the financial
commitment from the international community, and from Russia,
for the chemical weapons destruction facility located at
Shchuch'ye, Russia, for the fiscal year beginning in the year
in which the report is submitted.''.
Subtitle B--Other Matters
SEC. 1211. 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.
(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''.
SEC. 1212. COOPERATIVE RESEARCH AND DEVELOPMENT PROJECTS WITH NATO AND
OTHER COUNTRIES.
(a) Eligibility of Friendly Foreign Countries.--Section 2350a of
title 10, United States Code, is amended--
(1) in subsection (a)--
(A) by inserting ``(1)'' after ``(a) Authority To
Engage in Cooperative R&D Projects.--'';
(B) by striking ``major allies of the United States
or NATO organizations'' and inserting ``countries or
organizations referred to in paragraph (2)''; and
(C) by adding at the end the following new
paragraph:
``(2) The countries and organizations with which the Secretary may
enter into a memorandum of agreement (or other formal agreement) under
paragraph (1) are as follows:
``(A) The North Atlantic Treaty Organization.
``(B) A NATO organization.
``(C) A member nation of the North Atlantic Treaty
Organization.
``(D) A major non-NATO ally.
``(E) Any other friendly foreign country.'';
(2) in subsection (b), by striking ``its major non-NATO
allies'' and inserting ``a country or organization referred to
in subsection (a)(2)'';
(3) in subsection (d)--
(A) in paragraph (1), by striking ``the major
allies of the United States'' and inserting ``countries
and organizations referred to in subsection (a)(2)'';
and
(B) in paragraph (2)--
(i) by striking ``major ally of the United
States'' and inserting ``country or
organization referred to in subsection
(a)(2)''; and
(ii) by striking ``ally's'' and inserting
``country's or organization's'';
(4) in subsection (e)(2)--
(A) in subparagraph (A), by striking ``one or more
of the major allies of the United States'' and
inserting ``any country or organization referred to in
subsection (a)(2)'';
(B) in subparagraph (B), by striking ``major allies
of the United States or NATO organizations'' and
inserting ``countries and organizations referred to in
subsection (a)(2)'';
(C) in subparagraph (C), by striking ``major allies
of the United States'' and inserting ``countries and
organizations referred to in subsection (a)(2)''; and
(D) in subparagraph (D), by striking ``major allies
of the United States'' and inserting ``countries and
organizations referred to in subsection (a)(2)'';
(5) paragraphs (1)(A) and (4)(A) of subsection (g), by
striking ``major allies of the United States and other friendly
foreign countries'' and inserting ``countries referred to in subsection
(a)(2)''; and
(6) in subsection (i)--
(A) in paragraph (1), by striking ``major allies of
the United States or NATO organizations'' and inserting
``countries and organizations referred to in subsection
(a)(2)'';
(B) by striking paragraph (2); and
(C) by redesignating paragraph (4) as paragraph
(2), and by transferring that paragraph, as so
redesignated, within that subsection and inserting the
paragraph after paragraph (1).
(b) Delegation of Authority To Determine Eligibility of Projects.--
Subsection (b)(2) of such section is amended by striking ``or the Under
Secretary of Defense for Acquisition and Technology'' and inserting
``and to one other official of the Department of Defense''.
(c) Revision of Requirement for Annual Report on Eligible
Countries.--Subsection (f)(2) of such section is amended to read as
follows:
``(2) Not later than January 1 of each year, the Secretary of
Defense shall submit to the Committees on Armed Services and on Foreign
Relations of the Senate and to the Committees on Armed Services and on
International Relations of the House of Representatives a report
specifying--
``(A) the countries that are eligible to participate in a
cooperative project agreement under this section; and
``(B) the criteria used to determine the eligibility of
such countries.''.
(d) Conforming Amendments.--(1) The heading of such section is
amended to read as follows:
``Sec. 2350a. Cooperative research and development agreements: NATO and
foreign countries''.
(2) The item relating to such section in the table of sections at
the beginning of subchapter II of chapter 138 of title 10, United
States Code, is amended to read as follows:
``2350a. Cooperative research and development agreements: NATO and
foreign countries.''.
