    [Congressional Bills 109th Congress]
    [From the U.S. Government Publishing Office]
    [H.R. 5122 Enrolled Bill (ENR)]

            H.R.5122

                           One Hundred Ninth Congress

                                     of the

                            United States of America

                              AT THE SECOND SESSION

              Begun and held at the City of Washington on Tuesday,
                 the third day of January, two thousand and six

                                     An Act

    To authorize appropriations for fiscal year 2007 for military activities
                                     of the
       Department of Defense, for military construction, and for defense
    activities of the Department of Energy, to prescribe military personnel
             strengths for such fiscal year, and for other purposes.

        Be it enacted by the Senate and House of Representatives of the
    United States of America in Congress assembled,
    SECTION 1. SHORT TITLE; FINDINGS.
        (a) Short Title.--This Act may be cited as the ``John Warner
    National Defense Authorization Act for Fiscal Year 2007''.
        (b) Findings.--Congress makes the following findings:
            (1) Senator John Warner of Virginia was elected a member of the
        United States Senate on November 7, 1978, for a full term beginning
        on January 3, 1979. He was subsequently appointed by the Governor
        of Virginia to fill a vacancy on January 2, 1979, and has served
        continuously since that date. He was appointed a member of the
        Committee on Armed Services in January 1979, and has served
        continuously on the Committee since that date, a period of nearly
        28 years. Senator Warner's service on the Committee represents
        nearly half of its existence since it was established after World
        War II.
            (2) Senator Warner came to the Senate and the Committee on
        Armed Services after a distinguished record of service to the
        Nation, including combat service in the Armed Forces and high
        civilian office.
            (3) Senator Warner enlisted in the United States Navy upon
        graduation from high school in 1945, and served until the summer of
        1946, when he was discharged as a Petty Officer 3rd Class. He then
        attended Washington and Lee University on the G.I. Bill. He
        graduated in 1949 and entered the University of Virginia Law
        School.
            (4) Upon the outbreak of the Korean War in 1950, Senator Warner
        volunteered for active duty, interrupting his education to accept a
        commission in the United States Marine Corps. He served in combat
        in Korea as a ground officer in the First Marine Air Wing.
        Following his active service, he remained in the Marine Corps
        Reserve for several years, attaining the rank of captain.
            (5) Senator Warner resumed his legal education upon returning
        from the Korean War and graduated from the University of Virginia
        Law School in 1953. He was selected by the late Chief Judge E.
        Barrett Prettyman of the United States Court of Appeals for the
        District of Columbia Circuit as his law clerk. After his service to
        Judge Prettyman, Senator Warner became an Assistant United States
        Attorney in the District of Columbia, and later entered private law
        practice.
            (6) In 1969, the Senate gave its advice and consent to the
        appointment of Senator Warner as Under Secretary of the Navy. He
        served in this position until 1972, when he was confirmed and
        appointed as the 61st Secretary of the Navy since the office was
        established in 1798. As Secretary, Senator Warner was the principal
        United States negotiator and signatory of the Incidents at Sea
        Executive Agreement with the Soviet Union, which was signed in 1972
        and remains in effect today. It has served as the model for similar
        agreements between states covering the operation of naval ships and
        aircraft in international sea lanes throughout the world.
            (7) Senator Warner left the Department of the Navy in 1974. His
        next public service was as Administrator of the American Revolution
        Bicentennial Commission. In this capacity, he coordinated the
        celebration of the Nation's founding, directing the Federal role in
        all 50 States and in over 20 foreign nations.
            (8) Senator Warner has served as chairman of the Committee on
        Armed Services of the United States Senate from 1999 to 2001, and
        again since January 2003. He served as ranking minority member of
        the committee from 1987 to 1993, and again from 2001 to 2003.
        Senator Warner concludes his service as chairman at the end of the
        109th Congress, but will remain a member of the committee.
            (9) This Act is the twenty-eighth annual authorization Act for
        the Department of Defense for which Senator Warner has taken a
        major responsibility as a member of the Committee on Armed Services
        of the United States Senate, and the fourteenth for which he has
        exercised a leadership role as chairman or ranking minority member
        of the committee.
            (10) Senator Warner, as seaman, Marine officer, Under Secretary
        and Secretary of the Navy, and member, ranking minority member, and
        chairman of the Committee on Armed Services of the United States
        Senate, has made unique and lasting contributions to the national
        security of the United States.
            (11) It is altogether fitting and proper that this Act, the
        last annual authorization Act for the national defense managed by
        Senator Warner in and for the United States Senate as chairman of
        the Committee on Armed Services, be named in his honor, as provided
        in subsection (a).
    SEC. 2. ORGANIZATION OF ACT INTO DIVISIONS; TABLE OF CONTENTS.
        (a) Divisions.--This Act is organized into three divisions as
    follows:
            (1) Division A--Department of Defense Authorizations.
            (2) Division B--Military Construction Authorizations.
            (3) Division C--Department of Energy National Security
        Authorizations and Other Authorizations.
        (b) Table of Contents.--The table of contents for this Act is as
    follows:

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

                DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS

                              TITLE I--PROCUREMENT

                   Subtitle A--Authorization of Appropriations

    Sec. 101. Army.
    Sec. 102. Navy and Marine Corps.
    Sec. 103. Air Force.
    Sec. 104. Defense-wide activities.

                            Subtitle B--Army Programs

    Sec. 111. Sense of Congress on future multiyear procurement authority
              for Family of Medium Tactical Vehicles.
    Sec. 112. Multiyear procurement authority for MH-60R helicopters and
              mission equipment.
    Sec. 113. Funding profile for Modular Force Initiative of the Army.
    Sec. 114. Bridge to Future Networks program.
    Sec. 115. Comptroller General report on the contract for the Future
              Combat Systems program.
    Sec. 116. Priority for allocation of replacement equipment to
              operational units based on combat mission deployment schedule.

                            Subtitle C--Navy Programs

    Sec. 121. CVN-21 class aircraft carrier procurement.
    Sec. 122. Adherence to Navy cost estimates for CVN-21 class of aircraft
              carriers.
    Sec. 123. Modification of limitation on total cost of procurement of
              CVN-77 aircraft carrier.
    Sec. 124. Construction of first two vessels under the DDG-1000 Next-
              Generation Destroyer program.
    Sec. 125. Adherence to Navy cost estimates for LHA Replacement
              amphibious assault ship program.
    Sec. 126. Cost limitation for San Antonio (LPD-17) class amphibious ship
              program.
    Sec. 127. Multiyear procurement authority for V-22 tiltrotor aircraft
              program.
    Sec. 128. Alternative technologies for future surface combatants.
    Sec. 129. Sense of Congress regarding the size of the attack submarine
              force.
    Sec. 130. Quality control in procurement of ship critical safety items
              and related services.

                         Subtitle D--Air Force Programs

    Sec. 131. Bomber force structure.
    Sec. 132. Strategic airlift force structure.
    Sec. 133. Limitation on retirement of U-2 aircraft.
    Sec. 134. Multiyear procurement authority for F-22A Raptor fighter
              aircraft.
    Sec. 135. Limitation on retirement of KC-135E aircraft during fiscal
              year 2007.
    Sec. 136. Limitation on retirement of F-117A aircraft during fiscal year
              2007.
    Sec. 137. Limitation on retirement of C-130E tactical airlift aircraft.
    Sec. 138. Procurement of Joint Primary Aircraft Training System aircraft
              after fiscal year 2006.
    Sec. 139. Minuteman III intercontinental ballistic missile
              modernization.

                   Subtitle E--Joint and Multiservice Matters

    Sec. 141. Clarification of limitation on initiation of new unmanned
              aerial vehicle systems.

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

                   Subtitle A--Authorization of Appropriations

    Sec. 201. Authorization of appropriations.
    Sec. 202. Amount for defense science and technology.

         Subtitle B--Program Requirements, Restrictions, and Limitations

    Sec. 211. Acquisition of, and independent cost analyses for, the Joint
              Strike Fighter propulsion system.
    Sec. 212. Expansion and extension of authority to award prizes for
              advanced technology achievements.
    Sec. 213. Defense Acquisition Challenge Program extension, enhancement,
              and modification to address critical cost growth threshold
              breaches in major defense acquisition programs.
    Sec. 214. Future Combat Systems milestone review.
    Sec. 215. Dedicated amounts for implementing or evaluating Navy
              shipbuilding technology proposals under Defense Acquisition
              Challenge Program.
    Sec. 216. Independent estimate of costs of the Future Combat Systems.
    Sec. 217. Funding of defense science and technology programs.
    Sec. 218. Hypersonics development.
    Sec. 219. Report on program for replacement of nuclear warheads on
              certain Trident sea-launched ballistic missiles with
              conventional warheads.

                      Subtitle C--Missile Defense Programs

    Sec. 221. Fielding of ballistic missile defense capabilities.
    Sec. 222. Limitation on use of funds for space-based interceptor.
    Sec. 223. Policy of the United States on priorities in the development,
              testing, and fielding of missile defense capabilities.
    Sec. 224. One-year extension of Comptroller General assessments of
              ballistic missile defense programs.
    Sec. 225. Submittal of plans for test and evaluation of the operational
              capability of the Ballistic Missile Defense System.
    Sec. 226. Annual reports on transition of ballistic missile defense
              programs to the military departments.

                            Subtitle D--Other Matters

    Sec. 231. Policies and practices on test and evaluation to address
              emerging acquisition approaches.
    Sec. 232. Extension of requirement for Global Research Watch Program.
    Sec. 233. Sense of Congress on technology sharing of Joint Strike
              Fighter technology.
    Sec. 234. Report on vehicle-based active protection systems for certain
              battlefield threats.

                      TITLE III--OPERATION AND MAINTENANCE

                   Subtitle A--Authorization of Appropriations

    Sec. 301. Operation and maintenance funding.
    Sec. 302. Working capital funds.
    Sec. 303. Other Department of Defense programs.

                      Subtitle B--Environmental Provisions

    Sec. 311. Revision of requirement for unexploded ordnance program
              manager.
    Sec. 312. Funding of cooperative agreements under environmental
              restoration program.
    Sec. 313. Response plan for remediation of unexploded ordnance,
              discarded military munitions, and munitions constituents.
    Sec. 314. Research on effects of ocean disposal of munitions.
    Sec. 315. Reimbursement of Environmental Protection Agency for certain
              costs in connection with Moses Lake Wellfield Superfund Site,
              Moses Lake, Washington.
    Sec. 316. Transfer of Government-furnished uranium stored at Sequoyah
              Fuels Corporation, Gore, Oklahoma.
    Sec. 317. Extension of authority to grant exemptions to certain
              requirements.
    Sec. 318. National Academy of Sciences study on human exposure to
              contaminated drinking water at Camp Lejeune, North Carolina.

         Subtitle C--Program Requirements, Restrictions, and Limitations

    Sec. 321. Limitation on financial management improvement and audit
              initiatives within the Department of Defense.
    Sec. 322. Funds for exhibits for the national museums of the Armed
              Forces.
    Sec. 323. Prioritization of funds for equipment readiness and strategic
              capability.
    Sec. 324. Limitation on deployment of Marine Corps Total Force System to
              Navy.

                     Subtitle D--Workplace and Depot Issues

    Sec. 331. Permanent exclusion of certain contract expenditures from
              percentage limitation on the performance of depot-level
              maintenance.
    Sec. 332. Minimum capital investment for certain depots.
    Sec. 333. Extension of temporary authority for contractor performance of
              security guard functions.

                               Subtitle E--Reports

    Sec. 341. Report on Navy Fleet Response Plan.
    Sec. 342. Report on Navy surface ship rotational crew programs.
    Sec. 343. Report on Army live-fire ranges in Hawaii.
    Sec. 344. Comptroller General report on joint standards and protocols
              for access control systems at Department of Defense
              installations.
    Sec. 345. Comptroller General report on readiness of Army and Marine
              Corps ground forces.
    Sec. 346. Report on Air Force safety requirements for Air Force flight
              training operations at Pueblo Memorial Airport, Colorado.
    Sec. 347. Annual report on Personnel Security Investigations for
              Industry and National Industrial Security Program.
    Sec. 348. Five-year extension of annual report on training range
              sustainment plan and training range inventory.
    Sec. 349. Reports on withdrawal or diversion of equipment from reserve
              units for support of reserve units being mobilized and other
              units.

                            Subtitle F--Other Matters

    Sec. 351. Department of Defense strategic policy on prepositioning of
              materiel and equipment.
    Sec. 352. Authority to make Department of Defense horses available for
              adoption.
    Sec. 353. Sale and use of proceeds of recyclable munitions materials.
    Sec. 354. Recovery and transfer to Corporation for the Promotion of
              Rifle Practice and Firearms Safety of certain firearms,
              ammunition, and parts granted to foreign countries.
    Sec. 355. Extension of Department of Defense telecommunications benefit
              program.
    Sec. 356. Extension of availability of funds for commemoration of
              success of the Armed Forces in Operation Enduring Freedom and
              Operation Iraqi Freedom.
    Sec. 357. Capital security cost sharing.
    Sec. 358. Utilization of fuel cells as back-up power systems in
              Department of Defense operations.
    Sec. 359. Improving Department of Defense support for civil authorities.
    Sec. 360. Energy efficiency in weapons platforms.
    Sec. 361. Prioritization of funds within Navy mission operations, ship
              maintenance, combat support forces, and weapons system
              support.
    Sec. 362. Provision of adequate storage space to secure personal
              property outside of assigned military family housing unit.
    Sec. 363. Expansion of payment of replacement value of personal property
              damaged during transport at Government expense.

                   TITLE IV--MILITARY PERSONNEL AUTHORIZATIONS

                            Subtitle A--Active Forces

    Sec. 401. End strengths for active forces.
    Sec. 402. Revision in permanent active duty end strength minimum levels.
    Sec. 403. Additional authority for increases of Army and Marine Corps
              active duty end strengths for fiscal years 2008 and 2009.

                           Subtitle B--Reserve Forces

    Sec. 411. End strengths for Selected Reserve.
    Sec. 412. End strengths for Reserves on active duty in support of the
              reserves.
    Sec. 413. End strengths for military technicians (dual status).
    Sec. 414. Fiscal year 2007 limitation on number of non-dual status
              technicians.
    Sec. 415. Maximum number of reserve personnel authorized to be on active
              duty for operational support.

                   Subtitle C--Authorization of Appropriations

    Sec. 421. Military personnel.
    Sec. 422. Armed Forces Retirement Home.

                       TITLE V--MILITARY PERSONNEL POLICY

                      Subtitle A--Officer Personnel Policy

                   Part I--Officer Personnel Policy Generally

    Sec. 501. Military status of officers serving in certain intelligence
              community positions.
    Sec. 502. Extension of age for mandatory retirement for active-duty
              general and flag officers.
    Sec. 503. Increased mandatory retirement ages for reserve officers.
    Sec. 504. Standardization of grade of senior dental officer of the Air
              Force with that of senior dental officer of the Army.
    Sec. 505. Management of chief warrant officers.
    Sec. 506. Extension of temporary reduction of time-in-grade requirement
              for eligibility for promotion for certain active-duty list
              officers in grades of first lieutenant and lieutenant (junior
              grade).
    Sec. 507. Grade and exclusion from active-duty general and flag officer
              distribution and strength limitations of officer serving as
              Attending Physician to the Congress.
    Sec. 508. Modification of qualifications for leadership of the Naval
              Postgraduate School.

                        Part II--Officer Promotion Policy

    Sec. 511. Revisions to authorities relating to authorized delays of
              officer promotions.
    Sec. 512. Consideration of adverse information by selection boards in
              recommendations on officers to be promoted.
    Sec. 513. Expanded authority for removal from reports of selection
              boards of officers recommended for promotion to grades below
              general and flag grades.
    Sec. 514. Special selection board authorities.
    Sec. 515. Removal from promotion list of officers not promoted within 18
              months of approval of list by the President.

                 Part III--Joint Officer Management Requirements

    Sec. 516. Modification and enhancement of general authorities on
              management of officers who are joint qualified.
    Sec. 517. Modification of promotion policy objectives for joint
              officers.
    Sec. 518. Applicability of joint duty assignment requirements limited to
              graduates of National Defense University schools.
    Sec. 519. Modification of certain definitions relating to jointness.

                      Subtitle B--Reserve Component Matters

                      Part I--Reserve Component Management

    Sec. 521. Recognition of former Representative G. V. `Sonny' Montgomery
              for his 30 years of service in the House of Representatives.
    Sec. 522. Revisions to reserve call-up authority.
    Sec. 523. Military retirement credit for certain service by National
              Guard members performed while in a State duty status
              immediately after the terrorist attacks of September 11, 2001.

             Part II--Authorities Relating to Guard and Reserve Duty

    Sec. 524. Title 10 definition of Active Guard and Reserve duty.
    Sec. 525. Authority for Active Guard and Reserve duties to include
              support of operational missions assigned to the reserve
              components and instruction and training of active-duty
              personnel.
    Sec. 526. Governor's authority to order members to Active Guard and
              Reserve duty.
    Sec. 527. Expansion of operations of civil support teams.
    Sec. 528. Modification of authorities relating to the Commission on the
              National Guard and Reserves.
    Sec. 529. Additional matters to be reviewed by Commission on the
              National Guard and Reserves.

                       Subtitle C--Education and Training

                            Part I--Service Academies

    Sec. 531. Expansion of service academy exchange programs with foreign
              military academies.
    Sec. 532. Revision and clarification of requirements with respect to
              surveys and reports concerning sexual harassment and sexual
              violence at the service academies.
    Sec. 533. Department of Defense policy on service academy and ROTC
              graduates seeking to participate in professional sports before
              completion of their active-duty service obligations.

             Part II--Scholarship and Financial Assistance Programs

    Sec. 535. Authority to permit members who participate in the guaranteed
              reserve forces duty scholarship program to participate in the
              health professions scholarship program and serve on active
              duty.
    Sec. 536. Detail of commissioned officers as students at medical
              schools.
    Sec. 537. Increase in maximum amount of repayment under education loan
              repayment for officers in specified health professions.
    Sec. 538. Health Professions Scholarship and Financial Assistance
              Program for Active Service.

                          Part III--Junior ROTC Program

    Sec. 539. Junior Reserve Officers' Training Corps instructor
              qualifications.
    Sec. 540. Expansion of members eligible to be employed to provide Junior
              Reserve Officers' Training Corps instruction.
    Sec. 541. Expansion of Junior Reserve Officers' Training Corps program.
    Sec. 542. Review of legal status of Junior ROTC program.

                 Part IV--Other Education and Training Programs

    Sec. 543. Expanded eligibility for enlisted members for instruction at
              Naval Postgraduate School.

                     Subtitle D--General Service Authorities

    Sec. 546. Test of utility of test preparation guides and education
              programs in enhancing recruit candidate performance on the
              Armed Services Vocational Aptitude Battery (ASVAB) and Armed
              Forces Qualification Test (AFQT).
    Sec. 547. Clarification of nondisclosure requirements applicable to
              certain selection board proceedings.
    Sec. 548. Report on extent of provision of timely notice of long-term
              deployments.

                      Subtitle E--Military Justice Matters

    Sec. 551. Applicability of Uniform Code of Military Justice to members
              of the Armed Forces ordered to duty overseas in inactive duty
              for training status.
    Sec. 552. Clarification of application of Uniform Code of Military
              Justice during a time of war.

                       Subtitle F--Decorations and Awards

    Sec. 555. Authority for presentation of Medal of Honor Flag to living
              Medal of Honor recipients and to living primary next-of-kin of
              deceased Medal of Honor recipients.
    Sec. 556. Review of eligibility of prisoners of war for award of the
              Purple Heart.
    Sec. 557. Report on Department of Defense process for awarding
              decorations.

                   Subtitle G--Matters Relating to Casualties

    Sec. 561. Authority for retention after separation from service of
              assistive technology and devices provided while on active
              duty.
    Sec. 562. Transportation of remains of casualties dying in a theater of
              combat operations.
    Sec. 563.  Annual budget display of funds for POW/MIA activities of
              Department of Defense.
    Sec. 564. Military Severely Injured Center.
    Sec. 565. Comprehensive review on procedures of the Department of
              Defense on mortuary affairs.
    Sec. 566. Additional elements of policy on casualty assistance to
              survivors of military decedents.
    Sec. 567.  Requirement for deploying military medical personnel to be
              trained in preservation of remains under combat or combat-
              related conditions.

         Subtitle H--Impact Aid and Defense Dependents Education System

    Sec. 571. Enrollment in defense dependents' education system of
              dependents of foreign military members assigned to Supreme
              Headquarters Allied Powers, Europe.
    Sec. 572. Continuation of authority to assist local educational agencies
              that benefit dependents of members of the Armed Forces and
              Department of Defense civilian employees.
    Sec. 573. Impact aid for children with severe disabilities.
    Sec. 574. Plan and authority to assist local educational agencies
              experiencing growth in enrollment due to force structure
              changes, relocation of military units, or base closures and
              realignments.
    Sec. 575. Pilot program on parent education to promote early childhood
              education for dependent children affected by military
              deployment or relocation of military units.

                    Subtitle I--Armed Forces Retirement Home

    Sec. 578. Report on leadership and management of the Armed Forces
              Retirement Home.
    Sec. 579. Report on Local Boards of Trustees of the Armed Forces
              Retirement Home.

                               Subtitle J--Reports

    Sec. 581. Report on personnel requirements for airborne assets
              identified as Low-Density, High-Demand Airborne Assets.
    Sec. 582. Report on feasibility of establishment of Military Entrance
              Processing Command station on Guam.
    Sec. 583. Inclusion in annual Department of Defense report on sexual
              assaults of information on results of disciplinary actions.
    Sec. 584. Report on provision of electronic copy of military records on
              discharge or release of members from the Armed Forces.
    Sec. 585. Report on omission of social security account numbers from
              military identification cards.
    Sec. 586. Report on maintenance and protection of data held by the
              Secretary of Defense as part of the Department of Defense
              Joint Advertising, Market Research and Studies (JAMRS)
              program.
    Sec. 587. Comptroller General report on military conscientious
              objectors.

                            Subtitle K--Other Matters

    Sec. 591. Modification in Department of Defense contributions to
              Military Retirement Fund.
    Sec. 592. Revision in Government contributions to Medicare-Eligible
              Retiree Health Care Fund.
    Sec. 593. Dental Corps of the Navy Bureau of Medicine and Surgery.
    Sec. 594. Permanent authority for presentation of recognition items for
              recruitment and retention purposes.
    Sec. 595. Persons authorized to administer enlistment and appointment
              oaths.
    Sec. 596. Military voting matters.
    Sec. 597. Physical evaluation boards.
    Sec. 598. Military ID cards for retiree dependents who are permanently
              disabled.
    Sec. 599. United States Marine Band and United States Marine Drum and
              Bugle Corps.

               TITLE VI--COMPENSATION AND OTHER PERSONNEL BENEFITS

                         Subtitle A--Pay and Allowances

    Sec. 601. Fiscal year 2007 increase in military basic pay and reform of
              basic pay rates.
    Sec. 602. Increase in maximum rate of basic pay for general and flag
              officer grades to conform to increase in pay cap for Senior
              Executive Service personnel.
    Sec. 603. One-year extension of prohibition against requiring certain
              injured members to pay for meals provided by military
              treatment facilities.
    Sec. 604. Availability of second basic allowance for housing for certain
              reserve component or retired members serving in support of
              contingency operations.
    Sec. 605. Extension of temporary continuation of housing allowance for
              dependents of members dying on active duty to spouses who are
              also members.
    Sec. 606. Payment of full premium for coverage under Servicemembers'
              Group Life Insurance program during service in Operation
              Enduring Freedom or Operation Iraqi Freedom.
    Sec. 607. Clarification of effective date of prohibition on compensation
              for correspondence courses.
    Sec. 608. Extension of pilot program on contributions to Thrift Savings
              Plan for initial enlistees in the Army.

               Subtitle B--Bonuses and Special and Incentive Pays

    Sec. 611. Extension of certain bonus and special pay authorities for
              reserve forces.
    Sec. 612. Extension of certain bonus and special pay authorities for
              health care professionals.
    Sec. 613. Extension of special pay and bonus authorities for nuclear
              officers.
    Sec. 614. Extension of authorities relating to payment of other bonuses
              and special pays.
    Sec. 615. Expansion of eligibility of dental officers for additional
              special pay.
    Sec. 616. Increase in maximum annual rate of special pay for Selected
              Reserve health care professionals in critically short wartime
              specialties.
    Sec. 617. Expansion and enhancement of accession bonus authorities for
              certain officers in health care specialities.
    Sec. 618. Authority to provide lump sum payment of nuclear officer
              incentive pay.
    Sec. 619. Increase in maximum amount of nuclear career accession bonus.
    Sec. 620. Increase in maximum amount of incentive bonus for transfer
              between Armed Forces.
    Sec. 621. Additional authorities and incentives to encourage retired
              members and reserve component members to volunteer to serve on
              active duty in high-demand, low-density assignments.
    Sec. 622. Accession bonus for members of the Armed Forces appointed as
              commissioned officers after completing officer candidate
              school.
    Sec. 623. Modification of certain authorities applicable to the targeted
              shaping of the Armed Forces.
    Sec. 624. Enhancement of bonus to encourage certain persons to refer
              other persons for enlistment in the Army.

                Subtitle C--Travel and Transportation Allowances

    Sec. 631. Travel and transportation allowances for transportation of
              family members incident to illness or injury of members.

                  Subtitle D--Retired Pay and Survivor Benefits

    Sec. 641. Retired pay of general and flag officers to be based on rates
              of basic pay provided by law.
    Sec. 642. Inapplicability of retired pay multiplier maximum percentage
              to certain service of members of the Armed Forces in excess of
              30 years.
    Sec. 643. Military Survivor Benefit Plan beneficiaries under insurable
              interest coverage.
    Sec. 644. Modification of eligibility for commencement of authority for
              optional annuities for dependents under the Survivor Benefit
              Plan.
    Sec. 645. Study of training costs, manning, operations tempo, and other
              factors that affect retention of members of the Armed Forces
              with special operations designations.

    Subtitle E--Commissary and Nonappropriated Fund Instrumentality Benefits

    Sec. 661. Treatment of price surcharges of certain merchandise sold at
              commissary stores.
    Sec. 662. Limitations on lease of non-excess Department of Defense
              property for protection of morale, welfare, and recreation
              activities and revenue.
    Sec. 663. Report on cost effectiveness of purchasing commercial
              insurance for commissary and exchange facilities and
              facilities of other morale, welfare, and recreation programs
              and nonappropriated fund instrumentalities.
    Sec. 664. Study and report regarding access of disabled persons to
              morale, welfare, and recreation facilities and activities.

                            Subtitle F--Other Matters

    Sec. 670. Limitations on terms of consumer credit extended to
              servicemembers and dependents.
    Sec. 671. Enhancement of authority to waive claims for overpayment of
              pay and allowances and travel and transportation allowances.
    Sec. 672. Exception for notice to consumer reporting agencies regarding
              debts or erroneous payments pending a decision to waive,
              remit, or cancel.
    Sec. 673. Expansion and enhancement of authority to remit or cancel
              indebtedness of members and former members of the Armed Forces
              incurred on active duty.
    Sec. 674. Phased recovery of overpayments of pay made to members of the
              uniformed services.
    Sec. 675. Joint family support assistance program.
    Sec. 676. Special working group on transition to civilian employment of
              National Guard and Reserve members returning from deployment
              in Operation Iraqi Freedom or Operation Enduring Freedom.
    Sec. 677. Audit of pay accounts of members of the Army evacuated from a
              combat zone for inpatient care.
    Sec. 678. Report on eligibility and provision of assignment incentive
              pay.
    Sec. 679. Sense of Congress calling for payment to World War II veterans
              who survived Bataan Death March.

                        TITLE VII--HEALTH CARE PROVISIONS

                    Subtitle A--TRICARE Program Improvements

    Sec. 701. TRICARE coverage for forensic examination following sexual
              assault or domestic violence.
    Sec. 702. Authorization of anesthesia and other costs for dental care
              for children and certain other patients.
    Sec. 703. Improvements to descriptions of cancer screening for women.
    Sec. 704. Prohibition on increases in certain health care costs for
              members of the uniformed services.
    Sec. 705. Demonstration project on coverage of selected over-the-counter
              drugs under the pharmacy benefits program.
    Sec. 706. Expanded eligibility of Selected Reserve members under TRICARE
              program.
    Sec. 707. Relationship between the TRICARE program and employer-
              sponsored group health care plans.
    Sec. 708. Temporary prohibition on increase in copayments under retail
              pharmacy system of pharmacy benefits program.

                         Subtitle B--Studies and Reports

    Sec. 711. Department of Defense task force on the future of military
              health care.
    Sec. 712. Study relating to chiropractic health care services.
    Sec. 713. Comptroller General audits of Department of Defense health
              care costs and cost-saving measures.
    Sec. 714. Transfer of custody of the Air Force Health Study assets to
              Medical Follow-up Agency.
    Sec. 715. Study on allowing dependents of activated members of reserve
              components to retain civilian health care coverage.
    Sec. 716. Study of health effects of exposure to depleted uranium.
    Sec. 717. Report and plan on services to military dependent children
              with autism.
    Sec. 718. Comptroller General study on Department of Defense pharmacy
              benefits program.
    Sec. 719. Review of Department of Defense medical quality improvement
              program.
    Sec. 720. Report on distribution of hemostatic agents for use in the
              field.
    Sec. 721. Longitudinal study on traumatic brain injury incurred by
              members of the Armed Forces in Operation Iraqi Freedom and
              Operation Enduring Freedom.

                Subtitle C--Planning, Programming, and Management

    Sec. 731. Standardization of claims processing under TRICARE program and
              Medicare program.
    Sec. 732. Requirements for support of military treatment facilities by
              civilian contractors under TRICARE.
    Sec. 733. Standards and tracking of access to health care services for
              wounded, injured, or ill servicemembers returning to the
              United States from a combat zone.
    Sec. 734. Disease and chronic care management.
    Sec. 735. Additional elements of assessment of Department of Defense
              task force on mental health relating to mental health of
              members who were deployed in Operation Iraqi Freedom and
              Operation Enduring Freedom.
    Sec. 736. Additional authorized option periods for extension of current
              contracts under TRICARE.
    Sec. 737. Military vaccination matters.
    Sec. 738. Enhanced mental health screening and services for members of
              the Armed Forces.

                            Subtitle D--Other Matters

    Sec. 741. Pilot projects on early diagnosis and treatment of post
              traumatic stress disorder and other mental health conditions.
    Sec. 742. Requirement to certify and report on conversion of military
              medical and dental positions to civilian medical and dental
              positions.
    Sec. 743. Three-year extension of joint incentives program on sharing of
              health care resources by the Department of Defense and
              Department of Veterans Affairs.
    Sec. 744. Training curricula for family caregivers on care and
              assistance for members and former members of the Armed Forces
              with traumatic brain injury.
    Sec. 745. Recognition of Representative Lane Evans upon his retirement
              from the House of Representatives.

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

      Subtitle A--Provisions Relating to Major Defense Acquisition Programs

    Sec. 801. Requirements management certification training program.
    Sec. 802. Additional requirements relating to technical data rights.
    Sec. 803. Study and report on revisions to Selected Acquisition Report
              requirements.
    Sec. 804. Biannual updates on implementation of acquisition reform in
              the Department of Defense.
    Sec. 805. Additional certification requirements for major defense
              acquisition programs before proceeding to Milestone B.
    Sec. 806. Original baseline estimate for major defense acquisition
              programs.
    Sec. 807. Lead system integrators.

                  Subtitle B--Acquisition Policy and Management

    Sec. 811. Time-certain development for Department of Defense information
              technology business systems.
    Sec. 812. Pilot program on time-certain development in acquisition of
              major weapon systems.
    Sec. 813. Establishment of Panel on Contracting Integrity.
    Sec. 814. Linking of award and incentive fees to acquisition outcomes.
    Sec. 815. Report on defense instruction relating to contractor personnel
              authorized to accompany Armed Forces.
    Sec. 816. Major automated information system programs.
    Sec. 817. Internal controls for procurements on behalf of the Department
              of Defense by certain non-defense agencies.
    Sec. 818. Determination of contract type for development programs.
    Sec. 819. Three-year extension of requirement for reports on commercial
              price trend analyses of the Department of Defense.
    Sec. 820. Government performance of critical acquisition functions.

     Subtitle C--Amendments to General Contracting Authorities, Procedures,
                                 and Limitations

    Sec. 831. One-year extension of special temporary contract closeout
              authority.
    Sec. 832. Limitation on contracts for the acquisition of certain
              services.
    Sec. 833. Use of Federal supply schedules by State and local governments
              for goods and services for recovery from natural disasters,
              terrorism, or nuclear, biological, chemical, or radiological
              attack.
    Sec. 834. Waivers to extend task order contracts for advisory and
              assistance services.

          Subtitle D--United States Defense Industrial Base Provisions

    Sec. 841. Assessment and annual report of United States defense
              industrial base capabilities and acquisitions of articles,
              materials, and supplies manufactured outside the United
              States.
    Sec. 842. Protection of strategic materials critical to national
              security.
    Sec. 843. Strategic Materials Protection Board.

                            Subtitle E--Other Matters

    Sec. 851. Report on former Department of Defense officials employed by
              contractors of the Department of Defense.
    Sec. 852. Report and regulations on excessive pass-through charges.
    Sec. 853. Program manager empowerment and accountability.
    Sec. 854. Joint policies on requirements definition, contingency program
              management, and contingency contracting.
    Sec. 855. Clarification of authority to carry out certain prototype
              projects.
    Sec. 856. Contracting with employers of persons with disabilities.
    Sec. 857. Enhanced access for small business.
    Sec. 858. Procurement goal for Hispanic-serving institutions.

           TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT

                  Subtitle A--Department of Defense Management

    Sec. 901. Increase in authorized number of Assistant Secretaries of
              Defense.
    Sec. 902. Modifications to the Combatant Commander Initiative Fund.
    Sec. 903. Addition to membership of specified council.
    Sec. 904. Consolidation and standardization of authorities relating to
              Department of Defense Regional Centers for Security Studies.
    Sec. 905. Oversight by Office of Under Secretary of Defense for
              Acquisition, Technology, and Logistics of exercise of
              acquisition authority by combatant commanders and heads of
              Defense Agencies.
    Sec. 906. Standardization of statutory references to ``national security
              system'' within laws applicable to Department of Defense.
    Sec. 907. Correction of reference to predecessor of Defense Information
              Systems Agency.

                          Subtitle B--Space Activities

    Sec. 911. Designation of successor organizations for the disestablished
              Interagency Global Positioning Executive Board.
    Sec. 912.  Extension of authority for pilot program for provision of
              space surveillance network services to non-United States
              Government entities.
    Sec. 913. Operationally responsive space.
    Sec. 914. Independent review and assessment of Department of Defense
              organization and management for national security in space.

                  Subtitle C--Chemical Demilitarization Program

    Sec. 921. Sense of Congress on completion of destruction of United
              States chemical weapons stockpile.
    Sec. 922. Comptroller General review of cost-benefit analysis of off-
              site versus on-site treatment and disposal of hydrolysate
              derived from neutralization of VX nerve gas at Newport
              Chemical Depot, Indiana.
    Sec. 923. Incentives clauses in chemical demilitarization contracts.
    Sec. 924. Chemical demilitarization program contracting authority.

                    Subtitle D--Intelligence-Related Matters

    Sec. 931. Four-year extension of authority of Secretary of Defense to
              engage in commercial activities as security for intelligence
              collection activities.
    Sec. 932. Annual reports on intelligence oversight activities of the
              Department of Defense.
    Sec. 933. Collection by National Security Agency of service charges for
              certification or validation of information assurance products.

                            Subtitle E--Other Matters

    Sec. 941. Department of Defense policy on unmanned systems.
    Sec. 942. Executive Schedule level IV for Deputy Under Secretary of
              Defense for Logistics and Materiel Readiness.
    Sec. 943. Study and report on reform of Defense Travel System.
    Sec. 944. Administration of pilot project on Civilian Linguist Reserve
              Corps.
    Sec. 945. Improvement of authorities on the National Security Education
              Program.
    Sec. 946. Report on the posture of United States Special Operations
              Command to conduct the global war on terrorism.

                           TITLE X--GENERAL PROVISIONS

                          Subtitle A--Financial Matters

    Sec. 1001. General transfer authority.
    Sec. 1002. Authorization of additional emergency supplemental
              appropriations for fiscal year 2006.
    Sec. 1003. Reduction in certain authorizations due to savings relating
              to lower inflation.
    Sec. 1004. Increase in fiscal year 2006 general transfer authority.
    Sec. 1005. United States contribution to NATO common-funded budgets in
              fiscal year 2007.
    Sec. 1006. Report on budgeting for fluctuations in fuel cost rates.
    Sec. 1007. Modification of date of submittal of OMB/CBO report on
              scoring of outlays.
    Sec. 1008. Budgeting for ongoing military operations in Afghanistan and
              Iraq.

              Subtitle B--Policy Relating to Vessels and Shipyards

    Sec. 1011. Aircraft carrier force structure.
    Sec. 1012. Sense of Congress on naming the CVN-78 aircraft carrier as
              the U.S.S. Gerald R. Ford.
    Sec. 1013. Transfer of naval vessels to foreign nations based upon
              vessel class.
    Sec. 1014. Overhaul, repair, and maintenance of vessels in foreign
              shipyards.
    Sec. 1015. Report on options for future lease arrangement for Guam
              Shipyard.
    Sec. 1016. Assessments of naval vessel construction efficiencies and of
              effectiveness of special contractor incentives.
    Sec. 1017. Obtaining carriage by vessel: criterion regarding overhaul,
              repair, and maintenance of vessels in the United States.
    Sec. 1018. Riding gang member requirements.
    Sec. 1019. Authority to transfer SS Arthur M. Huddell to the Government
              of Greece.

                       Subtitle C--Counter-Drug Activities

    Sec. 1021. Extension of authority of Department of Defense to provide
              additional support for counterdrug activities of other
              governmental agencies.
    Sec. 1022. Extension and expansion of Department of Defense authority to
              provide support for counter-drug activities of certain foreign
              governments.
    Sec. 1023. Extension of authority to support unified counterdrug and
              counterterrorism campaign in Colombia.
    Sec. 1024. Continuation of reporting requirement regarding Department of
              Defense expenditures to support foreign counterdrug
              activities.
    Sec. 1025. Report on interagency counter-narcotics plan for Afghanistan
              and South and Central Asian regions.
    Sec. 1026. Report on United States support for Operation Bahamas, Turks
              & Caicos.

             Subtitle D--Force Structure and Defense Policy Matters

    Sec. 1031. Improvements to Quadrennial Defense Review.
    Sec. 1032. Quarterly reports on implementation of 2006 Quadrennial
              Defense Review Report.
    Sec. 1033. Report on feasibility of establishing a regional combatant
              command for Africa.
    Sec. 1034. Determination of Department of Defense intratheater and
              intertheater airlift requirements and sealift mobility
              requirements.
    Sec. 1035. Presidential report on improving interagency support for
              United States 21st century national security missions and
              interagency operations in support of stability, security,
              transition, and reconstruction operations.

                               Subtitle E--Reports

    Sec. 1041. Additional element in annual report on chemical and
              biological warfare defense.
    Sec. 1042. Report on biodefense human capital requirements in support of
              biosafety laboratories.
    Sec. 1043. Report on technologies for neutralizing or defeating threats
              to military rotary-wing aircraft from portable air defense
              systems and rocket-propelled grenades.
    Sec. 1044. Reports on expanded use of unmanned aerial vehicles in the
              National Airspace System.
    Sec. 1045. Report on incentives to encourage certain members and former
              members of the Armed Forces to serve in the Bureau of Customs
              and Border Protection.
    Sec. 1046. Repeal of certain report requirements.
    Sec. 1047. Requirement for identification of recently enacted recurring
              reporting requirements applicable to the Department of
              Defense.

     Subtitle F--Miscellaneous Authorities and Limitations on Availability
                                and Use of Funds

    Sec. 1051. Acceptance and retention of reimbursement from non-Federal
              sources to defray Department of Defense costs of conferences.
    Sec. 1052. Increased flexibility in use of funds for Joint Staff
              exercises.
    Sec. 1053. Prohibition on parking of funds.
    Sec. 1054. Modification of authorities relating to the Special Inspector
              General for Iraq Reconstruction.

                     Subtitle G--Matters Involving Detainees

    Sec. 1061. Provision of information to Congress on certain criminal
              investigations and prosecutions involving detainees.

                            Subtitle H--Other Matters

    Sec. 1071. Technical and clerical amendments.
    Sec. 1072. Revision to authorities relating to Commission on the
              Implementation of the New Strategic Posture of the United
              States.
    Sec. 1073. Revised deadline for submission of final report of EMP
              Commission.
    Sec. 1074. Extension of returning worker exemption to H-2B numerical
              limitation.
    Sec. 1075. Patent term extensions for the badges of the American Legion,
              the American Legion Women's Auxiliary, and the Sons of the
              American Legion.
    Sec. 1076. Use of the Armed Forces in major public emergencies.
    Sec. 1077. Increased hunting and fishing opportunities for members of
              the Armed Forces, retired members, and disabled veterans.

                      TITLE XI--CIVILIAN PERSONNEL MATTERS

    Sec. 1101. Accrual of annual leave for members of the uniformed services
              performing dual employment.
    Sec. 1102. Strategy for improving the senior management, functional, and
              technical workforce of the Department of Defense.
    Sec. 1103. Three-year extension of authority for experimental personnel
              management program for scientific and technical personnel.
    Sec. 1104. Reports on members of the Armed Forces and civilian employees
              of the Department of Defense serving in the legislative
              branch.
    Sec. 1105. Extension of authority to waive annual limitation on total
              compensation paid to Federal civilian employees.

                 TITLE XII--MATTERS RELATING TO FOREIGN NATIONS

                       Subtitle A--Assistance and Training

    Sec. 1201. Logistic support for allied forces participating in combined
              operations.
    Sec. 1202. Temporary authority to use acquisition and cross-servicing
              agreements to lend certain military equipment to foreign
              forces in Iraq and Afghanistan for personnel protection and
              survivability.
    Sec. 1203. Recodification and revision to law relating to Department of
              Defense humanitarian demining assistance.
    Sec. 1204. Enhancements to Regional Defense Combating Terrorism
              Fellowship Program.
    Sec. 1205. Participation of the Department of Defense in multinational
              military centers of excellence.
    Sec. 1206. Modification and extension of authorities relating to program
              to build the capacity of foreign military forces.
    Sec. 1207. Authority for distribution to certain foreign personnel of
              education and training materials and information technology to
              enhance military interoperability.

          Subtitle B--Nonproliferation Matters and Countries of Concern

    Sec. 1211. North Korea.
    Sec. 1212. Report on participation of multinational partners in the
              United Nations Command in the Republic of Korea.
    Sec. 1213. Intelligence on Iran.
    Sec. 1214. Sense of Congress on United States policy on the nuclear
              programs of Iran.

                            Subtitle C--Other Matters

    Sec. 1221. Exclusion of petroleum, oil, and lubricants from limitations
              on annual amount of liabilities the United States may accrue
              under acquisition and cross-servicing agreements.
    Sec. 1222. Modification of limitations on assistance under the American
              Servicemembers' Protection Act of 2002.
    Sec. 1223. Humanitarian support for Iraqi children in urgent need of
              medical care.
    Sec. 1224. Sense of Congress opposing the granting of amnesty by the
              government of Iraq to persons known to have attacked, killed,
              or wounded members of the United States Armed Forces in Iraq.
    Sec. 1225. Annual reports on United States contributions to the United
              Nations.
    Sec. 1226. Comprehensive regional strategy and annual reports on
              Somalia.
    Sec. 1227. Report on the implementation of the Darfur Peace Agreement.
    Sec. 1228. Sense of Congress concerning cooperation with Russia on
              issues pertaining to missile defense.
    Sec. 1229. Sense of Congress calling for convening of a summit for a
              comprehensive political agreement for Iraq.
    Sec. 1230. Sense of Congress on the commendable actions of the Armed
              Forces in Iraq.
    Sec. 1231. Annual report on foreign sales of significant military
              equipment manufactured in the United States.

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

    Sec. 1301. Specification of Cooperative Threat Reduction programs and
              funds.
    Sec. 1302. Funding allocations.
    Sec. 1303. Extension of temporary authority to waive limitation on
              funding for chemical weapons destruction facility in Russia.
    Sec. 1304. National Academy of Sciences study of prevention of
              proliferation of biological weapons.

      TITLE XIV--MATTERS RELATED TO DEFENSE AGAINST TERRORISM AND RELATED
                                SECURITY MATTERS

    Sec. 1401. Enhancement to authority to pay rewards for assistance in
              combating terrorism.
    Sec. 1402. Quarterly reports on Department of Defense response to threat
              posed by improvised explosive devices.
    Sec. 1403. Requirement that all military wheeled vehicles used in Iraq
              and Afghanistan outside of secure military operating bases be
              protected by Improvised Explosive Device (IED) jammers.
    Sec. 1404. Report on assessment process of Chairman of the Joint Chiefs
              of Staff relating to Global War on Terrorism.
    Sec. 1405. Treatment under Freedom of Information Act of certain
              confidential information shared with State and local
              personnel.
    Sec. 1406. Database of emergency response capabilities.

       TITLE XV--AUTHORIZATION FOR INCREASED COSTS DUE TO OPERATION IRAQI
                     FREEDOM AND OPERATION ENDURING FREEDOM

    Sec. 1501. Purpose.
    Sec. 1502. Army procurement.
    Sec. 1503. Navy and Marine Corps procurement.
    Sec. 1504. Air Force procurement.
    Sec. 1505. Defense-wide activities procurement.
    Sec. 1506. Research, development, test and evaluation.
    Sec. 1507. Operation and maintenance.
    Sec. 1508. Defense Health Program.
    Sec. 1509. Classified programs.
    Sec. 1510. Military personnel.
    Sec. 1511. Treatment as additional authorizations.
    Sec. 1512. Transfer authority.
    Sec. 1513. Availability of funds.
    Sec. 1514. Joint Improvised Explosive Device Defeat Fund.
    Sec. 1515. Iraq Freedom Fund.
    Sec. 1516. Iraq Security Forces Fund.
    Sec. 1517. Afghanistan Security Forces Fund.
    Sec. 1518. Submittal to Congress of Department of Defense supplemental
              and cost of war execution reports.
    Sec. 1519. Limitation on availability of funds for certain purposes
              relating to Iraq.
    Sec. 1520. Intelligence Community Management Account.

                DIVISION  B--MILITARY CONSTRUCTION AUTHORIZATIONS

    Sec. 2001. Short title.
    Sec. 2002. Recognition of Representative Joel Hefley upon his retirement
              from the House of Representatives.

                                 TITLE XXI--ARMY

    Sec. 2101. Authorized Army construction and land acquisition projects.
    Sec. 2102. Family housing.
    Sec. 2103. Improvements to military family housing units.
    Sec. 2104. Authorization of appropriations, Army.

                                TITLE XXII--NAVY

    Sec. 2201. Authorized Navy construction and land acquisition projects.
    Sec. 2202. Family housing.
    Sec. 2203. Improvements to military family housing units.
    Sec. 2204. Authorization of appropriations, Navy.
    Sec. 2205. Modification of authority to carry out certain fiscal year
              2004, 2005, and 2006 projects.

                             TITLE XXIII--AIR FORCE

    Sec. 2301. Authorized Air Force construction and land acquisition
              projects.
    Sec. 2302. Family housing.
    Sec. 2303. Improvements to military family housing units.
    Sec. 2304. Authorization of appropriations, Air Force.
    Sec. 2305. Modification of authority to carry out certain fiscal year
              2006 project.

                          TITLE XXIV--DEFENSE AGENCIES

    Sec. 2401. Authorized Defense Agencies construction and land acquisition
              projects.
    Sec. 2402. Family housing.
    Sec. 2403. Energy conservation projects.
    Sec. 2404. Authorized base closure and realignment activities funded
              through Department of Defense Base Closure Account 2005.
    Sec. 2405. Authorization of appropriations, Defense Agencies.
    Sec. 2406. Modification of authority to carry out certain fiscal year
              2006 project.

       TITLE XXV--NORTH ATLANTIC TREATY ORGANIZATION SECURITY INVESTMENT
                                     PROGRAM

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

                 TITLE XXVI--GUARD AND RESERVE FORCES FACILITIES

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

             TITLE XXVII--EXPIRATION AND EXTENSION OF AUTHORIZATIONS

    Sec. 2701. Expiration of authorizations and amounts required to be
              specified by law.
    Sec. 2702. Extension of authorizations of certain fiscal year 2004
              projects.
    Sec. 2703. Extension of authorizations of certain fiscal year 2003
              projects.
    Sec. 2704. Effective date.

             TITLE XXVIII--MILITARY CONSTRUCTION GENERAL PROVISIONS

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

    Sec. 2801. Increase in maximum annual amount authorized to be obligated
              for emergency military construction.
    Sec. 2802. One-year extension of temporary, limited authority to use
              operation and maintenance funds for construction projects
              outside the United States.
    Sec. 2803. Repeal of requirement to determine availability of suitable
              alternative housing for acquisition in lieu of construction of
              new family housing.
    Sec. 2804. Authority to continue to occupy leased family housing for
              United States Southern Command personnel.
    Sec. 2805. Consideration of alternative and more efficient uses for
              general officer and flag officer quarters in excess of 6,000
              square feet.
    Sec. 2806. Modification of notification requirements related to cost
              variation authority.
    Sec. 2807. Consideration of local comparability of floor areas in
              construction, acquisition, and improvement of military
              unaccompanied housing.
    Sec. 2808. Certification required for military construction projects for
              facilities designed to provide training in urban operations.
    Sec. 2809. Authority to carry out military construction projects in
              connection with industrial facility investment program.
    Sec. 2810. Repeal of special requirement for military construction
              contracts on Guam.
    Sec. 2811. Temporary expansion of authority to convey property at
              military installations to support military construction.
    Sec. 2812. Pilot projects for acquisition or construction of military
              unaccompanied housing.

             Subtitle B--Real Property and Facilities Administration

    Sec. 2821. Congressional notice requirements, in advance of acquisition
              of land by condemnation for military purposes.
    Sec. 2822. Consolidation of Department of Defense authorities regarding
              granting of easements for rights-of-way.
    Sec. 2823. Authority to grant restrictive easements for conservation
              purposes in connection with land conveyances.
    Sec. 2824. Maximum term of leases for structures and real property
              relating to structures in foreign countries needed for
              purposes other than family housing.
    Sec. 2825. Consolidation of laws relating to transfer of Department of
              Defense real property within the Department of Defense and to
              other Federal agencies.
    Sec. 2826. Defense access road program.
    Sec. 2827. Reports on Army operational ranges.

                    Subtitle C--Base Closure and Realignment

    Sec. 2831. Modification of deposit requirements in connection with lease
              proceeds received at military installations approved for
              closure or realignment after January 1, 2005.
    Sec. 2832. Report on Air Force and Air National Guard bases affected by
              2005 round of defense base closure and realignment.

                          Subtitle D--Land Conveyances

    Sec. 2841. Conveyance of easement, Pine Bluff Arsenal, Arkansas.
    Sec. 2842. Modification of land transfer authority, Potomac Annex,
              District of Columbia.
    Sec. 2843. Land conveyance, Naval Air Station, Barbers Point, Hawaii.
    Sec. 2844. Land conveyances, Omaha, Nebraska.
    Sec. 2845. Land conveyance, Hopkinton, New Hampshire.
    Sec. 2846. Land conveyance, North Hills Army Reserve Center, Allison
              Park, Pennsylvania.
    Sec. 2847. Transfer of jurisdiction, Fort Jackson, South Carolina.
    Sec. 2848. Sense of Congress regarding land conveyance involving Army
              Reserve Center, Marshall, Texas.
    Sec. 2849. Modifications to land conveyance authority, Engineering
              Proving Ground, Fort Belvoir, Virginia.
    Sec. 2850. Land conveyance, Radford Army Ammunition Plant, New River
              Unit, Virginia.

                           Subtitle E--Energy Security

    Sec. 2851. Consolidation and enhancement of laws to improve Department
              of Defense energy efficiency and conservation.
    Sec. 2852. Department of Defense goal regarding use of renewable energy
              to meet electricity needs.
    Sec. 2853. Congressional notification of cancellation ceiling for
              Department of Defense energy savings performance contracts.
    Sec. 2854. Use of energy efficiency products in new construction.

                            Subtitle F--Other Matters

    Sec. 2861. Availability of research and technical assistance under
              Defense Economic Adjustment Program.
    Sec. 2862. Availability of community planning assistance relating to
              encroachment of civilian communities on military facilities
              used for training by the Armed Forces.
    Sec. 2863. Prohibitions against making certain military airfields or
              facilities available for use by civil aircraft.
    Sec. 2864. Modification of certain transportation projects.
    Sec. 2865. Availability of funds for South County Commuter Rail project,
              Providence, Rhode Island.
    Sec. 2866. Fox Point Hurricane Barrier, Providence, Rhode Island.
    Sec. 2867. Federal funding for fixed guideway projects.
    Sec. 2868. Feasibility study regarding use of General Services
              Administration property for Fort Belvoir, Virginia,
              realignment.

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

           TITLE XXXI--DEPARTMENT OF ENERGY NATIONAL SECURITY PROGRAMS

              Subtitle A--National Security Programs Authorizations

    Sec. 3101. National Nuclear Security Administration.
    Sec. 3102. Defense environmental cleanup.
    Sec. 3103. Other defense activities.
    Sec. 3104. Defense nuclear waste disposal.

        Subtitle B--Program Authorizations, Restrictions, and Limitations

    Sec. 3111. Plan for transformation of National Nuclear Security
              Administration nuclear weapons complex.
    Sec. 3112. Extension of Facilities and Infrastructure Recapitalization
              Program.
    Sec. 3113. Utilization of contributions to Global Threat Reduction
              Initiative.
    Sec. 3114. Utilization of contributions to Second Line of Defense
              program.
    Sec. 3115. Two-year extension of authority for appointment of certain
              scientific, engineering, and technical personnel.
    Sec. 3116. National Academy of Sciences study of quantification of
              margins and uncertainty methodology for assessing and
              certifying the safety and reliability of the nuclear
              stockpile.
    Sec. 3117. Consolidation of counterintelligence programs of Department
              of Energy and National Nuclear Security Administration.
    Sec. 3118. Notice-and-wait requirement applicable to certain third-party
              financing arrangements.
    Sec. 3119. Extension of deadline for transfer of lands to Los Alamos
              County, New Mexico, and of lands in trust for the Pueblo of
              San Ildefonso.
    Sec. 3120. Limitations on availability of funds for Waste Treatment and
              Immobilization Plant.
    Sec. 3121. Report on Russian Surplus Fissile Materials Disposition
              Program.
    Sec. 3122. Limitation on availability of funds for construction of MOX
              Fuel Fabrication Facility.
    Sec. 3123. Education of future nuclear engineers.
    Sec. 3124. Technical correction related to authorization of
              appropriations for fiscal year 2006.

              TITLE XXXII--DEFENSE NUCLEAR FACILITIES SAFETY BOARD

    Sec. 3201. Authorization.

                    TITLE XXXIII--NATIONAL DEFENSE STOCKPILE

    Sec. 3301. Authorized uses of National Defense Stockpile funds.
    Sec. 3302. Revisions to required receipt objectives for previously
              authorized disposals from National Defense Stockpile.

                      TITLE XXXIV--NAVAL PETROLEUM RESERVES

    Sec. 3401. Authorization of appropriations

                       TITLE XXXV--MARITIME ADMINISTRATION

    Sec. 3501. Authorization of appropriations for fiscal year 2007.
    Sec. 3502. Amendments relating to the Maritime Security Fleet program.
    Sec. 3503. Applicability to certain Maritime Administration vessels of
              limitations on overhaul, repair, and maintenance of vessels in
              foreign shipyards.
    Sec. 3504. Vessel transfer authority.
    Sec. 3505. United States Merchant Marine Academy graduates: service
              requirements.
    Sec. 3506. United States Merchant Marine Academy graduates: service
              obligation performance reporting requirement.
    Sec. 3507. Temporary authority to transfer obsolete combatant vessels to
              Navy for disposal.
    Sec. 3508. Qualifying Reserve duty for receipt of student incentive
              payments.
    Sec. 3509. Large passenger ship crew requirements.
    Sec. 3510. Miscellaneous Maritime Administration provisions.
    SEC. 3. CONGRESSIONAL DEFENSE COMMITTEES.
        For purposes of this Act, the term ``congressional defense
    committees'' has the meaning given that term in section 101(a)(16) of
    title 10, United States Code.

                DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS
                              TITLE I--PROCUREMENT

                   Subtitle A--Authorization of Appropriations

     101. Army.
     102. Navy and Marine Corps.
     103. Air Force.
     104. Defense-wide activities.

                            Subtitle B--Army Programs

     111. Sense of Congress on future multiyear procurement authority for
              Family of Medium Tactical Vehicles.
     112. Multiyear procurement authority for MH-60R helicopters and mission
              equipment.
     113. Funding profile for Modular Force Initiative of the Army.
     114. Bridge to Future Networks program.
     115. Comptroller General report on the contract for the Future Combat
              Systems program.
     116. Priority for allocation of replacement equipment to operational
              units based on combat mission deployment schedule.

                            Subtitle C--Navy Programs

     121. CVN-21 class aircraft carrier procurement.
     122. Adherence to Navy cost estimates for CVN-21 class of aircraft
              carriers.
     123. Modification of limitation on total cost of procurement of CVN-77
              aircraft carrier.
     124. Construction of first two vessels under the DDG-1000 Next-
              Generation Destroyer program.
     125. Adherence to Navy cost estimates for LHA Replacement amphibious
              assault ship program.
     126. Cost limitation for San Antonio (LPD-17) class amphibious ship
              program.
     127. Multiyear procurement authority for V-22 tiltrotor aircraft
              program.
     128. Alternative technologies for future surface combatants.
     129. Sense of Congress regarding the size of the attack submarine
              force.
     130. Quality control in procurement of ship critical safety items and
              related services.

                         Subtitle D--Air Force Programs

     131. Bomber force structure.
     132. Strategic airlift force structure.
     133. Limitation on retirement of U-2 aircraft.
     134. Multiyear procurement authority for F-22A Raptor fighter aircraft.
     135. Limitation on retirement of KC-135E aircraft during fiscal year
              2007.
     136. Limitation on retirement of F-117A aircraft during fiscal year
              2007.
     137. Limitation on retirement of C-130E tactical airlift aircraft.
     138. Procurement of Joint Primary Aircraft Training System aircraft
              after fiscal year 2006.
     139. Minuteman III intercontinental ballistic missile modernization.

                   Subtitle E--Joint and Multiservice Matters

     141. Clarification of limitation on initiation of new unmanned aerial
              vehicle systems.

                  Subtitle A--Authorization of Appropriations

        SEC. 101. ARMY.
        Funds are hereby authorized to be appropriated for fiscal year 2007
    for procurement for the Army as follows:
            (1) For aircraft, $3,451,429,000.
            (2) For missiles, $1,328,859,000.
            (3) For weapons and tracked combat vehicles, $2,278,604,000.
            (4) For ammunition, $1,984,325,000.
            (5) For other procurement, $7,687,502,000.
            (6) For National Guard Equipment, $318,000,000.
        SEC. 102. NAVY AND MARINE CORPS.
        (a) Navy.--Funds are hereby authorized to be appropriated for
    fiscal year 2007 for procurement for the Navy as follows:
            (1) For aircraft, $10,734,071,000.
            (2) For weapons, including missiles and torpedoes,
        $2,549,020,000.
            (3) For shipbuilding and conversion, $11,021,553,000.
            (4) For other procurement, $4,995,033,000.
        (b) Marine Corps.--Funds are hereby authorized to be appropriated
    for fiscal year 2007 for procurement for the Marine Corps in the amount
    of $1,253,813,000.
        (c) Navy and Marine Corps Ammunition.--Funds are hereby authorized
    to be appropriated for fiscal year 2007 for procurement of ammunition
    for the Navy and the Marine Corps in the amount of $797,943,000.
        SEC. 103. AIR FORCE.
        Funds are hereby authorized to be appropriated for fiscal year 2007
    for procurement for the Air Force as follows:
            (1) For aircraft, $12,179,154,000.
            (2) For ammunition, $1,072,749,000.
            (3) For missiles, $4,171,886,000.
            (4) For other procurement, $15,443,286,000.
        SEC. 104. DEFENSE-WIDE ACTIVITIES.
        Funds are hereby authorized to be appropriated for fiscal year 2007
    for Defense-wide procurement in the amount of $2,886,361,000.

                           Subtitle B--Army Programs

        SEC. 111. SENSE OF CONGRESS ON FUTURE MULTIYEAR PROCUREMENT
          AUTHORITY FOR FAMILY OF MEDIUM TACTICAL VEHICLES.
        (a) Future Acquisition Strategy.--It is the sense of Congress that,
    as part of the Army's planning, programming, and budgeting process for
    fiscal year 2008, the Secretary of the Army should request from
    Congress authority by law to enter into a multiyear procurement (MYP)
    contract for the Family of Medium Tactical Vehicles (FMTV) program and
    that, in support of such request, the Secretary should submit to
    Congress the necessary justification materials required by law to
    justify a multiyear procurement (MYP) contract, including the material
    required by section 2306b of title 10, United States Code.
        (b) Incorporation of Product Improvements.--It is the sense of
    Congress that any proposal by the Secretary of the Army for multiyear
    procurement authority for procurement of vehicles under the Family of
    Medium Tactical Vehicles program should provide for incorporation into
    the vehicles to be procured through such authority of improvements
    from--
            (1) lessons learned from operations involving the Global War on
        Terrorism; and
            (2) product improvement programs carried out for the Family of
        Medium Tactical Vehicles program in the areas of force protection,
        survivability, reliability, network communications, situational
        awareness, and safety.
        SEC. 112. MULTIYEAR PROCUREMENT AUTHORITY FOR MH-60R HELICOPTERS
          AND MISSION EQUIPMENT.
        (a) MH-60R Helicopter.--Subject to subsection (c), the Secretary of
    the Army, acting as executive agent for the Department of the Navy, may
    enter into a multiyear contract for the procurement of MH-60R
    helicopters.
        (b) MH-60R Helicopter Mission Equipment.--Subject to subsection
    (c), the Secretary of the Navy may enter into a multiyear contract for
    the procurement of MH-60R helicopter mission equipment for the
    helicopters covered by a multiyear contract under subsection (a).
        (c) Contract Requirements.--Any multiyear contract under this
    section--
            (1) shall be entered into in accordance with section 2306b of
        title 10, United States Code, and shall commence with the fiscal
        year 2007 program year; and
            (2) shall provide that any obligation of the United States to
        make a payment under the contract is subject to the availability of
        appropriations for that purpose.
        SEC. 113. FUNDING PROFILE FOR MODULAR FORCE INITIATIVE OF THE ARMY.
        The Secretary of the Army shall set forth in the budget
    presentation materials of the Army submitted to Congress in support of
    the President's budget for any fiscal year after fiscal year 2007, and
    in other relevant materials submitted to Congress with respect to the
    budget of the Army for any such fiscal year, all amounts for
    procurement for the M1A2 Abrams tank System Enhancement Program (SEP)
    and for the Bradley A3 fighting vehicle as elements within the amounts
    requested for the Modular Force Initiative of the Army, in accordance
    with the report of the Army titled ``The Army Modular Force
    Initiative'', submitted to Congress in March 2006.
        SEC. 114. BRIDGE TO FUTURE NETWORKS PROGRAM.
        (a) Limitation on Fiscal Year 2007 Amount.--Of the amount
    authorized to be appropriated for the Army for fiscal year 2007 for
    Other Procurement, Army, that is available for the program of the Army
    designated as the Bridge to Future Networks, not more than 75 percent
    shall be made available for obligation until the Secretary of the Army
    submits to the congressional defense committees a report on that
    program that includes the matters specified in subsection (b).
        (b) Matters To Be Included.--The report under subsection (a) shall
    include the following:
            (1) An analysis of how the systems specified in subsection (c)
        will fit together, including, for each such system, an analysis of
        whether there are opportunities to leverage technologies and
        equipment from that system as part of the development of the other
        systems.
            (2) A description of the extent to which components of the
        systems specified in subsection (c) could be used together as
        elements of a single tactical network.
            (3) A description of the strategy of the Army for completing
        the systems engineering necessary to ensure the end-to-end
        interoperability of a single tactical network referred to in
        paragraph (2).
            (4) An assessment of the costs of acquiring each of the systems
        specified in subsection (c).
            (5) An assessment of the technical compatibility of the systems
        specified in subsection (c).
            (6) A description of the plans of the Army for fielding the
        systems specified in subsection (c).
            (7) A description of the plans of the Army for sustaining the
        Joint Network Node through fiscal year 2020 and an assessment of
        the need to upgrade its technologies and equipment.
            (8) A description of the plans of the Army for the insertion of
        new technology into the Joint Network Node.
        (c) Specified Systems.--The systems referred to in subsection (b)
    are as follows:
            (1) The Joint Network Node (JNN) element of the Bridge to
        Future Networks program.
            (2) The Warfighter Information Network-Tactical (WIN-T)
        program.
            (3) The Mounted Battle Command On-the-Move (MBCOTM) system.
        SEC. 115. COMPTROLLER GENERAL REPORT ON THE CONTRACT FOR THE FUTURE
          COMBAT SYSTEMS PROGRAM.
        (a) Report Required.--Not later than March 15, 2007, the
    Comptroller General of the United States shall submit to the
    congressional defense committees a report on the participation and
    activities of the lead systems integrator in the Future Combat Systems
    (FCS) program under the contract of the Army for the Future Combat
    Systems.
        (b) Elements.--The report required by subsection (a) shall include
    the following:
            (1) A description of the responsibilities of the lead systems
        integrator in managing the Future Combat Systems program under the
        contract for the Future Combat Systems, and an assessment of the
        manner in which such responsibilities differ from the typical
        responsibilities of a lead systems integrator under acquisition
        contracts of the Department of Defense.
            (2) A description and assessment of the responsibilities of the
        Army in managing the Future Combat Systems program, including
        oversight of the activities of the lead systems integrator and the
        decisions made by the lead systems integrator.
            (3) An assessment of the manner in which the Army--
                (A) ensures that the lead systems integrator meets goals
            for the Future Combat Systems in a timely manner; and
                (B) evaluates the extent to which such goals are met.
            (4) An identification of the mechanisms in place to ensure the
        protection of the interests of the United States in the Future
        Combat Systems program.
            (5) An identification of the mechanisms in place to mitigate
        organizational conflicts of interest with respect to competition on
        Future Combat Systems technologies and equipment under subcontracts
        under the Future Combat Systems program.
        SEC. 116. PRIORITY FOR ALLOCATION OF REPLACEMENT EQUIPMENT TO
          OPERATIONAL UNITS BASED ON COMBAT MISSION DEPLOYMENT SCHEDULE.
        The Secretary of Defense shall ensure that priority for the
    distribution of new and combat-serviceable replacement equipment
    acquired using funds authorized to be appropriated by this title
    (together with associated support and test equipment) is given to
    operational units (regardless of component) based on combat mission
    deployment schedule.

                           Subtitle C--Navy Programs

        SEC. 121. CVN-21 CLASS AIRCRAFT CARRIER PROCUREMENT.
        (a) Contract Authority for Construction.--In the fiscal year
    immediately following the last fiscal year of the contract for advance
    procurement for a CVN-21 class aircraft carrier designated CVN-78, CVN-
    79, or CVN-80, as applicable, the Secretary may enter into a contract
    for the construction of such aircraft carrier to be funded in the
    fiscal year of such contract for construction and the succeeding three
    fiscal years.
        (b) Condition for Out-Year Contract Payments.--A contract entered
    into under subsection (a) shall provide that any obligation of the
    United States to make a payment under the contract for any subsequent
    fiscal year is subject to the availability of appropriations for that
    purpose for such subsequent fiscal year.
        (c) Repeal of Superceded Provision.--Section 128 of the National
    Defense Authorization Act for Fiscal Year 2006 (Public Law 109-163; 119
    Stat. 3159) is repealed.
        SEC. 122. ADHERENCE TO NAVY COST ESTIMATES FOR CVN-21 CLASS OF
          AIRCRAFT CARRIERS.
        (a) Limitation.--
            (1) Lead ship.--The total amount obligated or expended from
        funds appropriated or otherwise made available for Shipbuilding and
        Conversion, Navy, or for any other procurement account, for the
        aircraft carrier designated as CVN-21 may not exceed
        $10,500,000,000 (as adjusted pursuant to subsection (b)).
            (2) Follow-on ships.--The total amount obligated or expended
        from funds appropriated or otherwise made available for
        Shipbuilding and Conversion, Navy, or for any other procurement
        account, for the construction of any ship that is constructed in
        the CVN-21 class of aircraft carriers after the lead ship of that
        class may not exceed $8,100,000,000 (as adjusted pursuant to
        subsection (b)).
        (b) Adjustment of Limitation Amount.--The Secretary of the Navy may
    adjust the amount set forth in subsection (a) for any ship constructed
    in the CVN-21 class of aircraft carriers by the following:
            (1) The amounts of increases or decreases in costs attributable
        to economic inflation after September 30, 2006.
            (2) The amounts of increases or decreases in costs attributable
        to compliance with changes in Federal, State, or local laws enacted
        after September 30, 2006.
            (3) The amounts of outfitting costs and post-delivery costs
        incurred for that ship.
            (4) The amounts of increases or decreases in costs of that ship
        that are attributable to insertion of new technology into that
        ship, as compared to the technology baseline as it was defined in
        the approved acquisition program baseline estimate of December
        2005.
            (5) The amounts of increases or decreases to nonrecurring
        design and engineering cost attributable to achieving compliance
        with the cost limitation.
            (6) The amounts of increases or decreases to cost required to
        correct deficiencies that may affect the safety of the ship and
        personnel or otherwise preclude the ship from safe operations and
        crew certification.
        (c) Limitation on Technology Insertion Cost Adjustment.--The
    Secretary of the Navy may use the authority under paragraph (4) of
    subsection (b) to adjust the amount set forth in subsection (a) for a
    ship referred to in that subsection with respect to insertion of new
    technology into that ship only if--
            (1) the Secretary determines, and certifies to the
        congressional defense committees, that insertion of the new
        technology would lower the life-cycle cost of the ship; or
            (2) the Secretary determines, and certifies to the
        congressional defense committees, that insertion of the new
        technology is required to meet an emerging threat and the Secretary
        of Defense certifies to those committees that such threat poses
        grave harm to national security.
        (d) Written Notice of Change in Amount.--
            (1) Requirement.--The Secretary of the Navy shall submit to the
        congressional defense committees each year, at the same time that
        the budget is submitted under section 1105(a) of title 31, United
        States Code, for the next fiscal year, written notice of any change
        in the amount set forth in subsection (a) during the preceding
        fiscal year that the Secretary has determined to be associated with
        a cost referred to in subsection (b).
            (2) Effective date.--The requirement in paragraph (1) shall
        become effective with the budget request for the year of
        procurement of the first ship referred to in subsection (a).
        SEC. 123. MODIFICATION OF LIMITATION ON TOTAL COST OF PROCUREMENT
          OF CVN-77 AIRCRAFT CARRIER.
        Section 122(f)(1) of the National Defense Authorization Act for
    Fiscal Year 1998 (Public Law 105-85; 111 Stat. 1650) is amended by
    striking ``$4,600,000,000 (such amount being the estimated cost for the
    procurement of the CVN-77 aircraft carrier in the March 1997
    procurement plan)'' and inserting ``$6,057,000,000''.
        SEC. 124. CONSTRUCTION OF FIRST TWO VESSELS UNDER THE DDG-1000
          NEXT-GENERATION DESTROYER PROGRAM.
        (a) Availability of Funds.--Of the amount authorized to be
    appropriated by section 102(a)(3) for fiscal year 2007 for Shipbuilding
    and Conversion, Navy, $2,568,000,000 may be available for the
    construction of the first two vessels under the DDG-1000 Next-
    Generation Destroyer program.
        (b) Contract Authority.--
            (1) In general.--The Secretary of the Navy may enter into a
        contract beginning with the fiscal year 2007 program year for
        procurement of each of the first two vessels under the DDG-1000
        Next-Generation Destroyer program.
            (2) Limitation.--Not more than one contract described in
        paragraph (1) may be awarded under that paragraph to a single
        shipyard.
            (3) Split funding authorized.--Each contract under paragraph
        (1) shall contemplate funding for the procurement of a vessel under
        such contract using a combination of funds appropriated for fiscal
        year 2007 and funds appropriated for fiscal year 2008.
            (4) Condition on out-year contract payments.--A contract
        entered into under paragraph (1) shall provide that any obligation
        of the United States to make a payment under such contract for any
        fiscal year after fiscal year 2007 is subject to the availability
        of appropriations for that purpose for such fiscal year.
        (c) Sense of Congress on Funding for Follow-on Ships.--It is the
    sense of Congress that there is sufficient benefit to authorizing the
    one-time exception provided in this section to the full funding policy
    in order to support the competitive procurement of the follow-on ships
    of the DDG-1000 Next-Generation Destroyer program. However, it is the
    expectation of Congress that the Secretary of the Navy will structure
    the DDG-1000 program so that each ship, after the first two ships, is
    procured using the method of full funding in a single year.
        SEC. 125. ADHERENCE TO NAVY COST ESTIMATES FOR LHA REPLACEMENT
          AMPHIBIOUS ASSAULT SHIP PROGRAM.
        (a) Limitation.--The total amount obligated or expended from funds
    appropriated or otherwise made available for Shipbuilding and
    Conversion, Navy, or for any other procurement account, for procurement
    of any ship that is constructed under the LHA Replacement (LHA(R))
    amphibious assault ship program may not exceed $2,813,600,000 (as
    adjusted pursuant to subsection (b)).
        (b) Adjustment of Limitation Amount.--The Secretary of the Navy may
    adjust the amount set forth in subsection (a) for any ship constructed
    under the LHA Replacement amphibious assault ship program by the
    following:
            (1) The amounts of increases or decreases in costs attributable
        to economic inflation after September 30, 2006.
            (2) The amounts of increases or decreases in costs attributable
        to compliance with changes in Federal, State, or local laws enacted
        after September 30, 2006.
            (3) The amounts of outfitting costs and post-delivery costs
        incurred for that ship.
            (4) The amounts of increases or decreases in costs of that ship
        that are attributable to insertion of new technology into that
        ship, as compared to the technology baseline as it was defined at
        the development stage referred to as Milestone B.
            (5) The amounts of increases or decreases to nonrecurring
        design and engineering cost attributable to achieving compliance
        with the cost limitation.
            (6) The amounts of increases or decreases to cost required to
        correct deficiencies that may affect the safety of the ship and
        personnel or otherwise preclude the ship from safe operations and
        crew certification.
            (7) Contract cost adjustments directly attributed to the effect
        of Hurricane Katrina in August 2005 or other force majeure contract
        modifications.
        (c) Limitation on Technology Insertion Cost Adjustment.--The
    Secretary of the Navy may use the authority under paragraph (4) of
    subsection (b) to adjust the amount set forth in subsection (a) for a
    ship referred to in that subsection with respect to insertion of new
    technology into that ship only if--
            (1) the Secretary determines, and certifies to the
        congressional defense committees, that insertion of the new
        technology would lower the life-cycle cost of the ship; or
            (2) the Secretary determines, and certifies to the
        congressional defense committees, that insertion of the new
        technology is required to meet an emerging threat and the Secretary
        of Defense certifies to those committees that such threat poses
        grave harm to national security.
        (d) Written Notice of Change in Amount.--
            (1) Requirement.--The Secretary of the Navy shall submit to the
        congressional defense committees each year, at the same time that
        the budget is submitted under section 1105(a) of title 31, United
        States Code, for the next fiscal year, written notice of any change
        in the amount set forth in subsection (a) during the preceding
        fiscal year that the Secretary has determined to be associated with
        a cost referred to in subsection (b).
            (2) Effective date.--The requirement in paragraph (1) shall
        become effective with the budget request for the year of
        procurement of the first ship referred to in subsection (a).
        SEC. 126. COST LIMITATION FOR SAN ANTONIO (LPD-17) CLASS AMPHIBIOUS
          SHIP PROGRAM.
        (a) Limitation.--
            (1) Procurement cost.--The total amount obligated or expended
        from funds appropriated or otherwise made available for
        Shipbuilding and Conversion, Navy, for the San Antonio-class
        amphibious ships designated as LPD-22, LPD-23, LPD-24, and LPD-25
        may not exceed the amount for each such vessel specified in
        paragraph (2).
            (2) Specified cost limit by vessel.--The limitation under this
        subsection for each vessel specified in paragraph (1) is the
        following:
                (A) For the LPD-22 ship, $1,523,000,000 (as adjusted
            pursuant to subsection (b)).
                (B) For the LPD-23 ship, $1,477,000,000 (as adjusted
            pursuant to subsection (b)).
                (C) For the LPD-24 ship, $1,633,000,000 (as adjusted
            pursuant to subsection (b)).
                (D) For the LPD-25 ship, $1,927,000,000 (as adjusted
            pursuant to subsection (b)).
        (b) Adjustment of Limitation Amounts.--The Secretary of the Navy
    may adjust the amount set forth in subsection (a) for any ship
    specified in that subsection by the following:
            (1) The amounts of increases or decreases in costs attributable
        to economic inflation after September 30, 2006.
            (2) The amounts of increases or decreases in costs attributable
        to compliance with changes in Federal, State, or local laws enacted
        after September 30, 2006.
            (3) The amounts of outfitting costs and post-delivery costs
        incurred for that ship.
            (4) The amounts of increases or decreases in costs of that ship
        that are attributable to insertion of new technology into that
        ship, as compared to the technology built into the U.S.S. San
        Antonio (LPD-17), the lead ship of the LPD-17 class.
            (5) Contract cost adjustments directly attributed to the effect
        of Hurricane Katrina in August 2005 or other force majeure contract
        modifications.
            (6) The amounts of closeout costs associated with completion of
        the LPD-17 class program.
        (c) Limitation on Technology Insertion Cost Adjustment.--The
    Secretary of the Navy may use the authority under paragraph (4) of
    subsection (b) to adjust the amount set forth in subsection (a) for any
    LPD-17 class ship with respect to insertion of new technology into that
    ship only if--
            (1) the Secretary determines, and certifies to the
        congressional defense committees, that insertion of the new
        technology would lower the life-cycle cost of the ship; or
            (2) the Secretary determines, and certifies to the
        congressional defense committees, that insertion of the new
        technology is required to meet an emerging threat and the Secretary
        of Defense certifies to those committees that such threat poses
        grave harm to national security.
        (d) Written Notice of Change in Amount.--
            (1) Requirement.--The Secretary of the Navy shall submit to the
        congressional defense committees each year, at the same time that
        the budget is submitted under section 1105(a) of title 31, United
        States Code, for the next fiscal year, written notice of any change
        in the amount set forth in subsection (a) during the preceding
        fiscal year that the Secretary has determined to be associated with
        a cost referred to in subsection (b).
            (2) Effective date.--The requirement in paragraph (1) shall
        become effective with the budget request for the year of
        procurement of the first ship referred to in subsection (a).
        SEC. 127. MULTIYEAR PROCUREMENT AUTHORITY FOR V-22 TILTROTOR
          AIRCRAFT PROGRAM.
        The Secretary of the Navy, in accordance with section 2306b of
    title 10, United States Code, and acting as executive agent for the
    Secretary of the Air Force and the commander of the United States
    Special Operations Command, may enter into a multiyear contract,
    beginning with the fiscal year 2008 program year, for procurement of V-
    22 tiltrotor aircraft.
        SEC. 128. ALTERNATIVE TECHNOLOGIES FOR FUTURE SURFACE COMBATANTS.
        (a) Findings.--Congress makes the following findings:
            (1) Securing and maintaining access to affordable and plentiful
        sources of energy is a vital national security interest for the
        United States.
            (2) The Nation's dependence upon foreign oil is a threat to
        national security due to the inherently volatile nature of the
        global oil market and the political instability of some of the
        world's largest oil producing states.
            (3) Given the recent increase in the cost of crude oil, which
        cannot realistically be expected to improve over the long term,
        other energy sources must be seriously considered.
            (4) Alternate propulsion sources such as nuclear power offer
        many advantages over conventional power for major surface combatant
        ships of the Navy, including--
                (A) virtually unlimited high-speed endurance;
                (B) elimination of vulnerable refueling; and
                (C) reduction in the requirement for replenishment vessels
            and the need to protect those vessels.
        (b) Sense of Congress.--In light of the findings in subsection (a),
    it is the sense of Congress that the Navy should make greater use of
    alternative technologies, including expanded application of integrated
    power systems, fuel cells, and nuclear power, for propulsion of future
    major surface combatant ships.
        (c) Requirement.--The Secretary of the Navy shall include
    integrated power systems, fuel cells, and nuclear power as propulsion
    alternatives to be evaluated within the analysis of alternatives for
    future major surface combatant ships.
        SEC. 129. SENSE OF CONGRESS REGARDING THE SIZE OF THE ATTACK
          SUBMARINE FORCE.
        (a) Findings.--Congress makes the following findings:
            (1) The United States Navy must be large enough, agile enough,
        and lethal enough to deter any threat and defeat any foe.
            (2) The proliferation of modern nuclear and nonnuclear
        submarines in the navies of nations around the globe will make
        undersea superiority a more significant challenge in the future.
            (3) The unique combination of firepower, stealth, sensors, and
        communications equipment contained in a modern attack submarine
        make the attack submarine a critical component of the Armed Forces
        of the United States.
            (4) The report entitled ``Report to Congress on Annual Long-
        Range Plan for Construction of Naval Vessels for fiscal year
        2007'', submitted to Congress by the Secretary of the Navy pursuant
        to section 231 of title 10, United States Code--
                (A) identifies future naval force structure requirements
            indexed to Department of Defense fiscal year 2020 threat
            assessments and compliant with the Fiscal Year 2006 Quadrennial
            Defense Review and, with respect to the attack submarine force,
            identifies a need for the Navy to maintain a fleet of not less
            than 48 attack submarines; and
                (B) projects that the attack submarine force will fall
            below 48 vessels between 2020 and 2032.
        (b) Sense of Congress.--In light of the findings in subsection (a),
    it is the sense of Congress that the Secretary of the Navy should take
    all reasonable effort to accelerate the construction of Virginia Class
    submarines to maintain the attack submarine force structure at not less
    than 48 submarines and (if the number of attack submarines should fall
    below 48), to minimize the period the attack submarine force remains
    below 48 vessels.
        SEC. 130. QUALITY CONTROL IN PROCUREMENT OF SHIP CRITICAL SAFETY
          ITEMS AND RELATED SERVICES.
        (a) Quality Control Policy.--The Secretary of Defense shall
    prescribe in regulations a quality control policy for the procurement
    of the following:
            (1) Ship critical safety items.
            (2) Modifications, repair, and overhaul of ship critical safety
        items.
        (b) Elements.--The policy required under subsection (a) shall
    include requirements as follows:
            (1) That the head of the design control activity for ship
        critical safety items establish processes to identify and manage
        the procurement, modification, repair, and overhaul of such items.
            (2) That the head of the contracting activity for a ship
        critical safety item enter into a contract for the procurement,
        modification, repair, or overhaul of such item only with a source
        on a qualified manufacturers list or a source approved by the
        design control activity in accordance with section 2319 of title
        10, United States Code (as amended by subsection (d)).
            (3) That the ship critical safety items delivered, and the
        services performed with respect to such items, meet all technical
        and quality requirements specified by the design control activity.
        (c) Definitions.--In this section, the terms ``ship critical safety
    item'' and ``design control activity'' have the meanings given such
    terms in subsection (g) of section 2319 of title 10, United States Code
    (as so amended).
        (d) Conforming Amendments.--Section 2319 of title 10, United States
    Code, is amended--
            (1) in subsection (c)(3), by inserting ``or ship critical
        safety item'' after ``aviation critical safety item''; and
            (2) in subsection (g)--
                (A) by redesignating paragraph (2) as paragraph (3);
                (B) by inserting after paragraph (1) the following new
            paragraph (2):
            ``(2) The term `ship critical safety item' means any ship part,
        assembly, or support equipment containing a characteristic the
        failure, malfunction, or absence of which could cause a
        catastrophic or critical failure resulting in loss of or serious
        damage to the ship or unacceptable risk of personal injury or loss
        of life.''; and
                (C) in paragraph (3), as so redesignated--
                    (i) by inserting ``or ship critical safety item'' after
                ``aviation critical safety item'';
                    (ii) by inserting ``, or the seaworthiness of a ship or
                ship equipment,'' after ``equipment''; and
                    (iii) by striking ``the item'' and inserting ``such
                item''.

