[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2658 Enrolled Bill (ENR)]

        H.R.2658

                       One Hundred Eighth Congress

                                 of the

                        United States of America


                          AT THE FIRST SESSION

          Begun and held at the City of Washington on Tuesday,
           the seventh day of January, two thousand and three


                                 An Act


 
Making appropriations for the Department of Defense for the fiscal year 
           ending September 30, 2004, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled, That the following sums 
are appropriated, out of any money in the Treasury not otherwise 
appropriated, for the fiscal year ending September 30, 2004, for 
military functions administered by the Department of Defense, and for 
other purposes, namely:

                                TITLE I

                           MILITARY PERSONNEL

                        Military Personnel, Army

    For pay, allowances, individual clothing, subsistence, interest on 
deposits, gratuities, permanent change of station travel (including all 
expenses thereof for organizational movements), and expenses of 
temporary duty travel between permanent duty stations, for members of 
the Army on active duty, (except members of reserve components provided 
for elsewhere), cadets, and aviation cadets; and for payments pursuant 
to section 156 of Public Law 97-377, as amended (42 U.S.C. 402 note), 
and to the Department of Defense Military Retirement Fund, 
$28,247,667,000.

                        Military Personnel, Navy

    For pay, allowances, individual clothing, subsistence, interest on 
deposits, gratuities, permanent change of station travel (including all 
expenses thereof for organizational movements), and expenses of 
temporary duty travel between permanent duty stations, for members of 
the Navy on active duty (except members of the Reserve provided for 
elsewhere), midshipmen, and aviation cadets; and for payments pursuant 
to section 156 of Public Law 97-377, as amended (42 U.S.C. 402 note), 
and to the Department of Defense Military Retirement Fund, 
$23,217,298,000.

                    Military Personnel, Marine Corps

    For pay, allowances, individual clothing, subsistence, interest on 
deposits, gratuities, permanent change of station travel (including all 
expenses thereof for organizational movements), and expenses of 
temporary duty travel between permanent duty stations, for members of 
the Marine Corps on active duty (except members of the Reserve provided 
for elsewhere); and for payments pursuant to section 156 of Public Law 
97-377, as amended (42 U.S.C. 402 note), and to the Department of 
Defense Military Retirement Fund, $8,971,897,000.

                     Military Personnel, Air Force

    For pay, allowances, individual clothing, subsistence, interest on 
deposits, gratuities, permanent change of station travel (including all 
expenses thereof for organizational movements), and expenses of 
temporary duty travel between permanent duty stations, for members of 
the Air Force on active duty (except members of reserve components 
provided for elsewhere), cadets, and aviation cadets; and for payments 
pursuant to section 156 of Public Law 97-377, as amended (42 U.S.C. 402 
note), and to the Department of Defense Military Retirement Fund, 
$22,910,868,000.

                        Reserve Personnel, Army

    For pay, allowances, clothing, subsistence, gratuities, travel, and 
related expenses for personnel of the Army Reserve on active duty under 
sections 10211, 10302, and 3038 of title 10, United States Code, or 
while serving on active duty under section 12301(d) of title 10, United 
States Code, in connection with performing duty specified in section 
12310(a) of title 10, United States Code, or while undergoing reserve 
training, or while performing drills or equivalent duty or other duty, 
and for members of the Reserve Officers' Training Corps, and expenses 
authorized by section 16131 of title 10, United States Code; and for 
payments to the Department of Defense Military Retirement Fund, 
$3,568,725,000.

                        Reserve Personnel, Navy

    For pay, allowances, clothing, subsistence, gratuities, travel, and 
related expenses for personnel of the Navy Reserve on active duty under 
section 10211 of title 10, United States Code, or while serving on 
active duty under section 12301(d) of title 10, United States Code, in 
connection with performing duty specified in section 12310(a) of title 
10, United States Code, or while undergoing reserve training, or while 
performing drills or equivalent duty, and for members of the Reserve 
Officers' Training Corps, and expenses authorized by section 16131 of 
title 10, United States Code; and for payments to the Department of 
Defense Military Retirement Fund, $2,002,727,000.

                    Reserve Personnel, Marine Corps

    For pay, allowances, clothing, subsistence, gratuities, travel, and 
related expenses for personnel of the Marine Corps Reserve on active 
duty under section 10211 of title 10, United States Code, or while 
serving on active duty under section 12301(d) of title 10, United 
States Code, in connection with performing duty specified in section 
12310(a) of title 10, United States Code, or while undergoing reserve 
training, or while performing drills or equivalent duty, and for 
members of the Marine Corps platoon leaders class, and expenses 
authorized by section 16131 of title 10, United States Code; and for 
payments to the Department of Defense Military Retirement Fund, 
$571,444,000.

                      Reserve Personnel, Air Force

    For pay, allowances, clothing, subsistence, gratuities, travel, and 
related expenses for personnel of the Air Force Reserve on active duty 
under sections 10211, 10305, and 8038 of title 10, United States Code, 
or while serving on active duty under section 12301(d) of title 10, 
United States Code, in connection with performing duty specified in 
section 12310(a) of title 10, United States Code, or while undergoing 
reserve training, or while performing drills or equivalent duty or 
other duty, and for members of the Air Reserve Officers' Training 
Corps, and expenses authorized by section 16131 of title 10, United 
States Code; and for payments to the Department of Defense Military 
Retirement Fund, $1,288,088,000.

                     National Guard Personnel, Army

    For pay, allowances, clothing, subsistence, gratuities, travel, and 
related expenses for personnel of the Army National Guard while on duty 
under section 10211, 10302, or 12402 of title 10 or section 708 of 
title 32, United States Code, or while serving on duty under section 
12301(d) of title 10 or section 502(f) of title 32, United States Code, 
in connection with performing duty specified in section 12310(a) of 
title 10, United States Code, or while undergoing training, or while 
performing drills or equivalent duty or other duty, and expenses 
authorized by section 16131 of title 10, United States Code; and for 
payments to the Department of Defense Military Retirement Fund, 
$5,500,369,000.

                  National Guard Personnel, Air Force

    For pay, allowances, clothing, subsistence, gratuities, travel, and 
related expenses for personnel of the Air National Guard on duty under 
section 10211, 10305, or 12402 of title 10 or section 708 of title 32, 
United States Code, or while serving on duty under section 12301(d) of 
title 10 or section 502(f) of title 32, United States Code, in 
connection with performing duty specified in section 12310(a) of title 
10, United States Code, or while undergoing training, or while 
performing drills or equivalent duty or other duty, and expenses 
authorized by section 16131 of title 10, United States Code; and for 
payments to the Department of Defense Military Retirement Fund, 
$2,174,598,000.

                                TITLE II

                       OPERATION AND MAINTENANCE

                    Operation and Maintenance, Army


                      (including transfer of funds)

    For expenses, not otherwise provided for, necessary for the 
operation and maintenance of the Army, as authorized by law; and not to 
exceed $11,034,000 can be used for emergencies and extraordinary 
expenses, to be expended on the approval or authority of the Secretary 
of the Army, and payments may be made on his certificate of necessity 
for confidential military purposes, $25,029,346,000: Provided, That of 
the funds appropriated in this paragraph, not less than $355,000,000 
shall be made available only for conventional ammunition care and 
maintenance: Provided further, That of funds made available under this 
heading, $2,500,000 shall be available for Fort Baker, in accordance 
with the terms and conditions as provided under the heading ``Operation 
and Maintenance, Army'', in Public Law 107-117.

                    Operation and Maintenance, Navy

    For expenses, not otherwise provided for, necessary for the 
operation and maintenance of the Navy and the Marine Corps, as 
authorized by law; and not to exceed $4,463,000 can be used for 
emergencies and extraordinary expenses, to be expended on the approval 
or authority of the Secretary of the Navy, and payments may be made on 
his certificate of necessity for confidential military purposes, 
$28,146,658,000.

                Operation and Maintenance, Marine Corps

    For expenses, not otherwise provided for, necessary for the 
operation and maintenance of the Marine Corps, as authorized by law, 
$3,440,323,000.

                  Operation and Maintenance, Air Force

    For expenses, not otherwise provided for, necessary for the 
operation and maintenance of the Air Force, as authorized by law; and 
not to exceed $7,801,000 can be used for emergencies and extraordinary 
expenses, to be expended on the approval or authority of the Secretary 
of the Air Force, and payments may be made on his certificate of 
necessity for confidential military purposes, $26,904,731,000: 
Provided, That notwithstanding any other provision of law, that of the 
funds available under this heading, $750,000 shall only be available to 
the Secretary of the Air Force for a grant to Florida Memorial College 
for the purpose of funding minority aviation training.

                Operation and Maintenance, Defense-Wide


                      (including transfer of funds)

    For expenses, not otherwise provided for, necessary for the 
operation and maintenance of activities and agencies of the Department 
of Defense (other than the military departments), as authorized by law, 
$16,226,841,000, of which not to exceed $30,000,000 may be available 
for the CINC initiative fund; and of which not to exceed $40,000,000 
can be used for emergencies and extraordinary expenses, to be expended 
on the approval or authority of the Secretary of Defense, and payments 
may be made on his certificate of necessity for confidential military 
purposes: Provided, That notwithstanding any other provision of law, of 
the funds provided in this Act for Civil Military programs under this 
heading, $500,000 shall be available for a grant for Outdoor Odyssey, 
Roaring Run, Pennsylvania, to support the Youth Development and 
Leadership program and Department of Defense STARBASE program: Provided 
further, That none of the funds appropriated or otherwise made 
available by this Act may be used to plan or implement the 
consolidation of a budget or appropriations liaison office of the 
Office of the Secretary of Defense, the office of the Secretary of a 
military department, or the service headquarters of one of the Armed 
Forces into a legislative affairs or legislative liaison office: 
Provided further, That $4,700,000, to remain available until expended, 
is available only for expenses relating to certain classified 
activities, and may be transferred as necessary by the Secretary to 
operation and maintenance appropriations or research, development, test 
and evaluation appropriations, to be merged with and to be available 
for the same time period as the appropriations to which transferred: 
Provided further, That any ceiling on the investment item unit cost of 
items that may be purchased with operation and maintenance funds shall 
not apply to the funds described in the preceding proviso: Provided 
further, That the transfer authority provided under this heading is in 
addition to any other transfer authority provided elsewhere in this 
Act.

                Operation and Maintenance, Army Reserve

    For expenses, not otherwise provided for, necessary for the 
operation and maintenance, including training, organization, and 
administration, of the Army Reserve; repair of facilities and 
equipment; hire of passenger motor vehicles; travel and transportation; 
care of the dead; recruiting; procurement of services, supplies, and 
equipment; and communications, $1,998,609,000.

                Operation and Maintenance, Navy Reserve

    For expenses, not otherwise provided for, necessary for the 
operation and maintenance, including training, organization, and 
administration, of the Navy Reserve; repair of facilities and 
equipment; hire of passenger motor vehicles; travel and transportation; 
care of the dead; recruiting; procurement of services, supplies, and 
equipment; and communications, $1,172,921,000.

            Operation and Maintenance, Marine Corps Reserve

    For expenses, not otherwise provided for, necessary for the 
operation and maintenance, including training, organization, and 
administration, of the Marine Corps Reserve; repair of facilities and 
equipment; hire of passenger motor vehicles; travel and transportation; 
care of the dead; recruiting; procurement of services, supplies, and 
equipment; and communications, $173,952,000.

              Operation and Maintenance, Air Force Reserve

    For expenses, not otherwise provided for, necessary for the 
operation and maintenance, including training, organization, and 
administration, of the Air Force Reserve; repair of facilities and 
equipment; hire of passenger motor vehicles; travel and transportation; 
care of the dead; recruiting; procurement of services, supplies, and 
equipment; and communications, $2,179,388,000.

             Operation and Maintenance, Army National Guard

    For expenses of training, organizing, and administering the Army 
National Guard, including medical and hospital treatment and related 
expenses in non-Federal hospitals; maintenance, operation, and repairs 
to structures and facilities; hire of passenger motor vehicles; 
personnel services in the National Guard Bureau; travel expenses (other 
than mileage), as authorized by law for Army personnel on active duty, 
for Army National Guard division, regimental, and battalion commanders 
while inspecting units in compliance with National Guard Bureau 
regulations when specifically authorized by the Chief, National Guard 
Bureau; supplying and equipping the Army National Guard as authorized 
by law; and expenses of repair, modification, maintenance, and issue of 
supplies and equipment (including aircraft), $4,340,581,000.

             Operation and Maintenance, Air National Guard

    For operation and maintenance of the Air National Guard, including 
medical and hospital treatment and related expenses in non-Federal 
hospitals; maintenance, operation, repair, and other necessary expenses 
of facilities for the training and administration of the Air National 
Guard, including repair of facilities, maintenance, operation, and 
modification of aircraft; transportation of things, hire of passenger 
motor vehicles; supplies, materials, and equipment, as authorized by 
law for the Air National Guard; and expenses incident to the 
maintenance and use of supplies, materials, and equipment, including 
such as may be furnished from stocks under the control of agencies of 
the Department of Defense; travel expenses (other than mileage) on the 
same basis as authorized by law for Air National Guard personnel on 
active Federal duty, for Air National Guard commanders while inspecting 
units in compliance with National Guard Bureau regulations when 
specifically authorized by the Chief, National Guard Bureau, 
$4,431,216,000.

            Overseas Contingency Operations Transfer Account


                      (including transfer of funds)

    For expenses directly relating to Overseas Contingency Operations 
by United States military forces, $5,000,000, to remain available until 
expended: Provided, That the Secretary of Defense may transfer these 
funds only to military personnel accounts; operation and maintenance 
accounts within this title; the Defense Health Program appropriation; 
procurement accounts; research, development, test and evaluation 
accounts; and to working capital funds: Provided further, That the 
funds transferred shall be merged with and shall be available for the 
same purposes and for the same time period, as the appropriation to 
which transferred: Provided further, That upon a determination that all 
or part of the funds transferred from this appropriation are not 
necessary for the purposes provided herein, such amounts may be 
transferred back to this appropriation: Provided further, That the 
transfer authority provided in this paragraph is in addition to any 
other transfer authority contained elsewhere in this Act.

          United States Court of Appeals for the Armed Forces

    For salaries and expenses necessary for the United States Court of 
Appeals for the Armed Forces, $10,333,000, of which not to exceed 
$2,500 can be used for official representation purposes.

                    Environmental Restoration, Army


                      (including transfer of funds)

    For the Department of the Army, $396,018,000, to remain available 
until transferred: Provided, That the Secretary of the Army shall, upon 
determining that such funds are required for environmental restoration, 
reduction and recycling of hazardous waste, removal of unsafe buildings 
and debris of the Department of the Army, or for similar purposes, 
transfer the funds made available by this appropriation to other 
appropriations made available to the Department of the Army, to be 
merged with and to be available for the same purposes and for the same 
time period as the appropriations to which transferred: Provided 
further, That upon a determination that all or part of the funds 
transferred from this appropriation are not necessary for the purposes 
provided herein, such amounts may be transferred back to this 
appropriation.

                    Environmental Restoration, Navy


                      (including transfer of funds)

    For the Department of the Navy, $256,153,000, to remain available 
until transferred: Provided, That the Secretary of the Navy shall, upon 
determining that such funds are required for environmental restoration, 
reduction and recycling of hazardous waste, removal of unsafe buildings 
and debris of the Department of the Navy, or for similar purposes, 
transfer the funds made available by this appropriation to other 
appropriations made available to the Department of the Navy, to be 
merged with and to be available for the same purposes and for the same 
time period as the appropriations to which transferred: Provided 
further, That upon a determination that all or part of the funds 
transferred from this appropriation are not necessary for the purposes 
provided herein, such amounts may be transferred back to this 
appropriation.

                  Environmental Restoration, Air Force


                      (including transfer of funds)

    For the Department of the Air Force, $384,307,000, to remain 
available until transferred: Provided, That the Secretary of the Air 
Force shall, upon determining that such funds are required for 
environmental restoration, reduction and recycling of hazardous waste, 
removal of unsafe buildings and debris of the Department of the Air 
Force, or for similar purposes, transfer the funds made available by 
this appropriation to other appropriations made available to the 
Department of the Air Force, to be merged with and to be available for 
the same purposes and for the same time period as the appropriations to 
which transferred: Provided further, That upon a determination that all 
or part of the funds transferred from this appropriation are not 
necessary for the purposes provided herein, such amounts may be 
transferred back to this appropriation.

                Environmental Restoration, Defense-Wide


                      (including transfer of funds)

    For the Department of Defense, $24,081,000, to remain available 
until transferred: Provided, That the Secretary of Defense shall, upon 
determining that such funds are required for environmental restoration, 
reduction and recycling of hazardous waste, removal of unsafe buildings 
and debris of the Department of Defense, or for similar purposes, 
transfer the funds made available by this appropriation to other 
appropriations made available to the Department of Defense, to be 
merged with and to be available for the same purposes and for the same 
time period as the appropriations to which transferred: Provided 
further, That upon a determination that all or part of the funds 
transferred from this appropriation are not necessary for the purposes 
provided herein, such amounts may be transferred back to this 
appropriation.

         Environmental Restoration, Formerly Used Defense Sites


                      (including transfer of funds)

    For the Department of the Army, $284,619,000, to remain available 
until transferred: Provided, That the Secretary of the Army shall, upon 
determining that such funds are required for environmental restoration, 
reduction and recycling of hazardous waste, removal of unsafe buildings 
and debris at sites formerly used by the Department of Defense, 
transfer the funds made available by this appropriation to other 
appropriations made available to the Department of the Army, to be 
merged with and to be available for the same purposes and for the same 
time period as the appropriations to which transferred: Provided 
further, That upon a determination that all or part of the funds 
transferred from this appropriation are not necessary for the purposes 
provided herein, such amounts may be transferred back to this 
appropriation.

             Overseas Humanitarian, Disaster, and Civic Aid

    For expenses relating to the Overseas Humanitarian, Disaster, and 
Civic Aid programs of the Department of Defense (consisting of the 
programs provided under sections 401, 402, 404, 2547, and 2561 of title 
10, United States Code), $59,000,000, to remain available until 
September 30, 2005.