SEC. 1213. INTERNATIONAL COOPERATIVE AGREEMENTS ON USE OF RANGES AND
OTHER FACILITIES FOR TESTING OF DEFENSE EQUIPMENT.
(a) Authority.--Chapter 138 of title 10, United States Code, is
amended by adding at the end the following new section:
``Sec. 2350l. Cooperative use of ranges and other facilities for
testing of defense equipment: agreements with foreign
countries and international organizations
``(a) Authority.--The Secretary of Defense, with the concurrence of
the Secretary of State, may enter into a memorandum of understanding
(or other formal agreement) with a foreign country or international
organization to provide reciprocal access by the United States and such
country or organization to each other's ranges and other facilities for
testing of defense equipment.
``(b) Payment of Costs.--A memorandum or other agreement entered
into under subsection (a) shall include provisions for charging a user
of a range or other facility for test and evaluation services furnished
by the officers, employees, or governmental agencies of the supplying
country or international organization under the memorandum or other
agreement. The provisions for charging a user shall conform to the
following pricing principles:
``(1) The user shall be charged the amount equal to the
direct costs incurred by the country or international
organization to supply the services.
``(2) The user may also be charged indirect costs of the
use of the range or other facility, but only to the extent
specified in the memorandum or other agreement.
``(c) Retention of Funds Collected by the United States.--Amounts
collected from the user of a range or other facility of the United
States under a memorandum of understanding or other formal agreement
entered into under subsection (a) shall be credited to the
appropriation from which the costs incurred by the United States in
providing support for the use of the range or other facility by that
user were paid.
``(d) Delegation of Authority.--The Secretary of Defense may
delegate only to the Deputy Secretary of Defense and to one other
official of the Department of Defense authority to determine the
appropriateness of the amount of indirect costs charged the United
States under a memorandum or other agreement entered into under
subsection (a).
``(e) Definitions.--In this section:
``(1) The term `direct cost', with respect to testing and
evaluation under a memorandum or other agreement entered into
under subsection (a)--
``(A) means any item of cost that--
``(i) is easily and readily identified to a
specific unit of work or output within the
range or other facility where the testing and
evaluation occurred under the memorandum or
other agreement; and
``(ii) would not have been incurred if the
testing and evaluation had not taken place; and
``(B) may include costs of labor, materials,
facilities, utilities, equipment, supplies, and any
other resources of the range or other facility that are
consumed or damaged in connection with--
``(i) the conduct of the test and
evaluation; or
``(ii) the maintenance of the range or
other facility for the use of the country or
international organization under the memorandum
or other agreement.
``(2) The term `indirect cost', with respect to testing and
evaluation under a memorandum or other agreement entered into
under subsection (a)--
``(A) means any item of cost that cannot readily be
identified directly to a specific unit of work or
output; and
``(B) may include general and administrative
expenses for such activities as supporting base
operations, manufacturing, supervision, procurement of
office supplies, and utilities that are accumulated
costs allocated among several users.''.
(b) Clerical Amendment.--The table of sections at the beginning of
such chapter is amended by adding at the end the following new item:
``2350l. Cooperative use of ranges and other facilities for testing of
defense equipment: agreements with foreign
countries and international
organizations.''.
SEC. 1214. CLARIFICATION OF AUTHORITY TO FURNISH NUCLEAR TEST
MONITORING EQUIPMENT TO FOREIGN GOVERNMENTS.
(a) Redesignation of Existing Authority.--(1) Section 2555 of title
10, United States Code, as added by section 1203 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 of that title.
(2) The table of sections at the beginning of chapter 152 of that
title is amended by striking the item relating to section 2555, as so
added, and inserting the following new item:
``2565. Nuclear test monitoring equipment: furnishing to foreign
governments.''.
(b) Clarification of Authority.--Section 2565 of that title, as so
redesignated by subsection (a), is further 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'' at the end;
(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. 1215. PARTICIPATION OF GOVERNMENT CONTRACTORS IN CHEMICAL WEAPONS
INSPECTIONS AT UNITED STATES GOVERNMENT FACILITIES UNDER
THE CHEMICAL WEAPONS CONVENTION.