                         Subtitle D--Air Force Programs

        SEC. 131. BOMBER FORCE STRUCTURE.
        (a) Requirement for B-52 Force Structure.--
            (1) Retirement limitation.--During the B-52 retirement
        limitation period, the Secretary of the Air Force--
                (A) may not retire more than 18 B-52 aircraft; and
                (B) shall maintain not less than 44 such aircraft as
            combat-coded aircraft.
            (2) B-52 retirement limitation period.--For purposes of
        paragraph (1), the B-52 retirement limitation period is the period
        beginning on the date of the enactment of this Act and ending on
        the date that is the earlier of--
                (A) January 1, 2018; and
                (B) the date as of which a long-range strike replacement
            aircraft with equal or greater capability than the B-52H model
            aircraft has attained initial operational capability status.
        (b) Limitation on Retirement Pending Report on Bomber Force
    Structure.--
            (1) Limitation.--No funds authorized to be appropriated for the
        Department of Defense may be obligated or expended for retiring any
        of the 93 B-52H bomber aircraft in service in the Air Force as of
        the date of the enactment of this Act until 45 days after the date
        on which the Secretary of the Air Force submits the report
        specified in paragraph (2).
            (2) Report.--A report specified in this subsection is a report
        submitted by the Secretary of the Air Force to the Committees on
        Armed Services of the Senate and the House of Representatives on
        the amount and type of bomber force structure of the Air Force,
        including the matters specified in paragraph (4).
            (3) Amount and type of bomber force structure defined.--In this
        subsection, the term ``amount and type of bomber force structure''
        means the number of each of the following types of aircraft that
        are required to carry out the national security strategy of the
        United States:
                (A) B-2 bomber aircraft.
                (B) B-52H bomber aircraft.
                (C) B-1 bomber aircraft.
            (4) Matter to be included.--A report under paragraph (2) shall
        include the following:
                (A) The plan of the Secretary of the Air Force for the
            modernization of the B-52, B-1, and B-2 bomber aircraft fleets.
                (B) The amount and type of bomber force structure for the
            conventional mission and strategic nuclear mission in executing
            two overlapping ``swift defeat'' campaigns.
                (C) A justification of the cost and projected savings of
            any reductions to the B-52H bomber aircraft fleet as a result
            of the retirement of the B-52H bomber aircraft covered by the
            report.
                (D) The life expectancy of each bomber aircraft to remain
            in the bomber force structure.
                (E) The capabilities of the bomber force structure that
            would be replaced, augmented, or superseded by any new bomber
            aircraft.
            (5) Preparation of report.--A report under paragraph (2) shall
        be prepared by the Institute for Defense Analyses and submitted to
        the Secretary of the Air Force for submittal by the Secretary in
        accordance with that paragraph.
        SEC. 132. STRATEGIC AIRLIFT FORCE STRUCTURE.
        Section 8062 of title 10, United States Code, is amended by adding
    at the end the following new subsection:
        ``(g)(1) Effective October 1, 2008, the Secretary of the Air Force
    shall maintain a total aircraft inventory of strategic airlift aircraft
    of not less than 299 aircraft.
        ``(2) In this subsection:
            ``(A) The term `strategic airlift aircraft' means an aircraft--
                ``(i) that has a cargo capacity of at least 150,000 pounds;
            and
                ``(ii) that is capable of transporting outsized cargo an
            unrefueled range of at least 2,400 nautical miles.
            ``(B) The term `outsized cargo' means any single item of
        equipment that exceeds 1,090 inches in length, 117 inches in width,
        or 105 inches in height.''.
        SEC. 133. LIMITATION ON RETIREMENT OF U-2 AIRCRAFT.
        (a) Fiscal Year 2007.--The Secretary of the Air Force may not
    retire any U-2 aircraft of the Air Force in fiscal year 2007.
        (b) Years After Fiscal Year 2007.--
            (1) Certification required.--After fiscal year 2007, the
        Secretary of the Air Force may retire a U-2 aircraft only if the
        Secretary of Defense certifies to Congress that the intelligence,
        surveillance, and reconnaissance (ISR) capabilities provided by the
        U-2 aircraft no longer contribute to mitigating any gaps in
        intelligence, surveillance, and reconnaissance capabilities
        identified in the 2006 Quadrennial Defense Review.
            (2) Limitations.--No action may be taken by the Department of
        Defense to retire (or to prepare to retire) any U-2 aircraft before
        a certification specified in paragraph (1) is submitted to
        Congress. If such a certification is submitted, no such action may
        be taken until after the end of the 60-day period beginning on the
        date on which the certification is submitted.
        SEC. 134. MULTIYEAR PROCUREMENT AUTHORITY FOR F-22A RAPTOR FIGHTER
          AIRCRAFT.
        (a) Prohibition on Use of Incremental Funding.--The Secretary of
    the Air Force may not use incremental funding for the procurement of F-
    22A aircraft.
        (b) Multiyear Authority.--The Secretary of the Air Force may enter
    into a multiyear contract for the procurement of up to 60 F-22A Raptor
    fighter aircraft beginning with the 2007 program year.
        (c) Compliance With Law Applicable to Multiyear Contracts.--A
    contract under subsection (b) for the procurement of F-22A aircraft
    shall be entered into in accordance with section 2306b of title 10,
    United States Code, except that, notwithstanding subsection (k) of that
    section, such a contract may not be for a period in excess of three
    program years.
        (d) Secretary of Defense Certification.--In the case of a contract
    under subsection (b) for the procurement of F-22A aircraft, a
    certification under subsection (i)(1)(A) of section 2306b of title 10,
    United States Code, with respect to that contract may only be submitted
    if the certification includes an additional certification by the
    Secretary that each of the conditions specified in subsection (a) of
    that section has been satisfied with respect to that contract, as
    follows:
            (1) That the use of such contract will result in substantial
        savings of the total anticipated costs of carrying out the program
        through annual contracts.
            (2) That the minimum need for the property to be purchased is
        expected to remain substantially unchanged during the contemplated
        contract period in terms of production rate, procurement rate, and
        total quantities.
            (3) That there is a reasonable expectation that throughout the
        contemplated contract period the Secretary of the Air Force will
        request funding for the contract at the level required to avoid
        contract cancellation.
            (4) That there is a stable design for the property to be
        acquired and that the technical risks associated with such property
        are not excessive.
            (5) That the estimates of both the cost of the contract and the
        anticipated cost avoidance through the use of a multiyear contract
        are realistic.
            (6) That the use of such contract will promote the national
        security of the United States.
    In certifying that the cost savings are substantial, the Secretary
    shall duly consider the historical cost savings that led to a decision
    to proceed with a multiyear procurement contract under section 2306b of
    title 10, United States Code, in the case of previous aviation-related
    multiyear contracts authorized by law dating back to fiscal year 1982.
        (e) FFRDC Cost Report.--The Secretary of Defense shall provide for
    a federally funded research and development center (other than the
    Institute for Defense Analyses) to report on the cost estimates for a
    three year, 60-aircraft, F-22A multiyear procurement program, beginning
    in fiscal year 2007, compared to a corresponding annual procurement
    program.
        (f) Notice-and-Wait Requirement.--Upon submission to Congress of a
    certification referred to in subsection (d) with respect to a proposed
    contract under subsection (b) for the procurement of F-22A aircraft and
    the Secretary's submission to the congressional defense committees of
    the report referred to in subsection (e), the contract may then be
    entered into only after the end of the 30-day period beginning on the
    later of the date of the submission of the certification or the date of
    the submission of the report.
        SEC. 135. LIMITATION ON RETIREMENT OF KC-135E AIRCRAFT DURING
          FISCAL YEAR 2007.
        (a) Limitation.--The number of KC-135E aircraft retired by the
    Secretary of the Air Force during fiscal year 2007 may not exceed 29.
        (b) Treatment of Retired Aircraft.--The Secretary of the Air Force
    shall maintain each KC-135E aircraft that is retired by the Secretary
    after September 30, 2006, in a condition that would allow recall of
    that aircraft to future service in the Air Force Reserve, Air National
    Guard, or active forces aerial refueling force structure.
        SEC. 136. LIMITATION ON RETIREMENT OF F-117A AIRCRAFT DURING FISCAL
          YEAR 2007.
        (a) Limitation.--The number of F-117A aircraft retired by the
    Secretary of the Air Force during fiscal year 2007 may not exceed 10.
        (b) Treatment of Retired Aircraft.--The Secretary of the Air Force
    shall maintain each F-117A aircraft that is retired by the Secretary
    after September 30, 2006, in a condition that would allow recall of
    that aircraft to future service.
        SEC. 137. LIMITATION ON RETIREMENT OF C-130E TACTICAL AIRLIFT
          AIRCRAFT.
        (a) Limitation.--The number of C-130E tactical airlift aircraft
    retired by the Secretary of the Air Force during fiscal year 2007 may
    not exceed 51.
        (b) Treatment of Retired Aircraft.--The Secretary of the Air Force
    shall maintain each C-130E tactical airlift aircraft that is retired by
    the Secretary after September 30, 2006, in a condition that would allow
    recall of that aircraft to future service.
        SEC. 138. PROCUREMENT OF JOINT PRIMARY AIRCRAFT TRAINING SYSTEM
          AIRCRAFT AFTER FISCAL YEAR 2006.
        Any Joint Primary Aircraft Training System (JPATS) aircraft
    procured after fiscal year 2006 shall be procured through a contract
    under part 15 of the Federal Acquisition Regulation (FAR), relating to
    acquisition of items by negotiated contract (48 C.F.R. 15.000 et seq.),
    rather than through a contract under part 12 of the Federal Acquisition
    Regulation, relating to acquisition of commercial items (48 C.F.R.
    12.000 et seq.).
        SEC. 139. MINUTEMAN III INTERCONTINENTAL BALLISTIC MISSILE
          MODERNIZATION.
        (a) Modernization of Intercontinental Ballistic Missiles
    Required.--The Secretary of the Air Force shall modernize Minuteman III
    intercontinental ballistic missiles in the United States inventory as
    required to maintain a sufficient supply of launch test assets and
    spares to sustain the deployed force of such missiles through 2030.
        (b) Limitation on Termination of Modernization Programs Pending
    Report.--
            (1) Limitation.--No funds authorized to be appropriated for the
        Department of Defense may be obligated or expended for the
        termination of any ICBM modernization program with respect to the
        Minuteman III intercontinental ballistic missile system, or for the
        withdrawal of any Minuteman III intercontinental ballistic missile
        from the active force, until 30 days after the date on which the
        Secretary of Defense submits to the congressional defense
        committees a report described in subsection (c).
            (2) ICBM modernization program defined.--In this subsection,
        the term ``ICBM Modernization program'' means each of the
        following:
                (A) The Guidance Replacement Program (GRP).
                (B) The Propulsion Replacement Program (PRP).
                (C) The Propulsion System Rocket Engine (PSRE) program.
                (D) The Safety Enhanced Reentry Vehicle (SERV) program.
        (c) Report Elements.--A report under subsection (b)(1) is a report
    setting forth the following:
            (1) A detailed strategic justification for the proposal to
        reduce the Minuteman III intercontinental ballistic missile force
        from 500 to 450 missiles, including an analysis of the effects of
        the reduction on the ability of the United States to assure allies
        and dissuade potential competitors.
            (2) A detailed analysis of the strategic ramifications of
        continuing to equip a portion of the Minuteman III missile force
        with multiple independent warheads rather than single warheads.
            (3) An assessment of the test assets and spares required to
        maintain a force of 500 deployed Minuteman III missiles through
        2030.
            (4) An assessment of the test assets and spares required to
        maintain a force of 450 deployed Minuteman III missiles through
        2030.
            (5) An inventory of currently available Minuteman III missile
        test assets and spares.
            (6) A plan to sustain and complete the modernization of all
        deployed and spare Minuteman III missiles, a test plan, and an
        analysis of the funding required to carry out modernization of all
        deployed and spare Minuteman III missiles.
            (7) An assessment of whether halting upgrades to the Minuteman
        III missiles withdrawn from the deployed force would compromise the
        ability of those missiles to serve as test assets.
            (8) A description of the plan of the Department of Defense for
        extending the life of the Minuteman III missile force beyond fiscal
        year 2030.

                   Subtitle E--Joint and Multiservice Matters

        SEC. 141. CLARIFICATION OF LIMITATION ON INITIATION OF NEW UNMANNED
          AERIAL VEHICLE SYSTEMS.
        (a) Applicability of Limitation Only to Procurement Funds.--
    Subsection (a) of section 142 of National Defense Authorization Act for
    Fiscal Year 2006 (Public Law 109-163; 119 Stat. 3164) is amended--
            (1) by inserting ``for procurement'' after ``the Department of
        Defense''; and
            (2) by inserting before the period at the end the following:
        ``(or by an official within the Office of the Under Secretary
        designated by the Under Secretary for that purpose)''.
        (b) Applicability Only to New Systems.--Subsection (b) of that
    section is amended to read as follows:
        ``(b) Exception for Existing Systems.--The limitation in subsection
    (a) does not apply with respect to an unmanned aerial vehicle (UAV)
    system (or any component or other item of associated equipment of any
    such system described in subsection (a)) if as of January 6, 2006--
            ``(1) the system (or component or item of associated equipment)
        to be procured is otherwise under contract or has previously been
        procured by the Department; or
            ``(2) funds have been appropriated but not yet obligated for
        the system (or component or item of associated equipment).''.

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

                   Subtitle A--Authorization of Appropriations

    Sec. 201. Authorization of appropriations.
    Sec. 202. Amount for defense science and technology.

         Subtitle B--Program Requirements, Restrictions, and Limitations

    Sec. 211. Acquisition of, and independent cost analyses for, the Joint
              Strike Fighter propulsion system.
    Sec. 212. Expansion and extension of authority to award prizes for
              advanced technology achievements.
    Sec. 213. Defense Acquisition Challenge Program extension, enhancement,
              and modification to address critical cost growth threshold
              breaches in major defense acquisition programs.
    Sec. 214. Future Combat Systems milestone review.
    Sec. 215. Dedicated amounts for implementing or evaluating Navy
              shipbuilding technology proposals under Defense Acquisition
              Challenge Program.
    Sec. 216. Independent estimate of costs of the Future Combat Systems.
    Sec. 217. Funding of defense science and technology programs.
    Sec. 218. Hypersonics development.
    Sec. 219. Report on program for replacement of nuclear warheads on
              certain Trident sea-launched ballistic missiles with
              conventional warheads.

                      Subtitle C--Missile Defense Programs

    Sec. 221. Fielding of ballistic missile defense capabilities.
    Sec. 222. Limitation on use of funds for space-based interceptor.
    Sec. 223. Policy of the United States on priorities in the development,
              testing, and fielding of missile defense capabilities.
    Sec. 224. One-year extension of Comptroller General assessments of
              ballistic missile defense programs.
    Sec. 225. Submittal of plans for test and evaluation of the operational
              capability of the Ballistic Missile Defense System.
    Sec. 226. Annual reports on transition of ballistic missile defense
              programs to the military departments.

                            Subtitle D--Other Matters

    Sec. 231. Policies and practices on test and evaluation to address
              emerging acquisition approaches.
    Sec. 232. Extension of requirement for Global Research Watch Program.
    Sec. 233. Sense of Congress on technology sharing of Joint Strike
              Fighter technology.
    Sec. 234. Report on vehicle-based active protection systems for certain
              battlefield threats.

                  Subtitle A--Authorization of Appropriations

        SEC. 201. AUTHORIZATION OF APPROPRIATIONS.
        Funds are hereby authorized to be appropriated for fiscal year 2007
    for the use of the Department of Defense for research, development,
    test, and evaluation as follows:
            (1) For the Army, $10,876,609,000.
            (2) For the Navy, $17,383,857,000.
            (3) For the Air Force, $24,235,951,000.
            (4) For Defense-wide activities, $21,111,559,000, of which
        $181,520,000 is authorized for the Director of Operational Test and
        Evaluation.
        SEC. 202. AMOUNT FOR DEFENSE SCIENCE AND TECHNOLOGY.
        (a) Fiscal Year 2007.--Of the amounts authorized to be appropriated
    by section 201, $11,662,554,000 shall be available for the Defense
    Science and Technology Program, including basic research, applied
    research, and advanced technology development projects.
        (b) Basic Research, Applied Research, and Advanced Technology
    Development Defined.--For purposes of this section, the term ``basic
    research, applied research, and advanced technology development'' means
    work funded in program elements for defense research and development
    under Department of Defense budget activity 1, 2, or 3.

        Subtitle B--Program Requirements, Restrictions, and Limitations

        SEC. 211. ACQUISITION OF, AND INDEPENDENT COST ANALYSES FOR, THE
          JOINT STRIKE FIGHTER PROPULSION SYSTEM.
        (a) Acquisition.--
            (1) In general.--The Secretary of Defense shall provide for the
        development and procurement of the propulsion system for the Joint
        Strike Fighter aircraft through the continued development and
        sustainment of two interchangeable propulsion systems for that
        aircraft by two separate contractors throughout the life cycle of
        the aircraft.
            (2) Modifications prohibited.--Except as provided by paragraph
        (3), the Secretary may not carry out any modification to the
        acquisition program for the Joint Strike Fighter aircraft that
        would result in the development or procurement of the propulsion
        system for that aircraft in a manner other than that required by
        paragraph (1).
            (3) Modifications allowed.--Notwithstanding paragraph (1), a
        modification described in paragraph (2) may be carried out to the
        extent that each of the following requirements is met:
                (A) The Secretary of Defense has notified the congressional
            defense committees of the modification.
                (B) Each of the reports required by subsection (b) has been
            submitted.
                (C) Funds are appropriated for that purpose pursuant to an
            authorization of appropriations.
        (b) Independent Cost Analyses.--
            (1) In general.--A comprehensive and detailed cost analysis of
        the Joint Strike Fighter engine program shall be independently
        performed by each of the following:
                (A) The Comptroller General.
                (B) A federally funded research and development center
            selected by the Secretary of Defense.
                (C) The Secretary of Defense, acting through the Cost
            Analysis Improvement Group of the Office of the Secretary of
            Defense.
            (2) Matters covered.--Each such cost analysis shall cover--
                (A) an alternative under which the Joint Strike Fighter
            aircraft is capable of using the F135 engine only;
                (B) an alternative under which the program executes a one-
            time firm-fixed price contract for a selected propulsion system
            for the Joint Strike Fighter aircraft for the life cycle of the
            aircraft following the Initial Service Release of the
            propulsion system in fiscal year 2008;
                (C) an alternative under which the Joint Strike Fighter
            aircraft is capable of using either the F135 engine or the F136
            engine, and the engine selection is carried out on a
            competitive basis; and
                (D) any other alternative, whether competitive or sole
            source, that would reduce total life-cycle cost, improve
            program schedule, or both.
            (3) Reports.--Not later than March 15, 2007, the Secretary of
        Defense, the Comptroller General, and the chief executive officer
        of the federally funded research and development center selected
        under paragraph (1)(B) shall independently submit to the
        congressional defense committees a report on the cost analysis
        carried out under paragraph (1). Each such report shall include
        each of the following matters:
                (A) The key assumptions used in carrying out the cost
            analysis.
                (B) The methodology and techniques used in carrying out the
            cost analysis.
                (C) For each alternative required by paragraph (2)--
                    (i) a comparison of the life-cycle costs, including
                costs in current and constant dollars and a net-present-
                value analysis;
                    (ii) estimates of--

                        (I) supply, maintenance, and other operations
                    manpower required to support the alternative;
                        (II) the number of flight hours required to achieve
                    engine maturity and the year in which that is expected
                    to be achieved; and
                        (III) the total number of engines expected to be
                    procured over the lifetime of the Joint Strike Fighter
                    program; and

                    (iii) an evaluation of benefits, other than cost,
                provided by competition, to include an assessment of
                improved performance, operational readiness and warfighting
                capability, risk reduction, technology innovation, and
                contractor responsiveness.
                (D) A description of the acquisition strategies (including
            development and production) that were used for, and experience
            with respect to cost, schedule, and performance under, past
            acquisition programs for engines for tactical fighter aircraft,
            including the F-15, F-16, F-18, and F-22 aircraft.
                (E) A comparison of the experiences under past acquisition
            programs carried out on a sole-source basis with respect to
            performance, savings, maintainability, reliability, and
            technical innovation.
                (F) The impact that canceling the F136 competitive engine
            would have on the high-performance military engine industrial
            base, and on the Department of Defense's ability to make
            competitive engine choices for future combat aircraft systems
            beyond the Joint Strike Fighter.
                (G) Conclusions and recommendations.
            (4) Certifications.--In submitting the report required by
        paragraph (3), the Comptroller General and the chief executive
        officer of the federally funded research and development center
        shall also submit a certification as to whether the Secretary of
        Defense provided access to sufficient information to enable the
        Comptroller General or the chief executive officer, as the case may
        be, to make informed judgments on the matters required to be
        included in the report.
        (c) Life-Cycle Costs Defined.--In this section, the term ``life-
    cycle costs'' includes--
            (1) those elements of cost that would be considered for a life-
        cycle cost analysis for a major defense acquisition program,
        including procurement of engines, procurement of spare engines, and
        procurement of engine components and parts; and
            (2) good-faith estimates of routine engine costs (such as
        performance upgrades and component improvement) that historically
        have occurred in tactical fighter engine programs.
        SEC. 212. EXPANSION AND EXTENSION OF AUTHORITY TO AWARD PRIZES FOR
          ADVANCED TECHNOLOGY ACHIEVEMENTS.
        (a) Expansion.--
            (1) In general.--Subsection (a) of section 2374a of title 10,
        United States Code, is amended--
                (A) by striking ``Director of the Defense Advanced Research
            Projects Agency'' and inserting ``Director of Defense Research
            and Engineering and the service acquisition executive for each
            military department''; and
                (B) by striking ``a program'' and inserting ``programs''.
            (2) Conforming amendments.--Such section is further amended--
                (A) in subsection (b), by striking ``The program'' and
            inserting ``Each program''; and
                (B) in subsection (d)--
                    (i) by striking ``The program'' and inserting ``A
                program''; and
                    (ii) by striking ``the Director'' and inserting ``an
                official referred to in that subsection''.
        (b) Extension.--Subsection (f) of such section is amended by
    striking ``September 30, 2007'' and inserting ``September 30, 2010''.
        (c) Modification of Reporting Requirement.--Subsection (e) of such
    section is amended to read as follows:
        ``(e) Annual Report.--
            ``(1) In general.--Not later than March 1 of each year, the
        Secretary shall submit to the Committee on Armed Services of the
        Senate and the Committee on Armed Services of the House of
        Representatives a report on the activities carried out during the
        preceding fiscal year under the authority in subsection (a).
            ``(2) Information included.--The report for a fiscal year under
        this subsection shall include, for each program under subsection
        (a), the following:
                ``(A) A description of the proposed goals of the
            competitions established under the program, including the areas
            of research, technology development, or prototype development
            to be promoted by such competitions and the relationship of
            such areas to the military missions of the Department of
            Defense.
                ``(B) An analysis of why the utilization of the authority
            in subsection (a) was the preferable method of achieving the
            goals described in subparagraph (A) as opposed to other
            authorities available to the Department, such as contracts,
            grants, and cooperative agreements.
                ``(C) The total amount of cash prizes awarded under the
            program, including a description of the manner in which the
            amounts of cash prizes awarded and claimed were allocated among
            the accounts of the Department for recording as obligations and
            expenditures.
                ``(D) The methods used for the solicitation and evaluation
            of submissions under the program, together with an assessment
            of the effectiveness of such methods.
                ``(E) A description of the resources, including personnel
            and funding, used in the execution of the program, together
            with a detailed description of the activities for which such
            resources were used and an accounting of how funding for
            execution was allocated among the accounts of the Department
            for recording as obligations and expenditures.
                ``(F) A description of any plans to transition the
            technologies or prototypes developed as a result of the program
            into an acquisition program of the Department.
            ``(3) Suspension of authority for failure to include
        information.--For each program under subsection (a), the authority
        to obligate or expend funds under that program is suspended as of
        the date specified in paragraph (1) if the Secretary does not, by
        that date, submit a report that includes, for that program, all the
        information required by paragraph (2). As of the date on which the
        Secretary does submit a report that includes, for that program, all
        the information required by paragraph (2), the suspension is
        lifted.''.
        SEC. 213. DEFENSE ACQUISITION CHALLENGE PROGRAM EXTENSION,
          ENHANCEMENT, AND MODIFICATION TO ADDRESS CRITICAL COST GROWTH
          THRESHOLD BREACHES IN MAJOR DEFENSE ACQUISITION PROGRAMS.
        (a) Assessment of Additional Issues Required in the Event of
    Critical Cost Growth.--Section 2433(e)(2)(A) of title 10, United States
    Code, is amended--
            (1) by redesignating clauses (i), (ii), and (iii) as clauses
        (ii), (iii), and (iv) respectively; and
            (2) by inserting before clause (ii) (as so redesignated) the
        following new clause:
                ``(i) any design, engineering, manufacturing, or technology
            integration issues that contributed significantly to the cost
            growth of the program;''.
        (b) Requirement for Challenge Program to Address Critical Cost
    Growth Threshold Breaches in Major Defense Acquisition Programs.--
            (1) Solicitation of challenge proposals.--Section 2359b(c) of
        title 10, United States Code, is amended--
                (A) by redesignating paragraphs (4), (5), and (6) as
            paragraphs (5), (6), and (7), respectively; and
                (B) by inserting after paragraph (3) the following new
            paragraph (4):
            ``(4)(A) The Under Secretary shall establish procedures for the
        prompt issuance of a solicitation for challenge proposals
        addressing--
                ``(i) any acquisition program for which, since the last
            such announcement, the Secretary concerned has determined under
            section 2433(d) of this title that the program's acquisition
            unit cost or procurement unit cost has increased by a
            percentage equal to or greater than the critical cost growth
            threshold for the program (in this section referred to as a
            `critical cost growth threshold breach'); and
                ``(ii) any design, engineering, manufacturing, or
            technology integration issues, in accordance with the
            assessment required by section 2433(e)(2)(A) of this title,
            that have contributed significantly to the cost growth of such
            program.
            ``(B) A solicitation under this paragraph may be included in a
        broad agency announcement issued pursuant to paragraph (3) as long
        as the broad agency announcement is released in an expeditious
        manner following the determination of the Secretary concerned that
        a critical cost growth threshold breach has occurred with respect
        to a major defense acquisition program.''.
            (2) Requirement for guidelines for covering costs of challenge
        proposals.--Section 2359b(e) of such title is amended by adding at
        the end the following new paragraph:
        ``(3) In the case of a challenge proposal submitted in response to
    a solicitation issued as a result of a critical cost growth threshold
    breach that is determined under full review and evaluation to satisfy
    each of the criteria specified in subsection (c)(5), the Under
    Secretary shall establish guidelines for covering the costs of the
    challenge proposal. If appropriate, such guidelines shall not be
    restricted to funding provided by the Defense Acquisition Challenge
    Program, but shall also consider alternative funding sources, such as
    the acquisition program with respect to which the breach occurred.''.
            (3) Action upon unfavorable full review and evaluation.--
        Section 2359b of such title is amended--
                (A) by redesignating subsections (f), (g), (h), (i), and
            (j) as subsections (g), (h), (i), (j), and (k) respectively;
            and
                (B) by inserting after subsection (e) the following new
            subsection (f):
        ``(f) Action Upon Unfavorable Full Review and Evaluation.--Under
    procedures prescribed by the Under Secretary, if a challenge proposal
    is determined by a Panel to satisfy each of the criteria specified in
    subsection (c)(5), but is not determined under a full review and
    evaluation to satisfy such criteria, the following provisions apply:
            ``(1) The office carrying out the full review and evaluation
        shall provide to the Panel that conducted the preliminary
        evaluation a statement containing a summary of the rationale for
        the unfavorable evaluation.
            ``(2) If the Panel disagrees with the rationale provided under
        paragraph (1), the Panel may return the challenge proposal to the
        office for further consideration.''.
            (4) Additional information required to be included in annual
        report.--Section 2359b(j) of such title, as redesignated by
        paragraph (3), is amended by striking ``No report is required for a
        fiscal year in which the Challenge Program is not carried out.''
        and inserting ``The report shall also include a list of each
        challenge proposal that was determined by a Panel to satisfy each
        of the criteria specified in subsection (c)(5), but was not
        determined under a full review and evaluation to satisfy such
        criteria, together with a detailed rationale for the Department's
        determination that such criteria were not satisfied.''.
        (c) Evaluation and Report Required.--The Under Secretary of Defense
    for Acquisition, Technology, and Logistics, in coordination with the
    service acquisition executives, shall--
            (1) evaluate the efficacy of the incentives provided to
        encourage the adoption of each challenge proposal receiving
        favorable full review and evaluation, as required by section
        2359b(e)(2) of title 10, United States Code;
            (2) identify additional incentives and authorities required, if
        any, to further facilitate the adoption of each challenge proposal
        receiving favorable full review and evaluation, particularly in the
        case of challenge proposals submitted in response to critical cost
        growth threshold breaches (as such term is used in section 2359b of
        such title); and
            (3) not later than March 1, 2007, submit to the Committees on
        Armed Services of the Senate and the House of Representatives a
        report setting forth the results of such evaluation and
        identification.
        (d) Priority for Proposals From Certain Businesses.--Paragraph (6)
    of section 2359b(c) of such title, as redesignated by paragraph
    (b)(1)(A), is amended to read as follows:
        ``(6) The Under Secretary--
            ``(A) may establish procedures to ensure that the Challenge
        Program does not become an avenue for the repetitive submission of
        proposals that have been previously reviewed and found not to have
        merit; and
            ``(B) may establish procedures to ensure that the Challenge
        Program establishes appropriate priorities for proposals from
        businesses that are not major contractors with the Department of
        Defense.''.
        (e) Confidentiality.--Subsection (h) of section 2359b of such
    title, as redesignated by subsection (b)(3), is amended--
            (1) by amending the heading to read as follows: ``Conflicts of
        Interest and Confidentiality''; and
            (2) by striking the period at the end and inserting the
        following: ``and that the identity of any person or activity
        submitting a challenge proposal is not disclosed outside the
        Federal Government, prior to contract award, without the consent of
        the person or activity. For purposes of the proceeding sentence,
        the term `Federal Government' includes both employees of the
        Federal Government and employees of Federal Government contractors
        providing advisory and assistance services as described in part 37
        of the Federal Acquisition Regulation.''.
        (f) Extension.--Subsection (k) of section 2359b of title 10, United
    States Code, as redesignated by subsection (b)(3), is amended by
    striking ``September 30, 2007'' and inserting ``September 30, 2012''.
        (g) Additional Conforming Amendments.--Section 2359b of such title
    is further amended--
            (1) in subsection (c)(7), as redesignated by subsection (b), by
        striking ``paragraph (4)'' and inserting ``paragraph (5)'';
            (2) in subsection (d)(1), by striking ``subsection (c)(6)'' and
        inserting ``subsection (c)(7)'';
            (3) in subsection (d)(2), by striking ``subsection (c)(4)'' and
        inserting ``subsection (c)(5)''; and
            (4) in subsection (e)(1), by striking ``subsection (c)(4)'' and
        inserting ``subsection (c)(5)''.
        SEC. 214. FUTURE COMBAT SYSTEMS MILESTONE REVIEW.
        (a) Milestone Review Required.--Not later than 120 days after the
    preliminary design review of the Future Combat Systems program is
    completed, the Secretary of Defense shall carry out a Defense
    Acquisition Board milestone review of the Future Combat Systems
    program. The milestone review shall include an assessment as to each of
    the following:
            (1) Whether the warfighter's needs are valid and can be best
        met with the concept of the program.
            (2) Whether the concept of the program can be developed and
        produced within existing resources.
            (3) Whether the program should--
                (A) continue as currently structured;
                (B) continue in restructured form; or
                (C) be terminated.
        (b) Determinations To Be Made in Assessing Whether Program Should
    Continue.--In making the assessment required by subsection (a)(3), the
    Secretary shall make a determination with respect to each of the
    following:
            (1) Whether each critical technology for the program is at
        least Technical Readiness Level 6.
            (2) For each system and network component of the program, what
        the key design and technology risks are, based on System Functional
        Reviews, Preliminary Design Reviews, and Technical Readiness
        Levels.
            (3) Whether actual demonstrations, rather than simulations,
        have shown that the concept of the program will work.
            (4) Whether actual demonstrations, rather than plans, have
        shown that the software for the program is functional.
            (5) What the cost estimate for the program is.
            (6) What the affordability assessment for the program is, based
        on that cost estimate.
        (c) Report.--The Secretary shall submit to the congressional
    defense committees a report on the findings and conclusions of the
    milestone review required by subsection (a). The report shall include,
    and display, each of the assessments required by subsection (a) and
    each of the determinations required by subsection (b).
        (d) Restriction on Procurement Funds Effective Fiscal 2009.--
            (1) In general.--For fiscal years beginning with 2009, the
        Secretary may not obligate any funds for procurement for the Future
        Combat Systems program.
            (2) Exceptions.--Paragraph (1) does not apply with respect to--
                (A) the obligation of funds for costs attributable to an
            insertion of new technology (to include spinout systems) into
            the current force, if the insertion is approved by the Under
            Secretary of Defense for Acquisition, Technology, and
            Logistics; or
                (B) the obligation of funds for the non-line-of-sight
            cannon system.
            (3) Termination.--The requirement of paragraph (1) terminates
        after the report required by subsection (c) is submitted.
        SEC. 215. DEDICATED AMOUNTS FOR IMPLEMENTING OR EVALUATING NAVY
          SHIPBUILDING TECHNOLOGY PROPOSALS UNDER DEFENSE ACQUISITION
          CHALLENGE PROGRAM.
        (a) Amounts Required.--Of the amounts appropriated pursuant to the
    authorization of appropriations in section 201(4) for research,
    development, test, and evaluation, Defense-wide, $4,000,000 may be
    available to implement or evaluate challenge proposals specified in
    subsection (b).
        (b) Challenge Proposals Covered.--A challenge proposal referred to
    in subsection (a) is a proposal under the Defense Acquisition Challenge
    Program established by section 2359b of title 10, United States Code,
    that relates to technology directly contributing to combat systems and
    open architecture design for Navy ship platforms.
        SEC. 216. INDEPENDENT ESTIMATE OF COSTS OF THE FUTURE COMBAT
          SYSTEMS.
        (a) Independent Estimate Required.--
            (1) In general.--The Secretary of Defense shall provide for the
        preparation of an independent estimate of the anticipated costs of
        systems development and demonstration with respect to the Future
        Combat Systems.
            (2) Conduct of estimate.--The estimate required by this
        subsection shall be prepared by a federally funded research and
        development center selected by the Secretary for purposes of this
        subsection.
            (3) Matters to be addressed.--The independent estimate prepared
        under this subsection shall address costs of research, development,
        test, and evaluation, and costs of procurement, for--
                (A) the system development and demonstration phase of the
            core Future Combat Systems;
                (B) the Future Combat Systems technologies to be
            incorporated into the equipment of the current force of the
            Army (often referred to as ``spinouts'');
                (C) the installation kits for the incorporation of such
            technologies into such equipment;
                (D) the systems treated as complementary systems for the
            Future Combat Systems;
                (E) science and technology initiatives that support the
            Future Combat Systems program; and
                (F) any pass-through charges anticipated to be assessed by
            the lead systems integrator of the Future Combat Systems and
            its major subcontractors.
            (4) Submittal to congress.--Upon completion of the independent
        estimate required by this subsection, the Secretary shall submit to
        the congressional defense committees a report on the estimate.
            (5) Deadline for submittal.--The report described in paragraph
        (4) shall be submitted not later than April 1, 2007.
        (b) Pass-Through Charge Defined.--In this section, the term ``pass-
    through charge'' has the meaning given that term in section 805(c)(5)
    of the National Defense Authorization Act for Fiscal Year 2006 (Public
    Law 109-163; 119 Stat. 3373).
        SEC. 217. FUNDING OF DEFENSE SCIENCE AND TECHNOLOGY PROGRAMS.
        (a) Failure To Comply With Funding Objective.--Section 212 of the
    National Defense Authorization Act for Fiscal Year 2000 (10 U.S.C. 2501
    note) is amended in subsection (a) by striking ``especially the Air
    Force Science and Technology Program,''.
        (b) Extension of Funding Objective.--Such section is amended in
    subsection (b) by striking ``through 2009'' and inserting ``through
    2012''.
        (c) Actions Following Failure To Comply With Objective.--Such
    section is further amended by adding at the end the following new
    subsection:
        ``(c) Actions Following Failure To Comply With Objective.--If the
    proposed budget for a fiscal year covered by subsection (b) fails to
    comply with the objective set forth in that subsection, the Secretary
    of Defense shall submit to the congressional defense committees, at the
    same time that the Department of Defense budget justification materials
    for the next fiscal year are submitted to Congress--
            ``(1) a detailed, prioritized list, including estimates of
        required funding, of highly-rated science and technology projects
        received by the Department through competitive solicitations and
        broad agency announcements which--
                ``(A) are not funded solely due to lack of resources, but
                ``(B) represent science and technology opportunities that
            support the research and development programs and goals of the
            military departments and the Defense Agencies; and
            ``(2) a report, in both classified and unclassified form,
        containing an analysis and evaluation of international research and
        technology capabilities, including an identification of any
        technology areas in which the United States may not have global
        technical leadership within the next 10 years, in each of the
        technology areas described in the following plans:
                ``(A) The most current Joint Warfighting Science and
            Technology Plan required by section 270 of the National Defense
            Authorization Act for Fiscal Year 1997 (10 U.S.C. 2501 note).
                ``(B) The Defense Technology Area Plan of the Department of
            Defense.
                ``(C) The Basic Research Plan of the Department of
            Defense.''.
        SEC. 218. HYPERSONICS DEVELOPMENT.
        (a) Establishment of Joint Technology Office on Hypersonics.--The
    Secretary of Defense shall establish within the Office of the Secretary
    of Defense a joint technology office on hypersonics. The office shall
    carry out the program required under subsection (b), and shall have
    such other responsibilities relating to hypersonics as the Secretary
    shall specify.
        (b) Program on Hypersonics.--The joint technology office
    established under subsection (a) shall carry out a program for the
    development of hypersonics for defense purposes.
        (c) Responsibilities.--In carrying out the program required by
    subsection (b), the joint technology office established under
    subsection (a) shall do the following:
            (1) Coordinate and integrate current and future research,
        development, test, and evaluation programs and system demonstration
        programs of the Department of Defense on hypersonics.
            (2) Undertake appropriate actions to ensure--
                (A) close and continuous integration of the programs on
            hypersonics of the military departments with the programs on
            hypersonics of the Defense Agencies;
                (B) coordination of the programs referred to in
            subparagraph (A) with the programs on hypersonics of the
            National Aeronautics and Space Administration; and
                (C) that developmental testing resources are adequate and
            facilities are made available in a timely manner to support
            hypersonics research, demonstration programs, and system
            development.
            (3) Approve demonstration programs on hypersonic systems.
            (4) Ensure that any demonstration program on hypersonic systems
        that is carried out in any year after its approval under paragraph
        (3) is carried out only if certified under subsection (e) as being
        consistent with the roadmap under subsection (d).
        (d) Roadmap.--
            (1) Roadmap required.--The joint technology office established
        under subsection (a) shall develop, and every two years revise, a
        roadmap for the hypersonics programs of the Department of Defense.
            (2) Coordination.--The roadmap shall be developed and revised
        under paragraph (1) in coordination with the Joint Staff and in
        consultation with the National Aeronautics and Space
        Administration.
            (3) Elements.--The roadmap shall include the following matters:
                (A) Anticipated or potential mission requirements for
            hypersonics.
                (B) Short-term, mid-term, and long-term goals for the
            Department of Defense on hypersonics, which shall be consistent
            with the missions and anticipated requirements of the
            Department over the applicable period.
                (C) A schedule for meeting such goals, including--
                    (i) the activities and funding anticipated to be
                required for meeting such goals; and
                    (ii) the activities of the National Aeronautics and
                Space Administration to be leveraged by the Department to
                meet such goals.
                (D) The test and evaluation facilities required to support
            the activities identified in subparagraph (C), along with the
            schedule and funding required to upgrade those facilities, as
            necessary.
                (E) Acquisition transition plans for hypersonics.
            (4) Submittal to congress.--The Secretary shall submit to the
        congressional defense committees--
                (A) at the same time as the submittal to Congress of the
            budget for fiscal year 2008 (as submitted pursuant to section
            1105 of title 31, United States Code), the roadmap developed
            under paragraph (1); and
                (B) at the same time as the submittal to Congress of the
            budget for each even-numbered fiscal year after 2008, the
            roadmap revised under paragraph (1).
        (e) Annual Review and Certification of Funding.--
            (1) Annual review.--The joint technology office established
        under subsection (a) shall conduct on an annual basis a review of--
                (A) the funding available for research, development, test,
            and evaluation and demonstration programs within the Department
            of Defense for hypersonics, in order to determine whether or
            not such funding is consistent with the roadmap developed under
            subsection (d); and
                (B) the hypersonics demonstration programs of the
            Department, in order to determine whether or not such programs
            avoid duplication of effort and support the goals of the
            Department in a manner consistent with the roadmap developed
            under subsection (d).
            (2) Certification.--The joint technology office shall, as a
        result of each review under paragraph (1), certify to the Secretary
        whether or not the funding and programs subject to such review are
        consistent with the roadmap developed under subsection (d).
            (3) Termination.--The requirements of this subsection shall
        terminate after the submittal to Congress of the budget for fiscal
        year 2012 pursuant to section 1105 of title 31, United States Code.
        (f) Reports to Congress.--If, as a result of a review under
    subsection (e), funding or a program on hypersonics is certified under
    that subsection not to be consistent with the roadmap developed under
    subsection (d), the Secretary shall submit to the congressional defense
    committees, at the same time as the submittal to Congress of the budget
    (as submitted pursuant to section 1105 of title 31, United States
    Code), a report on such funding or program, as the case may be,
    describing how such funding or program is not consistent with the
    roadmap, together with a statement of the actions to be taken by the
    Department.
        SEC. 219. REPORT ON PROGRAM FOR REPLACEMENT OF NUCLEAR WARHEADS ON
          CERTAIN TRIDENT SEA-LAUNCHED BALLISTIC MISSILES WITH CONVENTIONAL
          WARHEADS.
        (a) Report Required.--Not later than February 1, 2007, the
    Secretary of Defense shall submit to the congressional defense
    committees a report setting forth a proposal to replace nuclear
    warheads on 24 Trident D-5 sea-launched ballistic missiles with
    conventional kinetic warheads for deployment on submarines that carry
    Trident sea-launched ballistic missiles. The report shall be prepared
    in consultation with the Secretary of State.
        (b) Elements.--The report required by subsection (a) shall include
    the following:
            (1) A description of the types of scenarios, types of targets,
        and circumstances in which a conventional sea-launched ballistic
        missile might be used.
            (2) A discussion of the weapon systems or weapons, whether
        current or planned, that could be used as an alternative for each
        of the scenarios, target types, and circumstances set forth under
        paragraph (1), and a statement of any reason why each such weapon
        system or weapon is not a suitable alternative to a conventional
        sea-launched ballistic missile.
            (3) A description of the command and control arrangements for
        conventional sea-launched ballistic missiles, including launch
        authority and the use of Permissive Action Links (PALs).
            (4) An assessment of the capabilities of other countries to
        detect and track the launch of a conventional or nuclear sea-
        launched ballistic missile.
            (5) An assessment of the capabilities of other countries to
        discriminate between the launch of a nuclear sea-launched ballistic
        missile and a conventional sea-launched ballistic missile, other
        than in a testing scenario.
            (6) An assessment of the notification and other protocols that
        would have to be in place before using any conventional sea-
        launched ballistic missile and a plan for entering into such
        protocols.
            (7) An assessment of the adequacy of the intelligence that
        would be needed to support an attack involving conventional sea-
        launched ballistic missiles.
            (8) A description of the total program cost, including the
        procurement costs of additional D-5 missiles, of the conventional
        Trident sea-launched ballistic missile program, by fiscal year.
            (9) An analysis and assessment of the implications for
        ballistic missile proliferation if the United States decides to go
        forward with the conventional Trident sea-launched ballistic
        missile program or any other conventional long-range ballistic
        missile program.
            (10) An analysis and assessment of the implications for the
        United States missile defense system if other countries use
        conventional long-range ballistic missiles.
            (11) An analysis of any problems created by the ambiguity that
        results from the use of the same ballistic missile for both
        conventional and nuclear warheads.
            (12) An analysis and assessment of the methods that other
        countries might use to resolve the ambiguities associated with a
        nuclear or conventional sea-launched ballistic missile.
            (13) An analysis, by the Secretary of State, of the
        international, treaty, and other concerns that would be associated
        with the use of a conventional sea-launched ballistic missile and
        recommendations for measures to mitigate or eliminate such
        concerns.
            (14) A joint statement by the Secretary of Defense and the
        Secretary of State on how to ensure that the use of a conventional
        sea-launched ballistic missile will not result in an intentional,
        inadvertent, mistaken, or accidental reciprocal or responsive
        launch of a nuclear strike by any other country.

                      Subtitle C--Missile Defense Programs

        SEC. 221. FIELDING OF BALLISTIC MISSILE DEFENSE CAPABILITIES.
        Upon approval by the Secretary of Defense, funds authorized to be
    appropriated for fiscal years 2007 and 2008 for research, development,
    test, and evaluation for the Missile Defense Agency may be used for the
    development and fielding of ballistic missile defense capabilities.
        SEC. 222. LIMITATION ON USE OF FUNDS FOR SPACE-BASED INTERCEPTOR.
        (a) Limitation.--No funds appropriated or otherwise made available
    to the Department of Defense may be obligated or expended for the
    testing or deployment of a space-based interceptor until 90 days after
    the date on which a report described in subsection (c) is submitted.
        (b) Space-Based Interceptor Defined.--For purposes of this section,
    the term ``space-based interceptor'' means a kinetic or directed energy
    weapon that is stationed on a satellite or orbiting platform and that
    is intended to destroy another satellite in orbit or a ballistic
    missile launched from earth.
        (c) Report.--A report described in this subsection is a report
    prepared by the Director of the Missile Defense Agency and submitted to
    the congressional defense committees containing the following:
            (1) A description of the essential components of a proposed
        space-based interceptor system, including a description of how the
        system proposed would enhance or complement other missile defense
        systems.
            (2) An estimate of the acquisition and life-cycle cost of the
        system described under paragraph (1), including lift cost and
        periodic replacement cost due to depreciation and attrition.
            (3) An analysis of the vulnerability of such a system to
        counter-measures, including direct ascent and co-orbital
        interceptors, and an analysis of the functionality of such a system
        in the aftermath of a nuclear detonation in space.
            (4) A projection of the foreign policy and national security
        implications of a space-based interceptor program, including the
        probable response of United States adversaries and United States
        allies.
        SEC. 223. POLICY OF THE UNITED STATES ON PRIORITIES IN THE
          DEVELOPMENT, TESTING, AND FIELDING OF MISSILE DEFENSE
          CAPABILITIES.
        (a) Findings.--Congress makes the following findings:
            (1) In response to the threat posed by ballistic missiles,
        President George W. Bush in December 2002 directed the Secretary of
        Defense to proceed with the fielding of an initial set of missile
        defense capabilities in 2004 and 2005.
            (2) According to assessments by the intelligence community of
        the United States, North Korea tested in 2005 a new solid
        propellant short-range ballistic missile, conducted a launch of a
        Taepodong-2 ballistic missile/space launch vehicle in 2006, and is
        likely developing intermediate-range and intercontinental ballistic
        missile capabilities that could someday reach as far as the United
        States with a nuclear payload.
            (3) According to assessments by the intelligence community of
        the United States, Iran continued in 2005 to test its medium-range
        ballistic missile, and the danger that Iran will acquire a nuclear
        weapon and integrate it with a ballistic missile Iran already
        possesses is a reason for immediate concern.
        (b) Policy.--It is the policy of the United States that the
    Department of Defense accord a priority within the missile defense
    program to the development, testing, fielding, and improvement of
    effective near-term missile defense capabilities, including the ground-
    based midcourse defense system, the Aegis ballistic missile defense
    system, the Patriot PAC-3 system, the Terminal High Altitude Area
    Defense system, and the sensors necessary to support such systems.
        SEC. 224. ONE-YEAR EXTENSION OF COMPTROLLER GENERAL ASSESSMENTS OF
          BALLISTIC MISSILE DEFENSE PROGRAMS.
        Section 232(g) of the National Defense Authorization Act for Fiscal
    Year 2002 (10 U.S.C. 2431 note) is amended--
            (1) in paragraph (1), by striking ``through 2007'' and
        inserting ``through 2008''; and
            (2) in paragraph (2), by striking ``through 2008'' and
        inserting ``through 2009''.
        SEC. 225. SUBMITTAL OF PLANS FOR TEST AND EVALUATION OF THE
          OPERATIONAL CAPABILITY OF THE BALLISTIC MISSILE DEFENSE SYSTEM.
        Section 234(a) of the National Defense Authorization Act for Fiscal
    Year 2006 (Public Law 109-163; 119 Stat. 3174; 10 U.S.C. 2431 note) is
    amended by adding at the end the following new paragraph:
            ``(3) Submittal to congress.--Each plan prepared under this
        subsection and approved by the Director of Operational Test and
        Evaluation shall be submitted to the congressional defense
        committees not later than 30 days after the date of the approval of
        such plan by the Director.''.
        SEC. 226. ANNUAL REPORTS ON TRANSITION OF BALLISTIC MISSILE DEFENSE
          PROGRAMS TO THE MILITARY DEPARTMENTS.
        (a) Report Required.--Not later than March 1, 2007, and annually
    thereafter through 2013, the Under Secretary of Defense for
    Acquisition, Technology, and Logistics shall submit to the
    congressional defense committees a report on the plans of the
    Department of Defense for the transition of missile defense programs
    from the Missile Defense Agency to the military departments.
        (b) Scope of Reports.--Each report required by subsection (a) shall
    cover the period covered by the future-years defense program that is
    submitted under section 221 of title 10, United States Code, in the
    year in which such report is submitted.
        (c) Elements.--Each report required by subsection (a) shall include
    the following:
            (1) An identification of--
                (A) the missile defense programs planned to be transitioned
            from the Missile Defense Agency to the military departments;
            and
                (B) the missile defense programs, if any, not planned for
            transition to the military departments.
            (2) The schedule for transition of each missile defense program
        planned to be transitioned to a military department, and an
        explanation of such schedule.
            (3) A description of--
                (A) the status of the plans of the Missile Defense Agency
            and the military departments for the transition of missile
            defense programs from that agency to the military departments;
            and
                (B) the status of any agreement between the Missile Defense
            Agency and one or more of the military departments on the
            transition of any such program from that agency to the military
            departments, including any agreement on the operational test
            criteria that must be achieved before such transition.
            (4) An identification of the entity of the Department of
        Defense (whether the Missile Defense Agency, a military department,
        or both) that will be responsible for funding each missile defense
        program to be transitioned to a military department, and at what
        date.
            (5) A description of the type of funds that will be used
        (whether funds for research, development, test, and evaluation,
        procurement, military construction, or operation and maintenance)
        for each missile defense program to be transitioned to a military
        department.
            (6) An explanation of the number of systems planned for
        procurement for each missile defense program to be transitioned to
        a military department, and the schedule for procurement of each
        such system.

                           Subtitle D--Other Matters

        SEC. 231. POLICIES AND PRACTICES ON TEST AND EVALUATION TO ADDRESS
          EMERGING ACQUISITION APPROACHES.
        (a) Revision to Report Requirement.--Section 2399(b) of title 10,
    United States Code, is amended--
            (1) by amending paragraph (2) to read as follows:
        ``(2) The Director shall analyze the results of the operational
    test and evaluation conducted for each major defense acquisition
    program. At the conclusion of such testing, the Director shall prepare
    a report stating--
            ``(A) the opinion of the Director as to--
                ``(i) whether the test and evaluation performed were
            adequate; and
                ``(ii) whether the results of such test and evaluation
            confirm that the items or components actually tested are
            effective and suitable for combat; and
            ``(B) additional information on the operational capabilities of
        the items or components that the Director considers appropriate
        based on the testing conducted.'';
            (2) by redesignating paragraph (5) as paragraph (6); and
            (3) by inserting after paragraph (4) the following:
        ``(5) If, before a final decision described in paragraph (4) is
    made for a major defense acquisition program, a decision is made within
    the Department of Defense to proceed to operational use of that program
    or to make procurement funds available for that program, the Director
    shall submit to the Secretary of Defense and the congressional defense
    committees the report with respect to that program under paragraph (2)
    as soon as practicable after the decision described in this paragraph
    is made.''.
        (b) Review and Revision of Policies and Practices.--
            (1) Review.--During fiscal year 2007, the Under Secretary of
        Defense for Acquisition, Technology, and Logistics and the Director
        of Operational Test and Evaluation shall review Department of
        Defense policies and practices on test and evaluation in order to--
                (A) reaffirm the test and evaluation principles that should
            guide traditional acquisition programs; and
                (B) determine how best to apply appropriate test and
            evaluation principles to emerging acquisition approaches.
            (2) Revised guidance.--If the Under Secretary determines as a
        result of the review under paragraph (1) that a revision of the
        policies and practices referred to in that paragraph is necessary,
        the Under Secretary and the Director shall jointly issue new or
        revised guidance for the Department of Defense on test and
        evaluation to address that determination.
        (c) Issues To Be Addressed.--In carrying out subsection (b), the
    Under Secretary shall address policies and practices on test and
    evaluation in order to--
            (1) ensure the performance of test and evaluation activities
        with regard to--
                (A) items that are acquired pursuant to the authority for
            rapid acquisition and deployment of items in section 806 of the
            Bob Stump National Defense Authorization Act for Fiscal Year
            2003 (10 U.S.C. 2302 note);
                (B) programs that are conducted pursuant to the authority
            for spiral development in section 803 of the Bob Stump National
            Defense Authorization Act for Fiscal Year 2003 (Public Law 107-
            314; 116 Stat. 2603; 10 U.S.C. 2430 note), or other authority
            for the conduct of incremental acquisition programs;
                (C) systems that are acquired pursuant to other emerging
            acquisition approaches, as approved by the Under Secretary; and
                (D) equipment that is not subject to the operational test
            and evaluation requirements in sections 2366 and 2399 of title
            10, United States Code, but that may require limited
            operational test and evaluation for the purpose of ensuring the
            safety and survivability of such equipment and personnel using
            such equipment; and
            (2) ensure the appropriate use, if any, of operational test and
        evaluation resources to assess technology readiness levels for the
        purpose of section 2366a of title 10, United States Code, and other
        applicable technology readiness requirements.
        (d) Inclusion of Testing Needs in Strategic Plan.--The Director,
    Test Resource Management Center, shall ensure that the strategic plan
    for Department of Defense test and evaluation resources developed
    pursuant to section 196 of title 10, United States Code--
            (1) reflects any testing needs of the Department of Defense
        that are identified as a result of activities under subsection (b);
        and
            (2) includes an assessment of the test and evaluation
        facilities, resources, and budgets that will be required to meet
        such needs.
        (e) Report to Congress.--Not later than nine months after the date
    of the enactment of this Act, the Under Secretary and the Director of
    Operational Test and Evaluation shall submit to the congressional
    defense committees a report on the review conducted under paragraph (1)
    of subsection (b), including any new or revised guidance issued
    pursuant to paragraph (2) of that subsection.
        (f) Clarification of Duties With Respect to Force Protection
    Equipment.--Section 139(b) of title 10, United States Code, is
    amended--
            (1) by redesignating paragraphs (3) through (6) as paragraphs
        (4) through (7), respectively; and
            (2) by inserting after paragraph (2) the following:
            ``(3) provide guidance to and consult with the officials
        described in paragraph (2) with respect to operational test and
        evaluation or survivability testing (or both) within the Department
        of Defense of force protection equipment (including non-lethal
        weapons), which, in such a case--
                ``(A) shall be guidance and consultation for the purposes
            of--
                    ``(i) expediting suitable operational test and
                evaluation;
                    ``(ii) providing objective subject-matter expertise;
                    ``(iii) encouraging data sharing between Department of
                Defense components; and
                    ``(iv) where appropriate, facilitating the use of
                common test standards; and
                ``(B) does not authorize the Director--
                    ``(i) to approve test and evaluation plans for such
                equipment; or
                    ``(ii) to in any manner delay deployment of such
                equipment;''.
        SEC. 232. EXTENSION OF REQUIREMENT FOR GLOBAL RESEARCH WATCH
          PROGRAM.
        Section 2365(f) of title 10, United States Code, is amended by
    striking ``September 30, 2006'' and inserting ``September 30, 2011''.
        SEC. 233. SENSE OF CONGRESS ON TECHNOLOGY SHARING OF JOINT STRIKE
          FIGHTER TECHNOLOGY.
        It is the sense of Congress that the Secretary of Defense should
    share technology with regard to the Joint Strike Fighter between the
    United States Government and the Government of the United Kingdom
    consistent with the national security interests of both nations.
        SEC. 234. REPORT ON VEHICLE-BASED ACTIVE PROTECTION SYSTEMS FOR
          CERTAIN BATTLEFIELD THREATS.
        (a) Independent Assessment.--The Secretary of Defense shall enter
    into a contract with an appropriate entity independent of the United
    States Government to conduct an assessment of various foreign and
    domestic technological approaches to vehicle-based active protection
    systems for defense against both chemical energy and kinetic energy
    top-attack and direct fire threats, including anti-tank missiles and
    rocket propelled grenades, mortars, and other similar battlefield
    threats.
        (b) Report.--
            (1) Report required.--The contract required by subsection (a)
        shall require the entity entering into such contract to submit to
        the Secretary of Defense, and to the congressional defense
        committees, not later than 180 days after the date of the enactment
        of this Act, a report on the assessment required by that
        subsection.
            (2) Elements.--The report required under paragraph (1) shall
        include--
                (A) a detailed comparative analysis and assessment of the
            technical approaches covered by the assessment under subsection
            (a), including the feasibility, military utility, cost, and
            potential short-term and long-term development and deployment
            schedule of such approaches; and
                (B) any other elements specified by the Secretary in the
            contract under subsection (a).

                      TITLE III--OPERATION AND MAINTENANCE

                   Subtitle A--Authorization of Appropriations

    Sec. 301. Operation and maintenance funding.
    Sec. 302. Working capital funds.
    Sec. 303. Other Department of Defense programs.

                      Subtitle B--Environmental Provisions

    Sec. 311. Revision of requirement for unexploded ordnance program
              manager.
    Sec. 312. Funding of cooperative agreements under environmental
              restoration program.
    Sec. 313. Response plan for remediation of unexploded ordnance,
              discarded military munitions, and munitions constituents.
    Sec. 314. Research on effects of ocean disposal of munitions.
    Sec. 315. Reimbursement of Environmental Protection Agency for certain
              costs in connection with Moses Lake Wellfield Superfund Site,
              Moses Lake, Washington.
    Sec. 316. Transfer of Government-furnished uranium stored at Sequoyah
              Fuels Corporation, Gore, Oklahoma.
    Sec. 317. Extension of authority to grant exemptions to certain
              requirements.
    Sec. 318. National Academy of Sciences study on human exposure to
              contaminated drinking water at Camp Lejeune, North Carolina.

         Subtitle C--Program Requirements, Restrictions, and Limitations

    Sec. 321. Limitation on financial management improvement and audit
              initiatives within the Department of Defense.
    Sec. 322. Funds for exhibits for the national museums of the Armed
              Forces.
    Sec. 323. Prioritization of funds for equipment readiness and strategic
              capability.
    Sec. 324. Limitation on deployment of Marine Corps Total Force System to
              Navy.

                     Subtitle D--Workplace and Depot Issues

    Sec. 331. Permanent exclusion of certain contract expenditures from
              percentage limitation on the performance of depot-level
              maintenance.
    Sec. 332. Minimum capital investment for certain depots.
    Sec. 333. Extension of temporary authority for contractor performance of
              security guard functions.

                               Subtitle E--Reports

    Sec. 341. Report on Navy Fleet Response Plan.
    Sec. 342. Report on Navy surface ship rotational crew programs.
    Sec. 343. Report on Army live-fire ranges in Hawaii.
    Sec. 344. Comptroller General report on joint standards and protocols
              for access control systems at Department of Defense
              installations.
    Sec. 345. Comptroller General report on readiness of Army and Marine
              Corps ground forces.
    Sec. 346. Report on Air Force safety requirements for Air Force flight
              training operations at Pueblo Memorial Airport, Colorado.
    Sec. 347. Annual report on Personnel Security Investigations for
              Industry and National Industrial Security Program.
    Sec. 348. Five-year extension of annual report on training range
              sustainment plan and training range inventory.
    Sec. 349. Reports on withdrawal or diversion of equipment from reserve
              units for support of reserve units being mobilized and other
              units.

                            Subtitle F--Other Matters

    Sec. 351. Department of Defense strategic policy on prepositioning of
              materiel and equipment.
    Sec. 352. Authority to make Department of Defense horses available for
              adoption.
    Sec. 353. Sale and use of proceeds of recyclable munitions materials.
    Sec. 354. Recovery and transfer to Corporation for the Promotion of
              Rifle Practice and Firearms Safety of certain firearms,
              ammunition, and parts granted to foreign countries.
    Sec. 355. Extension of Department of Defense telecommunications benefit
              program.
    Sec. 356. Extension of availability of funds for commemoration of
              success of the Armed Forces in Operation Enduring Freedom and
              Operation Iraqi Freedom.
    Sec. 357. Capital security cost sharing.
    Sec. 358. Utilization of fuel cells as back-up power systems in
              Department of Defense operations.
    Sec. 359. Improving Department of Defense support for civil authorities.
    Sec. 360. Energy efficiency in weapons platforms.
    Sec. 361. Prioritization of funds within Navy mission operations, ship
              maintenance, combat support forces, and weapons system
              support.
    Sec. 362. Provision of adequate storage space to secure personal
              property outside of assigned military family housing unit.
    Sec. 363. Expansion of payment of replacement value of personal property
              damaged during transport at Government expense.

                  Subtitle A--Authorization of Appropriations

        SEC. 301. OPERATION AND MAINTENANCE FUNDING.
        Funds are hereby authorized to be appropriated for fiscal year 2007
    for the use of the Armed Forces and other activities and agencies of
    the Department of Defense for expenses, not otherwise provided for, for
    operation and maintenance, in amounts as follows:
            (1) For the Army, $24,416,352,000.
            (2) For the Navy, $31,157,639,000.
            (3) For the Marine Corps, $3,863,462,000.
            (4) For the Air Force, $31,081,257,000.
            (5) For Defense-wide activities, $20,093,876,000.
            (6) For the Army Reserve, $2,260,802,000.
            (7) For the Naval Reserve, $1,275,764,000.
            (8) For the Marine Corps Reserve, $211,311,000.
            (9) For the Air Force Reserve, $2,698,400,000.
            (10) For the Army National Guard, $4,776,421,000.
            (11) For the Air National Guard, $5,292,517,000.
            (12) For the United States Court of Appeals for the Armed
        Forces, $11,721,000.
            (13) For Environmental Restoration, Army, $413,794,000.
            (14) For Environmental Restoration, Navy, $304,409,000.
            (15) For Environmental Restoration, Air Force, $423,871,000.
            (16) For Environmental Restoration, Defense-wide, $18,431,000.
            (17) For Environmental Restoration, Formerly Used Defense
        Sites, $282,790,000.
            (18) For Former Soviet Union Threat Reduction programs,
        $372,128,000.
            (19) For Overseas Humanitarian Disaster and Civic Aid,
        $63,204,000.
        SEC. 302. WORKING CAPITAL FUNDS.
        Funds are hereby authorized to be appropriated for fiscal year 2007
    for the use of the Armed Forces and other activities and agencies of
    the Department of Defense for providing capital for working capital and
    revolving funds in amounts as follows:
            (1) For the Defense Working Capital Funds, $161,998,000.
            (2) For the National Defense Sealift Fund, $1,071,932,000.
            (3) For the Defense Working Capital Fund, Defense Commissary,
        $1,184,000,000.
            (4) For the Pentagon Reservation Maintenance Revolving Fund,
        $18,500,000.
        SEC. 303. OTHER DEPARTMENT OF DEFENSE PROGRAMS.
        (a) Defense Health Program.--Funds are hereby authorized to be
    appropriated for the Department of Defense for fiscal year 2007 for
    expenses, not otherwise provided for, for the Defense Health Program,
    $21,426,621,000, of which--
            (1) $20,894,663,000 is for Operation and Maintenance;
            (2) $135,603,000 is for Research, Development, Test, and
        Evaluation; and
            (3) $396,355,000 is for Procurement.
        (b) Chemical Agents and Munitions Destruction, Defense.--(1) Funds
    are hereby authorized to be appropriated for the Department of Defense
    for fiscal year 2007 for expenses, not otherwise provided for, for
    Chemical Agents and Munitions Destruction, Defense, $1,277,304,000, of
    which--
                (A) $1,046,290,000 is for Operation and Maintenance; and
                (B) $231,014,000 is for Research, Development, Test, and
            Evaluation.
        (2) Amounts authorized to be appropriated under paragraph (1) are
    authorized for--
            (A) the destruction of lethal chemical agents and munitions in
        accordance with section 1412 of the Department of Defense
        Authorization Act for Fiscal Year 1986 (50 U.S.C. 1521); and
            (B) the destruction of chemical warfare materiel of the United
        States that is not covered by section 1412 of such Act.
        (c) Drug Interdiction and Counter-Drug Activities, Defense-Wide.--
    Funds are hereby authorized to be appropriated for the Department of
    Defense for fiscal year 2006 for expenses, not otherwise provided for,
    for Drug Interdiction and Counter-Drug Activities, Defense-wide,
    $926,890,000.
        (d) Defense Inspector General.--Funds are hereby authorized to be
    appropriated for the Department of Defense for fiscal year 2006 for
    expenses, not otherwise provided for, for the Office of the Inspector
    General of the Department of Defense, $216,297,000, of which--
            (1) $214,897,000 is for Operation and Maintenance; and
            (2) $1,400,000 is for Procurement.

                      Subtitle B--Environmental Provisions

        SEC. 311. REVISION OF REQUIREMENT FOR UNEXPLODED ORDNANCE PROGRAM
          MANAGER.
        Section 2701(k) of title 10, United States Code, is amended--
            (1) in paragraph (1)--
                (A) by striking ``establish'' and inserting ``designate'';
            and
                (B) by inserting ``research,'' after ``characterization,'';
            (2) by striking paragraph (2) and redesignating paragraph (3)
        as paragraph (4); and
            (3) by inserting after paragraph (1) the following new
        paragraphs:
        ``(2) The position of program manager shall be filled by--
            ``(A) an employee in a position that is equivalent to pay grade
        O-6 or above; or
            ``(B) a member of the armed forces who is serving in the grade
        of colonel or, in the case of the Navy, captain, or in a higher
        grade.
        ``(3) The program manager shall report to the Deputy Under
    Secretary of Defense for Installations and Environment.''.
        SEC. 312. FUNDING OF COOPERATIVE AGREEMENTS UNDER ENVIRONMENTAL
          RESTORATION PROGRAM.
        Section 2701(d)(2) of title 10, United States Code, is amended by
    adding at the end the following new sentence: ``This two-year
    limitation does not apply to an agreement funded using amounts in the
    Department of Defense Base Closure Account 1990 or the Department of
    Defense Base Closure Account 2005 established under sections 2906 and
    2906A of the Defense Base Closure and Realignment Act of 1990 (part A
    of title XXIX of Public Law 101-510; 10 U.S.C. 2687 note).''.
        SEC. 313. RESPONSE PLAN FOR REMEDIATION OF UNEXPLODED ORDNANCE,
          DISCARDED MILITARY MUNITIONS, AND MUNITIONS CONSTITUENTS.
        (a) Performance Goals for Remediation.--The Secretary of Defense
    shall set the following remediation goals with regard to unexploded
    ordnance, discarded military munitions, and munitions constituents:
            (1) To complete, by not later than September 30, 2007,
        preliminary assessments of unexploded ordnance, discarded military
        munitions, and munitions constituents at all active installations
        and formerly used defense sites (other than operational ranges).
            (2) To complete, by not later than September 30, 2010, site
        inspections of unexploded ordnance, discarded military munitions,
        and munitions constituents at all active installations and formerly
        used defense sites (other than operational ranges).
            (3) To achieve, by not later than September 30, 2009, a remedy
        in place or response complete for unexploded ordnance, discarded
        military munitions, and munitions constituents at all military
        installations closed or realigned as part of a round of defense
        base closure and realignment occurring prior to the 2005 round.
            (4) To achieve, by a date certain established by the Secretary
        of Defense, a remedy in place or response complete for unexploded
        ordnance, discarded military munitions, and munitions constituents
        at all active installations and formerly used defense sites (other
        than operational ranges) and all military installations realigned
        or closed under the 2005 round of defense base closure and
        realignment.
        (b) Response Plan Required.--
            (1) In general.--Not later than March 1, 2007, the Secretary of
        Defense shall submit to the congressional defense committees a
        comprehensive plan for addressing the remediation of unexploded
        ordnance, discarded military munitions, and munitions constituents
        at current and former defense sites (other than operational
        ranges).
            (2) Content.--The plan required by paragraph (1) shall
        include--
                (A) a schedule, including interim goals, for achieving the
            goals described in paragraphs (1) through (3) of subsection
            (a), based upon the Munitions Response Site Prioritization
            Protocol established by the Department of Defense;
                (B) such interim goals as the Secretary determines feasible
            for efficiently achieving the goal required under paragraph (4)
            of such subsection; and
                (C) an estimate of the funding required to achieve the
            goals established pursuant to such subsection and the interim
            goals established pursuant to subparagraphs (A) and (B).
            (3) Updates.--Not later than March 15 of 2008, 2009, and 2010,
        the Secretary shall submit to the congressional defense committees
        an update of the plan required under paragraph (1). The Secretary
        may include the update in the report on environmental restoration
        activities that is submitted to Congress under section 2706(a) of
        title 10, United States Code, in the year in which that update is
        required and may include in the update any adjustment to the
        remediation goals established under subsection (a) that the
        Secretary determines necessary to respond to unforeseen
        circumstances.
        (c) Report on Reuse Standards and Principles.--Not later than March
    1, 2007, the Secretary of Defense shall submit to the congressional
    defense committees a report on the status of the efforts of the
    Department of Defense to achieve agreement with relevant regulatory
    agencies on appropriate reuse standards or principles, including--
            (1) a description of any standards or principles that have been
        agreed upon; and
            (2) a discussion of any issues that remain in disagreement,
        including the impact that any such disagreement is likely to have
        on the ability of the Department of Defense to carry out the
        response plan required by subsection (b).
        (d) Definitions.--In this section:
            (1) The terms ``unexploded ordnance'' and ``operational range''
        have the meanings given such terms in section 101(e) of title 10,
        United States Code.
            (2) The terms ``discarded military munitions'', ``munitions
        constituents'', and ``defense site'' have the meanings given such
        terms in section 2710(e) of such title.
        (e) Conforming Repeal.--Section 313 of the National Defense
    Authorization Act for Fiscal Year 2002 (Public Law 107-107; 115 Stat.
    1051; 10 U.S.C. 2706 note) is repealed.
        SEC. 314. RESEARCH ON EFFECTS OF OCEAN DISPOSAL OF MUNITIONS.
        (a) Identification of Disposal Sites.--
            (1) Historical review.--The Secretary of Defense shall conduct
        a historical review of available records to determine the number,
        size, and probable locations of sites where the Armed Forces
        disposed of military munitions in coastal waters. The historical
        review shall, to the extent possible, identify the types of
        munitions at individual sites.
            (2) Cooperation.--The Secretary shall request the assistance of
        the Coast Guard, the National Oceanic and Atmospheric
        Administration, and other relevant Federal agencies in conducting
        the review required by this subsection.
            (3) Interim reports.--The Secretary shall periodically, but no
        less often than annually, release any new information obtained
        during the historical review conducted under paragraph (1). The
        Secretary may withhold from public release the exact nature and
        locations of munitions the potential unauthorized retrieval of
        which could pose a significant threat to the national defense or
        public safety.
            (4) Inclusion of information in annual report on environmental
        restoration activities.--The Secretary shall include the
        information obtained pursuant to the review conducted under
        paragraph (1) in the annual report on environmental restoration
        activities submitted to Congress under section 2706 of title 10,
        United States Code.
            (5) Final report.--The Secretary shall complete the historical
        review required under paragraph (1) and submit a final report on
        the findings of such review in the annual report on environmental
        restoration activities submitted to Congress for fiscal year 2009.
        (b) Identification of Navigational and Safety Hazards.--
            (1) Identification of hazards.--The Secretary of Defense shall
        provide available information to the Secretary of Commerce to
        assist the National Oceanic and Atmospheric Administration in
        preparing nautical charts and other navigational materials for
        coastal waters that identify known or potential hazards posed by
        disposed military munitions to private activities, including
        commercial shipping and fishing operations.
            (2) Continuation of information activities.--The Secretary of
        Defense shall continue activities to inform potentially affected
        users of the ocean environment, particularly fishing operations, of
        the possible hazards from contact with disposed military munitions
        and the proper methods to mitigate such hazards.
        (c) Research.--
            (1) In general.--The Secretary of Defense shall continue to
        conduct research on the effects on the ocean environment and those
        who use it of military munitions disposed of in coastal waters.
            (2) Scope.--Research under paragraph (1) shall include--
                (A) the sampling and analysis of ocean waters and sea beds
            at or adjacent to military munitions disposal sites selected
            pursuant to paragraph (3) to determine whether the disposed
            military munitions have caused or are causing contamination of
            such waters or sea beds;
                (B) investigation into the long-term effects of seawater
            exposure on disposed military munitions, particularly effects
            on chemical munitions;
                (C) investigation into the impacts any such contamination
            may have on the ocean environment and those who use it,
            including public health risks;
                (D) investigation into the feasibility of removing or
            otherwise remediating the military munitions; and
                (E) the development of effective safety measures for
            dealing with such military munitions.
            (3) Research criteria.--In conducting the research required by
        this subsection, the Secretary shall ensure that the sampling,
        analysis, and investigations are conducted at representative sites,
        taking into account factors such as depth, water temperature,
        nature of the military munitions present, and relative proximity to
        onshore populations. In conducting such research, the Secretary
        shall select at least two representative sites each in the areas of
        the Atlantic coast, the Pacific coast (including Alaska), and the
        Hawaiian Islands.
            (4) Authority to make grants and enter into cooperative
        agreements.--In conducting research under this subsection, the
        Secretary may make grants to, and enter into cooperative agreements
        with, qualified research entities.
        (d) Monitoring.--If the historical review required by subsection
    (a) or the research required by subsection (c) indicates that
    contamination is being released into the ocean waters from disposed
    military munitions at a particular site or that the site poses a
    significant public health or safety risk, the Secretary of Defense
    shall institute appropriate monitoring mechanisms at that site and
    report to the congressional defense committees on any additional
    measures that may be necessary to address the release or risk, as
    applicable.
        (e) Definitions.--In this section:
            (1) The term ``coastal waters'' means that part of the ocean
        extending from the coast line of the United States to the outer
        boundary of the outer Continental Shelf.
            (2) The term ``coast line'' has the meaning given that term in
        section 2(c) of the Submerged Lands Act (43 U.S.C. 1301(c)).
            (3) The term ``military munitions'' has the meaning given that
        term in section 101(e) of title 10, United States Code.
            (4) The term ``outer Continental Shelf'' has the meaning given
        that term in section 2(a) of the Outer Continental Shelf Lands Act
        (43 U.S.C. 1331(a)).
        SEC. 315. REIMBURSEMENT OF ENVIRONMENTAL PROTECTION AGENCY FOR
          CERTAIN COSTS IN CONNECTION WITH MOSES LAKE WELLFIELD SUPERFUND
          SITE, MOSES LAKE, WASHINGTON.
        (a) Authority To Reimburse.--
            (1) Transfer amount.--Using funds described in subsection (b),
        the Secretary of Defense may transfer not more than $111,114.03 to
        the Moses Lake Wellfield Superfund Site 10-6J Special Account.
            (2) Purpose of reimbursement.--The payment under paragraph (1)
        is to reimburse the Environmental Protection Agency for its costs
        incurred in overseeing a remedial investigation/feasibility study
        performed by the Department of the Army under the Defense
        Environmental Restoration Program at the former Larson Air Force
        Base, Moses Lake Superfund Site, Moses Lake, Washington.
            (3) Interagency agreement.--The reimbursement described in
        paragraph (2) is provided for in the interagency agreement entered
        into by the Department of the Army and the Environmental Protection
        Agency for the Moses Lake Wellfield Superfund Site in March 1999.
        (b) Source of Funds.--Any payment under subsection (a) shall be
    made using funds authorized to be appropriated by section 301(17) for
    operation and maintenance for Environmental Restoration, Formerly Used
    Defense Sites.
        (c) Use of Funds.--The Environmental Protection Agency shall use
    the amount transferred under subsection (a) to pay costs incurred by
    the Agency at the Moses Lake Wellfield Superfund Site.
        SEC. 316. TRANSFER OF GOVERNMENT-FURNISHED URANIUM STORED AT
          SEQUOYAH FUELS CORPORATION, GORE, OKLAHOMA.
        (a) Transport and Disposal.--Subject to subsection (c), the
    Secretary of the Army shall transport to an authorized disposal
    facility for appropriate disposal all of the Government-furnished
    uranium in the chemical and physical form in which it is stored at the
    Sequoyah Fuels Corporation site in Gore, Oklahoma.
        (b) Source of Funds.--Funds authorized to be appropriated pursuant
    to section 301(1) for operation and maintenance for the Army may be
    used for the transport and disposal required under subsection (a).
        (c) Liability.--The Secretary may only transport uranium under
    subsection (a) after receiving from Sequoyah Fuels Corporation a
    written agreement satisfactory to the Secretary that provides that--
            (1) the United States assumes no liability, legal or otherwise,
        of Sequoyah Fuels Corporation by transporting the uranium; and
            (2) the Sequoyah Fuels Corporation waives any and all claims it
        may have against the United States related to the transported
        uranium.
        (d) Completion of Transport.--The Secretary shall complete the
    transport of uranium under subsection (a) not later than March 31,
    2007.
        SEC. 317. EXTENSION OF AUTHORITY TO GRANT EXEMPTIONS TO CERTAIN
          REQUIREMENTS.
        (a) Amendment to Toxic Substances Control Act.--Section 6(e)(3) of
    the Toxic Substances Control Act (15 U.S.C. 2605(e)(3)) is amended--
            (1) in subparagraph (A), by striking ``subparagraphs (B) and
        (C)'' and inserting ``subparagraphs (B), (C), and (D)'';
            (2) in subparagraph (B), by striking ``but not more than one
        year from the date it is granted'' and inserting ``but not more
        than 1 year from the date it is granted, except as provided in
        subparagraph (D)''; and
            (3) by adding at the end the following new subparagraph:
        ``(D) The Administrator may extend an exemption granted pursuant to
    subparagraph (B) that has not yet expired for a period not to exceed 60
    days for the purpose of authorizing the Secretary of Defense and the
    Secretaries of the military departments to provide for the
    transportation into the customs territory of the United States of
    polychlorinated biphenyls generated by or under the control of the
    Department of Defense for purposes of their disposal, treatment, or
    storage in the customs territory of the United States if those
    polychlorinated biphenyls are already in transit from their storage
    locations but the Administrator determines, in the sole discretion of
    the Administrator, they would not otherwise arrive in the customs
    territory of the United States within the period of the original
    exemption. The Administrator shall promptly publish notice of such
    extension in the Federal Register.''.
        (b) Sunset Date.--The amendments made by subsection (a) shall cease
    to have effect on September 30, 2012. The termination of the authority
    to grant exemptions pursuant to such amendments shall not effect the
    validity of any exemption granted prior to such date.
        (c) Report.--Not later than March 1, 2011, the Secretary of Defense
    shall submit to the Committee on Armed Services and the Committee on
    Environment and Public Works of the Senate and the Committee on Armed
    Services and the Committee on Energy and Commerce of the House of
    Representatives a report on the status of foreign-manufactured
    polychlorinated biphenyls under the control of the Department of
    Defense outside the United States. The report shall address, at a
    minimum--
            (1) the remaining volume of such foreign-manufactured
        polychlorinated biphenyls that may require transportation into the
        customs territory of the United States for disposal, treatment, or
        storage; and
            (2) the efforts that have been made by the Department of
        Defense and other Federal agencies to reduce such volume by--
                (A) reducing the volume of foreign-manufactured
            polychlorinated biphenyls under the control of the Department
            of Defense outside the United States; or
                (B) developing alternative options for the disposal,
            treatment, or storage of such foreign-manufactured
            polychlorinated biphenyls.
        SEC. 318. NATIONAL ACADEMY OF SCIENCES STUDY ON HUMAN EXPOSURE TO
          CONTAMINATED DRINKING WATER AT CAMP LEJEUNE, NORTH CAROLINA.
        (a) Study Required.--
            (1) In general.--Not later than 60 days after the date of the
        enactment of this Act, the Secretary of the Navy shall enter into
        an agreement with the National Academy of Sciences to conduct a
        comprehensive review and evaluation of the available scientific and
        medical evidence regarding associations between pre-natal, child,
        and adult exposure to drinking water contaminated with
        trichloroethylene (TCE) and tetrachloroethylene (PCE) at Camp
        Lejeune, North Carolina, as well as other pre-natal, child, and
        adult exposures to levels of trichloroethylene and
        tetrachloroethylene similar to those experienced at Camp Lejeune,
        and birth defects or diseases and any other adverse health effects.
            (2) Elements.--In conducting the review and evaluation, the
        Academy shall review and summarize the scientific and medical
        evidence and assess the strength of that evidence in establishing a
        link or association between exposure to trichloroethylene and
        tetrachloroethylene and each birth defect or disease suspected to
        be associated with such exposure. For each birth defect or disease
        reviewed, the Academy shall determine, to the extent practicable
        with available scientific and medical data, whether--
                (A) a statistical association with such contaminant
            exposures exists; and
                (B) there exist plausible biological mechanisms or other
            evidence of a causal relationship between contaminant exposures
            and the birth defect or disease.
            (3) Scope of review.--In conducting the review and evaluation,
        the Academy shall include a review and evaluation of--
                (A) the toxicologic and epidemiologic literature on adverse
            health effects of trichloroethylene and tetrachloroethylene,
            including epidemiologic and risk assessment reports from
            government agencies;
                (B) recent literature reviews by the National Research
            Council, Institute of Medicine, and other groups;
                (C) the completed and on-going Agency for Toxic Substances
            Disease Registry (ATSDR) studies on potential trichloroethylene
            and tetrachloroethylene exposure at Camp Lejeune; and
                (D) published meta-analyses.
            (4) Peer review.--The Academy shall obtain the peer review of
        the report prepared as a result of the review and evaluation under
        applicable Academy procedures.
            (5) Submittal.--The Academy shall submit the report prepared as
        a result of the review and evaluation to the Secretary and Congress
        not later than 18 months after entering into the agreement for the
        review and evaluation under paragraph (1).
        (b) Notice on Exposure.--
            (1) Notice required.--Upon completion of the current
        epidemiological study by the Agency for Toxic Substances Disease
        Registry, known as the Exposure to Volatile Organic Compounds in
        Drinking Water and Specific Birth Defects and Childhood Cancers,
        United States Marine Corps Base Camp Lejeune, North Carolina, the
        Commandant of the Marine Corps shall take appropriate actions,
        including the use of national media such as newspapers, television,
        and the Internet, to notify former Camp Lejeune residents and
        employees who may have been exposed to drinking water impacted by
        trichloroethylene and tetrachloroethylene of the results of the
        study.
            (2) Elements.--The information provided by the Commandant of
        the Marine Corps under paragraph (1) shall be prepared in
        conjunction with the Agency for Toxic Substances Disease Registry
        and shall include a description of sources of additional
        information relating to such exposure, including, but not be
        limited to, the following:
                (A) A description of the events resulting in exposure to
            contaminated drinking water at Camp Lejeune.
                (B) A description of the duration and extent of the
            contamination of drinking water at Camp Lejeune.
                (C) The known and suspected health effects of exposure to
            the drinking water impacted by trichloroethylene and
            tetrachloroethylene at Camp Lejeune.

        Subtitle C--Program Requirements, Restrictions, and Limitations

        SEC. 321. LIMITATION ON FINANCIAL MANAGEMENT IMPROVEMENT AND AUDIT
          INITIATIVES WITHIN THE DEPARTMENT OF DEFENSE.
        (a) Limitation.--The Secretary of Defense may not obligate or
    expend any funds for the purpose of any financial management
    improvement activity relating to the preparation, processing, or
    auditing of financial statements until the Secretary submits to the
    congressional defense committees a written determination that each
    activity proposed to be funded is--
            (1) consistent with the financial management improvement plan
        of the Department of Defense required by section 376(a)(1) of the
        National Defense Authorization Act for Fiscal Year 2006 (Public Law
        190-163; 119 Stat. 3213); and
            (2) likely to improve internal controls or otherwise result in
        sustained improvements in the ability of the Department to produce
        timely, reliable, and complete financial management information.
        (b) Exception.--The limitation in subsection (a) shall not apply to
    an activity directed exclusively at assessing the adequacy of internal
    controls and remediating any inadequacy identified pursuant to such
    assessment.
        SEC. 322. FUNDS FOR EXHIBITS FOR THE NATIONAL MUSEUMS OF THE ARMED
          FORCES.
        (a) National Museum of the United States Army.--Of the amounts
    authorized to be appropriated by section 301(1) for operation and
    maintenance for the Army, not less than $3,000,000 may be available to
    the Secretary of the Army for the acquisition, installation, and
    maintenance of exhibits at the facility designated by the Secretary as
    the National Museum of the United States Army. The Secretary may enter
    into a contract with the Army Historical Foundation for the purpose of
    performing such acquisition, installation, and maintenance.
        (b) National Museum of the United States Navy.--Of the amounts
    authorized to be appropriated by section 301(2) for operation and
    maintenance for the Navy, not less than $3,000,000 may be available to
    the Secretary of the Navy for the acquisition, installation, and
    maintenance of exhibits at the facility designated by the Secretary as
    the National Museum of the United States Navy. The Secretary may enter
    into a contract with the Naval Historical Foundation for the purpose of
    performing such acquisition, installation, and maintenance.
        (c) National Museum of the Marine Corps and Heritage Center.--Of
    the amounts authorized to be appropriated by section 301(3) for
    operation and maintenance for the Marine Corps, not less than
    $3,000,000 may be available to the Secretary of the Navy for the
    acquisition, installation, and maintenance of exhibits at the National
    Museum of the Marine Corps and Heritage Center. The Secretary may enter
    into a contract with the United States Marine Corps Heritage Foundation
    for the purpose of performing such acquisition, installation, and
    maintenance.
        (d) National Museum of the United States Air Force.--Of the amounts
    authorized to be appropriated by section 301(4) for operation and
    maintenance for the Air Force, not less than $3,000,000 may be
    available to the Secretary of the Air Force for the acquisition,
    installation, and maintenance of exhibits at the facility designated by
    the Secretary as the National Museum of the United States Air Force.
    The Secretary may enter into a contract with the Air Force Museum
    Foundation for the purpose of performing such acquisition,
    installation, and maintenance.
        (e) Reimbursement.--
            (1) Authority to accept reimbursement.--After September 30,
        2006, the Secretary of a military department may accept funds from
        any non-profit entity authorized to support the national museum of
        the applicable Armed Force to reimburse the Secretary for amounts
        obligated and expended by the Secretary from amounts made available
        to the Secretary under this section.
            (2) Treatment.--Amounts accepted as reimbursement under
        paragraph (1) shall be credited to the account that was used to
        cover the costs for which the reimbursement was provided. Amounts
        so credited shall be merged with amounts in that account, and shall
        be available for the same purposes, and subject to the same
        conditions and limitations, as other amounts in that account.
        SEC. 323. PRIORITIZATION OF FUNDS FOR EQUIPMENT READINESS AND
          STRATEGIC CAPABILITY.
        (a) Prioritization of Funds.--The Secretary of Defense shall take
    such steps as may be necessary through the planning, programming,
    budgeting, and execution systems of the Department of Defense to ensure
    that financial resources are provided for each fiscal year as necessary
    to enable--
            (1) the Secretary of each military department to meet the
        requirements of that military department for that fiscal year for
        the repair, recapitalization, and replacement of equipment used in
        the global war on terrorism; and
            (2) the Secretary of the Army to meet the requirements of the
        Army for that fiscal year, in addition to the requirements under
        paragraph (1), for--
                (A) the fulfillment of the equipment requirements of units
            transforming to modularity in accordance with the Modular Force
            Initiative report submitted to Congress in March 2006; and
                (B) the reconstitution of equipment and materiel in
            prepositioned stocks in accordance with requirements under the
            Army Prepositioned Stocks Strategy 2012 or a subsequent
            strategy implemented under the guidelines in section 2229 of
            title 10, United States Code.
        (b) Submission of Budget Information.--
            (1) Submission of information.--As part of the budget
        justification materials submitted to Congress in support of the
        President's budget for a fiscal year or a request for supplemental
        appropriations, the Secretary of Defense shall include the
        following:
                (A) The information described in paragraph (2) for the
            fiscal year for which the budget justification materials are
            submitted, the fiscal year during which the materials are
            submitted, and the preceding fiscal year.
                (B) The information described in paragraph (2) for each of
            the fiscal years covered by the future-years defense program
            for the fiscal year in which the report is submitted based on
            estimates of any amounts required to meet each of the
            requirements under subsection (a) that are not met for that
            fiscal year and are deferred to the future-years defense
            program.
                (C) A consolidated budget justification summary of the
            information submitted under subparagraphs (A) and (B).
            (2) Information described.--The information described in this
        paragraph is information that clearly and separately identifies, by
        appropriations account, budget activity, activity group, sub-
        activity group, and program element or line item, the amounts
        requested for the programs, projects, and activities of--
                (A) each of the military departments for the repair,
            recapitalization, or replacement of equipment used in the
            global war on terrorism; and
                (B) the Army for--
                    (i) the fulfillment of the equipment requirements of
                units transforming to modularity; and
                    (ii) the reconstitution of equipment and materiel in
                prepositioned stocks.
            (3) Additional information in first report.--As part of the
        budget justification materials submitted to Congress in support of
        the President's budget for fiscal year 2008, the Secretary of
        Defense shall also include the information described in paragraph
        (2) for fiscal years 2003, 2004, and 2005.
        (c) Annual Report on Army Progress.--On the date on which the
    President submits to Congress the budget for a fiscal year under
    section 1105 of title 31, United States Code, the Secretary of the Army
    shall submit to the congressional defense committees a report setting
    forth the progress of the Army in meeting the requirements of
    subsection (a). Any information required to be included in the report
    concerning funding priorities under paragraph (1) or (2) of subsection
    (a) shall be itemized by active duty component and reserve component.
    Each such report shall include the following:
            (1) A complete itemization of the requirements for the funding
        priorities in subsection (a), including an itemization for all
        types of modular brigades and an itemization for the replacement of
        equipment withdrawn or diverted from the reserve component for use
        in the global war on terrorism.
            (2) A list of any shortfalls that exist between available
        funding, equipment, supplies, and industrial capacity and required
        funding, equipment, supplies, and industrial capacity in accordance
        with the funding priorities in subsection (a).
            (3) A list of the requirements for the funding priorities in
        subsection (a) that the Army has included in the budget for that
        fiscal year, including a detailed listing of the type, quantity,
        and cost of the equipment the Army plans to repair, recapitalize,
        or procure, set forth by appropriations account and Army component.
            (4) An assessment of the progress made during that fiscal year
        toward meeting the overall requirements of the funding priorities
        in subsection (a).
            (5) A schedule for meeting the requirements of subsection (a).
            (6) A description of how the Army defines costs associated with
        modularity versus the costs associated with modernizing equipment
        platforms and the reset (repair, recapitalization, or replacement)
        of equipment used during the global war on terrorism, including the
        funding expended on, and the future funding required for, such
        reset requirements.
            (7) A complete itemization of the amount of funds expended to
        date on the modular brigades.
            (8) The results of Army assessments of modular force
        capabilities, including lessons learned from existing modular units
        and any modifications that have been made to modularity.
            (9) The comments of the Chief of the National Guard Bureau and
        the Chief of the Army Reserve on each of the items described in
        paragraphs (1) through (8).
        (d) Annual Comptroller General Report on Army Progress.--Not later
    than 45 days after the date on which the President submits to Congress
    the budget for a fiscal year under section 1105 of title 31, United
    States Code, the Comptroller General shall submit to the congressional
    defense committees a report containing the assessment of the
    Comptroller General on the following:
            (1) The progress of the Army in meeting the requirements of
        subsection (a), including progress in equipping and manning modular
        units in the regular components and reserve components of the Armed
        Forces.
            (2) The use of funds by the Army for meeting the requirements
        of subsection (a).
            (3) The progress of the Army in conducting further testing and
        evaluations of designs under the modularity initiative.
        (e) Termination of Report Requirements.--The requirement for the
    submission of a report under subsection (c) or (d) shall terminate on
    the date of the submission of the report required to be submitted under
    that subsection to accompany or follow the President's budget
    submission for fiscal year 2012.
        SEC. 324. LIMITATION ON DEPLOYMENT OF MARINE CORPS TOTAL FORCE
          SYSTEM TO NAVY.
        (a) Limitation.--The Secretary of the Navy may not deploy the
    Marine Corps Total Force System (MCTFS) (or any derivative system of
    the MCTFS) to the Navy until the date on which the congressional
    defense committees and the Secretary of the Navy receive the written
    determination of the Chairman of the Defense Business Systems
    Management Committee submitted under subsection (d) that the deployment
    of the MCTFS to the Navy is in the best interests of the Department of
    Defense.
        (b) Report Required.--Not later than 180 days after the date of the
    enactment of this Act, the Secretary of the Navy shall submit to the
    congressional defense committees and the Comptroller General a report
    on the Marine Corps Total Force System (MCTFS). The report shall
    include the following:
            (1) An analysis of alternatives to the MCTFS, including a
        detailed comparison between the cost of deploying and operating the
        MCTFS within the Navy and the cost of including the Navy in the
        Defense Integrated Military Human Resources System.
            (2) A business case analysis, including an analysis of the
        costs and benefits to both the Department of the Navy and the
        Department of Defense of the alternatives to the MCTFS considered
        under the analysis required by paragraph (1).
            (3) An analysis of the compatibility of the MCTFS with the
        enterprise architecture of the Department of Defense, including a
        detailed estimate of all interface costs with current or planned
        Department-wide military manpower, personnel, and pay information
        technology systems.
        (c) Comptroller General Assessment.--Not later than 90 days after
    the date on which the Comptroller General receives the report submitted
    under subsection (b), the Comptroller General shall submit to the
    congressional defense committees and to the Chairman of the Defense
    Business Systems Management Committee a written assessment of the
    report.
        (d) Determination of Chairman of Defense Business Systems
    Management Committee.--Not sooner than 120 days after the date on which
    the Comptroller General receives the report submitted under subsection
    (b), the Chairman of the Defense Business Systems Management Committee
    shall review the analysis included in the report, together with any
    other relevant information available to the Chairman, and submit to the
    congressional defense committees and the Secretary of the Navy the
    written determination of the Chairman of whether the deployment of the
    MCTFS to the Navy is in the best interests of the Department of
    Defense.