                  Former Soviet Union Threat Reduction

    For assistance to the republics of the former Soviet Union, 
including assistance provided by contract or by grants, for 
facilitating the elimination and the safe and secure transportation and 
storage of nuclear, chemical and other weapons; for establishing 
programs to prevent the proliferation of weapons, weapons components, 
and weapon-related technology and expertise; for programs relating to 
the training and support of defense and military personnel for 
demilitarization and protection of weapons, weapons components and 
weapons technology and expertise, and for defense and military 
contacts, $450,800,000, to remain available until September 30, 2006: 
Provided, That of the amounts provided under this heading, $10,000,000 
shall be available only to support the dismantling and disposal of 
nuclear submarines, submarine reactor components, and warheads in the 
Russian Far East.

                               TITLE III

                              PROCUREMENT

                       Aircraft Procurement, Army

    For construction, procurement, production, modification, and 
modernization of aircraft, equipment, including ordnance, ground 
handling equipment, spare parts, and accessories therefor; specialized 
equipment and training devices; expansion of public and private plants, 
including the land necessary therefor, for the foregoing purposes, and 
such lands and interests therein, may be acquired, and construction 
prosecuted thereon prior to approval of title; and procurement and 
installation of equipment, appliances, and machine tools in public and 
private plants; reserve plant and Government and contractor-owned 
equipment layaway; and other expenses necessary for the foregoing 
purposes, $2,154,035,000, to remain available for obligation until 
September 30, 2006.

                       Missile Procurement, Army

    For construction, procurement, production, modification, and 
modernization of missiles, equipment, including ordnance, ground 
handling equipment, spare parts, and accessories therefor; specialized 
equipment and training devices; expansion of public and private plants, 
including the land necessary therefor, for the foregoing purposes, and 
such lands and interests therein, may be acquired, and construction 
prosecuted thereon prior to approval of title; and procurement and 
installation of equipment, appliances, and machine tools in public and 
private plants; reserve plant and Government and contractor-owned 
equipment layaway; and other expenses necessary for the foregoing 
purposes, $1,505,462,000, to remain available for obligation until 
September 30, 2006.

        Procurement of Weapons and Tracked Combat Vehicles, Army

    For construction, procurement, production, and modification of 
weapons and tracked combat vehicles, equipment, including ordnance, 
spare parts, and accessories therefor; specialized equipment and 
training devices; expansion of public and private plants, including the 
land necessary therefor, for the foregoing purposes, and such lands and 
interests therein, may be acquired, and construction prosecuted thereon 
prior to approval of title; and procurement and installation of 
equipment, appliances, and machine tools in public and private plants; 
reserve plant and Government and contractor-owned equipment layaway; 
and other expenses necessary for the foregoing purposes, 
$1,857,054,000, to remain available for obligation until September 30, 
2006: Provided, That of the funds made available under this heading, 
$35,000,000 shall be available only for advance procurement items for 
the fifth and sixth Stryker Brigade Combat Teams.

                    Procurement of Ammunition, Army

    For construction, procurement, production, and modification of 
ammunition, and accessories therefor; specialized equipment and 
training devices; expansion of public and private plants, including 
ammunition facilities authorized by section 2854 of title 10, United 
States Code, and the land necessary therefor, for the foregoing 
purposes, and such lands and interests therein, may be acquired, and 
construction prosecuted thereon prior to approval of title; and 
procurement and installation of equipment, appliances, and machine 
tools in public and private plants; reserve plant and Government and 
contractor-owned equipment layaway; and other expenses necessary for 
the foregoing purposes, $1,387,759,000, to remain available for 
obligation until September 30, 2006.

                        Other Procurement, Army

    For construction, procurement, production, and modification of 
vehicles, including tactical, support, and non-tracked combat vehicles; 
the purchase of passenger motor vehicles for replacement only; and the 
purchase of 4 vehicles required for physical security of personnel, 
notwithstanding price limitations applicable to passenger vehicles but 
not to exceed $180,000 per vehicle; communications and electronic 
equipment; other support equipment; spare parts, ordnance, and 
accessories therefor; specialized equipment and training devices; 
expansion of public and private plants, including the land necessary 
therefor, for the foregoing purposes, and such lands and interests 
therein, may be acquired, and construction prosecuted thereon prior to 
approval of title; and procurement and installation of equipment, 
appliances, and machine tools in public and private plants; reserve 
plant and Government and contractor-owned equipment layaway; and other 
expenses necessary for the foregoing purposes, $4,774,452,000, to 
remain available for obligation until September 30, 2006.

                       Aircraft Procurement, Navy

    For construction, procurement, production, modification, and 
modernization of aircraft, equipment, including ordnance, spare parts, 
and accessories therefor; specialized equipment; expansion of public 
and private plants, including the land necessary therefor, and such 
lands and interests therein, may be acquired, and construction 
prosecuted thereon prior to approval of title; and procurement and 
installation of equipment, appliances, and machine tools in public and 
private plants; reserve plant and Government and contractor-owned 
equipment layaway, $9,110,848,000, to remain available for obligation 
until September 30, 2006.

                       Weapons Procurement, Navy

    For construction, procurement, production, modification, and 
modernization of missiles, torpedoes, other weapons, and related 
support equipment including spare parts, and accessories therefor; 
expansion of public and private plants, including the land necessary 
therefor, and such lands and interests therein, may be acquired, and 
construction prosecuted thereon prior to approval of title; and 
procurement and installation of equipment, appliances, and machine 
tools in public and private plants; reserve plant and Government and 
contractor-owned equipment layaway, $2,095,784,000, to remain available 
for obligation until September 30, 2006.

            Procurement of Ammunition, Navy and Marine Corps

    For construction, procurement, production, and modification of 
ammunition, and accessories therefor; specialized equipment and 
training devices; expansion of public and private plants, including 
ammunition facilities authorized by section 2854 of title 10, United 
States Code, and the land necessary therefor, for the foregoing 
purposes, and such lands and interests therein, may be acquired, and 
construction prosecuted thereon prior to approval of title; and 
procurement and installation of equipment, appliances, and machine 
tools in public and private plants; reserve plant and Government and 
contractor-owned equipment layaway; and other expenses necessary for 
the foregoing purposes, $934,905,000, to remain available for 
obligation until September 30, 2006.

                   Shipbuilding and Conversion, Navy

    For expenses necessary for the construction, acquisition, or 
conversion of vessels as authorized by law, including armor and 
armament thereof, plant equipment, appliances, and machine tools and 
installation thereof in public and private plants; reserve plant and 
Government and contractor-owned equipment layaway; procurement of 
critical, long leadtime components and designs for vessels to be 
constructed or converted in the future; and expansion of public and 
private plants, including land necessary therefor, and such lands and 
interests therein, may be acquired, and construction prosecuted thereon 
prior to approval of title, as follows:
        Carrier Replacement Program (AP), $1,186,564,000;
        NSSN, $1,511,935,000;
        NSSN (AP), $827,172,000;
        SSGN, $930,700,000;
        SSGN (AP), $236,600,000;
        CVN Refuelings (AP), $232,832,000;
        SSN Submarine Refuelings, $450,000,000;
        SSN Submarine Refuelings (AP), $10,351,000;
        SSBN Submarine Refuelings (AP), $105,800,000;
        DDG-51 Destroyer, $3,218,311,000;
        LPD-17, $1,192,034,000;
        LPD-17 (AP), $135,000,000;
        LHD-8, $355,006,000;
        LCAC Landing Craft Air Cushion, $73,087,000;
        Mine Hunter SWATH, $4,500,000;
        Prior year shipbuilding costs, $635,502,000;
        Service Craft, $23,480,000; and
        For outfitting, post delivery, conversions, and first 
    destination transportation, $338,749,000.
    In all: $11,467,623,000, to remain available for obligation until 
September 30, 2008: Provided, That additional obligations may be 
incurred after September 30, 2008, for engineering services, tests, 
evaluations, and other such budgeted work that must be performed in the 
final stage of ship construction: Provided further, That none of the 
funds provided under this heading for the construction or conversion of 
any naval vessel to be constructed in shipyards in the United States 
shall be expended in foreign facilities for the construction of major 
components of such vessel: Provided further, That none of the funds 
provided under this heading shall be used for the construction of any 
naval vessel in foreign shipyards.

                        Other Procurement, Navy

    For procurement, production, and modernization of support equipment 
and materials not otherwise provided for, Navy ordnance (except 
ordnance for new aircraft, new ships, and ships authorized for 
conversion); the purchase of passenger motor vehicles for replacement 
only, and the purchase of 7 vehicles required for physical security of 
personnel, notwithstanding price limitations applicable to passenger 
vehicles but not to exceed $200,000 per vehicle; expansion of public 
and private plants, including the land necessary therefor, and such 
lands and interests therein, may be acquired, and construction 
prosecuted thereon prior to approval of title; and procurement and 
installation of equipment, appliances, and machine tools in public and 
private plants; reserve plant and Government and contractor-owned 
equipment layaway, $4,941,098,000, to remain available for obligation 
until September 30, 2006.

                       Procurement, Marine Corps

    For expenses necessary for the procurement, manufacture, and 
modification of missiles, armament, military equipment, spare parts, 
and accessories therefor; plant equipment, appliances, and machine 
tools, and installation thereof in public and private plants; reserve 
plant and Government and contractor-owned equipment layaway; vehicles 
for the Marine Corps, including the purchase of passenger motor 
vehicles for replacement only; and expansion of public and private 
plants, including land necessary therefor, and such lands and interests 
therein, may be acquired, and construction prosecuted thereon prior to 
approval of title, $1,165,727,000, to remain available for obligation 
until September 30, 2006.

                    Aircraft Procurement, Air Force

    For construction, procurement, and modification of aircraft and 
equipment, including armor and armament, specialized ground handling 
equipment, and training devices, spare parts, and accessories therefor; 
specialized equipment; expansion of public and private plants, 
Government-owned equipment and installation thereof in such plants, 
erection of structures, and acquisition of land, for the foregoing 
purposes, and such lands and interests therein, may be acquired, and 
construction prosecuted thereon prior to approval of title; reserve 
plant and Government and contractor-owned equipment layaway; and other 
expenses necessary for the foregoing purposes including rents and 
transportation of things, $12,086,201,000, to remain available for 
obligation until September 30, 2006.

                     Missile Procurement, Air Force

    For construction, procurement, and modification of missiles, 
spacecraft, rockets, and related equipment, including spare parts and 
accessories therefor, ground handling equipment, and training devices; 
expansion of public and private plants, Government-owned equipment and 
installation thereof in such plants, erection of structures, and 
acquisition of land, for the foregoing purposes, and such lands and 
interests therein, may be acquired, and construction prosecuted thereon 
prior to approval of title; reserve plant and Government and 
contractor-owned equipment layaway; and other expenses necessary for 
the foregoing purposes including rents and transportation of things, 
$4,165,633,000, to remain available for obligation until September 30, 
2006.

                  Procurement of Ammunition, Air Force

    For construction, procurement, production, and modification of 
ammunition, and accessories therefor; specialized equipment and 
training devices; expansion of public and private plants, including 
ammunition facilities authorized by section 2854 of title 10, United 
States Code, and the land necessary therefor, for the foregoing 
purposes, and such lands and interests therein, may be acquired, and 
construction prosecuted thereon prior to approval of title; and 
procurement and installation of equipment, appliances, and machine 
tools in public and private plants; reserve plant and Government and 
contractor-owned equipment layaway; and other expenses necessary for 
the foregoing purposes, $1,262,725,000, to remain available for 
obligation until September 30, 2006.

                      Other Procurement, Air Force

    For procurement and modification of equipment (including ground 
guidance and electronic control equipment, and ground electronic and 
communication equipment), and supplies, materials, and spare parts 
therefor, not otherwise provided for; the purchase of passenger motor 
vehicles for replacement only, and the purchase of 1 vehicle required 
for physical security of personnel, notwithstanding price limitations 
applicable to passenger vehicles but not to exceed $200,000 per 
vehicle; lease of passenger motor vehicles; and expansion of public and 
private plants, Government-owned equipment and installation thereof in 
such plants, erection of structures, and acquisition of land, for the 
foregoing purposes, and such lands and interests therein, may be 
acquired, and construction prosecuted thereon, prior to approval of 
title; reserve plant and Government and contractor-owned equipment 
layaway, $11,558,799,000, to remain available for obligation until 
September 30, 2006.

                       Procurement, Defense-Wide

    For expenses of activities and agencies of the Department of 
Defense (other than the military departments) necessary for 
procurement, production, and modification of equipment, supplies, 
materials, and spare parts therefor, not otherwise provided for; the 
purchase of passenger motor vehicles for replacement only, including 
not to exceed 3 passenger motor vehicles for the Defense Security 
Service; the purchase of 4 vehicles required for physical security of 
personnel, notwithstanding price limitations applicable to passenger 
vehicles but not to exceed $200,000 per vehicle; expansion of public 
and private plants, equipment, and installation thereof in such plants, 
erection of structures, and acquisition of land for the foregoing 
purposes, and such lands and interests therein, may be acquired, and 
construction prosecuted thereon prior to approval of title; reserve 
plant and Government and contractor-owned equipment layaway, 
$3,709,926,000, to remain available for obligation until September 30, 
2006.

                  National Guard and Reserve Equipment

    For procurement of aircraft, missiles, tracked combat vehicles, 
ammunition, other weapons, and other procurement for the reserve 
components of the Armed Forces, $400,000,000, to remain available for 
obligation until September 30, 2006: Provided, That the Chiefs of the 
Reserve and National Guard components shall, not later than 30 days 
after the enactment of this Act, individually submit to the 
congressional defense committees the modernization priority assessment 
for their respective Reserve or National Guard component.

                    Defense Production Act Purchases

    For activities by the Department of Defense pursuant to sections 
108, 301, 302, and 303 of the Defense Production Act of 1950 (50 U.S.C. 
App. 2078, 2091, 2092, and 2093), $78,016,000, to remain available 
until expended.

                                TITLE IV

               RESEARCH, DEVELOPMENT, TEST AND EVALUATION

            Research, Development, Test and Evaluation, Army

    For expenses necessary for basic and applied scientific research, 
development, test and evaluation, including maintenance, 
rehabilitation, lease, and operation of facilities and equipment, 
$10,363,941,000, to remain available for obligation until September 30, 
2005: Provided, That of the amounts provided under this heading, 
$8,500,000 for Molecular Genetics and Musculoskeletal Research in 
program element 0602787A, shall remain available until expended.

            Research, Development, Test and Evaluation, Navy

    For expenses necessary for basic and applied scientific research, 
development, test and evaluation, including maintenance, 
rehabilitation, lease, and operation of facilities and equipment, 
$15,146,383,000, to remain available for obligation until September 30, 
2005: Provided, That funds appropriated in this paragraph which are 
available for the V-22 may be used to meet unique operational 
requirements of the Special Operations Forces: Provided further, That 
funds appropriated in this paragraph shall be available for the Cobra 
Judy program.

         Research, Development, Test and Evaluation, Air Force

    For expenses necessary for basic and applied scientific research, 
development, test and evaluation, including maintenance, 
rehabilitation, lease, and operation of facilities and equipment, 
$20,500,984,000, to remain available for obligation until September 30, 
2005.

        Research, Development, Test and Evaluation, Defense-Wide

    For expenses of activities and agencies of the Department of 
Defense (other than the military departments), necessary for basic and 
applied scientific research, development, test and evaluation; advanced 
research projects as may be designated and determined by the Secretary 
of Defense, pursuant to law; maintenance, rehabilitation, lease, and 
operation of facilities and equipment, $18,900,715,000, to remain 
available for obligation until September 30, 2005.

                Operational Test and Evaluation, Defense

    For expenses, not otherwise provided for, necessary for the 
independent activities of the Director, Operational Test and 
Evaluation, in the direction and supervision of operational test and 
evaluation, including initial operational test and evaluation which is 
conducted prior to, and in support of, production decisions; joint 
operational testing and evaluation; and administrative expenses in 
connection therewith, $305,861,000, to remain available for obligation 
until September 30, 2005.

                                TITLE V

                     REVOLVING AND MANAGEMENT FUNDS

                     Defense Working Capital Funds

    For the Defense Working Capital Funds, $1,641,507,000.

                     National Defense Sealift Fund

    For National Defense Sealift Fund programs, projects, and 
activities, and for expenses of the National Defense Reserve Fleet, as 
established by section 11 of the Merchant Ship Sales Act of 1946 (50 
U.S.C. App. 1744), and for the necessary expenses to maintain and 
preserve a U.S.-flag merchant fleet to serve the national security 
needs of the United States, $1,066,462,000, to remain available until 
expended: Provided, That none of the funds provided in this paragraph 
shall be used to award a new contract that provides for the acquisition 
of any of the following major components unless such components are 
manufactured in the United States: auxiliary equipment, including 
pumps, for all shipboard services; propulsion system components (that 
is; engines, reduction gears, and propellers); shipboard cranes; and 
spreaders for shipboard cranes: Provided further, That the exercise of 
an option in a contract awarded through the obligation of previously 
appropriated funds shall not be considered to be the award of a new 
contract: Provided further, That the Secretary of the military 
department responsible for such procurement may waive the restrictions 
in the first proviso on a case-by-case basis by certifying in writing 
to the Committees on Appropriations of the House of Representatives and 
the Senate that adequate domestic supplies are not available to meet 
Department of Defense requirements on a timely basis and that such an 
acquisition must be made in order to acquire capability for national 
security purposes: Provided further, That, notwithstanding any other 
provision of law, $6,500,000 of the funds available under this heading 
shall be available in addition to other amounts otherwise available, 
only to finance the cost of constructing additional sealift capacity.

                                TITLE VI

                  OTHER DEPARTMENT OF DEFENSE PROGRAMS

                         Defense Health Program

    For expenses, not otherwise provided for, for medical and health 
care programs of the Department of Defense, as authorized by law, 
$15,730,013,000, of which $14,914,816,000 shall be for Operation and 
maintenance, of which not to exceed 2 percent shall remain available 
until September 30, 2005, and of which $7,420,972,000 shall be 
available for contracts entered into under the TRICARE program; of 
which $328,826,000, to remain available for obligation until September 
30, 2006, shall be for Procurement; and of which $486,371,000, to 
remain available for obligation until September 30, 2005, shall be for 
Research, development, test and evaluation.