(a) Authority.--Section 303(b)(2) of the Chemical Weapons
Convention Implementation Act of 1998 (22 U.S.C. 6723(b)(2)) is amended
by inserting after ``designation of employees of the Federal
Government'' the following: ``(and, in the case of an inspection of a
United States Government facility, the designation of contractor
personnel who shall be led by an employee of the Federal Government)''.
(b) Credentials.--Section 304(c) of such Act (22 U.S.C. 6724(c)) is
amended by striking ``Federal government'' and inserting ``Federal
Government (and, in the case of an inspection of a United States
Government facility, any accompanying contractor personnel)''.
SEC. 1216. AUTHORITY TO TRANSFER NAVAL VESSELS TO CERTAIN FOREIGN
COUNTRIES.
(a) Transfers by Grant.--The President is authorized to transfer
vessels to foreign countries on a grant basis under section 516 of the
Foreign Assistance Act of 1961 (22 U.S.C. 2321j) as follows:
(1) Poland.--To the Government of Poland, the OLIVER HAZARD
PERRY class guided missile frigate WADSWORTH (FFG 9).
(2) Turkey.--To the Government of Turkey, the KNOX class
frigates CAPODANNO (FF 1093), THOMAS C. HART (FF 1092), DONALD
B. BEARY (FF 1085), McCANDLESS (FF 1084), REASONER (FF 1063),
and BOWEN (FF 1079).
(b) Transfers by Sale.--The President is authorized to transfer
vessels to foreign governments and foreign governmental entities on a
sale basis under section 21 of the Arms Export Control Act (22 U.S.C.
2761) as follows:
(1) Taiwan.--To the Taipei Economic and Cultural
Representative Office in the United States (which is the Taiwan
instrumentality designated pursuant to section 10(a) of the
Taiwan Relations Act), the KIDD class guided missile destroyers
KIDD (DDG 993), CALLAGHAN (DDG 994), SCOTT (DDG 995), and
CHANDLER (DDG 996).
(2) Turkey.--To the Government of Turkey, the OLIVER HAZARD
PERRY class guided missile frigates ESTOCIN (FFG 15) and SAMUEL
ELIOT MORISON (FFG 13).
(c) Additional Congressional Notification Not Required.--Except as
provided in subsection (d), the following provisions do not apply with
respect to transfers authorized by this section:
(1) Section 516(f) of the Foreign Assistance Act of 1961
(22 U.S.C. 2321j(f)).
(2) Section 524 of the Foreign Operations, Export
Financing, and Related Programs Appropriation Act, 2001 (as
enacted by Public Law 106-429; 114 Stat. 1900A-30) and any
similar successor provision.
(d) Grants Not Counted in Annual Total of Transferred Excess
Defense Articles.--The value of a vessel transferred to another country
on a grant basis under section 516 of the Foreign Assistance Act of
1961 (22 U.S.C. 2321j) pursuant to authority provided by subsection (a)
shall not be counted for the purposes of subsection (g) of that section
in the aggregate value of excess defense articles transferred to
countries under that section in any fiscal year.
(e) Costs of Transfers on Grant Basis.--Any expense incurred by the
United States in connection with a transfer authorized by this section
shall be charged to the recipient (notwithstanding section 516(e)(1) of
the Foreign Assistance Act of 1961 (22 U.S.C. 2321j(e)(1))) in the case
of a transfer authorized to be made on a grant basis under subsection
(a).
(f) Repair and Refurbishment in United States Shipyards.--To the
maximum extent practicable, the President shall require, as a condition
of the transfer of a vessel under this section, that the country to
which the vessel is transferred have such repair or refurbishment of
the vessel as is needed, before the vessel joins the naval forces of
that country, performed at a shipyard located in the United States,
including a United States Navy shipyard.
(g) Expiration of Authority.--The authority to transfer a vessel
under this section shall expire at the end of the 2-year period
beginning on the date of the enactment of this Act.