                     Subtitle D--Workplace and Depot Issues

        SEC. 331. PERMANENT EXCLUSION OF CERTAIN CONTRACT EXPENDITURES FROM
          PERCENTAGE LIMITATION ON THE PERFORMANCE OF DEPOT-LEVEL
          MAINTENANCE.
        (a) Permanent Exclusion.--Section 2474(f) of title 10, United
    States Code, is amended--
            (1) by striking ``(1) Amounts'' and inserting ``Amounts'';
            (2) by striking ``entered into during fiscal years 2003 through
        2009''; and
            (3) by striking paragraph (2).
        (b) Inclusion of Certain Items in Annual Report.--
            (1) Inclusion of certain items.--Paragraph (2) of section
        2466(d) of such title is amended to read as follows:
        ``(2) Each report required under paragraph (1) shall include as a
    separate item any expenditure covered by section 2474(f) of this title
    that was made during the fiscal year covered by the report and shall
    specify the amount and nature of each such expenditure.''.
            (2) Conforming amendment.--The heading for subsection (d) of
        section 2466 of such title is amended to read as follows: ``Annual
        Report.--''.
        SEC. 332. MINIMUM CAPITAL INVESTMENT FOR CERTAIN DEPOTS.
        (a) Minimum Investment Levels.--Chapter 146 of title 10, United
    States Code, is amended by adding at the end the following new section:

    ``Sec. 2476. Minimum capital investment for certain depots

        ``(a) Minimum Investment.--Each fiscal year, the Secretary of a
    military department shall invest in the capital budgets of the covered
    depots of that military department a total amount equal to not less
    than six percent of the average total combined workload funded at all
    the depots of that military department for the preceding three fiscal
    years.
        ``(b) Capital Budget.--For purposes of this section, the capital
    budget of a depot includes investment funds spent on depot
    infrastructure, equipment, and process improvement in direct support of
    depot operations.
        ``(c) Waiver.--The Secretary of Defense may waive the requirement
    under subsection (a) with respect to a military department for a fiscal
    year if the Secretary determines that the waiver is necessary for
    reasons of national security. Whenever the Secretary makes such a
    waiver, the Secretary shall notify the congressional defense committees
    of the waiver and the reasons for the waiver.
        ``(d) Annual Report.--(1) Not later than 45 days after the date on
    which the President submits to Congress the budget for a fiscal year
    under section 1105 of title 31, the Secretary of Defense shall submit
    to the congressional defense committees a report containing budget
    justification documents summarizing the level of capital investment for
    each military department as of the end of the preceding fiscal year.
        ``(2) Each report submitted under paragraph (1) shall include the
    following:
            ``(A) A specification of any statutory, regulatory, or
        operational impediments to achieving the requirement under
        subsection (a) with respect to each military department.
            ``(B) A description of the benchmarks for capital investment
        established for each covered depot and military department and the
        relationship of the benchmarks to applicable performance
        measurement methods used in the private sector.
            ``(C) If the requirement under subsection (a) is not met for a
        military department for the fiscal year covered by the report, a
        statement of the reasons why the requirement was not met and a plan
        of actions for meeting the requirement for the fiscal year
        beginning in the year in which such report is submitted.
        ``(e) Covered Depot.--In this section, the term `covered depot'
    means any of the following:
            ``(1) With respect to the Department of the Army:
                ``(A) Anniston Army Depot, Alabama.
                ``(B) Letterkenny Army Depot, Pennsylvania.
                ``(C) Tobyhanna Army Depot, Pennsylvania.
                ``(D) Corpus Christi Army Depot, Texas.
                ``(E) Red River Army Depot, Texas.
            ``(2) With respect to the Department of the Navy:
                ``(A) Fleet Readiness Center East Site, Cherry Point, North
            Carolina.
                ``(B) Fleet Readiness Center Southwest Site, North Island,
            California.
                ``(C) Fleet Readiness Center Southeast Site, Jacksonville,
            Florida.
                ``(D) Portsmouth Naval Shipyard, Maine.
                ``(E) Pearl Harbor Naval Shipyard, Hawaii.
                ``(F) Puget Sound Naval Shipyard, Washington.
                ``(G) Norfolk Naval Shipyard, Virginia.
                ``(H) Marine Corps Logistics Base, Albany, Georgia.
                ``(I) Marine Corps Logistics Base, Barstow, California.
            ``(3) With respect to the Department of the Air Force:
                ``(A) Warner-Robins Air Logistics Center, Georgia.
                ``(B) Ogden Air Logistics Center, Utah.
                ``(C) Oklahoma City Air Logistics Center, Oklahoma.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding at the end the following new item:

    ``2476. Minimum capital investment for certain depots.''.

        (c) Effective Date.--Section 2476 of title 10, United States Code,
    as added by subsection (a), shall take effect on October 1, 2006.
        (d) Two Year Phase-in for Departments of the Army and the Navy.--
            (1) Reduced percentage of required investment for fiscal years
        2007 and 2008.--The Secretary of the Army shall apply subsection
        (a) of section 2476 of title 10, United States Code, as added by
        subsection (a), to the covered depots of the Army, and the
        Secretary of the Navy shall apply such subsection to the covered
        depots of the Department of the Navy--
                (A) for fiscal year 2007, by substituting ``four percent''
            for ``six percent''; and
                (B) for fiscal year 2008, by substituting ``five percent''
            for ``six percent''.
            (2) Covered depots.--In this subsection, the term ``covered
        depot'' has the meaning given that term in subsection (e) of
        section 2476 of title 10, United States Code, as added by
        subsection (a).
        SEC. 333. EXTENSION OF TEMPORARY AUTHORITY FOR CONTRACTOR
          PERFORMANCE OF SECURITY GUARD FUNCTIONS.
        (a) Extension and Limitation on Total Number of Contractors.--
    Section 332(c) of the Bob Stump National Defense Authorization Act for
    Fiscal Year 2003 (Public Law 107-314) is amended--
            (1) by striking ``September 30, 2007'' both places it appears
        and inserting ``September 30, 2009'';
            (2) by redesignating subsection (d) as subsection (e); and
            (3) by inserting after subsection (c) the following new
        subsection (d):
        ``(d) Limitation.--The total number of personnel employed to
    perform security guard functions under all contracts entered into
    pursuant to this section shall not exceed--
            ``(1) for fiscal year 2007, the total number of such personnel
        employed under such contracts on October 1, 2006;
            ``(2) for fiscal year 2008, the number equal to 90 percent of
        the total number of such personnel employed under such contracts on
        October 1, 2006; and
            ``(3) for fiscal year 2009, the number equal to 80 percent of
        the total number of such personnel employed under such contracts on
        October 1, 2006.''.
        (b) Report on Contractor Performance of Security-Guard Functions.--
    Not later than February 1, 2007, the Secretary of Defense shall submit
    to the Committee on Armed Services of the Senate and the Committee on
    Armed Services of the House of Representatives a report on contractor
    performance of security guard functions under section 332 of the Bob
    Stump National Defense Authorization Act for Fiscal Year 2003 (Public
    Law 107-314). The report shall include the following:
            (1) An explanation of progress made toward implementing each of
        the seven recommendations in the Comptroller General report
        entitled ``Contract Security Guards: Army's Guard Program Requires
        Greater Oversight and Reassessment of Acquisition Approach'' (GAO-
        06-284).
            (2) An assessment, taking into consideration the observations
        made by the Comptroller General on the report of the Department of
        Defense of November 2005 that is entitled ``Department of Defense
        Installation Security Guard Requirement Assessment and Plan'', of
        the following:
                (A) The cost-effectiveness of using contractors rather than
            Department of Defense employees to perform security-guard
            functions.
                (B) The performance of contractors employed as security
            guards compared with the performance of military personnel who
            have served as security guards.
                (C) Specific results of on-site visits made by officials
            designated by the Secretary of Defense to military
            installations using contractors to perform security-guard
            functions.
        (c) Contract Limitation.--No contract may be entered into under
    section 332 of the Bob Stump National Defense Authorization Act for
    Fiscal Year 2003 (Public Law 107-314) after September 30, 2007, until
    the report required under subsection (b) is submitted.

                              Subtitle E--Reports

        SEC. 341. REPORT ON NAVY FLEET RESPONSE PLAN.
        (a) Report Required.--Not later than December 1, 2006, the
    Secretary of the Navy shall submit to the Committee on Armed Services
    of the Senate and the Committee on Armed Services of the House of
    Representatives a report on the program of the Navy referred to as the
    Fleet Response Plan. The report shall include the following:
            (1) A directive that provides guidance for the conduct of the
        Plan and standardizes terms and definitions.
            (2) Performance measures for evaluation of the Plan.
            (3) Costs and resources needed to achieve objectives of the
        Plan, including any incremental effect on the Navy Operation and
        Maintenance budget.
            (4) Operational tests, exercises, war games, experiments, and
        deployments used to test performance.
            (5) A collection and synthesis of lessons learned from the
        implementation of the Plan as of the date on which the report is
        submitted.
            (6) Evaluation of each of the following with respect to each
        ship participating in the Plan:
                (A) Combat readiness, including training requirements.
                (B) Ship material condition, including trending data for
            mission degrading casualty reports rated as C3 or C4.
                (C) Professional development training requirements
            accomplished during a deployment and at home station.
                (D) Crew retention statistics.
            (7) Any proposed changes to the Surface Force Training Manual.
            (8) The amount of funding required to effectively implement the
        operation and maintenance requirements of the Plan by ship class.
            (9) Any recommendations of the Secretary of the Navy with
        respect to expanding the Plan to include Expeditionary Strike
        Groups.
        (b) Comptroller General Report.--Not later than 120 days after the
    date on which the Secretary of the Navy submits the report required
    under subsection (a), the Comptroller General shall submit to the
    congressional defense committees a report containing a review of the
    report required under that subsection. The Comptroller General's report
    shall include the following:
            (1) An examination of the management approaches of the Navy in
        implementing the Fleet Response Plan.
            (2) An assessment of the adequacy of Navy directives and
        guidance with respect to maintenance and training requirements and
        procedures.
            (3) An analysis and assessment of the adequacy of the Navy's
        evaluation criteria for the Plan.
            (4) An evaluation of Navy data on aircraft carriers,
        destroyers, and cruisers that participated in the Plan with respect
        to readiness, response time, and availability for routine or
        unforeseen deployments.
            (5) An assessment of the Navy's progress in identifying the
        amount of funding required to effectively implement the operations
        and maintenance requirements of the Plan and the effect of
        providing funding in an amount less than that amount.
            (6) Any recommendations of the Comptroller General with respect
        to expanding the Plan to include Expeditionary Strike Groups.
        (c) Postponement of Expansion.--The Secretary of the Navy may not
    expand the implementation of the Fleet Response Plan beyond the Carrier
    Strike Groups until the date that is six months after the date on which
    the Secretary of the Navy submits the report required under subsection
    (a).
        SEC. 342. REPORT ON NAVY SURFACE SHIP ROTATIONAL CREW PROGRAMS.
        (a) Report Required.--Not later than April 1, 2007, the Secretary
    of the Navy shall submit to the Committee on Armed Services of the
    Senate and the Committee on Armed Services of the House of
    Representatives a report on the ship rotational crew experiment
    referred to in subsection (c)(1). The report shall include the
    following:
            (1) A comparison between the three destroyers participating in
        that experiment and destroyers not participating in the experiment
        that takes into consideration each of the following:
                (A) Cost-effectiveness, including a comparison of travel
            and per diem expenses, maintenance costs, and other costs.
                (B) Maintenance procedures, impacts, and deficiencies,
            including the number and characterization of maintenance
            deficiencies, the extent of voyage repairs, post-deployment
            assessments of the material condition of the ships, and the
            extent to which work levels were maintained.
                (C) Mission training requirements.
                (D) Professional development requirements and
            opportunities.
                (E) Liberty port of call opportunities.
                (F) Movement and transportation of crew.
                (G) Inventory and property accountability.
                (H) Policies and procedures for assigning billets for
            rotating crews.
                (I) Crew retention statistics.
                (J) Readiness and mission capability data.
            (2) Results from surveys administered or focus groups held to
        obtain representative views from commanding officers, officers, and
        enlisted members on the effects of rotational crew experiments on
        quality of life, training, professional development, maintenance,
        mission effectiveness, and other issues.
            (3) The extent to which standard policies and procedures were
        developed and used for participating ships.
            (4) Lessons learned from the experiment.
            (5) An assessment from the combatant commanders on the crew
        mission performance when deployed.
            (6) An assessment from the commander of the Fleet Forces
        Command on the material condition, maintenance, and crew training
        of each participating ship.
            (7) Any recommendations of the Secretary of the Navy with
        respect to the extension of the ship rotational crew experiment or
        the implementation of the experiment for other surface vessels.
        (b) Postponement of Implementation.--The Secretary of the Navy may
    not begin implementation of any new surface ship rotational crew
    experiment or program during the period beginning on the date of the
    enactment of this Act and ending on October 1, 2009.
        (c) Treatment of Existing Experiments.--
            (1) Destroyer experiment.--Not later than January 1, 2007, the
        Secretary of the Navy shall terminate the existing ship rotational
        crew experiment involving the U.S.S. Gonzalez (DDG-66), the U.S.S.
        Stout (DDG-55), and the U.S.S. Laboon (DDG-58) that is known as the
        ``sea swap''.
            (2) Patrol coastal class ship experiment.--The Secretary of the
        Navy may continue the existing ship rotational crew program that is
        currently in use by overseas-based Patrol Coastal class ships.
            (3) Mine countermeasures ships.--The Secretary of the Navy may
        continue the existing ship rotational crew program that is
        currently in use by MCM and MHC ships.
            (4) Littoral combat ships.--The Secretary of the Navy may
        employ a two crew for one ship (commonly referred to as Blue-Gold)
        rotational crew program for the first two ships of each Littoral
        combat ship design (LCS 1-4).
        (d) Comptroller General Report.--Not later than July 15, 2007, the
    Comptroller General shall submit to the Committee on Armed Services of
    the Senate and the Committee on Armed Services of the House of
    Representatives a report on the ship rotational crew experiment
    referred to in subsection (c)(1). The report shall include the
    following:
            (1) A review of the report submitted by the Secretary of the
        Navy under subsection (a) and an assessment of the extent to which
        the Secretary fully addressed costs, quality of life, training,
        maintenance, and mission effectiveness, and other relevant issues
        in that report.
            (2) An assessment of the extent to which the Secretary
        established and applied a comprehensive framework for assessing the
        use of ship rotational crew experiments, including formal
        objectives, metrics, and methodology for assessing the cost-
        effectiveness of such experiments.
            (3) An assessment of the extent to which the Secretary
        established effective guidance for the use of ship rotational crew
        experiments.
            (4) Lessons learned from recent ship rotational crew
        experiments and an assessment of the extent to which the Navy
        systematically collects and shares lessons learned.
        (e) Congressional Budget Office Report.--Not later than July 15,
    2007, the Director of the Congressional Budget Office shall submit to
    the Committee on Armed Services of the Senate and the Committee on
    Armed Services of the House of Representatives a report on the long-
    term implications of the use of crew rotation on Navy ships on the
    degree of forward presence provided by Navy ships. The report shall
    include the following:
            (1) An analysis of different approaches to crew rotation and
        the degree of forward presence each approach would provide.
            (2) A comparison of the degree of forward presence provided by
        the fleet under the long-term shipbuilding plan of the Navy with
        and without the widespread use of crew rotation.
            (3) The long-term benefits and costs of using crew rotation on
        Navy ships.
        SEC. 343. REPORT ON ARMY LIVE-FIRE RANGES IN HAWAII.
        Not later than March 1, 2007, the Secretary of the Army shall
    submit to Congress a report on the adequacy of the live-fire ranges of
    the Army in the State of Hawaii with respect to current and future
    training requirements. The report shall include the following:
            (1) An evaluation of the capacity of the existing live-fire
        ranges to meet the training requirements of the Army, including the
        training requirements of Stryker Brigade Combat Teams.
            (2) A description of any existing plan to modify or expand any
        range in Hawaii for the purpose of meeting anticipated live-fire
        training requirements.
            (3) A description of the current live-fire restrictions at the
        Makua Valley range and the effect of these restrictions on unit
        readiness.
            (4) Cost and schedule estimates for the construction of new
        ranges or the modification of existing ranges that are necessary to
        support future training requirements if existing restrictions on
        training at the Makua Valley range remain in place.
        SEC. 344. COMPTROLLER GENERAL REPORT ON JOINT STANDARDS AND
          PROTOCOLS FOR ACCESS CONTROL SYSTEMS AT DEPARTMENT OF DEFENSE
          INSTALLATIONS.
        (a) Report Required.--Not later than one year after the date of the
    enactment of this Act, the Comptroller General shall submit to the
    Committee on Armed Services of the Senate and the Committee on Armed
    Services of the House of Representatives a report containing the
    assessment of the Comptroller General of--
            (1) the extent to which consistency exists in standards,
        protocols, and procedures for access control across installations
        of the Department of Defense; and
            (2) whether the establishment of joint standards and protocols
        for access control at such installations would be likely to--
                (A) address any need of the Department identified by the
            Comptroller General; or
                (B) improve access control across such installations by
            providing greater consistency and improved force protection.
        (b) Issues to Be Assessed.--In conducting the assessment required
    by subsection (a), the Comptroller General shall assess the extent to
    which each installation of the Department of Defense has or would
    benefit from having an access control system with the ability to--
            (1) electronically check any identification card issued by any
        Federal agency or any State or local government within the United
        States, including any identification card of a visitor to the
        installation who is a citizen or legal resident of the United
        States;
            (2) verify that an identification card used to obtain access to
        the installation was legitimately issued and has not been reported
        lost or stolen;
            (3) check on a real-time basis all relevant watch lists
        maintained by the Government, including terrorist watch lists and
        lists of persons wanted by Federal, State, or local law enforcement
        authorities;
            (4) maintain a log of individuals seeking access to the
        installation and of individuals who are denied access to the
        installation; and
            (5) exchange information with any installation with a system
        that complies with the joint standards and protocols.
        SEC. 345. COMPTROLLER GENERAL REPORT ON READINESS OF ARMY AND
          MARINE CORPS GROUND FORCES.
        (a) Report Required.--
            (1) In general.--Not later than June 1, 2007, the Comptroller
        General shall submit to the Committee on Armed Services of the
        Senate and the Committee on Armed Services of the House of
        Representatives a report on the readiness of the active component
        and reserve component ground forces of the Army and the Marine
        Corps.
            (2) One or more reports.--In complying with the requirements of
        this section, the Comptroller General may submit a single report
        addressing all the elements specified in subsection (b) or two or
        more reports addressing any combination of such elements. If the
        Comptroller General submits more than one report under this
        section, all such reports shall be submitted not later than the
        date specified in paragraph (1).
        (b) Elements.--The elements specified in this subsection are the
    following:
            (1) An analysis of the current readiness status of each of the
        active component and reserve component ground forces of the Army
        and the Marine Corps, including a description of any major
        deficiency identified, an analysis of the trends in readiness of
        such forces during not less than the ten-year period preceding the
        date on which the report is submitted, and a comparison of the
        current readiness indicators of such ground forces with historical
        patterns.
            (2) An assessment of the ability of the Army and the Marine
        Corps to provide trained and ready forces for ongoing operations as
        well as other commitments assigned to the Army and the Marine Corps
        in defense planning documents.
            (3) An analysis of the availability of equipment for training
        by units of the Army and the Marine Corps in the United States in
        configurations comparable to the equipment being used by units of
        the Army and the Marine Corps, as applicable, in ongoing
        operations.
            (4) An analysis of the current and projected requirements for
        repair or replacement of equipment of the Army and the Marine Corps
        due to ongoing operations and the effect of such required repair or
        replacement of equipment on the availability of equipment for
        training.
            (5) An assessment of the current personnel tempo of Army and
        Marine Corps forces, including--
                (A) a comparison of such tempos to historical trends;
                (B) an identification of particular occupational
            specialties that are experiencing unusually high or low
            deployment rates; and
                (C) an analysis of retention rates in the occupational
            specialties identified under subparagraph (B).
            (6) An assessment of the efforts of the Army and the Marine
        Corps to mitigate the impact of high operational tempos, including
        cross-leveling of personnel and equipment or cross training of
        personnel or units for new or additional mission requirements.
            (7) A description of the current policy of the Army and the
        Marine Corps with respect to the mobilization of reserve component
        personnel, together with an analysis of the number of reserve
        component personnel in each of the Army and the Marine Corps that
        are projected to be available for deployment under such policy.
        (c) Form of Report.--Any report submitted under subsection (a)
    shall be submitted in both classified and unclassified form.
        SEC. 346. REPORT ON AIR FORCE SAFETY REQUIREMENTS FOR AIR FORCE
          FLIGHT TRAINING OPERATIONS AT PUEBLO MEMORIAL AIRPORT, COLORADO.
        (a) Report Required.--Not later than February 15, 2007, the
    Secretary of the Air Force shall submit to the congressional defense
    committees a report on Air Force safety requirements for Air Force
    flight training operations at Pueblo Memorial Airport, Colorado.
        (b) Elements.--The report required under subsection (a) shall
    include each of the following:
            (1) A description of the Air Force flying operations at Pueblo
        Memorial Airport, including the Initial Flight Screening program.
            (2) An assessment of the impact of Air Force operations at
        Pueblo Memorial Airport on non-Air Force activities at the airport.
            (3) A description of the requirements necessary at Pueblo
        Memorial Airport to ensure safe Air Force flying operations,
        including the continuous availability of fire protection, crash
        rescue, and other emergency response capabilities.
            (4) An assessment of the necessity of providing for a
        continuous fire-fighting capability at Pueblo Memorial Airport.
            (5) A description and analysis of any alternatives for Air
        Force flying operations at Pueblo Memorial Airport, including the
        cost and availability of any such alternatives.
            (6) A description of Air Force funding of fire-fighting and
        crash rescue support at Pueblo Memorial Airport through the
        services contract for the Initial Flight Screening program.
            (7) An assessment of whether Air Force funding is required to
        assist the City of Pueblo, Colorado, in meeting Air Force
        requirements for safe Air Force flight operations at Pueblo
        Memorial Airport, and if such funding is required, the plan of the
        Secretary of the Air Force to provide such funding to the city.
        SEC. 347. ANNUAL REPORT ON PERSONNEL SECURITY INVESTIGATIONS FOR
          INDUSTRY AND NATIONAL INDUSTRIAL SECURITY PROGRAM.
        (a) Annual Report Required.--The Secretary of Defense shall include
    in the budget justification documents submitted to Congress in support
    of the President's budget for the Department of Defense for each fiscal
    year, a report on the future requirements of the Department of Defense
    with respect to the Personnel Security Investigations for Industry and
    the National Industrial Security Program of the Defense Security
    Service.
        (b) Contents of Report.--Each report required to be submitted under
    subsection (a) shall include the following:
            (1) The funding requirements of the personnel security
        clearance investigation program and ability of the Secretary of
        Defense to fund the program.
            (2) The size of the personnel security clearance investigation
        process backlog.
            (3) The length of the average delay for an individual case
        pending in the personnel security clearance investigation process.
            (4) Any progress made by the Secretary of Defense during the 12
        months preceding the date on which the report is submitted toward
        implementing planned changes in the personnel security clearance
        investigation process.
            (5) A determination certified by the Secretary of Defense of
        whether the personnel security clearance investigation process has
        improved during the 12 months preceding the date on which the
        report is submitted.
        (c) Comptroller General Report.--Not later than 180 days after the
    Secretary of Defense submits the first report required under subsection
    (a), the Comptroller General shall submit to Congress a report that
    contains a review of such report. The Comptroller General's report
    shall include the following:
            (1) The number of personnel security clearance investigations
        conducted during the period beginning on October 1, 1999, and
        ending on September 30, 2006.
            (2) The number of each type of security clearance granted
        during that period.
            (3) The unit cost to the Department of Defense of each security
        clearance granted during that period.
            (4) The amount of any fee or surcharge paid to the Office of
        Personnel Management as a result of conducting a personnel security
        clearance investigation.
            (5) A description of the procedures used by the Secretary of
        Defense to estimate the number of personnel security clearance
        investigations to be conducted during a fiscal year.
            (6) A description of any plan developed by the Secretary of
        Defense to reduce delays and backlogs in the personnel security
        clearance investigation process.
            (7) A description of any plan developed by the Secretary of
        Defense to adequately fund the personnel security clearance
        investigation process.
            (8) A description of any plan developed by the Secretary of
        Defense to establish a more stable and effective Personnel Security
        Investigations Program.
        SEC. 348. FIVE-YEAR EXTENSION OF ANNUAL REPORT ON TRAINING RANGE
          SUSTAINMENT PLAN AND TRAINING RANGE INVENTORY.
        Section 366 of the Bob Stump National Defense Authorization Act for
    Fiscal Year 2003 (Public Law 107-314; 116 Stat. 2522; 10 U.S.C. 113
    note) is amended--
            (1) in subsections (a)(5) and (c)(2), by striking ``fiscal
        years 2005 through 2008'' and inserting ``fiscal years 2005 through
        2013''; and
            (2) in subsection (d), by striking ``within 60 days of
        receiving a report'' and inserting ``within 90 days of receiving a
        report''.
        SEC. 349. REPORTS ON WITHDRAWAL OR DIVERSION OF EQUIPMENT FROM
          RESERVE UNITS FOR SUPPORT OF RESERVE UNITS BEING MOBILIZED AND
          OTHER UNITS.
        (a) Report Required on Withdrawal or Diversion of Equipment.--Not
    later than 90 days after the date on which the Secretary concerned (as
    that term is defined in section 101(a)(9) of title 10, United States
    Code) withdraws or diverts equipment from any reserve component unit
    for the purpose of transferring such equipment to a reserve component
    unit that is ordered to active duty under section 12301, 12302, or
    12304 of title 10, United States Code, or to an active component unit
    for the purpose of discharging the mission of the unit to which the
    equipment is diverted, the Secretary concerned shall submit to the
    Secretary of Defense a status report on such withdrawal or diversion of
    equipment.
        (b) Elements of Status Report.--Each status report under subsection
    (a) shall include the following:
            (1) A plan to repair, recapitalize, or replace the equipment
        withdrawn or diverted within the unit from which it is being
        withdrawn or diverted.
            (2) In the case of equipment that is to remain in a theater of
        operations while the unit from which the equipment is withdrawn or
        diverted leaves the theater of operations, a plan to provide that
        unit with equipment appropriate to ensure the continuation of the
        readiness training of the unit.
            (3) A signed memorandum of understanding between the active or
        reserve component to which the equipment is diverted and the
        reserve component from which the equipment is withdrawn or diverted
        that specifies--
                (A) how the equipment will be accounted for; and
                (B) when the equipment will be returned to the component
            from which it was withdrawn or diverted.
        (c) Reports to Congress.--Not later than 90 days after the date of
    the enactment of this Act and every 90 days thereafter, the Secretary
    of Defense shall submit to Congress all status reports submitted under
    subsection (a) during the 90-day period preceding the date on which the
    Secretary of Defense submits such reports.
        (d) Termination.--This section shall terminate on the date that is
    five years after the date of the enactment of this Act.

                           Subtitle F--Other Matters

        SEC. 351. DEPARTMENT OF DEFENSE STRATEGIC POLICY ON PREPOSITIONING
          OF MATERIEL AND EQUIPMENT.
        (a) Strategic Policy Required.--Chapter 131 of title 10, United
    States Code, is amended by adding at the end the following new section:

    ``Sec. 2229. Strategic policy on prepositioning of materiel and
                equipment

        ``(a) Policy Required.--The Secretary of Defense shall maintain a
    strategic policy on the programs of the Department of Defense for the
    prepositioning of materiel and equipment. Such policy shall take into
    account national security threats, strategic mobility, service
    requirements, and the requirements of the combatant commands.
        ``(b) Limitation of Diversion of Prepositioned Materiel.--The
    Secretary of a military department may not divert materiel or equipment
    from prepositioned stocks except--
            ``(1) in accordance with a change made by the Secretary of
        Defense to the policy maintained under subsection (a); or
            ``(2) for the purpose of directly supporting a contingency
        operation or providing humanitarian assistance under chapter 20 of
        this title.
        ``(c) Congressional Notification.--The Secretary of Defense may not
    implement or change the policy required under subsection (a) until the
    Secretary submits to the congressional defense committees a report
    describing the policy or change to the policy.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding at the end the following new item:

    ``2229. Strategic policy on prepositioning of materiel and equipment.''.

        (c) Deadline for Establishment of Policy.--
            (1) Deadline.--Not later than six months after the date of the
        enactment of this Act, the Secretary of Defense shall establish the
        strategic policy on the programs of the Department of Defense for
        the prepositioning of materiel and equipment required under section
        2229 of title 10, United States Code, as added by subsection (a).
            (2) Limitation on diversion of prepositioned materiel.--During
        the period beginning on the date of the enactment of this Act and
        ending on the date on which the Secretary of Defense submits the
        report required under section 2229(c) of title 10, United States
        Code, on the policy referred to in paragraph (1), the Secretary of
        a military department may not divert materiel or equipment from
        prepositioned stocks except for the purpose of directly supporting
        a contingency operation or providing humanitarian assistance under
        chapter 20 of that title.
        SEC. 352. AUTHORITY TO MAKE DEPARTMENT OF DEFENSE HORSES AVAILABLE
          FOR ADOPTION.
        (a) Inclusion of Department of Defense Horses in Existing
    Authority.--Section 2583 of title 10, United States Code, is amended--
            (1) in the section heading, by striking ``working dogs'' and
        inserting ``animals'';
            (2) by striking ``working'' each place it appears;
            (3) by striking ``dog'' and ``dogs'' each place they appear and
        inserting ``animal'' and ``animals'', respectively;
            (4) by striking ``dog's'' in paragraphs (1) and (2) of
        subsection (a) and inserting ``animal's'';
            (5) by striking ``a dog's adoptability'' in subsection (b) and
        inserting ``the adoptability of the animal''; and
            (6) by adding at the end the following new subsection:
        ``(g) Military Animal Defined.--In this section, the term `military
    animal' means the following:
            ``(1) A military working dog.
            ``(2) A horse owned by the Department of Defense.''.
        (b) Clerical Amendment.--The item relating to such section in the
    table of sections at the beginning of chapter 153 of such title is
    amended to read as follows:

    ``2583. Military animals: transfer and adoption.''.
        SEC. 353. SALE AND USE OF PROCEEDS OF RECYCLABLE MUNITIONS
          MATERIALS.
        (a) Establishment of Program.--Chapter 443 of title 10, United
    States Code, is amended by adding at the end the following new section:

    ``Sec. 4690. Recyclable munitions materials: sale; use of proceeds

        ``(a) Authority for Program.--Notwithstanding section 2577 of this
    title, the Secretary of the Army may carry out a program to sell
    recyclable munitions materials resulting from the demilitarization of
    conventional military munitions without regard to chapter 5 of title 40
    and use any proceeds in accordance with subsection (c).
        ``(b) Method of Sale.--The Secretary shall use competitive
    procedures to sell recyclable munitions materials under this section in
    a manner consistent with Federal procurement laws and regulations.
        ``(c) Proceeds.--(1) Proceeds from the sale of recyclable munitions
    materials under this section shall be credited to an account that is
    specified as being for Army ammunition demilitarization from funds made
    available for the procurement of ammunition, to be available only for
    reclamation, recycling, and reuse of conventional military munitions
    (including research and development and equipment purchased for such
    purpose).
        ``(2) Amounts credited under this subsection shall be available for
    obligation for the fiscal year during which the funds are so credited
    and for three subsequent fiscal years.
        ``(d) Regulations.--The Secretary shall prescribe regulations to
    carry out the program established under this section. Such regulations
    shall be consistent and in compliance with the Solid Waste Disposal Act
    (42 U.S.C. 6901 et seq.) and the regulations implementing that Act.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding at the end the following new item:

    ``4690. Recyclable munitions materials: sale; use of proceeds.''.
        SEC. 354. RECOVERY AND TRANSFER TO CORPORATION FOR THE PROMOTION OF
          RIFLE PRACTICE AND FIREARMS SAFETY OF CERTAIN FIREARMS,
          AMMUNITION, AND PARTS GRANTED TO FOREIGN COUNTRIES.
        (a) Authority to Recover; Transfer to Corporation.--Subchapter II
    of chapter 407 of title 36, United States Code, is amended by inserting
    after section 40728 the following new section:

    ``Sec. 40728A. Recovery of excess firearms, ammunition, and parts
                granted to foreign countries and transfer to corporation

        ``(a) Authority to Recover.--The Secretary of the Army may recover
    from any country to which rifles, ammunition, repair parts, or other
    supplies described in section 40731(a) of this title are furnished on a
    grant basis under the conditions imposed by section 505 of the Foreign
    Assistance Act of 1961 (22 U.S.C. 2314) any such rifles, ammunition,
    repair parts, or supplies that become excess to the needs of such
    country.
        ``(b) Cost of Recovery.--(1) Except as provided in paragraph (2),
    the cost of recovery of any rifles, ammunition, repair parts, or
    supplies under subsection (a) shall be treated as incremental direct
    costs incurred in providing logistical support to the corporation for
    which reimbursement shall be required as provided in section 40727(a)
    of this title.
        ``(2) The Secretary may require the corporation to pay costs of
    recovery described in paragraph (1) in advance of incurring such costs.
    Amounts so paid shall not be subject to the provisions of section 3302
    of title 31, but shall be administered in accordance with the last
    sentence of section 40727(a) of this title.
        ``(c) Availability for Transfer to Corporation.--Any rifles,
    ammunition, repair parts, or supplies recovered under subsection (a)
    shall be available for transfer to the corporation in accordance with
    section 40728 of this title under such additional terms and conditions
    as the Secretary shall prescribe for purposes of this section.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by inserting after the item relating to section
    40728 the following new item:

    ``40728A. Recovery of excess firearms, ammunition, and parts granted to
              foreign countries and transfer to corporation.''.
        SEC. 355. EXTENSION OF DEPARTMENT OF DEFENSE TELECOMMUNICATIONS
          BENEFIT PROGRAM.
        (a) Termination at End of Contingency Operation.--Subsection (c) of
    section 344 of the National Defense Authorization Act for Fiscal Year
    2004 (Public Law 108-136) is amended to read as follows:
        ``(c) Termination of Benefit.--The authority to provide a benefit
    under subsection (a)(1) to a member directly supporting a contingency
    operation shall terminate on the date that is 60 days after the date on
    which the Secretary determines that the contingency operation has
    ended.''.
        (b) Application to Other Contingency Operations.--Such section is
    further amended--
            (1) in subsection (a), by striking ``Operation Iraqi Freedom
        and Operation Enduring Freedom'' and inserting ``a contingency
        operation''; and
            (2) by adding at the end the following new subsection:
        ``(g) Contingency Operation Defined.--In this section, the term
    `contingency operation' has the meaning given that term in section
    101(a)(13) of title 10, United States Code. The term includes Operation
    Iraqi Freedom and Operation Enduring Freedom.''.
        (c) Extension to Hospitalized Members.--Subsection (a) of such
    section is further amended--
            (1) by striking ``As soon as possible after the date of the
        enactment of this Act, the'' and inserting ``(1) The''; and
            (2) by adding at the end the following new paragraph:
        ``(2) As soon as possible after the date of the enactment of the
    John Warner National Defense Authorization Act for Fiscal Year 2007,
    the Secretary shall provide, wherever practicable, prepaid phone cards,
    packet based telephony service, or an equivalent telecommunications
    benefit which includes access to telephone service to members of the
    Armed Forces who, although are no longer directly supporting a
    contingency operation, are hospitalized as a result of wounds or other
    injuries incurred while serving in direct support of a contingency
    operation.''.
        (d) Report on Implementation of Modified Benefits.--Not later than
    90 days after the date of the enactment of this Act, the Secretary of
    Defense shall submit to the Committee on Armed Services of the Senate
    and the Committee on Armed Services of the House of Representatives a
    report describing the status of the efforts of the Department of
    Defense to implement the modifications of the Department of Defense
    telecommunications benefit required by section 344 of the National
    Defense Authorization Act for Fiscal Year 2004 that result from the
    amendments made by this section.
        SEC. 356. EXTENSION OF AVAILABILITY OF FUNDS FOR COMMEMORATION OF
          SUCCESS OF THE ARMED FORCES IN OPERATION ENDURING FREEDOM AND
          OPERATION IRAQI FREEDOM.
        Section 378(b)(2) of the National Defense Authorization Act for
    Fiscal Year 2006 (Public Law 109-163; 119 Stat. 3214) is amended by
    striking ``fiscal year 2006'' and inserting ``fiscal years 2006 and
    2007''.
        SEC. 357. CAPITAL SECURITY COST SHARING.
        (a) Reconciliation Required.--For each fiscal year, the Secretary
    of Defense shall reconcile (1) the estimate of overseas presence of the
    Secretary of Defense under subsection (b) for that fiscal year, with
    (2) the determination of the Secretary of State under section 604(e)(1)
    of the Secure Embassy Construction and Counterterrorism Act of 1999 (22
    U.S.C. 4865 note) of the total overseas presence of the Department of
    Defense for that fiscal year.
        (b) Annual Estimate of Overseas Presence.--Not later than February
    1 of each year, the Secretary of Defense shall submit to the
    congressional defense committees an estimate of the total number of
    Department of Defense overseas personnel subject to chief of mission
    authority pursuant to section 207 of the Foreign Service Act of 1980
    (22 U.S.C. 3927) during the fiscal year that begins on October 1 of
    that year.
        SEC. 358. UTILIZATION OF FUEL CELLS AS BACK-UP POWER SYSTEMS IN
          DEPARTMENT OF DEFENSE OPERATIONS.
        The Secretary of Defense shall consider the utilization of fuel
    cells as replacements for current back-up power systems in a variety of
    Department of Defense operations and activities, including in
    telecommunications networks, perimeter security, individual equipment
    items, and remote facilities, in order to increase the operational
    longevity of back-up power systems and stand-by power systems in such
    operations and activities.
        SEC. 359. IMPROVING DEPARTMENT OF DEFENSE SUPPORT FOR CIVIL
          AUTHORITIES.
        (a) Consultation.--In the development of concept plans for the
    Department of Defense for providing support to civil authorities, the
    Secretary of Defense may consult with the Secretary of Homeland
    Security and State governments.
        (b) Prepositioning of Department of Defense Assets.--The Secretary
    of Defense may provide for the prepositioning of prepackaged or
    preidentified basic response assets, such as medical supplies, food and
    water, and communications equipment, in order to improve the ability of
    the Department of Defense to rapidly provide support to civil
    authorities. The prepositioning of basic response assets shall be
    carried out in a manner consistent with Department of Defense concept
    plans for providing support to civil authorities and section 2229 of
    title 10, United States Code, as added by section 351.
        (c) Reimbursement.--To the extent required by section 1535 of title
    31, United States Code, or other applicable law, the Secretary of
    Defense shall require that the Department of Defense be reimbursed for
    costs incurred by the Department in the prepositioning of basic
    response assets under subsection (b).
        (d) Military Readiness.--The Secretary of Defense shall ensure that
    the prepositioning of basic response assets under subsection (b) does
    not adversely affect the military preparedness of the United States.
        (e) Procedures and Guidelines.--The Secretary may develop
    procedures and guidelines applicable to the prepositioning of basic
    response assets under subsection (b).
        SEC. 360. ENERGY EFFICIENCY IN WEAPONS PLATFORMS.
        (a) Policy.--It shall be the policy of the Department of Defense to
    improve the fuel efficiency of weapons platforms, consistent with
    mission requirements, in order to--
            (1) enhance platform performance;
            (2) reduce the size of the fuel logistics systems;
            (3) reduce the burden high fuel consumption places on agility;
            (4) reduce operating costs; and
            (5) dampen the financial impact of volatile oil prices.
        (b) Report Required.--
            (1) In general.--Not later than one year after the date of the
        enactment of this Act, the Secretary of Defense shall submit to the
        congressional defense committees a report on the progress of the
        Department of Defense in implementing the policy established by
        subsection (a).
            (2) Elements.--The report shall include the following:
                (A) An assessment of the feasibility of designating a
            senior Department of Defense official to be responsible for
            implementing the policy established by subsection (a).
                (B) A summary of the recommendations made as of the time of
            the report by--
                    (i) the Energy Security Integrated Product Team
                established by the Secretary of Defense in April 2006;
                    (ii) the Defense Science Board Task Force on Department
                of Defense Energy Strategy established by the Under
                Secretary of Defense for Acquisition, Technology and
                Logistics on May 2, 2006; and
                    (iii) the January 2001 Defense Science Board Task Force
                report on Improving Fuel Efficiency of Weapons Platforms.
                (C) For each recommendation summarized under subparagraph
            (B)--
                    (i) the steps that the Department has taken to
                implement such recommendation;
                    (ii) any additional steps the Department plans to take
                to implement such recommendation; and
                    (iii) for any recommendation that the Department does
                not plan to implement, the reasons for the decision not to
                implement such recommendation.
                (D) An assessment of the extent to which the research,
            development, acquisition, and logistics guidance and directives
            of the Department for weapons platforms are appropriately
            designed to address the policy established by subsection (a).
                (E) An assessment of the extent to which such guidance and
            directives are being carried out in the research, development,
            acquisition, and logistics programs of the Department.
                (F) A description of any additional actions that, in the
            view of the Secretary, may be needed to implement the policy
            established by subsection (a).
        SEC. 361. PRIORITIZATION OF FUNDS WITHIN NAVY MISSION OPERATIONS,
          SHIP MAINTENANCE, COMBAT SUPPORT FORCES, AND WEAPONS SYSTEM
          SUPPORT.
        (a) Sense of Congress.--It is the sense of Congress that--
            (1) the President's budget for fiscal year 2007 failed to fund
        the required number of ship steaming days per quarter for Navy ship
        operations as well as deferring projected depot maintenance for
        Navy ships and aircraft; and
            (2) the Secretary of Defense should ensure that sufficient
        financial resources are provided for each fiscal year to support
        the critical training and depot maintenance accounts of the Navy in
        order to enable the Navy to maintain the current readiness levels
        required to support the national military strategy without putting
        future readiness at risk by underfunding investment in
        modernization, including ship construction programs.
        (b) Certification.--The Secretary of Defense shall submit to the
    congressional defense committees a written certification, at the same
    time the President submits the budget for each of fiscal years 2008,
    2009, and 2010, that the Navy has budgeted and programmed funding to
    fully meet the requirements for that fiscal year for each of the
    following:
            (1) Ship steaming days per quarter for deployed and non-
        deployed ship operations.
            (2) Projected depot maintenance requirements for ships and
        aircraft.
        (c) Limitation.--Of the funds available for Operation and
    Maintenance, Defense-Wide, for the Office of the Secretary of Defense
    for each of fiscal years 2008, 2009, and 2010, no more than 80 percent
    may be obligated in that fiscal year until after the submission of the
    certification required by subsection (b) for the annual budget
    submitted in February of that year for the following fiscal year.
        (d) Annual Report.--Beginning with the fiscal year 2008 budget of
    the President, the Secretary of the Navy shall submit to the
    congressional defense committees an annual report (to be submitted when
    the budget is submitted) setting forth the progress toward funding the
    requirements of subsection (a). The annual reporting requirement shall
    terminate after the fiscal year 2010 budget submission. Each such
    report shall include the following:
            (1) An assessment of the deployed and non-deployed quarterly
        ship steaming day requirements, itemized by active-duty component
        and reserve component.
            (2) An assessment of the associated budget request for each of
        the following:
                (A) Deployed and non-deployed ship steaming days per
            quarter.
                (B) Chief of Naval Operations ship depot maintenance
            availabilities, shown by type of maintenance availability and
            by location.
                (C) Air depot maintenance workload, shown by type of
            airframe and by location.
        (e) Report on Riverine Squadrons.--
            (1) Report required.--The Secretary of the Navy shall submit to
        the congressional defense committees a report on the Riverine
        Squadrons of the Navy. The report shall be submitted with the
        President's budget for fiscal year 2008 and shall include the
        following:
                (A) The total amount funded for fiscal year 2006 and
            projected funding for fiscal year 2007 and fiscal year 2008 for
            those squadrons.
                (B) The operational requirement of the commander of the
            United States Central Command for those squadrons and the
            corresponding Department of Navy concept of operations for
            deployments of those squadrons to support Operation Iraqi
            Freedom or Operation Enduring Freedom.
                (C) The military table of organization and equipment for
            those squadrons.
                (D) A summary of existing Department of Navy equipment that
            has been assigned in fiscal year 2006 or will be provided in
            fiscal year 2007 and fiscal year 2008 for those squadrons.
                (E) The Department of Navy directive for the mission
            assigned to those squadrons.
            (2) Limitation.--Of the amount made available for fiscal year
        2007 to the Department of Navy for operation and maintenance for
        the Office of the Secretary of the Navy, not more than 80 percent
        may be obligated before the date on which the report required under
        paragraph (1) is submitted.
        SEC. 362. PROVISION OF ADEQUATE STORAGE SPACE TO SECURE PERSONAL
          PROPERTY OUTSIDE OF ASSIGNED MILITARY FAMILY HOUSING UNIT.
        The Secretary of a military department shall ensure that a member
    of the Armed Forces under the jurisdiction of the Secretary who
    occupies a unit of military family housing is provided with adequate
    storage space to secure personal property that the member is unable to
    secure within the unit whenever--
            (1) the member is assigned to duty in an area for which special
        pay under section 310 of title 37, United States Code, is available
        and the assignment is pursuant to orders specifying an assignment
        of 180 days or more; and
            (2) the dependents of the member who otherwise occupy the unit
        of military family housing are absent from the unit for more than
        30 consecutive days during the period of the assignment of the
        member.
        SEC. 363. EXPANSION OF PAYMENT OF REPLACEMENT VALUE OF PERSONAL
          PROPERTY DAMAGED DURING TRANSPORT AT GOVERNMENT EXPENSE.
        (a) Coverage of Property of Civilian Employees of Department of
    Defense.--Subsection (a) of section 2636a of title 10, United States
    Code, is amended by striking ``of baggage and household effects for
    members of the armed forces at Government expense'' and inserting ``at
    Government expense of baggage and household effects for members of the
    armed forces or civilian employees of the Department of Defense (or
    both)''.
        (b) Requirement for Payment and Deduction Upon Failure of Carrier
    to Settle.--Effective March 1, 2008, such section is further amended--
            (1) in subsection (a), by striking ``may include'' and
        inserting ``shall include''; and
            (2) in subsection (b), by striking ``may be deducted'' and
        inserting ``shall be deducted''.
        (c) Certification on Families First Program.--The Secretary of
    Defense shall submit to the congressional defense committees a report
    containing the certifications of the Secretary with respect to the
    program of the Department of Defense known as ``Families First'' on the
    following matters:
            (1) Whether there is an alternative to the system under the
        program that would provide equal or greater capability at a lower
        cost.
            (2) Whether the estimates on costs, and the anticipated
        schedule and performance parameters, for the program and system are
        reasonable.
            (3) Whether the management structure for the program is
        adequate to manage and control program costs.
        (d) Comptroller General Reports on Families First Program.--
            (1) Review and assessment required.--The Comptroller General of
        the United States shall conduct a review and assessment of the
        progress of the Department of Defense in implementing the program
        of the Department of Defense known as ``Families First''.
            (2) Elements of review and assessment.--In conducting the
        review and assessment required by paragraph (1), the Comptroller
        General shall--
                (A) assess the progress of the Department in achieving the
            goals of the Families First program, including progress in the
            development and deployment of the Defense Personal Property
            System;
                (B) assess the organization, staffing, resources, and
            capabilities of the Defense Personal Property System Project
            Management Office established on April 7, 2006;
                (C) evaluate the growth in cost of the program since the
            previous assessment of the program by the Comptroller General,
            and estimate the current annual cost of the Defense Personal
            Property System and each component of that system; and
                (D) assess the feasibility of implementing processes and
            procedures, pending the satisfactory development of the Defense
            Personal Property System, which would achieve the goals of the
            program of providing improved personal property management
            services to members of the Armed Forces.
            (3) Reports.--The Comptroller General shall submit to the
        Committee on Armed Services of the Senate and the Committee on
        Armed Services of the House of Representatives reports as follows:
                (A) An interim report on the review and assessment required
            by paragraph (1) by not later than December 1, 2006.
                (B) A final report on such review and assessment by not
            later than June 1, 2007.

                  TITLE IV--MILITARY PERSONNEL AUTHORIZATIONS

                            Subtitle A--Active Forces

    Sec. 401. End strengths for active forces.
    Sec. 402. Revision in permanent active duty end strength minimum levels.
    Sec. 403. Additional authority for increases of Army and Marine Corps
              active duty end strengths for fiscal years 2008 and 2009.

                           Subtitle B--Reserve Forces

    Sec. 411. End strengths for Selected Reserve.
    Sec. 412. End strengths for Reserves on active duty in support of the
              reserves.
    Sec. 413. End strengths for military technicians (dual status).
    Sec. 414. Fiscal year 2007 limitation on number of non-dual status
              technicians.
    Sec. 415. Maximum number of reserve personnel authorized to be on active
              duty for operational support.

                   Subtitle C--Authorization of Appropriations

    Sec. 421. Military personnel.
    Sec. 422. Armed Forces Retirement Home.

                           Subtitle A--Active Forces

        SEC. 401. END STRENGTHS FOR ACTIVE FORCES.
        (a) In General.--The Armed Forces are authorized strengths for
    active duty personnel as of September 30, 2007, as follows:
            (1) The Army, 512,400.
            (2) The Navy, 340,700.
            (3) The Marine Corps, 180,000.
            (4) The Air Force, 334,200.
        (b) Limitation.--
            (1) Army.--The authorized strength for the Army provided in
        paragraph (1) of subsection (a) for active duty personnel for
        fiscal year 2007 is subject to the condition that costs of active
        duty personnel of the Army for that fiscal year in excess of
        482,400 shall be paid out of funds authorized to be appropriated
        for that fiscal year for a contingent emergency reserve fund or as
        an emergency supplemental appropriation.
            (2) Marine corps.--The authorized strength for the Marine Corps
        provided in paragraph (3) of subsection (a) for active duty
        personnel for fiscal year 2007 is subject to the condition that
        costs of active duty personnel of the Marine Corps for that fiscal
        year in excess of 175,000 shall be paid out of funds authorized to
        be appropriated for that fiscal year for a contingent emergency
        reserve fund or as an emergency supplemental appropriation.
        SEC. 402. REVISION IN PERMANENT ACTIVE DUTY END STRENGTH MINIMUM
          LEVELS.
        Section 691(b) of title 10, United States Code, is amended by
    striking paragraphs (1) through (4) and inserting the following:
            ``(1) For the Army, 502,400.
            ``(2) For the Navy, 340,700.
            ``(3) For the Marine Corps, 180,000.
            ``(4) For the Air Force, 334,200.''.
        SEC. 403. ADDITIONAL AUTHORITY FOR INCREASES OF ARMY AND MARINE
          CORPS ACTIVE DUTY END STRENGTHS FOR FISCAL YEARS 2008 AND 2009.
        Effective October 1, 2007, the text of section 403 of the Ronald W.
    Reagan National Defense Authorization Act for Fiscal Year 2005 (Public
    Law 108-375; 118 Stat. 1863) is amended to read as follows:
        ``(a) Authority.--
            ``(1) Army.--For each of fiscal years 2008 and 2009, the
        Secretary of Defense may, as the Secretary determines necessary for
        the purposes specified in paragraph (3), establish the active-duty
        end strength for the Army at a number greater than the number
        otherwise authorized by law up to the number equal to the fiscal-
        year 2007 baseline plus 20,000.
            ``(2) Marine corps.--For each of fiscal years 2008 and 2009,
        the Secretary of Defense may, as the Secretary determines necessary
        for the purposes specified in paragraph (3), establish the active-
        duty end strength for the Marine Corps at a number greater than the
        number otherwise authorized by law up to the number equal to the
        fiscal-year 2007 baseline plus 4,000.
            ``(3) Purpose of increases.--The purposes for which increases
        may be made in Army and Marine Corps active duty end strengths
        under paragraphs (1) and (2) are--
                ``(A) to support operational missions; and
                ``(B) to achieve transformational reorganization
            objectives, including objectives for increased numbers of
            combat brigades and battalions, increased unit manning, force
            stabilization and shaping, and rebalancing of the active and
            reserve component forces.
            ``(4) Fiscal-year 2007 baseline.--In this subsection, the term
        `fiscal-year 2007 baseline', with respect to the Army and Marine
        Corps, means the active-duty end strength authorized for those
        services in section 401 of the John Warner National Defense
        Authorization Act for Fiscal Year 2007.
            ``(5) Active-duty end strength.--In this subsection, the term
        `active-duty end strength' means the strength for active-duty
        personnel of one of the Armed Forces as of the last day of a fiscal
        year.
        ``(b) Relationship to Presidential Waiver Authority.--Nothing in
    this section shall be construed to limit the President's authority
    under section 123a of title 10, United States Code, to waive any
    statutory end strength in a time of war or national emergency.
        ``(c) Relationship to Other Variance Authority.--The authority
    under subsection (a) is in addition to the authority to vary authorized
    end strengths that is provided in subsections (e) and (f) of section
    115 of title 10, United States Code.
        ``(d) Budget Treatment.--
            ``(1) Fiscal year 2008 budget.--The budget for the Department
        of Defense for fiscal year 2008 as submitted to Congress shall
        comply, with respect to funding, with subsections (c) and (d) of
        section 691 of title 10, United States Code.
            ``(2) Other increases.--If the Secretary of Defense plans to
        increase the Army or Marine Corps active duty end strength for a
        fiscal year under subsection (a), then the budget for the
        Department of Defense for that fiscal year as submitted to Congress
        shall include the amounts necessary for funding that active duty
        end strength in excess of the fiscal year 2007 active duty end
        strength authorized for that service under section 401 of the John
        Warner National Defense Authorization Act for Fiscal Year 2007.''.

                           Subtitle B--Reserve Forces

        SEC. 411. END STRENGTHS FOR SELECTED RESERVE.
        (a) In General.--The Armed Forces are authorized strengths for
    Selected Reserve personnel of the reserve components as of September
    30, 2007, as follows:
            (1) The Army National Guard of the United States, 350,000.
            (2) The Army Reserve, 200,000.
            (3) The Navy Reserve, 71,300.
            (4) The Marine Corps Reserve, 39,600.
            (5) The Air National Guard of the United States, 107,000.
            (6) The Air Force Reserve, 74,900.
            (7) The Coast Guard Reserve, 10,000.
        (b) Adjustments.--The end strengths prescribed by subsection (a)
    for the Selected Reserve of any reserve component shall be
    proportionately reduced by--
            (1) the total authorized strength of units organized to serve
        as units of the Selected Reserve of such component which are on
        active duty (other than for training) at the end of the fiscal
        year; and
            (2) the total number of individual members not in units
        organized to serve as units of the Selected Reserve of such
        component who are on active duty (other than for training or for
        unsatisfactory participation in training) without their consent at
        the end of the fiscal year.
    Whenever such units or such individual members are released from active
    duty during any fiscal year, the end strength prescribed for such
    fiscal year for the Selected Reserve of such reserve component shall be
    increased proportionately by the total authorized strengths of such
    units and by the total number of such individual members.
        SEC. 412. END STRENGTHS FOR RESERVES ON ACTIVE DUTY IN SUPPORT OF
          THE RESERVES.
        Within the end strengths prescribed in section 411(a), the reserve
    components of the Armed Forces are authorized, as of September 30,
    2007, the following number of Reserves to be serving on full-time
    active duty or full-time duty, in the case of members of the National
    Guard, for the purpose of organizing, administering, recruiting,
    instructing, or training the reserve components:
            (1) The Army National Guard of the United States, 27,441.
            (2) The Army Reserve, 15,416.
            (3) The Navy Reserve, 12,564.
            (4) The Marine Corps Reserve, 2,261.
            (5) The Air National Guard of the United States, 13,291.
            (6) The Air Force Reserve, 2,707.
        SEC. 413. END STRENGTHS FOR MILITARY TECHNICIANS (DUAL STATUS).
        The minimum number of military technicians (dual status) as of the
    last day of fiscal year 2007 for the reserve components of the Army and
    the Air Force (notwithstanding section 129 of title 10, United States
    Code) shall be the following:
            (1) For the Army Reserve, 7,912.
            (2) For the Army National Guard of the United States, 26,050.
            (3) For the Air Force Reserve, 10,124.
            (4) For the Air National Guard of the United States, 23,255.
        SEC. 414. FISCAL YEAR 2007 LIMITATION ON NUMBER OF NON-DUAL STATUS
          TECHNICIANS.
        (a) Limitations.--
            (1) National guard.--Within the limitation provided in section
        10217(c)(2) of title 10, United States Code, the number of non-dual
        status technicians employed by the National Guard as of September
        30, 2007, may not exceed the following:
                (A) For the Army National Guard of the United States, 1,600
                (B) For the Air National Guard of the United States, 350.
            (2) Army reserve.--The number of non-dual status technicians
        employed by the Army Reserve as of September 30, 2007, may not
        exceed 595.
            (3) Air force reserve.--The number of non-dual status
        technicians employed by the Air Force Reserve as of September 30,
        2007, may not exceed 90.
        (b) Non-Dual Status Technicians Defined.--In this section, the term
    ``non-dual status technician'' has the meaning given that term in
    section 10217(a) of title 10, United States Code.
        SEC. 415. MAXIMUM NUMBER OF RESERVE PERSONNEL AUTHORIZED TO BE ON
          ACTIVE DUTY FOR OPERATIONAL SUPPORT.
        During fiscal year 2007, the maximum number of members of the
    reserve components of the Armed Forces who may be serving at any time
    on full-time operational support duty under section 115(b) of title 10,
    United States Code, is the following:
            (1) The Army National Guard of the United States, 17,000.
            (2) The Army Reserve, 13,000.
            (3) The Navy Reserve, 6,200.
            (4) The Marine Corps Reserve, 3,000.
            (5) The Air National Guard of the United States, 16,000.
            (6) The Air Force Reserve, 14,000.

                  Subtitle C--Authorization of Appropriations

        SEC. 421. MILITARY PERSONNEL.
        There is hereby authorized to be appropriated to the Department of
    Defense for military personnel for fiscal year 2007 a total of
    $110,098,628,000. The authorization in the preceding sentence
    supersedes any other authorization of appropriations (definite or
    indefinite) for such purpose for fiscal year 2007.
        SEC. 422. ARMED FORCES RETIREMENT HOME.
        There is hereby authorized to be appropriated for fiscal year 2007
    from the Armed Forces Retirement Home Trust Fund the sum of $54,846,000
    for the operation of the Armed Forces Retirement Home.

                       TITLE V--MILITARY PERSONNEL POLICY

                      Subtitle A--Officer Personnel Policy

                   Part I--Officer Personnel Policy Generally

    Sec. 501. Military status of officers serving in certain intelligence
              community positions.
    Sec. 502. Extension of age for mandatory retirement for active-duty
              general and flag officers.
    Sec. 503. Increased mandatory retirement ages for reserve officers.
    Sec. 504. Standardization of grade of senior dental officer of the Air
              Force with that of senior dental officer of the Army.
    Sec. 505. Management of chief warrant officers.
    Sec. 506. Extension of temporary reduction of time-in-grade requirement
              for eligibility for promotion for certain active-duty list
              officers in grades of first lieutenant and lieutenant (junior
              grade).
    Sec. 507. Grade and exclusion from active-duty general and flag officer
              distribution and strength limitations of officer serving as
              Attending Physician to the Congress.
    Sec. 508. Modification of qualifications for leadership of the Naval
              Postgraduate School.

                        Part II--Officer Promotion Policy

    Sec. 511. Revisions to authorities relating to authorized delays of
              officer promotions.
    Sec. 512. Consideration of adverse information by selection boards in
              recommendations on officers to be promoted.
    Sec. 513. Expanded authority for removal from reports of selection
              boards of officers recommended for promotion to grades below
              general and flag grades.
    Sec. 514. Special selection board authorities.
    Sec. 515. Removal from promotion list of officers not promoted within 18
              months of approval of list by the President.

                 Part III--Joint Officer Management Requirements

    Sec. 516. Modification and enhancement of general authorities on
              management of officers who are joint qualified.
    Sec. 517. Modification of promotion policy objectives for joint
              officers.
    Sec. 518. Applicability of joint duty assignment requirements limited to
              graduates of National Defense University schools.
    Sec. 519. Modification of certain definitions relating to jointness.

                      Subtitle B--Reserve Component Matters

                      Part I--Reserve Component Management

    Sec. 521. Recognition of former Representative G. V. `Sonny' Montgomery
              for his 30 years of service in the House of Representatives.
    Sec. 522. Revisions to reserve call-up authority.
    Sec. 523. Military retirement credit for certain service by National
              Guard members performed while in a State duty status
              immediately after the terrorist attacks of September 11, 2001.

             Part II--Authorities Relating to Guard and Reserve Duty

    Sec. 524. Title 10 definition of Active Guard and Reserve duty.
    Sec. 525. Authority for Active Guard and Reserve duties to include
              support of operational missions assigned to the reserve
              components and instruction and training of active-duty
              personnel.
    Sec. 526. Governor's authority to order members to Active Guard and
              Reserve duty.
    Sec. 527. Expansion of operations of civil support teams.
    Sec. 528. Modification of authorities relating to the Commission on the
              National Guard and Reserves.
    Sec. 529. Additional matters to be reviewed by Commission on the
              National Guard and Reserves.

                       Subtitle C--Education and Training

                            Part I--Service Academies

    Sec. 531. Expansion of service academy exchange programs with foreign
              military academies.
    Sec. 532. Revision and clarification of requirements with respect to
              surveys and reports concerning sexual harassment and sexual
              violence at the service academies.
    Sec. 533. Department of Defense policy on service academy and ROTC
              graduates seeking to participate in professional sports before
              completion of their active-duty service obligations.

             Part II--Scholarship and Financial Assistance Programs

    Sec. 535. Authority to permit members who participate in the guaranteed
              reserve forces duty scholarship program to participate in the
              health professions scholarship program and serve on active
              duty.
    Sec. 536. Detail of commissioned officers as students at medical
              schools.
    Sec. 537. Increase in maximum amount of repayment under education loan
              repayment for officers in specified health professions.
    Sec. 538. Health Professions Scholarship and Financial Assistance
              Program for Active Service.

                          Part III--Junior ROTC Program

    Sec. 539. Junior Reserve Officers' Training Corps instructor
              qualifications.
    Sec. 540. Expansion of members eligible to be employed to provide Junior
              Reserve Officers' Training Corps instruction.
    Sec. 541. Expansion of Junior Reserve Officers' Training Corps program.
    Sec. 542. Review of legal status of Junior ROTC program.

                 Part IV--Other Education and Training Programs

    Sec. 543. Expanded eligibility for enlisted members for instruction at
              Naval Postgraduate School.

                     Subtitle D--General Service Authorities

    Sec. 546. Test of utility of test preparation guides and education
              programs in enhancing recruit candidate performance on the
              Armed Services Vocational Aptitude Battery (ASVAB) and Armed
              Forces Qualification Test (AFQT).
    Sec. 547. Clarification of nondisclosure requirements applicable to
              certain selection board proceedings.
    Sec. 548. Report on extent of provision of timely notice of long-term
              deployments.

                      Subtitle E--Military Justice Matters

    Sec. 551. Applicability of Uniform Code of Military Justice to members
              of the Armed Forces ordered to duty overseas in inactive duty
              for training status.
    Sec. 552. Clarification of application of Uniform Code of Military
              Justice during a time of war.

                       Subtitle F--Decorations and Awards

    Sec. 555. Authority for presentation of Medal of Honor Flag to living
              Medal of Honor recipients and to living primary next-of-kin of
              deceased Medal of Honor recipients.
    Sec. 556. Review of eligibility of prisoners of war for award of the
              Purple Heart.
    Sec. 557. Report on Department of Defense process for awarding
              decorations.

                   Subtitle G--Matters Relating to Casualties

    Sec. 561. Authority for retention after separation from service of
              assistive technology and devices provided while on active
              duty.
    Sec. 562. Transportation of remains of casualties dying in a theater of
              combat operations.
    Sec. 563.  Annual budget display of funds for POW/MIA activities of
              Department of Defense.
    Sec. 564. Military Severely Injured Center.
    Sec. 565. Comprehensive review on procedures of the Department of
              Defense on mortuary affairs.
    Sec. 566. Additional elements of policy on casualty assistance to
              survivors of military decedents.
    Sec. 567.  Requirement for deploying military medical personnel to be
              trained in preservation of remains under combat or combat-
              related conditions.

         Subtitle H--Impact Aid and Defense Dependents Education System

    Sec. 571. Enrollment in defense dependents' education system of
              dependents of foreign military members assigned to Supreme
              Headquarters Allied Powers, Europe.
    Sec. 572. Continuation of authority to assist local educational agencies
              that benefit dependents of members of the Armed Forces and
              Department of Defense civilian employees.
    Sec. 573. Impact aid for children with severe disabilities.
    Sec. 574. Plan and authority to assist local educational agencies
              experiencing growth in enrollment due to force structure
              changes, relocation of military units, or base closures and
              realignments.
    Sec. 575. Pilot program on parent education to promote early childhood
              education for dependent children affected by military
              deployment or relocation of military units.

                    Subtitle I--Armed Forces Retirement Home

    Sec. 578. Report on leadership and management of the Armed Forces
              Retirement Home.
    Sec. 579. Report on Local Boards of Trustees of the Armed Forces
              Retirement Home.

                               Subtitle J--Reports

    Sec. 581. Report on personnel requirements for airborne assets
              identified as Low-Density, High-Demand Airborne Assets.
    Sec. 582. Report on feasibility of establishment of Military Entrance
              Processing Command station on Guam.
    Sec. 583. Inclusion in annual Department of Defense report on sexual
              assaults of information on results of disciplinary actions.
    Sec. 584. Report on provision of electronic copy of military records on
              discharge or release of members from the Armed Forces.
    Sec. 585. Report on omission of social security account numbers from
              military identification cards.
    Sec. 586. Report on maintenance and protection of data held by the
              Secretary of Defense as part of the Department of Defense
              Joint Advertising, Market Research and Studies (JAMRS)
              program.
    Sec. 587. Comptroller General report on military conscientious
              objectors.

                            Subtitle K--Other Matters

    Sec. 591. Modification in Department of Defense contributions to
              Military Retirement Fund.
    Sec. 592. Revision in Government contributions to Medicare-Eligible
              Retiree Health Care Fund.
    Sec. 593. Dental Corps of the Navy Bureau of Medicine and Surgery.
    Sec. 594. Permanent authority for presentation of recognition items for
              recruitment and retention purposes.
    Sec. 595. Persons authorized to administer enlistment and appointment
              oaths.
    Sec. 596. Military voting matters.
    Sec. 597. Physical evaluation boards.
    Sec. 598. Military ID cards for retiree dependents who are permanently
              disabled.
    Sec. 599. United States Marine Band and United States Marine Drum and
              Bugle Corps.

                      Subtitle A--Officer Personnel Policy

                   PART I--OFFICER PERSONNEL POLICY GENERALLY

        SEC. 501. MILITARY STATUS OF OFFICERS SERVING IN CERTAIN
          INTELLIGENCE COMMUNITY POSITIONS.
        (a) Clarification of Military Status.--Section 528 of title 10,
    United States Code, is amended--
            (1) by striking subsections (a) and (b) and inserting the
        following:
        ``(a) Military Status.--An officer of the armed forces, while
    serving in a position covered by this section--
            ``(1) shall not be subject to supervision or control by the
        Secretary of Defense or any other officer or employee of the
        Department of Defense, except as directed by the Secretary of
        Defense concerning reassignment from such position; and
            ``(2) may not exercise, by reason of the officer's status as an
        officer, any supervision or control with respect to any of the
        military or civilian personnel of the Department of Defense except
        as otherwise authorized by law.
        ``(b) Director and Deputy Director of CIA.--When the position of
    Director or Deputy Director of the Central Intelligence Agency is held
    by an officer of the armed forces, the officer serving in that
    position, while so serving, shall be excluded from the limitations in
    sections 525 and 526 of this title. However, if both such positions are
    held by an officer of the armed forces, only one such officer may be
    excluded from those limitation while so serving.''; and
            (2) by adding at the end the following new subsections:
        ``(e) Effect of Appointment.--Except as provided in subsection (a),
    the appointment or assignment of an officer of the armed forces to a
    position covered by this section shall not affect--
            ``(1) the status, position, rank, or grade of such officer in
        the armed forces; or
            ``(2) any emolument, perquisite, right, privilege, or benefit
        incident to or arising out of such status, position, rank, or
        grade.
        ``(f) Military Pay and Allowances.--(1) An officer of the armed
    forces on active duty who is appointed or assigned to a position
    covered by this section shall, while serving in such position and while
    remaining on active duty, continue to receive military pay and
    allowances and shall not receive the pay prescribed for such position.
        ``(2) Funds from which pay and allowances under paragraph (1) are
    paid to an officer while so serving shall be reimbursed as follows:
            ``(A) For an officer serving in a position within the Central
        Intelligence Agency, such reimbursement shall be made from funds
        available to the Director of the Central Intelligence Agency.
            ``(B) For an officer serving in a position within the Office of
        the Director of National Intelligence, such reimbursement shall be
        made from funds available to the Director of National Intelligence.
        ``(g) Covered Positions.--The positions covered by this section are
    the positions specified in subsections (b) and (c) and the positions
    designated under subsection (d).''.
        (b) Clerical Amendments.--
            (1) The heading of such section is amended to read as follows:

    ``Sec. 528. Officers serving in certain intelligence positions:
                military status; exclusion from distribution and strength
                limitations; pay and allowances''.

            (2) The item relating to section 528 in the table of sections
        at the beginning of chapter 32 of such title is amended to read as
        follows:

    ``528. Officers serving in certain intelligence positions: military
              status; exclusion from distribution and strength limitations;
              pay and allowances.''.
        SEC. 502. EXTENSION OF AGE FOR MANDATORY RETIREMENT FOR ACTIVE-DUTY
          GENERAL AND FLAG OFFICERS.
        (a) Revised Age Limits for General and Flag Officers.--Chapter 63
    of title 10, United States Code, is amended by inserting after section
    1252 the following new section:

    ``Sec. 1253. Age 64: regular commissioned officers in general and flag
                officer grades; exception

        ``(a) General Rule.--Unless retired or separated earlier, each
    regular commissioned officer of the Army, Navy, Air Force, or Marine
    Corps serving in a general or flag officer grade shall be retired on
    the first day of the month following the month in which the officer
    becomes 64 years of age.
        ``(b) Exception for Officers Serving in O-9 and O-10 Positions.--In
    the case of an officer serving in a position that carries a grade above
    major general or rear admiral, the retirement under subsection (a) of
    that officer may be deferred--
            ``(1) by the President, but such a deferment may not extend
        beyond the first day of the month following the month in which the
        officer becomes 68 years of age; or
            ``(2) by the Secretary of Defense, but such a deferment may not
        extend beyond the first day of the month following the month in
        which the officer becomes 66 years of age.''.
        (b) Restatement and Modification of Current Age Limits for Other
    Officers.--Section 1251 of such title is amended to read as follows:

    ``Sec. 1251. Age 62: regular commissioned officers in grades below
                general and flag officer grades; exceptions

        ``(a) General Rule.--Unless retired or separated earlier, each
    regular commissioned officer of the Army, Navy, Air Force, or Marine
    Corps (other than an officer covered by section 1252 of this title or a
    commissioned warrant officer) serving in a grade below brigadier
    general or rear admiral (lower half), in the case of an officer in the
    Navy, shall be retired on the first day of the month following the
    month in which the officer becomes 62 years of age.
        ``(b) Deferred Retirement of Health Professions Officers.--(1) The
    Secretary of the military department concerned may, subject to
    subsection (d), defer the retirement under subsection (a) of a health
    professions officer if during the period of the deferment the officer
    will be performing duties consisting primarily of providing patient
    care or performing other clinical duties.
        ``(2) For purposes of this subsection, a health professions officer
    is--
            ``(A) a medical officer;
            ``(B) a dental officer; or
            ``(C) an officer in the Army Nurse Corps, an officer in the
        Navy Nurse Corps, or an officer in the Air Force designated as a
        nurse.
        ``(c) Deferred Retirement of Chaplains.--The Secretary of the
    military department concerned may, subject to subsection (d), defer the
    retirement under subsection (a) of an officer who is appointed or
    designated as a chaplain if the Secretary determines that such deferral
    is in the best interest of the military department concerned.
        ``(d) Limitation on Deferment of Retirements.--(1) Except as
    provided in paragraph (2), a deferment under subsection (b) or (c) may
    not extend beyond the first day of the month following the month in
    which the officer becomes 68 years of age.
        ``(2) The Secretary of the military department concerned may extend
    a deferment under subsection (b) or (c) beyond the day referred to in
    paragraph (1) if the Secretary determines that extension of the
    deferment is necessary for the needs of the military department
    concerned. Such an extension shall be made on a case-by-case basis and
    shall be for such period as the Secretary considers appropriate.''.
        (c) Clerical Amendments.--The table of sections at the beginning of
    chapter 63 of such title is amended--
            (1) by striking the item relating to section 1251 and inserting
        the following new item:

    ``1251. Age 62: regular commissioned officers in grades below general
              and flag officer grades; exceptions.'';

        and
            (2) by inserting after the item relating to section 1252 the
        following new item:

    ``1253. Age 64: regular commissioned officers in general and flag
              officer grades; exception.''.

        (d) Conforming Amendments.--Chapter 71 of such title is amended--
            (1) in the table in section 1401(a), by inserting at the bottom
        of the column under the heading ``For sections'', in the entry for
        Formula Number 5, the following: ``1253''; and
            (2) in the table in section 1406(b)(1), by inserting at the
        bottom of the first column the following: ``1253''.
        SEC. 503. INCREASED MANDATORY RETIREMENT AGES FOR RESERVE OFFICERS.
        (a) Major Generals and Rear Admirals.--
            (1) Increased age.--Section 14511 of title 10, United States
        Code, is amended by striking ``62 years'' and inserting ``64
        years''.
            (2) Conforming amendment.--The heading of such section is
        amended to read as follows:

    ``Sec. 14511. Separation at age 64: major generals and rear admirals''.

        (b) Brigadier Generals and Rear Admirals (lower Half).--
            (1) Increased age.--Section 14510 of such title is amended by
        striking ``60 years'' and inserting ``62 years''.
            (2) Conforming amendment.--The heading of such section is
        amended to read as follows:

    ``Sec. 14510. Separation at age 62: brigadier generals and rear
                admirals (lower half)''.

        (c) Officers Below Brigadier General or Rear Admiral (Lower Half)--
            (1) Increased age.--Section 14509 of such title is amended by
        striking ``60 years'' and inserting ``62 years''.
            (2) Conforming amendment.--The heading of such section is
        amended to read as follows:

    ``Sec. 14509. Separation at age 62: reserve officers in grades below
                brigadier general or rear admiral (lower half)''.

        (d) Certain Other Officers.--
            (1) Increased age.--Section 14512 of such title is amended by
        striking ``64 years'' both places it appears and inserting ``66
        years''.
            (2) Conforming amendment.--The heading of such section is
        amended to read as follows:

    ``Sec. 14512. Separation at age 66: officers holding certain offices''.

        (e) Conforming Amendments.--Section 14508 of such title is
    amended--
            (1) in subsection (c), by striking ``60 years'' and inserting
        ``62 years''; and
            (2) in subsection (d), by striking ``62 years'' and inserting
        ``64 years''.
        (f) Clerical Amendment.--The table of sections at the beginning of
    chapter 1407 of such title is amended by striking the items relating to
    sections 14509, 14510, 14511, and 14512 and inserting the following new
    items:

    ``14509. Separation at age 62: reserve officers in grades below
              brigadier general or rear admiral (lower half).
    ``14510. Separation at age 62: brigadier generals and rear admirals
              (lower half).
    ``14511. Separation at age 64: major generals and rear admirals.
    ``14512. Separation at age 66: officers holding certain offices.''.
        SEC. 504. STANDARDIZATION OF GRADE OF SENIOR DENTAL OFFICER OF THE
          AIR FORCE WITH THAT OF SENIOR DENTAL OFFICER OF THE ARMY.
        (a) Air Force Assistant Surgeon General for Dental Services.--
    Section 8081 of title 10, United States Code, is amended by striking
    ``brigadier general'' in the second sentence and inserting ``major
    general''.
        (b) Effective Date.--The amendment made by subsection (a) shall
    take effect on the date of the occurrence of the next vacancy in the
    position of Assistant Surgeon General for Dental Services in the Air
    Force that occurs after the date of the enactment of this Act or, if
    earlier, on the date of the appointment to the grade of major general
    of the officer who is the incumbent in that position on the date of the
    enactment of the Act.
        SEC. 505. MANAGEMENT OF CHIEF WARRANT OFFICERS.
        (a) Retention of Chief Warrant Officers, W-4, Who Have Twice Failed
    of Selection for Promotion.--Paragraph (1) of section 580(e) of title
    10, United States Code, is amended by striking ``continued on active
    duty if'' and all that follows and inserting ``continued on active duty
    if--
            ``(A) in the case of a warrant officer in the grade of chief
        warrant officer, W-2, or chief warrant officer, W-3, the warrant
        officer is selected for continuation on active duty by a selection
        board convened under section 573(c) of this title; and
            ``(B) in the case of a warrant officer in the grade of chief
        warrant officer, W-4, the warrant officer is selected for
        continuation on active duty by the Secretary concerned under such
        procedures as the Secretary may prescribe.''.
        (b) Eligibility for Consideration for Promotion of Warrant Officers
    Continued on Active Duty.--Paragraph (2) of such section is amended--
            (1) by inserting ``(A)'' after ``(2)''; and
            (2) by adding at the end the following new subparagraph:
        ``(B) A warrant officer in the grade of chief warrant officer, W-4,
    who is retained on active duty pursuant to procedures prescribed under
    paragraph (1)(B) is eligible for further consideration for promotion
    while remaining on active duty.''.
        (c) Mandatory Retirement for Length of Service.--Section 1305(a) of
    such title is amended--
            (1) by striking ``(1) Except as'' and all the follows through
        ``W-5)'' and inserting ``A regular warrant officer'';
            (2) by inserting ``as a warrant officer'' after ``years of
        active service'';
            (3) by inserting ``the date on which'' after ``60 days after'';
        and
            (4) by striking paragraph (2).
        SEC. 506. EXTENSION OF TEMPORARY REDUCTION OF TIME-IN-GRADE
          REQUIREMENT FOR ELIGIBILITY FOR PROMOTION FOR CERTAIN ACTIVE-DUTY
          LIST OFFICERS IN GRADES OF FIRST LIEUTENANT AND LIEUTENANT
          (JUNIOR GRADE).
        Section 619(a)(1)(B) of title 10, United States Code, is amended by
    striking ``October 1, 2005'' and inserting ``October 1, 2008''.
        SEC. 507. GRADE AND EXCLUSION FROM ACTIVE-DUTY GENERAL AND FLAG
          OFFICER DISTRIBUTION AND STRENGTH LIMITATIONS OF OFFICER SERVING
          AS ATTENDING PHYSICIAN TO THE CONGRESS.
        (a) Grade.--
            (1) Regular officer.--(A) Chapter 41 of title 10, United States
        Code, is amended by adding at the end the following new section:

    ``Sec. 722. Attending Physician to the Congress: grade

        ``A general officer serving as Attending Physician to the Congress,
    while so serving, holds the grade of major general. A flag officer
    serving as Attending Physician to the Congress, while so serving, holds
    the grade of rear admiral.''.
            (B) The table of sections at the beginning of such chapter is
        amended by adding at the end the following new item:

    ``722. Attending Physician to the Congress: grade.''.

            (2) Reserve officer.--(A) Section 12210 of such title is
        amended by striking ``who holds'' and all that follows and
        inserting ``holds the reserve grade of major general or rear
        admiral, as appropriate.''.
            (B) The heading of such section is amended to read as follows:

    ``Sec. 12210. Attending Physician to the Congress: reserve grade''.

            (C) The table of sections at the beginning of chapter 1205 of
        such title is amended by striking the item relating to section
        12210 and inserting the following new item:

    ``12210. Attending Physician to the Congress: reserve grade.''.

        (b) Distribution Limitations.--Section 525 of such title is amended
    by adding at the end the following new subsection:
        ``(f) An officer while serving as Attending Physician to the
    Congress is in addition to the number that would otherwise be permitted
    for that officer's armed force for officers serving on active duty in
    grades above brigadier general or rear admiral (lower half) under
    subsection (a).''.
        (c) Active-Duty Strength Limitations.--Section 526 of such title is
    amended by adding at the end the following new subsection:
        ``(f) Exclusion of Attending Physician to the Congress.--The
    limitations of this section do not apply to the general or flag officer
    who is serving as Attending Physician to the Congress.''.
        SEC. 508. MODIFICATION OF QUALIFICATIONS FOR LEADERSHIP OF THE
          NAVAL POSTGRADUATE SCHOOL.
         Subsection (a) of section 7042 of title 10, United States Code, is
    amended to read as follows:
        ``(a)(1) The President of the Naval Postgraduate School shall be
    one of the following:
            ``(A) An active-duty officer of the Navy or Marine Corps in a
        grade not below the grade of captain, or colonel, respectively, who
        is assigned or detailed to such position.
            ``(B) A civilian individual, including an individual who was
        retired from the Navy or Marine Corps in a grade not below captain,
        or colonel, respectively, who has the qualifications appropriate to
        the position of President and is selected by the Secretary of the
        Navy as the best qualified from among candidates for the position
        in accordance with--
                ``(i) the criteria specified in paragraph (4);
                ``(ii) a process determined by the Secretary; and
                ``(iii) other factors the Secretary considers essential.
        ``(2) Before making an assignment, detail, or selection of an
    individual for the position of President of the Naval Postgraduate
    School, the Secretary shall--
            ``(A) consult with the Board of Advisors for the Naval
        Postgraduate School;
            ``(B) consider any recommendation of the leadership and faculty
        of the Naval Postgraduate School regarding the assignment or
        selection to that position; and
            ``(C) consider the recommendations of the Chief of Naval
        Operations and the Commandant of the Marine Corps.
        ``(3) An individual selected for the position of President of the
    Naval Postgraduate School under paragraph (1)(B) shall serve in that
    position for a term of not more than five years and may be continued in
    that position for an additional term of up to five years.
        ``(4) The qualifications appropriate for selection of an individual
    for detail or assignment to the position of President of the Naval
    Postgraduate School include the following:
            ``(A) An academic degree that is either--
                ``(i) a doctorate degree in a field of study relevant to
            the mission and function of the Naval Postgraduate School; or
                ``(ii) a master's degree in a field of study relevant to
            the mission and function of the Naval Postgraduate School, but
            only if--
                    ``(I) the individual is an active-duty or retired
                officer of the Navy or Marine Corps in a grade not below
                the grade of captain or colonel, respectively; and
                    ``(II) at the time of the selection of that individual
                as President, the individual permanently appointed to the
                position of Provost and Academic Dean has a doctorate
                degree in such a field of study.
            ``(B) A comprehensive understanding of the Department of the
        Navy, the Department of Defense, and joint and combined operations.
            ``(C) Leadership experience at the senior level in a large and
        diverse organization.
            ``(D) Demonstrated ability to foster and encourage a program of
        research in order to sustain academic excellence.
            ``(E) Other qualifications, as determined by the Secretary of
        the Navy.''.