            Chemical Agents and Munitions Destruction, Army

    For expenses, not otherwise provided for, necessary for the 
destruction of the United States stockpile of lethal chemical agents 
and munitions in accordance with the provisions of section 1412 of the 
Department of Defense Authorization Act, 1986 (50 U.S.C. 1521), and for 
the destruction of other chemical warfare materials that are not in the 
chemical weapon stockpile, $1,500,261,000, of which $1,169,168,000 
shall be for Operation and maintenance to remain available until 
September 30, 2005; $79,212,000 shall be for Procurement to remain 
available until September 30, 2006; $251,881,000 shall be for Research, 
development, test and evaluation to remain available until September 
30, 2005; and no less than $132,677,000 may be for the Chemical 
Stockpile Emergency Preparedness Program, of which $44,168,000 shall be 
for activities on military installations and $88,509,000 shall be to 
assist State and local governments: Provided, That notwithstanding any 
other provision of law, $10,000,000 of the funds available under this 
heading shall be expended only to fund Chemical Stockpile Emergency 
Preparedness Program evacuation route improvements in Calhoun County, 
Alabama.

         Drug Interdiction and Counter-Drug Activities, Defense


                      (including transfer of funds)

    For drug interdiction and counter-drug activities of the Department 
of Defense, for transfer to appropriations available to the Department 
of Defense for military personnel of the reserve components serving 
under the provisions of title 10 and title 32, United States Code; for 
Operation and maintenance; for Procurement; and for Research, 
development, test and evaluation, $835,616,000: Provided, That the 
funds appropriated under this heading shall be available for obligation 
for the same time period and for the same purpose as the appropriation 
to which transferred: Provided further, That upon a determination that 
all or part of the funds transferred from this appropriation are not 
necessary for the purposes provided herein, such amounts may be 
transferred back to this appropriation: Provided further, That the 
transfer authority provided under this heading is in addition to any 
other transfer authority contained elsewhere in this Act.

                    Office of the Inspector General

    For expenses and activities of the Office of the Inspector General 
in carrying out the provisions of the Inspector General Act of 1978, as 
amended, $162,449,000, of which $160,049,000 shall be for Operation and 
maintenance, of which not to exceed $700,000 is available for 
emergencies and extraordinary expenses to be expended on the approval 
or authority of the Inspector General, and payments may be made on the 
Inspector General's certificate of necessity for confidential military 
purposes; and of which $300,000, to remain available until September 
30, 2005, shall be for Research, development, test and evaluation; and 
of which $2,100,000, to remain available until September 30, 2006, 
shall be for Procurement.

                               TITLE VII

                            RELATED AGENCIES

   Central Intelligence Agency Retirement and Disability System Fund

    For payment to the Central Intelligence Agency Retirement and 
Disability System Fund, to maintain the proper funding level for 
continuing the operation of the Central Intelligence Agency Retirement 
and Disability System, $226,400,000.

               Intelligence Community Management Account


                      (including transfer of funds)

    For necessary expenses of the Intelligence Community Management 
Account, $175,113,000, of which $26,081,000 for the Advanced Research 
and Development Committee shall remain available until September 30, 
2005: Provided, That of the funds appropriated under this heading, 
$44,300,000 shall be transferred to the Department of Justice for the 
National Drug Intelligence Center to support the Department of 
Defense's counter-drug intelligence responsibilities, and of the said 
amount, $1,500,000 for Procurement shall remain available until 
September 30, 2006 and $1,000,000 for Research, development, test and 
evaluation shall remain available until September 30, 2005: Provided 
further, That the National Drug Intelligence Center shall maintain the 
personnel and technical resources to provide timely support to law 
enforcement authorities and the intelligence community by conducting 
document and computer exploitation of materials collected in Federal, 
State, and local law enforcement activity associated with counter-drug, 
counter-terrorism, and national security investigations and operations.

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

    For payment to Kaho'olawe Island Conveyance, Remediation, and 
Environmental Restoration Fund, as authorized by law, $18,430,000, to 
remain available until expended.

                 National Security Education Trust Fund

    For the purposes of title VIII of Public Law 102-183, $8,000,000, 
to be derived from the National Security Education Trust Fund, to 
remain available until expended.

                               TITLE VIII

                           GENERAL PROVISIONS

    Sec. 8001. No part of any appropriation contained in this Act shall 
be used for publicity or propaganda purposes not authorized by the 
Congress.
    Sec. 8002. During the current fiscal year, provisions of law 
prohibiting the payment of compensation to, or employment of, any 
person not a citizen of the United States shall not apply to personnel 
of the Department of Defense: Provided, That salary increases granted 
to direct and indirect hire foreign national employees of the 
Department of Defense funded by this Act shall not be at a rate in 
excess of the percentage increase authorized by law for civilian 
employees of the Department of Defense whose pay is computed under the 
provisions of section 5332 of title 5, United States Code, or at a rate 
in excess of the percentage increase provided by the appropriate host 
nation to its own employees, whichever is higher: Provided further, 
That this section shall not apply to Department of Defense foreign 
service national employees serving at United States diplomatic missions 
whose pay is set by the Department of State under the Foreign Service 
Act of 1980: Provided further, That the limitations of this provision 
shall not apply to foreign national employees of the Department of 
Defense in the Republic of Turkey.
    Sec. 8003. No part of any appropriation contained in this Act shall 
remain available for obligation beyond the current fiscal year, unless 
expressly so provided herein.
    Sec. 8004. No more than 20 percent of the appropriations in this 
Act which are limited for obligation during the current fiscal year 
shall be obligated during the last 2 months of the fiscal year: 
Provided, That this section shall not apply to obligations for support 
of active duty training of reserve components or summer camp training 
of the Reserve Officers' Training Corps.


                           (transfer of funds)

    Sec. 8005. Upon determination by the Secretary of Defense that such 
action is necessary in the national interest, he may, with the approval 
of the Office of Management and Budget, transfer not to exceed 
$2,100,000,000 of working capital funds of the Department of Defense or 
funds made available in this Act to the Department of Defense for 
military functions (except military construction) between such 
appropriations or funds or any subdivision thereof, to be merged with 
and to be available for the same purposes, and for the same time 
period, as the appropriation or fund to which transferred: Provided, 
That such authority to transfer may not be used unless for higher 
priority items, based on unforeseen military requirements, than those 
for which originally appropriated and in no case where the item for 
which funds are requested has been denied by the Congress: Provided 
further, That the Secretary of Defense shall notify the Congress 
promptly of all transfers made pursuant to this authority or any other 
authority in this Act: Provided further, That no part of the funds in 
this Act shall be available to prepare or present a request to the 
Committees on Appropriations for reprogramming of funds, unless for 
higher priority items, based on unforeseen military requirements, than 
those for which originally appropriated and in no case where the item 
for which reprogramming is requested has been denied by the Congress: 
Provided further, That a request for multiple reprogrammings of funds 
using authority provided in this section must be made prior to June 30, 
2004.


                           (transfer of funds)

    Sec. 8006. During the current fiscal year, cash balances in working 
capital funds of the Department of Defense established pursuant to 
section 2208 of title 10, United States Code, may be maintained in only 
such amounts as are necessary at any time for cash disbursements to be 
made from such funds: Provided, That transfers may be made between such 
funds: Provided further, That transfers may be made between working 
capital funds and the ``Foreign Currency Fluctuations, Defense'' 
appropriation and the ``Operation and Maintenance'' appropriation 
accounts in such amounts as may be determined by the Secretary of 
Defense, with the approval of the Office of Management and Budget, 
except that such transfers may not be made unless the Secretary of 
Defense has notified the Congress of the proposed transfer. Except in 
amounts equal to the amounts appropriated to working capital funds in 
this Act, no obligations may be made against a working capital fund to 
procure or increase the value of war reserve material inventory, unless 
the Secretary of Defense has notified the Congress prior to any such 
obligation.
    Sec. 8007. Funds appropriated by this Act may not be used to 
initiate a special access program without prior notification 30 
calendar days in session in advance to the congressional defense 
committees.
    Sec. 8008. None of the funds provided in this Act shall be 
available to initiate: (1) a multiyear contract that employs economic 
order quantity procurement in excess of $20,000,000 in any 1 year of 
the contract or that includes an unfunded contingent liability in 
excess of $20,000,000; or (2) a contract for advance procurement 
leading to a multiyear contract that employs economic order quantity 
procurement in excess of $20,000,000 in any 1 year, unless the 
congressional defense committees have been notified at least 30 days in 
advance of the proposed contract award: Provided, That no part of any 
appropriation contained in this Act shall be available to initiate a 
multiyear contract for which the economic order quantity advance 
procurement is not funded at least to the limits of the Government's 
liability: Provided further, That no part of any appropriation 
contained in this Act shall be available to initiate multiyear 
procurement contracts for any systems or component thereof if the value 
of the multiyear contract would exceed $500,000,000 unless specifically 
provided in this Act: Provided further, That no multiyear procurement 
contract can be terminated without 10-day prior notification to the 
congressional defense committees: Provided further, That the execution 
of multiyear authority shall require the use of a present value 
analysis to determine lowest cost compared to an annual procurement.
    Funds appropriated in title III of this Act may be used for 
multiyear procurement contracts as follows:
        F/A-18 aircraft;
        E-2C aircraft;
        Tactical Tomahawk missile; and
        Virginia Class submarine:
Provided, That the Secretary of the Navy may not enter into a multiyear 
contract for the procurement of more than one Virginia Class submarine 
per year.
    Sec. 8009. Within the funds appropriated for the operation and 
maintenance of the Armed Forces, funds are hereby appropriated pursuant 
to section 401 of title 10, United States Code, for humanitarian and 
civic assistance costs under chapter 20 of title 10, United States 
Code. Such funds may also be obligated for humanitarian and civic 
assistance costs incidental to authorized operations and pursuant to 
authority granted in section 401 of chapter 20 of title 10, United 
States Code, and these obligations shall be reported as required by 
section 401(d) of title 10, United States Code: Provided, That funds 
available for operation and maintenance shall be available for 
providing humanitarian and similar assistance by using Civic Action 
Teams in the Trust Territories of the Pacific Islands and freely 
associated states of Micronesia, pursuant to the Compact of Free 
Association as authorized by Public Law 99-239: Provided further, That 
upon a determination by the Secretary of the Army that such action is 
beneficial for graduate medical education programs conducted at Army 
medical facilities located in Hawaii, the Secretary of the Army may 
authorize the provision of medical services at such facilities and 
transportation to such facilities, on a nonreimbursable basis, for 
civilian patients from American Samoa, the Commonwealth of the Northern 
Mariana Islands, the Marshall Islands, the Federated States of 
Micronesia, Palau, and Guam.
    Sec. 8010. (a) During fiscal year 2004, the civilian personnel of 
the Department of Defense may not be managed on the basis of any end-
strength, and the management of such personnel during that fiscal year 
shall not be subject to any constraint or limitation (known as an end-
strength) on the number of such personnel who may be employed on the 
last day of such fiscal year.
    (b) The fiscal year 2005 budget request for the Department of 
Defense as well as all justification material and other documentation 
supporting the fiscal year 2005 Department of Defense budget request 
shall be prepared and submitted to the Congress as if subsections (a) 
and (b) of this provision were effective with regard to fiscal year 
2005.
    (c) Nothing in this section shall be construed to apply to military 
(civilian) technicians.
    Sec. 8011. None of the funds appropriated in this or any other Act 
may be used to initiate a new installation overseas without 30-day 
advance notification to the Committees on Appropriations.
    Sec. 8012. None of the funds made available by this Act shall be 
used in any way, directly or indirectly, to influence congressional 
action on any legislation or appropriation matters pending before the 
Congress.
    Sec. 8013. None of the funds appropriated by this Act shall be 
available for the basic pay and allowances of any member of the Army 
participating as a full-time student and receiving benefits paid by the 
Secretary of Veterans Affairs from the Department of Defense Education 
Benefits Fund when time spent as a full-time student is credited toward 
completion of a service commitment: Provided, That this subsection 
shall not apply to those members who have reenlisted with this option 
prior to October 1, 1987: Provided further, That this subsection 
applies only to active components of the Army.
    Sec. 8014. (a) Limitation on Conversion to Contractor 
Performance.--None of the funds appropriated by this Act shall be 
available to convert to contractor performance an activity or function 
of the Department of Defense that, on or after the date of the 
enactment of this Act, is performed by more than 10 Department of 
Defense civilian employees unless--
        (1) the conversion is based on the result of a public-private 
    competition that includes a most efficient and cost effective 
    organization plan developed by such activity or function; and
        (2) the Competitive Sourcing Official determines that, over all 
    performance periods stated in the solicitation of offers for 
    performance of the activity or function, the cost of performance of 
    the activity or function by a contractor would be less costly to 
    the Department of Defense by an amount that equals or exceeds the 
    lesser of--
            (A) 10 percent of the most efficient organization's 
        personnel-related costs for performance of that activity or 
        function by Federal employees; or
            (B) $10,000,000.
    (b) Exceptions.--(1) This section and subsections (a), (b), and (c) 
of section 2461 of title 10, United States Code, shall not apply to a 
commercial or industrial type function of the Department of Defense 
that--
        (A) is included on the procurement list established pursuant to 
    section 2 of the Javits-Wagner-O'Day Act (41 U.S.C. 47);
        (B) is planned to be converted to performance by a qualified 
    nonprofit agency for the blind or by a qualified nonprofit agency 
    for other severely handicapped individuals in accordance with that 
    Act; or
        (C) is planned to be converted to performance by a qualified 
    firm under at least 51 percent ownership by an Indian tribe, as 
    defined in section 4(e) of the Indian Self-Determination and 
    Education Assistance Act (25 U.S.C. 450b(e)), or a Native Hawaiian 
    Organization, as defined in section 8(a)(15) of the Small Business 
    Act (15 U.S.C. 637(a)(15)).
    (2) This section shall not apply to depot contracts or contracts 
for depot maintenance as provided in sections 2469 and 2474 of title 
10, United States Code.
    (c) Treatment of Conversion.--The conversion of any activity or 
function of the Department of Defense under the authority provided by 
this section shall be credited toward any competitive or outsourcing 
goal, target, or measurement that may be established by statute, 
regulation, or policy and is deemed to be awarded under the authority 
of, and in compliance with, subsection (h) of section 2304 of title 10, 
United States Code, for the competition or outsourcing of commercial 
activities.


                           (transfer of funds)