TITLE XIII--CONTINGENT AUTHORIZATION OF APPROPRIATIONS
SEC. 1301. AUTHORIZATION OF APPROPRIATIONS CONTINGENT ON INCREASED
ALLOCATION OF NEW BUDGET AUTHORITY.
(a) In General.--Notwithstanding any other provision of this Act,
the total amounts authorized to be appropriated under subtitle A of
title I, sections 201, 301, and 302, and division B are authorized to
be appropriated in accordance with those provisions without reduction
under section 1302 only if--
(1) the Chairman of the Committee on the Budget of the
Senate--
(A) determines, for the purposes of section 217(b)
of the Concurrent Resolution on the Budget for Fiscal
Year 2002, that the appropriation of all of the amounts
specified in section 1302 would not, when taken
together with all other previously enacted legislation
(except for legislation enacted pursuant to section 211
of such concurrent resolution) reduce the on-budget
surplus below the level of the Medicare Hospital
Insurance Trust Fund surplus in any fiscal year covered
by the concurrent resolution; and
(B) increases the allocation of new budget
authority for defense spending in accordance with
section 217(a) of the Concurrent Resolution on the
Budget for Fiscal Year 2002; or
(2) the Senate--
(A) by a vote of at least three-fifths of the
Members of the Senate duly chosen and sworn, waives the
point of order under section 302(f) of the
Congressional Budget and Impoundment Control Act of
1974 with respect to an appropriation bill or
resolution that provides new budget authority for the
National Defense major functional category (050) in
excess of the amount specified for the defense category
in section 203(c)(1)(A) of the Concurrent Resolution on
the Budget for Fiscal Year 2002; and
(B) approves the appropriation bill or resolution.
(b) Full or Partial Authorization.--(1) If the total amount of the
new budget authority allocated or available for the National Defense
major functional category (050) for fiscal year 2002 is increased as
described in subsection (a) by at least $18,448,601,000 over the amount
of the new budget authority allocated for that category for fiscal year
2002 by the Concurrent Resolution on the Budget for Fiscal Year 2002,
the reductions under section 1302 shall not be made.
(2) If the total amount of new budget authority allocated or
available for the National Defense major functional category (050) for
fiscal year 2002 is increased as described in subsection (a) by less
than $18,448,601,000 over the amount of the new budget authority
allocated for that category for fiscal year 2002 by the Concurrent
Resolution on the Budget for Fiscal Year 2002, each of the total
amounts referred to in section 1302 shall be reduced by a proportionate
amount of the difference between $18,448,601,000 and the amount of the
increase in the allocated new budget authority.
SEC. 1302. REDUCTIONS.
Until such time as the amount of the new budget authority allocated
or available for the National Defense major functional category (050)
for fiscal year 2002 is increased as described in section 1301(a), the
total amounts authorized to be appropriated by provisions of this Act
are reduced as follows:
(1) For the total amount authorized to be appropriated for
procurement by subtitle A of title I, the reduction is
$2,100,854,000.
(2) For the total amount authorized to be appropriated for
research, development, test and evaluation by section 201, the
reduction is $3,033,434,000.
(3) For the total amount authorized to be appropriated for
operation and maintenance by section 301, the reduction is
$8,737,773,000.
(4) For the total amount authorized to be appropriated for
working capital and revolving funds by section 302, the
reduction is $1,018,394,000.
(5) For the total amount authorized to be appropriated by
division B, the reduction is $348,065,000.
SEC. 1303. REFERENCE TO CONCURRENT RESOLUTION ON THE BUDGET FOR FISCAL
YEAR 2002.
For the purposes of this title, a reference to the Concurrent
Resolution on the Budget for Fiscal Year 2002 is a reference to House
Concurrent Resolution 83 (107th Congress, 1st session).
Calendar No. 158
107th CONGRESS
1st Session
S. 1419
_______________________________________________________________________
A BILL
To authorize appropriations for fiscal year 2002 for military
activities of the Department of Defense, to prescribe personnel
strengths for such fiscal year for the Armed Forces, and for other
purposes.
_______________________________________________________________________
September 12, 2001
Read twice and placed on the calendar