                       PART II--OFFICER PROMOTION POLICY

        SEC. 511. REVISIONS TO AUTHORITIES RELATING TO AUTHORIZED DELAYS OF
          OFFICER PROMOTIONS.
        (a) Officers on Active-Duty List.--
            (1) Secretary of defense regulations for delays of appointment
        upon promotion.--Paragraphs (1) and (2) of subsection (d) of
        section 624 of title 10, United States Code, are amended by
        striking ``prescribed by the Secretary concerned'' in and inserting
        ``prescribed by the Secretary of Defense''.
            (2) Additional basis for delay of appointment by reason of
        investigations and proceedings.--Subsection (d)(1) of such section
        is further amended--
                (A) by striking ``or'' at the end of subparagraph (C);
                (B) by striking the period at the end of subparagraph (D)
            and inserting ``; or'';
                (C) by inserting after subparagraph (D) the following new
            subparagraph:
            ``(E) substantiated adverse information about the officer that
        is material to the decision to appoint the officer is under review
        by the Secretary of Defense or the Secretary concerned.''; and
                (D) in the flush matter following subparagraph (E), as
            inserted by subparagraph (C) of this paragraph--
                    (i) by striking ``or'' after ``chapter 60 of this
                title''; and
                    (ii) by inserting after ``brought against him,'' the
                following: ``or if, after a review of substantiated adverse
                information about the officer regarding the requirement for
                exemplary conduct set forth in section 3583, 5947, or 8583
                of this title, as applicable, the officer is determined to
                be among the officers best qualified for promotion,''.
            (3) Additional basis for delay in appointment for lack of
        qualifications.--Subsection (d)(2) of such section is further
        amended--
                (A) in the first sentence, by inserting before ``is
            mentally, physically,'' the following: ``has not met the
            requirement for exemplary conduct set forth in section 3583,
            5947, or 8583 of this title, as applicable, or''; and
                (B) in the second sentence, by striking ``If the Secretary
            concerned later determines that the officer is qualified for
            promotion to such grade'' and inserting ``If it is later
            determined by a civilian official of the Department of Defense
            (not below the level of Secretary of a military department)
            that the officer is qualified for promotion to such grade and,
            after a review of adverse information regarding the requirement
            for exemplary conduct set forth in section 3583, 5947, or 8583
            of this title, as applicable, the officer is determined to be
            among the officers best qualified for promotion to such
            grade''.
        (b) Officers on Reserve Active-Status List.--
            (1) Secretary of defense regulations for delays of appointment
        upon promotion.--Subsections (a)(1) and (b) of section 14311 of
        such title are amended by striking ``Secretary of the military
        department concerned'' and inserting ``Secretary of Defense''.
            (2) Additional basis for original delay of appointment by
        reason of investigations and proceedings.--Section 14311(a) of such
        title is further amended--
                (A) in paragraph (1), by adding at the end the following
            new subparagraph:
            ``(E) Substantiated adverse information about the officer that
        is material to the decision to appoint the officer is under review
        by the Secretary of Defense or the Secretary concerned.''; and
                (B) in paragraph (2)--
                    (i) by striking ``or'' after ``show cause for
                retention,''; and
                    (ii) by inserting after ``of the charges,'' the
                following: ``or if, after a review of substantiated adverse
                information about the officer regarding the requirement for
                exemplary conduct set forth in section 3583, 5947, or 8583
                of this title, as applicable, the officer is determined to
                be among the officers best qualified for promotion,''.
            (3) Additional basis for delay in appointment for lack of
        qualifications.--Section 14311(b) of such section is further
        amended--
                (A) in the first sentence, by inserting before ``is
            mentally, physically,'' the following: ``has not met the
            requirement for exemplary conduct set forth in section 3583,
            5947, or 8583 of this title, as applicable, or''; and
                (B) in the second sentence, by striking ``If the Secretary
            concerned later determines that the officer is qualified for
            promotion to the higher grade'' and inserting ``If it is later
            determined by a civilian official of the Department of Defense
            (not below the level of Secretary of a military department)
            that the officer is qualified for promotion to the higher grade
            and, after a review of adverse information regarding the
            requirement for exemplary conduct set forth in section 3583,
            5947, or 8583 of this title, as applicable, the officer is
            determined to be among the officers best qualified for
            promotion to the higher grade''.
        (c) Deadline for Uniform Regulations on Delay of Promotions.--
            (1) Deadline.--The Secretary of Defense shall prescribe the
        regulations required by section 624(d) of title 10, United States
        Code (as amended by subsection (a)(1) of this section), and the
        regulations required by section 14311 of such title (as amended by
        subsection (b)(1) of this section) not later than March 1, 2008.
            (2) Savings clause for existing regulations.--Until the
        Secretary of Defense prescribes regulations pursuant to paragraph
        (1), regulations prescribed by the Secretaries of the military
        departments under the sections referred to in paragraph (1) shall
        remain in effect.
        (d) Technical Amendments to Clarify Date of Establishment of
    Promotion Lists.--
            (1) Promotion lists for active-duty list officers.--Section
        624(a)(1) of title 10, United States Code, is amended by adding at
        the end the following new sentence: ``A promotion list is
        considered to be established under this section as of the date of
        the approval of the report of the selection board under the
        preceding sentence.''.
            (2) Promotion lists for reserve active-status list officers.--
        Section 14308(a) of title 10, United States Code, is amended by
        adding at the end the following new sentence: ``A promotion list is
        considered to be established under this section as of the date of
        the approval of the report of the selection board under the
        preceding sentence.''.
        (e) Effective Date.--The amendments made by this section shall take
    effect on the date of the enactment of this Act and shall apply with
    respect to officers on promotion lists established on or after the date
    of the enactment of this Act.
        SEC. 512. CONSIDERATION OF ADVERSE INFORMATION BY SELECTION BOARDS
          IN RECOMMENDATIONS ON OFFICERS TO BE PROMOTED.
        (a) Officers on Active-Duty List.--Section 616(c) of title 10,
    United States Code, is amended--
            (1) by striking ``and'' at the end of paragraph (1);
            (2) by striking the period at the end in paragraph (2) and
        inserting ``; and''; and
            (3) by adding at the end the following new paragraph:
            ``(3) a majority of the members of the board, after
        consideration by all members of the board of any adverse
        information about the officer that is provided to the board under
        section 615 of this title, finds that the officer is among the
        officers best qualified for promotion to meet the needs of the
        armed force concerned consistent with the requirement of exemplary
        conduct set forth in section 3583, 5947, or 8583 of this title, as
        applicable.''.
        (b) Officers on Reserve-Active Status List.--Section 14108(b) of
    such title is amended--
            (1) in the heading, by striking ``Majority Required.--'' and
        inserting ``Actions Required.--'';
            (2) by striking ``and'' at the end of paragraph (1);
            (3) by striking the period at the end in paragraph (2) and
        inserting ``; and''; and
            (4) by adding at the end the following new paragraph:
            ``(3) a majority of the members of the board, after
        consideration by all members of the board of any adverse
        information about the officer that is provided to the board under
        section 14107 of this title, finds that the officer is among the
        officers best qualified for promotion to meet the needs of the
        armed force concerned consistent with the requirement of exemplary
        conduct set forth in section 3583, 5947, or 8583 of this title, as
        applicable.''.
        (c) Effective Date.--The amendments made by this section shall take
    effect on the date of the enactment of this Act and shall apply with
    respect to selection boards convened on or after that date.
        SEC. 513. EXPANDED AUTHORITY FOR REMOVAL FROM REPORTS OF SELECTION
          BOARDS OF OFFICERS RECOMMENDED FOR PROMOTION TO GRADES BELOW
          GENERAL AND FLAG GRADES.
        (a) Officers on Active-Duty List.--Section 618(d) of title 10,
    United States Code, is amended--
            (1) by striking ``The name'' and inserting ``(1) Except as
        provided in paragraph (2), the name''; and
            (2) by adding at the end the following new paragraph:
        ``(2) In the case of an officer recommended by a selection board
    for promotion to a grade below brigadier general or rear admiral (lower
    half), the name of the officer may also be removed from the report of
    the selection board by the Secretary of Defense or the Deputy Secretary
    of Defense.''.
        (b) Officers on Reserve-Active Status List.--Section 14111(b) of
    such title is amended--
            (1) by striking ``The name'' and inserting ``(1) Except as
        provided in paragraph (2), the name''; and
            (2) by adding at the end the following new paragraph:
        ``(2) In the case of an officer recommended by a selection board
    for promotion to a grade below brigadier general or rear admiral (lower
    half), the name of the officer may also be removed from the report of
    the selection board by the Secretary of Defense or the Deputy Secretary
    of Defense.''.
        (c) Effective Date.--The amendments made by this section shall
    apply with respect to selection boards convened on or after the date of
    the enactment of this Act.
        SEC. 514. SPECIAL SELECTION BOARD AUTHORITIES.
        (a) Officers on Active-Duty List.--
            (1) Boards for administrative error available only to officers
        in or above promotion zone.--Subsection (a)(1) of section 628 of
        title 10, United States Code, is amended by inserting ``from in or
        above the promotion zone'' after ``for selection for promotion''.
            (2) Actions treatable as material unfairness.--Subsection
        (b)(1)(A) of such section is amended by inserting ``in a matter
        material to the decision of the board'' after ``contrary to law''.
        (b) Officers on Reserve Active-Status List.--Section 14502(b)(1)(A)
    of such title is amended by inserting ``in a matter material to the
    decision of the board'' after ``contrary to law''.
        (c) Effective Date.--The amendments made by this section shall take
    effect on March 1, 2007, and shall apply with respect to selection
    boards convened on or after that date.
        SEC. 515. REMOVAL FROM PROMOTION LIST OF OFFICERS NOT PROMOTED
          WITHIN 18 MONTHS OF APPROVAL OF LIST BY THE PRESIDENT.
        (a) Officers on Active-Duty Lists.--
            (1) Clarification of removal due to senate not giving advice
        and consent.--Subsection (b) of section 629 of title 10, United
        States Code, is amended--
                (A) by inserting ``Removal Due to Senate Not Giving Advice
            and Consent.--'' after ``(b)'' ; and
                (B) by inserting ``to a grade for which appointment is
            required by section 624(c) of this title to be made by and with
            the advice and consent of the Senate'' after ``the President''.
            (2) Removal after 18 months.--Such section is further amended--
                (A) by redesignating subsection (c) as subsection (d); and
                (B) by inserting after subsection (b) the following new
            subsection (c):
        ``(c) Removal After 18 Months.--(1) If an officer whose name is on
    a list of officers approved for promotion under section 624(a) of this
    title to a grade for which appointment is required by section 624(c) of
    this title to be made by and with the advice and consent of the Senate
    is not appointed to that grade under such section during the officer's
    promotion eligibility period, the officer's name shall be removed from
    the list unless as of the end of such period the Senate has given its
    advice and consent to the appointment.
        ``(2) Before the end of the promotion eligibility period with
    respect to an officer under paragraph (1), the President may extend
    that period for purposes of paragraph (1) by an additional 12 months.
        ``(3) In this subsection, the term `promotion eligibility period'
    means, with respect to an officer whose name is on a list of officers
    approved for promotion under section 624(a) of this title to a grade
    for which appointment is required by section 624(c) of this title to be
    made by and with the advice and consent of the Senate, the period
    beginning on the date on which the list is so approved and ending on
    the first day of the eighteenth month following the month during which
    the list is so approved.''.
            (3) Cross-reference amendment.--Paragraph (1) of subsection (d)
        of such section, as redesignated by paragraph (2)(A) of this
        subsection, is amended by striking ``or (b)'' and inserting ``(b),
        or (c)''.
            (4) Stylistic amendments.--Such section is further amended--
                (A) in subsection (a), by inserting ``Removal by
            President.--'' after ``(a)''; and
                (B) in subsection (d) (as amended by paragraph (3)), by
            inserting ``Continued Eligibility for Promotion.--'' before
            ``(1)''.
        (b) Officers on Reserve Active Status List.--
            (1) Removal following return.--Section 14310 of such title is
        amended--
                (A) by redesignating subsection (c) as subsection (d); and
                (B) by inserting after subsection (b) the following new
            subsection (c):
        ``(c) Removal After 18 Months.--(1) If an officer whose name is on
    a list of officers approved for promotion under section 14308(a) of
    this title to a grade for which appointment is required by section
    12203(a) of this title to be made by and with the advice and consent of
    the Senate is not appointed to that grade under such section during the
    officer's promotion eligibility period, the officer's name shall be
    removed from the list unless as of the end of such period the Senate
    has given its advice and consent to the appointment.
        ``(2) Before the end of the promotion eligibility period with
    respect to an officer under paragraph (1), the President may extend
    that period for purposes of paragraph (1) by an additional 12 months.
        ``(3) In this subsection, the term `promotion eligibility period'
    means, with respect to an officer whose name is on a list of officers
    approved for promotion under section 14308(a) of this title to a grade
    for which appointment is required by section 12203(a) of this title to
    be made by and with the advice and consent of the Senate, the period
    beginning on the date on which the list is so approved and ending on
    the first day of the eighteenth month following the month during which
    the list is so approved.''.
            (2) Cross-reference amendment.--Paragraph (1) of subsection (d)
        of such section, as redesignated by paragraph (1)(A) of this
        subsection, is amended by striking ``or (b)'' and inserting ``(b),
        or (c)''.
        (c) Effective Date.--The amendments made by this section shall
    apply to any promotion list approved by the President after January 1,
    2007.

                PART III--JOINT OFFICER MANAGEMENT REQUIREMENTS

        SEC. 516. MODIFICATION AND ENHANCEMENT OF GENERAL AUTHORITIES ON
          MANAGEMENT OF OFFICERS WHO ARE JOINT QUALIFIED.
        (a) Redesignation of Applicability of Policies Toward Joint
    Qualification.--Subsection (a) of section 661 of title 10, United
    States Code, is amended by striking the last sentence.
        (b) Revision to General Authorities.--Subsections (b), (c), and (d)
    of such section are amended to read as follows:
        ``(b) Levels, Designation, and Numbers.--(1)(A) The Secretary of
    Defense shall establish different levels of joint qualification, as
    well as the criteria for qualification at each level. Such levels of
    joint qualification shall be established by the Secretary with the
    advice of the Chairman of the Joint Chiefs of Staff. Each level shall,
    as a minimum, have both joint education criteria and joint experience
    criteria. The purpose of establishing such qualification levels is to
    ensure a systematic, progressive, career-long development of officers
    in joint matters and to ensure that officers serving as general and
    flag officers have the requisite experience and education to be highly
    proficient in joint matters.
        ``(B) The number of officers who are joint qualified shall be
    determined by the Secretary of Defense, with the advice of the Chairman
    of the Joint Chiefs of Staff. Such number shall be large enough to meet
    the requirements of subsection (d).
        ``(2) Certain officers shall be designated as joint qualified by
    the Secretary of Defense with the advice of the Chairman of the Joint
    Chiefs of Staff.
        ``(3) An officer may be designated as joint qualified under
    paragraph (2) only if the officer--
            ``(A) meets the education and experience criteria of subsection
        (c);
            ``(B) meets such additional criteria as prescribed by the
        Secretary of Defense; and
            ``(C) holds the grade of captain or, in the case of the Navy,
        lieutenant or a higher grade.
        ``(4) The authority of the Secretary of Defense under paragraph (2)
    to designate officers as joint qualified may be delegated only to the
    Deputy Secretary of Defense or an Under Secretary of Defense.
        ``(c) Education and Experience Requirements.--(1) An officer may
    not be designated as joint qualified until the officer--
            ``(A) successfully completes an appropriate program of joint
        professional military education, as described in subsections (b)
        and (c) of section 2155 of this title, at a joint professional
        military education school; and
            ``(B) successfully completes--
                ``(i) a full tour of duty in a joint assignment, as
            described in section 664(f) of this title; or
                ``(ii) such other assignments and experiences in a manner
            that demonstrate the officer's mastery of knowledge, skills,
            and abilities in joint matters, as determined under such
            regulations and policy as the Secretary of Defense may
            prescribe.
        ``(2) Subject to paragraphs (3) through (6), the Secretary of
    Defense may waive the requirement under paragraph (1)(A) that an
    officer has successfully completed a program of education, as described
    in subsections (b) and (c) of section 2155 of this title.
        ``(3) In the case of an officer in a grade below brigadier general
    or rear admiral (lower half), a waiver under paragraph (2) may be
    granted only if--
            ``(A) the officer has completed two full tours of duty in a
        joint duty assignment, as described in section 664(f) of this
        title, in such a manner as to demonstrate the officer's mastery of
        knowledge, skills, and abilities on joint matters; and
            ``(B) the Secretary of Defense determines that the types of
        joint duty experiences completed by the officer have been of
        sufficient breadth to prepare the officer adequately for service as
        a general or flag officer in a joint duty assignment position.
        ``(4) In the case of a general or flag officer, a waiver under
    paragraph (2) may be granted only--
            ``(A) under unusual circumstances justifying the variation from
        the education requirement under paragraph (1)(A); and
            ``(B) under circumstances in which the waiver is necessary to
        meet a critical need of the armed forces, as determined by the
        Chairman of the Joint Chiefs of Staff.
        ``(5) In the case of officers in grades below brigadier general or
    rear admiral (lower half), the total number of waivers granted under
    paragraph (2) for officers in the same pay grade during a fiscal year
    may not exceed 10 percent of the total number of officers in that pay
    grade designated as joint qualified during that fiscal year.
        ``(6) There may not be more than 32 general and flag officers on
    active duty at the same time who, while holding a general or flag
    officer position, were designated joint qualified (or were selected for
    the joint specialty before October 1, 2007) and for whom a waiver was
    granted under paragraph (2).
        ``(d) Number of Joint Duty Assignments.--(1) The Secretary of
    Defense shall ensure that approximately one-half of the joint duty
    assignment positions in grades above major or, in the case of the Navy,
    lieutenant commander are filled at any time by officers who have the
    appropriate level of joint qualification.
        ``(2) The Secretary of Defense, with the advice of the Chairman of
    the Joint Chiefs of Staff, shall designate an appropriate number of
    joint duty assignment positions as critical joint duty assignment
    positions. A position may be designated as a critical joint duty
    assignment position only if the duties and responsibilities of the
    position make it important that the occupant be particularly trained
    in, and oriented toward, joint matters.
        ``(3)(A) Subject to subparagraph (B), a position designated under
    paragraph (2) may be held only by an officer who--
            ``(i) was designated as joint qualified in accordance with this
        chapter; or
            ``(ii) was selected for the joint specialty before October 1,
        2007.
        ``(B) The Secretary of Defense may waive the requirement in
    subparagraph (A) with respect to the assignment of an officer to a
    position designated under paragraph (2). Any such waiver shall be
    granted on a case-by-case basis. The authority of the Secretary to
    grant such a waiver may be delegated only to the Chairman of the Joint
    Chiefs of Staff.
        ``(4) The Secretary of Defense shall ensure that, of those joint
    duty assignment positions that are filled by general or flag officers,
    a substantial portion are among those positions that are designated
    under paragraph (2) as critical joint duty assignment positions.''.
        (c) Career Guidelines.--Subsection (e) of such section is amended
    by striking ``officers with the joint specialty'' and inserting
    ``officers to achieve joint qualification and for officers who have
    been designated as joint qualified''.
        (d) Technical Amendment Regarding Treatment of Certain Service.--
    Subsection (f) of such section is amended by striking ``section
    619(e)(1)'' and inserting ``section 619a''.
        (e) Clerical Amendments.--
            (1) Section heading.--The heading of such section is amended to
        read as follows:

    ``Sec. 661. Management policies for officers who are joint qualified''.

            (2) Table of sections.--The table of sections at the beginning
        of chapter 38 of such title is amended by striking the item
        relating to section 661 and inserting the following new item:

    ``661. Management policies for officers who are joint qualified.''.

        (f) Effective Date.--The amendments made by this section shall take
    effect on October 1, 2007.
        (g) Treatment of Current Joint Specialty Officers.--For the
    purposes of chapter 38 of title 10, United States Code, and sections
    154, 164, and 619a of such title, an officer who, as of September 30,
    2007, has been selected for or has the joint specialty under section
    661 of such title, as in effect on that date, shall be considered after
    that date to be an officer designated as joint qualified by the
    Secretary of Defense under section 661(b)(2) of such title, as amended
    by this section.
        (h) Implementation Plan.--
            (1) Plan required.--Not later than March 31, 2007, the
        Secretary of Defense shall submit to the Committee on Armed
        Services of the Senate and the Committee on Armed Services of the
        House of Representatives a plan for the implementation of the joint
        officer management system, which will take effect on October 1,
        2007, as provided in subsection (f), as a result of the amendments
        made by this section and other provisions of this Act to provisions
        of chapter 38 of title 10, United States Code.
            (2) Elements of plan.--In developing the plan required by this
        subsection, the Secretary shall pay particular attention to matters
        related to the transition of officers from the joint specialty
        system in effect before October 1, 2007, to the joint officer
        management system in effect after that date. At a minimum, the plan
        shall include the following:
                (A) The policies and criteria to be used for designating
            officers as joint qualified on the basis of service performed
            by such officers before that date, had the amendments made by
            this section and other provisions of this Act to provisions of
            chapter 38 of title 10, United States Code, taken effect before
            the date of the enactment of this Act.
                (B) The policies and criteria prescribed by the Secretary
            of Defense to be used in making determinations under section
            661(c)(1)(B)(ii) of such title, as amended by this section.
                (C) The recommendations of the Secretary for any
            legislative changes that may be necessary to effectuate the
            joint officer management system.
        SEC. 517. MODIFICATION OF PROMOTION POLICY OBJECTIVES FOR JOINT
          OFFICERS.
        Section 662(a) of title 10, United States Code, is amended--
            (1) in paragraph (1), by inserting ``and'' after the semicolon;
        and
            (2) by striking paragraphs (2) and (3) and inserting the
        following new paragraph (2):
            ``(2) officers who are serving in or have served in joint duty
        assignments are expected, as a group, to be promoted to the next
        higher grade at a rate not less than the rate for all officers of
        the same armed force in the same grade and competitive category.''.
        SEC. 518. APPLICABILITY OF JOINT DUTY ASSIGNMENT REQUIREMENTS
          LIMITED TO GRADUATES OF NATIONAL DEFENSE UNIVERSITY SCHOOLS.
        (a) Applicability.--Section 663 of title 10, United States Code, is
    amended--
            (1) in subsection (a), by striking ``a joint professional
        military education school'' and inserting ``a school within the
        National Defense University specified in subsection (c)''; and
            (2) in subsection (b)--
                (A) in paragraph (1), by striking ``a joint professional
            military education school'' and inserting ``a school within the
            National Defense University specified in subsection (c)''; and
                (B) in paragraph (2), by striking ``a joint professional
            military education school'' and inserting ``a school referred
            to in paragraph (1)''.
        (b) Covered Schools Within NDU.--Such section is further amended by
    adding at the end the following new subsection:
        ``(c) Covered Schools Within the National Defense University.--For
    purposes of this section, a school within the National Defense
    University specified in this subsection is one of the following:
            ``(1) The National War College.
            ``(2) The Industrial College of the Armed Forces.
            ``(3) The Joint Forces Staff College.''.
        SEC. 519. MODIFICATION OF CERTAIN DEFINITIONS RELATING TO
          JOINTNESS.
        (a) Definition of Joint Matters.--Subsection (a) of section 668 of
    title 10, United States Code, is amended to read as follows:
        ``(a) Joint Matters.--(1) In this chapter, the term `joint matters'
    means matters related to the achievement of unified action by multiple
    military forces in operations conducted across domains such as land,
    sea, or air, in space, or in the information environment, including
    matters relating to--
            ``(A) national military strategy;
            ``(B) strategic planning and contingency planning;
            ``(C) command and control of operations under unified command;
            ``(D) national security planning with other departments and
        agencies of the United States; and
            ``(E) combined operations with military forces of allied
        nations.
        ``(2) In the context of joint matters, the term `multiple military
    forces' refers to forces that involve participants from the armed
    forces and one or more of the following:
            ``(A) Other departments and agencies of the United States.
            ``(B) The military forces or agencies of other countries.
            ``(C) Non-governmental persons or entities.''.
        (b) Definition of Joint Duty Assignment.--Paragraph (1) of
    subsection (b) of such section is amended by striking ``That definition
    shall'' and all that follows and inserting the following: ``That
    definition--
            ``(A) shall be limited to assignments in which the officer
        gains significant experience in joint matters; and
            ``(B) shall exclude assignments for joint training and
        education, except an assignment as an instructor responsible for
        preparing and presenting courses in areas of the curricula
        designated in section 2155(c) of this title as part of a program
        designated by the Secretary of Defense as joint professional
        military education Phase II.''.
        (c) Definition of Critical Occupational Specialty.--Such section is
    further amended by adding at the end the following new subsection:
        ``(d) Critical Occupational Specialty.--(1) In this chapter, the
    term `critical occupational specialty' means a military occupational
    specialty involving combat operations within the combat arms, in the
    case of the Army, or the equivalent arms, in the case of the Navy, Air
    Force, and Marine Corps, that the Secretary of Defense designates as
    critical.
        ``(2) At a minimum, the Secretary of Defense shall designate as a
    critical occupational specialty under paragraph (1) any military
    occupational specialty within a combat arms (or the equivalent) that is
    experiencing a severe shortage of trained officers in that specialty,
    as determined by the Secretary.''.
        (d) Conforming Amendments.--
            (1) Initial assignment of officers with critical occupational
        specialties.--Section 664(c) of such title is amended--
                (A) in the matter before paragraph (1) by striking
            ``section 661(c)(2)'' and inserting ``section 661(c)(1)(B)'';
                (B) by striking paragraph (1);
                (C) by redesignating paragraph (2) as paragraph (1) and, in
            such paragraph, by striking ``section 661(c)(2)'' and inserting
            ``section 668(d)''; and
                (D) by redesignating paragraph (3) as paragraph (2).
            (2) Annual report on number of officers with critical
        occupational specialties.--Section 667(3) of such title is amended
        by striking ``section 661(c)(2)'' and inserting ``section 668(d)''.
        (e) Effective Date.--The amendments made by this section shall take
    effect on October 1, 2007.

                     Subtitle B--Reserve Component Matters

                      PART I--RESERVE COMPONENT MANAGEMENT

        SEC. 521. RECOGNITION OF FORMER REPRESENTATIVE G.V. `SONNY'
          MONTGOMERY FOR HIS 30 YEARS OF SERVICE IN THE HOUSE OF
          REPRESENTATIVES.
        (a) Findings.--Congress makes the following findings:
            (1) G.V. ``Sonny'' Montgomery was elected to the House of
        Representatives in 1967 and served the people of east-central
        Mississippi for 30 years with distinction, dedication, and
        conviction.
            (2) Sonny Montgomery had a distinguished military career both
        before and during his service in Congress, serving in World War II
        and the Korean War, and retired from the Mississippi National Guard
        with the rank of Major General.
            (3) As a Member of the House of Representatives, Sonny
        Montgomery served on the Committee on Armed Services and served
        with great distinction as the Chairman of the Committee on
        Veterans' Affairs for 13 years from 1981 through 1994.
            (4) Representative Montgomery's colleagues knew him as a
        statesman of the institution and as a tireless advocate for
        policies that would improve the lives of persons who serve the
        United States.
            (5) Representative Montgomery was deeply committed to all
        members of the Armed Forces who served in combat and traveled to
        Korea and Southeast Asia to recover remains and help determine the
        fate of POW/MIAs from the Korean and Vietnam Wars.
            (6) Through his years of service on the Committee on Armed
        Services, Representative Montgomery made great contributions to the
        capabilities of the National Guard and Reserves, by improving their
        training and equipment and by better integrating them with the
        active force.
            (7) Under the revised GI Bill that bears his name and was
        signed into law in 1984, Representative Montgomery brought
        educational benefits to millions of veterans, including those
        members who had served in the National Guard and Reserves, and
        strengthened the all-volunteer force.
            (8) Representative Montgomery had received many honors and
        commendations before his passing on May 12, 2006, including most
        recently and notably the Presidential Medal of Freedom, the highest
        civilian honor accorded by the United States.
        (b) Recognition.--Congress recognizes and commends former
    Representative G.V. ``Sonny'' Montgomery for his 30 years of service to
    benefit the people of Mississippi, members of the Armed Forces and
    their families, veterans, and the United States.
        SEC. 522. REVISIONS TO RESERVE CALL-UP AUTHORITY.
        (a) Maximum Number of Days.--Subsection (a) of section 12304 of
    title 10, United States Code, is amended by striking ``270 days'' and
    inserting ``365 days.''
        (b) Fair Treatment.--Such section is further amended--
            (1) by redesignating subsection (i) as subsection (j); and
            (2) by inserting after subsection (h) the following new
        subsection (i):
        ``(i) Considerations for Involuntary Order to Active Duty.--(1) In
    determining which members of the Selected Reserve and Individual Ready
    Reserve will be ordered to duty without their consent under this
    section, appropriate consideration shall be given to--
            ``(A) the length and nature of previous service, to assure such
        sharing of exposure to hazards as the national security and
        military requirements will reasonably allow;
            ``(B) the frequency of assignments during service career;
            ``(C) family responsibilities; and
            ``(D) employment necessary to maintain the national health,
        safety, or interest.
        ``(2) The Secretary of Defense shall prescribe such policies and
    procedures as the Secretary considers necessary to carry out this
    subsection.''.
        SEC. 523. MILITARY RETIREMENT CREDIT FOR CERTAIN SERVICE BY
          NATIONAL GUARD MEMBERS PERFORMED WHILE IN A STATE DUTY STATUS
          IMMEDIATELY AFTER THE TERRORIST ATTACKS OF SEPTEMBER 11, 2001.
        Subsection (c) of section 514 of the National Defense Authorization
    Act for Fiscal Year 2006 (Public Law 109-163; 119 Stat. 3232) is
    amended by adding at the end the following new paragraph:
            ``(3) In the State of New Jersey: Bergen, Hudson, Union, and
        Middlesex.''.

            PART II--AUTHORITIES RELATING TO GUARD AND RESERVE DUTY

        SEC. 524. TITLE 10 DEFINITION OF ACTIVE GUARD AND RESERVE DUTY.
        Section 101 of title 10, United States Code, is amended--
            (1) by adding at the end of subsection (b) the following new
        paragraph:
            ``(16) The term `Active Guard and Reserve' means a member of a
        reserve component who is on active duty pursuant to section
        12301(d) of this title or, if a member of the Army National Guard
        or Air National Guard, is on full-time National Guard duty pursuant
        to section 502(f) of title 32, and who is performing Active Guard
        and Reserve duty.''; and
            (2) in paragraph (6)(A) of subsection (d)--
                (A) by striking ``or full-time National Guard duty'' after
            ``means active duty''; and
                (B) by striking ``, pursuant to an order to active duty or
            full-time National Guard duty'' and inserting ``pursuant to an
            order to full-time National Guard duty,''.
        SEC. 525. AUTHORITY FOR ACTIVE GUARD AND RESERVE DUTIES TO INCLUDE
          SUPPORT OF OPERATIONAL MISSIONS ASSIGNED TO THE RESERVE
          COMPONENTS AND INSTRUCTION AND TRAINING OF ACTIVE-DUTY PERSONNEL.
        (a) AGR Duty Under Title 10.--Subsections (a) and (b) of section
    12310 of title 10, United States Code, are amended to read as follows:
        ``(a) Authority.--(1) The Secretary concerned may order a member of
    a reserve component under the Secretary's jurisdiction to active duty
    pursuant to section 12301(d) of this title to perform Active Guard and
    Reserve duty organizing, administering, recruiting, instructing, or
    training the reserve components.
        ``(2) A Reserve ordered to active duty under paragraph (1) shall be
    ordered in the Reserve's reserve grade. While so serving, the Reserve
    continues to be eligible for promotion as a Reserve, if otherwise
    qualified.
        ``(b) Duties.--A Reserve on active duty under subsection (a) may
    perform the following additional duties to the extent that the
    performance of those duties does not interfere with the performance of
    the Reserve's primary Active Guard and Reserve duties described in
    subsection (a)(1):
            ``(1) Supporting operations or missions assigned in whole or in
        part to the reserve components.
            ``(2) Supporting operations or missions performed or to be
        performed by--
                ``(A) a unit composed of elements from more than one
            component of the same armed force; or
                ``(B) a joint forces unit that includes--
                    ``(i) one or more reserve component units; or
                    ``(ii) a member of a reserve component whose reserve
                component assignment is in a position in an element of the
                joint forces unit.
            ``(3) Advising the Secretary of Defense, the Secretaries of the
        military departments, the Joint Chiefs of Staff, and the commanders
        of the combatant commands regarding reserve component matters.
            ``(4) Instructing or training in the United States or the
        Commonwealth of Puerto Rico or possessions of the United States
        of--
                ``(A) active-duty members of the armed forces;
                ``(B) members of foreign military forces (under the same
            authorities and restrictions applicable to active-duty members
            providing such instruction or training);
                ``(C) Department of Defense contractor personnel; or
                ``(D) Department of Defense civilian employees.''.
        (b) Military Technicians Under Title 10.--Section 10216(a) of such
    title is amended--
            (1) in paragraph (1)(C), by striking ``administration and'' and
        inserting ``organizing, administering, instructing, or''; and
            (2) by adding at the end the following new paragraph:
        ``(3) A military technician (dual status) who is employed under
    section 3101 of title 5 may perform the following additional duties to
    the extent that the performance of those duties does not interfere with
    the performance of the primary duties described in paragraph (1):
            ``(A) Supporting operations or missions assigned in whole or in
        part to the technician's unit.
            ``(B) Supporting operations or missions performed or to be
        performed by--
                ``(i) a unit composed of elements from more than one
            component of the technician's armed force; or
                ``(ii) a joint forces unit that includes--
                    ``(I) one or more units of the technician's component;
                or
                    ``(II) a member of the technician's component whose
                reserve component assignment is in a position in an element
                of the joint forces unit.
            ``(C) Instructing or training in the United States or the
        Commonwealth of Puerto Rico or possessions of the United States
        of--
                ``(i) active-duty members of the armed forces;
                ``(ii) members of foreign military forces (under the same
            authorities and restrictions applicable to active-duty members
            providing such instruction or training);
                ``(iii) Department of Defense contractor personnel; or
                ``(iv) Department of Defense civilian employees.''.
        (c) National Guard Title 32 Training Duty.--Section 502(f) of title
    32, United States Code, title is amended--
            (1) by redesignating paragraphs (1) and (2) as subparagraphs
        (A) and (B), respectively;
            (2) by inserting ``(1)'' before ``Under regulations''; and
            (3) by striking the last sentence and inserting the following:
        ``(2) The training or duty ordered to be performed under paragraph
    (1) may include the following:
            ``(A) Support of operations or missions undertaken by the
        member's unit at the request of the President or Secretary of
        Defense.
            ``(B) Support of training operations and training missions
        assigned in whole or in part to the National Guard by the Secretary
        concerned, but only to the extent that such training missions and
        training operations--
                ``(i) are performed in the United States or the
            Commonwealth of Puerto Rico or possessions of the United
            States; and
                ``(ii) are only to instruct active duty military, foreign
            military (under the same authorities and restrictions
            applicable to active duty troops), Department of Defense
            contractor personnel, or Department of Defense civilian
            employees.
        ``(3) Duty without pay shall be considered for all purposes as if
    it were duty with pay.''.
        (d) National Guard Technicians Under Title 32.--Section 709(a) of
    title 32, United States Code, is amended--
            (1) in paragraph (1)--
                (A) by striking ``administration and'' and inserting
            ``organizing, administering, instructing, or''; and
                (B) by striking ``and'' at the end of such paragraph;
            (2) by striking the period at the end of paragraph (2) and
        inserting ``; and''; and
            (3) by adding at the end the following new paragraph:
            ``(3) the performance of the following additional duties to the
        extent that the performance of those duties does not interfere with
        the performance of the duties described by paragraphs (1) and (2):
                ``(A) Support of operations or missions undertaken by the
            technician's unit at the request of the President or the
            Secretary of Defense.
                ``(B) Support of Federal training operations or Federal
            training missions assigned in whole or in part to the
            technician's unit.
                ``(C) Instructing or training in the United States or the
            Commonwealth of Puerto Rico or possessions of the United States
            of--
                    ``(i) active-duty members of the armed forces;
                    ``(ii) members of foreign military forces (under the
                same authorities and restrictions applicable to active-duty
                members providing such instruction or training);
                    ``(iii) Department of Defense contractor personnel; or
                    ``(iv) Department of Defense civilian employees.''.
        SEC. 526. GOVERNOR'S AUTHORITY TO ORDER MEMBERS TO ACTIVE GUARD AND
          RESERVE DUTY.
        (a) In General.--Chapter 3 of title 32, United States Code, is
    amended by adding at the end the following new section:

    ``Sec. 328. Active Guard and Reserve duty: Governor's authority

        ``(a) Authority.--The Governor of a State or the Commonwealth of
    Puerto Rico, Guam, or the Virgin Islands, or the commanding general of
    the District of Columbia National Guard, as the case may be, with the
    consent of the Secretary concerned, may order a member of the National
    Guard to perform Active Guard and Reserve duty, as defined by section
    101(d)(6) of title 10, pursuant to section 502(f) of this title.
        ``(b) Duties.--A member of the National Guard performing duty under
    subsection (a) may perform the additional duties specified in section
    502(f)(2) of this title to the extent that the performance of those
    duties does not interfere with the performance of the member's primary
    Active Guard and Reserve duties of organizing, administering,
    recruiting, instructing, and training the reserve components.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding at the end the following new item:

    ``328. Active Guard and Reserve duty: Governor's authority.''.
        SEC. 527. EXPANSION OF OPERATIONS OF CIVIL SUPPORT TEAMS.
        (a) In General.--Section 12310(c) of title 10, United States Code,
    is amended--
            (1) in paragraph (1)--
                (A) by striking ``involving--'' and inserting ``involving
            any of the following:''; and
                (B) by striking subparagraphs (A) and (B) and inserting the
            following:
            ``(A) The use or threatened use of a weapon of mass destruction
        (as defined in section 12304(i)(2) of this title) in the United
        States.
            ``(B) A terrorist attack or threatened terrorist attack in the
        United States that results, or could result, in catastrophic loss
        of life or property.
            ``(C) The intentional or unintentional release of nuclear,
        biological, radiological, or toxic or poisonous chemical materials
        in the United States that results, or could result, in catastrophic
        loss of life or property.
            ``(D) A natural or manmade disaster in the United States that
        results in, or could result in, catastrophic loss of life or
        property.'';
            (2) by amending paragraph (3) to read as follows:
        ``(3) A Reserve may perform duty described in paragraph (1) only
    while assigned to a reserve component weapons of mass destruction civil
    support team.''; and
            (3) by adding at the end the following new paragraph:
        ``(7) In this subsection, the term `United States' includes the
    Commonwealth of Puerto Rico, Guam, and the Virgin Islands.''.
        (b) Technical and Conforming Amendments.--Such section is further
    amended--
            (1) by striking the subsection heading and inserting
        ``Operations Relating to Defense Against Weapons of Mass
        Destruction and Terrorist Attacks.--'';
            (2) in paragraph (5), by striking ``rapid assessment element
        team'' and inserting ``weapons of mass destruction civil support
        team''; and
            (3) in paragraph (6)--
                (A) in the matter preceding subparagraph (A), by striking
            ``paragraph (3)'' and inserting ``paragraphs (1) and (3)''; and
                (B) in subparagraph (B), by striking ``paragraph (3)(B)''
            and inserting ``paragraph (3)''.
        SEC. 528. MODIFICATION OF AUTHORITIES RELATING TO THE COMMISSION ON
          THE NATIONAL GUARD AND RESERVES.
        (a) Annuities and Pay of Members on Federal Reemployment.--
    Subsection (e) of section 513 of the Ronald W. Reagan National Defense
    Authorization Act for Fiscal Year 2005 (Public Law 108-375; 118 Stat.
    1882), as amended by section 516 of the National Defense Authorization
    Act for Fiscal Year 2006 (Public Law 109-163; 119 Stat. 3237), is
    further amended by adding at the end the following new paragraph:
        ``(3) If warranted by circumstances described in subparagraph (A)
    or (B) of section 8344(i)(1) of title 5, United States Code, or by
    circumstances described in subparagraph (A) or (B) of section
    8468(f)(1) of such title, as applicable, the chairman of the Commission
    may exercise, with respect to the members of the Commission, the same
    waiver authority as would be available to the Director of the Office of
    Personnel Management under such section.''.
        (b) Final Report.--Subsection (f)(2) of such section 513 (118 Stat.
    1882) is amended by striking ``Not later than one year after the first
    meeting of the Commission'' and inserting ``Not later than January 31,
    2008''.
        (c) Effective Date.--The amendments made by this section shall take
    effect as of October 28, 2004, as if included in the enactment of the
    Ronald W. Reagan National Defense Authorization Act for Fiscal Year
    2005. The amendment made by subsection (a) shall apply to members of
    the Commission on the National Guard and Reserves appointed on or after
    that date.
        SEC. 529. ADDITIONAL MATTERS TO BE REVIEWED BY COMMISSION ON THE
          NATIONAL GUARD AND RESERVES.
        (a) Additional Matters To Be Reviewed by Commission.--The
    Commission on the National Guard and Reserves shall include among the
    matters it studies (in addition to the matters specified in subsection
    (c) of the commission charter) each of the following:
            (1) National guard bureau enhancement proposals.--The
        advisability and feasibility of implementing the provisions of S.
        2658 and H.R. 5200 of the 109th Congress, as introduced in the
        Senate and the House of Representatives, respectively, on April 26,
        2006.
            (2) Chief of national guard bureau.--As an alternative to
        implementation of the provisions of the bills specified in
        paragraph (1) that provide for the Chief of the National Guard
        Bureau to be a member of the Joint Chiefs of Staff and to hold the
        grade of general, the advisability and feasibility of providing for
        the Chief of the National Guard Bureau to hold the grade of general
        in the performance of the current duties of that office.
            (3) National guard officers authority to command.--The
        advisability and feasibility of implementing the provisions of
        section 544 of H.R. 5122 of the 109th Congress, as passed by the
        House of Representatives on May 11, 2006.
            (4) National guard equipment and funding requirements.--The
        adequacy of the Department of Defense processes for defining the
        equipment and funding necessary for the National Guard to conduct
        both its responsibilities under title 10, United States Code, and
        its responsibilities under title 32, United States Code, including
        homeland defense and related homeland missions, including as part
        of such study--
                (A) consideration of the extent to which those processes
            should be developed taking into consideration the views of the
            Chief of the National Guard Bureau, as well as the views of the
            54 Adjutant Generals and the views of the Chiefs of the Army
            National Guard and the Air Guard; and
                (B) whether there should be an improved means by which
            National Guard equipment requirements are validated by the
            Joint Chiefs of Staff and are considered for funding by the
            Secretaries of the Army and Air Force.
        (b) Priority Review and Report.--
            (1) Priority review.--The Commission on the National Guard and
        Reserves shall carry out its study of the matters specified in
        paragraphs (1), (2), and (3) of subsection (a) on a priority basis,
        with a higher priority for matters under those paragraphs relating
        to the grade and functions of the Chief of the National Guard
        Bureau.
            (2) Report.--In addition to the reports required under
        subsection (f) of the commission charter, the Commission shall
        submit to the Committee on Armed Services of the Senate and the
        Committee on Armed Services of the House of Representatives an
        interim report, not later than March 1, 2007, specifically on the
        matters covered by paragraph (1). In such report, the Commission
        shall set forth its findings and any recommendations it considers
        appropriate with respect to those matters.
        (c) Commission Charter Defined.--For purposes of this section, the
    term ``commission charter'' means section 513 of the Ronald W. Reagan
    National Defense Authorization Act for Fiscal Year 2005 (Public Law
    108-375; 118 Stat. 1880).

                       Subtitle C--Education and Training

                           PART I--SERVICE ACADEMIES

        SEC. 531. EXPANSION OF SERVICE ACADEMY EXCHANGE PROGRAMS WITH
          FOREIGN MILITARY ACADEMIES.
        (a) United States Military Academy.--
            (1) Number of participants in exchange program.--Subsection (b)
        of section 4345 of title 10, United States Code, is amended by
        striking ``24'' and inserting ``100''.
            (2) Costs and expenses.--Subsection (c) of such section is
        amended--
                (A) by striking ``for the Academy'' in paragraph (3) and
            all that follows in that paragraph and inserting ``for the
            Academy and such additional funds as may be available to the
            Academy from a source other than appropriated funds to support
            cultural immersion, regional awareness, or foreign language
            training activities in connection with the exchange program.'';
            and
                (B) by adding at the end the following new paragraph:
        ``(4) Expenditures in support of the exchange program from funds
    appropriated for the Academy may not exceed $1,000,000 during any
    fiscal year.''.
        (b) United States Naval Academy.--
            (1) Number of participants in exchange program.--Subsection (b)
        of section 6957a of title 10, United States Code, is amended by
        striking ``24'' and inserting ``100''.
            (2) Costs and expenses.--Subsection (c) of such section is
        amended--
                (A) by striking ``for the Academy'' in paragraph (3) and
            all that follows in that paragraph and inserting ``for the
            Academy and such additional funds as may be available to the
            Academy from a source other than appropriated funds to support
            cultural immersion, regional awareness, or foreign language
            training activities in connection with the exchange program.'';
            and
                (B) by adding at the end the following new paragraph:
        ``(4) Expenditures in support of the exchange program from funds
    appropriated for the Naval Academy may not exceed $1,000,000 during any
    fiscal year.''.
        (c) United States Air Force Academy.--
            (1) Number of participants in exchange program.--Subsection (b)
        of section 9345 of title 10, United States Code, is amended by
        striking ``24'' and inserting ``100''.
            (2) Costs and expenses.--Subsection (c) of such section is
        amended--
                (A) by striking ``for the Academy'' in paragraph (3) and
            all that follows in that paragraph and inserting ``for the
            Academy and such additional funds as may be available to the
            Academy from a source other than appropriated funds to support
            cultural immersion, regional awareness, or foreign language
            training activities in connection with the exchange program.'';
            and
                (B) by adding at the end the following new paragraph:
        ``(4) Expenditures in support of the exchange program from funds
    appropriated for the Academy may not exceed $1,000,000 during any
    fiscal year.''.
        (d) Effective Dates.--The amendments made by subsection (a) shall
    take effect on the date of the enactment of this Act. The amendments
    made by subsections (b) and (c) shall take effect on October 1, 2008.
        SEC. 532. REVISION AND CLARIFICATION OF REQUIREMENTS WITH RESPECT
          TO SURVEYS AND REPORTS CONCERNING SEXUAL HARASSMENT AND SEXUAL
          VIOLENCE AT THE SERVICE ACADEMIES.
        (a) Codification and Revision to Existing Requirement for Service
    Academy Policy on Sexual Harassment and Sexual Violence.--
            (1) United states military academy.--Chapter 403 of title 10,
        United States Code, is amended by adding at the end the following
        new section:

    ``Sec. 4361. Policy on sexual harassment and sexual violence

        ``(a) Required Policy.--Under guidance prescribed by the Secretary
    of Defense, the Secretary of the Army shall direct the Superintendent
    of the Academy to prescribe a policy on sexual harassment and sexual
    violence applicable to the cadets and other personnel of the Academy.
        ``(b) Matters To Be Specified in Policy.--The policy on sexual
    harassment and sexual violence prescribed under this section shall
    include specification of the following:
            ``(1) Programs to promote awareness of the incidence of rape,
        acquaintance rape, and other sexual offenses of a criminal nature
        that involve cadets or other Academy personnel.
            ``(2) Procedures that a cadet should follow in the case of an
        occurrence of sexual harassment or sexual violence, including--
                ``(A) if the cadet chooses to report an occurrence of
            sexual harassment or sexual violence, a specification of the
            person or persons to whom the alleged offense should be
            reported and the options for confidential reporting;
                ``(B) a specification of any other person whom the victim
            should contact; and
                ``(C) procedures on the preservation of evidence
            potentially necessary for proof of criminal sexual assault.
            ``(3) Procedures for disciplinary action in cases of alleged
        criminal sexual assault involving a cadet or other Academy
        personnel.
            ``(4) Any other sanction authorized to be imposed in a
        substantiated case of sexual harassment or sexual violence
        involving a cadet or other Academy personnel in rape, acquaintance
        rape, or any other criminal sexual offense, whether forcible or
        nonforcible.
            ``(5) Required training on the policy for all cadets and other
        Academy personnel, including the specific training required for
        personnel who process allegations of sexual harassment or sexual
        violence involving Academy personnel.
        ``(c) Annual Assessment.--(1) The Secretary of Defense, through the
    Secretary of the Army, shall direct the Superintendent to conduct at
    the Academy during each Academy program year an assessment, to be
    administered by the Department of Defense, to determine the
    effectiveness of the policies, training, and procedures of the Academy
    with respect to sexual harassment and sexual violence involving Academy
    personnel.
        ``(2) For the assessment at the Academy under paragraph (1) with
    respect to an Academy program year that begins in an odd-numbered
    calendar year, the Secretary of the Army shall conduct a survey, to be
    administered by the Department of Defense, of Academy personnel--
            ``(A) to measure--
                ``(i) the incidence, during that program year, of sexual
            harassment and sexual violence events, on or off the Academy
            reservation, that have been reported to officials of the
            Academy; and
                ``(ii) the incidence, during that program year, of sexual
            harassment and sexual violence events, on or off the Academy
            reservation, that have not been reported to officials of the
            Academy; and
            ``(B) to assess the perceptions of Academy personnel of--
                ``(i) the policies, training, and procedures on sexual
            harassment and sexual violence involving Academy personnel;
                ``(ii) the enforcement of such policies;
                ``(iii) the incidence of sexual harassment and sexual
            violence involving Academy personnel; and
                ``(iv) any other issues relating to sexual harassment and
            sexual violence involving Academy personnel.
        ``(d) Annual Report.--(1) The Secretary of the Army shall direct
    the Superintendent of the Academy to submit to the Secretary a report
    on sexual harassment and sexual violence involving cadets or other
    personnel at the Academy for each Academy program year.
        ``(2) Each report under paragraph (1) shall include, for the
    Academy program year covered by the report, the following:
            ``(A) The number of sexual assaults, rapes, and other sexual
        offenses involving cadets or other Academy personnel that have been
        reported to Academy officials during the program year and, of those
        reported cases, the number that have been substantiated.
            ``(B) The policies, procedures, and processes implemented by
        the Secretary of the Army and the leadership of the Academy in
        response to sexual harassment and sexual violence involving cadets
        or other Academy personnel during the program year.
            ``(C) A plan for the actions that are to be taken in the
        following Academy program year regarding prevention of and response
        to sexual harassment and sexual violence involving cadets or other
        Academy personnel.
        ``(3) Each report under paragraph (1) for an Academy program year
    that begins in an odd-numbered calendar year shall include the results
    of the survey conducted in that program year under subsection (c)(2).
        ``(4)(A) The Secretary of the Army shall transmit to the Secretary
    of Defense, and to the Board of Visitors of the Academy, each report
    received by the Secretary under this subsection, together with the
    Secretary's comments on the report.
        ``(B) The Secretary of Defense shall transmit each such report,
    together with the Secretary's comments on the report, to the Committee
    on Armed Services of the Senate and the Committee on Armed Services of
    the House of Representatives.''.
            (2) United states naval academy.--Chapter 603 of title 10,
        United States Code, is amended by adding at the end the following
        new section:

    ``Sec. 6980. Policy on sexual harassment and sexual violence

        ``(a) Required Policy.--Under guidance prescribed by the Secretary
    of Defense, the Secretary of the Navy shall direct the Superintendent
    of the Naval Academy to prescribe a policy on sexual harassment and
    sexual violence applicable to the midshipmen and other personnel of the
    Naval Academy.
        ``(b) Matters To Be Specified in Policy.--The policy on sexual
    harassment and sexual violence prescribed under this section shall
    include specification of the following:
            ``(1) Programs to promote awareness of the incidence of rape,
        acquaintance rape, and other sexual offenses of a criminal nature
        that involve midshipmen or other Academy personnel.
            ``(2) Procedures that a midshipman should follow in the case of
        an occurrence of sexual harassment or sexual violence, including--
                ``(A) if the midshipman chooses to report an occurrence of
            sexual harassment or sexual violence, a specification of the
            person or persons to whom the alleged offense should be
            reported and the options for confidential reporting;
                ``(B) a specification of any other person whom the victim
            should contact; and
                ``(C) procedures on the preservation of evidence
            potentially necessary for proof of criminal sexual assault.
            ``(3) Procedures for disciplinary action in cases of alleged
        criminal sexual assault involving a midshipman or other Academy
        personnel.
            ``(4) Any other sanction authorized to be imposed in a
        substantiated case of sexual harassment or sexual violence
        involving a midshipman or other Academy personnel in rape,
        acquaintance rape, or any other criminal sexual offense, whether
        forcible or nonforcible.
            ``(5) Required training on the policy for all midshipmen and
        other Academy personnel, including the specific training required
        for personnel who process allegations of sexual harassment or
        sexual violence involving Academy personnel.
        ``(c) Annual Assessment.--(1) The Secretary of Defense, through the
    Secretary of the Navy, shall direct the Superintendent to conduct at
    the Academy during each Academy program year an assessment, to be
    administered by the Department of Defense, to determine the
    effectiveness of the policies, training, and procedures of the Academy
    with respect to sexual harassment and sexual violence involving Academy
    personnel.
        ``(2) For the assessment at the Academy under paragraph (1) with
    respect to an Academy program year that begins in an odd-numbered
    calendar year, the Secretary of the Navy shall conduct a survey, to be
    administered by the Department of Defense, of Academy personnel--
            ``(A) to measure--
                ``(i) the incidence, during that program year, of sexual
            harassment and sexual violence events, on or off the Academy
            reservation, that have been reported to officials of the
            Academy; and
                ``(ii) the incidence, during that program year, of sexual
            harassment and sexual violence events, on or off the Academy
            reservation, that have not been reported to officials of the
            Academy; and
            ``(B) to assess the perceptions of Academy personnel of--
                ``(i) the policies, training, and procedures on sexual
            harassment and sexual violence involving Academy personnel;
                ``(ii) the enforcement of such policies;
                ``(iii) the incidence of sexual harassment and sexual
            violence involving Academy personnel; and
                ``(iv) any other issues relating to sexual harassment and
            sexual violence involving Academy personnel.
        ``(d) Annual Report.--(1) The Secretary of the Navy shall direct
    the Superintendent of the Naval Academy to submit to the Secretary a
    report on sexual harassment and sexual violence involving midshipmen or
    other personnel at the Academy for each Academy program year.
        ``(2) Each report under paragraph (1) shall include, for the
    Academy program year covered by the report, the following:
            ``(A) The number of sexual assaults, rapes, and other sexual
        offenses involving midshipmen or other Academy personnel that have
        been reported to Naval Academy officials during the program year
        and, of those reported cases, the number that have been
        substantiated.
            ``(B) The policies, procedures, and processes implemented by
        the Secretary of the Navy and the leadership of the Naval Academy
        in response to sexual harassment and sexual violence involving
        midshipmen or other Academy personnel during the program year.
            ``(C) A plan for the actions that are to be taken in the
        following Academy program year regarding prevention of and response
        to sexual harassment and sexual violence involving midshipmen or
        other Academy personnel.
        ``(3) Each report under paragraph (1) for an Academy program year
    that begins in an odd-numbered calendar year shall include the results
    of the survey conducted in that program year under subsection (c)(2).
        ``(4)(A) The Secretary of the Navy shall transmit to the Secretary
    of Defense, and to the Board of Visitors of the Naval Academy, each
    report received by the Secretary under this subsection, together with
    the Secretary's comments on the report.
        ``(B) The Secretary of Defense shall transmit each such report,
    together with the Secretary's comments on the report, to the Committee
    on Armed Services of the Senate and the Committee on Armed Services of
    the House of Representatives.''.
            (3) United states air force academy.--Chapter 903 of title 10,
        United States Code, is amended by adding at the end the following
        new section:

    ``Sec. 9361. Policy on sexual harassment and sexual violence

        ``(a) Required Policy.--Under guidance prescribed by the Secretary
    of Defense, the Secretary of the Air Force shall direct the
    Superintendent of the Academy to prescribe a policy on sexual
    harassment and sexual violence applicable to the cadets and other
    personnel of the Academy.
        ``(b) Matters to Be Specified in Policy.--The policy on sexual
    harassment and sexual violence prescribed under this section shall
    include specification of the following:
            ``(1) Programs to promote awareness of the incidence of rape,
        acquaintance rape, and other sexual offenses of a criminal nature
        that involve cadets or other Academy personnel.
            ``(2) Procedures that a cadet should follow in the case of an
        occurrence of sexual harassment or sexual violence, including--
                ``(A) if the cadet chooses to report an occurrence of
            sexual harassment or sexual violence, a specification of the
            person or persons to whom the alleged offense should be
            reported and the options for confidential reporting;
                ``(B) a specification of any other person whom the victim
            should contact; and
                ``(C) procedures on the preservation of evidence
            potentially necessary for proof of criminal sexual assault.
            ``(3) Procedures for disciplinary action in cases of alleged
        criminal sexual assault involving a cadet or other Academy
        personnel.
            ``(4) Any other sanction authorized to be imposed in a
        substantiated case of sexual harassment or sexual violence
        involving a cadet or other Academy personnel in rape, acquaintance
        rape, or any other criminal sexual offense, whether forcible or
        nonforcible.
            ``(5) Required training on the policy for all cadets and other
        Academy personnel, including the specific training required for
        personnel who process allegations of sexual harassment or sexual
        violence involving Academy personnel.
        ``(c) Annual Assessment.--(1) The Secretary of Defense, through the
    Secretary of the Air Force, shall direct the Superintendent to conduct
    at the Academy during each Academy program year an assessment, to be
    administered by the Department of Defense, to determine the
    effectiveness of the policies, training, and procedures of the Academy
    with respect to sexual harassment and sexual violence involving Academy
    personnel.
        ``(2) For the assessment at the Academy under paragraph (1) with
    respect to an Academy program year that begins in an odd-numbered
    calendar year, the Secretary of the Air Force shall conduct a survey,
    to be administered by the Department of Defense, of Academy personnel--
            ``(A) to measure--
                ``(i) the incidence, during that program year, of sexual
            harassment and sexual violence events, on or off the Academy
            reservation, that have been reported to officials of the
            Academy; and
                ``(ii) the incidence, during that program year, of sexual
            harassment and sexual violence events, on or off the Academy
            reservation, that have not been reported to officials of the
            Academy; and
            ``(B) to assess the perceptions of Academy personnel of--
                ``(i) the policies, training, and procedures on sexual
            harassment and sexual violence involving Academy personnel;
                ``(ii) the enforcement of such policies;
                ``(iii) the incidence of sexual harassment and sexual
            violence involving Academy personnel; and
                ``(iv) any other issues relating to sexual harassment and
            sexual violence involving Academy personnel.
        ``(d) Annual Report.--(1) The Secretary of the Air Force shall
    direct the Superintendent of the Academy to submit to the Secretary a
    report on sexual harassment and sexual violence involving cadets or
    other personnel at the Academy for each Academy program year.
        ``(2) Each report under paragraph (1) shall include, for the
    Academy program year covered by the report, the following:
            ``(A) The number of sexual assaults, rapes, and other sexual
        offenses involving cadets or other Academy personnel that have been
        reported to Academy officials during the program year and, of those
        reported cases, the number that have been substantiated.
            ``(B) The policies, procedures, and processes implemented by
        the Secretary of the Air Force and the leadership of the Academy in
        response to sexual harassment and sexual violence involving cadets
        or other Academy personnel during the program year.
            ``(C) A plan for the actions that are to be taken in the
        following Academy program year regarding prevention of and response
        to sexual harassment and sexual violence involving cadets or other
        Academy personnel.
        ``(3) Each report under paragraph (1) for an Academy program year
    that begins in an odd-numbered calendar year shall include the results
    of the survey conducted in that program year under subsection (c)(2).
        ``(4)(A) The Secretary of the Air Force shall transmit to the
    Secretary of Defense, and to the Board of Visitors of the Academy, each
    report received by the Secretary under this subsection, together with
    the Secretary's comments on the report.
        ``(B) The Secretary of Defense shall transmit each such report,
    together with the Secretary's comments on the report, to the Committee
    on Armed Services of the Senate and the Committee on Armed Services of
    the House of Representatives.''.
        (b) Further Information From Cadets and Midshipmen at the Service
    Academies on Sexual Assault and Sexual Harassment Issues.--
            (1) Use of focus groups for years when survey not required.--In
        any year in which the Secretary of a military department is not
        required by law to conduct a survey at the service academy under
        the Secretary's jurisdiction on matters relating to sexual assault
        and sexual harassment issues at that Academy, the Secretary shall
        provide for focus groups to be conducted at that Academy for the
        purposes of ascertaining information relating to sexual assault and
        sexual harassment issues at that Academy.
            (2) Inclusion in report.--Information ascertained from a focus
        group conducted pursuant to paragraph (1) shall be included in the
        Secretary's annual report to Congress on sexual harassment and
        sexual violence at the service academies.
            (3) Service academies.--For purposes of this subsection, the
        term ``service academy'' means the following:
                (A) The United States Military Academy.
                (B) The United States Naval Academy.
                (C) The United States Air Force Academy.
        (c) Repeal of Prior Law.--Section 527 of the National Defense
    Authorization Act for Fiscal Year 2004 (Public Law 108-136; 117 Stat.
    1469; 10 U.S.C. 4331 note) is repealed.
        (d) Clerical Amendments.--
            (1) The table of sections at the beginning of chapter 403 of
        title 10, United States Code, is amended by adding at the end the
        following new item:

    ``4361.  Policy on sexual harassment and sexual violence.''.

            (2) The table of sections at the beginning of chapter 603 of
        such title is amended by adding at the end the following new item:

    ``6980.  Policy on sexual harassment and sexual violence.''.

            (3) The table of sections at the beginning of chapter 903 of
        such title is amended by adding at the end the following new item:

    ``9361.  Policy on sexual harassment and sexual violence.''.
        SEC. 533. DEPARTMENT OF DEFENSE POLICY ON SERVICE ACADEMY AND ROTC
          GRADUATES SEEKING TO PARTICIPATE IN PROFESSIONAL SPORTS BEFORE
          COMPLETION OF THEIR ACTIVE-DUTY SERVICE OBLIGATIONS.
        (a) Policy Required.--
            (1) In general.--Not later than July 1, 2007, the Secretary of
        Defense shall prescribe the policy of the Department of Defense
        on--
                (A) whether to authorize graduates of the service academies
            and the Reserve Officers' Training Corps to participate in
            professional sports before the completion of their obligations
            for service on active duty as commissioned officers; and
                (B) if so, the obligations for service on active duty as
            commissioned officers of such graduates who participate in
            professional sports before the satisfaction of the obligations
            referred to in subparagraph (A).
            (2) Review of current policies.--In prescribing the policy, the
        Secretary shall review current policies, practices, and regulations
        of the military departments on the obligations for service on
        active duty as commissioned officers of graduates of the service
        academies and the Reserve Officers' Training Corps, including
        policies on authorized leaves of absence and policies under excess
        leave programs.
            (3) Considerations.--In prescribing the policy, the Secretary
        shall take into account the following:
                (A) The compatibility of participation in professional
            sports (including training for professional sports) with
            service on active duty in the Armed Forces or as a member of a
            reserve component of the Armed Forces.
                (B) The benefits for the Armed Forces of waiving
            obligations for service on active duty for cadets, midshipmen,
            and commissioned officers in order to permit such individuals
            to participate in professional sports.
                (C) The manner in which the military departments have
            resolved issues relating to the participation of personnel in
            professional sports, including the extent of and any reasons
            for, differences in the resolution of such issues by such
            departments.
                (D) The recoupment of the costs of education provided by
            the service academies or under the Reserve Officers' Training
            Corps program if graduates of the service academies or the
            Reserve Officers' Training Corps, as the case may be, do not
            complete the period of obligated service to which they have
            agreed by reason of participation in professional sports.
                (E) Any other matters that the Secretary considers
            appropriate.
        (b) Elements of Policy.--The policy prescribed under subsection (a)
    shall address the following matters:
            (1) The eligibility of graduates of the service academies and
        the Reserve Officers' Training Corps for a reduction in the
        obligated length of service on active duty as a commissioned
        officer otherwise required of such graduates on the basis of their
        participation in professional sports.
            (2) Criteria for the treatment of an individual as a
        participant or potential participant in professional sports.
            (3) The effect on obligations for service on active duty as a
        commissioned officer of any unsatisfied obligations under prior
        enlistment contracts or other forms of advanced education
        assistance.
            (4) Any authorized variations in the policy that are warranted
        by the distinctive requirements of a particular Armed Force.
            (5) The eligibility of individuals for medical discharge or
        disability benefits as a result of injuries incurred while
        participating in professional sports.
            (6) A prospective effective date for the policy and for the
        application of the policy to individuals serving on such effective
        date as a commissioned officer, cadet, or midshipman.
        (c) Application of Policy to Armed Forces.--Not later than December
    1, 2007, the Secretary of each military department shall prescribe
    regulations, or modify current regulations, in order to implement the
    policy prescribed by the Secretary of Defense under subsection (a) with
    respect to the Armed Forces under the jurisdiction of such Secretary.

             PART II--SCHOLARSHIP AND FINANCIAL ASSISTANCE PROGRAMS

        SEC. 535. AUTHORITY TO PERMIT MEMBERS WHO PARTICIPATE IN THE
          GUARANTEED RESERVE FORCES DUTY SCHOLARSHIP PROGRAM TO PARTICIPATE
          IN THE HEALTH PROFESSIONS SCHOLARSHIP PROGRAM AND SERVE ON ACTIVE
          DUTY.
        Paragraph (3) of section 2107a(b) of title 10, United States Code,
    is amended--
            (1) by inserting ``or a cadet or former cadet under this
        section who signs an agreement under section 2122 of this title,''
        after ``military junior college,''; and
            (2) by inserting ``, or former cadet,'' after ``consent of the
        cadet'' and after ``submitted by the cadet''.
        SEC. 536. DETAIL OF COMMISSIONED OFFICERS AS STUDENTS AT MEDICAL
          SCHOOLS.
        (a) In General.--Chapter 101 of title 10, United States Code, is
    amended by inserting after section 2004 the following new section:

    ``Sec. 2004a. Detail of commissioned officers as students at medical
                schools

        ``(a) Detail Authorized.--The Secretary of each military department
    may detail commissioned officers of the armed forces as students at
    accredited medical schools or schools of osteopathy located in the
    United States for a period of training leading to the degree of doctor
    of medicine. No more than 25 officers from each military department may
    commence such training in any single fiscal year.
        ``(b) Eligibility for Detail.--To be eligible for detail under
    subsection (a), an officer must be a citizen of the United States and
    must--
            ``(1) have served on active duty for a period of not less than
        two years nor more than six years and be in the pay grade 0-3 or
        below as of the time the training is to begin; and
            ``(2) sign an agreement that unless sooner separated the
        officer will--
                ``(A) complete the educational course of medical training;
                ``(B) accept transfer or detail as a medical officer within
            the military department concerned when the officer's training
            is completed; and
                ``(C) agree to serve, following completion of the officer's
            training, on active duty (or on active duty and in the Selected
            Reserve) for a period as specified pursuant to subsection (c).
        ``(c) Service Obligation.--An agreement under subsection (c) shall
    provide that the officer shall serve on active duty for two years for
    each year or part thereof of the officer's medical training under
    subsection (a), except that the agreement may authorize the officer to
    serve a portion of the officer's service obligation on active duty and
    to complete the service obligation that remains upon separation from
    active duty in the Selected Reserve, in which case the officer shall
    serve three years in the Selected Reserve for each year or part thereof
    of the officer's medical training under subsection (a) for any service
    obligation that was not completed before separation from active duty.
        ``(d) Selection of Officers for Detail.--Officers detailed for
    medical training under subsection (a) shall be selected on a
    competitive basis by the Secretary of the military department
    concerned.
        ``(e) Relation of Service Obligations to Other Service
    Obligations.--Any service obligation incurred by an officer under an
    agreement entered into under subsection (b) shall be in addition to any
    service obligation incurred by the officer under any other provision of
    law or agreement.
        ``(f) Expenses.--Expenses incident to the detail of officers under
    this section shall be paid from any funds appropriated for the military
    department concerned.
        ``(g) Failure to Complete Program.--(1) An officer who is dropped
    from a program of medical training to which detailed under subsection
    (a) for deficiency in conduct or studies, or for other reasons, may be
    required to perform active duty in an appropriate military capacity in
    accordance with the active duty obligation imposed on the officer under
    regulations issued by the Secretary of Defense for purposes of this
    section.
        ``(2) In no case shall an officer be required to serve on active
    duty under paragraph (1) for any period in excess of one year for each
    year or part thereof the officer participated in the program.
        ``(h) Limitation on Details.--No agreement detailing an officer of
    the armed forces to an accredited medical school or school of
    osteopathy may be entered into during any period in which the President
    is authorized by law to induct persons into the armed forces
    involuntarily. Nothing in this subsection shall affect any agreement
    entered into during any period when the President is not authorized by
    law to so induct persons into the armed forces''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by inserting after the item relating to section
    2004 the following new item:

    ``2004a. Detail of commissioned officers as students at medical
              schools.''.
        SEC. 537. INCREASE IN MAXIMUM AMOUNT OF REPAYMENT UNDER EDUCATION
          LOAN REPAYMENT FOR OFFICERS IN SPECIFIED HEALTH PROFESSIONS.
        (a) Increase in Maximum Amount.--Section 2173(e)(2) of title 10,
    United States Code, is amended by striking ``$22,000'' and inserting
    ``$60,000''.
        (b) Effective Date.--
            (1) In general.--The amendment made by subsection (a) shall
        take effect on October 1, 2006, and shall apply to agreements
        entered into or revised under section 2173 of title 10, United
        States Code, on or after that date.
            (2) Prohibition on adjustment.--The adjustment required by the
        second sentence of section 2173(e)(2) of title 10, United States
        Code, to be made on October 1, 2006, shall not be made.
        SEC. 538. HEALTH PROFESSIONS SCHOLARSHIP AND FINANCIAL ASSISTANCE
          PROGRAM FOR ACTIVE SERVICE.
        (a) Maximum Stipend Amount.--Section 2121(d) of title 10, United
    States Code, is amended--
            (1) by striking ``at the rate of $579 per month'' and inserting
        ``at a monthly rate established by the Secretary of Defense, but
        not to exceed a total of $30,000 per year''; and
            (2) by striking ``That rate'' and inserting ``The maximum
        annual amount of the stipend''.
        (b) Maximum Annual Grant.--Section 2127(e) of such title is
    amended--
            (1) by striking ``$15,000'' and inserting ``in an amount not to
        exceed $45,000''; and
            (2) by striking ``The amount'' and inserting ``The maximum
        amount''.
        (c) Report on Program.--Not later than March 1, 2007, the Secretary
    of Defense shall submit to the Congress a report on the Health
    Professions Scholarship and Financial Assistance Program for Active
    Service under subchapter I of chapter 105 of title 10, United States
    Code. The report shall include the following:
            (1) An assessment of the success of each military department in
        achieving its recruiting goals under the program during each of
        fiscal years 2000 through 2006.
            (2) If any military department failed to achieve its recruiting
        goals under the program during any fiscal year covered by paragraph
        (1), an explanation of the failure of the military department to
        achieve such goal during such fiscal year.
            (3) An assessment of the adequacy of the stipend authorized by
        section 2121(d) of title 10, United States Code, in meeting the
        objectives of the program.
            (4) Such recommendations for legislative or administrative
        action as the Secretary considers appropriate to enhance the
        effectiveness of the program in meeting the annual recruiting goals
        of the military departments for medical personnel covered by the
        program.
        (d) Effective Date.--
            (1) In general.--The amendments made by this section shall take
        effect on October 1, 2006.
            (2) Prohibition on adjustments.--The adjustments required by
        the second sentence of subsection (d) of section 2121 of title 10,
        United States Code, and the second sentence of subsection (e) of
        section 2127 of such title to be made in 2007 shall not be made.

                         PART III--JUNIOR ROTC PROGRAM

        SEC. 539. JUNIOR RESERVE OFFICERS' TRAINING CORPS INSTRUCTOR
          QUALIFICATIONS.
        (a) In General.--Chapter 102 of title 10, United States Code, is
    amended by adding at the end the following new section:

    ``Sec. 2033. Instructor qualifications

        ``(a) In General.--In order for a retired officer or
    noncommissioned officer to be employed as an instructor in the program,
    the officer must be certified by the Secretary of the military
    department concerned as a qualified instructor in leadership, wellness
    and fitness, civics, and other courses related to the content of the
    program, according to the qualifications set forth in subsection (b)(2)
    or (c)(2), as appropriate.
        ``(b) Senior Military Instructors.--
            ``(1) Role.--Senior military instructors shall be retired
        officers of the armed forces and shall serve as instructional
        leaders who oversee the program.
            ``(2) Qualifications.--A senior military instructor shall have
        the following qualifications:
                ``(A) Professional military qualification, as determined by
            the Secretary of the military department concerned.
                ``(B) Award of a baccalaureate degree from an institution
            of higher learning.
                ``(C) Completion of secondary education teaching
            certification requirements for the program as established by
            the Secretary of the military department concerned.
                ``(D) Award of an advanced certification by the Secretary
            of the military department concerned in core content areas
            based on--
                    ``(i) accumulated points for professional activities,
                services to the profession, awards, and recognitions;
                    ``(ii) professional development to meet content
                knowledge and instructional skills; and
                    ``(iii) performance evaluation of competencies and
                standards within the program through site visits and
                inspections.
        ``(c) Non-Senior Military Instructors.--
            ``(1) Role.--Non-senior military instructors shall be retired
        noncommissioned officers of the armed forces and shall serve as
        instructional leaders and teach independently of, but share program
        responsibilities with, senior military instructors.
            ``(2) Qualifications.--A non-senior military instructor shall
        demonstrate a depth of experience, proficiency, and expertise in
        coaching, mentoring, and practical arts in executing the program,
        and shall have the following qualifications:
                ``(A) Professional military qualification, as determined by
            the Secretary of the military department concerned.
                ``(B) Award of an associates degree from an institution of
            higher learning within five years of employment.
                ``(C) Completion of secondary education teaching
            certification requirements for the program as established by
            the Secretary of the military department concerned.
                ``(D) Award of an advanced certification by the Secretary
            of the military department concerned in core content areas
            based on--
                    ``(i) accumulated points for professional activities,
                services to the profession, awards, and recognitions;
                    ``(ii) professional development to meet content
                knowledge and instructional skills; and
                    ``(iii) performance evaluation of competencies and
                standards within the program through site visits and
                inspections.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding at the end the following new item:

    ``2033. Instructor qualifications.''.
        SEC. 540. EXPANSION OF MEMBERS ELIGIBLE TO BE EMPLOYED TO PROVIDE
          JUNIOR RESERVE OFFICERS' TRAINING CORPS INSTRUCTION.
        (a) Eligibility of ``Gray-Area'' Guard and Reserve Members.--
    Section 2031 of title 10, United States Code, is amended by adding at
    the end the following new subsection:
        ``(e) Instead of, or in addition to, detailing officers and
    noncommissioned officers on active duty under subsection (c)(1) and
    authorizing the employment of retired officers and noncommissioned
    officers who are in receipt of retired pay and members of the Fleet
    Reserve and Fleet Marine Corps Reserve under subsection (d), the
    Secretary of the military department concerned may authorize qualified
    institutions to employ as administrators and instructors in the program
    officers and noncommissioned officers who are under 60 years of age and
    who, but for age, would be eligible for retired pay for non-regular
    service under section 12731 of this title and whose qualifications are
    approved by the Secretary and the institution concerned and who request
    such employment, subject to the following:
            ``(1) The Secretary concerned shall pay to the institution an
        amount equal to one-half of the amount paid to the member by the
        institution for any period, up to a maximum of one-half of the
        difference between--
                ``(A) the retired or retainer pay for an active duty
            officer or noncommissioned officer of the same grade and years
            of service for such period; and
                ``(B) the active duty pay and allowances which the member
            would have received for that period if on active duty.
            ``(2) Notwithstanding the limitation in paragraph (1), the
        Secretary concerned may pay to the institution more than one-half
        of the amount paid to the member by the institution if (as
        determined by the Secretary)--
                ``(A) the institution is in an educationally and
            economically deprived area; and
                ``(B) the Secretary determines that such action is in the
            national interest.
            ``(3) Payments by the Secretary concerned under this subsection
        shall be made from funds appropriated for that purpose.
            ``(4) Amounts may be paid under this subsection with respect to
        a member after the member reaches the age of 60.
            ``(5) Notwithstanding any other provision of law, a member
        employed by a qualified institution pursuant to an authorization
        under this subsection is not, while so employed, considered to be
        on active duty or inactive duty training for any purpose.''.
        (b) Clarification of Status of Retired Members Providing
    Instruction.--Subsection (d) of such section is amended in the matter
    preceding paragraph (1) by inserting ``who are in receipt of retired
    pay'' after ``retired officers and noncommissioned officers''.
        SEC. 541. EXPANSION OF JUNIOR RESERVE OFFICERS' TRAINING CORPS
          PROGRAM.
        (a) In General.--The Secretaries of the military departments shall
    take appropriate actions to increase the number of secondary
    educational institutions at which a unit of the Junior Reserve
    Officers' Training Corps is organized under chapter 102 of title 10,
    United States Code.
        (b) Expansion Targets.--In increasing under subsection (a) the
    number of secondary educational institutions at which a unit of the
    Junior Reserve Officers' Training Corps is organized, the Secretaries
    of the military departments shall seek to organize units at an
    additional number of institutions as follows:
            (1) In the case of Army units, 15 institutions.
            (2) In the case of Navy units, 10 institutions.
            (3) In the case of Marine Corps units, 15 institutions.
            (4) In the case of Air Force units, 10 institutions.
        SEC. 542. REVIEW OF LEGAL STATUS OF JUNIOR ROTC PROGRAM.
        (a) Review.--The Secretary of Defense shall conduct a review of the
    1976 legal opinion issued by the General Counsel of the Department of
    Defense regarding instruction of non-host unit students participating
    in Junior Reserve Officers' Training Corps programs. The review shall
    consider whether changes to law after the issuance of that opinion
    allow in certain circumstances for the arrangement for assignment of
    instructors that provides for the travel of an instructor from one
    educational institution to another once during the regular school day
    for the purposes of the Junior Reserve Officers' Training Corps program
    as an authorized arrangement that enhances administrative efficiency in
    the management of the program. If the Secretary, as a result of the
    review, determines that such authority is not available, the Secretary
    should also consider whether such authority should be available and
    whether there should be authority to waive the restrictions under
    certain circumstances.
        (b) Report.--The Secretary shall submit to the Committee on Armed
    Services of the Senate and the Committee on Armed Services of the House
    of Representatives a report containing the results of the review not
    later than 180 days after the date of the enactment of this Act.
        (c) Interim Authority.--A current institution that has more than 70
    students and is providing support to another educational institutional
    with more than 70 students and has been providing for the assignment of
    instructors from one school to the other may continue to provide such
    support until 180 days following receipt of the report under subsection
    (b).

                 PART IV--OTHER EDUCATION AND TRAINING PROGRAMS

        SEC. 543. EXPANDED ELIGIBILITY FOR ENLISTED MEMBERS FOR INSTRUCTION
          AT NAVAL POSTGRADUATE SCHOOL.
        (a) Certificate Programs and Courses.--Subparagraph (C) of
    subsection (a)(2) of section 7045 of title 10, United States Code, is
    amended by striking ``Navy or Marine Corps'' and inserting ``armed
    forces''.
        (b) Graduate-Level Instruction.--Such subsection is further
    amended--
            (1) by redesignating subparagraph (D) as subparagraph (E); and
            (2) by inserting after subparagraph (C) the following new
        subparagraph (D):
        ``(D)(i) The Secretary may permit an eligible enlisted member of
    the armed forces to receive graduate-level instruction at the Naval
    Postgraduate School in a program leading to a master's degree in a
    technical, analytical, or engineering curriculum.
        ``(ii) To be eligible to be provided instruction under this
    subparagraph, the enlisted member must have been awarded a
    baccalaureate degree by an institution of higher education.
        ``(iii) Instruction under this subparagraph may be provided only on
    a space-available basis.
        ``(iv) An enlisted member who successfully completes a course of
    instruction under this subparagraph may be awarded a master's degree
    under section 7048 of this title.
        ``(v) Instruction under this subparagraph shall be provided
    pursuant to regulations prescribed by the Secretary. Such regulations
    may include criteria for eligibility of enlisted members for
    instruction under this subparagraph and specification of obligations
    for further service in the armed forces relating to receipt of such
    instruction.''.
        (c) Conforming Amendments.--Such section is further amended--
            (1) in subparagraph (E) of subsection (a)(2), as redesignated
        by subsection (b)(1), by striking ``and (C)'' and inserting ``(C),
        and (D)''; and
            (2) in subsection (b)(2), by striking ``(a)(2)(D)'' and
        inserting ``(a)(2)(E)''.
        (d) Deadline for Submission of Previously Required Report.--The
    report required by subsection (c) of section 526 of the National
    Defense Authorization Act for Fiscal Year 2006 (Public Law 109-163; 119
    Stat. 3246), relating to the rationale and plans of the Navy to provide
    enlisted members an opportunity to obtain graduate degrees, shall be
    submitted, in accordance with that subsection, not later than March 30,
    2007.
        (e) Repeal of Requirement for Report on Pilot Program.--
            (1) Repeal.--Subsection (d) of section 526 of the National
        Defense Authorization Act for Fiscal Year 2006 (Public Law 109-163;
        119 Stat. 3246) is repealed.
            (2) Conforming amendment.--Subsection (c)(2) of such section is
        amended by striking ``, particularly in the career fields under
        consideration for the pilot program referred to in subsection
        (d)''.
        (f) Report on Use of NPS and AFIT.--Not later than March 30, 2007,
    the Secretary of the Navy and the Secretary of the Air Force shall
    submit to the Committee on Armed Services of the Senate and the
    Committee on Armed Services of the House of Representatives a joint
    report on the manner by which each Secretary intends to use the Naval
    Postgraduate School and the Air Force Institute of Technology during
    fiscal years 2008 through 2013 to meet the overall requirements of the
    Navy and Marine Corps and of the Air Force for enlisted members with
    graduate degrees. The report shall include the following:
            (1) The numbers and occupational specialities of enlisted
        members that each Secretary plans to enroll as candidates for
        graduate degrees each year in each of the two schools.
            (2) A description of the graduate degrees that those enlisted
        members will pursue at those schools.
            (3) Other matters that the two Secretaries jointly consider to
        be useful for the committees to better understand the future role
        that the two schools will each have in meeting service requirements
        for enlisted members with graduate degrees.

                    Subtitle D--General Service Authorities

        SEC. 546. TEST OF UTILITY OF TEST PREPARATION GUIDES AND EDUCATION
          PROGRAMS IN ENHANCING RECRUIT CANDIDATE PERFORMANCE ON THE ARMED
          SERVICES VOCATIONAL APTITUDE BATTERY (ASVAB) AND ARMED FORCES
          QUALIFICATION TEST (AFQT).
        (a) Requirement for Test.--The Secretary of Defense shall conduct a
    test of the utility of commercially available test preparation guides
    and education programs designed to assist recruit candidates achieve
    scores on military recruit qualification testing that better reflect
    the full potential of those recruit candidates in terms of aptitude and
    mental category. The test shall be conducted through the Secretaries of
    the Army, Navy, and Air Force.
        (b) Assessment of Commercially Available Guides and Programs.--The
    test shall assess commercially available test preparation guides and
    education programs designed to enhance test performance. The test
    preparation guides assessed shall test both written formats and self-
    paced computer-assisted programs. Education programs assessed may test
    both self-study textbook and computer-assisted courses and instructor-
    led courses.
        (c) Objectives.--The objectives of the test are to determine the
    following:
            (1) The degree to which test preparation assistance degrades
        test reliability and accuracy.
            (2) The degree to which test preparation assistance allows more
        accurate testing of skill aptitudes and mental capability.
            (3) The degree to which test preparation assistance allows
        individuals to achieve higher scores without sacrificing
        reliability and accuracy.
            (4) What role is recommended for test preparation assistance in
        military recruiting.
        (d) Control Group.--As part of the test, the Secretary shall
    identify a population of recruit candidates who will not receive test
    preparation assistance and will serve as a control group for the test.
    Data from recruit candidates participating in the test and data from
    recruit candidates in the control group shall be compared in terms of
    both (1) test performance, and (2) subsequent duty performance in
    training and unit settings following entry on active duty.
        (e) Number of Participants.--The Secretary shall provide test
    preparation assistance to a minimum of 2,000 recruit candidates and
    shall identify an equal number to be established as the control group
    population.
        (f) Duration of Test.--The Secretary shall begin the test not later
    than nine months after the date of the enactment of this Act. The test
    shall identify participants over a one-year period from the start of
    the test and shall assess duty performance for each participant for 18
    months following entry on active duty. The last participant shall be
    identified, but other participants may not be identified.
        (g) Report on Findings.--Not later than six months after completion
    of the duty performance assessment of the last identified participant
    in the test, the Secretary of Defense shall submit to the Committee on
    Armed Services of the Senate and the Committee on Armed Services of the
    House of Representatives a report providing the findings of the
    Secretary with respect to each of the objectives specified in
    subsection (c) and the Secretary's recommendations.
        SEC. 547. CLARIFICATION OF NONDISCLOSURE REQUIREMENTS APPLICABLE TO
          CERTAIN SELECTION BOARD PROCEEDINGS.
        (a) Active-Duty Selection Board Proceedings.--
            (1) Extension to all active-duty boards.--Chapter 36 of title
        10, United States Code, is amended by inserting after section 613
        the following new section:

    ``Sec. 613a. Nondisclosure of board proceedings

        ``(a) Nondisclosure.--The proceedings of a selection board convened
    under section 611 this title may not be disclosed to any person not a
    member of the board.
        ``(b) Prohibited Uses of Board Discussions, Deliberations, and
    Records.--The discussions and deliberations of a selection board
    described in subsection (a) and any written or documentary record of
    such discussions and deliberations--
            ``(1) are immune from legal process;
            ``(2) may not be admitted as evidence; and
            ``(3) may not be used for any purpose in any action, suit, or
        judicial or administrative proceeding without the consent of the
        Secretary of the military department concerned.''.
            (2) Conforming amendment.--Section 618 of such title is amended
        by striking subsection (f).
        (b) Reserve Selection Board Proceedings.--Section 14104 of such
    title is amended to read as follows:

    ``Sec. 14104. Nondisclosure of board proceedings

        ``(a) Nondisclosure.--The proceedings of a selection board convened
    under section 14101 of this title may not be disclosed to any person
    not a member of the board.
        ``(b) Prohibited Uses of Board Discussions, Deliberations, and
    Records.--The discussions and deliberations of a selection board
    described in subsection (a) and any written or documentary record of
    such discussions and deliberations--
            ``(1) are immune from legal process;
            ``(2) may not be admitted as evidence; and
            ``(3) may not be used for any purpose in any action, suit, or
        judicial or administrative proceeding without the consent of the
        Secretary of the military department concerned.''.
        (c) Applicability.--Section 613a of title 10, United States Code,
    as added by subsection (a), shall apply with respect to the proceedings
    of all selection boards convened under section 611 of that title,
    including selection boards convened before the date of the enactment of
    this Act. Section 14104 of such title, as amended by subsection (b),
    shall apply with respect to the proceedings of all selection boards
    convened under section 14101 of that title, including selection boards
    convened before the date of the enactment of this Act.
        (d) Clerical Amendments.--
            (1) The table of sections at the beginning of subchapter I of
        chapter 36 of title 10, United States Code, is amended by inserting
        after the item relating to section 613 the following new item:

    ``613a. Nondisclosure of board proceedings.''.