    Sec. 8015. Funds appropriated in title III of this Act for the 
Department of Defense Pilot Mentor-Protege Program may be transferred 
to any other appropriation contained in this Act solely for the purpose 
of implementing a Mentor-Protege Program developmental assistance 
agreement pursuant to section 831 of the National Defense Authorization 
Act for Fiscal Year 1991 (Public Law 101-510; 10 U.S.C. 2301 note), as 
amended, under the authority of this provision or any other transfer 
authority contained in this Act.
    Sec. 8016. None of the funds in this Act may be available for the 
purchase by the Department of Defense (and its departments and 
agencies) of welded shipboard anchor and mooring chain 4 inches in 
diameter and under unless the anchor and mooring chain are manufactured 
in the United States from components which are substantially 
manufactured in the United States: Provided, That for the purpose of 
this section manufactured will include cutting, heat treating, quality 
control, testing of chain and welding (including the forging and shot 
blasting process): Provided further, That for the purpose of this 
section substantially all of the components of anchor and mooring chain 
shall be considered to be produced or manufactured in the United States 
if the aggregate cost of the components produced or manufactured in the 
United States exceeds the aggregate cost of the components produced or 
manufactured outside the United States: Provided further, That when 
adequate domestic supplies are not available to meet Department of 
Defense requirements on a timely basis, the Secretary of the service 
responsible for the procurement may waive this restriction on a case-
by-case basis by certifying in writing to the Committees on 
Appropriations that such an acquisition must be made in order to 
acquire capability for national security purposes.
    Sec. 8017. None of the funds appropriated by this Act available for 
the Civilian Health and Medical Program of the Uniformed Services 
(CHAMPUS) or TRICARE shall be available for the reimbursement of any 
health care provider for inpatient mental health service for care 
received when a patient is referred to a provider of inpatient mental 
health care or residential treatment care by a medical or health care 
professional having an economic interest in the facility to which the 
patient is referred: Provided, That this limitation does not apply in 
the case of inpatient mental health services provided under the program 
for persons with disabilities under subsection (d) of section 1079 of 
title 10, United States Code, provided as partial hospital care, or 
provided pursuant to a waiver authorized by the Secretary of Defense 
because of medical or psychological circumstances of the patient that 
are confirmed by a health professional who is not a Federal employee 
after a review, pursuant to rules prescribed by the Secretary, which 
takes into account the appropriate level of care for the patient, the 
intensity of services required by the patient, and the availability of 
that care.
    Sec. 8018. Notwithstanding any other provision of law, during the 
current fiscal year, the Secretary of Defense may, by executive 
agreement, establish with host nation governments in NATO member states 
a separate account into which such residual value amounts negotiated in 
the return of United States military installations in NATO member 
states may be deposited, in the currency of the host nation, in lieu of 
direct monetary transfers to the United States Treasury: Provided, That 
such credits may be utilized only for the construction of facilities to 
support United States military forces in that host nation, or such real 
property maintenance and base operating costs that are currently 
executed through monetary transfers to such host nations: Provided 
further, That the Department of Defense's budget submission for fiscal 
year 2005 shall identify such sums anticipated in residual value 
settlements, and identify such construction, real property maintenance 
or base operating costs that shall be funded by the host nation through 
such credits: Provided further, That all military construction projects 
to be executed from such accounts must be previously approved in a 
prior Act of Congress: Provided further, That each such executive 
agreement with a NATO member host nation shall be reported to the 
congressional defense committees, the Committee on International 
Relations of the House of Representatives and the Committee on Foreign 
Relations of the Senate 30 days prior to the conclusion and endorsement 
of any such agreement established under this provision.
    Sec. 8019. None of the funds available to the Department of Defense 
may be used to demilitarize or dispose of M-1 Carbines, M-1 Garand 
rifles, M-14 rifles, .22 caliber rifles, .30 caliber rifles, or M-1911 
pistols.
    Sec. 8020. No more than $500,000 of the funds appropriated or made 
available in this Act shall be used during a single fiscal year for any 
single relocation of an organization, unit, activity or function of the 
Department of Defense into or within the National Capital Region: 
Provided, That the Secretary of Defense may waive this restriction on a 
case-by-case basis by certifying in writing to the congressional 
defense committees that such a relocation is required in the best 
interest of the Government.
    Sec. 8021. In addition to the funds provided elsewhere in this Act, 
$8,000,000 is appropriated only for incentive payments authorized by 
Section 504 of the Indian Financing Act of 1974 (25 U.S.C. 1544): 
Provided, That a prime contractor or a subcontractor at any tier that 
makes a subcontract award to any subcontractor or supplier as defined 
in 25 U.S.C. 1544 or a small business owned and controlled by an 
individual or individuals defined under 25 U.S.C. 4221(9) shall be 
considered a contractor for the purposes of being allowed additional 
compensation under section 504 of the Indian Financing Act of 1974 (25 
U.S.C. 1544) whenever the prime contract or subcontract amount is over 
$500,000 and involves the expenditure of funds appropriated by an Act 
making Appropriations for the Department of Defense with respect to any 
fiscal year: Provided further, That notwithstanding 41 U.S.C. 430, this 
section shall be applicable to any Department of Defense acquisition of 
supplies or services, including any contract and any subcontract at any 
tier for acquisition of commercial items produced or manufactured, in 
whole or in part by any subcontractor or supplier defined in 25 U.S.C. 
1544 or a small business owned and controlled by an individual or 
individuals defined under 25 U.S.C. 4221(9): Provided further, That 
businesses certified as 8(a) by the Small Business Administration 
pursuant to section 8(a)(15) of Public Law 85-536, as amended, shall 
have the same status as other program participants under section 602 of 
Public Law 100-656, 102 Stat. 3825 (Business Opportunity Development 
Reform Act of 1988) for purposes of contracting with agencies of the 
Department of Defense.
    Sec. 8022. None of the funds appropriated by this Act shall be 
available to perform any cost study pursuant to the provisions of OMB 
Circular A-76 if the study being performed exceeds a period of 24 
months after initiation of such study with respect to a single function 
activity or 30 months after initiation of such study for a multi-
function activity.
    Sec. 8023. Funds appropriated by this Act for the American Forces 
Information Service shall not be used for any national or international 
political or psychological activities.
    Sec. 8024. Notwithstanding any other provision of law or 
regulation, the Secretary of Defense may adjust wage rates for civilian 
employees hired for certain health care occupations as authorized for 
the Secretary of Veterans Affairs by section 7455 of title 38, United 
States Code.
    Sec. 8025. (a) Of the funds for the procurement of supplies or 
services appropriated by this Act and hereafter, qualified nonprofit 
agencies for the blind or other severely handicapped shall be afforded 
the maximum practicable opportunity to participate as subcontractors 
and suppliers in the performance of contracts let by the Department of 
Defense.
    (b) During the current fiscal year and hereafter, a business 
concern which has negotiated with a military service or defense agency 
a subcontracting plan for the participation by small business concerns 
pursuant to section 8(d) of the Small Business Act (15 U.S.C. 637(d)) 
shall be given credit toward meeting that subcontracting goal for any 
purchases made from qualified nonprofit agencies for the blind or other 
severely handicapped.
    (c) For the purpose of this section, the phrase ``qualified 
nonprofit agency for the blind or other severely handicapped'' means a 
nonprofit agency for the blind or other severely handicapped that has 
been approved by the Committee for the Purchase from the Blind and 
Other Severely Handicapped under the Javits-Wagner-O'Day Act (41 U.S.C. 
46-48).
    Sec. 8026. During the current fiscal year, net receipts pursuant to 
collections from third party payers pursuant to section 1095 of title 
10, United States Code, shall be made available to the local facility 
of the uniformed services responsible for the collections and shall be 
over and above the facility's direct budget amount.
    Sec. 8027. During the current fiscal year, the Department of 
Defense is authorized to incur obligations of not to exceed 
$350,000,000 for purposes specified in section 2350j(c) of title 10, 
United States Code, in anticipation of receipt of contributions, only 
from the Government of Kuwait, under that section: Provided, That upon 
receipt, such contributions from the Government of Kuwait shall be 
credited to the appropriations or fund which incurred such obligations.


                      (including transfer of funds)

    Sec. 8028. (a) Of the funds made available in this Act, not less 
than $32,758,000 shall be available for the Civil Air Patrol 
Corporation, of which--
        (1) $21,432,000 shall be available from ``Operation and 
    Maintenance, Air Force'' to support Civil Air Patrol Corporation 
    operation and maintenance, readiness, counterdrug activities, and 
    drug demand reduction activities involving youth programs;
        (2) $10,540,000 shall be available from ``Aircraft Procurement, 
    Air Force''; and
        (3) $786,000 shall be available from ``Other Procurement, Air 
    Force'' for vehicle procurement.
    (b) Notwithstanding section 9445 of title 10, United States Code, 
or any other provision of law, of the funds made available to the Civil 
Air Patrol Corporation in this Act under the heading ``Aircraft 
Procurement, Air Force'', not more than $770,000 may be transferred by 
the Secretary of the Air Force to the ``Operation and Maintenance, Air 
Force'' appropriation to be merged with and to be available for 
administrative expenses incurred by the Air Force in the administration 
of Civil Air Patrol Corporation. Funds so transferred shall be 
available for the same period as the appropriation to which 
transferred.
    (c) The Secretary of the Air Force should waive reimbursement for 
any funds used by the Civil Air Patrol for counter-drug activities in 
support of Federal, State, and local government agencies.
    Sec. 8029. (a) None of the funds appropriated in this Act are 
available to establish a new Department of Defense (department) 
federally funded research and development center (FFRDC), either as a 
new entity, or as a separate entity administrated by an organization 
managing another FFRDC, or as a nonprofit membership corporation 
consisting of a consortium of other FFRDCs and other non-profit 
entities.
    (b) No member of a Board of Directors, Trustees, Overseers, 
Advisory Group, Special Issues Panel, Visiting Committee, or any 
similar entity of a defense FFRDC, and no paid consultant to any 
defense FFRDC, except when acting in a technical advisory capacity, may 
be compensated for his or her services as a member of such entity, or 
as a paid consultant by more than one FFRDC in a fiscal year: Provided, 
That a member of any such entity referred to previously in this 
subsection shall be allowed travel expenses and per diem as authorized 
under the Federal Joint Travel Regulations, when engaged in the 
performance of membership duties.
    (c) Notwithstanding any other provision of law, none of the funds 
available to the department from any source during fiscal year 2004 may 
be used by a defense FFRDC, through a fee or other payment mechanism, 
for construction of new buildings, for payment of cost sharing for 
projects funded by Government grants, for absorption of contract 
overruns, or for certain charitable contributions, not to include 
employee participation in community service and/or development.
    (d) Notwithstanding any other provision of law, of the funds 
available to the department during fiscal year 2004, not more than 
6,321 staff years of technical effort (staff years) may be funded for 
defense FFRDCs: Provided, That of the specific amount referred to 
previously in this subsection, not more than 1,050 staff years may be 
funded for the defense studies and analysis FFRDCs.
    (e) The Secretary of Defense shall, with the submission of the 
department's fiscal year 2005 budget request, submit a report 
presenting the specific amounts of staff years of technical effort to 
be allocated for each defense FFRDC during that fiscal year.
    (f) Notwithstanding any other provision of this Act, the total 
amount appropriated in this Act for FFRDCs is hereby reduced by 
$74,200,000.
    Sec. 8030. None of the funds appropriated or made available in this 
Act shall be used to procure carbon, alloy or armor steel plate for use 
in any Government-owned facility or property under the control of the 
Department of Defense which were not melted and rolled in the United 
States or Canada: Provided, That these procurement restrictions shall 
apply to any and all Federal Supply Class 9515, American Society of 
Testing and Materials (ASTM) or American Iron and Steel Institute 
(AISI) specifications of carbon, alloy or armor steel plate: Provided 
further, That the Secretary of the military department responsible for 
the procurement may waive this restriction on a case-by-case basis by 
certifying in writing to the Committees on Appropriations of the House 
of Representatives and the Senate that adequate domestic supplies are 
not available to meet Department of Defense requirements on a timely 
basis and that such an acquisition must be made in order to acquire 
capability for national security purposes: Provided further, That these 
restrictions shall not apply to contracts which are in being as of the 
date of the enactment of this Act.
    Sec. 8031. For the purposes of this Act, the term ``congressional 
defense committees'' means the Armed Services Committee of the House of 
Representatives, the Armed Services Committee of the Senate, the 
Subcommittee on Defense of the Committee on Appropriations of the 
Senate, and the Subcommittee on Defense of the Committee on 
Appropriations of the House of Representatives.
    Sec. 8032. During the current fiscal year, the Department of 
Defense may acquire the modification, depot maintenance and repair of 
aircraft, vehicles and vessels as well as the production of components 
and other Defense-related articles, through competition between 
Department of Defense depot maintenance activities and private firms: 
Provided, That the Senior Acquisition Executive of the military 
department or Defense Agency concerned, with power of delegation, shall 
certify that successful bids include comparable estimates of all direct 
and indirect costs for both public and private bids: Provided further, 
That Office of Management and Budget Circular A-76 shall not apply to 
competitions conducted under this section.
    Sec. 8033. (a)(1) If the Secretary of Defense, after consultation 
with the United States Trade Representative, determines that a foreign 
country which is party to an agreement described in paragraph (2) has 
violated the terms of the agreement by discriminating against certain 
types of products produced in the United States that are covered by the 
agreement, the Secretary of Defense shall rescind the Secretary's 
blanket waiver of the Buy American Act with respect to such types of 
products produced in that foreign country.
    (2) An agreement referred to in paragraph (1) is any reciprocal 
defense procurement memorandum of understanding, between the United 
States and a foreign country pursuant to which the Secretary of Defense 
has prospectively waived the Buy American Act for certain products in 
that country.
    (b) The Secretary of Defense shall submit to the Congress a report 
on the amount of Department of Defense purchases from foreign entities 
in fiscal year 2004. Such report shall separately indicate the dollar 
value of items for which the Buy American Act was waived pursuant to 
any agreement described in subsection (a)(2), the Trade Agreement Act 
of 1979 (19 U.S.C. 2501 et seq.), or any international agreement to 
which the United States is a party.
    (c) For purposes of this section, the term ``Buy American Act'' 
means title III of the Act entitled ``An Act making appropriations for 
the Treasury and Post Office Departments for the fiscal year ending 
June 30, 1934, and for other purposes'', approved March 3, 1933 (41 
U.S.C. 10a et seq.).
    Sec. 8034. Appropriations contained in this Act that remain 
available at the end of the current fiscal year as a result of energy 
cost savings realized by the Department of Defense shall remain 
available for obligation for the next fiscal year to the extent, and 
for the purposes, provided in section 2865 of title 10, United States 
Code.


                      (including transfer of funds)

    Sec. 8035. Amounts deposited during the current fiscal year to the 
special account established under 40 U.S.C. 572(b)(5)(A) and to the 
special account established under 10 U.S.C. 2667(d)(1) are appropriated 
and shall be available until transferred by the Secretary of Defense to 
current applicable appropriations or funds of the Department of Defense 
under the terms and conditions specified by 40 U.S.C. 572(b)(5)(B) and 
10 U.S.C. 2667(d)(1)(B), to be merged with and to be available for the 
same time period and the same purposes as the appropriation to which 
transferred.
    Sec. 8036. The President shall include with each budget for a 
fiscal year submitted to the Congress under section 1105 of title 31, 
United States Code, materials that shall identify clearly and 
separately the amounts requested in the budget for appropriation for 
that fiscal year for salaries and expenses related to administrative 
activities of the Department of Defense, the military departments, and 
the defense agencies.
    Sec. 8037. Notwithstanding any other provision of law, funds 
available for ``Drug Interdiction and Counter-Drug Activities, 
Defense'' may be obligated for the Young Marines program.


                      (including transfer of funds)

    Sec. 8038. During the current fiscal year, amounts contained in the 
Department of Defense Overseas Military Facility Investment Recovery 
Account established by section 2921(c)(1) of the National Defense 
Authorization Act of 1991 (Public Law 101-510; 10 U.S.C. 2687 note) 
shall be available until expended for the payments specified by section 
2921(c)(2) of that Act.
    Sec. 8039. (a) In General.--Notwithstanding any other provision of 
law, the Secretary of the Air Force may convey at no cost to the Air 
Force, without consideration, to Indian tribes located in the States of 
North Dakota, South Dakota, Montana, and Minnesota relocatable military 
housing units located at Grand Forks Air Force Base and Minot Air Force 
Base that are excess to the needs of the Air Force.
    (b) Processing of Requests.--The Secretary of the Air Force shall 
convey, at no cost to the Air Force, military housing units under 
subsection (a) in accordance with the request for such units that are 
submitted to the Secretary by the Operation Walking Shield Program on 
behalf of Indian tribes located in the States of North Dakota, South 
Dakota, Montana, and Minnesota.
    (c) Resolution of Housing Unit Conflicts.--The Operation Walking 
Shield program shall resolve any conflicts among requests of Indian 
tribes for housing units under subsection (a) before submitting 
requests to the Secretary of the Air Force under subsection (b).
    (d) Indian Tribe Defined.--In this section, the term ``Indian 
tribe'' means any recognized Indian tribe included on the current list 
published by the Secretary of the Interior under section 104 of the 
Federally Recognized Indian Tribe Act of 1994 (Public Law 103-454; 108 
Stat. 4792; 25 U.S.C. 479a-1).
    Sec. 8040. During the current fiscal year, appropriations which are 
available to the Department of Defense for operation and maintenance 
may be used to purchase items having an investment item unit cost of 
not more than $250,000.
    Sec. 8041. (a) During the current fiscal year, none of the 
appropriations or funds available to the Department of Defense Working 
Capital Funds shall be used for the purchase of an investment item for 
the purpose of acquiring a new inventory item for sale or anticipated 
sale during the current fiscal year or a subsequent fiscal year to 
customers of the Department of Defense Working Capital Funds if such an 
item would not have been chargeable to the Department of Defense 
Business Operations Fund during fiscal year 1994 and if the purchase of 
such an investment item would be chargeable during the current fiscal 
year to appropriations made to the Department of Defense for 
procurement.
    (b) The fiscal year 2005 budget request for the Department of 
Defense as well as all justification material and other documentation 
supporting the fiscal year 2005 Department of Defense budget shall be 
prepared and submitted to the Congress on the basis that any equipment 
which was classified as an end item and funded in a procurement 
appropriation contained in this Act shall be budgeted for in a proposed 
fiscal year 2005 procurement appropriation and not in the supply 
management business area or any other area or category of the 
Department of Defense Working Capital Funds.
    Sec. 8042. None of the funds appropriated by this Act for programs 
of the Central Intelligence Agency shall remain available for 
obligation beyond the current fiscal year, except for funds 
appropriated for the Reserve for Contingencies, which shall remain 
available until September 30, 2005: Provided, That funds appropriated, 
transferred, or otherwise credited to the Central Intelligence Agency 
Central Services Working Capital Fund during this or any prior or 
subsequent fiscal year shall remain available until expended: Provided 
further, That any funds appropriated or transferred to the Central 
Intelligence Agency for advanced research and development acquisition, 
for agent operations, and for covert action programs authorized by the 
President under section 503 of the National Security Act of 1947, as 
amended, shall remain available until September 30, 2005.
    Sec. 8043. Notwithstanding any other provision of law, funds made 
available in this Act for the Defense Intelligence Agency may be used 
for the design, development, and deployment of General Defense 
Intelligence Program intelligence communications and intelligence 
information systems for the Services, the Unified and Specified 
Commands, and the component commands.
    Sec. 8044. Of the funds appropriated to the Department of Defense 
under the heading ``Operation and Maintenance, Defense-Wide'', not less 
than $10,000,000 shall be made available only for the mitigation of 
environmental impacts, including training and technical assistance to 
tribes, related administrative support, the gathering of information, 
documenting of environmental damage, and developing a system for 
prioritization of mitigation and cost to complete estimates for 
mitigation, on Indian lands resulting from Department of Defense 
activities.
    Sec. 8045. (a) None of the funds appropriated in this Act may be 
expended by an entity of the Department of Defense unless the entity, 
in expending the funds, complies with the Buy American Act. For 
purposes of this subsection, the term ``Buy American Act'' means title 
III of the Act entitled ``An Act making appropriations for the Treasury 
and Post Office Departments for the fiscal year ending June 30, 1934, 
and for other purposes'', approved March 3, 1933 (41 U.S.C. 10a et 
seq.).
    (b) If the Secretary of Defense determines that a person has been 
convicted of intentionally affixing a label bearing a ``Made in 
America'' inscription to any product sold in or shipped to the United 
States that is not made in America, the Secretary shall determine, in 
accordance with section 2410f of title 10, United States Code, whether 
the person should be debarred from contracting with the Department of 
Defense.
    (c) In the case of any equipment or products purchased with 
appropriations provided under this Act, it is the sense of the Congress 
that any entity of the Department of Defense, in expending the 
appropriation, purchase only American-made equipment and products, 
provided that American-made equipment and products are cost-
competitive, quality-competitive, and available in a timely fashion.
    Sec. 8046. None of the funds appropriated by this Act shall be 
available for a contract for studies, analysis, or consulting services 
entered into without competition on the basis of an unsolicited 
proposal unless the head of the activity responsible for the 
procurement determines--
        (1) as a result of thorough technical evaluation, only one 
    source is found fully qualified to perform the proposed work;
        (2) the purpose of the contract is to explore an unsolicited 
    proposal which offers significant scientific or technological 
    promise, represents the product of original thinking, and was 
    submitted in confidence by one source; or
        (3) the purpose of the contract is to take advantage of unique 
    and significant industrial accomplishment by a specific concern, or 
    to insure that a new product or idea of a specific concern is given 
    financial support:
Provided, That this limitation shall not apply to contracts in an 
amount of less than $25,000, contracts related to improvements of 
equipment that is in development or production, or contracts as to 
which a civilian official of the Department of Defense, who has been 
confirmed by the Senate, determines that the award of such contract is 
in the interest of the national defense.
    Sec. 8047. (a) Except as provided in subsection (b) and (c), none 
of the funds made available by this Act may be used--
        (1) to establish a field operating agency; or
        (2) to pay the basic pay of a member of the Armed Forces or 
    civilian employee of the department who is transferred or 
    reassigned from a headquarters activity if the member or employee's 
    place of duty remains at the location of that headquarters.
    (b) The Secretary of Defense or Secretary of a military department 
may waive the limitations in subsection (a), on a case-by-case basis, 
if the Secretary determines, and certifies to the Committees on 
Appropriations of the House of Representatives and Senate that the 
granting of the waiver will reduce the personnel requirements or the 
financial requirements of the department.
    (c) This section does not apply to field operating agencies funded 
within the National Foreign Intelligence Program.
    Sec. 8048. Notwithstanding section 303 of Public Law 96-487 or any 
other provision of law, the Secretary of the Navy is authorized to 
lease real and personal property at Naval Air Facility, Adak, Alaska, 
pursuant to 10 U.S.C. 2667(f), for commercial, industrial or other 
purposes: Provided, That notwithstanding any other provision of law, 
the Secretary of the Navy may remove hazardous materials from 
facilities, buildings, and structures at Adak, Alaska, and may demolish 
or otherwise dispose of such facilities, buildings, and structures.