            (2) The item relating to section 14104 in the table of sections
        at the beginning of chapter 1403 of such title is amended to read
        as follows:

    ``14104. Nondisclosure of board proceedings.''.
        SEC. 548. REPORT ON EXTENT OF PROVISION OF TIMELY NOTICE OF LONG-
          TERM DEPLOYMENTS.
        Not later than March 1, 2007, the Secretary of Defense shall submit
    to the Committee on Armed Services of the Senate and the Committee on
    Armed Services of the House of Representatives a report on the number
    of members of the Armed Forces (shown by service and within each
    service by reserve component and active component) who, during the
    period beginning on January 1, 2005, and ending on the date of the
    enactment of this Act, have not received at least 30 days notice (in
    the form of an official order) before a deployment that will last 180
    days or more. With respect to members of the reserve components, the
    report shall describe the degree of compliance (or noncompliance) with
    Department of Defense policy concerning the amount of notice to be
    provided before long-term mobilizations or deployments.

                      Subtitle E--Military Justice Matters

        SEC. 551. APPLICABILITY OF UNIFORM CODE OF MILITARY JUSTICE TO
          MEMBERS OF THE ARMED FORCES ORDERED TO DUTY OVERSEAS IN INACTIVE
          DUTY FOR TRAINING STATUS.
        Not later than March 1, 2007, the Secretaries of the military
    departments shall prescribe regulations, or amend current regulations,
    in order to provide that members of the Armed Forces who are ordered to
    duty at locations overseas in an inactive duty for training status are
    subject to the jurisdiction of the Uniform Code of Military Justice,
    pursuant to the provisions of section 802(a)(3) of title 10, United
    States Code (article 2(a)(3) of the Uniform Code of Military Justice),
    continuously from the commencement of execution of such orders to the
    conclusion of such orders.
        SEC. 552. CLARIFICATION OF APPLICATION OF UNIFORM CODE OF MILITARY
          JUSTICE DURING A TIME OF WAR.
        Paragraph (10) of section 802(a) of title 10, United States Code
    (article 2(a) of the Uniform Code of Military Justice), is amended by
    striking ``war'' and inserting ``declared war or a contingency
    operation''.

                       Subtitle F--Decorations and Awards

        SEC. 555. AUTHORITY FOR PRESENTATION OF MEDAL OF HONOR FLAG TO
          LIVING MEDAL OF HONOR RECIPIENTS AND TO LIVING PRIMARY NEXT-OF-
          KIN OF DECEASED MEDAL OF HONOR RECIPIENTS.
        (a) Future Presentations.--Sections 3755, 6257, and 8755 of title
    10, United States Code, and section 505 of title 14, United States
    Code, are each amended--
            (1) by striking ``after October 23, 2002''; and
            (2) by adding at the end the following new sentence: ``In the
        case of a posthumous presentation of the medal, the flag shall be
        presented to the person to whom the medal is presented.''.
        (b) Presentation of Flag for Prior Recipients of Medal of Honor.--
            (1) Living recipients.--The President shall provide for the
        presentation of the Medal of Honor Flag as expeditiously as
        possible after the date of the enactment of this Act to each living
        recipient of the Medal of Honor who has not already received a
        Medal of Honor Flag.
            (2) Survivors of deceased recipients.--In the case of
        presentation of the Medal of Honor Flag for a recipient of the
        Medal of Honor who was awarded the Medal of Honor before the date
        of the enactment of this Act and who is deceased as of such date
        (or who dies after such date and before the presentation required
        by paragraph (1)), the President shall provide for posthumous
        presentation of the Medal of Honor Flag, upon written application
        therefor, to the primary living next of kin, as determined under
        regulations or procedures prescribed by the Secretary of Defense
        for the purposes of this paragraph (and notwithstanding the
        amendments made by paragraph (2) of subsection (a)).
            (3) Medal of honor flag.--In this subsection, the term ``Medal
        of Honor Flag'' means the flag designated under section 903 of
        title 36, United States Code.
        SEC. 556. REVIEW OF ELIGIBILITY OF PRISONERS OF WAR FOR AWARD OF
          THE PURPLE HEART.
        (a) Report.--Not later than March 1, 2007, the President shall
    transmit to the Committees on Armed Services of the Senate and House of
    Representatives a report on the advisability of modifying the criteria
    for the award of the Purple Heart to authorize the award of the Purple
    Heart--
            (1) to a member of the Armed Forces who dies in captivity as a
        prisoner of war under unknown circumstances or as a result of
        conditions and treatment that, under criteria for eligibility for
        the Purple Heart as in effect on the date of the enactment of this
        Act, do not qualify the decedent for award of the Purple Heart; and
            (2) to an individual who while a member of the Armed Forces
        survives captivity as a prisoner of war, but who dies thereafter as
        a result of disease or disability, or a result of disease and
        condition and treatment, incurred during such captivity.
        (b) Determination.--As part of the review undertaken in order to
    prepare the report required by subsection (a), the President shall make
    a determination on the advisability of expanding eligibility for the
    award of the Purple Heart to deceased servicemembers held as a prisoner
    of war after December 7, 1941, who meet the criteria for eligibility
    for the prisoner-of-war medal under section 1128 of title 10, United
    States Code (including the criterion under subsection (e) of that
    section with respect to honorable conduct), but who do not meet the
    criteria for eligibility for the Purple Heart.
        (c) Requirements.--In making the determination required by
    subsection (b), the President shall take into consideration the
    following:
            (1) The brutal treatment endured by thousands of prisoners of
        war incarcerated by enemy forces.
            (2) The circumstance that many servicemembers held as prisoners
        of war died during captivity due to causes that do not meet the
        criteria for eligibility for award of the Purple Heart, including
        starvation, abuse, the deliberate withholding of medical treatment
        for injury or disease, or other causes.
            (3) The circumstance that some members of the Armed Forces died
        in captivity under circumstances establishing eligibility for the
        prisoner-of-war medal but under circumstances not otherwise
        establishing eligibility for the Purple Heart.
            (4) The circumstance that some members and former members of
        the Armed Forces who were held as prisoners of war and following
        captivity were issued the prisoner-of-war medal subsequently died
        due to a disease or disability that was incurred during that
        captivity, without otherwise having been awarded the Purple Heart
        due to the injury or conditions resulting in that disease or
        disability or otherwise having been awarded the Purple Heart for
        injury incurring during captivity.
            (5) The views of veterans service organizations, including the
        Military Order of the Purple Heart.
            (6) The importance that has been assigned to determining all
        available facts before a decision is made to award the Purple
        Heart.
            (7) The views of the Secretary of Defense and the Chairman of
        the Joint Chiefs of Staff.
        SEC. 557. REPORT ON DEPARTMENT OF DEFENSE PROCESS FOR AWARDING
          DECORATIONS.
        (a) Review.--The Secretary of Defense shall conduct a review of the
    policy, procedures, and processes of the military departments for
    awarding decorations to members of the Armed Forces.
        (b) Time Periods.--As part of the review under subsection (a), the
    Secretary shall compare the time frames of the awards process between
    active duty and reserve components--
            (1) from the time a recommendation for the award of a
        decoration is submitted until the time the award of the decoration
        is approved; and
            (2) from the time the award of a decoration is approved until
        the time when the decoration is presented to the recipient.
        (c) Reserve Components.--If the Secretary, in conducting the review
    under subsection (a), finds that the timeliness of the awards process
    for members of the reserve components is not the same as, or similar
    to, that for members of the active components, the Secretary shall take
    appropriate steps to address the discrepancy.
        (d) Report.--Not later than August 1, 2007, the Secretary shall
    submit to the Committee on Armed Services of the Senate and the
    Committee on Armed Services of the House of Representatives a report
    containing the Secretary's findings as a result of the review under
    subsection (a), together with a plan for implementing whatever changes
    are determined to be appropriate to the process for awarding
    decorations in order to ensure that decorations are awarded in a timely
    manner, to the extent practicable.

                   Subtitle G--Matters Relating to Casualties

        SEC. 561. AUTHORITY FOR RETENTION AFTER SEPARATION FROM SERVICE OF
          ASSISTIVE TECHNOLOGY AND DEVICES PROVIDED WHILE ON ACTIVE DUTY.
        (a) In General.--Chapter 58 of title 10, United States Code, is
    amended by inserting after section 1150 the following new section:

    ``Sec. 1151. Retention of assistive technology and services provided
                before separation

        ``(a) Authority.--A member of the armed forces who is provided an
    assistive technology or assistive technology device for a severe or
    debilitating illness or injury incurred or aggravated by such member
    while on active duty may, under regulations prescribed by the Secretary
    of Defense, be authorized to retain such assistive technology or
    assistive technology device upon the separation of the member from
    active service.
        ``(b) Definitions.--In this section, the terms `assistive
    technology' and `assistive technology device' have the meaning given
    those terms in section 3 of the Assistive Technology Act of 1998 (29
    U.S.C. 3002).''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by inserting after the item relating to section
    1150 the following new item:

    ``1151. Retention of assistive technology and services provided before
              separation.''.
        SEC. 562. TRANSPORTATION OF REMAINS OF CASUALTIES DYING IN A
          THEATER OF COMBAT OPERATIONS.
        (a) Required Transportation.--In the case of a member of the Armed
    Forces who dies in a combat theater of operations and whose remains are
    returned to the United States through the mortuary facility at Dover
    Air Force Base, Delaware, the Secretary concerned, under regulations
    prescribed by the Secretary of Defense, shall provide transportation of
    the remains of that member from Dover Air Force Base to the applicable
    escorted remains destination in accordance with section 1482(a)(8) of
    title 10, United States Code, and this section.
        (b) Escorted Remains Destination.--In this section, the term
    ``escorted remains destination'' means the place to which remains are
    authorized to be transported under section 1482(a)(8) of title 10,
    United States Code.
        (c) Air Transportation From Dover AFB.--
            (1) Military transportation.--If transportation of remains
        under subsection (a) includes transportation by air, such
        transportation (except as provided under paragraph (2)) shall be
        made by military aircraft or military-contracted aircraft.
            (2) Alternative transportation by aircraft.--The provisions of
        paragraph (1) shall not be applicable to the transportation of
        remains by air to the extent that the person designated to direct
        disposition of the remains directs otherwise.
            (3) Primary mission.--When remains are transported by military
        aircraft or military-contracted aircraft under this section, the
        primary mission of the aircraft providing that transportation shall
        be the transportation of such remains. However, more than one set
        of remains may be transported on the same flight.
        (d) Escort.--
            (1) In general.--Except as provided in paragraph (2), the
        Secretary concerned shall ensure that remains transported under
        this section are continuously escorted from Dover Air Force Base to
        the applicable escorted remains destination by a member of the
        Armed Forces in an appropriate grade, as determined by the
        Secretary.
            (2) Other escort.--If a specific military escort is requested
        by the person designated to direct disposition of such remains and
        the Secretary approves that request, then the Secretary is not
        required to provide an additional military escort under paragraph
        (1).
        (e) Honor Guard Detail.--
            (1) Provision of detail.--Except in a case in which the person
        designated to direct disposition of remains requests that no
        military honor guard be present, the Secretary concerned shall
        ensure that an honor guard detail is provided in each case of the
        transportation of remains under this section. The honor guard
        detail shall be in addition to the escort provided for the
        transportation of remains under section (d).
            (2) Composition.--An honor guard detail provided under this
        section shall consist of sufficient members of the Armed Forces to
        perform the duties specified in paragraph (3). The members of the
        honor guard detail shall be in uniform.
            (3) Duties.--Except to the extent that the person designated to
        direct disposition of remains requests that any of the following
        functions not be performed, an honor guard detail under this
        section--
                (A) shall--
                    (i) travel with the remains during transportation; or
                    (ii) meet the remains at the place to which
                transportation by air (or by rail or motor vehicle, if
                applicable) is made for the transfer of the remains;
                (B) shall provide appropriate honors at the arrival of the
            remains referred to in subparagraph (A)(ii) (unless airline or
            other security requirements do not permit such honors to be
            provided); and
                (C) shall participate in the transfer of the remains from
            an aircraft, when airport and airline security requirements
            permit, by carrying out the remains with a flag draped over the
            casket to a hearse or other form of ground transportation for
            travel to a funeral home or other place designated by the
            person designated to direct disposition of such remains.
        (f) Secretary Concerned Defined.--In this section, the term
    ``Secretary concerned'' has the meaning given that term in section
    101(a)(9) of title 10, United States Code.
        (g) Effective Date.--This section shall take effect at such time as
    may be prescribed by the Secretary of Defense, but not later than
    January 1, 2007.
        SEC. 563. ANNUAL BUDGET DISPLAY OF FUNDS FOR POW/MIA ACTIVITIES OF
          DEPARTMENT OF DEFENSE.
        (a) Consolidated Budget Justification.--Chapter 9 of title 10,
    United States Code, is amended by adding at the end the following new
    section:

    ``Sec. 234. POW/MIA activities: display of budget information

        ``(a) Submission With Annual Budget Justification Documents.--The
    Secretary of Defense shall submit to Congress, as a part of the defense
    budget materials for a fiscal year, a consolidated budget justification
    display, in classified and unclassified form, that covers all programs
    and activities of Department of Defense POW/MIA accounting and recovery
    organizations.
        ``(b) Requirements for Budget Display.--The budget display under
    subsection (a) for a fiscal year shall include for each such
    organization the following:
            ``(1) A statement of what percentage of the requirements
        originally requested by the organization in the budget review
        process that the budget requests funds for.
            ``(2) A summary of actual or estimated expenditures by that
        organization for the fiscal year during which the budget is
        submitted and for the fiscal year preceding that year.
            ``(3) The amount in the budget for that organization.
            ``(4) A detailed explanation of the shortfalls, if any, in the
        funding of any requirement shown pursuant to paragraph (1), when
        compared to the amount shown pursuant to paragraph (3).
            ``(5) The budget estimate for that organization for the five
        fiscal years after the fiscal year for which the budget is
        submitted.
        ``(c) Department of Defense POW/MIA Accounting and Recovery
    Organizations.--In this section, the term `Department of Defense POW/
    MIA accounting and recovery organization' means any of the following
    (and any successor organization):
            ``(1) The Defense Prisoner of War/Missing Personnel Office
        (DPMO).
            ``(2) The Joint POW/MIA Accounting Command (JPAC).
            ``(3) The Armed Forces DNA Identification Laboratory (AFDIL).
            ``(4) The Life Sciences Equipment Laboratory (LSEL) of the Air
        Force.
            ``(5) Any other element of the Department of Defense the
        mission of which (as designated by the Secretary of Defense)
        involves the accounting for and recovery of members of the armed
        forces who are missing in action or prisoners of war or who are
        unaccounted for.
        ``(d) Other Definitions.--In this section:
            ``(1) The term `defense budget materials', with respect to a
        fiscal year, means the materials submitted to Congress by the
        Secretary of Defense in support of the budget for that fiscal year.
            ``(2) The term `budget', with respect to a fiscal year, means
        the budget for that fiscal year that is submitted to Congress by
        the President under section 1105(a) of title 31.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding at the end the following new item:

    ``234. POW/MIA activities: display of budget information.''.
        SEC. 564. MILITARY SEVERELY INJURED CENTER.
        (a) Center Required.--In support of the comprehensive policy on the
    provision of assistance to severely wounded or injured servicemembers
    required by section 563 of the National Defense Authorization Act for
    Fiscal Year 2006 (Public Law 109-163; 119 Stat. 3269; 10 U.S.C. 113
    note), the Secretary of Defense shall establish within the Department
    of Defense a center to augment and support the programs and activities
    of the military departments for the provision of such assistance,
    including the programs of the military departments referred to in
    subsection (c).
        (b) Designation.--The center established under subsection (a) shall
    be known as the ``Military Severely Injured Center'' (in this section
    referred to as the ``Center'').
        (c) Programs of the Military Departments.--The programs of the
    military departments referred to in this subsection are the following:
            (1) The Army Wounded Warrior Support Program.
            (2) The Navy Safe Harbor Program.
            (3) The Palace HART Program of the Air Force.
            (4) The Marine for Life Injured Support Program of the Marine
        Corps.
        (d) Activities of Center.--
            (1) In general.--The Center shall carry out such programs and
        activities to augment and support the programs and activities of
        the military departments for the provision of assistance to
        severely wounded or injured servicemembers and their families as
        the Secretary of Defense, in consultation with the Secretaries of
        the military departments and the heads of other appropriate
        departments and agencies of the Federal Government (including the
        Secretary of Labor and the Secretary of Veterans Affairs),
        determines appropriate.
            (2) Database.--The activities of the Center under this
        subsection shall include the establishment and maintenance of a
        central database. The database shall be transparent and shall be
        accessible for use by all of the programs of the military
        departments referred to in subsection (c).
        (e) Resources.--The Secretary of Defense shall allocate to the
    Center such personnel and other resources as the Secretary of Defense,
    in consultation with the Secretaries of the military departments,
    considers appropriate in order to permit the Center to carry out
    effectively the programs and activities assigned to the Center under
    subsection (d).
        SEC. 565. COMPREHENSIVE REVIEW ON PROCEDURES OF THE DEPARTMENT OF
          DEFENSE ON MORTUARY AFFAIRS.
        (a) Report.--As soon as practicable after the completion of a
    comprehensive review of the procedures of the Department of Defense on
    mortuary affairs, the Secretary of Defense shall submit to the
    Committee on Armed Services of the Senate and the Committee on Armed
    Services of the House of Representatives a report on the review.
        (b) Additional Elements.--In conducting the comprehensive review
    described in subsection (a), the Secretary shall address, in addition
    to any other matter covered by the review, the following:
            (1) The use of additional or increased refrigeration (including
        icing) in combat theaters in order to enhance preservation of
        remains.
            (2) The location of refrigeration assets further forward in the
        field.
            (3) Specific time standards for the movement of remains from
        combat units.
            (4) The forward location of autopsy and embalming operations.
            (5) Any other matter that the Secretary considers appropriate
        in order to expedite the return of remains to the United States in
        a nondecomposed state.
        SEC. 566. ADDITIONAL ELEMENTS OF POLICY ON CASUALTY ASSISTANCE TO
          SURVIVORS OF MILITARY DECEDENTS.
        Section 562(b) of the National Defense Authorization Act for Fiscal
    Year 2006 (Public Law 109-163; 119 Stat. 3267; 10 U.S.C. 1475 note) is
    amended by adding at the end the following new paragraph:
            ``(12) The process by which the Department of Defense, upon
        request, provides information (in person and otherwise) to
        survivors of a military decedent on the cause of, and any
        investigation into, the death of such military decedent and on the
        disposition and transportation of the remains of such decedent,
        which process shall--
                ``(A) provide for the provision of such information (in
            person and otherwise) by qualified Department of Defense
            personnel;
                ``(B) ensure that information is provided as soon as
            possible after death and that, when requested, updates are
            provided, in accordance with the procedures established under
            this paragraph, in a timely manner when new information becomes
            available;
                ``(C) ensure that--
                    ``(i) the initial provision of such information, and
                each such update, relates the most complete and accurate
                information available at the time, subject to limitations
                applicable to classified information; and
                    ``(ii) incomplete or unverified information is
                identified as such during the course of the provision of
                such information or update; and
                ``(D) include procedures by which such survivors shall,
            upon request, receive updates or supplemental information from
            qualified Department of Defense personnel.''.
        SEC. 567. REQUIREMENT FOR DEPLOYING MILITARY MEDICAL PERSONNEL TO
          BE TRAINED IN PRESERVATION OF REMAINS UNDER COMBAT OR COMBAT-
          RELATED CONDITIONS.
        (a) Requirement.--The Secretary of each military department shall
    ensure that each military health care professional under that
    Secretary's jurisdiction who is deployed to a theater of combat
    operations is trained, before such deployment, in the preservation of
    remains under combat or combat-related conditions.
        (b) Matters Covered by Training.--The training under subsection (a)
    shall include, at a minimum, the following:
            (1) Best practices and procedures for the preservation of the
        remains of a member of the Armed Forces after death, taking into
        account the conditions likely to be encountered and the objective
        of returning the remains to the member's family in the best
        possible condition.
            (2) Practical case studies based on experience of the Armed
        Forces in a variety of climactic conditions.
        (c) Covered Military Health Care Professionals.--In this section,
    the term ``military health care professional'' means--
            (1) a physician, nurse, nurse practitioner, physician
        assistant, or combat medic; and
            (2) any other medical personnel with medical specialties who
        may provide direct patient care and who are designated by the
        Secretary of the military department concerned.
        (d) Effective Date.--Subsection (a) shall apply with respect to any
    military health care professional who is deployed to a theater of
    combat operations after the end of the 90-day period beginning on the
    date of the enactment of this Act.

         Subtitle H--Impact Aid and Defense Dependents Education System

        SEC. 571. ENROLLMENT IN DEFENSE DEPENDENTS' EDUCATION SYSTEM OF
          DEPENDENTS OF FOREIGN MILITARY MEMBERS ASSIGNED TO SUPREME
          HEADQUARTERS ALLIED POWERS, EUROPE.
        (a) Temporary Enrollment Authority.--Section 1404A of the Defense
    Dependents' Education Act of 1978 (20 U.S.C. 923a) is amended--
            (1) in subsection (a)--
                (A) by striking ``of the children'' and inserting ``of--
            ``(1) the children'';
                (B) by striking the period at the end and inserting ``;
            and''; and
                (C) by adding at the end the following new paragraph:
            ``(2) the children of a foreign military member assigned to the
        Supreme Headquarters Allied Powers, Europe, but only in a school of
        the defense dependents' education system in Mons, Belgium, and only
        through the 2010-2011 school year.''; and
            (2) by adding at the end the following new subsection:
        ``(c) Special Rules Regarding Enrollment of Dependents of Foreign
    Military Members Assigned to Supreme Headquarters Allied Powers,
    Europe.--(1) In the regulations required by subsection (a), the
    Secretary shall prescribe a methodology based on the estimated total
    number of dependents of sponsors under section 1414(2) enrolled in
    schools of the defense dependents' education system in Mons, Belgium,
    to determine the number of children described in paragraph (2) of
    subsection (a) who will be authorized to enroll under such subsection.
        ``(2) If the number of children described in paragraph (2) of
    subsection (a) who seek enrollment in schools of the defense
    dependents' education system in Mons, Belgium, exceeds the number
    authorized by the Secretary under paragraph (1), the Secretary may
    enroll the additional children on a space-available, tuition-free basis
    notwithstanding section 1404(d)(2).''.
        (b) Report on Long-Term Plan for Education of Dependents of
    Military Personnel Assigned to Shape.--Not later than 180 days after
    the date of the enactment of this Act, the Secretary of Defense shall
    submit to Congress a report evaluating alternatives for the education
    of dependents of United States military personnel and dependents of
    foreign military personnel assigned to Supreme Headquarters Allied
    Powers, Europe, including--
            (1) an evaluation of the feasibility of establishing an
        international school at Supreme Headquarters Allied Powers, Europe;
        and
            (2) an estimate of the timeframe necessary for transition to
        any new model for educating such dependents.
        SEC. 572. CONTINUATION OF AUTHORITY TO ASSIST LOCAL EDUCATIONAL
          AGENCIES THAT BENEFIT DEPENDENTS OF MEMBERS OF THE ARMED FORCES
          AND DEPARTMENT OF DEFENSE CIVILIAN EMPLOYEES.
        (a) Assistance to Schools With Significant Numbers of Military
    Dependent Students.--Of the amount authorized to be appropriated
    pursuant to section 301(5) for operation and maintenance for Defense-
    wide activities, $35,000,000 shall be available only for the purpose of
    providing assistance to local educational agencies under subsection (a)
    of section 572 of the National Defense Authorization Act for Fiscal
    Year 2006 (Public Law 109-163; 119 Stat. 3271; 20 U.S.C. 7703b).
        (b) Assistance to Schools With Enrollment Changes Due to Base
    Closures, Force Structure Changes, or Force Relocations.--Of the amount
    authorized to be appropriated pursuant to section 301(5) for operation
    and maintenance for Defense-wide activities, $10,000,000 shall be
    available only for the purpose of providing assistance to local
    educational agencies under subsection (b) of such section 572.
        (c) Local Educational Agency Defined.--In this section, the term
    ``local educational agency'' has the meaning given that term in section
    8013(9) of the Elementary and Secondary Education Act of 1965 (20
    U.S.C. 7713(9)).
        SEC. 573. IMPACT AID FOR CHILDREN WITH SEVERE DISABILITIES.
        Of the amount authorized to be appropriated pursuant to section
    301(5) for operation and maintenance for Defense-wide activities,
    $5,000,000 shall be available for payments under section 363 of the
    Floyd D. Spence National Defense Authorization Act for Fiscal Year 2001
    (as enacted into law by Public Law 106-398; 114 Stat. 1654A-77; 20
    U.S.C. 7703a).
        SEC. 574. PLAN AND AUTHORITY TO ASSIST LOCAL EDUCATIONAL AGENCIES
          EXPERIENCING GROWTH IN ENROLLMENT DUE TO FORCE STRUCTURE CHANGES,
          RELOCATION OF MILITARY UNITS, OR BASE CLOSURES AND REALIGNMENTS.
        (a) Plan Required.--Not later than January 1, 2007, the Secretary
    of Defense shall submit to the congressional defense committees a
    report setting forth a plan to provide assistance to local educational
    agencies that experience growth in the enrollment of military dependent
    students as a result of any of the following events:
            (1) Force structure changes.
            (2) The relocation of a military unit.
            (3) The closure or realignment of military installations
        pursuant to defense base closure and realignment under the base
        closure laws.
        (b) Elements.--The report required by subsection (a), and each
    updated report required by subsection (c), shall include the following:
            (1) An identification, current as of the date of the report, of
        the total number of military dependent students who are anticipated
        to be arriving at or departing from military installations as a
        result of any event described in subsection (a), including--
                (A) an identification of the military installations
            affected by such arrivals and departures;
                (B) an estimate of the number of such students arriving at
            or departing from each such installation; and
                (C) the anticipated schedule of such arrivals and
            departures.
            (2) Such recommendations as the Office of Economic Adjustment
        of the Department of Defense considers appropriate for means of
        assisting affected local educational agencies in accommodating
        increases in enrollment of military dependent students as a result
        of any such event.
            (3) A plan for outreach to be conducted to affected local
        educational agencies, commanders of military installations, and
        members of the Armed Forces and civilian personnel of the
        Department of Defense regarding information on the assistance to be
        provided under the plan under subsection (a).
        (c) Updated Reports.--Not later than March 1, 2008, and annually
    thereafter to coincide with the submission of the budget of the
    President for a fiscal year under section 1105 of title 31, United
    States Code, the Secretary of Defense shall submit to the congressional
    defense committees an update of the report required by subsection (a).
        (d) Transition of Military Dependents From Department of Defense
    Dependent Schools to Other Schools.--During the period beginning on the
    date of the enactment of this Act and ending on September 30, 2011, the
    Secretary of Defense shall work collaboratively with the Secretary of
    Education in any efforts to ease the transition of military dependent
    students from attendance in Department of Defense dependent schools to
    attendance in schools of local educational agencies. The Secretary of
    Defense may use funds of the Department of Defense Education Activity
    to share expertise and experience of the Activity with local
    educational agencies as military dependent students make such
    transition, including such a transition resulting from the closure or
    realignment of military installations under a base closure law, global
    rebasing, and force restructuring.
        (e) Definitions.--In this section:
            (1) The term ``base closure law'' has the meaning given that
        term in section 101 of title 10, United States Code.
            (2) The term ``local educational agency'' has the meaning given
        that term in section 8013(9) of the Elementary and Secondary
        Education Act of 1965 (20 U.S.C. 7713(9)).
            (3) The term ``military dependent students'' refers to--
                (A) elementary and secondary school students who are
            dependents of members of the Armed Forces; and
                (B) elementary and secondary school students who are
            dependents of civilian employees of the Department of Defense.
        SEC. 575. PILOT PROGRAM ON PARENT EDUCATION TO PROMOTE EARLY
          CHILDHOOD EDUCATION FOR DEPENDENT CHILDREN AFFECTED BY MILITARY
          DEPLOYMENT OR RELOCATION OF MILITARY UNITS.
        (a) Pilot Program Authorized.--Using such funds as may be
    appropriated for this purpose, the Secretary of Defense may carry out a
    pilot program on the provision of educational and support tools to the
    parents of preschool-age children--
            (1) whose parent or parents serve as members of the Armed
        Forces on active duty (including members of the Selected Reserve on
        active duty pursuant to a call or order to active duty of 180 days
        or more); and
            (2) who are affected by the deployment of their parent or
        parents or the relocation of the military unit of which their
        parent or parents are a member.
        (b) Purpose.--The purpose of the pilot program is to develop models
    for improving the capability of military child and youth programs on or
    near military installations to provide assistance to military parents
    with young children through a program of activities focusing on the
    unique needs of children described in subsection (a).
        (c) Limits on Commencement and Duration of Program.--The Secretary
    of Defense may not commence the pilot program before October 1, 2007,
    and shall conclude the pilot program not later than the end of the
    three-year period beginning on the date on which the Secretary
    commences the program.
        (d) Scope of Program.--Under the pilot program, the Secretary of
    Defense shall utilize one or more models, demonstrated through
    research, of universal access of parents of children described in
    subsection (a) to assistance under the pilot program to achieve the
    following goals:
            (1) The identification and mitigation of specific risk factors
        for such children related to military life.
            (2) The maximization of the educational readiness of such
        children.
        (e) Locations and Goals.--
            (1) Selection of participating installations.--In selecting
        military installations to participate in the pilot program, the
        Secretary of Defense shall limit selection to those military
        installations whose military personnel are experiencing significant
        transition or deployment or which are undergoing transition as a
        result of the relocation or activation of military units or
        activities relating to defense base closure and realignment.
            (2) Selection of certain installations.--At least one of the
        installations selected under paragraph (1) shall be a military
        installation that will permit, under the pilot program, the
        meaningful evaluation of a model under subsection (d) that provides
        outreach to parents in families with a parent who is a member of
        the National Guard or Reserve, which families live more than 40
        miles from the installation.
            (3) Goals of participating installations.--If a military
        installation is selected under paragraph (1), the Secretary shall
        require appropriate personnel at the military installation to
        develop goals, and specific outcome measures with respect to such
        goals, for the conduct of the pilot program at the installation.
            (4) Evaluation required.--Upon completion of the pilot program
        at a military installation, the personnel referred to in paragraph
        (3) at the installation shall be required to conduct an evaluation
        and assessment of the success of the pilot program at the
        installation in meeting the goals developed for that installation.
        (f) Guidelines.--As part of conducting the pilot program, the
    Secretary of Defense shall issue guidelines regarding--
            (1) the goals to be developed under subsection (e)(3);
            (2) specific outcome measures; and
            (3) the selection of curriculum and the conduct of
        developmental screening under the pilot program.
        (g) Report.--Upon completion of the pilot program, the Secretary of
    Defense shall submit to the Committee on Armed Services of the Senate
    and the Committee on Armed Services of the House of Representatives a
    report on all of the evaluations prepared under subsection (e)(4) for
    the military installations participating in the pilot program. The
    report shall describe the results of the evaluations, and may include
    such recommendations for legislative or administrative action as the
    Secretary considers appropriate in light of the evaluations, including
    recommendations for the continuation of the pilot program.

                    Subtitle I--Armed Forces Retirement Home

        SEC. 578. REPORT ON LEADERSHIP AND MANAGEMENT OF THE ARMED FORCES
          RETIREMENT HOME.
        Not later than 30 days after the date of the enactment of this Act,
    the Secretary of Defense shall submit to the congressional defense
    committees a report evaluating the following:
            (1) The effect of changing the title of the Chief Operating
        Officer of the Armed Forces Retirement Home to a chief executive
        officer who will be responsible to the Secretary of Defense for the
        overall direction, operation, and management of the Retirement
        Home.
            (2) The effect of no longer permitting a civilian with
        experience as a continuing care retirement community professional
        to serve as the Director for a facility of the Armed Forces
        Retirement Home, but to instead limit eligibility for such
        positions to members of the Armed Forces serving on active duty in
        a grade below brigadier general or, in the case of the Navy, rear
        admiral (lower half).
            (3) The management of the Armed Forces Retirement Home and
        whether or not there is a need for a greater role by members of the
        Armed Forces serving on active duty in the overall direction,
        operation, and management of the Retirement Home.
        SEC. 579. REPORT ON LOCAL BOARDS OF TRUSTEES OF THE ARMED FORCES
          RETIREMENT HOME.
        Not later than 30 days after the date of the enactment of this Act,
    the Secretary of Defense shall submit to the congressional defense
    committees a report describing the following:
            (1) The current composition and activities of the Local Board
        of Trustees of the Armed Forces Retirement Home--Washington under
        section 1516 of the Armed Forces Retirement Home Act of 1991 (24
        U.S.C. 416).
            (2) The current composition and activities of the Local Board
        of Trustees of the Armed Forces Retirement Home--Gulfport under
        such section.
            (3) The feasibility and effect of including as a member of each
        Local Board of Trustees of the Armed Forces Retirement Home a
        member of the Armed Forces who is serving on active duty in the
        grade of brigadier general, or in the case of the Navy, rear
        admiral (lower half).

                              Subtitle J--Reports

        SEC. 581. REPORT ON PERSONNEL REQUIREMENTS FOR AIRBORNE ASSETS
          IDENTIFIED AS LOW-DENSITY, HIGH-DEMAND AIRBORNE ASSETS.
        (a) Report Required.--Not later than 120 days after the date of the
    enactment of this Act, the Secretary of Defense shall submit to the
    Committee on Armed Services of the Senate and the Committee on Armed
    Services of the House of Representatives a report on personnel
    requirements for airborne assets identified as Low-Density, High-Demand
    Airborne Assets based on combatant commander requirements to conduct
    and sustain operations for the global war on terrorism.
        (b) Matter To Be Included.--The report shall include the following
    for each airborne asset identified as a Low-Density, High-Demand
    Airborne Asset:
            (1) The numbers of operations and maintenance crews to meet
        tasking contemplated to conduct operations for the global war on
        terrorism.
            (2) The current numbers of operations and maintenance crews.
            (3) If applicable, shortages of operations and maintenance
        crews.
            (4) Whether such shortages are addressed in the future-years
        defense program.
            (5) Whether end-strength increases are required to meet any
        such shortages.
            (6) Estimated manpower costs of personnel needed to address
        shortfalls.
            (7) If applicable, the number and types of equipment needed to
        address training shortfalls.
        SEC. 582. REPORT ON FEASIBILITY OF ESTABLISHMENT OF MILITARY
          ENTRANCE PROCESSING COMMAND STATION ON GUAM.
        (a) Review.--The Secretary of Defense shall review the feasibility
    and cost effectiveness of establishing on Guam a station of the
    Military Entrance Processing Command to process new recruits for the
    Armed Forces who are drawn from the western Pacific region. For the
    purposes of the review, the cost effectiveness of establishing such a
    facility on Guam shall be measured, in part, against the system in
    effect in early 2006 of using Hawaii and other locations for the
    processing of new recruits from Guam and other locations in the western
    Pacific region.
        (b) Report.--Not later than June 1, 2007, the Secretary shall
    submit to the Committee on Armed Services of the Senate and the
    Committee on Armed Services of the House of Representatives a report
    providing the results of the study under subsection (a).
        SEC. 583. INCLUSION IN ANNUAL DEPARTMENT OF DEFENSE REPORT ON
          SEXUAL ASSAULTS OF INFORMATION ON RESULTS OF DISCIPLINARY
          ACTIONS.
        Section 577(f)(2)(B) of the Ronald W. Reagan National Defense
    Authorization Act for Fiscal Year 2005 (Public Law 108-375; 118 Stat.
    1927) is amended to read as follows:
            ``(B) A synopsis of each such substantiated case and, for each
        such case, the disciplinary action taken in the case, including the
        type of disciplinary or administrative sanction imposed, if any.''.
        SEC. 584. REPORT ON PROVISION OF ELECTRONIC COPY OF MILITARY
          RECORDS ON DISCHARGE OR RELEASE OF MEMBERS FROM THE ARMED FORCES.
        (a) Report Required.--Not later than 120 days after the date of the
    enactment of this Act, the Secretary of Defense shall submit to the
    congressional defense committees a report on the feasibility and
    advisability of providing an electronic copy of military records
    (including all military service, medical, and other military records)
    to members of the Armed Forces on their discharge or release from the
    Armed Forces.
        (b) Elements.--The report required by subsection (a) shall include
    the following:
            (1) An estimate of the costs of the provision of military
        records as described in subsection (a).
            (2) An assessment of providing military records as described in
        that subsection through the distribution of a portable, readily
        accessible medium (such as a computer disk or other similar medium)
        containing such records.
            (3) A description and assessment of the mechanisms required to
        ensure the privacy of members of the Armed Forces in providing
        military records as described in that subsection.
            (4) An assessment of the benefits to the members of the Armed
        Forces of receiving their military records as described in that
        subsection.
            (5) If the Secretary determines that providing military records
        to members of the Armed Forces as described in that subsection is
        feasible and advisable, a plan (including a schedule) for providing
        such records to members of the Armed Forces as so described in
        order to ensure that each member of the Armed Forces is provided
        such records upon discharge or release from the Armed Forces.
            (6) Any other matter relating to the provision of military
        records as described in that subsection that the Secretary
        considers appropriate.
        SEC. 585. REPORT ON OMISSION OF SOCIAL SECURITY ACCOUNT NUMBERS
          FROM MILITARY IDENTIFICATION CARDS.
        (a) Report Required.--Not later than 180 days after the date of the
    enactment of this Act, the Secretary of Defense shall submit to
    Congress a report setting forth the assessment of the Secretary of the
    feasibility of utilizing military identification cards that do not
    contain, display, or exhibit the social security account number of the
    individual identified by a military identification card.
        (b) Military Identification Card Defined.--In this section, the
    term ``military identification card'' means a card or other form of
    identification used for purposes of demonstrating eligibility for any
    benefit from the Department of Defense.
        SEC. 586. REPORT ON MAINTENANCE AND PROTECTION OF DATA HELD BY THE
          SECRETARY OF DEFENSE AS PART OF THE DEPARTMENT OF DEFENSE JOINT
          ADVERTISING, MARKET RESEARCH AND STUDIES (JAMRS) PROGRAM.
        Not later than 120 days after the date of the enactment of this
    Act, the Secretary of Defense shall submit to the Committees on Armed
    Services of the Senate and House of Representatives a report on how the
    data, including social security account numbers, held by the Secretary
    as part of the Joint Advertising, Market Research and Studies (JAMRS)
    program of the Department of Defense are maintained and protected,
    including a description of the security measures in place to prevent
    unauthorized access or inadvertent disclosure of such data that could
    lead to identity theft.
        SEC. 587. COMPTROLLER GENERAL REPORT ON MILITARY CONSCIENTIOUS
          OBJECTORS.
        (a) Report Required.--Not later than September 1, 2007, the
    Comptroller General shall submit to Congress a report concerning
    members of the Armed Forces who claimed status as a military
    conscientious objector between September 11, 2001, and December 31,
    2006.
        (b) Content of Report.--The report required by subsection (a) shall
    specifically address the following:
            (1) The number of all applications for status as a military
        conscientious objector, broken down by Armed Force, including the
        Coast Guard, and regular and reserve components.
            (2) Number of discharges or reassignments given.
            (3) The process generally used to consider applications,
        including average processing times and any provision for assignment
        or reassignment of members while their application is pending.
            (4) Reasons for approval or disapproval of applications.
            (5) Any difference in benefits upon discharge as a military
        conscientious objector compared to other discharges.
            (6) Pre-war statistical comparisons.

                           Subtitle K--Other Matters

        SEC. 591. MODIFICATION IN DEPARTMENT OF DEFENSE CONTRIBUTIONS TO
          MILITARY RETIREMENT FUND.
        (a) Determination of Contributions to the Fund.--
            (1) Calculation of annual department of defense contribution.--
        Subsection (b)(1) of section 1465 of title 10, United States Code,
        is amended--
                (A) in subparagraph (A)(ii), by striking ``to members of''
            and all that follows and inserting ``for active duty (other
            than the Coast Guard) and for full-time National Guard duty
            (other than full-time National Guard duty for training only),
            but excluding the amount expected to be paid for any duty that
            would be excluded for active-duty end strength purposes by
            section 115(i) of this title.''; and
                (B) in subparagraph (B)(ii)--
                    (i) by striking ``Ready Reserve'' and inserting
                ``Selected Reserve''; and
                    (ii) by striking ``Coast Guard and other than members
                on full-time National Guard duty other than for training)
                who are'' and inserting ``Coast Guard) for service''.
            (2) Quadrennial actuarial valuation.--Subsection (c)(1) of such
        section is amended--
                (A) in subparagraph (A), by striking ``for members of the
            armed forces'' and all that follows through ``for training
            only)'' and inserting ``for active duty (other than the Coast
            Guard) and for full-time National Guard duty (other than full-
            time National Guard duty for training only), but excluding the
            amount expected to be paid for any duty that would be excluded
            for active-duty end strength purposes by section 115(i) of this
            title''; and
                (B) in subparagraph (B)--
                    (i) by striking ``Ready Reserve'' and inserting
                ``Selected Reserve''; and
                    (ii) by striking ``Coast Guard and other than members
                on full-time National Guard duty other than for training)
                who are'' and inserting ``Coast Guard) for service''.
        (b) Payments Into the Fund.--Section 1466(a) of such title is
    amended--
            (1) in paragraph (1)(B), by striking ``by members'' and all
        that follows and inserting ``for active duty (other than the Coast
        Guard) and for full-time National Guard duty (other than full-time
        National Guard duty for training only), but excluding the amount
        expected to be paid for any duty that would be excluded for active-
        duty end strength purposes by section 115(i) of this title''; and
            (2) in paragraph (2)(B)--
                (A) by striking ``Ready Reserve'' and inserting ``Selected
            Reserve''; and
                (B) by striking ``Coast Guard and other than members on
            full-time National Guard duty other than for training) who
            are'' and inserting ``Coast Guard) for service''.
        (c) Effective Date.--The amendments made by this section shall take
    effect on October 1, 2007.
        SEC. 592. REVISION IN GOVERNMENT CONTRIBUTIONS TO MEDICARE-ELIGIBLE
          RETIREE HEALTH CARE FUND.
        (a) Medicare-Eligible Retiree Health Care Fund.--Section 1111 of
    title 10, United States Code, is amended--
            (1) in subsection (a), by striking ``of the Department of
        Defense'' and inserting ``of the uniformed services''; and
            (2) in subsection (b), by adding at the end the following new
        paragraph:
            ``(5) The term `members of the uniformed services on active
        duty' does not include a cadet at the United States Military
        Academy, the United States Air Force Academy, or the Coast Guard
        Academy or a midshipman at the United States Naval Academy.''.
        (b) Determination of Contributions to the Fund.--Section 1115 of
    such title is amended--
            (1) in subsection (b)--
                (A) in paragraph (1)(B), by striking ``on active duty'' and
            all that follows through ``training only)'' and inserting the
            following: ``on active duty and full-time National Guard duty,
            but excluding any member who would be excluded for active-duty
            end strength purposes by section 115(i) of this title''; and
                (B) in paragraph (2)(B)--
                    (i) by striking ``Ready Reserve'' and inserting
                ``Selected Reserve''; and
                    (ii) by striking ``(other than members on full-time
                National Guard duty other than for training)''; and
            (2) in subsection (c)--
                (A) in paragraph (1)(A), by striking ``on active duty'' and
            all that follows through ``training only)'' and inserting the
            following: ``on active duty and full-time National Guard duty,
            but excluding any member who would be excluded for active-duty
            end strength purposes by section 115(i) of this title''; and
                (B) in paragraph (1)(B)--
                    (i) by striking ``Ready Reserve'' and inserting
                ``Selected Reserve''; and
                    (ii) by striking ``(other than members on full-time
                National Guard duty other than for training)''.
        (c) Effective Date.--The amendments made by this section shall take
    effect with respect to payments under chapter 56 of title 10, United
    States Code, beginning with fiscal year 2008.
        SEC. 593. DENTAL CORPS OF THE NAVY BUREAU OF MEDICINE AND SURGERY.
        (a) Deletion of References to Dental Division.--Section 5138 of
    title 10, United States Code, is amended--
            (1) in subsection (a)--
                (A) by striking the first sentence; and
                (B) by striking ``the Dental Division'' and inserting ``the
            Dental Corps'';
            (2) in subsection (b), by striking ``Dental Division'' and
        inserting ``Dental Corps''; and
            (3) in subsection (c)--
                (A) by striking ``Dental Division'' at the end of the first
            sentence and inserting ``Dental Corps''; and
                (B) by striking ``that Division'' at the end of the second
            sentence and inserting ``the Chief of the Dental Corps''.
        (b) Functions of Chief of Dental Corps.--Subsection (d) of such
    section is amended to read as follows:
        ``(d) The Chief of the Dental Corps shall--
            ``(1) establish professional standards and policies for dental
        practice;
            ``(2) initiate and recommend action pertaining to complements,
        strength, appointments, advancement, training assignment, and
        transfer of dental personnel; and
            ``(3) serve as the advisor for the Bureau on all matters
        relating directly to dentistry.''.
        (c) Further Clarifying Amendments.--Subsection (c) of such section
    is further amended--
            (1) by striking ``so'' after ``shall be''; and
            (2) by striking ``that all such functions will be'' and
        inserting ``so that all such functions are''.
        (d) Clerical Amendments.--
            (1) The heading of such section is amended to read as follows:

    ``Sec. 5138. Bureau of Medicine and Surgery: Dental Corps; Chief;
                functions''.

            (2) The item relating to such section in the table of sections
        at the beginning of chapter 513 of such title is amended to read as
        follows:

    ``5138. Bureau of Medicine and Surgery: Dental Corps; Chief;
              functions.''.
        SEC. 594. PERMANENT AUTHORITY FOR PRESENTATION OF RECOGNITION ITEMS
          FOR RECRUITMENT AND RETENTION PURPOSES.
        Section 2261 of title 10, United States Code, is amended by
    striking subsection (d).
        SEC. 595. PERSONS AUTHORIZED TO ADMINISTER ENLISTMENT AND
          APPOINTMENT OATHS.
        (a) Enlistment Oath.--Section 502 of title 10, United States Code,
    is amended--
            (1) by inserting ``(a) Enlistment Oath.--'' before ``Each
        person enlisting'';
            (2) by striking the last sentence; and
            (3) by adding at the end the following new subsection:
        ``(b) Who May Administer.--The oath may be taken before the
    President, the Vice-President, the Secretary of Defense, any
    commissioned officer, or any other person designated under regulations
    prescribed by the Secretary of Defense.''.
        (b) Oaths Generally.--Section 1031 of such title is amended by
    striking ``Any commissioned officer of any component of an armed force,
    whether or not on active duty, may administer any oath'' and inserting
    ``The President, the Vice-President, the Secretary of Defense, any
    commissioned officer, and any other person designated under regulations
    prescribed by the Secretary of Defense may administer any oath''.
        SEC. 596. MILITARY VOTING MATTERS.
        (a) Repeal of Requirement for Periodic Inspector General
    Installation Visits for Assessment of Voting Assistance Program
    Compliance.--Section 1566 of title 10, United States Code, is amended
    by striking subsection (d).
        (b) Use of Electronic Voting Technology.--
            (1) Continuation of interim voting assistance system.--The
        Secretary of Defense shall continue the Interim Voting Assistance
        System (IVAS) ballot request program with respect to all absent
        uniformed services voters (as defined under section 107(1) of the
        Uniformed and Overseas Citizens Absentee Voting Act (42 U.S.C.
        1973ff-6(1))) and overseas employees of the Department of Defense
        for the general election and all elections through December 31,
        2006.
            (2) Reports.--
                (A) In general.--Not later than 30 days after the date of
            the regularly scheduled general election for Federal office for
            November 2006, the Secretary of Defense shall submit to the
            Congress a report setting forth--
                    (i) an assessment of the success of the implementation
                of the Interim Voting Assistance System ballot request
                program carried out under paragraph (1);
                    (ii) recommendations for continuation of the Interim
                Voting Assistance System and for improvements to that
                system; and
                    (iii) an assessment of available technologies and other
                means of achieving enhanced use of electronic and Internet-
                based capabilities under the Interim Voting Assistance
                System.
                (B) Future elections.--Not later than May 15, 2007, the
            Secretary of Defense shall submit to the Congress a report
            setting forth in detail plans for expanding the use of
            electronic voting technology for individuals covered under the
            Uniformed and Overseas Citizens Absentee Voting Act (42 U.S.C.
            1973ff et seq.) for elections through November 30, 2010.
        (c) Comptroller General Report.--Not later than March 1, 2007, the
    Comptroller General of the United States shall submit to Congress a
    report containing the assessment of the Comptroller General with
    respect to the following:
            (1) The programs and activities undertaken by the Department of
        Defense to facilitate voter registration, transmittal of ballots to
        absentee voters, and voting utilizing electronic means of
        communication (such as electronic mail and fax transmission) for
        military and civilian personnel covered by the Uniformed and
        Overseas Citizens Absentee Voting Act (42 U.S.C. 1973ff et seq.).
            (2) The progress of the Department of Defense and the Election
        Assistance Commission in developing a secure, deployable system for
        Internet-based electronic voting pursuant to the amendment made by
        section 567 of the Ronald W. Reagan National Defense Authorization
        Act for Fiscal Year 2005 (Public Law 108-375; 118 Stat. 1919).
        (d) Repeal of Expired Provision.--Section 1566(g)(2) of title 10,
    United States Code, is amended by striking the last sentence.
        SEC. 597. PHYSICAL EVALUATION BOARDS.
        (a) In General.--
            (1) Procedural requirements.--Chapter 61 of title 10, United
        States Code, is amended by adding at the end the following new
        section:

    ``Sec. 1222. Physical evaluation boards

        ``(a) Response to Applications and Appeals.--The Secretary of each
    military department shall ensure, in the case of any member of the
    armed forces appearing before a physical evaluation board under that
    Secretary's supervision, that documents announcing a decision of the
    board in the case convey the findings and conclusions of the board in
    an orderly and itemized fashion with specific attention to each issue
    presented by the member in regard to that member's case. The
    requirement under the preceding sentence applies to a case both during
    initial consideration and upon subsequent consideration due to appeal
    by the member or other circumstance.
        ``(b) Liaison Officer (PEBLO) Requirements and Training.--(1) The
    Secretary of Defense shall prescribe regulations establishing--
            ``(A) a requirement for the Secretary of each military
        department to make available to members of the armed forces
        appearing before physical evaluation boards operated by that
        Secretary employees, designated as physical evaluation board
        liaison officers, to provide advice, counsel, and general
        information to such members on the operation of physical evaluation
        boards operated by that Secretary; and
            ``(B) standards and guidelines concerning the training of such
        physical evaluation board liaison officers.
        ``(2) The Secretary shall ensure compliance by the Secretary of
    each military department with physical evaluation board liaison officer
    requirements and training standards and guidelines at least once every
    three years.
        ``(c) Standardized Staff Training and Operations.--(1) The
    Secretary of Defense shall prescribe regulations on standards and
    guidelines concerning the physical evaluation board operated by each of
    the Secretaries of the military departments with regard to--
            ``(A) assignment and training of staff;
            ``(B) operating procedures; and
            ``(C) timeliness of board decisions.
        ``(2) The Secretary shall ensure compliance with standards and
    guidelines prescribed under paragraph (1) by each physical evaluation
    board at least once every three years.''.
            (2) Clerical amendment.--The table of sections at the beginning
        of such chapter is amended by adding at the end the following new
        item:

    ``1222.  Physical evaluation boards.''.

        (b) Effective Date.--Section 1222 of title 10, United States Code,
    as added by subsection (a), shall apply with respect to decisions
    rendered on cases commenced more than 120 days after the date of the
    enactment of this Act.
        SEC. 598. MILITARY ID CARDS FOR RETIREE DEPENDENTS WHO ARE
          PERMANENTLY DISABLED.
        (a) In General.--Subsection (a) of section 1060b of title 10,
    United States Code, is amended to read as follows:
        ``(a) Issuance of Permanent ID Card.--(1) In issuing military ID
    cards to retiree dependents, the Secretary concerned shall issue a
    permanent ID card (not subject to renewal) to any such retiree
    dependent as follows:
            ``(A) A retiree dependent who has attained 75 years of age.
            ``(B) A retiree dependent who is permanently disabled.
        ``(2) A permanent ID card shall be issued to a retiree dependent
    under paragraph (1)(A) upon the expiration, after the retiree dependent
    attains 75 years of age, of any earlier, renewable military card or, if
    earlier, upon the request of the retiree dependent after attaining age
    75.''.
        (b) Conforming and Clerical Amendments.--
            (1) Heading amendment.--The heading of such section is amended
        to read as follows:

    ``Sec. 1060b. Military ID cards: dependents and survivors of
                retirees''.

            (2) Clerical amendment.--The table of sections at the beginning
        of chapter 53 of such title is amended by striking the item
        relating to section 1060b and inserting the following new item:

    ``1060b. Military ID cards: dependents and survivors of retirees.''.
        SEC. 599. UNITED STATES MARINE BAND AND UNITED STATES MARINE DRUM
          AND BUGLE CORPS.
        (a) In General.--Section 6222 of title 10, United States Code, is
    amended to read as follows:

    ``Sec. 6222. United States Marine Band; United States Marine Drum and
                Bugle Corps: composition; appointment and promotion of
                members

        ``(a) United States Marine Band.--The band of the Marine Corps
    shall be composed of one director, two assistant directors, and other
    personnel in such numbers and grades as the Secretary of the Navy
    determines to be necessary.
        ``(b) United States Marine Drum and Bugle Corps.--The drum and
    bugle corps of the Marine Corps shall be composed of one commanding
    officer and other personnel in such numbers and grades as the Secretary
    of the Navy determines to be necessary.
        ``(c) Appointment and Promotion.--(1) The Secretary of the Navy
    shall prescribe regulations for the appointment and promotion of
    members of the Marine Band and members of the Marine Drum and Bugle
    Corps.
        ``(2) The President may from time to time appoint members of the
    Marine Band and members of the Marine Drum and Bugle Corps to grades
    not above the grade of captain. The authority of the President to make
    appointments under this paragraph may be delegated only to the
    Secretary of Defense.
        ``(3) The President, by and with the advice and consent of the
    Senate, may from time to time appoint any member of the Marine Band or
    of the Marine Drum and Bugle Corps to a grade above the grade of
    captain.
        ``(d) Retirement.--Unless otherwise entitled to higher retired
    grade and retired pay, a member of the Marine Band or Marine Drum and
    Bugle Corps who holds, or has held, an appointment under this section
    is entitled, when retired, to be retired in, and with retired pay based
    on, the highest grade held under this section in which the Secretary of
    the Navy determines that such member served satisfactorily.
        ``(e) Revocation of Appointment.--The Secretary of the Navy may
    revoke any appointment of a member of the Marine Band or Marine Drum
    and Bugle Corps. When a member's appointment to a commissioned grade
    terminates under this subsection, such member is entitled, at the
    option of such member--
            ``(1) to be discharged from the Marine Corps; or
            ``(2) to revert to the grade and status such member held at the
        time of appointment under this section.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    chapter 565 of such title is amended by striking the item relating to
    section 6222 and inserting the following new item:

    ``6222. United States Marine Band; United States Marine Drum and Bugle
              Corps: composition; appointment and promotion of members.''.

              TITLE VI--COMPENSATION AND OTHER PERSONNEL BENEFITS

                         Subtitle A--Pay and Allowances

    Sec. 601. Fiscal year 2007 increase in military basic pay and reform of
              basic pay rates.
    Sec. 602. Increase in maximum rate of basic pay for general and flag
              officer grades to conform to increase in pay cap for Senior
              Executive Service personnel.
    Sec. 603. One-year extension of prohibition against requiring certain
              injured members to pay for meals provided by military
              treatment facilities.
    Sec. 604. Availability of second basic allowance for housing for certain
              reserve component or retired members serving in support of
              contingency operations.
    Sec. 605. Extension of temporary continuation of housing allowance for
              dependents of members dying on active duty to spouses who are
              also members.
    Sec. 606. Payment of full premium for coverage under Servicemembers'
              Group Life Insurance program during service in Operation
              Enduring Freedom or Operation Iraqi Freedom.
    Sec. 607. Clarification of effective date of prohibition on compensation
              for correspondence courses.
    Sec. 608. Extension of pilot program on contributions to Thrift Savings
              Plan for initial enlistees in the Army.

               Subtitle B--Bonuses and Special and Incentive Pays

    Sec. 611. Extension of certain bonus and special pay authorities for
              reserve forces.
    Sec. 612. Extension of certain bonus and special pay authorities for
              health care professionals.
    Sec. 613. Extension of special pay and bonus authorities for nuclear
              officers.
    Sec. 614. Extension of authorities relating to payment of other bonuses
              and special pays.
    Sec. 615. Expansion of eligibility of dental officers for additional
              special pay.
    Sec. 616. Increase in maximum annual rate of special pay for Selected
              Reserve health care professionals in critically short wartime
              specialties.
    Sec. 617. Expansion and enhancement of accession bonus authorities for
              certain officers in health care specialities.
    Sec. 618. Authority to provide lump sum payment of nuclear officer
              incentive pay.
    Sec. 619. Increase in maximum amount of nuclear career accession bonus.
    Sec. 620. Increase in maximum amount of incentive bonus for transfer
              between Armed Forces.
    Sec. 621. Additional authorities and incentives to encourage retired
              members and reserve component members to volunteer to serve on
              active duty in high-demand, low-density assignments.
    Sec. 622. Accession bonus for members of the Armed Forces appointed as
              commissioned officers after completing officer candidate
              school.
    Sec. 623. Modification of certain authorities applicable to the targeted
              shaping of the Armed Forces.
    Sec. 624. Enhancement of bonus to encourage certain persons to refer
              other persons for enlistment in the Army.

                Subtitle C--Travel and Transportation Allowances

    Sec. 631. Travel and transportation allowances for transportation of
              family members incident to illness or injury of members.

                  Subtitle D--Retired Pay and Survivor Benefits

    Sec. 641. Retired pay of general and flag officers to be based on rates
              of basic pay provided by law.
    Sec. 642. Inapplicability of retired pay multiplier maximum percentage
              to certain service of members of the Armed Forces in excess of
              30 years.
    Sec. 643. Military Survivor Benefit Plan beneficiaries under insurable
              interest coverage.
    Sec. 644. Modification of eligibility for commencement of authority for
              optional annuities for dependents under the Survivor Benefit
              Plan.
    Sec. 645. Study of training costs, manning, operations tempo, and other
              factors that affect retention of members of the Armed Forces
              with special operations designations.

    Subtitle E--Commissary and Nonappropriated Fund Instrumentality Benefits

    Sec. 661. Treatment of price surcharges of certain merchandise sold at
              commissary stores.
    Sec. 662. Limitations on lease of non-excess Department of Defense
              property for protection of morale, welfare, and recreation
              activities and revenue.
    Sec. 663. Report on cost effectiveness of purchasing commercial
              insurance for commissary and exchange facilities and
              facilities of other morale, welfare, and recreation programs
              and nonappropriated fund instrumentalities.
    Sec. 664. Study and report regarding access of disabled persons to
              morale, welfare, and recreation facilities and activities.

                            Subtitle F--Other Matters

    Sec. 670. Limitations on terms of consumer credit extended to
              servicemembers and dependents.
    Sec. 671. Enhancement of authority to waive claims for overpayment of
              pay and allowances and travel and transportation allowances.
    Sec. 672. Exception for notice to consumer reporting agencies regarding
              debts or erroneous payments pending a decision to waive,
              remit, or cancel.
    Sec. 673. Expansion and enhancement of authority to remit or cancel
              indebtedness of members and former members of the Armed Forces
              incurred on active duty.
    Sec. 674. Phased recovery of overpayments of pay made to members of the
              uniformed services.
    Sec. 675. Joint family support assistance program.
    Sec. 676. Special working group on transition to civilian employment of
              National Guard and Reserve members returning from deployment
              in Operation Iraqi Freedom or Operation Enduring Freedom.
    Sec. 677. Audit of pay accounts of members of the Army evacuated from a
              combat zone for inpatient care.
    Sec. 678. Report on eligibility and provision of assignment incentive
              pay.
    Sec. 679. Sense of Congress calling for payment to World War II veterans
              who survived Bataan Death March.

                         Subtitle A--Pay and Allowances

        SEC. 601. FISCAL YEAR 2007 INCREASE IN MILITARY BASIC PAY AND
          REFORM OF BASIC PAY RATES.
        (a) Waiver of Section 1009 Adjustment.--The adjustment to become
    effective during fiscal year 2007 required by section 1009 of title 37,
    United States Code, in the rates of monthly basic pay authorized
    members of the uniformed services shall not be made.
        (b) January 1, 2007, Increase in Basic Pay.--Effective on January
    1, 2007, the rates of monthly basic pay for members of the uniformed
    services are increased by 2.2 percent.
        (c) Reform of Basic Pay Rates.--Effective on April 1, 2007, the
    rates of monthly basic pay for members of the uniformed services within
    each pay grade (and with years of service computed under section 205 of
    title 37, United States Code) are as follows:

                                                 COMMISSIONED OFFICERS1
    ----------------------------------------------------------------------------------------------------------------
                     Pay Grade                    2 or less      Over 2        Over 3        Over 4        Over 6
    ----------------------------------------------------------------------------------------------------------------
    O-8                                             8,453.10      8,729.70      8,913.60      8,964.90      9,194.10
    O-7                                             7,023.90      7,350.00      7,501.20      7,621.20      7,838.40
    O-6                                             5,206.20      5,719.20      6,094.50      6,094.50      6,117.60
    O-5                                             4,339.80      4,888.80      5,227.50      5,291.10      5,502.00
    O-4                                             3,744.60      4,334.70      4,623.90      4,688.40      4,956.90
    O-3 3                                           3,292.20      3,732.30      4,028.40      4,392.00      4,602.00
    O-2 3                                           2,844.30      3,239.70      3,731.40      3,857.40      3,936.60
    O-1 3                                           2,469.30      2,569.80      3,106.50      3,106.50      3,106.50
                                               ---------------------------------------------------------------------
                                                   Over 8        Over 10       Over 12       Over 14       Over 16
                                               ---------------------------------------------------------------------
    O-8                                             9,577.20      9,666.30     10,030.20     10,134.30     10,447.80
    O-7                                             8,052.90      8,301.30      8,548.80      8,797.20      9,577.20
    O-6                                             6,380.10      6,414.60      6,414.60      6,779.10      7,423.80
    O-5                                             5,628.60      5,906.40      6,110.10      6,373.20      6,776.40
    O-4                                             5,244.60      5,602.80      5,882.40      6,076.20      6,187.50
    O-3 3                                           4,833.00      4,982.70      5,228.40      5,355.90      5,355.90
    O-2 3                                           3,936.60      3,936.60      3,936.60      3,936.60      3,936.60
    O-1 3                                           3,106.50      3,106.50      3,106.50      3,106.50      3,106.50
                                               ---------------------------------------------------------------------
                                                   Over 18       Over 20       Over 22       Over 24       Over 26
                                               ---------------------------------------------------------------------
    O-10 2                                             $0.00    $13,659.00    $13,725.90    $14,011.20    $14,508.60
    O-9                                                 0.00     11,946.60     12,118.50     12,367.20     12,801.30
    O-8                                            10,900.80     11,319.00     11,598.30     11,598.30     11,598.30
    O-7                                            10,236.00     10,236.00     10,236.00     10,236.00     10,287.90
    O-6                                             7,802.10      8,180.10      8,395.20      8,613.00      9,035.70
    O-5                                             6,968.10      7,158.00      7,373.10      7,373.10      7,373.10
    O-4                                             6,252.30      6,252.30      6,252.30      6,252.30      6,252.30
    O-3 3                                           5,355.90      5,355.90      5,355.90      5,355.90      5,355.90
    O-2 3                                           3,936.60      3,936.60      3,936.60      3,936.60      3,936.60
    O-1 3                                           3,106.50      3,106.50      3,106.50      3,106.50      3,106.50
                                               ---------------------------------------------------------------------
                                                   Over 28       Over 30       Over 32       Over 34       Over 36
                                               ---------------------------------------------------------------------
    O-10 2                                        $14,508.60    $15,234.00    $15,234.00    $15,995.70    $15,995.70
    O-9                                            12,801.30     13,441.50     13,441.50     14,113.50     14,113.50
    O-8                                            11,598.30     11,888.40     11,888.40     12,185.70     12,185.70
    O-7                                            10,287.90     10,493.70     10,493.70     10,493.70     10,493.70
    O-6                                             9,035.70      9,216.30      9,216.30      9,216.30      9,216.30
    O-5                                             7,373.10      7,373.10      7,373.10      7,373.10      7,373.10
    O-4                                             6,252.30      6,252.30      6,252.30      6,252.30      6,252.30
    O-3 3                                           5,355.90      5,355.90      5,355.90      5,355.90      5,355.90
    O-2 3                                           3,936.60      3,936.60      3,936.60      3,936.60      3,936.60
    O-1 3                                           3,106.50      3,106.50      3,106.50      3,106.50      3,106.50
                                               ---------------------------------------------------------------------
                                                   Over 38       Over 40
                                               ---------------------------------------------------------------------
    O-10 2                                        $16,795.50    $16,795.50
    O-9                                            14,819.10     14,819.10
    O-8                                            12,185.70     12,185.70
    O-7                                            10,493.70     10,493.70
    O-6                                             9,216.30      9,216.30
    O-5                                             7,373.10      7,373.10
    O-4                                             6,252.30      6,252.30
    O-3 3                                           5,355.90      5,355.90
    O-2 3                                           3,936.60      3,936.60
    O-1 3                                           3,106.50      3,106.50
    ----------------------------------------------------------------------------------------------------------------
    1 Notwithstanding the basic pay rates specified in this table, the actual rate of basic pay for commissioned
      oficers in pay grades 0-7 through 0-10 may not exceed the rate of pay for level II of the Executive Schedule
      and the actual rate of basic pay for all other officers may not exceed the rate of pay for level V of the
      Executive Schedule.
    2 Subject to the preceding footnote, while serving as Chairman or Vice Chairman of the Joint Chiefs of Staff,
      Chief of Staff of the Army, Chief of Naval Operations, Chief of Staff of the Air Force, Commandant of the
      Marine Corps, Commandant of the Coast Guard, or commander of a unified or specified combatant command (as
      defined in section 161(c) of title 10, United States Code), basic pay for this grade is $17,972.10, regardless
      of cumulative years of service computed under section 205 of title 37, United States Code.
    3 This table does not apply to commissioned officers in pay grade O-1, O-2, or O-3 who have been credited with
      over 4 years of active duty service as an enlisted member or warrant officer.

         COMMISSIONED OFFICERS WITH OVER 4 YEARS OF ACTIVE DUTY SERVICE AS AN ENLISTED MEMBER OR WARRANT OFFICER
    ----------------------------------------------------------------------------------------------------------------
                     Pay Grade                    2 or less      Over 2        Over 3        Over 4        Over 6
    ----------------------------------------------------------------------------------------------------------------
    O-3E                                               $0.00         $0.00         $0.00     $4,392.00     $4,602.00
    O-2E                                                0.00          0.00          0.00      3,857.40      3,936.60
    O-1E                                                0.00          0.00          0.00      3,106.50      3,317.70
                                               ---------------------------------------------------------------------
                                                   Over 8        Over 10       Over 12       Over 14       Over 16
                                               ---------------------------------------------------------------------
    O-3E                                           $4,833.00     $4,982.70     $5,228.40     $5,435.40     $5,554.20
    O-2E                                            4,062.00      4,273.50      4,437.00      4,558.80      4,558.80
    O-1E                                            3,440.10      3,565.50      3,688.80      3,857.40      3,857.40
                                               ---------------------------------------------------------------------
                                                   Over 18       Over 20       Over 22       Over 24       Over 26
                                               ---------------------------------------------------------------------
    O-3E                                           $5,715.90     $5,715.90     $5,715.90     $5,715.90     $5,715.90
    O-2E                                            4,558.80      4,558.80      4,558.80      4,558.80      4,558.80
    O-1E                                            3,857.40      3,857.40      3,857.40      3,857.40      3,857.40
                                               ---------------------------------------------------------------------
                                                   Over 28       Over 30       Over 32       Over 34       Over 36
                                               ---------------------------------------------------------------------
    O-3E                                           $5,715.90     $5,715.90     $5,715.90     $5,715.90     $5,715.90
    O-2E                                            4,558.80      4,558.80      4,558.80      4,558.80      4,558.80
    O-1E                                            3,857.40      3,857.40      3,857.40      3,857.40      3,857.40
                                               ---------------------------------------------------------------------
                                                   Over 38       Over 40
                                               ---------------------------------------------------------------------
    O-3E                                           $5,715.90     $5,715.90
    O-2E                                            4,558.80      4,558.80
    O-1E                                            3,857.40      3,857.40
    ----------------------------------------------------------------------------------------------------------------

                                                   WARRANT OFFICERS 1
    ----------------------------------------------------------------------------------------------------------------
                     Pay Grade                    2 or less      Over 2        Over 3        Over 4        Over 6
    ----------------------------------------------------------------------------------------------------------------
    W-5                                                $0.00         $0.00         $0.00         $0.00         $0.00
    W-4                                             3,402.00      3,660.00      3,765.00      3,868.50      4,046.40
    W-3                                             3,106.80      3,236.40      3,369.00      3,412.80      3,552.00
    W-2                                             2,749.20      3,009.30      3,089.40      3,144.60      3,322.80
    W-1                                             2,413.20      2,672.40      2,742.90      2,890.50      3,065.10
                                               ---------------------------------------------------------------------
                                                   Over 8        Over 10       Over 12       Over 14       Over 16
                                               ---------------------------------------------------------------------
    W-5                                                $0.00         $0.00         $0.00         $0.00         $0.00
    W-4                                             4,222.20      4,400.70      4,669.20      4,904.40      5,128.20
    W-3                                             3,825.90      4,110.90      4,245.30      4,400.40      4,560.30
    W-2                                             3,600.00      3,737.10      3,872.40      4,037.70      4,166.70
    W-1                                             3,322.20      3,442.20      3,610.20      3,775.50      3,905.10
                                               ---------------------------------------------------------------------
                                                   Over 18       Over 20       Over 22       Over 24       Over 26
                                               ---------------------------------------------------------------------
    W-5                                                $0.00     $6,049.50     $6,356.40     $6,585.00     $6,838.20
    W-4                                             5,310.90      5,489.70      5,752.20      5,967.60      6,213.60
    W-3                                             4,847.70      5,042.40      5,158.50      5,282.10      5,450.10
    W-2                                             4,284.00      4,423.80      4,515.90      4,589.40      4,589.40
    W-1                                             4,024.50      4,170.00      4,170.00      4,170.00      4,170.00
                                               ---------------------------------------------------------------------
                                                   Over 28       Over 30       Over 32       Over 34       Over 36
                                               ---------------------------------------------------------------------
    W-5                                            $6,838.20     $7,180.20     $7,180.20     $7,539.30     $7,539.30
    W-4                                             6,213.60      6,337.80      6,337.80      6,337.80      6,337.80
    W-3                                             5,450.10      5,450.10      5,450.10      5,450.10      5,450.10
    W-2                                             4,589.40      4,589.40      4,589.40      4,589.40      4,589.40
    W-1                                             4,170.00      4,170.00      4,170.00      4,170.00      4,170.00
                                               ---------------------------------------------------------------------
                                                   Over 38       Over 40
                                               ---------------------------------------------------------------------
    W-5                                            $7,916.40     $7,916.40
    W-4                                             6,337.80      6,337.80
    W-3                                             5,450.10      5,450.10
    W-2                                             4,589.40      4,589.40
    W-1                                             4,170.00      4,170.00
    ----------------------------------------------------------------------------------------------------------------
    1 Notwithstanding the basic pay rates specified in this table, the actual rate of basic pay for warrant officers
      may not exceed the rate of pay for level V of the Executive Schedule.

                                                   ENLISTED MEMBERS 1
    ----------------------------------------------------------------------------------------------------------------
                     Pay Grade                    2 or less      Over 2        Over 3        Over 4        Over 6
    ----------------------------------------------------------------------------------------------------------------
    E-9 2                                              $0.00         $0.00         $0.00         $0.00         $0.00
    E-8                                                 0.00          0.00          0.00          0.00          0.00
    E-7                                             2,339.10      2,553.00      2,650.80      2,780.70      2,881.50
    E-6                                             2,023.20      2,226.00      2,324.40      2,419.80      2,519.40
    E-5                                             1,854.00      1,977.90      2,073.30      2,171.40      2,323.80
    E-4                                             1,699.50      1,786.50      1,883.10      1,978.50      2,062.80
    E-3                                             1,534.20      1,630.80      1,729.20      1,729.20      1,729.20
    E-2                                             1,458.90      1,458.90      1,458.90      1,458.90      1,458.90
    E-1 3                                           1,301.40      1,301.40      1,301.40      1,301.40      1,301.40
                                               ---------------------------------------------------------------------
                                                   Over 8        Over 10       Over 12       Over 14       Over 16
                                               ---------------------------------------------------------------------
    E-9 2                                              $0.00     $4,110.60     $4,203.90     $4,321.20     $4,459.50
    E-8                                             3,364.80      3,513.90      3,606.00      3,716.40      3,835.80
    E-7                                             3,055.20      3,152.70      3,326.70      3,471.00      3,569.70
    E-6                                             2,744.10      2,831.40      3,000.00      3,051.90      3,089.70
    E-5                                             2,483.70      2,613.90      2,630.10      2,630.10      2,630.10
    E-4                                             2,062.80      2,062.80      2,062.80      2,062.80      2,062.80
    E-3                                             1,729.20      1,729.20      1,729.20      1,729.20      1,729.20
    E-2                                             1,458.90      1,458.90      1,458.90      1,458.90      1,458.90
    E-1 3                                           1,301.40      1,301.40      1,301.40      1,301.40      1,301.40
                                               ---------------------------------------------------------------------
                                                   Over 18       Over 20       Over 22       Over 24       Over 26
                                               ---------------------------------------------------------------------
    E-9 2                                          $4,598.40     $4,821.60     $5,010.30     $5,209.20     $5,512.80
    E-8                                             4,051.80      4,161.30      4,347.30      4,450.50      4,704.90
    E-7                                             3,674.40      3,715.50      3,852.00      3,925.20      4,204.20
    E-6                                             3,133.50      3,133.50      3,133.50      3,133.50      3,133.50
    E-5                                             2,630.10      2,630.10      2,630.10      2,630.10      2,630.10
    E-4                                             2,062.80      2,062.80      2,062.80      2,062.80      2,062.80
    E-3                                             1,729.20      1,729.20      1,729.20      1,729.20      1,729.20
    E-2                                             1,458.90      1,458.90      1,458.90      1,458.90      1,458.90
    E-1 3                                           1,301.40      1,301.40      1,301.40      1,301.40      1,301.40
                                               ---------------------------------------------------------------------
                                                   Over 28       Over 30       Over 32       Over 34       Over 36
                                               ---------------------------------------------------------------------
    E-9 2                                          $5,512.80     $5,788.50     $5,788.50     $6,078.00     $6,078.00
    E-8                                             4,704.90      4,799.10      4,799.10      4,799.10      4,799.10
    E-7                                             4,204.20      4,204.20      4,204.20      4,204.20      4,204.20
    E-6                                             3,133.50      3,133.50      3,133.50      3,133.50      3,133.50
    E-5                                             2,630.10      2,630.10      2,630.10      2,630.10      2,630.10
    E-4                                             2,062.80      2,062.80      2,062.80      2,062.80      2,062.80
    E-3                                             1,729.20      1,729.20      1,729.20      1,729.20      1,729.20
    E-2                                             1,458.90      1,458.90      1,458.90      1,458.90      1,458.90
    E-1                                             1,301.40      1,301.40      1,301.40      1,301.40      1,301.40
                                               ---------------------------------------------------------------------
                                                   Over 38       Over 40
                                               ---------------------------------------------------------------------
    E-9 2                                          $6,381.90     $6,381.90
    E-8                                             4,799.10      4,799.10
    E-7                                             4,204.20      4,204.20
    E-6                                             3,133.50      3,133.50
    E-5                                             2,630.10      2,630.10
    E-4                                             2,062.80      2,062.80
    E-3                                             1,729.20      1,729.20
    E-2                                             1,458.90      1,458.90
    E-1                                             1,301.40      1,301.40
    ----------------------------------------------------------------------------------------------------------------
    1 Notwithstanding the pay rates specified in this table, the actual basic pay for enlisted members may not
      exceed the rate of pay for level V of the Executive Schedule.
    2 Subject to the preceding footnote, the rate of basic pay for an enlisted member in this grade while serving as
      Sergeant Major of the Army, Master Chief Petty Officer of the Navy, Chief Master Sergeant of the Air Force,
      Sergeant Major of the Marine Corps, Master Chief Petty Officer of the Coast Guard, or Senior Enlisted Advisor
      to the Chairman of the Joint Chiefs of Staff is $6,642.60, regardless of cumulative years of service computed
      under section 205 of title 37, United States Code.
    3 In the case of members in pay grade E-1 who have served less than 4 months on active duty, the rate of basic
      pay is $1,203.90.

        SEC. 602. INCREASE IN MAXIMUM RATE OF BASIC PAY FOR GENERAL AND
          FLAG OFFICER GRADES TO CONFORM TO INCREASE IN PAY CAP FOR SENIOR
          EXECUTIVE SERVICE PERSONNEL.
        (a) Increase.--Section 203(a)(2) of title 37, United States Code,
    is amended by striking ``level III of the Executive Schedule'' and
    inserting ``level II of the Executive Schedule''.
        (b) Effective Date.--The amendment made by subsection (a) shall
    take effect on January 1, 2007, and shall apply with respect to months
    beginning on or after that date.
        SEC. 603. ONE-YEAR EXTENSION OF PROHIBITION AGAINST REQUIRING
          CERTAIN INJURED MEMBERS TO PAY FOR MEALS PROVIDED BY MILITARY
          TREATMENT FACILITIES.
        (a) Extension.--Section 402(h)(3) of title 37, United States Code,
    is amended by striking ``December 31, 2006'' and inserting ``December
    31, 2007''.
        (b) Report on Administration of Prohibition.--Not later than
    February 1, 2007, the Secretary of Defense shall submit to the
    congressional defense committees a report on the administration of
    section 402(h) of title 37, United States Code. The report shall
    include--
            (1) a description and assessment of the mechanisms used by the
        military departments to implement the prohibition contained in such
        section; and
            (2) such recommendations as the Secretary considers appropriate
        regarding making such prohibition permanent.
        SEC. 604. AVAILABILITY OF SECOND BASIC ALLOWANCE FOR HOUSING FOR
          CERTAIN RESERVE COMPONENT OR RETIRED MEMBERS SERVING IN SUPPORT
          OF CONTINGENCY OPERATIONS.
        (a) Availability.--Section 403(g) of title 37, United States Code,
    is amended--
            (1) by redesignating paragraphs (2), (3), and (4) as paragraphs
        (3), (4), and (5), respectively;
            (2) by inserting after paragraph (1) the following new
        paragraph (2):
        ``(2) The Secretary concerned may provide a basic allowance for
    housing to a member described in paragraph (1) at a monthly rate equal
    to the rate of the basic allowance for housing established under
    subsection (b) or the overseas basic allowance for housing established
    under subsection (c), whichever applies to the location at which the
    member is serving, for members in the same grade at that location
    without dependents. The member may receive both a basic allowance for
    housing under paragraph (1) and under this paragraph for the same
    month, but may not receive the portion of the allowance authorized
    under section 404 of this title, if any, for lodging expenses if a
    basic allowance for housing is provided under this paragraph.''; and
            (3) in paragraph (3), as so redesignated, by striking
        ``Paragraph (1)'' and inserting ``Paragraphs (1) and (2)''.
        (b) Effective Date.--Paragraph (2) of section 403(g) of title 37,
    United States Code, as added by subsection (a), shall apply with
    respect to months beginning on or after October 1, 2006.
        SEC. 605. EXTENSION OF TEMPORARY CONTINUATION OF HOUSING ALLOWANCE
          FOR DEPENDENTS OF MEMBERS DYING ON ACTIVE DUTY TO SPOUSES WHO ARE
          ALSO MEMBERS.
        (a) Extension.--Section 403(l) of title 37, United States Code, is
    amended--
            (1) by redesignating paragraph (3) as paragraph (4); and
            (2) by inserting after paragraph (2) the following new
        paragraph:
        ``(3) An allowance may be paid under paragraph (2) to the spouse of
    the deceased member even though the spouse is also a member of the
    uniformed services. The allowance paid under such paragraph is in
    addition to any other pay and allowances to which the spouse is
    entitled as a member.''.
        (b) Effective Date.--
            (1) General rule.--The amendments made by subsection (a) shall
        take effect on October 1, 2006.
            (2) Transitional rule.--After October 1, 2006, the Secretary of
        Defense, and the Secretary of Homeland Security in the case of the
        Coast Guard, may pay the allowance authorized by section 403(l)(2)
        of title 37, United States Code, to a member of the uniformed
        services who is the spouse of a member who died on active duty
        during the one-year period ending on that date, except that the
        payment of the allowance must terminate within 365 days after the
        date of the member's death.
        SEC. 606. PAYMENT OF FULL PREMIUM FOR COVERAGE UNDER
          SERVICEMEMBERS' GROUP LIFE INSURANCE PROGRAM DURING SERVICE IN
          OPERATION ENDURING FREEDOM OR OPERATION IRAQI FREEDOM.
        (a) Enhanced Allowance To Cover SGLI Deductions.--Subsection (a)(1)
    of section 437 of title 37, United States Code, is amended by striking
    ``for the first $150,000'' and all that follows through ``of such
    title'' and inserting ``for the amount of Servicemembers' Group Life
    Insurance coverage held by the member under section 1967 of such
    title''.
        (b) Conforming Amendments.--Such section is further amended--
            (1) in subsection (a)--
                (A) by striking ``(1)'' before ``in the case of''; and
                (B) by striking paragraph (2);
            (2) by striking subsection (b); and
            (3) by redesignating subsection (c) as subsection (b) and in
        paragraph (2) of that subsection by striking ``coverage amount
        specified in subsection (a)(1) or in effect pursuant to subsection
        (b),'' and inserting ``maximum coverage amount available for such
        insurance,''.
        (c) Clerical Amendments.--The heading for such section, and the
    item relating to such section in the table of sections at the beginning
    of chapter 7 of such title, are each amended by striking the fourth and
    fifth words.
        (d) Effective Date.--The amendments made by this section shall take
    effect on the first day of the first month beginning on or after the
    date of the enactment of this Act and shall apply with respect to
    service by members of the Armed Forces in the theater of operations for
    Operation Enduring Freedom or Operation Iraqi Freedom for months
    beginning on or after that date.
        SEC. 607. CLARIFICATION OF EFFECTIVE DATE OF PROHIBITION ON
          COMPENSATION FOR CORRESPONDENCE COURSES.
        Section 206(d) of title 37, United States Code, is amended by
    adding at the end the following new paragraph:
        ``(3) The prohibition in paragraph (1), including the prohibition
    as it relates to a member of the National Guard while not in Federal
    service, applies to--
            ``(A) any work or study performed on or after September 7,
        1962, unless that work or study is specifically covered by the
        exception in paragraph (2); and
            ``(B) any claim based on that work or study arising after that
        date.''.
        SEC. 608. EXTENSION OF PILOT PROGRAM ON CONTRIBUTIONS TO THRIFT
          SAVINGS PLAN FOR INITIAL ENLISTEES IN THE ARMY.
        (a) Extension.--Subsection (a) of section 606 of the National
    Defense Authorization Act for Fiscal Year 2006 (Public Law 109-163; 119
    Stat. 3287; 37 U.S.C. 211 note) is amended by striking ``During fiscal
    year 2006'' and inserting ``During the period beginning on January 6,
    2006, and ending on December 31, 2008''.
        (b) Report Date.--Subsection (d)(1) of such section is amended by
    striking ``February 1, 2007'' and inserting ``February 1, 2008''.

               Subtitle B--Bonuses and Special and Incentive Pays

        SEC. 611. EXTENSION OF CERTAIN BONUS AND SPECIAL PAY AUTHORITIES
          FOR RESERVE FORCES.
        (a) Selected Reserve Reenlistment Bonus.--Section 308b(g) of title
    37, United States Code, is amended by striking ``December 31, 2006''
    and inserting ``December 31, 2007''.
        (b) Selected Reserve Affiliation or Enlistment Bonus.--Section
    308c(i) of such title is amended by striking ``December 31, 2006'' and
    inserting ``December 31, 2007''.
        (c) Special Pay for Enlisted Members Assigned to Certain High
    Priority Units.--Section 308d(c) of such title is amended by striking
    ``December 31, 2006'' and inserting ``December 31, 2007''.
        (d) Ready Reserve Enlistment Bonus for Persons Without Prior
    Service.--Section 308g(f)(2) of such title is amended by striking
    ``December 31, 2006'' and inserting ``December 31, 2007''.
        (e) Ready Reserve Enlistment and Reenlistment Bonus for Persons
    With Prior Service.--Section 308h(e) of such title is amended by
    striking ``December 31, 2006'' and inserting ``December 31, 2007''.
        (f) Selected Reserve Enlistment Bonus for Persons With Prior
    Service.--Section 308i(f) of such title is amended by striking
    ``December 31, 2006'' and inserting ``December 31, 2007''.
        SEC. 612. EXTENSION OF CERTAIN BONUS AND SPECIAL PAY AUTHORITIES
          FOR HEALTH CARE PROFESSIONALS.
        (a) Nurse Officer Candidate Accession Program.--Section 2130a(a)(1)
    of title 10, United States Code, is amended by striking ``December 31,
    2006'' and inserting ``December 31, 2007''.
        (b) Repayment of Education Loans for Certain Health Professionals
    Who Serve in the Selected Reserve.--Section 16302(d) of such title is
    amended by striking ``January 1, 2007'' and inserting ``January 1,
    2008''.
        (c) Accession Bonus for Registered Nurses.--Section 302d(a)(1) of
    title 37, United States Code, is amended by striking ``December 31,
    2006'' and inserting ``December 31, 2007''.
        (d) Incentive Special Pay for Nurse Anesthetists.--Section
    302e(a)(1) of such title is amended by striking ``December 31, 2006''
    and inserting ``December 31, 2007''.
        (e) Special Pay for Selected Reserve Health Professionals in
    Critically Short Wartime Specialties.--Section 302g(e) of such title is
    amended by striking ``December 31, 2006'' and inserting ``December 31,
    2007''.
        (f) Accession Bonus for Dental Officers.--Section 302h(a)(1) of
    such title is amended by striking ``December 31, 2006'' and inserting
    ``December 31, 2007''.
        (g) Accession Bonus for Pharmacy Officers.--Section 302j(a) of such
    title is amended by striking ``December 31, 2006'' and inserting
    ``December 31, 2007''.
        SEC. 613. EXTENSION OF SPECIAL PAY AND BONUS AUTHORITIES FOR
          NUCLEAR OFFICERS.
        (a) Special Pay for Nuclear-Qualified Officers Extending Period of
    Active Service.--Section 312(e) of title 37, United States Code, is
    amended by striking ``December 31, 2006'' and inserting ``December 31,
    2007''.
        (b) Nuclear Career Accession Bonus.--Section 312b(c) of such title
    is amended by striking ``December 31, 2006'' and inserting ``December
    31, 2007''.
        (c) Nuclear Career Annual Incentive Bonus.--Section 312c(d) of such
    title is amended by striking ``December 31, 2006'' and inserting
    ``December 31, 2007''.
        SEC. 614. EXTENSION OF AUTHORITIES RELATING TO PAYMENT OF OTHER
          BONUSES AND SPECIAL PAYS.
        (a) Aviation Officer Retention Bonus.--Section 301b(a) of title 37,
    United States Code, is amended by striking ``December 31, 2006'' and
    inserting ``December 31, 2007''.
        (b) Assignment Incentive Pay.--Section 307a(g) of such title is
    amended by striking ``December 31, 2007'' and inserting ``December 31,
    2008''.
        (c) Reenlistment Bonus for Active Members.--Section 308(g) of such
    title is amended by striking ``December 31, 2006'' and inserting
    ``December 31, 2007''.
        (d) Enlistment Bonus.--Section 309(e) of such title is amended by
    striking ``December 31, 2006'' and inserting ``December 31, 2007''.
        (e) Retention Bonus for Members With Critical Military Skills or
    Assigned to High Priority Units.--Section 323(i) of such title is
    amended by striking ``December 31, 2006'' and inserting ``December 31,
    2007''.
        (f) Accession Bonus for New Officers in Critical Skills.--Section
    324(g) of such title is amended by striking ``December 31, 2006'' and
    inserting ``December 31, 2007''.
        (g) Incentive Bonus for Conversion to Military Occupational
    Specialty to Ease Personnel Shortage.--Section 326(g) of such title is
    amended by striking ``December 31, 2006'' and inserting ``December 31,
    2007''.
        (h) Incentive Bonus for Transfer Between the Armed Forces.--Section
    327(h) of such title is amended by striking ``December 31, 2006'' and
    inserting ``December 31, 2009''.
        SEC. 615. EXPANSION OF ELIGIBILITY OF DENTAL OFFICERS FOR
          ADDITIONAL SPECIAL PAY.
        (a) Repeal of Internship and Residency Exception.--Section
    302b(a)(4) of title 37, United States Code, is amended by striking the
    first sentence and inserting the following new sentence: ``An officer
    who is entitled to variable special pay under paragraph (2) or (3) is
    also entitled to additional special pay for any 12-month period during
    which an agreement executed under subsection (b) is in effect with
    respect to the officer.''.
        (b) Effective Date.--The amendment made by this section shall take
    effect on October 1, 2006.
        SEC. 616. INCREASE IN MAXIMUM ANNUAL RATE OF SPECIAL PAY FOR
          SELECTED RESERVE HEALTH CARE PROFESSIONALS IN CRITICALLY SHORT
          WARTIME SPECIALTIES.
        (a) Increase.--Section 302g(a) of title 37, United States Code, is
    amended by striking ``$10,000'' and inserting ``$25,000''.
        (b) Effective Date.--The amendment made by subsection (a) shall
    take effect on October 1, 2006, and shall apply to agreements entered
    into or revised under section 302g of title 37, United States Code, on
    or after that date.
        SEC. 617. EXPANSION AND ENHANCEMENT OF ACCESSION BONUS AUTHORITIES
          FOR CERTAIN OFFICERS IN HEALTH CARE SPECIALITIES.
        (a) Increase in Maximum Amount of Accession Bonus for Dental
    Officers.--Section 302h(a)(2) of title 37, United States Code, is
    amended by striking ``$30,000'' and inserting ``$200,000''.
        (b) Accession Bonus for Medical Officers in Critically Short
    Wartime Specialities.--Chapter 5 of title 37, United States Code, is
    amended by inserting after section 302j the following new section:

    ``Sec. 302k. Special pay: accession bonus for medical officers in
                critically short wartime specialties

        ``(a) Accession Bonus Authorized.--A person who is a graduate of an
    accredited school of medicine or osteopathy in a specialty designated
    by regulations as a critically short wartime specialty and who executes
    a written agreement described in subsection (d) to accept a commission
    as an officer of the armed forces and remain on active duty for a
    period of not less than four consecutive years may, upon the acceptance
    of the agreement by the Secretary concerned, be paid an accession bonus
    in the amount determined by the Secretary concerned.
        ``(b) Amount of Bonus.--The amount of an accession bonus under
    subsection (a) may not exceed $400,000.
        ``(c) Limitation on Eligibility for Bonus.--A person may not be
    paid a bonus under subsection (a) if--
            ``(1) the person, in exchange for an agreement to accept an
        appointment as an officer, received financial assistance from the
        Department of Defense to pursue a course of study in medicine or
        osteopathy; or
            ``(2) the Secretary concerned determines that the person is not
        qualified to become and remain certified as a doctor or osteopath
        in a specialty designated by regulations as a critically short
        wartime specialty.
        ``(d) Agreement.--The agreement referred to in subsection (a) shall
    provide that, consistent with the needs of the armed force concerned,
    the person executing the agreement will be assigned to duty, for the
    period of obligated service covered by the agreement, as an officer of
    the Medical Corps of the Army or the Navy or as an officer of the Air
    Force designated as a medical officer in a specialty designated by
    regulations as a critically short wartime specialty.
        ``(e) Repayment.--A person who, after executing an agreement under
    subsection (a) is not commissioned as an officer of the armed forces,
    does not become licensed as a doctor or osteopath, as the case may be,
    or does not complete the period of active duty in a specialty specified
    in the agreement, shall be subject to the repayment provisions of
    section 303a(e) of this title.
        ``(f) Termination of Authority.--No agreement under this section
    may be entered into after December 31, 2007.''.
        (c) Accession Bonus for Dental Specialist Officers in Critically
    Short Wartime Specialities.--Such chapter is further amended by
    inserting after section 302k, as added by subsection (b), the following
    new section:

    ``Sec. 302l. Special pay: accession bonus for dental specialist
                officers in critically short wartime specialties

        ``(a) Accession Bonus Authorized.--A person who is a graduate of an
    accredited dental school in a specialty designated by regulations as a
    critically short wartime specialty and who executes a written agreement
    described in subsection (d) to accept a commission as an officer of the
    armed forces and remain on active duty for a period of not less than
    four consecutive years may, upon the acceptance of the agreement by the
    Secretary concerned, be paid an accession bonus in the amount
    determined by the Secretary concerned.
        ``(b) Amount of Bonus.--The amount of an accession bonus under
    subsection (a) may not exceed $400,000.
        ``(c) Limitation on Eligibility for Bonus.--A person may not be
    paid a bonus under subsection (a) if--
            ``(1) the person, in exchange for an agreement to accept an
        appointment as an officer, received financial assistance from the
        Department of Defense to pursue a course of study in dentistry; or
            ``(2) the Secretary concerned determines that the person is not
        qualified to become and remain certified as a dentist in a
        specialty designated by regulations as a critically short wartime
        specialty.
        ``(d) Agreement.--The agreement referred to in subsection (a) shall
    provide that, consistent with the needs of the armed force concerned,
    the person executing the agreement will be assigned to duty, for the
    period of obligated service covered by the agreement, as an officer of
    the Dental Corps of the Army or the Navy or as an officer of the Air
    Force designated as a dental officer in a specialty designated by
    regulations as a critically short wartime specialty.
        ``(e) Repayment.--A person who, after executing an agreement under
    subsection (a) is not commissioned as an officer of the armed forces,
    does not become licensed as a dentist, or does not complete the period
    of active duty in a specialty specified in the agreement, shall be
    subject to the repayment provisions of section 303a(e) of this title.
        ``(f) Coordination With Other Accession Bonus Authority.--A person
    eligible to execute an agreement under both subsection (a) and section
    302h of this title shall elect which authority to execute the agreement
    under. A person may not execute an agreement under both subsection (a)
    and such section 302h.
        ``(g) Termination of Authority.--No agreement under this section
    may be entered into after December 31, 2007.''.
        (d) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by inserting after the item relating to section
    302j the following new items:

    ``302k. Special pay: accession bonus for medical officers in critically
              short wartime specialties.
    ``302l. Special pay: accession bonus for dental specialist officers in
              critically short wartime specialties.''.

        (e) Effective Date.--The amendments made by this section shall take
    effect on October 1, 2006, and shall apply to agreements--
            (1) entered into or revised under section 302h of title 37,
        United States Code, on or after that date; or
            (2) entered into under section 302k or 302l of such title, as
        added by subsections (b) and (c), on or after that date.
        SEC. 618. AUTHORITY TO PROVIDE LUMP SUM PAYMENT OF NUCLEAR OFFICER
          INCENTIVE PAY.
        (a) Lump Sum Payment Option.--Subsection (a) of section 312 of
    title 37, United States Code, is amended in the matter after paragraph
    (3)--
            (1) by striking ``in equal annual installments'' and inserting
        ``in a single lump-sum or in annual installments of equal or
        different amounts''; and
            (2) by striking ``with the number of installments being equal
        to the number of years covered by the contract plus one'' and
        inserting ``and, if the special pay will be paid in annual
        installments, the number of installments may not exceed the number
        of years covered by the agreement plus one''.
        (b) Stylistic and Conforming Amendments.--Such section is further
    amended--
            (1) by redesignating subsections (b) through (e) as subsections
        (c) through (f), respectively;
            (2) in subsection (a)--
                (A) by striking ``an officer'' in the matter before
            paragraph (1) and inserting ``the Secretary may pay special pay
            under subsection (b) to an officer'';
                (B) by striking the comma at the end of paragraph (3) and
            inserting a period;
                (C) by striking ``may, upon'' and all that follows through
            ``The Secretary of the Navy shall'' and inserting the
            following:
        ``(b) Payment Amount; Payment Options.--(1) The total amount paid
    to an officer under an agreement under subsection (a) or (e)(1) may not
    exceed $30,000 for each year of the active-service agreement. Amounts
    paid under the agreement are in addition to all other compensation to
    which the officer is entitled.
        ``(2) The Secretary shall'';
                (D) by striking ``Upon acceptance of the agreement by the
            Secretary or his designee'' and inserting the following:
        ``(3) Upon acceptance of an agreement under subsection (a) or
    (e)(1) by the Secretary''; and
                (E) by striking ``The Secretary (or his designee)'' and
            inserting the following:
        ``(4) The Secretary'';
            (3) in subsection (c), as redesignated by paragraph (1), by
        striking ``subsection (a) or subsection (d)(1)'' and inserting
        ``subsection (b) or (e)(1)''; and
            (4) in the first sentence of subsection (e)(1), as redesignated
        by paragraph (1)--
                (A) by striking ``such subsection'' and inserting
            ``subsection (b)''; and
                (B) by striking ``that subsection'' and inserting ``this
            subsection''.
        (c) Stylistic Amendments.--Such section is further amended--
            (1) in subsection (a), by inserting ``Special Pay Authorized;
        Eligibility.--'' after ``(a)'';
            (2) in subsection (c), as redesignated by subsection (b)(1), by
        inserting ``Repayment.--'' after ``(c)'';
            (3) in subsection (d), as redesignated by subsection (b)(1), by
        inserting ``Relation to Service Obligation.--'' after ``(d)'';
            (4) in subsection (e), as redesignated by subsection (b)(1), by
        inserting ``New Agreement.--'' after ``(e)''; and
            (5) in subsection (f), as redesignated by subsection (b)(1), by
        inserting ``Duration of Authority.--'' after ``(f)''.
        SEC. 619. INCREASE IN MAXIMUM AMOUNT OF NUCLEAR CAREER ACCESSION
          BONUS.
        (a) Increase.--Section 312b(a)(1) of title 37, United States Code,
    is amended by striking ``$20,000'' and inserting ``$30,000''.
        (b) Effective Date.--The amendment made by subsection (a) shall
    take effect on October 1, 2006, and shall apply to agreements entered
    into or revised under section 312b of title 37, United States Code, on
    or after that date.
        SEC. 620. INCREASE IN MAXIMUM AMOUNT OF INCENTIVE BONUS FOR
          TRANSFER BETWEEN ARMED FORCES.
        (a) Increase.--Section 327(d)(1) of title 37, United States Code,
    is amended by striking ``$2,500'' and inserting ``$10,000''.
        (b) Effective Date.--The amendment made by subsection (a) shall
    take effect on October 1, 2006, and shall apply to agreements entered
    into or revised under section 327 of title 37, United States Code, on
    or after that date.
        SEC. 621. ADDITIONAL AUTHORITIES AND INCENTIVES TO ENCOURAGE
          RETIRED MEMBERS AND RESERVE COMPONENT MEMBERS TO VOLUNTEER TO
          SERVE ON ACTIVE DUTY IN HIGH-DEMAND, LOW-DENSITY ASSIGNMENTS.
        (a) Authority To Offer Incentive Bonus.--Chapter 5 of title 37,
    United States Code, is amended by adding at the end the following new
    section:

    ``Sec. 329. Incentive bonus: retired members and reserve component
                members volunteering for high-demand, low-density
                assignments

        ``(a) Incentive Bonus Authorized.--The Secretary of Defense may pay
    a bonus under this section to a retired member or former member of the
    Army, Navy, Air Force, or Marine Corps or to a member of a reserve
    component of the Army, Navy, Air Force, or Marine Corps (who is not
    otherwise serving on active duty) who executes a written agreement to
    serve on active duty for a period specified in the agreement in an
    assignment intended to alleviate the need for members in a high-demand,
    low-density military capability or in any other specialty designated by
    the Secretary as critical to meet wartime or peacetime requirements.
        ``(b) Maximum Amount of Bonus.--A bonus under subsection (a) and
    any incentive developed under subsection (d) may not exceed $50,000.
        ``(c) Methods of Payment.--At the election of the Secretary of
    Defense, a bonus under subsection (a) and any incentive developed under
    subsection (d) shall be paid or provided--
            ``(1) when the member commences service on active duty; or
            ``(2) in annual installments in such amounts as may be
        determined by the Secretary.
        ``(d) Development of Additional Incentives.--(1) The Secretary of
    Defense may develop and provide to members referred to in subsection
    (a) additional incentives to encourage such members to return to active
    duty in assignments intended to alleviate the need for members in a
    high-demand, low-density military capability or in other specialties
    designated by the Secretary as critical to meet wartime or peacetime
    requirements.
        ``(2) The provision of any incentive developed under this
    subsection shall be subject to an agreement, as required for bonuses
    under subsection (a).
        ``(3) Not later than 30 days before first offering any incentive
    developed under this subsection, the Secretary shall submit to the
    congressional defense committees a report that contains a description
    of that incentive and an explanation why a bonus under subsection (a)
    or other pay and allowances are not sufficient to alleviate the high-
    demand, low-density military capability or otherwise fill critical
    military specialties.
        ``(4) In this subsection, the term `congressional defense
    committees' has the meaning given that term in section 101(a)(16) of
    title 10.
        ``(e) Relationship to Other Pay and Allowances.--A bonus or other
    incentive paid or provided to a member under this section is in
    addition to any other pay and allowances to which the member is
    entitled.
        ``(f) Prohibition on Promotions.--The written agreement required by
    subsections (a) and (d) shall specify that a member who is paid or
    receives a bonus or other incentive under this section is not eligible
    for promotion while serving in the assignment for which the bonus or
    other incentive is provided.
        ``(g) Repayment.--A member who does not complete the period of
    active duty specified in the agreement executed under subsection (a) or
    (d) shall be subject to the repayment provisions of section 303a(e) of
    this title.
        ``(h) High-Demand, Low-Density Military Capability.--In this
    section, the term `high-demand, low-density military capability' means
    a combat, combat support or service support capability, unit, system,
    or occupational specialty that the Secretary of Defense determines has
    funding, equipment, or personnel levels that are substantially below
    the levels required to fully meet or sustain actual or expected
    operational requirements set by regional commanders.
        ``(i) Regulations.--The Secretary of Defense may prescribe such
    regulations as the Secretary considers necessary to carry out this
    section.
        ``(j) Termination of Authority.--No agreement under subsection (a)
    or (d) may be entered into after December 31, 2010.''.
        (b) Temporary Authority to Order Retired Members to Active Duty in
    High-Demand, Low-Density Military Capability.--Section 688a of title
    10, United States Code, is amended--
            (1) in subsection (a)--
                (A) by striking the first sentence and inserting the
            following new sentence: ``The Secretary of a military
            department may order to active duty a retired member who agrees
            to serve on active duty in an assignment intended to alleviate
            a high-demand, low-density military capability or in any other
            specialty designated by the Secretary as critical to meet
            wartime or peacetime requirements.''; and
                (B) in the second sentence, by striking ``officer'' both
            places it appears and inserting ``member'';
            (2) in subsection (b), by striking ``an officer'' and inserting
        ``a member'';
            (3) in subsection (c), by striking ``500 officers'' and
        inserting ``1,000 members'';
            (4) in subsection (d), by striking ``officer'' and inserting
        ``member'';
            (5) in subsection (e), by striking ``Officers'' and inserting
        ``Retired members'';
            (6) in subsection (f)--
                (A) by striking ``An officer'' and inserting ``A retired
            member''; and
                (B) by striking ``September 30, 2008'' and inserting
            ``December 31, 2010''; and
            (7) by adding at the end the following new subsection:
        ``(g) High-Demand, Low-Density Military Capability Defined.--In
    this section, the term `high-demand, low-density military capability'
    means a combat, combat support or service support capability, unit,
    system, or occupational specialty that the Secretary of Defense
    determines has funding, equipment, or personnel levels that are
    substantially below the levels required to fully meet or sustain actual
    or expected operational requirements set by regional commanders.''.
        (c) Exclusion From Active-Duty List.--Section 641 of title 10,
    United States Code, is amended by adding at the end the following new
    paragraph:
            ``(6) Officers appointed pursuant to an agreement under section
        329 of title 37.''.
        (d) Clerical Amendments.--
            (1) Title 37.--The table of sections at the beginning of
        chapter 5 of title 37, United States Code, is amended by adding at
        the end the following new item:

    ``329. Incentive bonus: retired members and reserve component members
              volunteering for high-demand, low-density assignments.''.

            (2) Title 10.--(A) The heading of section 688a of title 10,
        United States Code, is amended to read as follows:

    ``Sec. 688a. Retired members: temporary authority to order to active
                duty in high-demand, low-density assignments''.

            (B) The table of sections at the beginning of chapter 39 of
        such title is amended by striking the item relating to section 688a
        and inserting the following new item:

    ``688a. Retired members: temporary authority to order to active duty in
              high-demand, low-density assignments.''.

        (e) Effective Date.--No agreement may be entered into under section
    329 of title 37, United States Code, as added by subsection (a), before
    October 1, 2006.
        (f) Limitation on Fiscal Year 2007 Obligations.--During fiscal year
    2007, obligations incurred under section 329 of title 37, United States
    Code, as added by subsection (a), to provide bonuses or other
    incentives to retired members and former members of the Army, Navy, Air
    Force, or Marine Corps or to members of the reserve components of the
    Army, Navy, Air Force, and Marine Corps may not exceed $5,000,000.
        SEC. 622. ACCESSION BONUS FOR MEMBERS OF THE ARMED FORCES APPOINTED
          AS COMMISSIONED OFFICERS AFTER COMPLETING OFFICER CANDIDATE
          SCHOOL.
        (a) Accession Bonus Authorized.--
            (1) In general.--Chapter 5 of title 37, United States Code, is
        amended by inserting after section 329, as added by section 621 of
        this Act, the following new section:

    ``Sec. 330. Special pay: accession bonus for officer candidates

        ``(a) Accession Bonus Authorized.--Under regulations prescribed by
    the Secretary concerned, a person who executes a written agreement
    described in subsection (c) may be paid an accession bonus under this
    section upon acceptance of the agreement by the Secretary concerned.
        ``(b) Amount of Bonus.--The amount of an accession bonus under
    subsection (a) may not exceed $8,000.
        ``(c) Agreement.--A written agreement referred to in subsection (a)
    is a written agreement by a person--
            ``(1) to complete officer candidate school;
            ``(2) to accept a commission or appointment as an officer of
        the armed forces; and
            ``(3) to serve on active duty as a commissioned officer for a
        period specified in the agreement.
        ``(d) Payment Method.--Upon acceptance of a written agreement under
    subsection (a) by the Secretary concerned, the total amount of the
    accession bonus payable under the agreement becomes fixed. The
    agreement shall specify whether the accession bonus will be paid in a
    lump sum or installments.
        ``(e) Repayment.--A person who, having received all or part of the
    bonus under a written agreement under subsection (a), does not complete
    the total period of active duty as a commissioned officer as specified
    in such agreement shall be subject to the repayment provisions of
    section 303a(e) of this title.
        ``(f) Termination of Authority.--No agreement under this section
    may be entered into after December 31, 2007.''.
            (2) Clerical amendment.--The table of sections at the beginning
        of such chapter is amended by inserting after the item relating to
        section 329, as added by section 621, the following new item:

    ``330. Special pay: accession bonus for officer candidates.''.

            (3) Effective date.--The amendments made by this subsection
        shall take effect on October 1, 2006.
        (b) Authority for Payment of Bonus Under Earlier Agreements.--
            (1) Authority.--The Secretary of the Army may pay a bonus to
        any person who, during the period beginning on April 1, 2005, and
        ending on April 6, 2006, executed an agreement to enlist for the
        purpose of attending officer candidate school and receive a bonus
        under section 309 of title 37, United States Code, and who has
        completed the terms of the agreement required for payment of the
        bonus.
            (2) Amount of bonus.--The amount of the bonus payable to a
        person under this subsection may not exceed $8,000.
            (3) Relation to enlistment bonus.--The bonus payable under this
        subsection is in addition to a bonus payable under section 309 of
        title 37, United States Code, or any other provision of law.
        SEC. 623. MODIFICATION OF CERTAIN AUTHORITIES APPLICABLE TO THE
          TARGETED SHAPING OF THE ARMED FORCES.
        (a) Voluntary Separation Pay and Benefits.--
            (1) Increase in maximum amount of pay.--Subsection (f) of
        section 1175a of title 10, United States Code, is amended by
        striking ``two times'' and inserting ``four times''.
            (2) Extension of authority.--Subsection (k)(1) of such section
        is amended by striking ``December 31, 2008'' and inserting
        ``December 31, 2012''.
            (3) Repeal of limitation on applicability.--Subsection (b) of
        section 643 of the National Defense Authorization Act for Fiscal
        Year 2006 (Public Law 109-163; 119 Stat. 3310; 10 U.S.C. 1175a
        note) is repealed.
        (b) Enhanced Authority for Early Discharges.--
            (1) Renewal of authority.--Subsection (a) of section 638a of
        title 10, United States Code, is amended by inserting ``and for the
        purpose of subsection (b)(4) during the period beginning on October
        1, 2006, and ending on December 31, 2012,'' after ``December 31,
        2001,''.
            (2) Relaxation of limitation on selective early discharge.--
        Subsection (d)(2) of such section is amended--
                (A) in subparagraph (A), by inserting before the semicolon
            the following: ``, except that during the period beginning on
            October 1, 2006, and ending on December 31, 2012, such number
            may be more than 30 percent of the officers considered in each
            competitive category, but may not be more than 30 percent of
            the number of officers considered in each grade''; and
                (B) in subparagraph (B), by inserting before the period the
            following: ``, except that during the period beginning on
            October 1, 2006, and ending on December 31, 2012, such number
            may be more than 30 percent of the officers considered in each
            competitive category, but may not be more than 30 percent of
            the number of officers considered in each grade''.
        SEC. 624. ENHANCEMENT OF BONUS TO ENCOURAGE CERTAIN PERSONS TO
          REFER OTHER PERSONS FOR ENLISTMENT IN THE ARMY.
        (a) Individuals Eligible for Bonus.--Subsection (a) of section 645
    of the National Defense Authorization Act for Fiscal Year 2006 (Public
    Law 109-163; 119 Stat. 3310) is amended--
            (1) by striking ``The Secretary'' and inserting the following:
            ``(1) Authority.--The Secretary'';
            (2) by striking ``a member of the Army, whether in the regular
        component of the Army or in the Army National Guard or Army
        Reserve,'' and inserting ``an individual referred to in paragraph
        (2)''; and
            (3) by adding at the end the following new paragraph:
            ``(2) Individuals eligible for bonus.--Subject to subsection
        (c), the following individuals are eligible for a referral bonus
        under this section:
                ``(A) A member in the regular component of the Army.
                ``(B) A member of the Army National Guard.
                ``(C) A member of the Army Reserve.
                ``(D) A member of the Army in a retired status, including a
            member under 60 years of age who, but for age, would be
            eligible for retired pay.
                ``(E) A civilian employee of the Department of the Army.''.
        (b) Certain Referrals Ineligible.--Subsection (c) of such section
    is amended by adding at the end the following new paragraph:
            ``(3) Junior reserve officers' training corps instructors.--A
        member of the Army detailed under subsection (c)(1) of section 2031
        of title 10, United States Code, to serve as an administrator or
        instructor in the Junior Reserve Officers' Training Corps program
        or a retired member of the Army employed as an administrator or
        instructor in the program under subsection (d) of such section may
        not be paid a bonus under subsection (a).''.
        (c) Amount of Bonus.--Subsection (d) of such section is amended to
    read as follows:
        ``(d) Amount of Bonus.--The amount of the bonus payable for a
    referral under subsection (a) may not exceed $2,000. The amount shall
    be payable in two lump sums as provided in subsection (e).''.
        (d) Payment of Bonus.--Subsection (e) of such section is amended to
    read as follows:
        ``(e) Payment.--A bonus payable for a referral of a person under
    subsection (a) shall be paid as follows:
            ``(1) Not more than $1,000 shall be paid upon the commencement
        of basic training by the person referred.
            ``(2) Not more than $1,000 shall be paid upon the completion of
        basic training and individual advanced training by the person
        referred.''.
        (e) Coordination With Receipt of Retired Pay.--Such section is
    further amended--
            (1) by redesignating subsection (g) as subsection (h); and
            (2) by inserting after subsection (f) the following new
        subsection (g):
        ``(g) Coordination With Receipt of Retired Pay.--A bonus paid under
    this section to a member of the Army in a retired status is in addition
    to any compensation to which the member is entitled under title 10, 37,
    or 38, United States Code, or any other provision of law.''.
        (f) Effective Date.--The amendments made by this section shall take
    effect on the date of the enactment of this Act, and shall apply with
    respect to bonuses payable under section 645 of the National Defense
    Authorization Act for Fiscal Year 2006, as amended by this section, on
    or after that date.

                Subtitle C--Travel and Transportation Allowances

        SEC. 631. TRAVEL AND TRANSPORTATION ALLOWANCES FOR TRANSPORTATION
          OF FAMILY MEMBERS INCIDENT TO ILLNESS OR INJURY OF MEMBERS.
        Section 411h(b)(1) of title 37, United States Code, is amended--
            (1) by striking ``and'' at the end of subparagraph (C);
            (2) by striking the period at the end of subparagraph (D) and
        inserting ``; and''; and
            (3) by adding at the end the following new subparagraph:
            ``(E) a person related to the member as described in
        subparagraph (A), (B), (C), or (D) who is also a member of the
        uniformed services.''.

                 Subtitle D--Retired Pay and Survivor Benefits

        SEC. 641. RETIRED PAY OF GENERAL AND FLAG OFFICERS TO BE BASED ON
          RATES OF BASIC PAY PROVIDED BY LAW.
        (a) Determination of Retired Pay Base.--Chapter 71 of title 10,
    United States Code, is amended by inserting after section 1407 the
    following new section:

    ``Sec. 1407a. Retired pay base: officers retired in general or flag
                officer grades

        ``(a) Rates of Basic Pay to Be Used in Determination.--In a case in
    which the determination under section 1406 or 1407 of this title of the
    retired pay base applicable to the computation of the retired pay of a
    covered general or flag officer involves a rate of basic pay payable to
    that officer for any period that was subject to a reduction under
    section 203(a)(2) of title 37 for such period, such retired-pay-base
    determination shall be made using the rate of basic pay for such period
    provided by law, rather than such rate as so reduced.
        ``(b) Covered General and Flag Officers.--In this section, the term
    `covered general or flag officer' means a member or former member who
    after September 30, 2006, is retired in a general officer grade or flag
    officer grade.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by inserting after the item relating to section
    1407 the following new item:

    ``1407a.  Retired pay base: officers retired in general or flag officer
              grades.''.
        SEC. 642. INAPPLICABILITY OF RETIRED PAY MULTIPLIER MAXIMUM
          PERCENTAGE TO CERTAIN SERVICE OF MEMBERS OF THE ARMED FORCES IN
          EXCESS OF 30 YEARS.
        (a) In General.--Paragraph (3) of section 1409(b) of title 10,
    United States Code, is amended to read as follows:
            ``(3) 30 years of service.--
                ``(A) Retirement before january 1, 2007.--In the case of a
            member who retires before January 1, 2007, with more than 30
            years of creditable service, the percentage to be used under
            subsection (a) is 75 percent.
                ``(B) Retirement after december 31, 2006.--In the case of a
            member who retires after December 31, 2006, with more than 30
            years of creditable service, the percentage to be used under
            subsection (a) is the sum of--
                    ``(i) 75 percent; and
                    ``(ii) the product (stated as a percentage) of--

                        ``(I) 2\1/2\; and
                        ``(II) the member's years of creditable service (as
                    defined in subsection (c)) in excess of 30 years of
                    creditable service, under conditions authorized for
                    purposes of this subparagraph during a period
                    designated by the Secretary of Defense for purposes of
                    this subparagraph.''.

        (b) Retired Pay for Non-Regular Service.--Section 12739(c) of such
    title is amended--
            (1) by striking ``The total amount'' and inserting ``(1) Except
        as provided in paragraph (2), the total amount''; and
            (2) by adding at the end the following new paragraph:
            ``(2) In the case of a person who retires after December 31,
        2006, with more than 30 years of service credited to that person
        under section 12733 of this title, the total amount of the monthly
        retired pay computed under subsections (a) and (b) may not exceed
        the sum of--
                ``(A) 75 percent of the retired pay base upon which the
            computation is based; and
                ``(B) the product of--
                    ``(i) the retired pay base upon which the computation
                is based; and
                    ``(ii) 2\1/2\ percent of the years of service credited
                to that person under section 12733 of this title, for
                service under conditions authorized for purposes of this
                paragraph during a period designated by the Secretary of
                Defense for purposes of this paragraph.''.
        SEC. 643. MILITARY SURVIVOR BENEFIT PLAN BENEFICIARIES UNDER
          INSURABLE INTEREST COVERAGE.
        (a) Authority to Elect New Beneficiary.--Section 1448(b)(1) of
    title 10, United States Code, is amended--
            (1) by inserting ``or under subparagraph (G) of this
        paragraph'' in the second sentence of subparagraph (E) before the
        period at the end; and
            (2) by adding at the end the following new subparagraph:
                ``(G) Election of new beneficiary upon death of previous
            beneficiary.--
                    ``(i) Authority for election.--If the reason for
                discontinuation in the Plan is the death of the
                beneficiary, the participant in the Plan may elect a new
                beneficiary. Any such beneficiary must be a natural person
                with an insurable interest in the participant. Such an
                election may be made only during the 180-day period
                beginning on the date of the death of the previous
                beneficiary.
                    ``(ii) Procedures.--Such an election shall be in
                writing, signed by the participant, and made in such form
                and manner as the Secretary concerned may prescribe. Such
                an election shall be effective the first day of the first
                month following the month in which the election is received
                by the Secretary.
                    ``(iii) Vitiation of election by participant who dies
                within two years of election.--If a person providing an
                annuity under a election under clause (i) dies before the
                end of the two-year period beginning on the effective date
                of the election--

                        ``(I) the election is vitiated; and
                        ``(II) the amount by which the person's retired pay
                    was reduced under section 1452 of this title that is
                    attributable to the election shall be paid in a lump
                    sum to the person who would have been the deceased
                    person's beneficiary under the vitiated election if the
                    deceased person had died after the end of such two-year
                    period.''.

        (b) Change in Premium for Coverage of New Beneficiary.--Section
    1452(c) of such title is amended by adding at the end the following new
    paragraph:
            ``(5) Rule for designation of new insurable interest
        beneficiary following death of original beneficiary.--The Secretary
        of Defense shall prescribe in regulations premiums which a
        participant making an election under section 1448(b)(1)(G) of this
        title shall be required to pay for participating in the Plan
        pursuant to that election. The total amount of the premiums to be
        paid by a participant under the regulations shall be equal to the
        sum of the following:
                ``(A) The total additional amount by which the retired pay
            of the participant would have been reduced before the effective
            date of the election if the original beneficiary (i) had not
            died and had been covered under the Plan through the date of
            the election, and (ii) had been the same number of years
            younger than the participant (if any) as the new beneficiary
            designated under the election.
                ``(B) Interest on the amounts by which the retired pay of
            the participant would have been so reduced, computed from the
            dates on which the retired pay would have been so reduced at
            such rate or rates and according to such methodology as the
            Secretary of Defense determines reasonable.
                ``(C) Any additional amount that the Secretary determines
            necessary to protect the actuarial soundness of the Department
            of Defense Military Retirement Fund against any increased risk
            for the fund that is associated with the election.''.
        (c) Transition.--
            (1) Transition period.--In the case of a participant in the
        Survivor Benefit Plan who made a covered insurable-interest
        election (as defined in paragraph (2)) and whose designated
        beneficiary under that election dies before the date of the
        enactment of this Act or during the 18-month period beginning on
        such date, the time period applicable for purposes of the
        limitation in the third sentence of subparagraph (G)(i) of section
        1448(b)(1) of title 10, United States Code, as added by subsection
        (a), shall be the two-year period beginning on the date of the
        enactment of this Act (rather than the 180-day period specified in
        that sentence).
            (2) Covered insurable-interest elections.--For purposes of
        paragraph (1), a covered insurable-interest election is an election
        under section 1448(b)(1) of title 10, United States Code, made
        before the date of the enactment of this Act, or during the 18-
        month period beginning on such date, by a participant in the
        Survivor Benefit Plan to provide an annuity under that plan to a
        natural person with an insurable interest in that person.
            (3) Survivor benefit plan.--For purposes of this subsection,
        the term ``Survivor Benefit Plan'' means the program under
        subchapter II of chapter 73 of title 10, United States Code.
        SEC. 644. MODIFICATION OF ELIGIBILITY FOR COMMENCEMENT OF AUTHORITY
          FOR OPTIONAL ANNUITIES FOR DEPENDENTS UNDER THE SURVIVOR BENEFIT
          PLAN.
        (a) In General.--Section 1448(d)(2)(B) of title 10, United States
    Code, is amended by striking ``who dies after November 23, 2003'' and
    inserting ``who dies after October 7, 2001''.
        (b) Applicability.--Any annuity payable to a dependent child under
    subchapter II of chapter 73 of title 10, United States Code, by reason
    of the amendment made by subsection (a) shall be payable only for
    months beginning on or after the date of the enactment of this Act.
        SEC. 645. STUDY OF TRAINING COSTS, MANNING, OPERATIONS TEMPO, AND
          OTHER FACTORS THAT AFFECT RETENTION OF MEMBERS OF THE ARMED
          FORCES WITH SPECIAL OPERATIONS DESIGNATIONS.
        (a) Report Required.--Not later than August 1, 2007, the Secretary
    of Defense shall submit to the Committee on Armed Services of the
    Senate and the Committee on Armed Services of the House of
    Representatives a report on factors that affect retention of members of
    the Armed Forces who have a special operations forces designation.
        (b) Elements.--The report under subsection (a) shall include the
    following:
            (1) Information on the cost of training of members of the Armed
        Forces who have a special operations forces designation, with such
        information displayed separately and shown as aggregate costs of
        training for such members at the 4-year, 8-year, 12-year, 16-year,
        and 20-year points of service.
            (2) The average cost of special operations-unique training,
        both predeployment and during deployment, for the number of members
        of the Armed Forces who have a special operations forces
        designation who have been deployed at least twice to areas in which
        they were eligible for hostile fire pay.
            (3) For each component of the United States Special Operations
        Command, an estimate of when the assigned strength of that
        component will be under 90 percent of the authorized strength of
        that component, taking into account anticipated growth planned for
        in the most recent Quadrennial Defense Review.
            (4) The percentage of members of the Armed Forces with a
        special operations forces designation who have accumulated over 48
        months of hostile fire pay and the percentage who have accumulated
        over 60 months of such pay.

        Subtitle E--Commissary and Nonappropriated Fund Instrumentality
                                    Benefits

        SEC. 661. TREATMENT OF PRICE SURCHARGES OF CERTAIN MERCHANDISE SOLD
          AT COMMISSARY STORES.
        (a) Merchandise Procured From Exchanges.--Subsection (c)(3) of
    section 2484 of title 10, United States Code, is amended--
            (1) by inserting ``(A)'' after ``(3)'';
            (2) by striking ``Subsections'' and inserting ``Except as
        provided in subparagraph (B), subsections''; and
            (3) by adding at the end the following new subparagraph:
        ``(B) When a military exchange is the vendor of tobacco products or
    other merchandise authorized for sale in a commissary store under
    paragraph (1), any revenue above the cost of procuring the merchandise
    shall be allocated as if the revenue were a uniform sales price
    surcharge described in subsection (d).''.
        (b) Merchandise Treated as Noncommissary Store Inventory.--
    Subsection (g) of such section is amended--
            (1) by inserting ``(1)'' before ``Notwithstanding'';
            (2) by striking ``Subsections'' and inserting ``Except as
        provided in paragraph (2), subsections''; and
            (3) by adding at the end the following new paragraph:
        ``(2) When tobacco products are authorized for sale in a commissary
    store as noncommissary store inventory, any revenue above the cost of
    procuring the tobacco products shall be allocated as if the revenue
    were a uniform sales price surcharge described in subsection (d).''.
        SEC. 662. LIMITATIONS ON LEASE OF NON-EXCESS DEPARTMENT OF DEFENSE
          PROPERTY FOR PROTECTION OF MORALE, WELFARE, AND RECREATION
          ACTIVITIES AND REVENUE.
        (a) Additional Condition on Use of Lease Authority.--Subsection (b)
    section 2667 of title 10, United States Code, is amended--
            (1) in paragraph (4), by striking ``and'' at the end;
            (2) in paragraph (5), by striking the period and inserting ``;
        and''; and
            (3) by adding at the end the following new paragraph:
            ``(6) except as otherwise provided in subsection (d), shall
        require the lessee to provide the covered entities specified in
        paragraph (1) of that subsection the right to establish and operate
        a community support facility or provide community support services,
        or seek equitable compensation for morale, welfare, and recreation
        programs of the Department of Defense in lieu of the operation of
        such a facility or the provision of such services, if the Secretary
        determines that the lessee will provide merchandise or services in
        direct competition with covered entities through the lease.''.
        (b) Application of Condition; Waiver.--Such section is further
    amended--
            (1) by redesignating subsections (d) through (i) as subsections
        (e) through (j), respectively; and
            (2) by inserting after subsection (c) the following new
        subsection (d):
        ``(d) Community Support Facilities and Community Support Services
    Under Lease; Waiver.--(1) In this subsection and subsection (b)(6), the
    term `covered entity' means each of the following:
            ``(A) The Army and Air Force Exchange Service.
            ``(B) The Navy Exchange Service Command.
            ``(C) The Marine Corps exchanges.
            ``(D) The Defense Commissary Agency.
            ``(E) The revenue-generating nonappropriated fund activities of
        the Department of Defense conducted for the morale, welfare, and
        recreation of members of the armed forces.
        ``(2) The Secretary of a military department may waive the
    requirement in subsection (b)(6) with respect to a lease if--
            ``(A) the lease is entered into under subsection (g); or
            ``(B) the Secretary determines that the waiver is in the best
        interests of the Government.
        ``(3) The Secretary of the military department concerned shall
    provide to the congressional defense committees written notice of each
    waiver under paragraph (2), including the reasons for the waiver.
        ``(4) The covered entities shall exercise the right provided in
    subsection (b)(6) with respect to a lease, if at all, not later than 90
    days after receiving notice from the Secretary of the military
    department concerned regarding the opportunity to exercise such right
    with respect to the lease. The Secretary may, at the discretion of the
    Secretary, extend the period under this paragraph for the exercise of
    the right with respect to a lease for such additional period as the
    Secretary considers appropriate.
        ``(5) The Secretary of Defense shall prescribe in regulations
    uniform procedures and criteria for the evaluation of proposals for
    enhanced use leases involving the operation of community support
    facilities or the provision of community support services by either a
    lessee under this section or a covered entity.
        ``(6) The Secretary of the military department concerned shall
    provide written notification to the Committee on Armed Services of the
    Senate and the Committee on Armed Services of the House of
    Representatives regarding all leases under this section that include
    the operation of a community support facility or the provision of
    community support services, regardless of whether the facility will be
    operated by a covered entity or the lessee or the services will be
    provided by a covered entity or the lessee.''.
        (c) Definitions.--Subsection (i) of such section, as redesignated
    by subsection (b)(1) of this section, is amended to read as follows:
        ``(i) Definitions.--In this section:
            ``(1) The term `community support facility' includes an
        ancillary supporting facility (as that term is defined in section
        2871(1) of this title).
            ``(2) The term `community support services' includes revenue-
        generating food, recreational, lodging support services, and resale
        operations and other retail facilities and services intended to
        support a community.
            ``(3) The term `military installation' has the meaning given
        such term in section 2687(e)(1) of this title.''.
        (d) Stylistic, Technical, and Conforming Amendments.--Such section
    is further amended--
            (1) in subsection (a), by inserting ``Lease Authority.--''
        after ``(a)'';
            (2) in subsection (b), by inserting ``Conditions on Leases.--''
        after ``(b)'';
            (3) in subsection (c), by inserting ``Types of In-Kind
        Consideration.--'' after ``(c)'';
            (4) in subsection (e), as redesignated by subsection (b)(1) of
        this section--
                (A) by inserting ``Deposit and Use of Proceeds.--'' after
            ``(e)''; and
                (B) in paragraph (5), by striking ``subsection (f)'' and
            inserting ``subsection (g)'';
            (5) in subsection (f), as redesignated by subsection (b)(1) of
        this section, by inserting ``Treatment of Lessee Interest in
        Property.--'' after ``(f)'';
            (6) in subsection (g), as redesignated by subsection (b)(1) of
        this section--
                (A) by inserting ``Special Rules for Base Closure and
            Realignment Property.--'' after ``(g)''; and
                (B) in paragraph (1), by striking ``subsection (a)(3)'' and
            inserting ``subsection (a)(2)'';
            (7) in subsection (h), as redesignated by subsection (b)(1) of
        this section, by inserting ``Competitive Procedures for Selection
        of Certain Lessees; Exception.--'' after ``(h)''; and
            (8) in subsection (j), as redesignated by subsection (b)(1) of
        this section, by inserting ``Exclusion of Certain Lands.--'' after
        ``(j)''.
        SEC. 663. REPORT ON COST EFFECTIVENESS OF PURCHASING COMMERCIAL
          INSURANCE FOR COMMISSARY AND EXCHANGE FACILITIES AND FACILITIES
          OF OTHER MORALE, WELFARE, AND RECREATION PROGRAMS AND
          NONAPPROPRIATED FUND INSTRUMENTALITIES.
        (a) Report Required.--Not later than July 31, 2007, the Secretary
    of Defense shall submit to Congress a report evaluating the cost
    effectiveness of the Defense Commissary Agency and the nonappropriated
    fund activities specified in subsection (b) purchasing commercial
    insurance to protect financial interests in facilities operated by the
    Defense Commissary Agency or those nonappropriated fund activities.
        (b) Covered Nonappropriated Fund Activities.--The report shall
    apply with respect to--
            (1) the Army and Air Force Exchange Service;
            (2) the Navy Exchange Service Command;
            (3) the Marine Corps exchanges; and
            (4) any nonappropriated fund activity of the Department of
        Defense for the morale, welfare, and recreation of members of the
        Armed Forces.
        SEC. 664. STUDY AND REPORT REGARDING ACCESS OF DISABLED PERSONS TO
          MORALE, WELFARE, AND RECREATION FACILITIES AND ACTIVITIES.
        (a) Study Required.--The Secretary of Defense shall conduct a study
    regarding the current capability of morale, welfare, and recreation
    facilities and activities operated by nonappropriated fund
    instrumentalities of the Department of Defense to provide access to and
    accommodate disabled persons who are otherwise eligible to use such
    facilities or participate in such activities and the legal requirements
    regarding such access and accommodation applicable to these morale,
    welfare, and recreation facilities and activities, with specific
    attention to the applicability of section 504 of the Rehabilitation Act
    of 1973 (29 U.S.C. 794).
        (b) Elements of Study.--In conducting the study, the Secretary of
    Defense shall address at a minimum the following:
            (1) The current plans of the Secretary of Defense and the
        Secretaries of the military departments to improve the access and
        accommodation of disabled persons to morale, welfare, and
        recreation facilities and activities operated by nonappropriated
        fund instrumentalities of the Department of Defense, including
        plans to make available additional golf carts at military golf
        courses that are accessible for disabled persons authorized to use
        such courses, and whether any portion of these plans require
        congressional authorization or funding.
            (2) The timing and cost of making these morale, welfare, and
        recreation facilities and activities fully accessible to disabled
        persons.
            (3) The expected utilization rates of these morale, welfare,
        and recreation facilities and activities by disabled persons, if
        the facilities and activities were fully accessible to disabled
        persons.
            (4) Any legal requirements applicable to providing golf carts
        at military golf courses that are accessible for disabled persons
        authorized to use such courses and the current availability of
        accessible golf carts at such courses.
        (c) Report Required.--Not later than 180 days after the date of the
    enactment of this Act, the Secretary of Defense shall submit to
    Congress a report containing the results of the study and any related
    findings, conclusions, and recommendations that the Secretary considers
    to be appropriate concerning the access of disabled persons to morale,
    welfare, and recreation facilities and activities, and specifically the
    Secretary's conclusions on making accessible golf carts available at
    all military golf courses for use by disabled persons authorized to use
    such courses.

                           Subtitle F--Other Matters

        SEC. 670. LIMITATIONS ON TERMS OF CONSUMER CREDIT EXTENDED TO
          SERVICEMEMBERS AND DEPENDENTS.
        (a) Terms of Consumer Credit.--Chapter 49 of title 10, United
    States Code, is amended by adding at the end the following new section:

    ``Sec. 987. Terms of consumer credit extended to members and
                dependents: limitations

        ``(a) Interest.--A creditor who extends consumer credit to a
    covered member of the armed forces or a dependent of such a member
    shall not require the member or dependent to pay interest with respect
    to the extension of such credit, except as--
            ``(1) agreed to under the terms of the credit agreement or
        promissory note;
            ``(2) authorized by applicable State or Federal law; and
            ``(3) not specifically prohibited by this section.
        ``(b) Annual Percentage Rate.--A creditor described in subsection
    (a) may not impose an annual percentage rate of interest greater than
    36 percent with respect to the consumer credit extended to a covered
    member or a dependent of a covered member.
        ``(c) Mandatory Loan Disclosures.--
            ``(1) Information required.--With respect to any extension of
        consumer credit (including any consumer credit originated or
        extended through the internet) to a covered member or a dependent
        of a covered member, a creditor shall provide to the member or
        dependent the following information orally and in writing before
        the issuance of the credit:
                ``(A) A statement of the annual percentage rate of interest
            applicable to the extension of credit.
                ``(B) Any disclosures required under the Truth in Lending
            Act (15 U.S.C. 1601 et seq.).
                ``(C) A clear description of the payment obligations of the
            member or dependent, as applicable.
            ``(2) Terms.--Such disclosures shall be presented in accordance
        with terms prescribed by the regulations issued by the Board of
        Governors of the Federal Reserve System to implement the Truth in
        Lending Act (15 U.S.C. 1601 et seq.).
        ``(d) Preemption.--
            ``(1) Inconsistent laws.--Except as provided in subsection
        (f)(2), this section preempts any State or Federal law, rule, or
        regulation, including any State usury law, to the extent that such
        law, rule, or regulation is inconsistent with this section, except
        that this section shall not preempt any such law, rule, or
        regulation that provides protection to a covered member or a
        dependent of such a member in addition to the protection provided
        by this section.
            ``(2) Different treatment under state law of members and
        dependents prohibited.--States shall not--
                ``(A) authorize creditors to charge covered members and
            their dependents annual percentage rates of interest for loans
            higher than the legal limit for residents of the State; or
                ``(B) permit violation or waiver of any State consumer
            lending protections for the benefit of residents of the State
            on the basis of nonresident or military status of a covered
            member or dependent of such a member, regardless of the
            member's or dependent's domicile or permanent home of record.
        ``(e) Limitations.--It shall be unlawful for any creditor to extend
    consumer credit to a covered member or a dependent of such a member
    with respect to which--
            ``(1) the creditor rolls over, renews, repays, refinances, or
        consolidates any consumer credit extended to the borrower by the
        same creditor with the proceeds of other credit extended to the
        same covered member or a dependent;
            ``(2) the borrower is required to waive the borrower's right to
        legal recourse under any otherwise applicable provision of State or
        Federal law, including any provision of the Servicemembers Civil
        Relief Act;
            ``(3) the creditor requires the borrower to submit to
        arbitration or imposes onerous legal notice provisions in the case
        of a dispute;
            ``(4) the creditor demands unreasonable notice from the
        borrower as a condition for legal action;
            ``(5) the creditor uses a check or other method of access to a
        deposit, savings, or other financial account maintained by the
        borrower, or the title of a vehicle as security for the obligation;
            ``(6) the creditor requires as a condition for the extension of
        credit that the borrower establish an allotment to repay an
        obligation; or
            ``(7) the borrower is prohibited from prepaying the loan or is
        charged a penalty or fee for prepaying all or part of the loan.
        ``(f) Penalties and Remedies.--
            ``(1) Misdemeanor.--A creditor who knowingly violates this
        section shall be fined as provided in title 18, or imprisoned for
        not more than one year, or both.
            ``(2) Preservation of other remedies.--The remedies and rights
        provided under this section are in addition to and do not preclude
        any remedy otherwise available under law to the person claiming
        relief under this section, including any award for consequential
        and punitive damages.
            ``(3) Contract void.--Any credit agreement, promissory note, or
        other contract prohibited under this section is void from the
        inception of such contract.
            ``(4) Arbitration.--Notwithstanding section 2 of title 9, or
        any other Federal or State law, rule, or regulation, no agreement
        to arbitrate any dispute involving the extension of consumer credit
        shall be enforceable against any covered member or dependent of
        such a member, or any person who was a covered member or dependent
        of that member when the agreement was made.
        ``(g) Servicemembers Civil Relief Act Protections Unaffected.--
    Nothing in this section may be construed to limit or otherwise affect
    the applicability of section 207 of the Servicemembers Civil Relief Act
    (50 U.S.C. App. 527).
        ``(h) Regulations.--(1) The Secretary of Defense shall prescribe
    regulations to carry out this section.
        ``(2) Such regulations shall establish the following:
            ``(A) Disclosures required of any creditor that extends
        consumer credit to a covered member or dependent of such a member.
            ``(B) The method for calculating the applicable annual
        percentage rate of interest on such obligations, in accordance with
        the limit established under this section.
            ``(C) A maximum allowable amount of all fees, and the types of
        fees, associated with any such extension of credit, to be expressed
        and disclosed to the borrower as a total amount and as a percentage
        of the principal amount of the obligation, at the time at which the
        transaction is entered into.
            ``(D) Definitions of `creditor' under paragraph (5) and
        `consumer credit' under paragraph (6) of subsection (i), consistent
        with the provisions of this section.
            ``(E) Such other criteria or limitations as the Secretary of
        Defense determines appropriate, consistent with the provisions of
        this section.
        ``(3) In prescribing regulations under this subsection, the
    Secretary of Defense shall consult with the following:
            ``(A) The Federal Trade Commission.
            ``(B) The Board of Governors of the Federal Reserve System.
            ``(C) The Office of the Comptroller of the Currency.
            ``(D) The Federal Deposit Insurance Corporation.
            ``(E) The Office of Thrift Supervision.
            ``(F) The National Credit Union Administration.
            ``(G) The Treasury Department.
        ``(i) Definitions.--In this section:
            ``(1) Covered member.--The term `covered member' means a member
        of the armed forces who is--
                ``(A) on active duty under a call or order that does not
            specify a period of 30 days or less; or
                ``(B) on active Guard and Reserve Duty.
            ``(2) Dependent.--The term `dependent', with respect to a
        covered member, means--
                ``(A) the member's spouse;
                ``(B) the member's child (as defined in section 101(4) of
            title 38); or
                ``(C) an individual for whom the member provided more than
            one-half of the individual's support for 180 days immediately
            preceding an extension of consumer credit covered by this
            section.
            ``(3) Interest.--The term `interest' includes all cost elements
        associated with the extension of credit, including fees, service
        charges, renewal charges, credit insurance premiums, any ancillary
        product sold with any extension of credit to a servicemember or the
        servicemember's dependent, as applicable, and any other charge or
        premium with respect to the extension of consumer credit.
            ``(4) Annual percentage rate.--The term `annual percentage
        rate' has the same meaning as in section 107 of the Truth and
        Lending Act (15 U.S.C. 1606), as implemented by regulations of the
        Board of Governors of the Federal Reserve System. For purposes of
        this section, such term includes all fees and charges, including
        charges and fees for single premium credit insurance and other
        ancillary products sold in connection with the credit transaction,
        and such fees and charges shall be included in the calculation of
        the annual percentage rate.
            ``(5) Creditor.--The term `creditor' means a person--
                ``(A) who--
                    ``(i) is engaged in the business of extending consumer
                credit; and
                    ``(ii) meets such additional criteria as are specified
                for such purpose in regulations prescribed under this
                section; or
                ``(B) who is an assignee of a person described in
            subparagraph (A) with respect to any consumer credit extended.
            ``(6) Consumer credit.--The term `consumer credit' has the
        meaning provided for such term in regulations prescribed under this
        section, except that such term does not include (A) a residential
        mortgage, or (B) a loan procured in the course of purchasing a car
        or other personal property, when that loan is offered for the
        express purpose of financing the purchase and is secured by the car
        or personal property procured.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such title is amended by adding at the end the following new item:

    ``987. Terms of consumer credit extended to members and dependents:
              limitations.''.

        (c) Effective Date.--
            (1) In general.--Except as provided in paragraph (2), section
        987 of title 10, United States Code, as added by subsection (a),
        shall take effect on October 1, 2007, or on such earlier date as
        may be prescribed by the Secretary of Defense, and shall apply with
        respect to extensions of consumer credit on or after such effective
        date.
            (2) Authority to prescribe regulations.--Subsection (h) of such
        section shall take effect on the date of the enactment of this Act.
            (3) Publication of earlier effective date.--If the Secretary of
        Defense prescribes an effective date for section 987 of title 10,
        United States Code, as added by subsection (a), earlier than
        October 1, 2007, the Secretary shall publish that date in the
        Federal Register. Such publication shall be made not less than 90
        days before that earlier effective date.
        (d) Interim Regulations.--The Secretary of Defense may prescribe
    interim regulations as necessary to carry out such section. For the
    purpose of prescribing such interim regulations, the Secretary is
    excepted from compliance with the notice-and-comment requirements of
    section 553 of title 5, United States Code. All interim rules
    prescribed under the authority of this subsection that are not earlier
    superseded by final rules shall expire no later than 270 days after the
    effective date of section 987 of title 10, United States Code, as added
    by this section.
        SEC. 671. ENHANCEMENT OF AUTHORITY TO WAIVE CLAIMS FOR OVERPAYMENT
          OF PAY AND ALLOWANCES AND TRAVEL AND TRANSPORTATION ALLOWANCES.
        (a) Maximum Waiver Amount; Time for Exercise of Authority.--Section
    2774 of title 10, United States Code, is amended--
            (1) in subsection (a)(2)(A), by striking ``$1,500'' and
        inserting ``$10,000''; and
            (2) in subsection (b)(2), by striking ``three years'' and
        inserting ``five years''.
        (b) Conforming Amendments Regarding National Guard.--Section 716 of
    title 32, United States Code, is amended--
            (1) in subsection (a)(2)(A), by striking ``$1,500'' and
        inserting ``$10,000''; and
            (2) in subsection (b)(2), by striking ``three years'' and
        inserting ``five years''.
        (c) Effective Date.--The amendments made by this section shall take
    effect on March 1, 2007.
        SEC. 672. EXCEPTION FOR NOTICE TO CONSUMER REPORTING AGENCIES
          REGARDING DEBTS OR ERRONEOUS PAYMENTS PENDING A DECISION TO
          WAIVE, REMIT, OR CANCEL.
        (a) Exception.--Section 2780(b) of title 10, United States Code, is
    amended--
            (1) by striking ``The Secretary'' and inserting ``(1) Except as
        provided in paragraph (2), the Secretary of Defense''; and
            (2) by adding at the end the following new paragraph:
        ``(2) No disclosure shall be made under paragraph (1) with respect
    to an indebtedness while a decision regarding waiver of collection of
    the indebtedness is pending under section 2774 of this title or section
    716 of title 32, or while a decision regarding remission or
    cancellation of the indebtedness is pending under section 4837, 6161,
    or 9837 of this title, unless the Secretary concerned (as defined in
    section 101(5) of title 37) determines that disclosure under that
    paragraph pending such decision is in the best interests of the United
    States.''.
        (b) Effective Date.--
            (1) In general.--The amendments made by this section shall take
        effect on March 1, 2007.
            (2) Application to prior actions.--Paragraph (2) of section
        2780(b) of title 10, United States Code, as added by subsection
        (a), shall not be construed to apply to or invalidate any action
        taken under such section before March 1, 2007.
        (c) Report.--Not later than March 1, 2007, the Secretary of Defense
    shall submit to the congressional defense committees a report on the
    requirement in section 2780(b) of title 10, United States Code, to
    disclose to consumer reporting agencies in accordance with section 3711
    of title 31, United States Code, information concerning certain
    indebtedness owed to the United States. The report shall include the
    following:
            (1) The total number of members of the Armed Forces whose
        indebtedness has been disclosed to consumer reporting agencies
        under section 2780(b), United States Code, during the period
        beginning on January 1, 2003, and ending on June 30, 2006.
            (2) The circumstances under which a decision to recover the
        indebtedness was made, rather than a decision to waive, remit, or
        cancel the indebtedness under the provisions of law referred to in
        paragraph (2) of such section, as added by subsection (a), and the
        title of the person who made the decision.
            (3) The cost of contracts for collection services to recover
        indebtedness owed to the United States that is delinquent.
            (4) An evaluation of whether or not such contracts, and the
        practice of disclosing to consumer reporting agencies the identity
        of members of the Armed Forces who owe a delinquent debt to the
        United States, has been effective in reducing indebtedness to the
        United States.
            (5) Such recommendations as the Secretary considers appropriate
        regarding the continuing disclosure of such information with
        respect to members of the Armed Forces.
        SEC. 673. EXPANSION AND ENHANCEMENT OF AUTHORITY TO REMIT OR CANCEL
          INDEBTEDNESS OF MEMBERS AND FORMER MEMBERS OF THE ARMED FORCES
          INCURRED ON ACTIVE DUTY.
        (a) Department of the Army.--
            (1) Coverage of all members and former members.--Subsection (a)
        of section 4837 of title 10, United States Code, is amended by
        striking ``of a member'' and all that follows through ``on active
        duty'' and inserting ``of a person to the United States or any
        instrumentality of the United States incurred while the person was
        serving on active duty as a member of the Army''.
            (2) Repeal of limitation on time for exercise of authority.--
        Such section is further amended--
                (A) by striking subsection (b); and
                (B) by redesignating subsections (c) and (d) as subsections
            (b) and (c), respectively.
            (3) Repeal of termination of modified authority.--Paragraph (3)
        of section 683(a) of the National Defense Authorization Act for
        Fiscal Year 2006 (Public Law 109-163; 119 Stat. 3322; 10 U.S.C.
        4837 note) is repealed.
        (b) Department of the Navy.--
            (1) Coverage of all members and former members.--Section 6161
        of title 10, United States Code, is amended by striking ``of a
        member'' and all that follows through ``on active duty'' and
        inserting ``of a person to the United States or any instrumentality
        of the United States incurred while the person was serving on
        active duty as a member of the naval service''.
            (2) Repeal of limitation on time for exercise of authority.--
        Such section is further amended--
                (A) by striking subsection (b); and
                (B) by redesignating subsections (c) and (d) as subsections
            (b) and (c), respectively.
            (3) Repeal of termination of modified authority.--Paragraph (3)
        of section 683(b) of the National Defense Authorization Act for
        Fiscal Year 2006 (119 Stat. 3323; 10 U.S.C. 6161 note) is repealed.
        (c) Department of the Air Force.--
            (1) Coverage of all members and former members.--Subsection (a)
        of section 9837 of title 10, United States Code, is amended by
        striking ``of a member'' and all that follows through ``on active
        duty'' and inserting ``of a person to the United States or any
        instrumentality of the United States incurred while the person was
        serving on active duty as a member of the Air Force''.
            (2) Repeal of limitation on time for exercise of authority.--
        Such section is further amended--
                (A) by striking subsection (b); and
                (B) by redesignating subsections (c) and (d) as subsections
            (b) and (c), respectively.
            (3) Repeal of termination of modified authority.--Paragraph (3)
        of section 683(c) of the National Defense Authorization Act for
        Fiscal Year 2006 (119 Stat. 3324; 10 U.S.C. 9837 note) is repealed.
        (d) Deadline for Regulations.--The Secretary of Defense shall
    prescribe the regulations required for purposes of sections 4837, 6161,
    and 9837 of title 10, United States Code, as amended by this section,
    not later than March 1, 2007.
        (e) Clarifying and Editorial Amendments.--
            (1) Secretary of the army.--Subsection (a) of section 4837 of
        title 10, United States Code, as amended by subsection (a)(1), is
        further amended--
                (A) by striking ``If the'' and all that follows through
            ``States, the Secretary'' and inserting ``The Secretary of the
            Army''; and
                (B) by inserting before the period at the end ``, but only
            if the Secretary considers such action to be in the best
            interest of the United States''.
            (2) Secretary of the navy.--Subsection (a) of section 6161 of
        such title, as amended by subsection (b)(1), is further amended--
                (A) by striking ``If the'' and all that follows through
            ``States, the Secretary'' and inserting ``The Secretary of the
            Navy''; and
                (B) by inserting before the period at the end ``, but only
            if the Secretary considers such action to be in the best
            interest of the United States''.
            (3) Secretary of the air force.--Subsection (a) of section 9837
        of such title, as amended by subsection (c)(1), is further
        amended--
                (A) by striking ``If the'' and all that follows through
            ``States, the Secretary'' and inserting ``The Secretary of the
            Air Force''; and
                (B) by inserting before the period at the end ``, but only
            if the Secretary considers such action to be in the best
            interest of the United States''.
        SEC. 674. PHASED RECOVERY OF OVERPAYMENTS OF PAY MADE TO MEMBERS OF
          THE UNIFORMED SERVICES.
        (a) Phased Recovery Required; Maximum Monthly Installment.--
    Subsection (c) of section 1007 of title 37, United States Code, is
    amended by adding at the end the following new paragraph:
        ``(3) If the indebtedness of a member of the uniformed services to
    the United States is due to the overpayment of pay or allowances to the
    member through no fault of the member, the amount of the overpayment
    shall be recovered in monthly installments. The amount deducted from
    the pay of the member for a month to recover the overpayment amount may
    not exceed 20 percent of the member's pay for that month unless the
    member requests or consents to collection of the overpayment at an
    accelerated rate.''.
        (b) Recovery Delay for Injured Members.--Such subsection is further
    amended by inserting after paragraph (3), as added by subsection (a),
    the following new paragraph:
        ``(4) If a member of the uniformed services is injured or wounded
    under the circumstances described in section 310(a)(2)(C) of this title
    or, while in the line of duty, incurs a wound, injury, or illness in a
    combat operation or combat zone designated by the Secretary of Defense,
    any overpayment of pay or allowances made to the member while the
    member recovers from the wound, injury, or illness may not be deducted
    from the member's pay until--
            ``(A) the end of the 90-day period beginning on the date on
        which the member is notified of the overpayment; or
            ``(B) such earlier date as may be requested or agreed to by the
        member.''.
        (c) Conforming Amendments.--Such subsection is further amended--
            (1) by inserting ``(1)'' before ``Under regulations'';
            (2) by striking ``his pay'' both places it appears and
        inserting ``the member's pay'';
            (3) by striking ``However, after'' and inserting the following:
        ``(2) After''; and
            (4) by inserting ``by a member of the uniformed services''
        after ``actually received''.
        SEC. 675. JOINT FAMILY SUPPORT ASSISTANCE PROGRAM.
        (a) Program Required.--The Secretary of Defense shall carry out a
    joint family support assistance program for the purpose of providing to
    families of members of the Armed Forces the following types of
    assistance:
            (1) Financial and material assistance.
            (2) Mobile support services.
            (3) Sponsorship of volunteers and family support professionals
        for the delivery of support services.
            (4) Coordination of family assistance programs and activities
        provided by Military OneSource, Military Family Life Consultants,
        counselors, the Department of Defense, other Federal agencies,
        State and local agencies, and non-profit entities.
            (5) Facilitation of discussion on military family assistance
        programs, activities, and initiatives between and among the
        organizations, agencies, and entities referred to in paragraph (4).
            (6) Such other assistance that the Secretary considers
        appropriate.
        (b) Locations.--The Secretary of Defense shall carry out the
    program in not more than six areas of the United States selected by the
    Secretary. Up to three of the areas selected for the program shall be
    areas that are geographically isolated from military installations.
        (c) Resources and Volunteers.--The Secretary of Defense shall
    provide personnel and other resources of the Department of Defense
    necessary for the implementation and operation of the program and may
    accept and utilize the services of non-Government volunteers and non-
    profit entities under the program.
        (d) Procedures.--The Secretary of Defense shall establish
    procedures for the operation of the program and for the provision of
    assistance to families of members of the Armed Forces under the
    program.
        (e) Relation to Family Support Centers.--The program is not
    intended to operate in lieu of existing family support centers, but is
    instead intended to augment the activities of the family support
    centers.
        (f) Implementation Plan.--
            (1) Plan required.--Not later than 90 days after the date on
        which funds are first obligated for the program, the Secretary of
        Defense shall submit to the congressional defense committees a
        report setting forth a plan for the implementation of the program.
            (2) Elements.--The plan required under paragraph (1) shall
        include the following:
                (A) A description of the actions taken to select the areas
            in which the program will be conducted.
                (B) A description of the procedures established under
            subsection (d).
                (C) A review of proposed actions to be taken under the
            program to improve coordination of family assistance program
            and activities between and among the Department of Defense,
            other Federal agencies, State and local agencies, and non-
            profit entities.
        (g) Report.--
            (1) Report required.--Not later than 270 days after the date on
        which funds are first obligated for the program, the Secretary of
        Defense shall submit to the congressional defense committees a
        report on the program.
            (2) Elements.--The report shall include the following:
                (A) A description of the program, including the areas in
            which the program is conducted, the procedures established
            under subsection (d) for operation of the program, and the
            assistance provided through the program for families of members
            of the Armed Forces.
                (B) An assessment of the effectiveness of the program in
            providing assistance to families of members of the Armed
            Forces.
                (C) An assessment of the advisability of extending the
            program or making it permanent.
        (h) Duration.--The authority to carry out the program shall expire
    at the end of the three-year period beginning on the date on which
    funds are first obligated for the program.
        SEC. 676. SPECIAL WORKING GROUP ON TRANSITION TO CIVILIAN
          EMPLOYMENT OF NATIONAL GUARD AND RESERVE MEMBERS RETURNING FROM
          DEPLOYMENT IN OPERATION IRAQI FREEDOM OR OPERATION ENDURING
          FREEDOM.
        (a) Working Group Required.--The Secretary of Defense shall
    establish within the Department of Defense a working group to identify
    and assess the needs of members of the National Guard and Reserve
    returning from deployment in Operation Iraqi Freedom or Operation
    Enduring Freedom in making the transition to civilian employment on
    their return from such deployment.
        (b) Members.--
            (1) Appointment.--Subject to paragraph (2), the Secretary of
        Defense shall appoint the members of the working group. The
        Secretary of Defense shall attempt to achieve a balance of members
        on the working group from among employees of the following
        agencies:
                (A) The Department of Defense.
                (B) The Department of Veterans Affairs.
                (C) The Department of Labor.
            (2) Concurrence.--The appointment of employees of the
        Department of Veterans Affairs and the Department of Labor under
        paragraph (1) shall be subject to the concurrence of the Secretary
        of Veterans Affairs and the Secretary of Labor, respectively.
        (c) Responsibilities.--The working group shall--
            (1) identify and assess the needs of members of the National
        Guard and Reserve returning from deployment in Operation Iraqi
        Freedom or Operation Enduring Freedom in making the transition to
        civilian employment on their return from deployment, including the
        needs of--
                (A) members who were self-employed before deployment and
            seek to return to such employment after deployment;
                (B) members who were students before deployment and seek to
            return to school or commence employment after deployment;
                (C) members who have experienced multiple recent
            deployments; and
                (D) members who have been wounded or injured during
            deployment;
            (2) identify and assess the extent to which such members
        receive promotions on their return from deployment in Operation
        Iraqi Freedom or Operation Enduring Freedom or experience
        constructive termination by their employers as a result of such
        deployment; and
            (3) develop recommendations on means of improving assistance to
        such members in meeting the needs identified in paragraph (1) on
        their return from deployment in Operation Iraqi Freedom or
        Operation Enduring Freedom.
        (d) Consultation.--In carrying out its responsibilities under
    subsection (c), the working group shall consult with the following:
            (1) Employees of the Small Business Administration.
            (2) Representatives of employers that employ, and associations
        of employers whose members employ, members of the National Guard
        and Reserve deployed in Operation Iraqi Freedom or Operation
        Enduring Freedom.
            (3) Representatives of employee assistance organizations.
            (4) Representatives of organizations that assist wounded or
        injured members of the National Guard and Reserves in finding or
        sustaining employment.
            (5) Representatives of such other public or private
        organizations and entities as the working group considers
        appropriate.
        (e) Report.--
            (1) In general.--Not later than one year after the date of the
        enactment of this Act, the working group established under
        subsection (a) shall submit to the Secretary of Defense and
        Congress a report on its activities under subsection (c).
            (2) Elements.--The report shall include the following:
                (A) The results of the identifications and assessments
            required under subsection (c).
                (B) The recommendations developed under subsection (c)(3),
            including recommendations on the following:
                    (i) The provision of outreach and training to
                employers, employment assistance organizations, and
                associations of employers on the employment and transition
                needs of members of the National Guard and Reserve
                returning from deployment in Operation Iraqi Freedom or
                Operation Enduring Freedom.
                    (ii) The provision of outreach and training to
                employers, employment assistance organizations, and
                associations of employers on the needs of family members of
                such members.
                    (iii) The improvement of collaboration between the
                public and private sectors in order to ensure the
                successful transition of such members into civilian
                employment upon their return from such deployment.
            (3) Availability to public.--The Secretary shall take
        appropriate actions to make the report available to the public,
        including through the Internet website of the Department of
        Defense.
        (f) Termination.--The working group shall terminate on the date
    that is two years after the date of the enactment of this Act.
        (g) Employment Assistance Organization Defined.--In this section,
    the term ``employment assistance organization'' means an organization
    or entity, whether public or private, that provides assistance to
    individuals in finding or retaining employment, including organizations
    and entities under military career support programs.
        SEC. 677. AUDIT OF PAY ACCOUNTS OF MEMBERS OF THE ARMY EVACUATED
          FROM A COMBAT ZONE FOR INPATIENT CARE.
        (a) Audit Required.--The Secretary of the Army shall conduct a
    complete audit of the pay accounts of each member of the Army wounded
    or injured in a combat zone who was evacuated from a theater of
    operations for inpatient care during the period beginning on May 1,
    2005, and ending on April 30, 2006.
        (b) Report on Results of Audit.--
            (1) Report required.--Not later than 120 days after the date of
        the enactment of this Act, the Secretary shall submit to the
        congressional defense committees a report on the audit conducted
        under subsection (a).
            (2) Identification of members.--The report shall include a list
        of each member of the Army described in subsection (a) identified,
        in a manner that protects the privacy of the members, by--
                (A) the date of the wound or injury that is the basis for
            the inclusion of the member on the list; and
                (B) the grade of the member and unit designation as of that
            date.
            (3) Additional report elements.--For each member included on
        the list prepared under paragraph (2), the report shall include the
        following:
                (A) A statement of any underpayment of each of any pay,
            allowance, or other monetary benefit to which the member was
            entitled during the period beginning on the date on which the
            wound or injury was incurred and ending on April 30, 2006,
            including basic pay, hazardous duty pay, imminent danger pay,
            basic allowance for housing, basic allowance for subsistence,
            any family separation allowance, any tax exclusion for combat
            duty, and any other pay, allowance, or monetary benefit to
            which such member was entitled during such period.
                (B) A statement of any disbursements made to correct
            underpayments made to the member, as identified under
            subparagraph (A).
                (C) A statement of any debts to the United States collected
            or pending collection from the member.
                (D) A statement of any reimbursements or debt relief
            granted to the member for a debt identified under subparagraph
            (C).
                (E) If the member has applied to the United States for a
            relief of debt--
                    (i) a description of the nature of the debt for which
                relief was applied; and
                    (ii) a description of the disposition of the
                application, including--

                        (I) if relief was granted, the date of disbursement
                    of relief; and
                        (II) if relief was denied, the reasons for the
                    denial of relief.

                (F) A report of any referral of the member to a collection
            or credit agency.
            (4) Form of report.--The report shall be submitted in
        unclassified form, but may include a classified annex.
        SEC. 678. REPORT ON ELIGIBILITY AND PROVISION OF ASSIGNMENT
          INCENTIVE PAY.
        Not later than 60 days after the date of the enactment of this Act,
    the Secretary of the Army shall submit to Congress a report--
            (1) specifying the number of members of the Army National Guard
        and the Army Reserve adversely affected by the disparate treatment
        afforded to members who previously served under a call or order to
        active duty under section 12304 of title 10, United States Code, in
        determining eligibility for assignment incentive pay; and
            (2) containing proposed remedies or courses of action to
        correct this disparity, including allowing time served during a
        call or order to active duty under such section 12304 to count
        toward the time needed to qualify for assignment incentive pay.
        SEC. 679. SENSE OF CONGRESS CALLING FOR PAYMENT TO WORLD WAR II
          VETERANS WHO SURVIVED BATAAN DEATH MARCH.
        (a) Call for Appropriate Compensation.--It is the sense of Congress
    that--
            (1) there should be paid to each living Bataan Death March
        survivor an appropriate amount of compensation in recognition of
        their captivity during World War II; and
            (2) in the case of a Bataan Death March survivor who is
        deceased, but who has an unremarried surviving spouse, such
        compensation should be paid to that surviving spouse.
        (b) Bataan Death March Survivor.--In this section, the term
    ``Bataan Death March survivor'' means an individual who as a member of
    the Armed Forces during World War II was captured on the peninsula of
    Bataan or island of Corregidor in the territory of the Philippines by
    Japanese forces and participated in and survived the Bataan Death
    March.

                       TITLE VII--HEALTH CARE PROVISIONS

                    Subtitle A--TRICARE Program Improvements

    Sec. 701. TRICARE coverage for forensic examination following sexual
              assault or domestic violence.
    Sec. 702. Authorization of anesthesia and other costs for dental care
              for children and certain other patients.
    Sec. 703. Improvements to descriptions of cancer screening for women.
    Sec. 704. Prohibition on increases in certain health care costs for
              members of the uniformed services.
    Sec. 705. Demonstration project on coverage of selected over-the-counter
              drugs under the pharmacy benefits program.
    Sec. 706. Expanded eligibility of Selected Reserve members under TRICARE
              program.
    Sec. 707. Relationship between the TRICARE program and employer-
              sponsored group health care plans.
    Sec. 708. Temporary prohibition on increase in copayments under retail
              pharmacy system of pharmacy benefits program.

                         Subtitle B--Studies and Reports

    Sec. 711. Department of Defense task force on the future of military
              health care.
    Sec. 712. Study relating to chiropractic health care services.
    Sec. 713. Comptroller General audits of Department of Defense health
              care costs and cost-saving measures.
    Sec. 714. Transfer of custody of the Air Force Health Study assets to
              Medical Follow-up Agency.
    Sec. 715. Study on allowing dependents of activated members of reserve
              components to retain civilian health care coverage.
    Sec. 716. Study of health effects of exposure to depleted uranium.
    Sec. 717. Report and plan on services to military dependent children
              with autism.
    Sec. 718. Comptroller General study on Department of Defense pharmacy
              benefits program.
    Sec. 719. Review of Department of Defense medical quality improvement
              program.
    Sec. 720. Report on distribution of hemostatic agents for use in the
              field.
    Sec. 721. Longitudinal study on traumatic brain injury incurred by
              members of the Armed Forces in Operation Iraqi Freedom and
              Operation Enduring Freedom.

                Subtitle C--Planning, Programming, and Management

    Sec. 731. Standardization of claims processing under TRICARE program and
              Medicare program.
    Sec. 732. Requirements for support of military treatment facilities by
              civilian contractors under TRICARE.
    Sec. 733. Standards and tracking of access to health care services for
              wounded, injured, or ill servicemembers returning to the
              United States from a combat zone.
    Sec. 734. Disease and chronic care management.
    Sec. 735. Additional elements of assessment of Department of Defense
              task force on mental health relating to mental health of
              members who were deployed in Operation Iraqi Freedom and
              Operation Enduring Freedom.
    Sec. 736. Additional authorized option periods for extension of current
              contracts under TRICARE.
    Sec. 737. Military vaccination matters.
    Sec. 738. Enhanced mental health screening and services for members of
              the Armed Forces.

                            Subtitle D--Other Matters

    Sec. 741. Pilot projects on early diagnosis and treatment of post
              traumatic stress disorder and other mental health conditions.
    Sec. 742. Requirement to certify and report on conversion of military
              medical and dental positions to civilian medical and dental
              positions.
    Sec. 743. Three-year extension of joint incentives program on sharing of
              health care resources by the Department of Defense and
              Department of Veterans Affairs.
    Sec. 744. Training curricula for family caregivers on care and
              assistance for members and former members of the Armed Forces
              with traumatic brain injury.
    Sec. 745. Recognition of Representative Lane Evans upon his retirement
              from the House of Representatives.

                    Subtitle A--TRICARE Program Improvements

        SEC. 701. TRICARE COVERAGE FOR FORENSIC EXAMINATION FOLLOWING
          SEXUAL ASSAULT OR DOMESTIC VIOLENCE.
        Section 1079(a) of title 10, United States Code, is amended by
    adding at the end the following new paragraph:
            ``(17) Forensic examinations following a sexual assault or
        domestic violence may be provided.''.
        SEC. 702. AUTHORIZATION OF ANESTHESIA AND OTHER COSTS FOR DENTAL
          CARE FOR CHILDREN AND CERTAIN OTHER PATIENTS.
        Paragraph (1) of section 1079(a) of title 10, United States Code,
    is amended to read as follows:
            ``(1) With respect to dental care--
                ``(A) except as provided in subparagraph (B), only that
            care required as a necessary adjunct to medical or surgical
            treatment may be provided; and
                ``(B) in connection with dental treatment for patients with
            developmental, mental, or physical disabilities or for
            pediatric patients age 5 or under, only institutional and
            anesthesia services may be provided.''.
        SEC. 703. IMPROVEMENTS TO DESCRIPTIONS OF CANCER SCREENING FOR
          WOMEN.
        (a) Terms Related to Primary and Preventive Health Care Services
    for Women.--Section 1074d of title 10, United States Code, is amended--
            (1) in subsection (a)(1), by adding at the end the following
        new sentence: ``The services described in paragraphs (1) and (2) of
        subsection (b) shall be provided under such procedures and at such
        intervals as the Secretary of Defense shall prescribe.''; and
            (2) in subsection (b)--
                (A) in paragraph (1), by striking ``Papanicolaou tests (pap
            smear)'' and inserting ``Cervical cancer screening''; and
                (B) in paragraph (2), by striking ``Breast examinations and
            mammography'' and inserting ``Breast cancer screening''.
        (b) Terms Related to Contracts for Medical Care for Spouses and
    Children.--Section 1079(a)(2) of such title is amended--
            (1) in the matter preceding subparagraph (A), by striking ``the
        schedule of pap smears and mammograms'' and inserting ``the
        schedule and method of cervical cancer screenings and breast cancer
        screenings''; and
            (2) in subparagraph (B), by striking ``pap smears and
        mammograms'' and inserting ``cervical and breast cancer
        screenings''.
        SEC. 704. PROHIBITION ON INCREASES IN CERTAIN HEALTH CARE COSTS FOR
          MEMBERS OF THE UNIFORMED SERVICES.
        (a) Prohibition on Increase in Charges Under Contracts for Medical
    Care.--Section 1097(e) of title 10, United States Code, is amended by
    adding at the end the following: ``A premium, deductible, copayment, or
    other charge prescribed by the Secretary under this subsection may not
    be increased during the period beginning on April 1, 2006, and ending
    on September 30, 2007.''.
        (b) Prohibition on Increase in Charges for Inpatient Care.--Section
    1086(b)(3) of title 10, United States Code, is amended by inserting
    after ``charges for inpatient care'' the following: ``, except that in
    no case may the charges for inpatient care for a patient exceed $535
    per day during the period beginning on April 1, 2006, and ending on
    September 30, 2007.''.
        (c) Prohibition on Increase in Premiums Under TRICARE Coverage for
    Certain Members in the Selected Reserve.--Section 1076d(d)(3) of title
    10, United States Code, is amended by adding at the end the following:
    ``During the period beginning on April 1, 2006, and ending on September
    30, 2007, the monthly amount of the premium may not be increased above
    the amount in effect for the month of March 2006.''.
        (d) Prohibition on Increase in Premiums Under TRICARE Coverage for
    Members of the Ready Reserve.--Section 1076b(e)(3) of title 10, United
    States Code, is amended by adding at the end the following: ``During
    the period beginning on April 1, 2006, and ending on September 30,
    2007, the monthly amount of a premium under paragraph (2) may not be
    increased above the amount in effect for the first month health care is
    provided under this section as amended by Public Law 109-163.''.
        SEC. 705. DEMONSTRATION PROJECT ON COVERAGE OF SELECTED OVER-THE-
          COUNTER DRUGS UNDER THE PHARMACY BENEFITS PROGRAM.
        (a) Requirement to Conduct Demonstration.--The Secretary of Defense
    shall conduct a demonstration project under section 1092 of title 10,
    United States Code, to allow particular over-the-counter drugs to be
    included on the uniform formulary under section 1074g of such title.
        (b) Elements of Demonstration Project.--
            (1) Inclusion of certain over-the-counter drugs.--(A) As part
        of the demonstration project, the Secretary shall modify uniform
        formulary specifications under section 1074g(a) of such title to
        include an over-the-counter drug (referred to in this section as an
        ``OTC drug'') on the uniform formulary if the Pharmacy and
        Therapeutics Committee finds that the OTC drug is cost-effective
        and therapeutically equivalent to a prescription drug. If the
        Pharmacy and Therapeutics Committee makes such a finding, the OTC
        drug shall be considered to be in the same therapeutic class of
        pharmaceutical agents as the prescription drug.
            (B) An OTC drug shall be made available to a beneficiary
        through the demonstration project, but only if--
                (i) the beneficiary has a prescription for a drug requiring
            a prescription; and
                (ii) pursuant to subparagraph (A), the OTC drug--
                    (I) is on the uniform formulary; and
                    (II) has been determined to be therapeutically
                equivalent to the prescription drug.
            (2) Conduct through military facilities, retail pharmacies, or
        mail order program.--The Secretary shall conduct the demonstration
        project through at least two of the means described in subparagraph
        (E) of section 1074g(a)(2)(E) of such title through which OTC drugs
        are provided and may conduct the demonstration project throughout
        the entire pharmacy benefits program or at a limited number of
        sites. If the project is conducted at a limited number of sites,
        the number of sites shall be not less than five in each TRICARE
        region for each of the two means described in such subparagraph.
            (3) Period of demonstration.--The Secretary shall provide for
        conducting the demonstration project for a period of time necessary
        to evaluate the feasibility and cost effectiveness of the
        demonstration. Such period shall be at least as long as the period
        covered by pharmacy contracts in existence on the date of the
        enactment of this Act (including any extensions of the contracts),
        or five years, whichever is shorter.
            (4) Implementation deadline.--Implementation of the
        demonstration project shall begin not later than May 1, 2007.
        (c) Evaluation of Demonstration Project.--The Secretary shall
    evaluate the demonstration project for the following:
            (1) The costs and benefits of providing OTC drugs under the
        pharmacy benefits program in each of the means chosen by the
        Secretary to conduct the demonstration project.
            (2) The clinical effectiveness of providing OTC drugs under the
        pharmacy benefits program.
            (3) Customer satisfaction with the demonstration project.
        (d) Report.--Not later than two years after implementation of the
    demonstration project begins, the Secretary shall submit to the
    Committees on Armed Services of the Senate and House of Representatives
    a report on the demonstration project. The report shall contain--
            (1) the evaluation required by subsection (c);
            (2) recommendations for improving the provision of OTC drugs
        under the pharmacy benefits program; and
            (3) recommendations on whether permanent authority should be
        provided to cover OTC drugs under the pharmacy benefits program.
        (e) Continuation of Demonstration Project.--If the Secretary
    recommends in the report under subsection (d) that permanent authority
    should be provided, the Secretary may continue the demonstration
    project for up to one year after submitting the report.
        (f) Definitions.--In this section:
            (1) The term ``drug'' means a drug, including a biological
        product, within the meaning of section 1074g(f)(2) of title 10,
        United States Code.
            (2) The term ``OTC drug'' has the meaning indicated for such
        term in subsection (b)(1)(A).
            (3) The term ``over-the-counter drug'' means a drug that is not
        subject to section 503(b) of the Federal Food, Drug, and Cosmetic
        Act.
            (4) The term ``prescription drug'' means a drug that is subject
        to section 503(b) of the Federal Food, Drug, and Cosmetic Act.
        SEC. 706. EXPANDED ELIGIBILITY OF SELECTED RESERVE MEMBERS UNDER
          TRICARE PROGRAM.
        (a) General Eligibility.--Subsection (a) of section 1076d of title
    10, United States Code, is amended--
            (1) by striking ``(a) Eligibility.--A member'' and inserting
        ``(a) Eligibility.--(1) Except as provided in paragraph (2), a
        member'';
            (2) by striking ``after the member completes'' and all that
        follows through ``one or more whole years following such date'';
        and
            (3) by adding at the end the following new paragraph:
        ``(2) Paragraph (1) does not apply to a member who is enrolled, or
    is eligible to enroll, in a health benefits plan under chapter 89 of
    title 5.''.
        (b) Condition for Termination of Eligibility.--Subsection (b) of
    such section is amended--
            (1) by striking ``(b) Period of Coverage.--(1) TRICARE
        Standard'' and all that follows through ``(4) Eligibility'' and
        inserting ``(b) Termination of Eligibility Upon Termination of
        Service.--Eligibility''; and
            (2) by striking paragraph (5).
        (c) Conforming Amendments.--
            (1) Such section is further amended--
                (A) by striking subsection (e);
                (B) by redesignating subsection (g) as subsection (e) and
            transferring such subsection within such section so as to
            appear following subsection (d); and
                (C) by striking paragraph (3) of subsection (f).
            (2) The heading for such section is amended to read as follows:

    ``Sec. 1076d. TRICARE program: TRICARE standard coverage for members of
                the Selected Reserve''.