                              (rescissions)

    Sec. 8049. Of the funds appropriated in Department of Defense 
Appropriations Acts, the following funds are hereby rescinded from the 
following accounts and programs in the specified amounts:
        ``Shipbuilding and Conversion, Navy, 2001/2005'', $3,835,000;
        ``Shipbuilding and Conversion, Navy, 2002/2006'', $9,336,000;
        ``Aircraft Procurement, Army, 2003/2005'', $47,100,000;
        ``Weapons and Tracked Combat Vehicles, Army, 2003/2005'', 
    $30,000,000;
        ``Procurement of Ammunition, Army, 2003/2005'', $36,000,000;
        ``Other Procurement, Army, 2003/2005'', $8,000,000;
        ``Other Procurement, Air Force, 2003/2005'', $10,000,000;
        ``Procurement, Defense-Wide, 2003/2005'', $48,000,000;
        ``Research, Development, Test and Evaluation, Army, 2003/
    2004'', $2,989,000;
        ``Research, Development, Test and Evaluation, Defense-Wide, 
    2003/2004'', $25,000,000; and
        ``National Defense Sealift Fund'', $105,300,000.
    Sec. 8050. None of the funds available in this Act may be used to 
reduce the authorized positions for military (civilian) technicians of 
the Army National Guard, the Air National Guard, Army Reserve and Air 
Force Reserve for the purpose of applying any administratively imposed 
civilian personnel ceiling, freeze, or reduction on military (civilian) 
technicians, unless such reductions are a direct result of a reduction 
in military force structure.
    Sec. 8051. None of the funds appropriated or otherwise made 
available in this Act may be obligated or expended for assistance to 
the Democratic People's Republic of North Korea unless specifically 
appropriated for that purpose.
    Sec. 8052. During the current fiscal year, funds appropriated in 
this Act are available to compensate members of the National Guard for 
duty performed pursuant to a plan submitted by a Governor of a State 
and approved by the Secretary of Defense under section 112 of title 32, 
United States Code: Provided, That during the performance of such duty, 
the members of the National Guard shall be under State command and 
control: Provided further, That such duty shall be treated as full-time 
National Guard duty for purposes of sections 12602(a)(2) and (b)(2) of 
title 10, United States Code.
    Sec. 8053. Funds appropriated in this Act for operation and 
maintenance of the Military Departments, Combatant Commands and Defense 
Agencies shall be available for reimbursement of pay, allowances and 
other expenses which would otherwise be incurred against appropriations 
for the National Guard and Reserve when members of the National Guard 
and Reserve provide intelligence or counterintelligence support to 
Combatant Commands, Defense Agencies and Joint Intelligence Activities, 
including the activities and programs included within the National 
Foreign Intelligence Program (NFIP), the Joint Military Intelligence 
Program (JMIP), and the Tactical Intelligence and Related Activities 
(TIARA) aggregate: Provided, That nothing in this section authorizes 
deviation from established Reserve and National Guard personnel and 
training procedures.
    Sec. 8054. During the current fiscal year, none of the funds 
appropriated in this Act may be used to reduce the civilian medical and 
medical support personnel assigned to military treatment facilities 
below the September 30, 2002 level: Provided, That the Service Surgeons 
General may waive this section by certifying to the congressional 
defense committees that the beneficiary population is declining in some 
catchment areas and civilian strength reductions may be consistent with 
responsible resource stewardship and capitation-based budgeting.
    Sec. 8055. (a) Limitation on Pentagon Renovation Costs.--Not later 
than the date each year on which the President submits to Congress the 
budget under section 1105 of title 31, United States Code, the 
Secretary of Defense shall submit to Congress a certification that the 
total cost for the planning, design, construction, and installation of 
equipment for the renovation of wedges 2 through 5 of the Pentagon 
Reservation, cumulatively, will not exceed four times the total cost 
for the planning, design, construction, and installation of equipment 
for the renovation of wedge 1.
    (b) Annual Adjustment.--For purposes of applying the limitation in 
subsection (a), the Secretary shall adjust the cost for the renovation 
of wedge 1 by any increase or decrease in costs attributable to 
economic inflation, based on the most recent economic assumptions 
issued by the Office of Management and Budget for use in preparation of 
the budget of the United States under section 1104 of title 31, United 
States Code.
    (c) Exclusion of Certain Costs.--For purposes of calculating the 
limitation in subsection (a), the total cost for wedges 2 through 5 
shall not include--
        (1) any repair or reconstruction cost incurred as a result of 
    the terrorist attack on the Pentagon that occurred on September 11, 
    2001;
        (2) any increase in costs for wedges 2 through 5 attributable 
    to compliance with new requirements of Federal, State, or local 
    laws; and
        (3) any increase in costs attributable to additional security 
    requirements that the Secretary of Defense considers essential to 
    provide a safe and secure working environment.
    (d) Certification Cost Reports.--As part of the annual 
certification under subsection (a), the Secretary shall report the 
projected cost (as of the time of the certification) for--
        (1) the renovation of each wedge, including the amount adjusted 
    or otherwise excluded for such wedge under the authority of 
    paragraphs (2) and (3) of subsection (c) for the period covered by 
    the certification; and
        (2) the repair and reconstruction of wedges 1 and 2 in response 
    to the terrorist attack on the Pentagon that occurred on September 
    11, 2001.
    (e) Duration of Certification Requirement.--The requirement to make 
an annual certification under subsection (a) shall apply until the 
Secretary certifies to Congress that the renovation of the Pentagon 
Reservation is completed.
    Sec. 8056. Notwithstanding any other provision of law, that not 
more than 35 percent of funds provided in this Act for environmental 
remediation may be obligated under indefinite delivery/indefinite 
quantity contracts with a total contract value of $130,000,000 or 
higher.
    Sec. 8057. (a) None of the funds available to the Department of 
Defense for any fiscal year for drug interdiction or counter-drug 
activities may be transferred to any other department or agency of the 
United States except as specifically provided in an appropriations law.
    (b) None of the funds available to the Central Intelligence Agency 
for any fiscal year for drug interdiction and counter-drug activities 
may be transferred to any other department or agency of the United 
States except as specifically provided in an appropriations law.


                           (transfer of funds)

    Sec. 8058. Appropriations available in this Act under the heading 
``Operation and Maintenance, Defense-Wide'' for increasing energy and 
water efficiency in Federal buildings may, during their period of 
availability, be transferred to other appropriations or funds of the 
Department of Defense for projects related to increasing energy and 
water efficiency, to be merged with and to be available for the same 
general purposes, and for the same time period, as the appropriation or 
fund to which transferred.
    Sec. 8059. None of the funds appropriated by this Act may be used 
for the procurement of ball and roller bearings other than those 
produced by a domestic source and of domestic origin: Provided, That 
the Secretary of the military department responsible for such 
procurement may waive this restriction on a case-by-case basis by 
certifying in writing to the Committees on Appropriations of the House 
of Representatives and the Senate, that adequate domestic supplies are 
not available to meet Department of Defense requirements on a timely 
basis and that such an acquisition must be made in order to acquire 
capability for national security purposes: Provided further, That this 
restriction shall not apply to the purchase of ``commercial items'', as 
defined by section 4(12) of the Office of Federal Procurement Policy 
Act, except that the restriction shall apply to ball or roller bearings 
purchased as end items.
    Sec. 8060. Notwithstanding any other provision of law, funds 
available to the Department of Defense shall be made available to 
provide transportation of medical supplies and equipment, on a 
nonreimbursable basis, to American Samoa, and funds available to the 
Department of Defense shall be made available to provide transportation 
of medical supplies and equipment, on a nonreimbursable basis, to the 
Indian Health Service when it is in conjunction with a civil-military 
project.
    Sec. 8061. None of the funds in this Act may be used to purchase 
any supercomputer which is not manufactured in the United States, 
unless the Secretary of Defense certifies to the congressional defense 
committees that such an acquisition must be made in order to acquire 
capability for national security purposes that is not available from 
United States manufacturers.
    Sec. 8062. Notwithstanding any other provision of law, the Naval 
shipyards of the United States shall be eligible to participate in any 
manufacturing extension program financed by funds appropriated in this 
or any other Act or hereafter in any other Act.
    Sec. 8063. Notwithstanding any other provision of law, each 
contract awarded by the Department of Defense during the current fiscal 
year for construction or service performed in whole or in part in a 
State (as defined in section 381(d) of title 10, United States Code) 
which is not contiguous with another State and has an unemployment rate 
in excess of the national average rate of unemployment as determined by 
the Secretary of Labor, shall include a provision requiring the 
contractor to employ, for the purpose of performing that portion of the 
contract in such State that is not contiguous with another State, 
individuals who are residents of such State and who, in the case of any 
craft or trade, possess or would be able to acquire promptly the 
necessary skills: Provided, That the Secretary of Defense may waive the 
requirements of this section, on a case-by-case basis, in the interest 
of national security.
    Sec. 8064. None of the funds made available in this or any other 
Act may be used to pay the salary of any officer or employee of the 
Department of Defense who approves or implements the transfer of 
administrative responsibilities or budgetary resources of any program, 
project, or activity financed by this Act to the jurisdiction of 
another Federal agency not financed by this Act without the express 
authorization of Congress: Provided, That this limitation shall not 
apply to transfers of funds expressly provided for in Defense 
Appropriations Acts, or provisions of Acts providing supplemental 
appropriations for the Department of Defense.
    Sec. 8065. (a) Limitation on Transfer of Defense Articles and 
Services.--Notwithstanding any other provision of law, none of the 
funds available to the Department of Defense for the current fiscal 
year may be obligated or expended to transfer to another nation or an 
international organization any defense articles or services (other than 
intelligence services) for use in the activities described in 
subsection (b) unless the congressional defense committees, the 
Committee on International Relations of the House of Representatives, 
and the Committee on Foreign Relations of the Senate are notified 15 
days in advance of such transfer.
    (b) Covered Activities.--This section applies to--
        (1) any international peacekeeping or peace-enforcement 
    operation under the authority of chapter VI or chapter VII of the 
    United Nations Charter under the authority of a United Nations 
    Security Council resolution; and
        (2) any other international peacekeeping, peace-enforcement, or 
    humanitarian assistance operation.
    (c) Required Notice.--A notice under subsection (a) shall include 
the following:
        (1) A description of the equipment, supplies, or services to be 
    transferred.
        (2) A statement of the value of the equipment, supplies, or 
    services to be transferred.
        (3) In the case of a proposed transfer of equipment or 
    supplies--
            (A) a statement of whether the inventory requirements of 
        all elements of the Armed Forces (including the reserve 
        components) for the type of equipment or supplies to be 
        transferred have been met; and
            (B) a statement of whether the items proposed to be 
        transferred will have to be replaced and, if so, how the 
        President proposes to provide funds for such replacement.
    Sec. 8066. To the extent authorized by subchapter VI of chapter 148 
of title 10, United States Code, the Secretary of Defense may issue 
loan guarantees in support of United States defense exports not 
otherwise provided for: Provided, That the total contingent liability 
of the United States for guarantees issued under the authority of this 
section may not exceed $15,000,000,000: Provided further, That the 
exposure fees charged and collected by the Secretary for each guarantee 
shall be paid by the country involved and shall not be financed as part 
of a loan guaranteed by the United States: Provided further, That the 
Secretary shall provide quarterly reports to the Committees on 
Appropriations, Armed Services, and Foreign Relations of the Senate and 
the Committees on Appropriations, Armed Services, and International 
Relations in the House of Representatives on the implementation of this 
program: Provided further, That amounts charged for administrative fees 
and deposited to the special account provided for under section 
2540c(d) of title 10, shall be available for paying the costs of 
administrative expenses of the Department of Defense that are 
attributable to the loan guarantee program under subchapter VI of 
chapter 148 of title 10, United States Code.
    Sec. 8067. None of the funds available to the Department of Defense 
under this Act shall be obligated or expended to pay a contractor under 
a contract with the Department of Defense for costs of any amount paid 
by the contractor to an employee when--
        (1) such costs are for a bonus or otherwise in excess of the 
    normal salary paid by the contractor to the employee; and
        (2) such bonus is part of restructuring costs associated with a 
    business combination.
    Sec. 8068. (a) None of the funds appropriated or otherwise made 
available in this Act may be used to transport or provide for the 
transportation of chemical munitions or agents to the Johnston Atoll 
for the purpose of storing or demilitarizing such munitions or agents.
    (b) The prohibition in subsection (a) shall not apply to any 
obsolete World War II chemical munition or agent of the United States 
found in the World War II Pacific Theater of Operations.
    (c) The President may suspend the application of subsection (a) 
during a period of war in which the United States is a party.


                      (including transfer of funds)