        (d) Repeal of Obsolete Provision.--Effective October 1, 2007,
    section 1076b of title 10, United States Code, is repealed.
        (e) Clerical Amendments.--Effective October 1, 2007, the table of
    sections at the beginning of chapter 55 of title 10, United States
    Code, is amended--
            (1) by striking the item relating to section 1076b; and
            (2) by striking the item relating to section 1076d and
        inserting the following:

    ``1076d. TRICARE program: TRICARE Standard coverage for members of the
              Selected Reserve.''.

        (f) Savings Provision.--Enrollments in TRICARE Standard that are in
    effect on the day before the date of the enactment of this Act under
    section 1076d of title 10, United States Code, as in effect on such
    day, shall be continued until terminated after such day under such
    section 1076d as amended by this section.
        (g) Effective Date.--The Secretary of Defense shall ensure that
    health care under TRICARE Standard is provided under section 1076d of
    title 10, United States Code, as amended by this section, beginning not
    later than October 1, 2007.
        SEC. 707. RELATIONSHIP BETWEEN THE TRICARE PROGRAM AND EMPLOYER-
          SPONSORED GROUP HEALTH CARE PLANS.
        (a) In General.--Chapter 55 of title 10, United States Code, is
    amended by inserting after section 1097b the following new section:

    ``Sec. 1097c. TRICARE program: relationship with employer-sponsored
                group health plans

        ``(a) Prohibition on Financial Incentives Not to Enroll in a Group
    Health Plan.--(1) Except as provided in this subsection, the provisions
    of section 1862(b)(3)(C) of the Social Security Act shall apply with
    respect to financial or other incentives for a TRICARE-eligible
    employee not to enroll (or to terminate enrollment) under a health plan
    which would (in the case of such enrollment) be a primary plan under
    sections 1079(j)(1) and 1086(g) of this title in the same manner as
    such section 1862(b)(3)(C) applies to financial or other incentives for
    an individual entitled to benefits under title XVIII of the Social
    Security Act not to enroll (or to terminate enrollment) under a group
    health plan or a large group health plan which would (in the case of
    enrollment) be a primary plan (as defined in section 1862(b)(2)(A) of
    such Act).
        ``(2)(A) The Secretary of Defense may by regulation adopt such
    additional exceptions to the prohibition referenced and applied under
    paragraph (1) as the Secretary deems appropriate and such paragraph (1)
    shall be implemented taking into account the adoption of such
    exceptions.
        ``(B) The Secretary of Defense and the Secretary of Health and
    Human Services are authorized to enter into agreements for carrying out
    this subsection. Any such agreement shall provide that any expenses
    incurred by the Secretary of Health and Human Services pertaining to
    carrying out this subsection shall be reimbursed by the Secretary of
    Defense.
        ``(C) Authorities of the Inspector General of the Department of
    Defense shall be available for oversight and investigations of
    responsibilities of employers and other entities under this subsection.
        ``(D) Information obtained under section 1095(k) of this title may
    be used in carrying out this subsection in the same manner as
    information obtained under section 1862(b)(5) of the Social Security
    Act may be used in carrying out section 1862(b) of such Act.
        ``(E) Any amounts collected in carrying out paragraph (1) shall be
    handled in accordance with section 1079a of this title.
        ``(b) Election of TRICARE-Eligible Employees to Participate in
    Group Health Plan.--A TRICARE-eligible employee shall have the
    opportunity to elect to participate in the group health plan offered by
    the employer of the employee and receive primary coverage for health
    care services under the plan in the same manner and to the same extent
    as similarly situated employees of such employer who are not TRICARE-
    eligible employees.
        ``(c) Inapplicability to Certain Employers.--The provisions of this
    section do not apply to any employer who has fewer than 20 employees.
        ``(d) Retention of Eligibility for Coverage Under TRICARE.--Nothing
    in this section, including an election made by a TRICARE-eligible
    employee under subsection (b), shall be construed to affect, modify, or
    terminate the eligibility of a TRICARE-eligible employee or spouse of
    such employee for health care or dental services under this chapter in
    accordance with the other provisions of this chapter.
        ``(e) Outreach.--The Secretary of Defense shall, in coordination
    with the other administering Secretaries, conduct outreach to inform
    covered beneficiaries who are entitled to health care benefits under
    the TRICARE program of the rights and responsibilities of such
    beneficiaries and employers under this section.
        ``(f) Definitions.--In this section:
            ``(1) The term `employer' includes a State or unit of local
        government.
            ``(2) The term `group health plan' means a group health plan
        (as that term is defined in section 5000(b)(1) of the Internal
        Revenue Code of 1986 without regard to section 5000(d) of the
        Internal Revenue Code of 1986).
            ``(3) The term `TRICARE-eligible employee' means a covered
        beneficiary under section 1086 of this title entitled to health
        care benefits under the TRICARE program.
        ``(g) Effective Date.--This section shall take effect on January 1,
    2008.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    chapter 55 of such title is amended by inserting after the item
    relating to section 1097b the following new item:

    ``1097c. TRICARE program: relationship with employer-sponsored group
              health plans.''.
        SEC. 708. TEMPORARY PROHIBITION ON INCREASE IN COPAYMENTS UNDER
          RETAIL PHARMACY SYSTEM OF PHARMACY BENEFITS PROGRAM.
        (a) Temporary Prohibition.--During the period beginning on October
    1, 2006, and ending on September 30, 2007, the cost sharing
    requirements established under paragraph (6) of section 1074g of title
    10, United States Code, for pharmaceutical agents available through
    retail pharmacies covered by paragraph (2)(E)(ii) of such section may
    not exceed amounts as follows:
            (1) In the case of generic agents, $3.
            (2) In the case of formulary agents, $9.
            (3) In the case of nonformulary agents, $22.
        (b) Transfer of Funds.--The Secretary of Defense shall transfer
    $186,000,000 from the unobligated balances of the National Defense
    Stockpile Transaction Fund to the Department of Defense Medicare-
    Eligible Retiree Health Care Fund.

                        Subtitle B--Studies and Reports

        SEC. 711. DEPARTMENT OF DEFENSE TASK FORCE ON THE FUTURE OF
          MILITARY HEALTH CARE.
        (a) Requirement to Establish.--The Secretary of Defense shall
    establish within the Department of Defense a task force to examine
    matters relating to the future of military health care.
        (b) Composition.--
            (1) Members.--The task force shall consist of not more than 14
        members appointed by the Secretary of Defense from among
        individuals described in paragraph (2) who have demonstrated
        expertise in the area of health care programs and costs.
            (2) Range of members.--The individuals appointed to the task
        force shall include--
                (A) at least one member of each of the Medical Departments
            of the Army, Navy, and Air Force;
                (B) a number of persons from outside the Department of
            Defense equal to the total number of personnel from within the
            Department of Defense (whether members of the Armed Forces or
            civilian personnel) who are appointed to the task force;
                (C) persons who have experience in--
                    (i) health care actuarial forecasting;
                    (ii) health care program and budget development;
                    (iii) health care information technology;
                    (iv) health care performance measurement;
                    (v) health care quality improvement including evidence-
                based medicine; and
                    (vi) women's health;
                (D) the senior medical advisor to the Chairman of the Joint
            Chiefs of Staff;
                (E) the Director of Defense Procurement and Acquisition
            Policy in the Office of the Under Secretary of Defense for
            Acquisition, Technology, and Logistics;
                (F) at least one member from the Defense Business Board;
                (G) at least one representative from an organization that
            advocates on behalf of active duty and retired members of the
            Armed Forces who has experience in health care; and
                (H) at least one member from the Institute of Medicine.
            (3) Individuals appointed outside the department of defense.--
                (A) Individuals appointed to the task force from outside
            the Department of Defense may include officers or employees of
            other departments or agencies of the Federal Government,
            officers or employees of State and local governments, or
            individuals from the private sector.
                (B) Individuals appointed to the task force from outside
            the Department of Defense shall include--
                    (i) an officer or employee of the Department of
                Veterans Affairs; and
                    (ii) an officer or employee of the Department of Health
                and Human Services.
            (4) Deadline for appointment.--All appointments of individuals
        to the task force shall be made not later than 90 days after the
        date of the enactment of this Act.
            (5) Co-chairs of task force.--There shall be two co-chairs of
        the task force. One of the co-chairs shall be designated by the
        Secretary of Defense at the time of appointment from among the
        Department of Defense personnel appointed to the task force. The
        other co-chair shall be selected from among the members appointed
        from outside the Department of Defense by members so appointed.
        (c) Assessment and Recommendations on the Future of Military Health
    Care.--
            (1) In general.--Not later than 12 months after the date on
        which all members of the task force have been appointed, the task
        force shall submit to the Secretary a report containing an
        assessment of, and recommendations for, sustaining the military
        health care services being provided to members of the Armed Forces,
        retirees, and their families.
            (2) Utilization of other efforts.--In preparing the report, the
        task force shall take into consideration the findings and
        recommendations included in the Healthcare for Military Retirees
        Task Group of the Defense Business Board, previous Government
        Accountability Office reports, studies and reviews by the Assistant
        Secretary of Defense for Health Affairs, and any other studies or
        research conducted by organizations regarding program and
        organizational improvements to the military health care system.
            (3) Elements.--The assessment and recommendations (including
        recommendations for legislative or administrative action) shall
        include measures to address the following:
                (A) Wellness initiatives and disease management programs of
            the Department of Defense, including health risk tracking and
            the use of rewards for wellness.
                (B) Education programs focused on prevention awareness and
            patient-initiated health care.
                (C) The ability to account for the true and accurate cost
            of health care in the military health system.
                (D) Alternative health care initiatives to manage patient
            behavior and costs, including options and costs and benefits of
            a universal enrollment system for all TRICARE users.
                (E) The appropriate command and control structure within
            the Department of Defense and the Armed Forces to manage the
            military health system.
                (F) The adequacy of the military health care procurement
            system, including methods to streamline existing procurement
            activities.
                (G) The appropriate mix of military and civilian personnel
            to meet future readiness and high-quality health care service
            requirements.
                (H) The beneficiary and Government cost sharing structure
            required to sustain military health benefits over the long
            term.
                (I) Programs focused on managing the health care needs of
            Medicare-eligible military beneficiaries.
                (J) Efficient and cost effective contracts for health care
            support and staffing services, including performance-based
            requirements for health care provider reimbursement.
        (d) Administrative Matters.--
            (1) Compensation.--Each member of the task force who is a
        member of the Armed Forces or a civilian officer or employee of the
        United States shall serve without compensation (other than
        compensation to which entitled as a member of the Armed Forces or
        an officer or employee of the United States, as the case may be).
        Other members of the task force shall be treated for purposes of
        section 3161 of title 5, United States Code, as having been
        appointed under subsection (b) of such section.
            (2) Oversight.--The Under Secretary of Defense for Personnel
        and Readiness shall oversee the activities of the task force.
            (3) Administrative support.--The Washington Headquarters
        Services of the Department of Defense shall provide the task force
        with personnel, facilities, and other administrative support as
        necessary for the performance of the duties of the task force.
            (4) Access to facilities.--The Under Secretary of Defense for
        Personnel and Readiness shall, in coordination with the Secretaries
        of the military departments, ensure appropriate access by the task
        force to military installations and facilities for purposes of the
        discharge of the duties of the task force.
        (e) Reports.--
            (1) Interim report.--Not later than May 31, 2007, the task
        force shall submit to the Secretary of Defense and the Committees
        on Armed Services of the Senate and the House of Representatives an
        interim report on the activities of the task force. At a minimum,
        the report shall include interim findings and recommendations
        regarding subsection (c)(3)(H), particularly with regard to cost
        sharing under the pharmacy benefits program.
            (2) Final report.--(A) The task force shall submit to the
        Secretary of Defense a final report on its activities under this
        section. The report shall include--
                (i) a description of the activities of the task force;
                (ii) the assessment and recommendations required by
            subsection (c); and
                (iii) such other matters relating to the activities of the
            task force that the task force considers appropriate.
            (B) Not later than 90 days after receipt of the report under
        subparagraph (A), the Secretary shall transmit the report to the
        Committees on Armed Services of the Senate and the House of
        Representatives. The Secretary may include in the transmittal such
        comments on the report as the Secretary considers appropriate.
        (f) Termination.--The task force shall terminate 90 days after the
    date on which the final report of the task force is transmitted to
    Congress under subsection (e)(2).
        SEC. 712. STUDY RELATING TO CHIROPRACTIC HEALTH CARE SERVICES.
        (a) Study Required.--
            (1) Groups covered.--The Secretary of Defense shall conduct a
        study of providing chiropractic health care services and benefits
        to the following groups:
                (A) All members of the uniformed services on active duty
            and entitled to care under section 1074(a) of title 10, United
            States Code.
                (B) All members described in subparagraph (A) and their
            eligible dependents, and all members of the Selected Reserves
            and their eligible dependents.
                (C) All members or former members of the uniformed services
            who are entitled to retired or retainer pay or equivalent pay
            and their eligible dependents.
            (2) Matters examined.--
                (A) For each group listed in subparagraphs (A), (B), and
            (C) of paragraph (1), the study shall examine the following
            with respect to chiropractic health care services and benefits:
                    (i) The cost of providing such services and benefits.
                    (ii) The feasibility of providing such services and
                benefits.
                    (iii) An assessment of the health care benefits of
                providing such services and benefits.
                    (iv) An estimate of the potential cost savings of
                providing such services and benefits in lieu of other
                medical services.
                    (v) The identification of existing and planned health
                care infrastructure, including personnel, equipment, and
                facilities, to accommodate the provision of chiropractic
                health care services.
                (B) For the members of the group listed in subparagraph (A)
            of paragraph (1), the study shall also examine the effects of
            providing chiropractic health care services and benefits--
                    (i) on the readiness of such members; and
                    (ii) on the acceleration of the return to duty of such
                members following an identified injury or other malady that
                can be appropriately treated with chiropractic health care
                services.
            (3) Space available costs.--The study shall also include a
        detailed analysis of the projected costs of providing chiropractic
        health care services on a space available basis in the military
        treatment facilities currently providing chiropractic care under
        section 702 of the Floyd D. Spence National Defense Authorization
        Act of Fiscal Year 2001 (as enacted by Public Law 106-398; 10
        U.S.C. 1092 note).
            (4) Eligible dependent defined.--In this section, the term
        ``eligible dependent'' has the meaning given that term in section
        1076a(k) of title 10, United States Code.
        (b) Report Required.--Not later than March 31, 2008, the Secretary
    of Defense shall submit to the Committees on Armed Services of the
    Senate and the House of Representatives a report on the study required
    under subsection (a).
        SEC. 713. COMPTROLLER GENERAL AUDITS OF DEPARTMENT OF DEFENSE
          HEALTH CARE COSTS AND COST-SAVING MEASURES.
        (a) General Audit Required.--
            (1) In general.--The Comptroller General of the United States,
        in cooperation with the Director of the Congressional Budget
        Office, shall conduct an audit of the Department of Defense
        initiative to manage future medical benefits available through the
        Department known as ``Sustain the Benefit''.
            (2) Elements.--The audit required by paragraph (1) shall
        examine the following:
                (A) The basis for the calculation by the Department of
            Defense of the portion of the costs of health care benefits
            provided by the Department to beneficiaries that were paid by
            such beneficiaries in each of 1995 and 2005, including--
                    (i) a comparison of the cost to the Department of
                providing such benefits in each of 1995 and 2005;
                    (ii) the explanation for any increases in the costs of
                the Department of providing such benefits between 1995 and
                2005; and
                    (iii) a comparison of the amounts paid, by category of
                beneficiaries, for health care benefits in 1995 with the
                amounts paid, by category of beneficiaries, for such
                benefits in 2005.
                (B) The calculations and assumptions utilized by the
            Department in estimating the savings anticipated through the
            implementation of proposed increases in cost-sharing for health
            care benefits beginning in 2007.
                (C) The average annual rate of increase, based on
            inflation, of medical costs for the Department under the
            Defense Health Program.
                (D) The annual rate of growth in the cost of the Defense
            Health Program that is attributable to inflation in the cost of
            medical services over the last five years and how such rate of
            growth compares with annual rates of increases in health care
            premiums under the Federal Employee Health Benefit Program and
            other health care programs as well as rates of growth of other
            health care cost indices over that time.
                (E) The assumptions utilized by the Department in
            estimating savings associated with adjustments in copayments
            for pharmaceuticals.
                (F) The costs of the administration of the Defense Health
            Program and the TRICARE program for all categories of
            beneficiaries.
        (b) Audit of TRICARE Reserve Select Program.--
            (1) In general.--In addition to the audit required by
        subsection (a), the Comptroller General shall conduct an audit of
        the costs of the Department of Defense in implementing the TRICARE
        Reserve Select Program.
            (2) Elements.--The audit required by paragraph (1) shall
        include an examination of the following:
                (A) A comparison of the annual premium amounts established
            by the Department of Defense for the TRICARE Reserve Select
            Program with the actual costs of the Department in providing
            benefits under that program in fiscal years 2004 and 2005.
                (B) The rate of inflation of health care costs of the
            Department during fiscal years 2004 and 2005, and a comparison
            of that rate of inflation with the annual increase in premiums
            under the TRICARE Reserve Select Program in January 2006.
                (C) A comparison of the financial and health-care
            utilization assumptions utilized by the Department in
            establishing premiums under the TRICARE Reserve Select Program
            with actual experiences under that program in the first year of
            the implementation of that program.
            (3) TRICARE reserve select program defined.--In this section,
        the term ``TRICARE Reserve Select Program'' means the program
        carried out under section 1076d of title 10, United States Code.
        (c) Use of Independent Experts.--Notwithstanding any other
    provision of law, in conducting the audits required by this section,
    the Comptroller General may engage the services of appropriate
    independent experts, including actuaries.
        (d) Report.--Not later than June 1, 2007, the Comptroller General
    shall submit to the congressional defense committees a report on the
    audits conducted under this section. The report shall include--
            (1) the findings of the Comptroller General as a result of the
        audits; and
            (2) such recommendations as the Comptroller General considers
        appropriate in light of such findings to ensure maximum efficiency
        in the administration of the health care benefits programs of the
        Department of Defense.
        SEC. 714. TRANSFER OF CUSTODY OF THE AIR FORCE HEALTH STUDY ASSETS
          TO MEDICAL FOLLOW-UP AGENCY.
        (a) Transfer.--
            (1) Notification of participants.--The Secretary of the Air
        Force shall notify the participants of the Air Force Health Study
        that the study as currently constituted is ending as of September
        30, 2006. In consultation with the Medical Follow-up Agency (in
        this section referred to as the ``Agency'') of the Institute of
        Medicine of the National Academy of Sciences, the Secretary of the
        Air Force shall request the written consent of the participants to
        transfer their data and biological specimens to the Agency during
        fiscal year 2007 and written consent for the Agency to maintain the
        data and specimens and make them available for additional studies.
            (2) Completion of transfer.--Custodianship of the Air Force
        Health Study shall be completely transferred to the Agency on or
        before September 30, 2007. Assets to be transferred shall include
        electronic data files and biological specimens of all the study
        participants.
            (3) Copies to archives.--The Air Force shall send paper copies
        of all study documents to the National Archives.
        (b) Report on Transfer.--
            (1) Requirement.--Not later than 30 days after completion of
        the transfer of the assets of the Air Force Health Study under
        subsection (a), the Secretary of the Air Force shall submit to the
        Committees on Armed Services of the Senate and the House of
        Representatives a report on the transfer.
            (2) Matters covered.--At a minimum, the report shall include
        information on the number of study participants whose data and
        biological specimens were not transferred, the efforts that were
        taken to contact such participants, and the reasons why the
        transfer of their data and specimens did not occur.
        (c) Disposition of Assets Not Transferred.--The Secretary of the
    Air Force may not destroy any data or biological specimens not
    transferred under subsection (a) until the expiration of the one-year
    period following submission of the report under subsection (b).
        (d) Funding.--
            (1) Costs of transfer.--The Secretary of Defense shall make
        available to the Air Force $850,000 for preparation, transfer of
        the assets of the Air Force Health Study, and shipment of data and
        specimens to the Medical Follow-up Agency and the National Archives
        during fiscal year 2007 from amounts available from the Department
        of Defense for that fiscal year. The Secretary of Defense is
        authorized to transfer the freezers and other physical assets
        assigned to the Air Force Health Study to the Agency without
        charge.
            (2) Costs of collaboration.--The Secretary of Defense may
        reimburse the National Academy of Sciences up to $200,000 for costs
        of the Medical Follow-up Agency to collaborate with the Air Force
        in the transfer and receipt of the assets of the Air Force Health
        Study to the Agency during fiscal year 2007 from amounts available
        from the Department of Defense for that fiscal year.
        SEC. 715. STUDY ON ALLOWING DEPENDENTS OF ACTIVATED MEMBERS OF
          RESERVE COMPONENTS TO RETAIN CIVILIAN HEALTH CARE COVERAGE.
        (a) Study Requirement.--The Secretary of Defense shall conduct a
    study on the feasibility of allowing family members of members of the
    reserve components of the Armed Forces who are called or ordered to
    active duty in support of a contingency operation to continue health
    care coverage under a civilian health care program and provide
    reimbursement for such health care.
        (b) Elements.--The study required by subsection (a) shall include
    the following:
            (1) An assessment of the number of military dependents with
        special health care needs (such as ongoing chemotherapy or physical
        therapy) who would benefit from continued coverage under the
        member's civilian health care plan instead of enrolling in the
        TRICARE program.
            (2) An assessment of the feasibility of providing reimbursement
        to the member or the sponsor of the civilian health coverage.
            (3) A recommendation on the appropriate rate of reimbursement
        for members or sponsors of civilian health coverage.
            (4) The feasibility of including dependents who do not have
        access to health care providers that accept payment under the
        TRICARE program.
        (c) Report Required.--Not later than 180 days after the date of the
    enactment of this Act, the Secretary of Defense shall submit to the
    Committees on Armed Services of the Senate and the House of
    Representatives a report on the study required under subsection (a).
        SEC. 716. STUDY OF HEALTH EFFECTS OF EXPOSURE TO DEPLETED URANIUM.
        (a) Study.--The Secretary of Defense, in consultation with the
    Secretary for Veterans Affairs and the Secretary of Health and Human
    Services, shall conduct a comprehensive study of the health effects of
    exposure to depleted uranium munitions on uranium-exposed soldiers and
    on children of uranium-exposed soldiers who were born after the
    exposure of the uranium-exposed soldiers to depleted uranium.
        (b) Uranium-Exposed Soldiers.--In this section, the term ``uranium-
    exposed soldiers'' means a member or former member of the Armed Forces
    who handled, came in contact with, or had the likelihood of contact
    with depleted uranium munitions while on active duty, including members
    and former members who--
            (1) were exposed to smoke from fires resulting from the burning
        of vehicles containing depleted uranium munitions or fires at
        depots at which depleted uranium munitions were stored;
            (2) worked within environments containing depleted uranium dust
        or residues from depleted uranium munitions;
            (3) were within a structure or vehicle while it was struck by a
        depleted uranium munition;
            (4) climbed on or entered equipment or structures struck by a
        depleted uranium munition; or
            (5) were medical personnel who provided initial treatment to
        members of the Armed Forces described in paragraph (1), (2), (3),
        or (4).
        (c) Report.--Not later than one year after the date of the
    enactment of this Act, the Secretary of Defense shall submit to
    Congress a report on the results of the study described in subsection
    (a).
        SEC. 717. REPORT AND PLAN ON SERVICES TO MILITARY DEPENDENT
          CHILDREN WITH AUTISM.
        (a) Plan Required.--The Secretary of Defense shall, within 180 days
    after the date of the enactment of this Act, develop a plan to provide
    services to military dependent children with autism pursuant to the
    authority for an extended health care services program in subsections
    (d) and (e) of section 1079 of title 10, United States Code. Such plan
    shall include--
            (1) requirements for the education, training, and supervision
        of individuals providing services for military dependent children
        with autism;
            (2) standards for identifying and measuring the availability,
        distribution, and training of individuals of various levels of
        expertise to provide such services; and
            (3) procedures to ensure that such services are in addition to
        other publicly provided services to such children.
        (b) Participation of Affected Families.--In developing the plan
    required under subsection (a), the Secretary shall ensure the
    involvement and participation of affected military families or their
    representatives.
        (c) Report Required.--Not later than 30 days after completion of
    the plan required under subsection (a), the Secretary shall submit to
    the Committees on Armed Services of the Senate and the House of
    Representatives a report on the plan. The report may include any
    additional information the Secretary considers relevant.
        SEC. 718. COMPTROLLER GENERAL STUDY ON DEPARTMENT OF DEFENSE
          PHARMACY BENEFITS PROGRAM.
        (a) In General.--The Comptroller General of the United States shall
    conduct a study of the Department of Defense pharmacy benefits program
    required by section 1074g of title 10, United States Code.
        (b) Elements.--The study required by subsection (a) shall include
    an examination of the following:
            (1) The cost of the Department of Defense pharmacy benefits
        program since the inception of the program.
            (2) The relative costs of various options under the program.
            (3) The copayment structure under the program.
            (4) The effectiveness of the rebate system under the program as
        a way of passing on discounts received by the Federal Government in
        the purchase of pharmaceutical agents.
            (5) The uniform formulary under the program, including the
        success of the formulary in achieving savings anticipated through
        use of the formulary.
            (6) Various alternative means of purchasing pharmaceutical
        agents more efficiently for availability under the program.
            (7) The composition and decision-making processes of the
        Pharmacy and Therapeutics Committee.
            (8) The composition of the Beneficiary Advisory Panel and its
        history as an advisory panel under the program (including the
        frequency of the acceptance of its recommendations by the Secretary
        of Defense).
            (9) Quality assurance mechanisms under the program.
            (10) The role of the program in support of the disease and
        chronic care management programs of the Department of Defense.
            (11) Mechanisms for customer service and customer feedback
        under the program.
            (12) Beneficiary satisfaction with the program.
        (c) Report.--Not later than nine months after the date of the
    enactment of this Act, the Comptroller General shall submit to the
    congressional defense committees a report on the study required by
    subsection (a). The report shall include such recommendations as the
    Comptroller General considers appropriate for legislative or
    administrative action to improve the Department of Defense pharmacy
    benefits program in light of the study.
        SEC. 719. REVIEW OF DEPARTMENT OF DEFENSE MEDICAL QUALITY
          IMPROVEMENT PROGRAM.
        (a) Report Required.--
            (1) In general.--Not later than 180 days after the date of the
        enactment of this Act, the Secretary of Defense shall submit to the
        Committees on Armed Services of the Senate and the House of
        Representatives a report on actions taken in response to the
        recommendations of the July 2001 report of the Department of
        Defense Healthcare Quality Initiatives Review Panel.
            (2) Matters covered.--The report shall address the status of
        actions concerning each of the Panel's general and specific
        recommendations, including the amount of resources allocated by
        fiscal year to implement each recommendation. In any instance in
        which no action has been taken, justification for such inaction
        shall be provided in the report.
        (b) Review Required.--
            (1) In general.--The Secretary of Defense shall enter into a
        contract with the Institute of Medicine of the National Academy of
        Sciences, or another similarly qualified independent academic
        medical organization, for the purpose of conducting an independent
        review of the Department of Defense medical quality improvement
        program.
            (2) Elements.--The review required pursuant to paragraph (1)
        shall include the following:
                (A) An assessment of the methods used by the Department of
            Defense to monitor medical quality in services provided in
            military hospitals and clinics and in services provided in
            civilian hospitals and providers under the military health care
            system.
                (B) An assessment of the transparency and public reporting
            mechanisms of the Department on medical quality.
                (C) An assessment of how the Department incorporates
            medical quality into performance measures for military and
            civilian health care providers within the military health care
            system.
                (D) An assessment of the patient safety programs of the
            Department.
                (E) A description of the extent to which the Department
            seeks to address particular medical errors, and an assessment
            of the adequacy of such efforts.
                (F) An assessment of accountability within the military
            health care system for preventable negative outcomes involving
            negligence.
                (G) An assessment of the performance of the health care
            safety and quality measures of the Department.
                (H) An assessment of the collaboration of the Department
            with national initiatives to develop evidence-based quality
            measures and intervention strategies, especially the
            initiatives of the Agency for Health Care Research and Quality
            within the Department of Health and Human Services.
                (I) A comparison of the methods, mechanisms, and programs
            and activities referred to in subparagraphs (A) through (G)
            with similar methods, mechanisms, programs, and activities used
            in other public and private health care systems and
            organizations.
            (3) Report.--
                (A) In general.--Not later than one year after the date of
            the enactment of this Act, the Secretary shall submit to the
            Committees on Armed Services of the Senate and the House of
            Representatives a report on the review required pursuant to
            paragraph (1).
                (B) Elements.--The report required by subparagraph (A)
            shall include the following:
                    (i) The results of the review required pursuant to
                paragraph (1).
                    (ii) A discussion of recent highlights in the
                accomplishments of the Department of Defense medical
                quality assurance program.
                    (iii) Such recommendations for legislative or
                administrative action as the Secretary considers
                appropriate for the improvement of the program.
        SEC. 720. REPORT ON DISTRIBUTION OF HEMOSTATIC AGENTS FOR USE IN
          THE FIELD.
        Not later than 60 days after the date of the enactment of this Act,
    the Secretary of Defense shall submit to the congressional defense
    committees a report on the distribution of hemostatic agents to members
    of the Armed Forces serving in Iraq and Afghanistan, including a
    description of any distribution problems and attempts to resolve such
    problems.
        SEC. 721. LONGITUDINAL STUDY ON TRAUMATIC BRAIN INJURY INCURRED BY
          MEMBERS OF THE ARMED FORCES IN OPERATION IRAQI FREEDOM AND
          OPERATION ENDURING FREEDOM.
        (a) Study Required.--The Secretary of Defense shall conduct a
    longitudinal study on the effects of traumatic brain injury incurred by
    members of the Armed Forces serving in Operation Iraqi Freedom or
    Operation Enduring Freedom on the members who incur such an injury and
    their families.
        (b) Duration.--The study required by subsection (a) shall be
    conducted for a period of 15 years.
        (c) Elements.--The study required by subsection (a) shall
    specifically address the following:
            (1) The long-term physical and mental health effects of
        traumatic brain injuries incurred by members of the Armed Forces
        during service in Operation Iraqi Freedom or Operation Enduring
        Freedom.
            (2) The health care, mental health care, and rehabilitation
        needs of such members for such injuries after the completion of
        inpatient treatment through the Department of Defense, the
        Department of Veterans Affairs, or both.
            (3) The type and availability of long-term care rehabilitation
        programs and services within and outside the Department of Defense
        and the Department of Veterans Affairs for such members for such
        injuries, including community-based programs and services and in-
        home programs and services.
            (4) The effect on family members of a member incurring such an
        injury.
        (d) Consultation.--The Secretary of Defense shall conduct the study
    required by subsection (a) and prepare the reports required by
    subsection (e) in consultation with the Secretary of Veterans Affairs.
        (e) Periodic and Final Reports.--After the third, seventh,
    eleventh, and fifteenth years of the study required by subsection (a),
    the Secretary of Defense shall submit to Congress a comprehensive
    report on the results of the study during the preceding years. Each
    report shall include the following:
            (1) Current information on the cumulative outcomes of the
        study.
            (2) Such recommendations as the Secretary of Defense and the
        Secretary of Veterans Affairs jointly consider appropriate based on
        the outcomes of the study, including recommendations for
        legislative, programmatic, or administrative action to improve
        long-term care and rehabilitation programs and services for members
        of the Armed Forces with traumatic brain injuries.

               Subtitle C--Planning, Programming, and Management

        SEC. 731. STANDARDIZATION OF CLAIMS PROCESSING UNDER TRICARE
          PROGRAM AND MEDICARE PROGRAM.
        (a) In General.--Effective beginning with the next contract option
    period for managed care support contracts under the TRICARE program,
    the claims processing requirements under the TRICARE program on the
    matters described in subsection (b) shall be identical to the claims
    processing requirements under the Medicare program on such matters.
        (b) Covered Matters.--The matters described in this subsection are
    as follows:
            (1) The utilization of single or multiple provider
        identification numbers for purposes of the payment of health care
        claims by Department of Defense contractors.
            (2) The documentation required to substantiate medical
        necessity for items and services that are covered under both the
        TRICARE program and the Medicare program.
        (c) Report on Collection of Amounts Owed.--Not later than March 1,
    2007, the Secretary of Defense shall submit to the congressional
    defense committees a report setting forth a detailed description of the
    following:
            (1) All TRICARE policies and directives concerning collection
        of amounts owed to the United States pursuant to section 1095 of
        title 10, United States Code, from third party payers, including--
                (A) collection by military treatment facilities from third-
            party payers; and
                (B) collection by contractors providing managed care
            support under the TRICARE program from other insurers in cases
            of private insurance liability for health care costs of a
            TRICARE beneficiary.
            (2) An estimate of the outstanding amounts owed from third
        party payers in each of fiscal years 2002, 2003, and 2004.
            (3) The amounts collected from third party payers in each of
        fiscal years 2002, 2003, and 2004.
            (4) A plan of action to streamline the business practices that
        underlie the policies and directives described in paragraph (1).
            (5) A plan of action to accelerate and increase the collections
        or recoupments of amounts owed from third party payers.
        (d) Annual Reports on Claims Processing Standardization.--
            (1) In general.--Not later than October 1, 2007, and annually
        thereafter, the Secretary of Defense shall submit to the
        congressional defense committees a report setting forth a complete
        list of the claims processing requirements under the TRICARE
        program that differ from claims processing requirements under the
        Medicare program.
            (2) Elements.--Each report under paragraph (1) shall include,
        for each claims processing requirement listed in such report, a
        business case that justifies maintaining such requirement under the
        TRICARE program as a different claims processing requirement than
        that required under the Medicare program.
        (e) Definitions.--In this section:
            (1) The term ``Medicare program'' means the program under title
        XVIII of the Social Security Act (42 U.S.C. 1395 et seq.).
            (2) The term ``TRICARE program'' has the meaning given that
        term in section 1072(7) of title 10, United States Code.
        SEC. 732. REQUIREMENTS FOR SUPPORT OF MILITARY TREATMENT FACILITIES
          BY CIVILIAN CONTRACTORS UNDER TRICARE.
        (a) Annual Integrated Regional Requirements on Support.--The
    Regional Director of each region under the TRICARE program shall
    develop each year integrated, comprehensive requirements for the
    support of military treatment facilities in such region that is
    provided by contract civilian health care and administrative personnel
    under the TRICARE program.
        (b) Purposes.--The purposes of the requirements established under
    subsection (a) shall be as follows:
            (1) To ensure consistent standards of quality in the support of
        military treatment facilities by contract civilian health care
        personnel under the TRICARE program.
            (2) To identify targeted, actionable opportunities throughout
        each region of the TRICARE program for the most efficient and cost
        effective delivery of health care and support of military treatment
        facilities.
            (3) To ensure the most effective use of various available
        contracting methods in securing support of military treatment
        facilities by civilian health care personnel under the TRICARE
        program, including resource-sharing and clinical support
        agreements, direct contracting, and venture capital investments.
        (c) Facilitation and Enhancement of Contractor Support.--
            (1) In general.--The Secretary of Defense shall take
        appropriate actions to facilitate and enhance the support of
        military treatment facilities under the TRICARE program in order to
        assure maximum quality and productivity.
            (2) Actions.--In taking actions under paragraph (1), the
        Secretary shall--
                (A) require consistent standards of quality for contract
            civilian health care personnel providing support of military
            treatment facilities under the TRICARE program, including--
                    (i) consistent credentialing requirements among
                military treatment facilities;
                    (ii) consistent performance standards for private
                sector companies providing health care staffing services to
                military treatment facilities and clinics, including, at a
                minimum, those standards established for accreditation of
                health care staffing firms by the Joint Commission on the
                Accreditation of Health Care Organizations Health Care
                Staffing Standards; and
                    (iii) additional standards covering--

                        (I) financial stability;
                        (II) medical management;
                        (III) continuity of operations;
                        (IV) training;
                        (V) employee retention;
                        (VI) access to contractor data; and
                        (VII) fraud prevention;

                (B) ensure the availability of adequate and sustainable
            funding support for projects which produce a return on
            investment to the military treatment facilities;
                (C) ensure that a portion of any return on investment is
            returned to the military treatment facility to which such
            savings are attributable;
                (D) remove financial disincentives for military treatment
            facilities and civilian contractors to initiate and sustain
            agreements for the support of military treatment facilities by
            such contractors under the TRICARE program;
                (E) provide for a consistent methodology across all regions
            of the TRICARE program for developing cost benefit analyses of
            agreements for the support of military treatment facilities by
            civilian contractors under the TRICARE program based on actual
            cost and utilization data within each region of the TRICARE
            program; and
                (F) provide for a system for monitoring the performance of
            significant projects for support of military treatment
            facilities by a civilian contractor under the TRICARE program.
        (d) Reports to Congress.--
            (1) Annual reports required.--Not later than February 1, 2008,
        and each year thereafter, the Secretary, in coordination with the
        military departments, shall submit to the Committees on Armed
        Services of the Senate and the House of Representatives a report on
        the support of military treatment facilities by civilian
        contractors under the TRICARE program during the preceding fiscal
        year.
            (2) Elements.--Each report shall set forth, for the fiscal year
        covered by such report, the following:
                (A) The level of support of military health treatment
            facilities that is provided by contract civilian health care
            personnel under the TRICARE program in each region of the
            TRICARE program.
                (B) An assessment of the compliance of such support with
            regional requirements under subsection (a).
                (C) The number and type of agreements for the support of
            military treatment facilities by contract civilian health care
            personnel.
                (D) The standards of quality in effect under the
            requirements under subsection (a).
                (E) The savings anticipated, and any savings achieved, as a
            result of the implementation of the requirements under
            subsection (a).
                (F) An assessment of the compliance of contracts for health
            care staffing services for Department of Defense facilities
            with the requirements of subsection (c)(2)(A).
        (e) Effective Date.--This section shall take effect on October 1,
    2006.
        SEC. 733. STANDARDS AND TRACKING OF ACCESS TO HEALTH CARE SERVICES
          FOR WOUNDED, INJURED, OR ILL SERVICEMEMBERS RETURNING TO THE
          UNITED STATES FROM A COMBAT ZONE.
        (a) Report on Uniform Standards for Access.--Not later than 90 days
    after the date of the enactment of this Act, the Secretary of Defense
    shall submit to the Committees on Armed Services of the Senate and the
    House of Representatives a report on uniform standards for the access
    of wounded, injured, or ill members of the Armed Forces to health care
    services in the United States following return from a combat zone.
        (b) Matters Covered.--The report required by subsection (a) shall
    describe in detail policies with respect to the following:
            (1) The access of wounded, injured, or ill members of the Armed
        Forces to emergency care.
            (2) The access of such members to surgical services.
            (3) Waiting times for referrals and consultations of such
        members by medical personnel, dental personnel, mental health
        specialists, and rehabilitative service specialists, including
        personnel and specialists with expertise in prosthetics and in the
        treatment of head, vision, and spinal cord injuries.
            (4) Waiting times of such members for acute care and for
        routine follow-up care.
        (c) Referral to Providers Outside Military Health Care System.--The
    Secretary shall require that health care services and rehabilitation
    needs of members described in subsection (a) be met through whatever
    means or mechanisms possible, including through the referral of members
    described in that subsection to health care providers outside the
    military health care system.
        (d) Uniform System for Tracking of Performance.--The Secretary
    shall establish a uniform system for tracking the performance of the
    military health care system in meeting the requirements for access of
    wounded, injured, or ill members of the Armed Forces to health care
    services described in subsection (a).
        (e) Reports.--
            (1) Tracking system.--Not later than 180 days after the date of
        the enactment of this Act, the Secretary shall submit to the
        Committees on Armed Services of the Senate and the House of
        Representatives a report on the system established under subsection
        (d).
            (2) Access.--Not later than October 1, 2006, and each quarter
        thereafter during fiscal year 2007, the Secretary shall submit to
        such committees a report on the performance of the health care
        system in meeting the access standards described in the report
        required by subsection (a).
        SEC. 734. DISEASE AND CHRONIC CARE MANAGEMENT.
        (a) Program Design and Development Required.--Not later than
    October 1, 2007, the Secretary of Defense shall design and develop a
    fully integrated program on disease and chronic care management for the
    military health care system that provides, to the extent practicable,
    uniform policies and practices on disease management and chronic care
    management throughout that system, including both military hospitals
    and clinics and civilian healthcare providers within the TRICARE
    network.
        (b) Purposes of Program.--The purposes of the program required by
    subsection (a) are as follows:
            (1) To facilitate the improvement of the health status of
        individuals under care in the military health care system.
            (2) To ensure the availability of effective health care
        services in that system for individuals with diseases and other
        chronic conditions.
            (3) To ensure the proper allocation of health care resources
        for individuals who need care for disease or other chronic
        conditions.
        (c) Elements of Program Design.--The program design required by
    subsection (a) shall meet the following requirements:
            (1) Based on uniform policies prescribed by the Secretary, the
        program shall, at a minimum, address the following chronic diseases
        and conditions:
                (A) Diabetes.
                (B) Cancer.
                (C) Heart disease.
                (D) Asthma.
                (E) Chronic obstructive pulmonary disorder.
                (F) Depression and anxiety disorders.
            (2) The program shall meet nationally recognized accreditation
        standards for disease and chronic care management.
            (3) The program shall include specific outcome measures and
        objectives on disease and chronic care management.
            (4) The program shall include strategies for disease and
        chronic care management for all beneficiaries, including
        beneficiaries eligible for benefits under the Medicare program
        under title XVIII of the Social Security Act (42 U.S.C. 1395 et
        seq.), for whom the TRICARE program is not the primary payer for
        health care benefits.
            (5) Activities under the program shall conform to applicable
        laws and regulations relating to the confidentiality of health care
        information.
        (d) Implementation Plan Required.--Not later than February 1, 2008,
    the Secretary of Defense, in coordination with the Secretaries of the
    military departments, shall develop an implementation plan for the
    disease and chronic care management program. In order to facilitate the
    carrying out of the program, the plan developed by the Secretary
    shall--
            (1) require a comprehensive analysis of the disease and chronic
        care management opportunities within each region of the TRICARE
        program, including within military treatment facilities and through
        contractors under the TRICARE program;
            (2) ensure continuous, adequate funding of disease and chronic
        care management activities throughout the military health care
        system in order to achieve maximum health outcomes and cost
        avoidance;
            (3) eliminate, to the extent practicable, any financial
        disincentives to sustained investment by military hospitals and
        health care services contractors of the Department of Defense in
        the disease and chronic care management activities of the
        Department;
            (4) ensure that appropriate clinical and claims data, including
        pharmacy utilization data, is available for use in implementing the
        program;
            (5) ensure outreach to eligible beneficiaries who, on the basis
        of their clinical conditions, are candidates for the program
        utilizing print and electronic media, telephone, and personal
        interaction; and
            (6) provide a system for monitoring improvements in health
        status and clinical outcomes under the program and savings
        associated with the program.
        (e) Report.--
            (1) In general.--Not later than March 1, 2008, the Secretary of
        Defense shall submit to the Committees on Armed Services of the
        Senate and the House of Representatives a report on the design,
        development, and implementation of the program on disease and
        chronic care management required by this section.
            (2) Report elements.--The report required by paragraph (1)
        shall include the following:
                (A) A description of the design and development of the
            program required by subsection (a).
                (B) A description of the implementation plan required by
            subsection (d).
                (C) A description and assessment of improvements in health
            status and clinical outcomes that are anticipated as a result
            of implementation of the program.
                (D) A description of the savings and return on investment
            associated with the program.
                (E) A description of an investment strategy to assure the
            sustainment of the disease and chronic care management programs
            of the Department of Defense.
        SEC. 735. ADDITIONAL ELEMENTS OF ASSESSMENT OF DEPARTMENT OF
          DEFENSE TASK FORCE ON MENTAL HEALTH RELATING TO MENTAL HEALTH OF
          MEMBERS WHO WERE DEPLOYED IN OPERATION IRAQI FREEDOM AND
          OPERATION ENDURING FREEDOM.
        Section 723(c) of the National Defense Authorization Act for Fiscal
    Year 2006 (Public Law 109-163; 119 Stat. 3348) is amended by adding at
    the end the following new paragraph:
            ``(4) Mental health needs of members who were deployed in oif
        or oef.--As part of the assessment required by paragraph (1) of the
        efficacy of mental health services provided to members of the Armed
        Forces by the Department of Defense, the task force shall consider
        the specific needs with respect to mental health of members who
        were deployed in Operation Iraqi Freedom or Operation Enduring
        Freedom upon their return from such deployment, including the
        following:
                ``(A) An identification of mental health conditions and
            disorders (including Post Traumatic Stress Disorder, suicide
            attempts, and suicide) occurring among members who have
            undergone multiple deployments in Operation Iraqi Freedom or
            Operation Enduring Freedom.
                ``(B) An evaluation of the availability to members of
            assessments under the Mental Health Self-Assessment Program of
            the Department of Defense to ensure the long-term availability
            of the diagnostic mechanisms of the assessment to detect mental
            health conditions that may emerge in such members over time.
                ``(C) The availability of programs and services under the
            Mental Health Self-Assessment Program to address the mental
            health of dependent children of members who were deployed in
            Operation Iraqi Freedom or Operation Enduring Freedom.
                ``(D) Recommendations on mechanisms for improving the
            mental health services available to members who were deployed
            in Operation Iraqi Freedom or Operation Enduring Freedom,
            including members who have undergone multiple deployments.''.
        SEC. 736. ADDITIONAL AUTHORIZED OPTION PERIODS FOR EXTENSION OF
          CURRENT CONTRACTS UNDER TRICARE.
        (a) Additional Number of Authorized Periods.--
            (1) In general.--The Secretary of Defense, after consulting
        with the other administering Secretaries, may extend any contract
        for the delivery of health care entered into under section 1097 of
        title 10, United States Code, that is in force on the date of the
        enactment of this Act by one year, and upon expiration of such
        extension by one additional year, if the Secretary determines that
        such extension--
                (A) is in the best interests of the Department of Defense
            and covered beneficiaries;
                (B) is cost effective; and
                (C) will--
                    (i) facilitate the effective administration of the
                TRICARE program; or
                    (ii) ensure continuity in the delivery of health care
                under the TRICARE program.
            (2) Limitation on number of extensions.--The total number of
        one-year extensions of a contract that may be granted under
        paragraph (1) may not exceed two extensions.
            (3) Notice and wait.--The Secretary may not commence the
        exercise of the authority in paragraph (1) with respect to a
        contract covered by that paragraph until 30 days after the date on
        which the Secretary submits to the Committees on Armed Services of
        the Senate and House of Representatives a report setting forth the
        following:
                (A) The minimum level of performance, including beneficiary
            satisfaction and cost, by the incumbent contractor under the
            contract that will be required by the Secretary in order to be
            eligible for an extension authorized by such paragraph.
                (B) The justification for such extension based on each of
            the criteria in paragraph (1).
                (C) The justification for such extension based on a cost-
            benefit analysis.
            (4) Definitions.--In this subsection, the terms ``administering
        Secretaries'', ``covered beneficiary'', and ``TRICARE program''
        have the meaning given such terms in section 1072 of title 10,
        United States Code.
        (b) Report on Contracting Mechanisms for Health Care Service
    Support Contracts.--Not later than 180 days after the date of the
    enactment of this Act, the Secretary shall submit to the Committees on
    Armed Services of the Senate and House of Representatives a report on
    contracting mechanisms under consideration for future contracts for
    health care service support under section 1097 of title 10, United
    States Code. The report shall include an assessment of the advantages
    and disadvantages for the Department of Defense (including the
    potential for stimulating competition and the effect on health care
    beneficiaries of the Department) of providing in such contracts for a
    single term of 5 years, with a single optional period of extension of
    an additional 5 years if performance under such contract is rated as
    ``excellent''.
        SEC. 737. MILITARY VACCINATION MATTERS.
        (a) Additional Element for Comptroller General Study and Report on
    Vaccine Healthcare Centers.--Section 736(b) of the National Defense
    Authorization Act for Fiscal Year 2006 (Public Law 109-163; 119 Stat.
    3356) is amended by adding at the end the following new paragraph:
            ``(10) The feasibility and advisability of transferring direct
        responsibility for the Centers from the Army Medical Command to the
        Under Secretary of Defense for Personnel and Readiness and the
        Deputy Assistant Secretary of Defense for Force Health Protection
        and Readiness.''.
        (b) Limitation on Restructuring of Vaccine Healthcare Centers.--The
    Secretary of Defense may not downsize or otherwise restructure the
    Vaccine Healthcare Centers of the Department of Defense during fiscal
    year 2007. The Secretary shall ensure that the Secretary of each
    military department shall, from amounts allocated during fiscal year
    2007 from the Defense Health Program, fund and maintain the Vaccine
    Healthcare Center of the military department concerned.
        SEC. 738. ENHANCED MENTAL HEALTH SCREENING AND SERVICES FOR MEMBERS
          OF THE ARMED FORCES.
        (a) Additional Required Elements for Predeployment and
    Postdeployment Medical Examinations.--Subsection (b) of section 1074f
    of title 10, United States Code, is amended--
            (1) by inserting ``(1)'' before ``The system''; and
            (2) by adding at the end the following new paragraph:
        ``(2) The predeployment and postdeployment medical examination of a
    member of the armed forces required under paragraph (1) shall include
    the following:
            ``(A) An assessment of the current treatment of the member and
        any use of psychotropic medications by the member for a mental
        health condition or disorder.
            ``(B) An assessment of traumatic brain injury.''.
        (b) Criteria for Referral for Further Evaluations.--Such section is
    further amended by adding at the end the following:
        ``(e) Criteria for Referral for Further Evaluations.--The system
    described in subsection (a) shall include--
            ``(1) development of clinical practice guidelines to be
        utilized by healthcare providers in determining whether to refer a
        member of the armed forces for further evaluation relating to
        mental health (including traumatic brain injury);
            ``(2) mechanisms to ensure that healthcare providers are
        trained in the application of such clinical practice guidelines;
        and
            ``(3) mechanisms for oversight to ensure that healthcare
        providers apply such guidelines consistently.''.
        (c) Minimum Mental Health Standards for Deployment.--Such section
    is further amended by adding at the end the following:
        ``(f) Minimum Mental Health Standards for Deployment.--(1) The
    Secretary of Defense shall prescribe in regulations minimum standards
    for mental health for the eligibility of a member of the armed forces
    for deployment to a combat operation or contingency operation.
        ``(2) The standards required by paragraph (1) shall include the
    following:
            ``(A) A specification of the mental health conditions,
        treatment for such conditions, and receipt of psychotropic
        medications for such conditions that preclude deployment of a
        member of the armed forces to a combat operation or contingency
        operation, or to a specified type of such operation.
            ``(B) Guidelines for the deployability and treatment of members
        of the armed forces diagnosed with a severe mental illness or post
        traumatic stress disorder.
        ``(3) The Secretary shall take appropriate actions to ensure the
    utilization of the standards prescribed under paragraph (1) in the
    making of determinations regarding the deployability of members of the
    armed forces to a combat operation or continency operation.''.
        (d) Quality Assurance.--Subsection (d) of such section is amended--
            (1) by inserting ``(1)'' before ``The Secretary of Defense'';
        and
            (2) by adding at the end the following new paragraphs:
        ``(2) The quality assurance program established under paragraph (1)
    shall also include the following elements:
            ``(A) The types of healthcare providers conducting
        postdeployment health assessments.
            ``(B) The training received by such providers applicable to the
        conduct of such assessments, including training on assessments and
        referrals relating to mental health.
            ``(C) The guidance available to such providers on how to apply
        the clinical practice guidelines developed under subsection (e)(1)
        in determining whether to make a referral for further evaluation of
        a member of the armed forces relating to mental health.
            ``(D) The effectiveness of the tracking mechanisms required
        under this section in ensuring that members who receive referrals
        for further evaluations relating to mental health receive such
        evaluations and obtain such care and services as are warranted.
            ``(E) Programs established for monitoring the mental health of
        each member who, after deployment to a combat operation or
        contingency operations, is known--
                ``(i) to have a mental health condition or disorder; or
                ``(ii) to be receiving treatment, including psychotropic
            medications, for a mental health condition or disorder.''.
        (e) Comptroller General Reports on Implementation of
    Requirements.--
            (1) Study on implementation.--The Comptroller General of the
        United States shall carry out a study of the implementation of the
        requirements of the amendments made by this section.
            (2) Reports.--Not later than March 1, 2008, the Comptroller
        General shall submit to the Committees on Armed Services of the
        Senate and the House of Representatives a report on the study
        carried out under paragraph (1).
        (f) Implementation.--The Secretary of Defense shall implement the
    requirements of the amendments made by this section not later than six
    months after the date of the enactment of this Act.
        (g) Report Required.--The Secretary of Defense shall submit to the
    Committees on Armed Services of the Senate and the House of
    Representatives a report on the actions taken to implement the
    requirements of the amendments made by this section not later than June
    1, 2007.

                           Subtitle D--Other Matters

        SEC. 741. PILOT PROJECTS ON EARLY DIAGNOSIS AND TREATMENT OF POST
          TRAUMATIC STRESS DISORDER AND OTHER MENTAL HEALTH CONDITIONS.
        (a) Pilot Projects Required.--The Secretary of Defense shall carry
    out not less than three pilot projects to evaluate the efficacy of
    various approaches to improving the capability of the military and
    civilian health care systems to provide early diagnosis and treatment
    of post traumatic stress disorder and other mental health conditions.
        (b) Duration.--Any pilot project carried out under this section
    shall begin not later than October 1, 2007, and cease on September 30,
    2008.
        (c) Pilot Project Requirements.--
            (1) Diagnostic and treatment approaches.--One of the pilot
        projects under this section shall be designed to evaluate effective
        diagnostic and treatment approaches for use by primary care
        providers in the military health care system in order to improve
        the capability of such providers to diagnose and treat post
        traumatic stress disorder.
            (2) National guard or reserve members.--
                (A) One of the pilot projects under this section shall be
            focused on members of the National Guard or Reserves who are
            located more than 40 miles from a military medical facility and
            who are served primarily by civilian community health
            resources.
                (B) The pilot project described in subparagraph (A) shall
            be designed to develop educational materials and other tools
            for use by members of the National Guard or Reserves who come
            into contact with other members of the National Guard or
            Reserves who may suffer from post traumatic stress disorder in
            order to encourage and facilitate early reporting and referral
            for treatment.
            (3) Outreach.--One of the pilot projects under this section
        shall be designed to provide outreach to the family members of the
        members of the Armed Forces on post traumatic stress disorder and
        other mental health conditions.
        (d) Evaluation of Pilot Projects.--The Secretary shall evaluate
    each pilot project carried out under this section in order to assess
    the effectiveness of the approaches taken under such pilot project--
            (1) to improve the capability of the military and civilian
        health care systems to provide early diagnosis and treatment of
        post traumatic stress disorder and other mental health conditions
        among members of the regular components of the Armed Forces, and
        among members of the National Guard and Reserves, who have returned
        from deployment; and
            (2) to provide outreach to the family members of the members of
        the Armed Forces described in paragraph (1) on post traumatic
        stress disorder and other mental health conditions among such
        members of the Armed Forces.
        (e) Report to Congress.--
            (1) Report required.--Not later than December 31, 2008, the
        Secretary shall submit to the congressional defense committees a
        report on the pilot projects carried out under this section.
            (2) Elements.--The report required by paragraph (1) shall
        include the following:
                (A) A description of each pilot project carried out under
            this section.
                (B) An assessment of the effectiveness of the approaches
            taken under each pilot project to improve the capability of the
            military and civilian health care systems to provide early
            diagnosis and treatment of post traumatic stress disorder and
            other mental health conditions among members of the Armed
            Forces.
                (C) Any recommendations for legislative or administrative
            action that the Secretary considers appropriate in light of the
            pilot projects, including recommendations on--
                    (i) the training of health care providers in the
                military and civilian health care systems on early
                diagnosis and treatment of post traumatic stress disorder
                and other mental health conditions; and
                    (ii) the provision of outreach on post traumatic stress
                disorder and other mental health conditions to members of
                the National Guard and Reserves who have returned from
                deployment.
                (D) A plan, in light of the pilot projects, for the
            improvement of the health care services provided to members of
            the Armed Forces in order to better assure the early diagnosis
            and treatment of post traumatic stress disorder and other
            mental health conditions among members of the Armed Forces,
            including a specific plan for outreach on post traumatic stress
            disorder and other mental health conditions to members of the
            National Guard and Reserves who have returned from deployment
            in order to facilitate and enhance the early diagnosis and
            treatment of post traumatic stress disorder and other mental
            health conditions among such members of the National Guard and
            Reserves.
        SEC. 742. REQUIREMENT TO CERTIFY AND REPORT ON CONVERSION OF
          MILITARY MEDICAL AND DENTAL POSITIONS TO CIVILIAN MEDICAL AND
          DENTAL POSITIONS.
        (a) Prohibition on Conversions.--
            (1) Submission of certification.--The Secretary of a military
        department may not convert any military medical or dental position
        to a civilian medical or dental position in a fiscal year until the
        Secretary submits to the congressional defense committees with
        respect to that fiscal year a certification that the conversions
        within that department will not increase cost or decrease quality
        of care or access to care.
            (2) Report on certification.--Each certification under
        paragraph (1) shall include a written report setting forth the
        following:
                (A) The methodology used by the Secretary in making the
            determinations necessary for the certification.
                (B) The number of military medical or dental positions, by
            grade or band and specialty, planned for conversion to civilian
            medical or dental positions.
                (C) The results of a market survey in each affected area of
            the availability of civilian medical and dental care providers
            in such area in order to determine whether the civilian medical
            and dental care providers available in such area are adequate
            to fill the civilian positions created by the conversion of
            military medical and dental positions to civilian positions in
            such area.
                (D) An analysis, by affected area, showing the extent to
            which access to health care and cost of health care will be
            affected in both the direct care and purchased care systems,
            including an assessment of the effect of any increased shifts
            in patient load from the direct care to the purchased care
            system, or any delays in receipt of care in either the direct
            or purchased care system because of the planned conversions.
                (E) The extent to which military medical and dental
            positions planned for conversion to civilian medical or dental
            positions will affect recruiting and retention of uniformed
            medical and dental personnel.
                (F) A comparison of the full costs for the military medical
            and dental positions planned for conversion with the estimated
            full costs for civilian medical and dental positions, including
            expenses such as recruiting, salary, benefits, training, and
            any other costs the Department identifies.
                (G) An assessment showing that the military medical or
            dental positions planned for conversion are in excess of the
            military medical and dental positions needed to meet medical
            and dental readiness requirements of the uniformed services, as
            determined jointly by all the uniformed services.
                (H) An identification of each medical and dental position
            scheduled to be converted to a civilian position in the
            subsequent fiscal year, including the location of each position
            scheduled for conversion, the estimated cost of such
            conversion, and whether or not civilian personnel are available
            in the location for filling a converted military medical or
            dental position.
            (3) Submission deadline.--A certification and report with
        respect to any fiscal year after fiscal year 2007 shall be
        submitted at the same time the budget of the President for such
        fiscal year is submitted to Congress pursuant to section 1105(a) of
        title 31, United States Code.
        (b) Requirement for Comptroller General Review.--Not later than 120
    days after the submission of the budget of the President for a fiscal
    year, the Comptroller General shall submit to the congressional defense
    committees a report on any certifications and reports submitted with
    respect to that fiscal year under subsection (a).
        (c) Requirement to Resubmit Certification and Report Required by
    Public Law 109-163.--The Secretary of each military department shall
    resubmit the certification and report required by section 744(a) of the
    National Defense Authorization Act for Fiscal Year 2006 (Public Law
    109-163; 119 Stat. 3360; 10 U.S.C. 129c note). Such resubmissions shall
    address in their entirety the elements required by section 744(a)(2) of
    such Act.
        (d) Special Requirements for Fiscal Year 2007 Certification.--
            (1) List of 2007 planned conversions.--The report required by
        paragraph (2) of subsection (a) with respect to fiscal year 2007
        shall contain, in addition to the elements required by that
        paragraph, a list of each military medical or dental position
        scheduled to be converted to a civilian medical or dental position
        in fiscal year 2007.
            (2) Resubmission required first.--The certification and report
        required by subsection (a) with respect to fiscal year 2007 may not
        be submitted prior to the resubmission required by subsection (c).
            (3) Prohibition on conversions during fiscal year 2007.--No
        conversions of a military medical or dental position may occur
        during fiscal year 2007 prior to both the resubmission required by
        subsection (c) and the submission of the certification and report
        required by subsection (a).
        (e) Report on Fiscal Year 2008 Conversion.--Not later than 90 days
    after the date of the enactment of this Act, the Secretary of Defense
    shall submit to the Committees on Armed Services of the Senate and
    House of Representatives a report that identifies the military medical
    or dental positions scheduled to be converted to civilian medical or
    dental positions in fiscal year 2008. Such report shall include the
    location of the positions scheduled for conversion, the estimated cost
    of such conversion, and whether or not civilian personnel are available
    in the location for filling the proposed converted military medical or
    dental position.
        (f) Definitions.--In this section:
            (1) The term ``military medical or dental position'' means a
        position for the performance of health care functions within the
        Armed Forces held by a member of the Armed Forces.
            (2) The term ``civilian medical or dental position'' means a
        position for the performance of health care functions within the
        Department of Defense held by an employee of the Department or of a
        contractor of the Department.
            (3) The term ``affected area'' means an area in which military
        medical or dental positions were converted to civilian medical or
        dental positions before October 1, 2004, or in which such
        conversions are scheduled to occur in the future.
            (4) The term ``uniformed services'' has the meaning given that
        term in section 1072(1) of title 10, United States Code.
            (5) The term ``conversion'', with respect to a military medical
        or dental position, means a change, effective as of the date of the
        documentation by the Department of Defense making the change, of
        the position to a civilian medical or dental position.
        SEC. 743. THREE-YEAR EXTENSION OF JOINT INCENTIVES PROGRAM ON
          SHARING OF HEALTH CARE RESOURCES BY THE DEPARTMENT OF DEFENSE AND
          DEPARTMENT OF VETERANS AFFAIRS.
        Section 8111(d)(3) of title 38, United States Code, is amended by
    striking ``September 30, 2007'' and inserting ``September 30, 2010''.
        SEC. 744. TRAINING CURRICULA FOR FAMILY CAREGIVERS ON CARE AND
          ASSISTANCE FOR MEMBERS AND FORMER MEMBERS OF THE ARMED FORCES
          WITH TRAUMATIC BRAIN INJURY.
        (a) Traumatic Brain Injury Family Caregiver Panel.--
            (1) Establishment.--The Secretary of Defense shall establish a
        panel within the Department of Defense, to be known as the
        ``Traumatic Brain Injury Family Caregiver Panel'', to develop
        coordinated, uniform, and consistent training curricula to be used
        in training family members in the provision of care and assistance
        to members and former members of the Armed Forces with traumatic
        brain injuries.
            (2) Members.--The Traumatic Brain Injury Family Caregiver Panel
        shall consist of 15 members appointed by the Secretary of Defense
        from among the following:
                (A) Physicians, nurses, rehabilitation therapists, and
            other individuals with an expertise in caring for and assisting
            individuals with traumatic brain injury, including persons who
            specialize in caring for and assisting individuals with
            traumatic brain injury incurred in combat.
                (B) Representatives of family caregivers or family
            caregiver associations.
                (C) Health and medical personnel of the Department of
            Defense and the Department of Veterans Affairs with expertise
            in traumatic brain injury and personnel and readiness
            representatives of the Department of Defense with expertise in
            traumatic brain injury.
                (D) Psychologists or other individuals with expertise in
            the mental health treatment and care of individuals with
            traumatic brain injury.
                (E) Experts in the development of training curricula.
                (F) Family members of members of the Armed Forces with
            traumatic brain injury.
                (G) Such other individuals the Secretary considers
            appropriate.
            (3) Consultation.--In establishing the Traumatic Brain Injury
        Family Caregiver Panel and appointing the members of the Panel, the
        Secretary of Defense shall consult with the Secretary of Veterans
        Affairs.
        (b) Development of Curricula.--
            (1) Development.--The Traumatic Brain Injury Family Caregiver
        Panel shall develop training curricula to be used by family members
        of members and former members of the Armed Forces on techniques,
        strategies, and skills for care and assistance for such members and
        former members with traumatic brain injury.
            (2) Scope of curricula.--The curricula shall--
                (A) be based on empirical research and validated
            techniques; and
                (B) shall provide for training that permits recipients to
            tailor caregiving to the unique circumstances of the member or
            former member of the Armed Forces receiving care.
            (3) Particular requirements.--In developing the curricula, the
        Traumatic Brain Injury Family Caregiver Panel shall--
                (A) specify appropriate training commensurate with the
            severity of traumatic brain injury; and
                (B) identify appropriate care and assistance to be provided
            for the degree of severity of traumatic brain injury for
            caregivers of various levels of skill and capability.
            (4) Use of existing materials.--In developing the curricula,
        the Traumatic Brain Injury Family Caregiver Panel shall use and
        enhance any existing training curricula, materials, and resources
        applicable to such curricula as the Panel considers appropriate.
            (5) Deadline for development.--The Traumatic Brain Injury
        Family Caregiver Panel shall develop the curricula not later than
        one year after the date of the enactment of this Act.
        (c) Dissemination of Curricula.--
            (1) Dissemination mechanisms.--The Secretary of Defense shall
        develop mechanisms for the dissemination of the curricula developed
        under subsection (b)--
                (A) to health care professionals who treat or otherwise
            work with members and former members of the Armed Forces with
            traumatic brain injury;
                (B) to family members affected by the traumatic brain
            injury of such members and former members; and
                (C) to other care or support personnel who may provide
            service to members or former members affected by traumatic
            brain injury.
            (2) Use of existing mechanisms.--In developing such mechanisms,
        the Secretary may use and enhance existing mechanisms, including
        the Military Severely Injured Center (authorized under section 564
        of this Act) and the programs for service to severely injured
        members established by the military departments.
        (d) Report.--Not later than one year after the development of the
    curricula required by subsection (b), the Secretary of Defense and the
    Secretary of Veterans Affairs shall submit to the Committees on Armed
    Services and Veterans Affairs of the Senate and the House of
    Representatives a report on the following:
            (1) The actions undertaken under this section.
            (2) Recommendations for the improvement or updating of training
        curriculum developed and provided under this section.
        SEC. 745. RECOGNITION OF REPRESENTATIVE LANE EVANS UPON HIS
          RETIREMENT FROM THE HOUSE OF REPRESENTATIVES.
        (a) Findings.--Congress makes the following findings:
            (1) Representative Lane Evans was elected to the House of
        Representatives in 1982 and is completing his 12th term
        representing the people of Illinois' 17th Congressional district.
            (2) As a member of the Committee on Armed Services of the House
        of Representatives since 1988, Representative Evans has worked to
        bring common sense priorities to defense spending and strengthen
        the military's conventional readiness.
            (3) Representative Evans has served as the ranking member of
        the Committee on Veterans' Affairs of the House of Representatives
        since 1997 and has been a tireless advocate for military veterans,
        ensuring that veterans receive the medical care they need and
        advocating for individuals suffering from post-traumatic stress
        disorder and Gulf War Syndrome.
            (5) Drawing on his own experience as a member of the Marine
        Corps, Representative Evans has tirelessly fought for both current
        members of the Armed Forces and veterans and has been a leader in
        legislative efforts to assist members exposed to Agent Orange.
            (4) Representative Evans' efforts to improve the transition of
        individuals from military service to the care of the Department of
        Veterans Affairs will continue to benefit generations of veterans
        long into the future.
            (6) Representative Evans is credited with bringing new services
        to veterans living in his Congressional district, including
        outpatient clinics in the Quad Cities and Quincy and the Quad-
        Cities Vet Center.
            (7) Representative Evans has worked with local leaders to
        promote the Rock Island Arsenal and has seen it win new jobs and
        missions through his support.
        (b) Recognition.--Congress recognizes and commends Representative
    Lane Evans for his 24 years of service to benefit the people of
    Illinois, members of the Armed Forces and their families, veterans, and
    the United States.

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

      Subtitle A--Provisions Relating to Major Defense Acquisition Programs

    Sec. 801. Requirements management certification training program.
    Sec. 802. Additional requirements relating to technical data rights.
    Sec. 803. Study and report on revisions to Selected Acquisition Report
              requirements.
    Sec. 804. Biannual updates on implementation of acquisition reform in
              the Department of Defense.
    Sec. 805. Additional certification requirements for major defense
              acquisition programs before proceeding to Milestone B.
    Sec. 806. Original baseline estimate for major defense acquisition
              programs.
    Sec. 807. Lead system integrators.

                  Subtitle B--Acquisition Policy and Management

    Sec. 811. Time-certain development for Department of Defense information
              technology business systems.
    Sec. 812. Pilot program on time-certain development in acquisition of
              major weapon systems.
    Sec. 813. Establishment of Panel on Contracting Integrity.
    Sec. 814. Linking of award and incentive fees to acquisition outcomes.
    Sec. 815. Report on defense instruction relating to contractor personnel
              authorized to accompany Armed Forces.
    Sec. 816. Major automated information system programs.
    Sec. 817. Internal controls for procurements on behalf of the Department
              of Defense by certain non-defense agencies.
    Sec. 818. Determination of contract type for development programs.
    Sec. 819. Three-year extension of requirement for reports on commercial
              price trend analyses of the Department of Defense.
    Sec. 820. Government performance of critical acquisition functions.

     Subtitle C--Amendments to General Contracting Authorities, Procedures,
                                 and Limitations

    Sec. 831. One-year extension of special temporary contract closeout
              authority.
    Sec. 832. Limitation on contracts for the acquisition of certain
              services.
    Sec. 833. Use of Federal supply schedules by State and local governments
              for goods and services for recovery from natural disasters,
              terrorism, or nuclear, biological, chemical, or radiological
              attack.
    Sec. 834. Waivers to extend task order contracts for advisory and
              assistance services.

          Subtitle D--United States Defense Industrial Base Provisions

    Sec. 841. Assessment and annual report of United States defense
              industrial base capabilities and acquisitions of articles,
              materials, and supplies manufactured outside the United
              States.
    Sec. 842. Protection of strategic materials critical to national
              security.
    Sec. 843. Strategic Materials Protection Board.

                            Subtitle E--Other Matters

    Sec. 851. Report on former Department of Defense officials employed by
              contractors of the Department of Defense.
    Sec. 852. Report and regulations on excessive pass-through charges.
    Sec. 853.  Program manager empowerment and accountability.
    Sec. 854. Joint policies on requirements definition, contingency program
              management, and contingency contracting.
    Sec. 855. Clarification of authority to carry out certain prototype
              projects.
    Sec. 856. Contracting with employers of persons with disabilities.
    Sec. 857. Enhanced access for small business.
    Sec. 858. Procurement goal for Hispanic-serving institutions.

     Subtitle A--Provisions Relating to Major Defense Acquisition Programs

        SEC. 801. REQUIREMENTS MANAGEMENT CERTIFICATION TRAINING PROGRAM.
        (a) Training Program.--
            (1) Requirement.--The Under Secretary of Defense for
        Acquisition, Technology, and Logistics, in consultation with the
        Defense Acquisition University, shall develop a training program to
        certify military and civilian personnel of the Department of
        Defense with responsibility for generating requirements for major
        defense acquisition programs (as defined in section 2430(a) of
        title 10, United States Code).
            (2) Competency and other requirements.--The Under Secretary
        shall establish competency requirements for the personnel
        undergoing the training program. The Under Secretary shall define
        the target population for such training program by identifying
        which military and civilian personnel should have responsibility
        for generating requirements. The Under Secretary also may establish
        other training programs for personnel not subject to chapter 87 of
        title 10, United States Code, who contribute significantly to other
        types of acquisitions by the Department of Defense.
        (b) Applicability.--Effective on and after September 30, 2008, a
    member of the Armed Forces or an employee of the Department of Defense
    with authority to generate requirements for a major defense acquisition
    program may not continue to participate in the requirements generation
    process unless the member or employee successfully completes the
    certification training program developed under this section.
        (c) Reports.--The Secretary of Defense shall submit to the
    Committees on Armed Services of the Senate and House of Representatives
    an interim report, not later than March 1, 2007, and a final report,
    not later than March 1, 2008, on the implementation of the training
    program required under this section.
        SEC. 802. ADDITIONAL REQUIREMENTS RELATING TO TECHNICAL DATA
          RIGHTS.
        (a) Additional Requirements Relating to Technical Data Rights.--
    Section 2320 of title 10, United States Code, is amended by adding at
    the end the following new subsection:
        ``(e) The Secretary of Defense shall require program managers for
    major weapon systems and subsystems of major weapon systems to assess
    the long-term technical data needs of such systems and subsystems and
    establish corresponding acquisition strategies that provide for
    technical data rights needed to sustain such systems and subsystems
    over their life cycle. Such strategies may include the development of
    maintenance capabilities within the Department of Defense or
    competition for contracts for sustainment of such systems or
    subsystems. Assessments and corresponding acquisition strategies
    developed under this section with respect to a weapon system or
    subsystem shall--
            ``(1) be developed before issuance of a contract solicitation
        for the weapon system or subsystem;
            ``(2) address the merits of including a priced contract option
        for the future delivery of technical data that were not acquired
        upon initial contract award;
            ``(3) address the potential for changes in the sustainment plan
        over the life cycle of the weapon system or subsystem; and
            ``(4) apply to weapon systems and subsystems that are to be
        supported by performance-based logistics arrangements as well as to
        weapons systems and subsystems that are to be supported by other
        sustainment approaches.''.
        (b) Modification of Presumption of Development Exclusively at
    Private Expense.--Section 2321(f) of title 10, United States Code, is
    amended--
            (1) by striking ``Expense for Commercial Items Contracts.--In''
        and inserting ``Expense.--(1) Except as provided in paragraph (2),
        in''; and
            (2) by adding at the end the following new paragraph:
        ``(2) In the case of a challenge to a use or release restriction
    that is asserted with respect to technical data of a contractor or
    subcontractor (whether or not under a contract for commercial items)
    for a major system or a subsystem or component thereof on the basis
    that the major system, subsystem or component was developed exclusively
    at private expense, the challenge to the use or release restriction
    shall be sustained unless information provided by the contractor or
    subcontractor demonstrates that the item was developed exclusively at
    private expense.''.
        (c) Regulations.--Not later than 180 days after the date of the
    enactment of this Act, the Secretary of Defense shall revise
    regulations under section 2320 of title 10, United States Code, to
    implement subsection (e) of such section (as added by this section),
    including incorporating policy changes developed under such subsection
    into Department of Defense Directive 5000.1 and Department of Defense
    Instruction 5000.2.
        SEC. 803. STUDY AND REPORT ON REVISIONS TO SELECTED ACQUISITION
          REPORT REQUIREMENTS.
        (a) Study Requirement.--The Secretary of Defense, acting through
    the Under Secretary of Defense for Acquisition, Technology, and
    Logistics in coordination with the service acquisition executives of
    each military department, shall conduct a study on revisions to
    requirements relating to Selected Acquisition Reports, as set forth in
    section 2432 of title 10, United States Code.
        (b) Matters Covered.--The study required under subsection (a)
    shall--
            (1) focus on incorporating into the Selected Acquisition Report
        those elements of program progress that the Department of Defense
        considers most relevant to evaluating the performance and progress
        of major defense acquisition programs, with particular reference to
        the cost estimates and program schedule established when a major
        defense acquisition program receives Milestone B approval;
            (2) address the need to ensure that data provided through the
        Selected Acquisition Report is consistent with data provided
        through internal Department of Defense reporting systems for
        management purposes; and
            (3) include any recommendations to add to, modify, or delete
        elements of the Selected Acquisition Report, consistent with the
        findings of the study.
        (c) Report.--Not later than March 1, 2007, the Secretary shall
    submit to the Committees on Armed Services of the Senate and the House
    of Representatives a report on the results of the study, including such
    recommendations as the Secretary considers appropriate.
        SEC. 804. BIANNUAL UPDATES ON IMPLEMENTATION OF ACQUISITION REFORM
          IN THE DEPARTMENT OF DEFENSE.
        (a) Biannual Updates Requirement.--Not later than January 1 and
    July 1 of each year, beginning with January 1, 2007, the Secretary of
    Defense shall provide to the Committees on Armed Services of the Senate
    and the House of Representatives a report containing an update on the
    implementation of plans to reform the acquisition system in the
    Department of Defense.
        (b) Matters Covered.--Each report provided under subsection (a)
    shall cover the implementation of reforms of the processes for
    acquisition, including generation of requirements, award of contracts,
    and financial management. At a minimum, the reports shall take into
    account the recommendations made by the following:
            (1) The Defense Acquisition Performance Assessment Panel.
            (2) The Defense Science Board Summer Study on Transformation,
        issued in February 2006.
            (3) The Beyond Goldwater-Nichols Study of the Center for
        Strategic and International Studies.
            (4) The Quadrennial Defense Review, issued February 6, 2006.
        (c) Recommendations.--Each report submitted under subsection (a)
    shall include such recommendations as the Secretary considers
    appropriate, and implementation plans for the recommendations.
        (d) Termination of Report Requirement.--The requirement to submit
    reports under subsection (a) shall terminate on December 31, 2008.
        SEC. 805. ADDITIONAL CERTIFICATION REQUIREMENTS FOR MAJOR DEFENSE
          ACQUISITION PROGRAMS BEFORE PROCEEDING TO MILESTONE B.
        (a) Additional Certification Requirements.--Subsection (a) of
    section 2366a of title 10, United States Code, is amended--
            (1) by redesignating paragraph (7) as paragraph (10);
            (2) by redesignating paragraphs (1) through (6) as paragraphs
        (2) through (7), respectively;
            (3) by inserting before paragraph (2) (as so redesignated) the
        following new paragraph (1):
            ``(1) appropriate market research has been conducted prior to
        technology development to reduce duplication of existing technology
        and products;'';
            (4) in paragraph (7) (as so redesignated), by striking ``and''
        at the end; and
            (5) by inserting after such paragraph (7) the following new
        paragraphs:
            ``(8) reasonable cost and schedule estimates have been
        developed to execute the product development and production plan
        under the program;
            ``(9) funding is available to execute the product development
        and production plan under the program, through the period covered
        by the future-years defense program submitted during the fiscal
        year in which the certification is made, consistent with the
        estimates described in paragraph (8) for the program; and''.
        (b) Waiver for National Security.--Subsection (c) of such section
    is amended by striking ``(5), or (6)'' and inserting ``(5), (6), (7),
    (8), or (9)''.
        SEC. 806. ORIGINAL BASELINE ESTIMATE FOR MAJOR DEFENSE ACQUISITION
          PROGRAMS.
        Section 2435(d)(1) of title 10, United States Code, is amended by
    inserting after ``with respect to the program under subsection (a)''
    the following: ``prepared before the program enters system development
    and demonstration, or at program initiation, whichever occurs later''.
        SEC. 807. LEAD SYSTEM INTEGRATORS.
        (a) Limitations on Contractors Acting as Lead System Integrators.--
            (1) In general.--Chapter 141 of title 10, United States Code,
        is amended by adding at the end the following new section:

    ``Sec. 2410p. Contracts: limitations on lead system integrators

        ``(a) In General.--Except as provided in subsection (b), no entity
    performing lead system integrator functions in the acquisition of a
    major system by the Department of Defense may have any direct financial
    interest in the development or construction of any individual system or
    element of any system of systems.
        ``(b) Exception.--An entity described in subsection (a) may have a
    direct financial interest in the development or construction of an
    individual system or element of a system of systems if--
            ``(1) the Secretary of Defense certifies to the Committees on
        Armed Services of the Senate and the House of Representatives
        that--
                ``(A) the entity was selected by the Department of Defense
            as a contractor to develop or construct the system or element
            concerned through the use of competitive procedures; and
                ``(B) the Department took appropriate steps to prevent any
            organizational conflict of interest in the selection process;
            or
            ``(2) the entity was selected by a subcontractor to serve as a
        lower-tier subcontractor, through a process over which the entity
        exercised no control.
        ``(c) Construction.--Nothing in this section shall be construed to
    preclude an entity described in subsection (a) from performing work
    necessary to integrate two or more individual systems or elements of a
    system of systems with each other.''.
            (2) Clerical amendment.--The table of sections at the beginning
        of chapter 141 of such title is amended by adding at the end the
        following new item:

    ``2410p. Contracts: limitations on lead system integrators''.

            (3) Effective date.--Section 2410p of title 10, United States
        Code, as added by paragraph (1), shall apply with respect to
        contracts entered into after December 31, 2006.
        (b) Update of Regulations on Lead System Integrators.--Not later
    than December 31, 2006, the Secretary of Defense shall update the
    acquisition regulations of the Department of Defense in order to
    specify fully in such regulations the matters with respect to lead
    system integrators set forth in section 805(b) of the National Defense
    Authorization Act for Fiscal Year 2006 (Public Law 109-163; 119 Stat.
    3372) and the amendments made by subsection (a).
        (c) Additional Report Requirements.--The Secretary of Defense shall
    include in the report required by section 805 of such Act--
            (1) a precise and comprehensive definition of the term ``lead
        system integrator'', as that term is used in such section; and
            (2) a specification of various types of contracts and fee
        structures that are appropriate for use by lead system integrators
        in the production, fielding, and sustainment of complex systems.