    Sec. 8069. During the current fiscal year, no more than $30,000,000 
of appropriations made in this Act under the heading ``Operation and 
Maintenance, Defense-Wide'' may be transferred to appropriations 
available for the pay of military personnel, to be merged with, and to 
be available for the same time period as the appropriations to which 
transferred, to be used in support of such personnel in connection with 
support and services for eligible organizations and activities outside 
the Department of Defense pursuant to section 2012 of title 10, United 
States Code.
    Sec. 8070. During the current fiscal year, in the case of an 
appropriation account of the Department of Defense for which the period 
of availability for obligation has expired or which has closed under 
the provisions of section 1552 of title 31, United States Code, and 
which has a negative unliquidated or unexpended balance, an obligation 
or an adjustment of an obligation may be charged to any current 
appropriation account for the same purpose as the expired or closed 
account if--
        (1) the obligation would have been properly chargeable (except 
    as to amount) to the expired or closed account before the end of 
    the period of availability or closing of that account;
        (2) the obligation is not otherwise properly chargeable to any 
    current appropriation account of the Department of Defense; and
        (3) in the case of an expired account, the obligation is not 
    chargeable to a current appropriation of the Department of Defense 
    under the provisions of section 1405(b)(8) of the National Defense 
    Authorization Act for Fiscal Year 1991, Public Law 101-510, as 
    amended (31 U.S.C. 1551 note): Provided, That in the case of an 
    expired account, if subsequent review or investigation discloses 
    that there was not in fact a negative unliquidated or unexpended 
    balance in the account, any charge to a current account under the 
    authority of this section shall be reversed and recorded against 
    the expired account: Provided further, That the total amount 
    charged to a current appropriation under this section may not 
    exceed an amount equal to 1 percent of the total appropriation for 
    that account.
    Sec. 8071. Funds appropriated in title II of this Act and for the 
Defense Health Program in title VI of this Act for supervision and 
administration costs for facilities maintenance and repair, minor 
construction, or design projects, or any planning studies, 
environmental assessments, or similar activities related to 
installation support functions, may be obligated at the time the 
reimbursable order is accepted by the performing activity: Provided, 
That for the purpose of this section, supervision and administration 
costs includes all in-house Government cost.
    Sec. 8072. (a) Notwithstanding any other provision of law, the 
Chief of the National Guard Bureau may permit the use of equipment of 
the National Guard Distance Learning Project by any person or entity on 
a space-available, reimbursable basis. The Chief of the National Guard 
Bureau shall establish the amount of reimbursement for such use on a 
case-by-case basis.
    (b) Amounts collected under subsection (a) shall be credited to 
funds available for the National Guard Distance Learning Project and be 
available to defray the costs associated with the use of equipment of 
the project under that subsection. Such funds shall be available for 
such purposes without fiscal year limitation.
    Sec. 8073. Using funds available by this Act or any other Act, the 
Secretary of the Air Force, pursuant to a determination under section 
2690 of title 10, United States Code, may implement cost-effective 
agreements for required heating facility modernization in the 
Kaiserslautern Military Community in the Federal Republic of Germany: 
Provided, That in the City of Kaiserslautern such agreements will 
include the use of United States anthracite as the base load energy for 
municipal district heat to the United States Defense installations: 
Provided further, That at Landstuhl Army Regional Medical Center and 
Ramstein Air Base, furnished heat may be obtained from private, 
regional or municipal services, if provisions are included for the 
consideration of United States coal as an energy source.
    Sec. 8074. None of the funds appropriated in title IV of this Act 
may be used to procure end-items for delivery to military forces for 
operational training, operational use or inventory requirements: 
Provided, That this restriction does not apply to end-items used in 
development, prototyping, and test activities preceding and leading to 
acceptance for operational use: Provided further, That this restriction 
does not apply to programs funded within the National Foreign 
Intelligence Program: Provided further, That the Secretary of Defense 
may waive this restriction on a case-by-case basis by certifying in 
writing to the Committees on Appropriations of the House of 
Representatives and the Senate that it is in the national security 
interest to do so.
    Sec. 8075. None of the funds made available in this Act may be used 
to approve or license the sale of the F-22 advanced tactical fighter to 
any foreign government.
    Sec. 8076. (a) The Secretary of Defense may, on a case-by-case 
basis, waive with respect to a foreign country each limitation on the 
procurement of defense items from foreign sources provided in law if 
the Secretary determines that the application of the limitation with 
respect to that country would invalidate cooperative programs entered 
into between the Department of Defense and the foreign country, or 
would invalidate reciprocal trade agreements for the procurement of 
defense items entered into under section 2531 of title 10, United 
States Code, and the country does not discriminate against the same or 
similar defense items produced in the United States for that country.
    (b) Subsection (a) applies with respect to--
        (1) contracts and subcontracts entered into on or after the 
    date of the enactment of this Act; and
        (2) options for the procurement of items that are exercised 
    after such date under contracts that are entered into before such 
    date if the option prices are adjusted for any reason other than 
    the application of a waiver granted under subsection (a).
    (c) Subsection (a) does not apply to a limitation regarding 
construction of public vessels, ball and roller bearings, food, and 
clothing or textile materials as defined by section 11 (chapters 50-65) 
of the Harmonized Tariff Schedule and products classified under 
headings 4010, 4202, 4203, 6401 through 6406, 6505, 7019, 7218 through 
7229, 7304.41 through 7304.49, 7306.40, 7502 through 7508, 8105, 8108, 
8109, 8211, 8215, and 9404.
    Sec. 8077. (a) Prohibition.--None of the funds made available by 
this Act may be used to support any training program involving a unit 
of the security forces of a foreign country if the Secretary of Defense 
has received credible information from the Department of State that the 
unit has committed a gross violation of human rights, unless all 
necessary corrective steps have been taken.
    (b) Monitoring.--The Secretary of Defense, in consultation with the 
Secretary of State, shall ensure that prior to a decision to conduct 
any training program referred to in subsection (a), full consideration 
is given to all credible information available to the Department of 
State relating to human rights violations by foreign security forces.
    (c) Waiver.--The Secretary of Defense, after consultation with the 
Secretary of State, may waive the prohibition in subsection (a) if he 
determines that such waiver is required by extraordinary circumstances.
    (d) Report.--Not more than 15 days after the exercise of any waiver 
under subsection (c), the Secretary of Defense shall submit a report to 
the congressional defense committees describing the extraordinary 
circumstances, the purpose and duration of the training program, the 
United States forces and the foreign security forces involved in the 
training program, and the information relating to human rights 
violations that necessitates the waiver.
    Sec. 8078. The Secretary of Defense, in coordination with the 
Secretary of Health and Human Services, may carry out a program to 
distribute surplus dental equipment of the Department of Defense, at no 
cost to the Department of Defense, to Indian Health Service facilities 
and to federally-qualified health centers (within the meaning of 
section 1905(l)(2)(B) of the Social Security Act (42 U.S.C. 
1396d(l)(2)(B))).
    Sec. 8079. None of the funds appropriated or made available in this 
Act to the Department of the Navy shall be used to develop, lease or 
procure the T-AKE class of ships unless the main propulsion diesel 
engines and propulsors are manufactured in the United States by a 
domestically operated entity: Provided, That the Secretary of Defense 
may waive this restriction on a case-by-case basis by certifying in 
writing to the Committees on Appropriations of the House of 
Representatives and the Senate that adequate domestic supplies are not 
available to meet Department of Defense requirements on a timely basis 
and that such an acquisition must be made in order to acquire 
capability for national security purposes or there exists a significant 
cost or quality difference.
    Sec. 8080. None of the funds appropriated or otherwise made 
available by this or other Department of Defense Appropriations Acts 
may be obligated or expended for the purpose of performing repairs or 
maintenance to military family housing units of the Department of 
Defense, including areas in such military family housing units that may 
be used for the purpose of conducting official Department of Defense 
business.
    Sec. 8081. Notwithstanding any other provision of law, funds 
appropriated in this Act under the heading ``Research, Development, 
Test and Evaluation, Defense-Wide'' for any advanced concept technology 
demonstration project may only be obligated 30 days after a report, 
including a description of the project, the planned acquisition and 
transition strategy and its estimated annual and total cost, has been 
provided in writing to the congressional defense committees: Provided, 
That the Secretary of Defense may waive this restriction on a case-by-
case basis by certifying to the congressional defense committees that 
it is in the national interest to do so.
    Sec. 8082. The Secretary of Defense shall provide a classified 
quarterly report, beginning December 15, 2003, to the House and Senate 
Appropriations Committees, Subcommittees on Defense on certain matters 
as directed in the classified annex accompanying this Act.
    Sec. 8083. During the current fiscal year, refunds attributable to 
the use of the Government travel card, refunds attributable to the use 
of the Government Purchase Card and refunds attributable to official 
Government travel arranged by Government Contracted Travel Management 
Centers may be credited to operation and maintenance accounts of the 
Department of Defense which are current when the refunds are received.
    Sec. 8084. (a) Registering Financial Management Information 
Technology Systems With DOD Chief Information Officer.--None of the 
funds appropriated in this Act may be used for a mission critical or 
mission essential financial management information technology system 
(including a system funded by the defense working capital fund) that is 
not registered with the Chief Information Officer of the Department of 
Defense. A system shall be considered to be registered with that 
officer upon the furnishing to that officer of notice of the system, 
together with such information concerning the system as the Secretary 
of Defense may prescribe. A financial management information technology 
system shall be considered a mission critical or mission essential 
information technology system as defined by the Under Secretary of 
Defense (Comptroller).
    (b) Certifications as to Compliance With Financial Management 
Modernization Plan.--
        (1) During the current fiscal year, a financial management 
    automated information system, a mixed information system supporting 
    financial and non-financial systems, or a system improvement of 
    more than $1,000,000 may not receive Milestone A approval, 
    Milestone B approval, or full rate production, or their equivalent, 
    within the Department of Defense until the Under Secretary of 
    Defense (Comptroller) certifies, with respect to that milestone, 
    that the system is being developed and managed in accordance with 
    the Department's Financial Management Modernization Plan. The Under 
    Secretary of Defense (Comptroller) may require additional 
    certifications, as appropriate, with respect to any such system.
        (2) The Chief Information Officer shall provide the 
    congressional defense committees timely notification of 
    certifications under paragraph (1).
    (c) Certifications as to Compliance With Clinger-Cohen Act.--
        (1) During the current fiscal year, a major automated 
    information system may not receive Milestone A approval, Milestone 
    B approval, or full rate production approval, or their equivalent, 
    within the Department of Defense until the Chief Information 
    Officer certifies, with respect to that milestone, that the system 
    is being developed in accordance with the Clinger-Cohen Act of 1996 
    (40 U.S.C. 1401 et seq.). The Chief Information Officer may require 
    additional certifications, as appropriate, with respect to any such 
    system.
        (2) The Chief Information Officer shall provide the 
    congressional defense committees timely notification of 
    certifications under paragraph (1). Each such notification shall 
    include, at a minimum, the funding baseline and milestone schedule 
    for each system covered by such a certification and confirmation 
    that the following steps have been taken with respect to the 
    system:
            (A) Business process reengineering.
            (B) An analysis of alternatives.
            (C) An economic analysis that includes a calculation of the 
        return on investment.
            (D) Performance measures.
            (E) An information assurance strategy consistent with the 
        Department's Global Information Grid.
    (d) Definitions.--For purposes of this section:
        (1) The term ``Chief Information Officer'' means the senior 
    official of the Department of Defense designated by the Secretary 
    of Defense pursuant to section 3506 of title 44, United States 
    Code.
        (2) The term ``information technology system'' has the meaning 
    given the term ``information technology'' in section 5002 of the 
    Clinger-Cohen Act of 1996 (40 U.S.C. 1401).
    Sec. 8085. During the current fiscal year, none of the funds 
available to the Department of Defense may be used to provide support 
to another department or agency of the United States if such department 
or agency is more than 90 days in arrears in making payment to the 
Department of Defense for goods or services previously provided to such 
department or agency on a reimbursable basis: Provided, That this 
restriction shall not apply if the department is authorized by law to 
provide support to such department or agency on a nonreimbursable 
basis, and is providing the requested support pursuant to such 
authority: Provided further, That the Secretary of Defense may waive 
this restriction on a case-by-case basis by certifying in writing to 
the Committees on Appropriations of the House of Representatives and 
the Senate that it is in the national security interest to do so.
    Sec. 8086. None of the funds provided in this Act may be used to 
transfer to any nongovernmental entity ammunition held by the 
Department of Defense that has a center-fire cartridge and a United 
States military nomenclature designation of ``armor penetrator'', 
``armor piercing (AP)'', ``armor piercing incendiary (API)'', or 
``armor-piercing incendiary-tracer (API-T)'', except to an entity 
performing demilitarization services for the Department of Defense 
under a contract that requires the entity to demonstrate to the 
satisfaction of the Department of Defense that armor piercing 
projectiles are either: (1) rendered incapable of reuse by the 
demilitarization process; or (2) used to manufacture ammunition 
pursuant to a contract with the Department of Defense or the 
manufacture of ammunition for export pursuant to a License for 
Permanent Export of Unclassified Military Articles issued by the 
Department of State.
    Sec. 8087. Notwithstanding any other provision of law, the Chief of 
the National Guard Bureau, or his designee, may waive payment of all or 
part of the consideration that otherwise would be required under 10 
U.S.C. 2667, in the case of a lease of personal property for a period 
not in excess of 1 year to any organization specified in 32 U.S.C. 
508(d), or any other youth, social, or fraternal non-profit 
organization as may be approved by the Chief of the National Guard 
Bureau, or his designee, on a case-by-case basis.
    Sec. 8088. None of the funds appropriated by this Act shall be used 
for the support of any nonappropriated funds activity of the Department 
of Defense that procures malt beverages and wine with nonappropriated 
funds for resale (including such alcoholic beverages sold by the drink) 
on a military installation located in the United States unless such 
malt beverages and wine are procured within that State, or in the case 
of the District of Columbia, within the District of Columbia, in which 
the military installation is located: Provided, That in a case in which 
the military installation is located in more than one State, purchases 
may be made in any State in which the installation is located: Provided 
further, That such local procurement requirements for malt beverages 
and wine shall apply to all alcoholic beverages only for military 
installations in States which are not contiguous with another State: 
Provided further, That alcoholic beverages other than wine and malt 
beverages, in contiguous States and the District of Columbia shall be 
procured from the most competitive source, price and other factors 
considered.
    Sec. 8089. (a) The Department of Defense is authorized to enter 
into agreements with the Department of Veterans Affairs and federally-
funded health agencies providing services to Native Hawaiians for the 
purpose of establishing a partnership similar to the Alaska Federal 
Health Care Partnership, in order to maximize Federal resources in the 
provision of health care services by federally-funded health agencies, 
applying telemedicine technologies. For the purpose of this 
partnership, Native Hawaiians shall have the same status as other 
Native Americans who are eligible for the health care services provided 
by the Indian Health Service.
    (b) The Department of Defense is authorized to develop a 
consultation policy, consistent with Executive Order No. 13084 (issued 
May 14, 1998), with Native Hawaiians for the purpose of assuring 
maximum Native Hawaiian participation in the direction and 
administration of governmental services so as to render those services 
more responsive to the needs of the Native Hawaiian community.
    (c) For purposes of this section, the term ``Native Hawaiian'' 
means any individual who is a descendant of the aboriginal people who, 
prior to 1778, occupied and exercised sovereignty in the area that now 
comprises the State of Hawaii.
    Sec. 8090. Funds available to the Department of Defense for the 
Global Positioning System during the current fiscal year may be used to 
fund civil requirements associated with the satellite and ground 
control segments of such system's modernization program.


                      (including transfer of funds)

    Sec. 8091. (a) Of the amounts appropriated in this Act under the 
heading, ``Research, Development, Test and Evaluation, Defense-Wide'', 
$48,000,000 shall remain available until expended: Provided, That 
notwithstanding any other provision of law, the Secretary of Defense is 
authorized to transfer such funds to other activities of the Federal 
Government.
    (b) Of the amounts appropriated in this Act under the heading, 
``Operation and Maintenance, Army'', $177,000,000 shall remain 
available until expended: Provided, That notwithstanding any other 
provision of law, the Secretary of Defense is authorized to transfer 
such funds to other activities of the Federal Government: Provided 
further, That the Secretary of Defense is authorized to enter into and 
carry out contracts for the acquisition of real property, construction, 
personal services, and operations related to projects described in 
further detail in the Classified Annex accompanying the Department of 
Defense Appropriations Act, 2004, consistent with the terms and 
conditions set forth therein: Provided further, That contracts entered 
into under the authority of this section may provide for such 
indemnification as the Secretary determines to be necessary: Provided 
further, That projects authorized by this section shall comply with 
applicable Federal, State, and local law to the maximum extent 
consistent with the national security, as determined by the Secretary 
of Defense.
    Sec. 8092. Section 8106 of the Department of Defense Appropriations 
Act, 1997 (titles I through VIII of the matter under subsection 101(b) 
of Public Law 104-208; 110 Stat. 3009-111; 10 U.S.C. 113 note) shall 
continue in effect to apply to disbursements that are made by the 
Department of Defense in fiscal year 2004.
    Sec. 8093. In addition to amounts provided elsewhere in this Act, 
$3,800,000 is hereby appropriated for ``Defense Health Program'', to 
remain available for obligation until expended: Provided, That 
notwithstanding any other provision of law, $2,000,000 shall be 
available only for a grant to the Fisher House Foundation, Inc., only 
for the construction and furnishing of additional Fisher Houses to meet 
the needs of military family members when confronted with the illness 
or hospitalization of an eligible military beneficiary, and 
notwithstanding any other provision of law, $1,800,000 shall be 
available only for deposit into the Army, Navy, and Air Force Fisher 
House Non-appropriated Fund Instrumentalities and shall be used in 
support and upkeep of existing Fisher Houses.
    Sec. 8094. Amounts appropriated in titles II and IV are hereby 
reduced by $504,500,000 to reflect savings attributable to improvements 
in the management of professional support services, surveys and 
analysis, and contracted engineering and technical support, and to 
limit excessive growth in the procurement of advisory and assistance 
services, to be distributed as follows:
        (1) From ``Operation and Maintenance, Army'', $48,500,000;
        (2) From ``Operation and Maintenance, Navy'', $84,400,000;
        (3) From ``Operation and Maintenance, Marine Corps'', 
    $4,300,000;
        (4) From ``Operation and Maintenance, Air Force'', 
    $196,300,000;
        (5) From ``Operation and Maintenance, Defense-Wide'', 
    $91,000,000;
        (6) From ``Research, Development, Test and Evaluation, Navy'', 
    $40,000,000; and
        (7) From ``Research, Development, Test and Evaluation, Defense-
    Wide'', $40,000,000:
Provided, That these reductions shall be applied proportionally to each 
budget activity, activity group and subactivity group and each program, 
project and activity within each appropriations account.


                      (including transfer of funds)

    Sec. 8095. Of the amounts appropriated in this Act under the 
heading ``Research, Development, Test and Evaluation, Defense-Wide'', 
$144,803,000 shall be made available for the Arrow missile defense 
program: Provided, That of this amount, $80,000,000 shall be available 
for the purpose of producing Arrow missile components in the United 
States and Arrow missile components and missiles in Israel to meet 
Israel's defense requirements, consistent with each nation's laws, 
regulations and procedures: Provided further, That funds made available 
under this provision for production of missiles and missile components 
may be transferred to appropriations available for the procurement of 
weapons and equipment, to be merged with and to be available for the 
same time period and the same purposes as the appropriation to which 
transferred: Provided further, That the transfer authority provided 
under this provision is in addition to any other transfer authority 
contained in this Act.


                      (including transfer of funds)

    Sec. 8096. In addition to amounts provided elsewhere in this Act, 
$60,000,000 is hereby appropriated for ``Aircraft Procurement, Navy'': 
Provided, That these funds shall be available only for transfer to the 
Coast Guard for mission essential equipment for Coast Guard HC-130J 
aircraft.


                      (including transfer of funds)

    Sec. 8097. Of the amounts appropriated in this Act under the 
heading ``Shipbuilding and Conversion, Navy'', $635,502,000 shall be 
available until September 30, 2004, to fund prior year shipbuilding 
cost increases: Provided, That upon enactment of this Act, the 
Secretary of the Navy shall transfer such funds to the following 
appropriations in the amounts specified: Provided further, That the 
amounts transferred shall be merged with and be available for the same 
purposes as the appropriations to which transferred:
        To:
            Under the heading, ``Shipbuilding and Conversion, Navy, 
        1996/04'':
                LPD-17 Amphibious Transport Dock Ship Program, 
            $95,300,000.
            Under the heading, ``Shipbuilding and Conversion, Navy, 
        1998/04'':
                New SSN, $81,060,000.
            Under the heading, ``Shipbuilding and Conversion, Navy, 
        1999/04'':
                DDG-51 Destroyer Program, $44,420,000;
                New SSN, $156,978,000;
                LPD-17 Amphibious Transport Dock Ship Program, 
            $51,100,000.
            Under the heading, ``Shipbuilding and Conversion, Navy, 
        2000/04'':
                DDG-51 Destroyer Program, $24,510,000;
                LPD-17 Amphibious Transport Dock Ship Program, 
            $112,778,000.
            Under the heading, ``Shipbuilding and Conversion, Navy, 
        2001/04'':
                DDG-51 Destroyer Program, $6,984,000;
                New SSN, $62,372,000.
    Sec. 8098. The Secretary of the Navy may settle, or compromise, and 
pay any and all admiralty claims under 10 U.S.C. 7622 arising out of 
the collision involving the U.S.S. GREENEVILLE and the EHIME MARU, in 
any amount and without regard to the monetary limitations in 
subsections (a) and (b) of that section: Provided, That such payments 
shall be made from funds available to the Department of the Navy for 
operation and maintenance.
    Sec. 8099. Notwithstanding any other provision of law or 
regulation, the Secretary of Defense may exercise the provisions of 38 
U.S.C. 7403(g) for occupations listed in 38 U.S.C. 7403(a)(2) as well 
as the following:
        Pharmacists, Audiologists, and Dental Hygienists.
            (A) The requirements of 38 U.S.C. 7403(g)(1)(A) shall 
        apply.
            (B) The limitations of 38 U.S.C. 7403(g)(1)(B) shall not 
        apply.
    Sec. 8100. Funds appropriated by this Act, or made available by the 
transfer of funds in this Act, for intelligence activities are deemed 
to be specifically authorized by the Congress for purposes of section 
504 of the National Security Act of 1947 (50 U.S.C. 414) during fiscal 
year 2004 until the enactment of the Intelligence Authorization Act for 
fiscal year 2004.
    Sec. 8101. The total amount appropriated in title II is hereby 
reduced by $200,000,000 to reduce cost growth in information technology 
development, to be derived as follows:
        (1) From ``Operation and Maintenance, Army'', $40,000,000.
        (2) From ``Operation and Maintenance, Navy'', $60,000,000.
        (3) From ``Operation and Maintenance, Air Force'', $60,000,000.
        (4) From ``Operation and Maintenance, Defense-Wide'', 
    $40,000,000.
    Sec. 8102. In addition to funds made available elsewhere in this 
Act $5,500,000 is hereby appropriated and shall remain available until 
expended to provide assistance, by grant or otherwise (such as, but not 
limited to, the provision of funds for repairs, maintenance, 
construction, and/or for the purchase of information technology, text 
books, teaching resources), to public schools that have unusually high 
concentrations of special needs military dependents enrolled: Provided, 
That in selecting school systems to receive such assistance, special 
consideration shall be given to school systems in States that are 
considered overseas assignments, and all schools within these school 
systems shall be eligible for assistance: Provided further, That up to 
$2,000,000 shall be available for the Department of Defense to 
establish a non-profit trust fund to assist in the public-private 
funding of public school repair and maintenance projects, or provide 
directly to non-profit organizations who in return will use these 
monies to provide assistance in the form of repair, maintenance, or 
renovation to public school systems that have high concentrations of 
special needs military dependents and are located in States that are 
considered overseas assignments, and of which 2 percent shall be 
available to support the administration and execution of the funds: 
Provided further, That to the extent a Federal agency provides this 
assistance, by contract, grant, or otherwise, it may accept and expend 
non-Federal funds in combination with these Federal funds to provide 
assistance for the authorized purpose, if the non-Federal entity 
requests such assistance and the non-Federal funds are provided on a 
reimbursable basis.
    Sec. 8103. None of the funds in this Act may be used to initiate a 
new start program without prior notification to the Office of Secretary 
of Defense and the congressional defense committees.
    Sec. 8104. The amounts appropriated in title II are hereby reduced 
by $372,000,000 to reflect cash balance and rate stabilization 
adjustments in Department of Defense Working Capital Funds, as follows:
        (1) From ``Operation and Maintenance, Army'', $107,000,000.
        (2) From ``Operation and Maintenance, Navy'', $45,000,000.
        (3) From ``Operation and Maintenance, Air Force'', 
    $220,000,000.
    Sec. 8105. The amount appropriated in title II for ``Operation and 
Maintenance, Navy'' is hereby reduced by $44,000,000 to reduce excess 
funded carryover.
    Sec. 8106. (a) In addition to the amounts provided elsewhere in 
this Act, the amount of $5,500,000 is hereby appropriated to the 
Department of Defense for ``Operation and Maintenance, Army National 
Guard''. Such amount shall be made available to the Secretary of the 
Army only to make a grant in the amount of $5,500,000 to the entity 
specified in subsection (b) to facilitate access by veterans to 
opportunities for skilled employment in the construction industry.
    (b) The entity referred to in subsection (a) is the Center for 
Military Recruitment, Assessment and Veterans Employment, a nonprofit 
labor-management co-operation committee provided for by section 
302(c)(9) of the Labor-Management Relations Act, 1947 (29 U.S.C. 
186(c)(9)), for the purposes set forth in section 6(b) of the Labor 
Management Cooperation Act of 1978 (29 U.S.C. 175a note).
    Sec. 8107. Financing and Fielding of Key Army Capabilities.--The 
Department of Defense and the Department of the Army shall make future 
budgetary and programming plans to fully finance the Non-Line of Sight 
(NLOS) Objective Force cannon and resupply vehicle program in order to 
field this system in the 2008 timeframe. As an interim capability to 
enhance Army lethality, survivability, and mobility for light and 
medium forces before complete fielding of the Objective Force, the Army 
shall ensure that budgetary and programmatic plans will provide for no 
fewer than six Stryker Brigade Combat Teams to be fielded between 2003 
and 2008.
    Sec. 8108. Of the funds made available in this Act, not less than 
$40,600,000 shall be available to maintain an attrition reserve force 
of 18 B-52 aircraft, of which $3,800,000 shall be available from 
``Military Personnel, Air Force'', $25,100,000 shall be available from 
``Operation and Maintenance, Air Force'', and $11,700,000 shall be 
available from ``Aircraft Procurement, Air Force'': Provided, That the 
Secretary of the Air Force shall maintain a total force of 94 B-52 
aircraft, including 18 attrition reserve aircraft, during fiscal year 
2004: Provided further, That the Secretary of Defense shall include in 
the Air Force budget request for fiscal year 2005 amounts sufficient to 
maintain a B-52 force totaling 94 aircraft.
    Sec. 8109. Of the funds made available under the heading 
``Operation and Maintenance, Air Force'', $8,000,000 shall be available 
to realign railroad track on Elmendorf Air Force Base and Fort 
Richardson: Provided, That the Secretary of the Air Force is 
authorized, using funds available under the heading ``Operation and 
Maintenance, Air Force'', to complete a phased repair project, which 
repairs may include upgrades and additions, to the infrastructure of 
the operational ranges managed by the Air Force in Alaska. The total 
cost of such phased projects shall not exceed $26,000,000.


                           (Transfer of Funds)

    Sec. 8110. Of the amounts appropriated in Public Law 107-206 under 
the heading ``Defense Emergency Response Fund'', an amount up to the 
fair market value of the leasehold interest in adjacent properties 
necessary for the force protection requirements of Tooele Army Depot, 
Utah, may be made available to resolve any property disputes associated 
with Tooele Army Depot, Utah, and to acquire such leasehold interest as 
required: Provided, That none of these funds may be used to acquire fee 
title to the properties.
    Sec. 8111. Up to $3,000,000 of the funds appropriated under the 
heading ``Operation and Maintenance, Navy'' in this Act for the Pacific 
Missile Range Facility may be made available to contract for the 
repair, maintenance, and operation of adjacent off-base water, 
drainage, and flood control systems, electrical upgrade to support 
additional missions critical to base operations, and support for a 
range footprint expansion to further guard against encroachment.
    Sec. 8112. In addition to the amounts appropriated or otherwise 
made available in this Act, $34,950,000 is hereby appropriated to the 
Department of Defense: Provided, That the Secretary of Defense shall 
make grants in the amount of $8,500,000 to the Fort Benning Infantry 
Museum; $6,000,000 to the University of South Florida for establishment 
and operation of the Joint Military Science Leadership Program; 
$5,000,000 to the American Red Cross for Armed Forces Emergency 
Services; $3,500,000 to the National D-Day Museum; $3,000,000 to the 
Chicago Park District for renovation of the Broadway Armory; $2,100,000 
to the National Guard Youth Foundation; $2,100,000 to the Intrepid Sea-
Air-Space Foundation; $2,000,000 to the Army Museum of the Southwest at 
Fort Sill, Oklahoma; $1,500,000 to the Tredegar National Civil War 
Center; $1,000,000 to the Philadelphia Korean War Memorial; and 
$250,000 to the CSS Alabama Association.
    Sec. 8113. None of the funds appropriated in this Act under the 
heading ``Overseas Contingency Operations Transfer Account'' may be 
transferred or obligated for Department of Defense expenses not 
directly related to the conduct of overseas contingencies: Provided, 
That the Secretary of Defense shall submit a report no later than 30 
days after the end of each fiscal quarter to the Committees on 
Appropriations of the Senate and House of Representatives that details 
any transfer of funds from the ``Overseas Contingency Operations 
Transfer Account'': Provided further, That the report shall explain any 
transfer for the maintenance of real property, pay of civilian 
personnel, base operations support, and weapon, vehicle or equipment 
maintenance.
    Sec. 8114. For purposes of section 1553(b) of title 31, United 
States Code, any subdivision of appropriations made in this Act under 
the heading ``Shipbuilding and Conversion, Navy'' shall be considered 
to be for the same purpose as any subdivision under the heading 
``Shipbuilding and Conversion, Navy'' appropriations in any prior 
fiscal year, and the 1 percent limitation shall apply to the total 
amount of the appropriation.
    Sec. 8115. The budget of the President for fiscal year 2005 
submitted to the Congress pursuant to section 1105 of title 31, United 
States Code shall include separate budget justification documents for 
costs of United States Armed Forces' participation in contingency 
operations for the Military Personnel accounts, the Operation and 
Maintenance accounts, and the Procurement accounts: Provided, That 
these documents shall include a description of the funding requested 
for each contingency operation, for each military service, to include 
all Active and Reserve components, and for each appropriations account: 
Provided further, That these documents shall include estimated costs 
for each element of expense or object class, a reconciliation of 
increases and decreases for each contingency operation, and 
programmatic data including, but not limited to, troop strength for 
each Active and Reserve component, and estimates of the major weapons 
systems deployed in support of each contingency: Provided further, That 
these documents shall include budget exhibits OP-5 and OP-32 (as 
defined in the Department of Defense Financial Management Regulation) 
for all contingency operations for the budget year and the two 
preceding fiscal years.
    Sec. 8116. None of the funds in this Act may be used for research, 
development, test, evaluation, procurement or deployment of nuclear 
armed interceptors of a missile defense system.


                           (transfer of funds)

    Sec. 8117. Of the amounts appropriated in this Act under the 
headings ``Research, Development, Test and Evaluation, Navy'' and 
``Operation and Maintenance, Defense-Wide'' $56,200,000 shall be 
transferred to such appropriations available to the Department of 
Defense as may be required to carry out the intent of Congress as 
expressed in the Classified Annex accompanying the Department of 
Defense Appropriations Act, 2004, and amounts so transferred shall be 
available for the same purposes and for the same time period as the 
appropriations to which transferred.
    Sec. 8118. During the current fiscal year, section 2533a(f) of 
Title 10, United States Code, shall not apply to any fish, shellfish, 
or seafood product. This section is applicable to contracts and 
subcontracts for the procurement of commercial items notwithstanding 
section 34 of the Office of Federal Procurement Policy Act (41 U.S.C. 
430).
    Sec. 8119. Notwithstanding section 2465 of title 10 U.S.C., the 
Secretary of the Navy may use funds appropriated in title II of this 
Act under the heading, ``Operation and Maintenance, Navy'', to 
liquidate the expenses incurred for private security guard services 
performed at the Naval Support Unit, Saratoga Springs, New York by 
Burns International Security Services, Albany, New York in the amount 
of $29,323.35, plus accrued interest, if any.
    Sec. 8120. Of the amounts provided in title II of this Act under 
the heading, ``Operation and Maintenance, Defense-Wide'', $20,000,000 
is available for the Regional Defense Counter-terrorism Fellowship 
Program, to fund the education and training of foreign military 
officers, ministry of defense civilians, and other foreign security 
officials, to include United States military officers and civilian 
officials whose participation directly contributes to the education and 
training of these foreign students.
    Sec. 8121. (a) Exchange Required.--In exchange for the private 
property described in subsection (b), the Secretary of the Interior 
shall convey to the Veterans Home of California--Barstow, Veterans of 
Foreign Wars Post #385E (in this section referred to as the 
``recipient''), all right, title, and interest of the United States in 
and to a parcel of real property consisting of approximately one acre 
in the Mojave National Preserve and designated (by section 8137 of the 
Department of Defense Appropriations Act, 2002 (Public Law 107-117; 115 
Stat. 2278)) as a national memorial commemorating United States 
participation in World War I and honoring the American veterans of that 
war. Notwithstanding the conveyance of the property under this 
subsection, the Secretary shall continue to carry out the 
responsibilities of the Secretary under such section 8137.
    (b) Consideration.--As consideration for the property to be 
conveyed by the Secretary under subsection (a), Mr. and Mrs. Henry 
Sandoz of Mountain Pass, California, have agreed to convey to the 
Secretary a parcel of real property consisting of approximately five 
acres, identified as parcel APN 569-051-44, and located in the west \1/
2\ of the northeast \1/4\ of the northwest \1/4\ of the northwest \1/4\ 
of section 11, township 14 north, range 15 east, San Bernardino base 
and meridian.
    (c) Equal Value Exchange; Appraisal.--The values of the properties 
to be exchanged under this section shall be equal or equalized as 
provided in subsection (d). The value of the properties shall be 
determined through an appraisal performed by a qualified appraiser in 
conformance with the Uniform Appraisal Standards for Federal Land 
Acquisitions (Department of Justice, December 2000).
    (d) Cash Equalization.--Any difference in the value of the 
properties to be exchanged under this section shall be equalized 
through the making of a cash equalization payment. The Secretary shall 
deposit any cash equalization payment received by the Secretary under 
this subsection in the Land and Water Conservation Fund.
    (e) Reversionary Clause.--The conveyance under subsection (a) shall 
be subject to the condition that the recipient maintain the conveyed 
property as a memorial commemorating United States participation in 
World War I and honoring the American veterans of that war. If the 
Secretary determines that the conveyed property is no longer being 
maintained as a war memorial, the property shall revert to the 
ownership of the United States.
    (f) Boundary Adjustment; Administration of Acquired Land.--The 
boundaries of the Mojave National Preserve shall be adjusted to reflect 
the land exchange required by this section. The property acquired by 
the Secretary under this section shall become part of the Mojave 
National Preserve and be administered in accordance with the laws, 
rules, and regulations generally applicable to the Mojave National 
Preserve.
    Sec. 8122. None of the funds appropriated or made available in this 
Act shall be used to reduce or disestablish the operation of the 53rd 
Weather Reconnaissance Squadron of the Air Force Reserve, if such 
action would reduce the WC-130 Weather Reconnaissance mission below the 
levels funded in this Act: Provided, That the Air Force shall allow the 
53rd Weather Reconnaissance Squadron to perform other missions in 
support of national defense requirements during the non-hurricane 
season.
    Sec. 8123. The Secretary of the Air Force shall convey, without 
consideration, to the Inland Valley Development Agency all right, 
title, and interest of the United States in and to certain parcels of 
real property, including improvements thereon, located in San 
Bernardino, California, that consist of approximately 39 acres and are 
leased, as of June 1, 2003, by the Secretary to the Defense Finance and 
Accounting Service. The conveyance shall be subject to the condition 
that the Inland Valley Development Agency and the Director of the 
Defense Finance and Accounting Service enter into a lease-back 
agreement, acceptable to the Director, for premises required by the 
Director for support operations conducted by the Defense Finance and 
Accounting Service.
    Sec. 8124. Notwithstanding the provisions of section 2401 of title 
10, United States Code, the Secretary of the Navy is authorized to 
enter into a contract for the charter for a period through fiscal year 
2008, of the vessel, RV CORY CHOUEST (United States Official Number 
933435) in support of the Surveillance Towed Array Sensor (SURTASS) 
program: Provided, That funding for this lease shall be from within 
funds provided in this Act and future appropriations Acts.
    Sec. 8125. In addition to the amounts appropriated or otherwise 
made available elsewhere in this Act, and notwithstanding any other 
provision of law, $17,000,000 is hereby appropriated to ``Operation and 
Maintenance, Army'', to remain available until September 30, 2004, to 
be available only for a grant in the amount of $17,000,000 to the 
Silver Valley Unified School District, Silver Valley, California, for 
the purpose of school construction at Fort Irwin, California.
    Sec. 8126. (a) The total amount appropriated or otherwise made 
available in titles II, III, and IV of this Act is hereby reduced by 
$1,662,000,000 to reflect savings from outsourcing, management 
efficiencies, and revised economic assumptions, to be distributed as 
follows:
        ``Title II'', $554,000,000;
        ``Title III'', $554,000,000; and
        ``Title IV'', $554,000,000.
    (b) The Secretary of Defense shall allocate this reduction 
proportionately to each budget activity, activity group, subactivity 
group, and each program, project, and activity within each applicable 
appropriation account: Provided, That appropriations made available in 
this Act for the pay and benefits of military personnel are exempt from 
reductions under this provision.


                      (including transfer of funds)

    Sec. 8127. (a) The amount appropriated in title II for ``Operation 
and Maintenance, Air Force'' is hereby reduced by $451,000,000 to 
reflect cash balance and rate stabilization adjustments in the 
Department of Defense Transportation Working Capital Fund.
    (b) Not later than 60 days after the date of the enactment of this 
Act, the Secretary of Defense shall transfer $451,000,000 from the 
Department of Defense Transportation Working Capital Fund to 
``Operation and Maintenance, Air Force'' to offset the reduction made 
by subsection (a). The transfer required by this subsection is in 
addition to any other transfer authority provided to the Department of 
Defense.


                               (rescission)

    Sec. 8128. Of the funds made available in chapter 3 of title I of 
the Emergency Wartime Supplemental Appropriations Act, 2003 (Public Law 
108-11), under the heading ``Iraq Freedom Fund'', $3,490,000,000 are 
hereby rescinded.
    Sec. 8129. Of the total amount appropriated by this Act under the 
heading ``Operation and Maintenance, Defense-Wide'', the Secretary of 
Defense may use up to $855,566 to make additional payment under section 
363 of the Floyd D. Spence National Defense Authorization Act for 
Fiscal Year 2001 (20 U.S.C. 7703a) to those local educational agencies 
whose percentage reduction in the payment amount for fiscal year 2002 
was in excess of the reduction otherwise imposed under subsection (d) 
of such section for that fiscal year. The Secretary of Defense may 
waive collection of any overpayment made to local educational agencies 
under such section for fiscal year 2002.
    Sec. 8130. None of the funds appropriated or otherwise made 
available by this Act may be used to implement any amendment or 
revision of, or cancel, the Department of Defense Directive 1344.7, 
``Personal Commercial Solicitation on DoD Installations'', until 90 
days following the date the Secretary of Defense submits to Congress 
notice of the amendment, revision or cancellation, and the reasons 
therefore.
    Sec. 8131. (a) Notwithstanding any other provision of law, none of 
the funds appropriated or otherwise made available in this or any other 
Act may be obligated for the Terrorism Information Awareness Program: 
Provided, That this limitation shall not apply to the program hereby 
authorized for Processing, analysis, and collaboration tools for 
counterterrorism foreign intelligence, as described in the Classified 
Annex accompanying the Department of Defense Appropriations Act, 2004, 
for which funds are expressly provided in the National Foreign 
Intelligence Program for counterterrorism foreign intelligence 
purposes.
    (b) None of the funds provided for Processing, analysis, and 
collaboration tools for counterterrorism foreign intelligence shall be 
available for deployment or implementation except for:
        (1) lawful military operations of the United States conducted 
    outside the United States; or
        (2) lawful foreign intelligence activities conducted wholly 
    overseas, or wholly against non-United States citizens.
    (c) In this section, the term ``Terrorism Information Awareness 
Program'' means the program known either as Terrorism Information 
Awareness or Total Information Awareness, or any successor program, 
funded by the Defense Advanced Research Projects Agency, or any other 
Department or element of the Federal Government, including the 
individual components of such Program developed by the Defense Advanced 
Research Projects Agency.
    Sec. 8132. (a) Closure of Naval Station Roosevelt Roads, Puerto 
Rico.--Notwithstanding any other provision of law, the Secretary of the 
Navy shall close Naval Station Roosevelt Roads, Puerto Rico, no later 
than 6 months after enactment of this Act.
    (b) Implementation.--The closure provided for in subsection (a), 
and subsequent disposal, shall be carried out in accordance with the 
procedures and authorities contained in the Defense Base Closure and 
Realignment Act of 1990 (title XXIX of Public Law 101-510; 10 U.S.C. 
2687 note).
    (c) Office of Economic Adjustment Activities.--Notwithstanding any 
other provision of law, the Office of Economic Adjustment of the 
Department of Defense may make grants and supplement other Federal 
funds using funds made available by this Act under the heading 
``Operation and Maintenance, Defense-Wide'', and the projects so 
supported shall be considered to be authorized by law.
    Sec. 8133. Up to $2,000,000 of the funds appropriated by this Act 
under the heading, ``Operation and Maintenance, Army'', may be made 
available to contract for services required to solicit non-Federal 
donations to support construction and operation of the United States 
Army Museum at Fort Belvoir, Virginia: Provided, That notwithstanding 
any other provision of law, the Army is authorized to receive future 
payments in this or the subsequent fiscal year from any non-profit 
organization chartered to support the United States Army Museum to 
reimburse amounts expended by the Army pursuant to this section: 
Provided further, That any reimbursements received pursuant to this 
section shall be merged with ``Operation and Maintenance, Army'' and 
shall be made available for the same purposes and for the same time 
period as that appropriation account.
    Sec. 8134. Designation of America's National World War II Museum. 
(a) Findings.--Congress makes the following findings:
        (1) The National D-Day Museum, operated in New Orleans, 
    Louisiana by an educational foundation, has been established with 
    the vision ``to celebrate the American Spirit''.
        (2) The National D-Day Museum is the only museum in the United 
    States that exists for the exclusive purpose of interpreting the 
    American experience during the World War II years (1939-1945) on 
    both the battlefront and the home front and, in doing so, covers 
    all of the branches of the Armed Forces and the Merchant Marine.
        (3) The National D-Day Museum was founded by the preeminent 
    American historian, Stephen E. Ambrose, as a result of a 
    conversation with President Dwight D. Eisenhower in 1963, when the 
    President and former Supreme Commander, Allied Expeditionary Forces 
    in Europe, credited Andrew Jackson Higgins, the chief executive 
    officer of Higgins Industries in New Orleans, as the ``man who won 
    the war for us'' because the 12,000 landing craft designed by 
    Higgins Industries made possible all of the amphibious invasions of 
    World War II and carried American soldiers into every theatre of 
    the war.
        (4) The National D-Day Museum, since its grand opening on June 
    6, 2000, the 56th anniversary of the D-Day invasion of Normandy, 
    has attracted nearly 1,000,000 visitors from around the world, 85 
    percent of whom have been Americans from across the country.
        (5) American World War II veterans, called the ``greatest 
    generation'' of the Nation, are dying at the rapid rate of more 
    than 1,200 veterans each day, creating an urgent need to preserve 
    the stories, artifacts, and heroic achievements of that generation.
        (6) The United States has a need to preserve forever the 
    knowledge and history of the Nation's most decisive achievement in 
    the 20th century and to portray that history to citizens, visitors, 
    and school children for centuries to come.
        (7) Congress, recognizing the need to preserve this knowledge 
    and history, appropriated funds in 1992 to authorize the design and 
    construction of The National D-Day Museum in New Orleans to 
    commemorate the epic 1944 Normandy invasion, and subsequently 
    appropriated additional funds in 1998, 2000, 2001, 2002, and 2003 
    to help expand the exhibits in the museum to include the D-Day 
    invasions in the Pacific Theatre of Operations and the other 
    campaigns of World War II.
        (8) The State of Louisiana and thousands of donors and 
    foundations across the country have contributed millions of dollars 
    to help build this national institution.
        (9) The Board of Trustees of The National D-Day Museum is 
    national in scope and diverse in its makeup.
        (10) The World War II Memorial now under construction on the 
    National Mall in Washington, the District of Columbia, will always 
    be the memorial in our Nation where people come to remember 
    America's sacrifices in World War II, while The National D-Day 
    Museum will always be the museum of the American experience in the 
    World War II years (1939-1945), where people come to learn about 
    Americans' experiences during that critical period, as well as a 
    place where the history of our Nation's monumental struggle against 
    worldwide aggression by would-be oppressors is preserved so that 
    future generations can understand the role the United States played 
    in the preservation and advancement of democracy and freedom in the 
    middle of the 20th century.
        (11) The National D-Day Museum seeks to educate a diverse group 
    of audiences through its collection of artifacts, photographs, 
    letters, documents, and first-hand personal accounts of the 
    participants in the war and on the home front during one of 
    history's darkest hours.
        (12) The National D-Day Museum is devoted to the combat 
    experience of United States citizen soldiers in all of the theatres 
    of World War II and to the heroic efforts of the men and women on 
    the home front who worked tirelessly to support the troops and the 
    war effort.
        (13) The National D-Day Museum continues to add to and maintain 
    one of the largest personal history collections in the United 
    States of the men and women who fought in World War II and who 
    served on the home front.
        (14) No other museum describes as well the volunteer spirit 
    that arose throughout the United States and united the country 
    during the World War II years.
        (15) The National D-Day Museum is engaged in a 250,000 square 
    foot expansion to include the Center for the Study of the American 
    Spirit, an advanced format theatre, and a new United States 
    pavilion.
        (16) The planned ``We're All in this Together'' exhibit will 
    describe the role every State, commonwealth, and territory played 
    in World War II, and the computer database and software of The 
    National D-Day Museum's educational program will be made available 
    to the teachers and school children of every State, commonwealth, 
    and territory.
        (17) The National D-Day Museum is an official Smithsonian 
    affiliate institution with a formal agreement to borrow Smithsonian 
    artifacts for future exhibitions.
        (18) Le Memorial de Caen in Normandy, France has formally 
    recognized The National D-Day Museum as its official partner in a 
    Patriotic Alliance signed on October 16, 2002, by both museums.
        (19) The official Battle of the Bulge museums in Luxembourg and 
    the American Battlefield Monuments Commission are already 
    collaborating with The National D-Day Museum on World War II 
    exhibitions.
        (20) For all of these reasons, it is appropriate to designate 
    The National D-Day Museum as ``America's National World War II 
    Museum''.
    (b) Purposes.--The purposes of this section are, through the 
designation of The National D-Day Museum as ``America's National World 
War II Museum'', to express the United States Government's support 
for--
        (1) the continuing preservation, maintenance, and 
    interpretation of the artifacts, documents, images, and history 
    collected by the museum;
        (2) the education of the American people as to the American 
    experience in combat and on the home front during the World War II 
    years, including the conduct of educational outreach programs for 
    teachers and students throughout the United States;
        (3) the operation of a premier facility for the public display 
    of artifacts, photographs, letters, documents, and personal 
    histories from the World War II years (1939-1945);
        (4) the further expansion of the current European and Pacific 
    campaign exhibits in the museum, including the Center for the Study 
    of the American Spirit for education; and
        (5) ensuring the understanding by all future generations of the 
    magnitude of the American contribution to the Allied victory in 
    World War II, the sacrifices made to preserve freedom and 
    democracy, and the benefits of peace for all future generations in 
    the 21st century and beyond.
    (c) Designation of ``America's National World War II Museum''.--The 
National D-Day Museum, New Orleans, Louisiana, is designated as 
``America's National World War II Museum''.
    Sec. 8135. Native American Veteran Housing Loans. (a) Title I of 
Division K of the Consolidated Appropriations Resolution, 2003 (Public 
Law 108-7) is amended by striking out ``expenses: Provided, That no new 
loans in excess of $5,000,000 may be made in fiscal year 2003.'' from 
the paragraph under the heading ``Native American Veteran Housing Loan 
Program Account'' and inserting in lieu thereof ``expenses.''.
    (b) The amendment made by subsection (a) of this section is 
effective on the date of the enactment of Public Law 108-7, February 
20, 2003.
    Sec. 8136. None of the funds appropriated in this Act shall be used 
to study, demonstrate, or implement any plans privatizing, divesting or 
transferring of any Civil Works missions, functions, or 
responsibilities for the United States Army Corps of Engineers to other 
government agencies without specific direction in a subsequent Act of 
Congress.
    Sec. 8137. None of the funds provided in this Act may be used to 
pay any fee charged by the Department of State for the purpose of 
constructing new United States diplomatic facilities.
    Sec. 8138. (a) The Secretary of Defense--
        (1) shall review--
            (A) contractual offset arrangements to which the policy 
        established under section 2532 of title 10, United States Code, 
        applies that are in effect on the date of the enactment of this 
        Act;
            (B) memoranda of understanding and related agreements to 
        which the limitation in section 2531(c) of such title applies 
        that have been entered into with a country with respect to 
        which such contractual offset arrangements have been entered 
        into and are in effect on such date; and
            (C) waivers granted with respect to a foreign country under 
        section 2534(d)(3) of title 10, United States Code, that are in 
        effect on such date; and
        (2) shall determine the effects of the use of such 
    arrangements, memoranda of understanding, agreements, and waivers 
    on the national technology and industrial base.
    (b) The Secretary shall submit a report on the results of the 
review under subsection (a) to Congress not later than March 1, 2005. 
The report shall include a discussion of each of the following:
        (1) The effects of the contractual offset arrangements on 
    specific subsectors of the industrial base of the United States and 
    what actions have been taken to prevent or ameliorate any serious 
    adverse effects on such subsectors.
        (2) The extent, if any, to which the contractual offset 
    arrangements and memoranda of understanding and related agreements 
    have provided for technology transfer that would significantly and 
    adversely affect the national technology and industrial base.
        (3) The extent to which the use of such contractual offset 
    arrangements is consistent with--
            (A) the limitation in section 2531(c) of title 10, United 
        States Code, that prohibits implementation of a memorandum of 
        understanding and related agreements if the President, taking 
        into consideration the results of the interagency review, 
        determines that such memorandum of understanding or a related 
        agreement has or is likely to have a significant adverse effect 
        on United States industry that outweighs the benefits of 
        entering into or implementing such memorandum or agreement; and
            (B) the requirements under section 2534(d) of such title 
        that--
                (i) a waiver granted under such section not impede 
            cooperative programs entered into between the Department of 
            Defense and a foreign country and not impede the reciprocal 
            procurement of defense items that is entered into in 
            accordance with section 2531 of such title; and
                (ii) the country with respect to which the waiver is 
            granted not discriminate against defense items produced in 
            the United States to a greater degree than the United 
            States discriminates against defense items produced in that 
            country.
    (c) The Secretary shall submit to the President any recommendations 
regarding the use or administration of contractual offset arrangements 
and memoranda of understanding and related agreements referred to in 
subsection (a) that the Secretary considers an appropriate response to 
the findings resulting from the Secretary's review.
    Sec. 8139. It is the sense of the Senate that--
        (1) any request for funds for a fiscal year for an ongoing 
    overseas military operation, including operations in Afghanistan 
    and Iraq, should be included in the annual budget of the President 
    for such fiscal year as submitted to Congress under section 1105(a) 
    of title 31, United States Code; and
        (2) any funds provided for such fiscal year for such a military 
    operation should be provided in appropriations Acts for such fiscal 
    year through appropriations to specific accounts set forth in such 
    Acts.
    Sec.  8140. Study Regarding Mail Delivery in the Middle East. (a) 
Study.--The Comptroller General of the United States shall conduct a 
review of the delivery of mail to troops in the Middle East and the 
study should:
        (1) Determine delivery times, reliability, and losses for mail 
    and parcels to and from troops stationed in the Middle East.
        (2) Identify and analyze mail and parcel delivery service 
    efficiency issues during Operations Desert Shield/Desert Storm, 
    compared to such services which occurred during Operation Iraqi 
    Freedom.
        (3) Identify cost efficiencies and benefits of alternative 
    delivery systems or modifications to existing delivery systems to 
    improve the delivery times of mail and parcels.
    (b) Report.--Not later than 60 days after the date of enactment of 
this Act, the Comptroller General of the United States shall submit a 
report to the congressional defense committees on their findings and 
recommendations.
    Sec. 8141. (a) Limitation on Use of Funds.--Notwithstanding any 
other provision of law, no funds appropriated or otherwise made 
available by this Act may be obligated or expended to decommission a 
Naval or Marine Corps Reserve aviation squadron until the report 
required by subsection (b) is submitted to the committees of Congress 
referred to in that subsection.
    (b) Report on Navy and Marine Corps Tactical Aviation 
Requirements.--
        (1) Not later than February 1, 2004, the Comptroller General of 
    the United States shall submit to the congressional defense 
    committees a report on the requirements of the Navy and the Marine 
    Corps for tactical aviation, including mission requirements, 
    recapitalization requirements, and the role of Naval and Marine 
    Corps Reserve assets in meeting such requirements.
        (2) The report shall include the recommendations of the 
    Comptroller General on an appropriate force structure for the 
    active and reserve aviation units of the Navy and the Marine Corps, 
    and related personnel requirements, for the 10-year period 
    beginning on the date of the report.
    Sec. 8142. The Secretary of the Air Force, in consultation with the 
Chief of Air Force Reserve, shall study the mission of the 932nd 
Airlift Wing, Scott Air Force Base, Illinois, and evaluate whether it 
would be appropriate to substitute for that mission a mixed mission of 
transporting patients, passengers, and cargo that would increase the 
airlift capability of the Air Force while continuing the use and 
training of aeromedical evacuation personnel. The Secretary shall 
submit a report on the results of the study and evaluation to the 
congressional defense committees not later than January 16, 2004.
    Sec. 8143. Reports on Safety Issues Due to Defective Parts. (a) 
Report from the Secretary.--The Secretary shall by March 31, 2004, 
examine and report back to the congressional defense committees on--
        (1) how to implement a system for tracking safety-critical 
    parts so that parts discovered to be defective, including due to 
    faulty or fraudulent work by a contractor or subcontractor, can be 
    identified and found;
        (2) appropriate standards and procedures to ensure timely 
    notification of contracting agencies and contractors about safety 
    issues including parts that may be defective, and whether the 
    Government Industry Data Exchange Program should be made mandatory;
        (3) efforts to find and test airplane parts that have been heat 
    treated by companies alleged to have done so improperly; and
        (4) whether contracting agencies and contractors have been 
    notified about alleged improper heat treatment of airplane parts.
    (b) Report from the Comptroller General.--The Comptroller General 
shall examine and report back to the congressional defense committees 
on--
        (1) the oversight of subcontractors by prime contractors, and 
    testing and quality assurance of the work of the subcontractors; 
    and
        (2) the oversight of prime contractors by the Department, the 
    accountability of prime contractors for overseeing subcontractors, 
    and the use of enforcement mechanisms by the Department.
    Sec. 8144. Section 8149(b) of the Department of Defense 
Appropriations Act, 2003 (Public Law 107-248; 116 Stat. 1572) is 
amended by adding at the end the following new paragraph:
    ``(3) This subsection shall remain in effect for fiscal year 
2004.''.
    Sec. 8145. (a) The Secretary of the Navy shall transfer by gift 
under section 7306 of title 10, United States Code, the Sturgeon Class 
submarine NARWHAL (SSN-671) to the National Submarine Science Discovery 
Center, Newport, Kentucky, upon receipt of an application for donation 
of such vessel to the Center that is satisfactory to the Secretary.
    (b) Before transferring the submarine as required under subsection 
(a), the Secretary shall remove the nuclear reactor compartment and the 
other classified or otherwise sensitive military equipment of the 
submarine.
    (c) Subsection (c) of section 7306 of title 10, United States Code, 
does not apply to the cost of carrying out subsection (b) of this 
section, any other cost of dismantling the submarine, and the cost of 
any recycling or disposal of equipment and materiel removed from the 
submarine before transfer.
    (d) Subsection (d) of section 7306 of title 10, United States Code, 
does not apply to the transfer required under subsection (a).
    Sec. 8146. Fiscal Year 2004 Exemption for Certain Members of the 
Armed Forces From Requirement to Pay Subsistence Charges While 
Hospitalized. (a) In General.--Section 1075 of title 10, United States 
Code, is amended--
        (1) by inserting ``(a) In General.--'' before ``When''; and
        (2) by striking the second sentence and inserting the 
    following:
    ``(b) Exceptions.--Subsection (a) shall not apply to any of the 
following:
        ``(1) An enlisted member, or former enlisted member, of a 
    uniformed service who is entitled to retired or retainer pay or 
    equivalent pay.
        ``(2) An officer or former officer of a uniformed service, or 
    an enlisted member or former enlisted member of a uniformed service 
    not described in paragraph (1), who is hospitalized under section 
    1074 because of an injury incurred (as determined under criteria 
    prescribed by the Secretary of Defense)--
            ``(A) as a direct result of armed conflict;
            ``(B) while engaged in hazardous service;
            ``(C) in the performance of duty under conditions 
        simulating war; or
            ``(D) through an instrumentality of war.
    ``(c) Applicability.--The exception provided in paragraph (2) of 
subsection (b) shall apply only during fiscal year 2004.''.
    (b) Effective Date.--Subsections (b) and (c) of section 1075 of 
title 10, United States Code, as added by subsection (a), shall take 
effect on October 1, 2003, and apply with respect to injuries incurred 
before, on, or after that date.
    This Act may be cited as the ``Department of Defense Appropriations 
Act, 2004''.

                               Speaker of the House of Representatives.

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