                 Subtitle B--Acquisition Policy and Management

        SEC. 811. TIME-CERTAIN DEVELOPMENT FOR DEPARTMENT OF DEFENSE
          INFORMATION TECHNOLOGY BUSINESS SYSTEMS.
        (a) Milestone A Limitation.--The Department of Defense executive or
    entity that is the milestone decision authority for an information
    system described in subsection (c) may not provide Milestone A approval
    for the system unless, as part of the decision process for such
    approval, that authority determines that the system will achieve
    initial operational capability within a specified period of time not
    exceeding five years.
        (b) Initial Operational Capability Limitation.--If an information
    system described in subsection (c), having received Milestone A
    approval, has not achieved initial operational capability within five
    years after the date of such approval, the system shall be deemed to
    have undergone a critical change in program requiring the evaluation
    and report required by section 2445c(d) of title 10, United States Code
    (as added by section 816 of this Act).
        (c) Covered Systems.--An information system described in this
    subsection is any Department of Defense information technology business
    system that is not a national security system, as defined in 3542(b)(2)
    of title 44, United States Code.
        (d) Definitions.--In this section:
            (1) Milestone decision authority.--The term ``milestone
        decision authority'' has the meaning given that term in Department
        of Defense Instruction 5000.2, dated May 12, 2003.
            (2) Milestone a.--The term ``Milestone A'' has the meaning
        given that term in Department of Defense Instruction 5000.2, dated
        May 12, 2003.
        SEC. 812. PILOT PROGRAM ON TIME-CERTAIN DEVELOPMENT IN ACQUISITION
          OF MAJOR WEAPON SYSTEMS.
        (a) Pilot Program Authorized.--The Secretary of Defense may carry
    out a pilot program on the use of time-certain development in the
    acquisition of major weapon systems.
        (b) Purpose of Pilot Program.--The purpose of the pilot program
    authorized by subsection (a) is to assess the feasibility and
    advisability of utilizing time-certain development in the acquisition
    of major weapon systems in order to deliver new capabilities to the
    warfighter more rapidly through--
            (1) disciplined decision-making;
            (2) emphasis on technological maturity; and
            (3) appropriate trade-offs between--
                (A) cost and system performance; and
                (B) program schedule.
        (c) Inclusion of Systems in Pilot Program.--
            (1) In general.--The Secretary of Defense may include a major
        weapon system in the pilot program only if--
                (A) the major weapon system meets the criteria under
            paragraph (2) in accordance with that paragraph; and
                (B) the Milestone Decision Authority nominates such program
            to the Secretary of Defense for inclusion in the program.
            (2) Criteria.--For purposes of paragraph (1) a major weapon
        system meets the criteria under this paragraph only if the
        Milestone Decision Authority determines, in consultation with the
        service acquisition executive for the military department carrying
        out the acquisition program for the system and one or more
        combatant commanders responsible for fielding the system, that--
                (A) the certification requirements of section 2366a of
            title 10, United States Code (as amended by section 805 of this
            Act), have been met, and no waivers have been granted from such
            requirements;
                (B) a preliminary design has been reviewed using systems
            engineering, and the system, as so designed, will meet
            battlefield needs identified by the relevant combatant
            commanders after appropriate requirements analysis;
                (C) a representative model or prototype of the system, or
            key subsystems, has been demonstrated in a relevant
            environment, such as a well-simulated operational environment;
                (D) an independent cost estimate has been conducted and
            used as the basis for funding requirements for the acquisition
            program for the system;
                (E) the budget of the military department responsible for
            carrying out the acquisition program for the system provides
            the funding necessary to execute the product development and
            production plan consistent with the requirements identified
            pursuant to subparagraph (D);
                (F) an appropriately qualified program manager has entered
            into a performance agreement with the Milestone Decision
            Authority that establishes expected parameters for the cost,
            schedule, and performance of the acquisition program for the
            system, consistent with a business case for such acquisition
            program;
                (G) the service acquisition executive and the program
            manager have developed a strategy to ensure stability in
            program management until, at a minimum, the delivery of the
            initial operational capability under the acquisition program
            for the system has occurred;
                (H) the service acquisition executive, the relevant
            combatant commanders, and the program manager have agreed that
            no additional requirements that would be inconsistent with the
            agreed-upon program schedule will be added during the
            development phase of the acquisition program for the system;
            and
                (I) a planned initial operational capability will be
            delivered to the relevant combatant commanders within a defined
            period of time as prescribed in regulations by the Secretary of
            Defense.
            (3) Timing of decision.--The decision whether to include a
        major weapon system in the pilot program shall be made at the time
        of milestone approval for the acquisition program for the system.
        (d) Limitation on Number of Weapons Systems in Pilot Program.--The
    number of major weapon systems included in the pilot program at any
    time may not exceed six major weapon systems.
        (e) Limitation on Cost of Weapons Systems in Pilot Program.--The
    Secretary of Defense may include a major weapon system in the pilot
    program only if, at the time a major weapon system is proposed for
    inclusion, the total cost for system design and development of the
    weapon system, as set forth in the cost estimate referred to in
    subsection (c)(2)(D), does not exceed $1,000,000,000 during the period
    covered by the current future-years defense program.
        (f) Special Funding Authority.--
            (1) Authority for reserve account.--Notwithstanding any other
        provision of law, the Secretary of Defense may establish a special
        reserve account utilizing funds made available for the major weapon
        systems included in the pilot program.
            (2) Elements.--The special reserve account may include--
                (A) funds made available for any major weapon system
            included in the pilot program to cover termination liability;
                (B) funds made available for any major weapon system
            included in the pilot program for award fees that may be earned
            by contractors; and
                (C) funds appropriated to the special reserve account.
            (3) Availability of funds.--Funds in the special reserve
        account may be used, in accordance with guidance issued by the
        Secretary for purposes of this section, for the following purposes:
                (A) To cover termination liability for any major weapon
            system included in the pilot program.
                (B) To pay award fees that are earned by any contractor for
            a major weapon system included in the pilot program.
                (C) To address unforeseen contingencies that could prevent
            a major weapon system included in the pilot program from
            meeting critical schedule or performance requirements.
            (4) Reports on use of funds.--Not later than 30 days after the
        use of funds in the special reserve account for the purpose
        specified in paragraph (3)(C), the Secretary shall submit to the
        congressional defense committees a report on the use of funds in
        the account for such purpose. The report shall set forth the
        purposes for which the funds were used and the reasons for the use
        of the funds for such purposes.
            (5) Relationship to appropriations.--Nothing in this subsection
        may be construed as extending any period of time for which
        appropriated funds are made available.
        (g) Administration of Pilot Program.--The Secretary of Defense
    shall prescribe policies and procedures on the administration of the
    pilot program. Such policies and procedures shall--
            (1) provide for the use of program status reports based on
        earned value data to track progress on a major weapon system under
        the pilot program against baseline estimates applicable to such
        system at each systems engineering technical review point; and
            (2) grant authority, to the maximum extent practicable, to the
        program manager for the acquisition program for a major weapon
        system to make key program decisions and trade-offs, subject to
        management reviews only if cost or schedule deviations exceed the
        baselines for such acquisition program by 10 percent or more.
        (h) Removal of Weapons Systems From Pilot Program.--The Secretary
    of Defense shall remove a major weapon system from the pilot program
    if--
            (1) the weapon system receives Milestone C approval; or
            (2) the Secretary determines that the weapon system is no
        longer in substantial compliance with the criteria in subsection
        (c)(2) or is otherwise no longer appropriate for inclusion in the
        pilot program.
        (i) Expiration of Authority To Include Additional Systems in Pilot
    Program.--
            (1) Expiration.--A major weapon system may not be included in
        the pilot program after September 30, 2012.
            (2) Retention of systems.--A major weapon system included in
        the pilot program before the date specified in paragraph (1) in
        accordance with the requirements of this section may remain in the
        pilot program after that date.
        (j) Annual Report.--
            (1) In general.--Not later than one year after including the
        first major weapon system in the pilot program, and annually
        thereafter, the Secretary shall submit to the congressional defense
        committees a report on the pilot program, and the major weapon
        systems included in the pilot program, during the one-year period
        ending on the date of such report.
            (2) Elements.--Each report under this subsection shall
        include--
                (A) a description of progress under the pilot program, and
            on each major weapon system included in the pilot program,
            during the period covered by such report;
                (B) a description of the use of all funds in the special
            reserve account established under subsection (f); and
                (C) such other matters as the Secretary considers
            appropriate.
        (k) Major Weapon System Defined.--In this section, the term ``major
    weapon system'' means a weapon system that is treatable as a major
    system under section 2302(5) of title 10, United States Code.
        SEC. 813. ESTABLISHMENT OF PANEL ON CONTRACTING INTEGRITY.
        (a) Establishment.--
            (1) In general.--The Secretary of Defense shall establish a
        panel to be known as the ``Panel on Contracting Integrity''.
            (2) Composition.--The panel shall be composed of the following:
                (A) A representative of the Under Secretary of Defense for
            Acquisition, Technology, and Logistics, who shall be the
            chairman of the panel.
                (B) A representative of the service acquisition executive
            of each military department.
                (C) A representative of the Inspector General of the
            Department of Defense.
                (D) A representative of the Inspector General of each
            military department.
                (E) A representative of each Defense Agency involved with
            contracting, as determined appropriate by the Secretary of
            Defense.
                (F) Such other representatives as may be determined
            appropriate by the Secretary of Defense.
        (b) Duties.--In addition to other matters assigned to it by the
    Secretary of Defense, the panel shall--
            (1) conduct reviews of progress made by the Department of
        Defense to eliminate areas of vulnerability of the defense
        contracting system that allow fraud, waste, and abuse to occur;
            (2) review the report by the Comptroller General required by
        section 841 of the National Defense Authorization Act for Fiscal
        Year 2006 (Public Law 109-163; 119 Stat. 3389), relating to areas
        of vulnerability of Department of Defense contracts to fraud,
        waste, and abuse; and
            (3) recommend changes in law, regulations, and policy that it
        determines necessary to eliminate such areas of vulnerability.
        (c) Meetings.--The panel shall meet as determined necessary by the
    Secretary of Defense but not less often than once every six months.
        (d) Report.--
            (1) Requirement.--The panel shall prepare and submit to the
        Secretary of Defense and the congressional defense committees an
        annual report on its activities. The report shall be submitted not
        later than December 31 of each year and contain a summary of the
        panel's findings and recommendations for the year covered by the
        report.
            (2) First report.--The first report under this subsection shall
        be submitted not later than December 31, 2007, and shall contain an
        examination of the current structure in the Department of Defense
        for contracting integrity and recommendations for any changes
        needed to the system of administrative safeguards and disciplinary
        actions to ensure accountability at the appropriate level for any
        violations of appropriate standards of behavior in contracting.
            (3) Interim reports.--The panel may submit such interim reports
        to the congressional defense committees as the Secretary of Defense
        considers appropriate.
        (e) Termination.--The panel shall terminate on December 31, 2009.
        SEC. 814. LINKING OF AWARD AND INCENTIVE FEES TO ACQUISITION
          OUTCOMES.
        (a) Guidance on Linking of Award and Incentive Fees to Acquisition
    Outcomes.--Not later than 180 days after the date of the enactment of
    this Act, the Secretary of Defense shall issue guidance, with detailed
    implementation instructions (including definitions), for the Department
    of Defense on the appropriate use of award and incentive fees in
    Department of Defense acquisition programs.
        (b) Elements.--The guidance under subsection (a) shall--
            (1) ensure that all new contracts using award fees link such
        fees to acquisition outcomes (which shall be defined in terms of
        program cost, schedule, and performance);
            (2) establish standards for identifying the appropriate level
        of officials authorized to approve the use of award and incentive
        fees in new contracts;
            (3) provide guidance on the circumstances in which contractor
        performance may be judged to be ``excellent'' or ``superior'' and
        the percentage of the available award fee which contractors should
        be paid for such performance;
            (4) establish standards for determining the percentage of the
        available award fee, if any, which contractors should be paid for
        performance that is judged to be ``acceptable'', ``average'',
        ``expected'', ``good'', or ``satisfactory'';
            (5) ensure that no award fee may be paid for contractor
        performance that is judged to be below satisfactory performance or
        performance that does not meet the basic requirements of the
        contract;
            (6) provide specific direction on the circumstances, if any, in
        which it may be appropriate to roll over award fees that are not
        earned in one award fee period to a subsequent award fee period or
        periods;
            (7) ensure consistent use of guidelines and definitions
        relating to award and incentive fees across the military
        departments and Defense Agencies;
            (8) ensure that the Department of Defense--
                (A) collects relevant data on award and incentive fees paid
            to contractors; and
                (B) has mechanisms in place to evaluate such data on a
            regular basis;
            (9) include performance measures to evaluate the effectiveness
        of award and incentive fees as a tool for improving contractor
        performance and achieving desired program outcomes; and
            (10) provide mechanisms for sharing proven incentive strategies
        for the acquisition of different types of products and services
        among contracting and program management officials.
        (c) Assessment of Independent Evaluation Mechanisms.--
            (1) In general.--The Secretary of Defense shall select a
        federally funded research and development center to assess various
        mechanisms that could be used to ensure an independent evaluation
        of contractor performance for the purpose of making determinations
        applicable to the judging and payment of award fees.
            (2) Considerations.--The assessment conducted pursuant to
        paragraph (1) shall include consideration of the advantages and
        disadvantages of a system in which award fees are--
                (A) held in a separate fund or funds of the Department of
            Defense; and
                (B) allocated to a specific program only upon a
            determination by an independent board, charged with comparing
            contractor performance across programs, that such fees have
            been earned by the contractor for such program.
            (3) Report.--The Secretary shall submit to the congressional
        defense committees a report on the assessment conducted pursuant to
        paragraph (1) not later than one year after the date of the
        enactment of this Act.
        SEC. 815. REPORT ON DEFENSE INSTRUCTION RELATING TO CONTRACTOR
          PERSONNEL AUTHORIZED TO ACCOMPANY ARMED FORCES.
        (a) Report on Implementation of Instruction.--The Secretary of
    Defense shall submit to Congress a report on the Department of Defense
    instruction described in subsection (c).
        (b) Matters Covered.--The report shall include the following:
            (1) Information on the status of the implementation of the
        instruction.
            (2) A discussion of how the instruction is being applied to--
                (A) contracts in existence on the date the instruction was
            issued, including contracts with respect to which an option to
            extend is exercised after such date;
                (B) task orders issued under such contracts after the date
            referred to in subparagraph (A); and
                (C) contracts entered into after the date referred to in
            subparagraph (A).
            (3) An analysis of the effectiveness of the instruction.
            (4) A review of compliance with the instruction.
        (c) Instruction Described.--The instruction referred to in this
    section is Department of Defense Instruction Number 3020.14, titled
    ``Contractor Personnel Authorized to Accompany the United States Armed
    Forces''.
        SEC. 816. MAJOR AUTOMATED INFORMATION SYSTEM PROGRAMS.
        (a) Reports and Information on Program Cost and Performance.--
            (1) In general.--Part IV of subtitle A of title 10, United
        States Code, is amended by inserting after chapter 144 the
        following new chapter:

          ``CHAPTER 144A--MAJOR AUTOMATED INFORMATION SYSTEM PROGRAMS

    ``Sec.
    ``2445a. Major automated information system program defined.
    ``2445b. Cost, schedule, and performance information.
    ``2445c. Reports: quarterly reports; reports on program changes.
    ``2445d. Construction with other reporting requirements.

    ``Sec. 2445a. Major automated information system program defined

        ``(a) In General.--In this chapter, the term `major automated
    information system program' means a Department of Defense program for
    the acquisition of an automated information system (either as a product
    or a service) if--
            ``(1) the program is designated by the Secretary of Defense, or
        a designee of the Secretary, as a major automated information
        system program; or
            ``(2) the dollar value of the program is estimated to exceed--
                ``(A) $32,000,000 in fiscal year 2000 constant dollars for
            all program costs in a single fiscal year;
                ``(B) $126,000,000 in fiscal year 2000 constant dollars for
            all program acquisition costs for the entire program; or
                ``(C) $378,000,000 in fiscal year 2000 constant dollars for
            the total life-cycle costs of the program (including operation
            and maintenance costs).
        ``(b) Adjustment.--The Secretary of Defense may adjust the amounts
    (and base fiscal year) set forth in subsection (a) on the basis of
    Department of Defense escalation rates. An adjustment under this
    subsection shall be effective after the Secretary transmits a written
    notification of the adjustment to the congressional defense committees.
        ``(c) Increments.--In the event any increment of a major automated
    information system program separately meets the requirements for
    treatment as a major automated information system program, the
    provisions of this chapter shall apply to such increment as well as to
    the overall major automated information system program of which such
    increment is a part.

    ``Sec. 2445b. Cost, schedule, and performance information

        ``(a) Submittal of Cost, Schedule, and Performance Information.--
    The Secretary of Defense shall submit to Congress each calendar year,
    not later than 45 days after the President submits to Congress the
    budget for a fiscal year under section 1105 of title 31, budget
    justification documents regarding cost, schedule, and performance for
    each major automated information system program for which funds are
    requested by the President in the budget.
        ``(b) Elements.--The documents submitted under subsection (a) with
    respect to a major automated information system program shall include
    detailed and summarized information with respect to the automated
    information system to be acquired under the program, and shall
    specifically include each of the following:
            ``(1) The development schedule, including major milestones.
            ``(2) The implementation schedule, including estimates of
        milestone dates, initial operational capability, and full
        operational capability.
            ``(3) Estimates of development costs and full life-cycle costs.
            ``(4) A summary of key performance parameters.
        ``(c) Baseline.--(1) For purposes of this chapter, the initial
    submittal to Congress of the documents required by subsection (a) with
    respect to a major automated information system program shall
    constitute the original estimate or information originally submitted on
    such program for purposes of the reports and determinations on program
    changes in section 2445c of this title.
        ``(2) An adjustment or revision of the original estimate or
    information originally submitted on a program may be treated as the
    original estimate or information originally submitted on the program if
    the adjustment or revision is the result of a critical change in the
    program covered by section 2445c(d) of this title.
        ``(3) In the event of an adjustment or revision to the original
    estimate or information originally submitted on a program under
    paragraph (2), the Secretary of Defense shall include in the next
    budget justification documents submitted under subsection (a) after
    such adjustment or revision a notification to the congressional defense
    committees of such adjustment or revision, together with the reasons
    for such adjustment or revision.

    ``Sec. 2445c. Reports: quarterly reports; reports on program changes

        ``(a) Quarterly Reports by Program Managers.--The program manager
    of a major automated information system program shall, on a quarterly
    basis, submit to the senior Department of Defense official responsible
    for the program a written report identifying any variance in the
    projected development schedule, implementation schedule, life-cycle
    costs, or key performance parameters for the major automated
    information system to be acquired under the program from such
    information as originally submitted to Congress under section 2445b of
    this title.
        ``(b) Senior Officials Responsible for Programs.--For purposes of
    this section, the senior Department of Defense official responsible for
    a major automated information system program is--
            ``(1) in the case of an automated information system to be
        acquired for a military department, the senior acquisition
        executive for the military department; or
            ``(2) in the case of any other automated information system to
        be acquired for the Department of Defense or any component of the
        Department of Defense, the Under Secretary of Defense for
        Acquisition, Technology, and Logistics.
        ``(c) Report on Significant Changes in Program.--
            ``(1) In general.--If, based on a quarterly report submitted by
        the program manager of a major automated information system program
        pursuant to subsection (a), the senior Department of Defense
        official responsible for the program makes a determination
        described in paragraph (2), the official shall, not later than 45
        days after receiving such report, notify the congressional defense
        committees in writing of such determination.
            ``(2) Covered determination.--A determination described in this
        paragraph with respect to a major automated information system
        program is a determination that--
                ``(A) there has been a schedule change that will cause a
            delay of more than six months but less than a year in any
            program schedule milestone or significant event from the
            schedule originally submitted to Congress under paragraph (1)
            or (2) of section 2445b(b) of this title;
                ``(B) the estimated program development cost or full life-
            cycle cost for the program has increased by at least 15
            percent, but less than 25 percent, over the original estimate
            submitted to Congress under paragraph (3) of section 2445b(b)
            of this title; or
                ``(C) there has been a significant, adverse change in the
            expected performance of the major automated information system
            to be acquired under the program from the parameters originally
            submitted to Congress under paragraph (4) of section 2445b(b)
            of this title.
        ``(d) Report on Critical Changes in Program.--
            ``(1) In general.--If, based on a quarterly report submitted by
        the program manager of a major automated information system program
        pursuant to subsection (a), the senior Department of Defense
        official responsible for the program makes a determination
        described in paragraph (2), the official shall, not later than 60
        days after receiving such report--
                ``(A) carry out an evaluation of the program under
            subsection (e); and
                ``(B) submit, through the Secretary of Defense, to the
            congressional defense committees a report meeting the
            requirements of subsection (f).
            ``(2) Covered determination.--A determination described in this
        paragraph with respect to a major automated information system
        program is a determination that--
                ``(A) the system failed to achieve initial operational
            capability within five years of milestone A approval;
                ``(B) there has been a schedule change that will cause a
            delay of one year or more in any program schedule milestone or
            significant event from the schedule originally submitted to
            Congress under paragraph (1) or (2) of section 2445b(b) of this
            title;
                ``(C) the estimated program development cost or full life-
            cycle cost for the program has increased by 25 percent or more
            over the original estimate submitted to Congress under
            paragraph (3) of section 2445b(b) of this title; or
                ``(D) there has been a change in the expected performance
            of the major automated information system to be acquired under
            the program that will undermine the ability of the system to
            perform the functions anticipated at the time information on
            the program was originally submitted to Congress under section
            2445b(b) of this title.
        ``(e) Program Evaluation.--The evaluation of a major automated
    information system program conducted under this subsection for purposes
    of subsection (d)(1)(A) shall include an assessment of--
            ``(1) the projected cost and schedule for completing the
        program if current requirements are not modified;
            ``(2) the projected cost and schedule for completing the
        program based on reasonable modification of such requirements; and
            ``(3) the rough order of magnitude of the cost and schedule for
        any reasonable alternative system or capability.
        ``(f) Report on Critical Program Changes.--A report on a major
    automated information system program conducted under this subsection
    for purposes of subsection (d)(1)(B) shall include a written
    certification (with supporting explanation) stating that--
            ``(1) the automated information system to be acquired under the
        program is essential to the national security or to the efficient
        management of the Department of Defense;
            ``(2) there is no alternative to the system which will provide
        equal or greater capability at less cost;
            ``(3) the new estimates of the costs, schedule, and performance
        parameters with respect to the program and system are reasonable;
        and
            ``(4) the management structure for the program is adequate to
        manage and control program costs.
        ``(g) Prohibition on Obligation of Funds.--(1) If the determination
    of a critical change to a program is made by the senior Department
    official responsible for the program under subsection (d)(2) and a
    report is not submitted to Congress within the 60-day period provided
    by subsection (d)(1), appropriated funds may not be obligated for any
    major contract under the program.
        ``(2) The prohibition on the obligation of funds for a program
    under paragraph (1) shall cease to apply on the date on which Congress
    has received a report in compliance with the requirements of subsection
    (d)(2).

    ``Sec. 2445d. Construction with other reporting requirements

        ``In the case of a major automated information system program
    covered by this chapter that is also treatable as a major defense
    acquisition program for which reports would be required under chapter
    144 of this title, no reports on the program are required under such
    chapter if the requirements of this chapter with respect to the program
    are met.''.
            (2) Clerical amendments.--The tables of chapters the beginning
        of subtitle A of such title, and of part IV of subtitle A of such
        title, are each amended by inserting after the item relating to
        chapter 144 the following new item:

    ``144A. Major Automated Information System Programs.............2445a''.

        (b) Report on Reporting Requirements Applicable to Major Automated
    Information System Programs.--Not later than 180 days after the date of
    enactment of this Act, the Secretary of Defense shall submit to the
    congressional defense committees a report setting forth the reporting
    requirements applicable to major automated information system programs
    as of the date of the report, including a specification of such
    reporting requirements considered by the Secretary to be duplicative or
    redundant.
        (c) Effective Date.--
            (1) In general.--The amendments made by subsection (a) shall
        take effect on January 1, 2008, and shall apply with respect to any
        major automated information system program for which amounts are
        requested in the budget of the President (as submitted to Congress
        under section 1105 of title 31, United States Code) for a fiscal
        year after fiscal year 2008, regardless of whether the acquisition
        of the automated information system to be acquired under the
        program was initiated before, on, or after January 1, 2008.
            (2) Report requirement.--Subsection (b) shall take effect on
        the date of the enactment of this Act.
        SEC. 817. INTERNAL CONTROLS FOR PROCUREMENTS ON BEHALF OF THE
          DEPARTMENT OF DEFENSE BY CERTAIN NON-DEFENSE AGENCIES.
        (a) Inspector General Reviews and Determinations.--
            (1) In general.--For each covered non-defense agency, the
        Inspector General of the Department of Defense and the Inspector
        General of such non-defense agency shall, not later than March 15,
        2007, jointly--
                (A) review--
                    (i) the procurement policies, procedures, and internal
                controls of such non-defense agency that are applicable to
                the procurement of property and services on behalf of the
                Department by such non-defense agency; and
                    (ii) the administration of those policies, procedures,
                and internal controls; and
                (B) determine in writing whether--
                    (i) such non-defense agency is compliant with defense
                procurement requirements;
                    (ii) such non-defense agency is not compliant with
                defense procurement requirements, but has a program or
                initiative to significantly improve compliance with defense
                procurement requirements;
                    (iii) neither of the conclusions stated in clauses (i)
                and (ii) is correct in the case of such non-defense agency;
                or
                    (iv) such non-defense agency is not compliant with
                defense procurement requirements to such an extent that the
                interests of the Department of Defense are at risk in
                procurements conducted by such non-defense agency.
            (2) Actions following certain determinations.--If the
        Inspectors General determine under paragraph (1) that a conclusion
        stated in clause (ii), (iii), or (iv) of subparagraph (B) of that
        paragraph is correct in the case of a covered non-defense agency,
        such Inspectors General shall, not later than June 15, 2008,
        jointly--
                (A) conduct a second review, as described in subparagraph
            (A) of that paragraph, regarding such non-defense agency's
            procurement of property or services on behalf of the Department
            of Defense in fiscal year 2007; and
                (B) determine in writing whether such non-defense agency is
            or is not compliant with defense procurement requirements.
        (b) Compliance With Defense Procurement Requirements.--For the
    purposes of this section, a covered non-defense agency is compliant
    with defense procurement requirements if such non-defense agency's
    procurement policies, procedures, and internal controls applicable to
    the procurement of products and services on behalf of the Department of
    Defense, and the manner in which they are administered, are adequate to
    ensure such non-defense agency's compliance with the requirements of
    laws and regulations that apply to procurements of property and
    services made directly by the Department of Defense.
        (c) Memoranda of Understanding Between Inspectors General.--
            (1) In general.--Not later than 60 days after the date of the
        enactment of this Act, the Inspector General of the Department of
        Defense and the Inspector General of each covered non-defense
        agency shall enter into a memorandum of understanding with each
        other to carry out the reviews and make the determinations required
        by this section.
            (2) Scope of memoranda.--The Inspector General of the
        Department of Defense and the Inspector General of a covered non-
        defense agency may by mutual agreement conduct separate reviews of
        the procurement of property and services on behalf of the
        Department of Defense that are conducted by separate business
        units, or under separate governmentwide acquisition contracts, of
        such non-defense agency. In any case where such separate reviews
        are conducted, the Inspectors General shall make separate
        determinations under paragraph (1) or (2) of subsection (a), as
        applicable, with respect to each such separate review.
        (d) Limitations on Procurements on Behalf of Department of
    Defense.--
            (1) Limitation during review period.--After March 15, 2007, and
        before June 16, 2008, no official of the Department of Defense may,
        except as provided in subsection (e) or (f), order, purchase, or
        otherwise procure property or services in an amount in excess of
        $100,000 through a covered non-defense agency for which a
        determination described in clause (iii) or (iv) of paragraph (1)(B)
        of subsection (a) has been made under subsection (a).
            (2) Limitation after review period.--After June 15, 2008, no
        official of the Department of Defense may, except as provided in
        subsection (e) or (f), order, purchase, or otherwise procure
        property or services in an amount in excess of $100,000 through a
        covered non-defense agency that, having been subject to review
        under this section, has not been determined under this section as
        being compliant with defense procurement requirements.
            (3) Limitation following failure to reach mou.--Commencing on
        the date that is 60 days after the date of the enactment of this
        Act, if a memorandum of understanding between the Inspector General
        of the Department of Defense and the Inspector General of a covered
        non-defense agency cannot be attained causing the review required
        by this section to not be performed, no official of the Department
        of Defense, except as provided in subsection (e) or (f), may order,
        purchase or otherwise procure property or services in an amount in
        excess of $100,000 through such non-defense agency.
        (e) Exception From Applicability of Limitations.--
            (1) Exception.--No limitation applies under subsection (d) with
        respect to the procurement of property and services on behalf of
        the Department of Defense by a covered non-defense agency during
        any period that there is in effect a determination of the Under
        Secretary of Defense for Acquisition, Technology, and Logistics,
        made in writing, that it is necessary in the interest of the
        Department of Defense to continue to procure property and services
        through such non-defense agency.
            (2) Applicability of determination.--A written determination
        with respect to a covered non-defense agency under paragraph (1) is
        in effect for the period, not in excess of one year, that the Under
        Secretary shall specify in the written determination. The Under
        Secretary may extend from time to time, for up to one year at a
        time, the period for which the written determination remains in
        effect.
        (f) Termination of Applicability of Limitations.--Subsection (d)
    shall cease to apply to a covered non-defense agency on the date on
    which the Inspector General of the Department of Defense and the
    Inspector General of such non-defense agency jointly--
            (1) determine that such non-defense agency is compliant with
        defense procurement requirements; and
            (2) notify the Secretary of Defense of that determination.
        (g) Identification of Procurements Made During a Particular Fiscal
    Year.--For the purposes of subsection (a), a procurement shall be
    treated as being made during a particular fiscal year to the extent
    that funds are obligated by the Department of Defense for that
    procurement in that fiscal year.
        (h) Resolution of Disagreements.--If the Inspector General of the
    Department of Defense and the Inspector General of a covered non-
    defense agency are unable to agree on a joint determination under
    subsection (a) or (f), a determination by the Inspector General of the
    Department of Defense under such subsection shall be conclusive for the
    purposes of this section.
        (i) Definitions.--In this section:
            (1) The term ``covered non-defense agency'' means each of the
        following:
                (A) The Department of Veterans Affairs.
                (B) The National Institutes of Health.
            (2) The term ``governmentwide acquisition contract'', with
        respect to a covered non-defense agency, means a task or delivery
        order contract that--
                (A) is entered into by the non-defense agency; and
                (B) may be used as the contract under which property or
            services are procured for one or more other departments or
            agencies of the Federal Government.
        SEC. 818. DETERMINATION OF CONTRACT TYPE FOR DEVELOPMENT PROGRAMS.
        (a) Repeal of Superseded Requirements.--Section 807 of the National
    Defense Authorization Act, Fiscal Year 1989 (10 U.S.C. 2304 note) is
    repealed.
        (b) Modification of Regulations.--Not later than 120 days after the
    date of the enactment of this Act, the Secretary of Defense shall
    modify the regulations of the Department of Defense regarding the
    determination of contract type for development programs.
        (c) Elements.--As modified under subsection (b), the regulations
    shall require the Milestone Decision Authority for a major defense
    acquisition program to select the contract type for a development
    program at the time of a decision on Milestone B approval (or Key
    Decision Point B approval in the case of a space program) that is
    consistent with the level of program risk for the program. The
    Milestone Decision Authority may select--
            (1) a fixed-price type contract (including a fixed price
        incentive contract); or
            (2) a cost type contract.
        (d) Conditions With Respect to Authorization of Cost Type
    Contract.--As modified under subsection (b), the regulations shall
    provide that the Milestone Decision Authority may authorize the use of
    a cost type contract under subsection (c) for a development program
    only upon a written determination that--
            (1) the program is so complex and technically challenging that
        it would not be practicable to reduce program risk to a level that
        would permit the use of a fixed-price type contract; and
            (2) the complexity and technical challenge of the program is
        not the result of a failure to meet the requirements established in
        section 2366a of title 10, United States Code.
        (e) Justification for Selection of Contract Type.--As modified
    under subsection (b), the regulations shall require the Milestone
    Decision Authority to document the basis for the contract type selected
    for a program. The documentation shall include an explanation of the
    level of program risk for the program and, if the Milestone Decision
    Authority determines that the level of program risk is high, the steps
    that have been taken to reduce program risk and reasons for proceeding
    with Milestone B approval despite the high level of program risk.
        SEC. 819. THREE-YEAR EXTENSION OF REQUIREMENT FOR REPORTS ON
          COMMERCIAL PRICE TREND ANALYSES OF THE DEPARTMENT OF DEFENSE.
        Section 803(c)(4) of the Strom Thurmond National Defense
    Authorization Act for Fiscal Year 1999 (10 U.S.C. 2306a note) is
    amended by striking ``2006'' and inserting ``2009''.
        SEC. 820. GOVERNMENT PERFORMANCE OF CRITICAL ACQUISITION FUNCTIONS.
        (a) Goal.--It shall be the goal of the Department of Defense and
    each of the military departments to ensure that, within five years
    after the date of the enactment of this Act, for each major defense
    acquisition program and each major automated information system
    program, each of the following positions is performed by a properly
    qualified member of the Armed Forces or full-time employee of the
    Department of Defense:
            (1) Program manager.
            (2) Deputy program manager.
            (3) Chief engineer.
            (4) Systems engineer.
            (5) Cost estimator.
        (b) Plan of Action.--Not later than six months after the date of
    enactment of this Act, the Secretary of Defense shall develop and begin
    implementation of a plan of action for recruiting, training, and
    ensuring appropriate career development of military and civilian
    personnel to achieve the objective established in subsection (a). The
    plan of action required by this subsection shall include specific,
    measurable interim milestones.
        (c) Reports.--Not later than one year after the date of the
    enactment of this Act and each year thereafter, the Secretary of
    Defense shall submit to the congressional defense committees a report
    on the progress made by the Department of Defense and the military
    departments toward achieving the goal established in subsection (a).
        (d) Definitions.--In this section:
            (1) The term ``major defense acquisition program'' has the
        meaning given such term in section 2430(a) of title 10, United
        States Code.
            (2) The term ``major automated information system program'' has
        the meaning given such term in section 2445a(a) of title 10, United
        States Code (as added by section 816 of this Act).

    Subtitle C--Amendments to General Contracting Authorities, Procedures,
                                and Limitations

        SEC. 831. ONE-YEAR EXTENSION OF SPECIAL TEMPORARY CONTRACT CLOSEOUT
          AUTHORITY.
        Section 804(d) of the National Defense Authorization Act for Fiscal
    Year 2004 (Public Law 108-136; 117 Stat. 1542) is amended by striking
    ``September 30, 2006'' and inserting ``September 30, 2007''.
        SEC. 832. LIMITATION ON CONTRACTS FOR THE ACQUISITION OF CERTAIN
          SERVICES.
        (a) Limitation.--Except as provided in subsection (b), the
    Secretary of Defense may not enter into a service contract to acquire a
    military flight simulator.
        (b) Waiver.--The Secretary of Defense may waive subsection (a) with
    respect to a contract if the Secretary--
            (1) determines that a waiver is necessary for national security
        purposes; and
            (2) provides to the congressional defense committees an
        economic analysis as described in subsection (c) at least 30 days
        before the waiver takes effect.
        (c) Economic Analysis.--The economic analysis provided under
    subsection (b) shall include, at a minimum, the following:
            (1) A clear explanation of the need for the contract.
            (2) An examination of at least two alternatives for fulfilling
        the requirements that the contract is meant to fulfill, including
        the following with respect to each alternative:
                (A) A rationale for including the alternative.
                (B) A cost estimate of the alternative and an analysis of
            the quality of each cost estimate.
                (C) A discussion of the benefits to be realized from the
            alternative.
                (D) A best value determination of each alternative and a
            detailed explanation of the life-cycle cost calculations used
            in the determination.
        (d) Definitions.--In this section:
            (1) The term ``military flight simulator'' means any major
        system to simulate the form, fit, and function of a military
        aircraft that has no commonly available commercial variant.
            (2) The term ``service contract'' means any contract entered
        into by the Department of Defense the principal purpose of which is
        to furnish services in the United States through the use of service
        employees.
            (3) The term ``service employees'' has the meaning provided in
        section 8(b) of the Service Contract Act of 1965 (41 U.S.C.
        357(b)).
        SEC. 833. USE OF FEDERAL SUPPLY SCHEDULES BY STATE AND LOCAL
          GOVERNMENTS FOR GOODS AND SERVICES FOR RECOVERY FROM NATURAL
          DISASTERS, TERRORISM, OR NUCLEAR, BIOLOGICAL, CHEMICAL, OR
          RADIOLOGICAL ATTACK.
        (a) Authority To Use Supply Schedules for Certain Goods and
    Services.--Section 502 of title 40, United States Code, is amended by
    adding at the end the following new subsection:
        ``(d) Use of Supply Schedules for Certain Goods and Services.--
            ``(1) In general.--The Administrator may provide for the use by
        State or local governments of Federal supply schedules of the
        General Services Administration for goods or services that are to
        be used to facilitate recovery from a major disaster declared by
        the President under the Robert T. Stafford Disaster Relief and
        Emergency Assistance Act (42 U.S.C. 5121 et seq.) or to facilitate
        recovery from terrorism or nuclear, biological, chemical, or
        radiological attack.
            ``(2) Determination by secretary of homeland security.--The
        Secretary of Homeland Security shall determine which goods and
        services qualify as goods and services described in paragraph (1)
        before the Administrator provides for the use of the Federal supply
        schedule relating to such goods and services.
            ``(3) Voluntary use.--In the case of the use by a State or
        local government of a Federal supply schedule pursuant to paragraph
        (1), participation by a firm that sells to the Federal Government
        through the supply schedule shall be voluntary with respect to a
        sale to the State or local government through such supply schedule.
            ``(4) Definitions.--The definitions in subsection (c)(3) shall
        apply for purposes of this subsection.''.
        (b) Procedures.--Not later than 30 days after the date of the
    enactment of this Act, the Administrator of General Services shall
    establish procedures to implement subsection (d) of section 502 of
    title 40, United States Code (as added by subsection (a)).
        SEC. 834. WAIVERS TO EXTEND TASK ORDER CONTRACTS FOR ADVISORY AND
          ASSISTANCE SERVICES.
         (a) Defense Contracts.--
            (1) Waiver authority.--The head of an agency may issue a waiver
        to extend a task order contract entered into under section 2304b of
        title 10, United States Code, for a period not exceeding 10 years,
        through five one-year options, if the head of the agency determines
        in writing--
                (A) that the contract provides engineering or technical
            services of such a unique and substantial technical nature that
            award of a new contract would be harmful to the continuity of
            the program for which the services are performed;
                (B) that award of a new contract would create a large
            disruption in services provided to the Department of Defense;
            and
                (C) that the Department of Defense would, through award of
            a new contract, endure program risk during critical program
            stages due to loss of program corporate knowledge of ongoing
            program activities.
            (2) Delegation.--The authority of the head of an agency under
        paragraph (1) may be delegated only to the senior procurement
        executive of the agency.
            (3) Report.--Not later than April 1, 2007, the Secretary of
        Defense shall submit to the Committees on Armed Services of the
        Senate and the House of Representatives a report on advisory and
        assistance services. The report shall include the following
        information:
                (A) The methods used by the Department of Defense to
            identify a contract as an advisory and assistance services
            contract, as defined in section 2304b of title 10, United
            States Code.
                (B) The number of such contracts awarded by the Department
            during the five-year period preceding the date of the enactment
            of this Act.
                (C) The average annual expenditures by the Department for
            such contracts.
                (D) The average length of such contracts.
                (E) The number of such contracts recompeted and awarded to
            the previous award winner.
            (4) Prohibition on use of authority by department of defense if
        report not submitted.--The head of an agency may not issue a waiver
        under paragraph (1) if the report required by paragraph (3) is not
        submitted by the date set forth in that paragraph.
        (b) Civilian Agency Contracts.--
            (1) Waiver authority.--The head of an executive agency may
        issue a waiver to extend a task order contract entered into under
        section 303I of the Federal Property and Administrative Services
        Act of 1949 (41 U.S.C. 253i) for a period not exceeding 10 years,
        through five one-year options, if the head of the agency determines
        in writing--
                (A) that the contract provides engineering or technical
            services of such a unique and substantial technical nature that
            award of a new contract would be harmful to the continuity of
            the program for which the services are performed;
                (B) that award of a new contract would create a large
            disruption in services provided to the executive agency; and
                (C) that the executive agency would, through award of a new
            contract, endure program risk during critical program stages
            due to loss of program corporate knowledge of ongoing program
            activities.
            (2) Delegation.--The authority of the head of an executive
        agency under paragraph (1) may be delegated only to the Chief
        Acquisition Officer of the agency (or the senior procurement
        executive in the case of an agency for which a Chief Acquisition
        Officer has not been appointed or designated under section 16(a) of
        the Office of Federal Procurement Policy Act (41 U.S.C. 414(a))).
            (3) Report.--Not later than April 1, 2007, the Administrator
        for Federal Procurement Policy shall submit to the Committee on
        Homeland Security and Governmental Affairs of the Senate and the
        Committee on Government Reform of the House of Representatives a
        report on advisory and assistance services. The report shall
        include the following information:
                (A) The methods used by executive agencies to identify a
            contract as an advisory and assistance services contract, as
            defined in section 303I(i) of the Federal Property and
            Administrative Services Act of 1949 (41 U.S.C. 253i(i)).
                (B) The number of such contracts awarded by each executive
            agency during the five-year period preceding the date of the
            enactment of this Act.
                (C) The average annual expenditures by each executive
            agency for such contracts.
                (D) The average length of such contracts.
                (E) The number of such contracts recompeted and awarded to
            the previous award winner.
            (4) Prohibition on use of authority by executive agencies if
        report not submitted.--The head of an executive agency may not
        issue a waiver under paragraph (1) if the report required by
        paragraph (3) is not submitted by the date set forth in that
        paragraph.
        (c) Termination of Authority.--A waiver may not be issued under
    this section after December 31, 2011.
        (d) Comptroller General Review.--
            (1) Report requirement.--Not later than one year after the date
        of the enactment of this Act, the Comptroller General shall submit
        to the committees described in paragraph (3) a report on the use of
        advisory and assistance services contracts by the Federal
        Government.
            (2) Defense and civilian agency contracts covered.--The report
        shall cover both of the following:
                (A) Advisory and assistance services contracts as defined
            in section 2304b of title 10, United States Code.
                (B) Advisory and assistance services contracts as defined
            in section 303I(i) of the Federal Property and Administrative
            Services Act of 1949 (41 U.S.C. 253i(i)).
            (3) Matters covered.--The report shall address the following
        issues:
                (A) The extent to which executive agencies and elements of
            the Department of Defense require advisory and assistance
            services for periods of greater than five years.
                (B) The extent to which such advisory and assistance
            services are provided by the same contractors under recurring
            contracts.
                (C) The rationale for contracting for advisory and
            assistance services that will be needed on a continuing basis,
            rather than performing the services inside the Federal
            Government.
                (D) The contract types and oversight mechanisms used by the
            Federal Government in contracts for advisory and assistance
            services and the extent to which such contract types and
            oversight mechanisms are adequate to protect the interests of
            the Government and taxpayers.
                (E) The actions taken by the Federal Government to prevent
            organizational conflicts of interest and improper personal
            services contracts in its contracts for advisory and assistance
            services.
            (4) Committees.--The committees described in this paragraph are
        the following:
                (A) The Committees on Armed Services and on Homeland
            Security and Governmental Affairs of the Senate.
                (B) The Committees on Armed Services and on Government
            Reform of the House of Representatives.

          Subtitle D--United States Defense Industrial Base Provisions

        SEC. 841. ASSESSMENT AND ANNUAL REPORT OF UNITED STATES DEFENSE
          INDUSTRIAL BASE CAPABILITIES AND ACQUISITIONS OF ARTICLES,
          MATERIALS, AND SUPPLIES MANUFACTURED OUTSIDE THE UNITED STATES.
        Section 812 of the National Defense Authorization Act for Fiscal
    Year 2004 (Public Law 108-136; 117 Stat. 1542) is amended--
            (1) by amending the heading to read as follows:
        ``SEC. 812. ASSESSMENT AND ANNUAL REPORT OF UNITED STATES DEFENSE
          INDUSTRIAL BASE CAPABILITIES AND ACQUISITIONS OF ARTICLES,
          MATERIALS, AND SUPPLIES MANUFACTURED OUTSIDE THE UNITED
          STATES.'';
            (2) by adding at the end of subsection (c)(2)(A) the following
        new clauses:
            ``(v) The dollar value of any articles, materials, or supplies
        purchased that were manufactured outside of the United States.
            ``(vi) An itemized list of all waivers granted with respect to
        such articles, materials, or supplies under the Buy American Act
        (41 U.S.C. 10a et seq.).
            ``(vii) A summary of--
                ``(I) the total procurement funds expended on articles,
            materials, and supplies manufactured inside the United States;
            and
                ``(II) the total procurement funds expended on articles,
            materials, and supplies manufactured outside the United
            States.''; and
            (3) by adding at the end the following new subsections:
        ``(d) Public Availability.--The Secretary of Defense shall make the
    report submitted under subsection (c) publicly available to the maximum
    extent practicable.
        ``(e) Applicability.--This section shall not apply to acquisitions
    made by an agency, or component thereof, that is an element of the
    intelligence community as set forth in or designated under section 3(4)
    of the National Security Act of 1947 (50 U.S.C. 401a(4)).''.
        SEC. 842. PROTECTION OF STRATEGIC MATERIALS CRITICAL TO NATIONAL
          SECURITY.
        (a) Requirement to Buy From American Sources.--
            (1) In general.--Subchapter V of chapter 148 of title 10,
        United States Code, is amended by inserting after section 2533a the
        following new section:

    ``Sec. 2533b. Requirement to buy strategic materials critical to
                national security from American sources; exceptions

        ``(a) Requirement.--Except as provided in subsections (b) through
    (j), funds appropriated or otherwise available to the Department of
    Defense may not be used for procurement of--
            ``(1) the following types of end items, or components thereof,
        containing a specialty metal not melted or produced in the United
        States: aircraft, missile and space systems, ships, tank and
        automotive items, weapon systems, or ammunition; or
            ``(2) a specialty metal that is not melted or produced in the
        United States and that is to be purchased directly by the
        Department of Defense or a prime contractor of the Department.
        ``(b) Availability Exception.--(1) Subsection (a) does not apply to
    the extent that the Secretary of Defense or the Secretary of the
    military department concerned determines that compliant specialty metal
    of satisfactory quality and sufficient quantity, and in the required
    form, cannot be procured as and when needed. For purposes of the
    preceding sentence, the term `compliant specialty metal' means
    specialty metal melted or produced in the United States.
        ``(2) This subsection applies to prime contracts and subcontracts
    at any tier under such contracts.
        ``(c) Exception for Certain Procurements.--Subsection (a) does not
    apply to the following:
            ``(1) Procurements outside the United States in support of
        combat operations or in support of contingency operations.
            ``(2) Procurements for which the use of procedures other than
        competitive procedures has been approved on the basis of section
        2304(c)(2) of this title, relating to unusual and compelling
        urgency of need.
        ``(d) Exception Relating to Agreements With Foreign Governments.--
    Subsection (a)(1) does not preclude the procurement of a specialty
    metal if--
            ``(1) the procurement is necessary--
                ``(A) to comply with agreements with foreign governments
            requiring the United States to purchase supplies from foreign
            sources for the purposes of offsetting sales made by the United
            States Government or United States firms under approved
            programs serving defense requirements; or
                ``(B) in furtherance of agreements with foreign governments
            in which both such governments agree to remove barriers to
            purchases of supplies produced in the other country or services
            performed by sources of the other country; and
            ``(2) any such agreement with a foreign government complies,
        where applicable, with the requirements of section 36 of the Arms
        Export Control Act (22 U.S.C. 2776) and with section 2457 of this
        title.
        ``(e) Exception for Commissaries, Exchanges, and Other
    Nonappropriated Fund Instrumentalities.--Subsection (a) does not apply
    to items purchased for resale purposes in commissaries, exchanges, and
    nonappropriated fund instrumentalities operated by the Department of
    Defense.
        ``(f) Exception for Small Purchases.--Subsection (a) does not apply
    to procurements in amounts not greater than the simplified acquisition
    threshold referred to in section 2304(g) of this title.
        ``(g) Exception for Purchases of Electronic Components.--Subsection
    (a) does not apply to procurements of commercially available electronic
    components whose specialty metal content is de minimis in value
    compared to the overall value of the lowest level electronic component
    produced that contains such specialty metal.
        ``(h) Applicability to Procurements of Commercial Items.--This
    section applies to procurements of commercial items notwithstanding
    section 34 of the Office of Federal Procurement Policy Act (41 U.S.C.
    430).
        ``(i) Specialty Metal Defined.--In this section, the term
    `specialty metal' means any of the following:
            ``(1) Steel--
                ``(A) with a maximum alloy content exceeding one or more of
            the following limits: manganese, 1.65 percent; silicon, 0.60
            percent; or copper, 0.60 percent; or
                ``(B) containing more than 0.25 percent of any of the
            following elements: aluminum, chromium, cobalt, columbium,
            molybdenum, nickel, titanium, tungsten, or vanadium.
            ``(2) Metal alloys consisting of nickel, iron-nickel, and
        cobalt base alloys containing a total of other alloying metals
        (except iron) in excess of 10 percent.
            ``(3) Titanium and titanium alloys.
            ``(4) Zirconium and zirconium base alloys.
        ``(j) Additional Definitions.--In this section:
            ``(1) The term `United States' includes possessions of the
        United States.
            ``(2) The term `component' has the meaning provided in section
        4 of the Office of Federal Procurement Policy Act (41 U.S.C.
        403).''.
            (2) Clerical amendment.--The table of sections at the beginning
        of such subchapter is amended by adding at the end the following
        new item:

    ``2533b. Requirement to buy strategic materials critical to national
              security from American sources; exceptions.''.

            (3) Conforming amendments.--Section 2533a of title 10, United
        States Code, is amended--
                (A) by striking paragraph (2) of subsection (b) and
            redesignating paragraph (3) of such subsection as paragraph
            (2);
                (B) in subsection (c), by striking ``or specialty metals
            (including stainless steel flatware)''; and
                (C) in subsection (e)--
                    (i) by striking ``Specialty Metals and'' in the
                heading; and
                    (ii) by striking ``specialty metals or''.
            (4) Effective dates.--
                (A) Section 2533b of title 10, United States Code, as added
            by paragraph (1), shall apply with respect to contracts entered
            into after the date occurring 30 days after the date of the
            enactment of this Act.
                (B) The amendments made by paragraph (3) shall take effect
            on the date occurring 30 days after the date of the enactment
            of this Act.
        (b) One-Time Waiver of Specialty Metals Domestic Source
    Requirement.--
            (1) Authority.--The Secretary of Defense or the Secretary of a
        military department may accept specialty metals if such metals were
        incorporated into items produced, manufactured, or assembled in the
        United States before the date of the enactment of this Act with
        respect to which the contracting officer for the contract
        determines that the contractor is not in compliance with section
        2533b of title 10, United States Code (as added by subsection
        (a)(1)), if--
                (A) the contracting officer for the contract determines in
            writing that--
                    (i) it would not be practical or economical to remove
                or replace the specialty metals incorporated in such items
                or to substitute items containing compliant materials;
                    (ii) the prime contractor and subcontractor responsible
                for providing items containing non-compliant materials have
                in place an effective plan to ensure compliance with
                section 2533b of title 10, United States Code (as so
                added), with regard to items containing specialty metals if
                such metals were incorporated into items produced,
                manufactured, or assembled in the United States after the
                date of the enactment of this Act; and
                    (iii) the non-compliance is not knowing or willful; and
                (B) the Under Secretary of Defense for Acquisition,
            Technology, and Logistics or the service acquisition executive
            of the military department concerned approves the
            determination.
            (2) Notice.--Not later than 15 days after a contracting officer
        makes a determination under paragraph (1)(A) with respect to a
        contract, the contracting officer shall post a notice on
        FedBizOpps.gov that a waiver has been granted for the contract
        under this subsection.
            (3) Definition.--In this subsection, the term
        ``FedBizOpps.gov'' means the website maintained by the General
        Services Administration known as FedBizOpps.gov (or any successor
        site).
            (4) Termination of authority.--A contracting officer may
        exercise the authority under this subsection only with respect to
        the delivery of items the final acceptance of which takes place
        after the date of the enactment of this Act and before September
        30, 2010.
        SEC. 843. STRATEGIC MATERIALS PROTECTION BOARD.
        (a) In General.--Chapter 7 of title 10, United States Code, is
    amended by adding at the end the following new section:

    ``Sec. 187. Strategic Materials Protection Board

        ``(a) Establishment.--(1) The Secretary of Defense shall establish
    a Strategic Materials Protection Board.
        ``(2) The Board shall be composed of representatives of the
    following:
            ``(A) The Secretary of Defense, who shall be the chairman of
        the Board.
            ``(B) The Under Secretary of Defense for Acquisition,
        Technology, and Logistics.
            ``(C) The Under Secretary of Defense for Intelligence.
            ``(D) The Secretary of the Army.
            ``(E) The Secretary of the Navy.
            ``(F) The Secretary of the Air Force.
        ``(b) Duties.--In addition to other matters assigned to it by the
    Secretary of Defense, the Board shall--
            ``(1) determine the need to provide a long term domestic supply
        of materials designated as critical to national security to ensure
        that national defense needs are met;
            ``(2) analyze the risk associated with each material designated
        as critical to national security and the effect on national defense
        that the nonavailability of such material from a domestic source
        would have;
            ``(3) recommend a strategy to the President to ensure the
        domestic availability of materials designated as critical to
        national security;
            ``(4) recommend such other strategies to the President as the
        Board considers appropriate to strengthen the industrial base with
        respect to materials critical to national security; and
            ``(5) publish not less frequently than once every two years in
        the Federal Register recommendations regarding materials critical
        to national security, including a list of specialty metals, if any,
        recommended for addition to, or removal from, the definition of
        `specialty metal' for purposes of section 2533b of this title.
        ``(c) Meetings.--The Board shall meet as determined necessary by
    the Secretary of Defense but not less frequently than once every two
    years to make recommendations regarding materials critical to national
    security as described in subsection (b)(5).
        ``(d) Reports.--After each meeting of the Board, the Board shall
    prepare and submit to Congress a report containing the results of the
    meeting and such recommendations as the Board determines
    appropriate.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding at the end the following new item:

    ``187. Strategic Materials Protection Board.''.

        (c) First Meeting of Board.--The first meeting of the Strategic
    Materials Protection Board, established by section 187 of title 10,
    United States Code (as added by subsection (a)) shall be not later than
    180 days after the date of the enactment of this Act.

                           Subtitle E--Other Matters

        SEC. 851. REPORT ON FORMER DEPARTMENT OF DEFENSE OFFICIALS EMPLOYED
          BY CONTRACTORS OF THE DEPARTMENT OF DEFENSE.
        (a) Report Required.--Not later than December 1, 2007, the
    Comptroller General shall submit to the Committees on Armed Services of
    the Senate and House of Representatives a report on the employment of
    former officials of the Department of Defense by major defense
    contractors during the most recent calendar year for which, in the
    judgment of the Comptroller General, data are reasonably available. The
    report shall assess the extent to which former officials of the
    Department of Defense who served in acquisition-related positions were
    provided compensation by major defense contractors during such calendar
    year.
        (b) Objectives of Report.--The objectives of the report required by
    subsection (a) shall be to determine the effectiveness of existing
    statutes and regulations governing the employment of former Department
    of Defense officials by defense contractors, including section 207 of
    title 18, United States Code, and section 27 of the Office of Federal
    Procurement Policy Act (41 U.S.C. 423). At a minimum, the report shall
    assess the extent to which such former officials who receive
    compensation from defense contractors have been assigned by those
    contractors to work on--
            (1) Department of Defense contracts or programs for which such
        former officials personally had program oversight responsibility or
        decision-making authority when they served in the Department of
        Defense; or
            (2) Department of Defense contracts or programs which are the
        responsibility of the agency, office, or command in which such
        former officials served in the Department of Defense.
        (c) Confidentiality Requirement.--The report required by subsection
    (a) shall not include the names of specific former Department of
    Defense officials who receive compensation from defense contractors or
    information from which such individuals could be identified.
        (d) Access to Information.--In accordance with the contract clause
    required pursuant to section 2313(c) of title 10, United States Code, a
    major defense contractor shall provide the Comptroller General access
    to information requested by the Comptroller General for the purpose of
    this review regarding former officials of the Department of Defense who
    have received compensation from the contractor during the relevant
    calendar year.
        (e) Definitions.--In this section:
            (1) Major defense contractor.--The term ``major defense
        contractor'' includes any company that received more than
        $500,000,000 in contract awards from the Department of Defense in
        fiscal year 2005.
            (2) Former department of defense official.--The term ``former
        Department of Defense official'' means either of the following:
                (A) A former Department of Defense employee.
                (B) A former or retired member of the Armed Forces.
        SEC. 852. REPORT AND REGULATIONS ON EXCESSIVE PASS-THROUGH CHARGES.
        (a) Comptroller General Report on Excessive Pass-Through Charges.--
            (1) In general.--Not later than 180 days after the date of the
        enactment of this Act, the Comptroller General shall issue a report
        on pass-through charges on contracts or subcontracts (or task or
        delivery orders) that are entered into for or on behalf of the
        Department of Defense.
            (2) Matters covered.--The report issued under this subsection--
                (A) shall assess the extent to which the Department of
            Defense has paid excessive pass-through charges to contractors
            who provided little or no value to the performance of the
            contract;
                (B) shall assess the extent to which the Department has
            been particularly vulnerable to excessive pass-through charges
            on any specific category of contracts or by any specific
            category of contractors (including any category of small
            business); and
                (C) shall determine the extent to which any prohibition on
            excessive pass-through charges would be inconsistent with
            existing commercial practices for any specific category of
            contracts or have an unjustified adverse effect on any specific
            category of contractors (including any category of small
            business).
        (b) Regulations Required.--
            (1) In general.--Not later than May 1, 2007, the Secretary of
        Defense shall prescribe regulations to ensure that pass-through
        charges on contracts or subcontracts (or task or delivery orders)
        that are entered into for or on behalf of the Department of Defense
        are not excessive in relation to the cost of work performed by the
        relevant contractor or subcontractor.
            (2) Scope of regulations.--The regulations prescribed under
        this subsection--
                (A) shall not apply to any firm, fixed-price contract or
            subcontract (or task or delivery order) that is--
                    (i) awarded on the basis of adequate price competition;
                or
                    (ii) for the acquisition of a commercial item, as
                defined in section 4(12) of the Office of Federal
                Procurement Policy Act (41 U.S.C. 403(12)); and
                (B) may include such additional exceptions as the Secretary
            determines to be necessary in the interest of the national
            defense.
            (3) Definition.--In this section, the term ``excessive pass-
        through charge'', with respect to a contractor or subcontractor
        that adds no, or negligible, value to a contract or subcontract,
        means a charge to the Government by the contractor or subcontractor
        that is for overhead or profit on work performed by a lower-tier
        contractor or subcontractor (other than charges for the direct
        costs of managing lower-tier contracts and subcontracts and
        overhead and profit based on such direct costs).
            (4) Report.--Not later than one year after the date of the
        enactment of this Act, the Secretary of Defense shall submit to the
        congressional defense committees a report on the steps taken to
        implement the requirements of this subsection, including--
                (A) any standards for determining when no, or negligible,
            value has been added to a contract by a contractor or
            subcontractor;
                (B) any procedures established for preventing excessive
            pass-through charges; and
                (C) any exceptions determined by the Secretary to be
            necessary in the interest of the national defense.
            (5) Effective date.--The regulations prescribed under this
        subsection shall apply to contracts awarded for or on behalf of the
        Department of Defense on or after May 1, 2007.
        SEC. 853. PROGRAM MANAGER EMPOWERMENT AND ACCOUNTABILITY.
        (a) Strategy.--The Secretary of Defense shall develop a
    comprehensive strategy for enhancing the role of Department of Defense
    program managers in developing and carrying out defense acquisition
    programs.
        (b) Matters to Be Addressed.--The strategy required by this section
    shall address, at a minimum--
            (1) enhanced training and educational opportunities for program
        managers;
            (2) increased emphasis on the mentoring of current and future
        program managers by experienced senior executives and program
        managers within the Department;
            (3) improved career paths and career opportunities for program
        managers;
            (4) additional incentives for the recruitment and retention of
        highly qualified individuals to serve as program managers;
            (5) improved resources and support (including systems
        engineering expertise, cost estimating expertise, and software
        development expertise) for program managers;
            (6) improved means of collecting and disseminating best
        practices and lessons learned to enhance program management
        throughout the Department;
            (7) common templates and tools to support improved data
        gathering and analysis for program management and oversight
        purposes;
            (8) increased accountability of program managers for the
        results of defense acquisition programs; and
            (9) enhanced monetary and nonmonetary awards for successful
        accomplishment of program objectives by program managers.
        (c) Guidance on Tenure and Accountability of Program Managers
    Before Milestone B.--Not later than 180 days after the date of the
    enactment of this Act, the Secretary of Defense shall revise Department
    of Defense guidance for major defense acquisition programs to address
    the qualifications, resources, responsibilities, tenure, and
    accountability of program managers for the program development period
    (before Milestone B approval (or Key Decision Point B approval in the
    case of a space program)).
        (d) Guidance on Tenure and Accountability of Program Managers After
    Milestone B.--Not later than 180 days after the date of enactment of
    this Act, the Secretary of Defense shall revise Department of Defense
    guidance for major defense acquisition programs to address the
    qualifications, resources, responsibilities, tenure and accountability
    of program managers for the program execution period (from Milestone B
    approval (or Key Decision Point B approval in the case of a space
    program) until the delivery of the first production units of a
    program). The guidance issued pursuant to this subsection shall
    address, at a minimum--
            (1) the need for a performance agreement between a program
        manager and the milestone decision authority for the program,
        setting forth expected parameters for cost, schedule, and
        performance, and appropriate commitments by the program manager and
        the milestone decision authority to ensure that such parameters are
        met;
            (2) authorities available to the program manager, including, to
        the extent appropriate, the authority to object to the addition of
        new program requirements that would be inconsistent with the
        parameters established at Milestone B (or Key Decision Point B in
        the case of a space program) and reflected in the performance
        agreement; and
            (3) the extent to which a program manager for such period
        should continue in the position without interruption until the
        delivery of the first production units of the program.
        (e) Reports.--
            (1) Report by secretary of defense.--Not later than 270 days
        after the date of enactment of this Act, the Secretary of Defense
        shall submit to the congressional defense committees a report on
        the strategy developed pursuant to subsection (a) and the guidance
        issued pursuant to subsections (b) and (c).
            (2) Report by comptroller general.--Not later than one year
        after the date of enactment of this Act, the Comptroller General
        shall submit to the congressional defense committees a report on
        the actions taken by the Secretary of Defense to implement the
        requirements of this section.
        SEC. 854. JOINT POLICIES ON REQUIREMENTS DEFINITION, CONTINGENCY
          PROGRAM MANAGEMENT, AND CONTINGENCY CONTRACTING.
        (a) In General.--
            (1) Joint policy requirement.--Chapter 137 of title 10, United
        States Code, is amended by adding at the end the following new
        section:

    ``Sec. 2333. Joint policies on requirements definition, contingency
                program management, and contingency contracting

        ``(a) Joint Policy Requirement.--The Secretary of Defense, in
    consultation with the Chairman of the Joint Chiefs of Staff, shall
    develop joint policies for requirements definition, contingency program
    management, and contingency contracting during combat operations and
    post-conflict operations.
        ``(b) Requirements Definition Matters Covered.--The joint policy
    for requirements definition required by subsection (a) shall, at a
    minimum, provide for the following:
            ``(1) The assignment of a senior commissioned officer or
        civilian member of the senior executive service, with appropriate
        experience and qualifications related to the definition of
        requirements to be satisfied through acquisition contracts (such as
        for delivery of products or services, performance of work, or
        accomplishment of a project), to act as head of requirements
        definition and coordination during combat operations, post-conflict
        operations, and contingency operations, if required, including
        leading a requirements review board involving all organizations
        concerned.
            ``(2) An organizational approach to requirements definition and
        coordination during combat operations, post-conflict operations,
        and contingency operations that is designed to ensure that
        requirements are defined in a way that effectively implements
        United States Government and Department of Defense objectives,
        policies, and decisions regarding the allocation of resources,
        coordination of interagency efforts in the theater of operations,
        and alignment of requirements with the proper use of funds.
        ``(c) Contingency Program Management Matters Covered.--The joint
    policy for contingency program management required by subsection (a)
    shall, at a minimum, provide for the following:
            ``(1) The assignment of a senior commissioned officer or
        civilian member of the senior executive service, with appropriate
        program management experience and qualifications, to act as head of
        program management during combat operations, post-conflict
        operations, and contingency operations, including stabilization and
        reconstruction operations involving multiple United States
        Government agencies and international organizations, if required.
            ``(2) A preplanned organizational approach to program
        management during combat operations, post-conflict operations, and
        contingency operations that is designed to ensure that the
        Department of Defense is prepared to conduct such program
        management.
            ``(3) Identification of a deployable cadre of experts, with the
        appropriate tools and authority, and trained in processes under
        paragraph (6).
            ``(4) Utilization of the hiring and appointment authorities
        necessary for the rapid deployment of personnel to ensure the
        availability of key personnel for sufficient lengths of time to
        provide for continuing program and project management.
            ``(5) A requirement to provide training (including training
        under a program to be created by the Defense Acquisition
        University) to program management personnel in--
                ``(A) the use of laws, regulations, policies, and
            directives related to program management in combat or
            contingency environments;
                ``(B) the integration of cost, schedule, and performance
            objectives into practical acquisition strategies aligned with
            available resources and subject to effective oversight; and
                ``(C) procedures of the Department of Defense related to
            funding mechanisms and contingency contract management.
            ``(6) Appropriate steps to ensure that training is maintained
        for such personnel even when they are not deployed in a contingency
        operation.
            ``(7) Such steps as may be needed to ensure jointness and
        cross-service coordination in the area of program management during
        contingency operations.
        ``(d) Contingency Contracting Matters Covered.--(1) The joint
    policy for contingency contracting required by subsection (a) shall, at
    a minimum, provide for the following:
            ``(A) The designation of a senior commissioned officer or
        civilian member of the senior executive service in each military
        department with the responsibility for administering the policy.
            ``(B) The assignment of a senior commissioned officer with
        appropriate acquisition experience and qualifications to act as
        head of contingency contracting during combat operations, post-
        conflict operations, and contingency operations, who shall report
        directly to the commander of the combatant command in whose area of
        responsibility the operations occur.
            ``(C) A sourcing approach to contingency contracting that is
        designed to ensure that each military department is prepared to
        conduct contingency contracting during combat operations, post-
        conflict operations, and contingency operations, including
        stabilization and reconstruction operations involving interagency
        organizations, if required.
            ``(D) A requirement to provide training (including training
        under a program to be created by the Defense Acquisition
        University) to contingency contracting personnel in--
                ``(i) the use of law, regulations, policies, and directives
            related to contingency contracting operations;
                ``(ii) the appropriate use of rapid acquisition methods,
            including the use of exceptions to competition requirements
            under section 2304 of this title, sealed bidding, letter
            contracts, indefinite delivery indefinite quantity task orders,
            set asides under section 8(a) of the Small Business Act (15
            U.S.C. 637(a)), undefinitized contract actions, and other tools
            available to expedite the delivery of goods and services during
            combat operations or post-conflict operations;
                ``(iii) the appropriate use of rapid acquisition authority,
            commanders' emergency response program funds, and other tools
            unique to contingency contracting; and
                ``(iv) instruction on the necessity for the prompt
            transition from the use of rapid acquisition authority to the
            use of full and open competition and other methods of
            contracting that maximize transparency in the acquisition
            process.
            ``(E) Appropriate steps to ensure that training is maintained
        for such personnel even when they are not deployed in a contingency
        operation.
            ``(F) Such steps as may be needed to ensure jointness and
        cross-service coordination in the area of contingency contracting.
        ``(2) To the extent practicable, the joint policy for contingency
    contracting required by subsection (a) should be taken into account in
    the development of interagency plans for stabilization and
    reconstruction operations, consistent with the report submitted by the
    President under section 1035 of this Act on interagency operating
    procedures for the planning and conduct of stabilization and
    reconstruction operations.
        ``(e) Definitions.--In this section:
            ``(1) Contingency contracting personnel.--The term `contingency
        contracting personnel' means members of the armed forces and
        civilian employees of the Department of Defense who are members of
        the defense acquisition workforce and, as part of their duties, are
        assigned to provide support to contingency operations (whether
        deployed or not).
            ``(2) Contingency contracting.--The term `contingency
        contracting' means all stages of the process of acquiring property
        or services by the Department of Defense during a contingency
        operation.
            ``(3) Contingency operation.--The term `contingency operation'
        has the meaning provided in section 101(13) of this title.
            ``(4) Acquisition support agencies.--The term `acquisition
        support agencies' means Defense Agencies and Department of Defense
        Field Activities that carry out and provide support for
        acquisition-related activities.
            ``(5) Contingency program management.--The term `contingency
        program management' means the process of planning, organizing,
        staffing, controlling, and leading the combined efforts of
        participating civilian and military personnel and organizations for
        the management of a specific defense acquisition program or
        programs during combat operations, post-conflict operations, and
        contingency operations.
            ``(6) Requirements definition.--The term `requirements
        definition' means the process of translating policy objectives and
        mission needs into specific requirements, the description of which
        will be the basis for awarding acquisition contracts for projects
        to be accomplished, work to be performed, or products to be
        delivered.''.
            (2) Clerical amendment.--The table of sections at the beginning
        of such chapter is amended by adding at the end the following new
        item:

    ``2333. Joint policies on requirements definition, contingency
              contracting, and program management.''.

        (b) Deadline for Development of Joint Policies.--The Secretary of
    Defense shall develop the joint policies required under section 2333 of
    title 10, United States Code, as added by subsection (a), not later
    than 18 months after the date of enactment of this Act.
        (c) Reports.--
            (1) Interim report.--
                (A) Requirement.--Not later than 365 days after the date of
            the enactment of this Act, the Secretary of Defense shall
            submit to the Committees on Armed Services of the Senate and
            the House of Representatives an interim report on requirements
            definition, contingency contracting, and program management.
                (B) Matters covered.--The report shall include discussions
            of the following:
                    (i) Progress in the development of the joint policies
                under section 2333 of title 10, United States Code.
                    (ii) The ability of the Armed Forces to support
                requirements definition, contingency contracting, and
                program management.
                    (iii) The ability of commanders of combatant commands
                to request requirements definition, contingency
                contracting, or program management support, and the ability
                of the military departments and the acquisition support
                agencies to respond to such requests and provide such
                support, including the availability of rapid acquisition
                personnel for such support.
                    (iv) The ability of the current civilian and military
                acquisition workforce to deploy to combat theaters of
                operations and to conduct requirements definition,
                contingency contracting, or program management activities
                during combat and during post-conflict, reconstruction, or
                other contingency operations.
                    (v) The effect of different periods of deployment on
                continuity in the acquisition process.
            (2) Final report.--Not later than 18 months after the date of
        the enactment of this Act, the Secretary of Defense shall submit to
        the committees referred to in paragraph (1)(A) a final report on
        requirements definition, contingency contracting, and program
        management, containing a discussion of the implementation of the
        joint policies developed under section 2333 of title 10, United
        States Code (as so added), including updated discussions of the
        matters covered in the interim report. In addition, the report
        should include a discussion of the actions taken to ensure that the
        joint policies will be adequately resourced at the time of
        execution.
        SEC. 855. CLARIFICATION OF AUTHORITY TO CARRY OUT CERTAIN PROTOTYPE
          PROJECTS.
        Section 845(a) of the National Defense Authorization Act for Fiscal
    Year 1994 (10 U.S.C. 2371 note) is amended--
            (1) in paragraph (2)(A), by inserting ``or, for the Defense
        Advanced Projects Agency or the Missile Defense Agency, the
        director of the agency'' after ``(41 U.S.C. 414(c))''; and
            (2) in paragraph (3), by inserting ``or director of the Defense
        Advanced Projects Agency or Missile Defense Agency'' after
        ``executive''.
        SEC. 856. CONTRACTING WITH EMPLOYERS OF PERSONS WITH DISABILITIES.
        (a) Inapplicability of Certain Laws.--
            (1) Inapplicability of the randolph-sheppard act to contracts
        and subcontracts for military dining facility support services
        covered by javits-wagner-o'day act.--The Randolph-Sheppard Act (20
        U.S.C. 107 et seq.) does not apply to full food services, mess
        attendant services, or services supporting the operation of a
        military dining facility that, as of the date of the enactment of
        this Act, were services on the procurement list established under
        section 2 of the Javits-Wagner-O'Day Act (41 U.S.C. 47).
            (2) Inapplicability of the javits-wagner-o'day act to contracts
        for the operation of a military dining facility.--(A) The Javits-
        Wagner-O'Day Act (41 U.S.C. 46 et seq.) does not apply at the prime
        contract level to any contract entered into by the Department of
        Defense as of the date of the enactment of this Act with a State
        licensing agency under the Randolph-Sheppard Act (20 U.S.C. 107 et
        seq.) for the operation of a military dining facility.
            (B) The Javits-Wagner-O'Day Act shall apply to any subcontract
        entered into by a Department of Defense contractor for full food
        services, mess attendant services, and other services supporting
        the operation of a military dining facility.
            (3) Repeal of superseded law.--Subsections (a) and (b) of
        section 853 of the Ronald W. Reagan National Defense Authorization
        Act for Fiscal Year 2005 (Public Law 108-375; 118 Stat. 2021) are
        repealed.
        (b) Review and Report by Comptroller General of Randolph-Sheppard
    and Javits-Wagner-O'Day Contracts.--
            (1) In general.--The Comptroller General shall conduct a review
        of a representative sample of food service contracts described in
        paragraph (2) and determine in writing the following:
                (A) Differences in operational procedures and
            administration of contracts awarded by the Department of
            Defense under the Randolph-Sheppard Act (20 U.S.C. 107 et seq.)
            and the Javits-Wagner-O'Day Act (41 U.S.C. 46 et seq.) on a
            State-by-State basis with regard to the relationship between
            State licensing agencies and blind vendors.
                (B) Differences in competition, source selection, and
            management processes and procedures for contracts awarded by
            the Department under the Randolph-Sheppard Act and the Javits-
            Wagner-O'Day Act, including a review of the average total cost
            of contract awards and compensation packages to all
            beneficiaries.
                (C) Precise methods used to determine whether a price is
            fair and reasonable under contracts awarded by the Department
            under the Randolph-Sheppard Act and the Javits-Wagner-O'Day
            Act, as required under the Federal Acquisition Regulation and
            the Defense Federal Acquisition Regulation Supplement.
            (2) Contracts covered.--For purposes of the review under
        paragraph (1), a food service contract described in this paragraph
        is a contract--
                (A) for full food services, mess attendant services, or
            services supporting the operation of all or any part of a
            military dining facility;
                (B) that was awarded under either the Randolph-Sheppard Act
            or the Javits-Wagner-O'Day Act; and
                (C) that is in effect on the date of the enactment of this
            Act.
            (3) Report.--Not later than March 1, 2007, the Comptroller
        General shall submit to the Committees on Armed Services of the
        Senate and the House of Representatives a report on the review
        conducted under this subsection, with such findings and
        recommendations as the Comptroller General considers appropriate.
        (c) Requirements for Inspectors General of Department of Defense
    and Department of Education.--
            (1) Review of management procedures.--Not later than March 1,
        2007, the Inspector General of the Department of Defense and the
        Inspector General of the Department of Education shall jointly
        review the management procedures under both the Randolph-Sheppard
        Act (20 U.S.C. 107 et seq.) and the Javits-Wagner-O'Day Act (41
        U.S.C. 46 et seq.). In carrying out this paragraph, the Inspectors
        General shall each have access to the following:
                (A) Memoranda on program management and the basis for
            contract award under the programs.
                (B) Guidance sent to State agencies on administration of
            the programs.
                (C) Names of participating vendors, as well as qualifying
            experience and educational background of such vendors.
            (2) Memorandum of understanding between inspectors general.--
        Not later than 60 days after the date of the enactment of this Act,
        the Inspector General of the Department of Defense and the
        Inspector General of the Department of Education shall enter into a
        memorandum of understanding with each other to carry out paragraph
        (1).
            (3) Report.--Not later than one year after the date of
        enactment of this Act, the Inspector General of the Department of
        Defense and the Inspector General of the Department of Education
        shall jointly submit to the Committees on Armed Services of the
        Senate and the House of Representatives a report on the review
        required by paragraph (1). The report shall include--
                (A) findings of the Inspectors General regarding the
            management procedures reviewed; and
                (B) such other information and recommendations as the
            Inspectors General consider appropriate.
        (d) Definitions.--In this section:
            (1) The term ``State licensing agency'' means any agency
        designated by the Secretary of Education under section 2(a)(5) of
        the Randolph-Sheppard Act (20 U.S.C. 107a(a)(5)).
            (2) The term ``military dining facility'' means a facility
        owned, operated, leased, or wholly controlled by the Department of
        Defense and used to provide dining services to members of the Armed
        Forces, including a cafeteria, military mess hall, military troop
        dining facility, or any similar dining facility operated for the
        purpose of providing meals to members of the Armed Forces.
        SEC. 857. ENHANCED ACCESS FOR SMALL BUSINESS.
         Section 9(a) of the Contract Disputes Act of 1978 (41 U.S.C. 608)
    is amended by striking the period at the end of the first sentence and
    inserting the following: ``or, in the case of a small business concern
    (as defined in the Small Business Act and regulations under that Act),
    $150,000 or less.''.
        SEC. 858. PROCUREMENT GOAL FOR HISPANIC-SERVING INSTITUTIONS.
        Section 2323 of title 10, United States Code, is amended--
            (1) in subsection (a)(1)--
                (A) by striking ``and'' at the end of subparagraph (B);
                (B) by striking the period at the end of subparagraph (C)
            and inserting ``; and''; and
                (C) by adding at the end the following new subparagraph:
                ``(D) Hispanic-serving institutions (as defined in section
            502(a) of the Higher Education Act of 1965 (20 U.S.C.
            1101a(a)).'';
            (2) in subsection (a)(2)--
                (A) by inserting after ``historically Black colleges and
            universities'' the following: ``, Hispanic-serving
            institutions,''; and
                (B) by inserting after ``such colleges and universities''
            the following: ``and institutions'';
            (3) in subsection (c)(1), by inserting after ``historically
        Black colleges and universities'' the following: ``, Hispanic-
        serving institutions,''; and
            (4) in subsection (c)(3), by inserting after ``historically
        Black colleges and universities'' the following: ``, to Hispanic-
        serving institutions,''.

          TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT

                  Subtitle A--Department of Defense Management

    Sec. 901. Increase in authorized number of Assistant Secretaries of
              Defense.
    Sec. 902. Modifications to the Combatant Commander Initiative Fund.
    Sec. 903. Addition to membership of specified council.
    Sec. 904. Consolidation and standardization of authorities relating to
              Department of Defense Regional Centers for Security Studies.
    Sec. 905. Oversight by Office of Under Secretary of Defense for
              Acquisition, Technology, and Logistics of exercise of
              acquisition authority by combatant commanders and heads of
              Defense Agencies.
    Sec. 906. Standardization of statutory references to ``national security
              system'' within laws applicable to Department of Defense.
    Sec. 907. Correction of reference to predecessor of Defense Information
              Systems Agency.

                          Subtitle B--Space Activities

    Sec. 911. Designation of successor organizations for the disestablished
              Interagency Global Positioning Executive Board.
    Sec. 912.  Extension of authority for pilot program for provision of
              space surveillance network services to non-United States
              Government entities.
    Sec. 913. Operationally responsive space.
    Sec. 914. Independent review and assessment of Department of Defense
              organization and management for national security in space.

                  Subtitle C--Chemical Demilitarization Program

    Sec. 921. Sense of Congress on completion of destruction of United
              States chemical weapons stockpile.
    Sec. 922. Comptroller General review of cost-benefit analysis of off-
              site versus on-site treatment and disposal of hydrolysate
              derived from neutralization of VX nerve gas at Newport
              Chemical Depot, Indiana.
    Sec. 923. Incentives clauses in chemical demilitarization contracts.
    Sec. 924. Chemical demilitarization program contracting authority.

                    Subtitle D--Intelligence-Related Matters

    Sec. 931. Four-year extension of authority of Secretary of Defense to
              engage in commercial activities as security for intelligence
              collection activities.
    Sec. 932. Annual reports on intelligence oversight activities of the
              Department of Defense.
    Sec. 933. Collection by National Security Agency of service charges for
              certification or validation of information assurance products.

                            Subtitle E--Other Matters

    Sec. 941. Department of Defense policy on unmanned systems.
    Sec. 942. Executive Schedule level IV for Deputy Under Secretary of
              Defense for Logistics and Materiel Readiness.
    Sec. 943. Study and report on reform of Defense Travel System.
    Sec. 944. Administration of pilot project on Civilian Linguist Reserve
              Corps.
    Sec. 945. Improvement of authorities on the National Security Education
              Program.
    Sec. 946. Report on the posture of United States Special Operations
              Command to conduct the global war on terrorism.

                  Subtitle A--Department of Defense Management

        SEC. 901. INCREASE IN AUTHORIZED NUMBER OF ASSISTANT SECRETARIES OF
          DEFENSE.
        (a) Increase.--Section 138(a) of title 10, United States Code, is
    amended by striking ``nine'' and inserting ``ten''.
        (b) Conforming Amendment.--Section 5315 of title 5, United States
    Code, is amended by striking ``(9)'' after ``Assistant Secretaries of
    Defense'' and inserting ``(10)''.
        SEC. 902. MODIFICATIONS TO THE COMBATANT COMMANDER INITIATIVE FUND.
        (a) Addition to Authorized Activities.--Subsection (b)(6) of
    section 166a of title 10, United States Code is amended by striking
    ``civil assistance'' and inserting ``civic assistance, to include
    urgent and unanticipated humanitarian relief and reconstruction
    assistance''.
        (b) Additional Priority Consideration.--Subsection (c) of such
    section is amended--
            (1) by striking ``and'' at the end of paragraph (1);
            (2) by striking the period at the end of paragraph (2) and
        inserting ``; and''; and
            (3) by adding at the end the following new paragraph:
            ``(3) the provision of funds to be used for urgent and
        unanticipated humanitarian relief and reconstruction assistance,
        particularly in a foreign country where the armed forces are
        engaged in a contingency operation.''.
        SEC. 903. ADDITION TO MEMBERSHIP OF SPECIFIED COUNCIL.
        Section 179(a) of title 10, United States Code, is amended by
    adding at the end the following new paragraph:
            ``(5) The commander of the United States Strategic Command.''.
        SEC. 904. CONSOLIDATION AND STANDARDIZATION OF AUTHORITIES RELATING
          TO DEPARTMENT OF DEFENSE REGIONAL CENTERS FOR SECURITY STUDIES.
        (a) Basic Authorities for Regional Centers.--
            (1) In general.--Section 184 of title 10, United States Code,
        is amended to read as follows:

    ``Sec. 184. Regional Centers for Security Studies

        ``(a) In General.--The Secretary of Defense shall administer the
    Department of Defense Regional Centers for Security Studies in
    accordance with this section as international venues for bilateral and
    multilateral research, communication, and exchange of ideas involving
    military and civilian participants.
        ``(b) Regional Centers Specified.--(1) A Department of Defense
    Regional Center for Security Studies is a Department of Defense
    institution that--
            ``(A) is operated, and designated as such, by the Secretary of
        Defense for the study of security issues relating to a specified
        geographic region of the world; and
            ``(B) serves as a forum for bilateral and multilateral
        research, communication, and exchange of ideas involving military
        and civilian participants.
        ``(2) The Department of Defense Regional Centers for Security
    Studies are the following:
            ``(A) The George C. Marshall European Center for Security
        Studies, established in 1993 and located in Garmisch-Partenkirchen,
        Germany.
            ``(B) The Asia-Pacific Center for Security Studies, established
        in 1995 and located in Honolulu, Hawaii.
            ``(C) The Center for Hemispheric Defense Studies, established
        in 1997 and located in Washington, D.C.
            ``(D) The Africa Center for Strategic Studies, established in
        1999 and located in Washington, D.C.
            ``(E) The Near East South Asia Center for Strategic Studies,
        established in 2000 and located in Washington, D.C.
        ``(3) No institution or element of the Department of Defense may be
    designated as a Department of Defense Regional Center for Security
    Studies for purposes of this section, other than the institutions
    specified in paragraph (2), except as specifically provided by law
    after the date of the enactment of this section.
        ``(c) Regulations.--The administration of the Regional Centers
    under this section shall be carried out under regulations prescribed by
    the Secretary.
        ``(d) Participation.--Participants in activities of the Regional
    Centers may include United States and foreign military, civilian, and
    nongovernmental personnel.
        ``(e) Employment and Compensation of Faculty.--At each Regional
    Center, the Secretary may, subject to the availability of
    appropriations--
            ``(1) employ a Director, a Deputy Director, and as many
        civilians as professors, instructors, and lecturers as the
        Secretary considers necessary; and
            ``(2) prescribe the compensation of such persons, in accordance
        with Federal guidelines.
        ``(f) Payment of Costs.--(1) Participation in activities of a
    Regional Center shall be on a reimbursable basis (or by payment in
    advance), except in a case in which reimbursement is waived in
    accordance with paragraph (3).
        ``(2) For a foreign national participant, payment of costs may be
    made by the participant, the participant's own government, by a
    Department or agency of the United States other than the Department of
    Defense, or by a gift or donation on behalf of one or more Regional
    Centers accepted under section 2611 of this title on behalf of the
    participant's government.
        ``(3) The Secretary of Defense may waive reimbursement of the costs
    of activities of the Regional Centers for foreign military officers and
    foreign defense and security civilian government officials from a
    developing country if the Secretary determines that attendance of such
    personnel without reimbursement is in the national security interest of
    the United States. Costs for which reimbursement is waived pursuant to
    this paragraph shall be paid from appropriations available to the
    Regional Centers.
        ``(4) Funds accepted for the payment of costs shall be credited to
    the appropriation then currently available to the Department of Defense
    for the Regional Center that incurred the costs. Funds so credited
    shall be merged with the appropriation to which credited and shall be
    available to that Regional Center for the same purposes and same period
    as the appropriation with which merged.
        ``(5) Funds available for the payment of personnel expenses under
    the Latin American cooperation authority set forth in section 1050 of
    this title are also available for the costs of the operation of the
    Center for Hemispheric Defense Studies.
        ``(g) Support to Other Agencies.--The Director of a Regional Center
    may enter into agreements with the Secretaries of the military
    departments, the heads of the Defense Agencies, and, with the
    concurrence of the Secretary of Defense, the heads of other Federal
    departments and agencies for the provision of services by that Regional
    Center under this section. Any such participating department and agency
    shall transfer to the Regional Center funds to pay the full costs of
    the services received.
        ``(h) Annual Report.--Not later than February 1 of each year, the
    Secretary of Defense shall submit to the Committee on Armed Services of
    the Senate and the Committee on Armed Services of the House of
    Representatives a report on the operation of the Regional Centers for
    security studies during the preceding fiscal year. The annual report
    shall include, for each Regional Center, the following information:
            ``(1) The status and objectives of the center.
            ``(2) The budget of the center, including the costs of
        operating the center.
            ``(3) A description of the extent of the international
        participation in the programs of the center, including the costs
        incurred by the United States for the participation of each foreign
        nation.
            ``(4) A description of the foreign gifts and donations, if any,
        accepted under section 2611 of this title.''.
            (2) Clerical amendment.--The item relating to such section in
        the table of sections at the beginning of chapter 7 of such title
        is amended to read as follows:

    ``184. Regional Centers for Security Studies.''.

        (b) Conforming Amendments.--
            (1) Employment and compensation authority for civilian
        faculty.--Section 1595 of title 10, United States Code, is
        amended--
                (A) in subsection (c)--
                    (i) by striking paragraphs (3) and (5); and
                    (ii) by redesignating paragraphs (4) and (6) as
                paragraphs (3) and (4), respectively; and
                (B) by striking subsection (e).
            (2) Status of center for hemispheric defense studies.--Section
        2165 of title 10, United States Code, is amended--
                (A) in subsection (b)--
                    (i) by striking paragraph (6); and
                    (ii) by redesignating paragraph (7) as paragraph (6);
                and
                (B) by striking subsection (c).
        SEC. 905. OVERSIGHT BY OFFICE OF UNDER SECRETARY OF DEFENSE FOR
          ACQUISITION, TECHNOLOGY, AND LOGISTICS OF EXERCISE OF ACQUISITION
          AUTHORITY BY COMBATANT COMMANDERS AND HEADS OF DEFENSE AGENCIES.
        (a) Designation of Official for Oversight.--The Secretary of
    Defense shall designate a senior acquisition official within the Office
    of the Under Secretary of Defense for Acquisition, Technology, and
    Logistics to oversee the exercise of acquisition authority by--
            (1) any commander of a combatant command who is authorized by
        section 166b, 167, or 167a of title 10, United States Code, to
        exercise acquisition authority; and
            (2) any head of a Defense Agency who is designated by the
        Secretary of Defense to exercise acquisition authority.
        (b) Guidance.--
            (1) In general.--The senior acquisition official designated
        under subsection (a) shall develop guidance to ensure that the use
        of acquisition authority by commanders of combatant commands and
        the heads of Defense Agencies--
                (A) is in compliance with department-wide acquisition
            policy; and
                (B) is coordinated with and mutually supportive of
            acquisition programs of the military departments.
            (2) Urgent requirements.--Guidance developed under paragraph
        (1) shall take into account the need to fulfill the urgent
        requirements of the commanders of combatant commands and the heads
        of Defense Agencies and to ensure that those requirements are
        addressed expeditiously.
        (c) Consultation.--The senior acquisition official designated under
    subsection (a) shall on a regular basis consult on matters related to
    requirements and acquisition with the commanders of combatant commands
    and the heads of Defense Agencies referred to in that subsection.
        (d) Deadline for Designation.--The Secretary of Defense shall make
    the designation required by subsection (a) not later than 180 days
    after the date of the enactment of this Act.
        SEC. 906. STANDARDIZATION OF STATUTORY REFERENCES TO ``NATIONAL
          SECURITY SYSTEM'' WITHIN LAWS APPLICABLE TO DEPARTMENT OF
          DEFENSE.
        (a) Defense Business Systems.--Section 2222(j)(6) of title 10,
    United States Code, is amended by striking ``in section 2315 of this
    title'' and inserting ``in section 3542(b)(2) of title 44''.
        (b) Chief Information Officer Responsibilities.--Section 2223(c)(3)
    of such title is amended by striking ``section 11103 of title 40'' and
    inserting ``section 3542(b)(2) of title 44''.
        (c) Procurement of Automatic Data Processing Equipment and
    Services.--The text of section 2315 of such title is amended to read as
    follows:
        ``For purposes of subtitle III of title 40, the term `national
    security system', with respect to a telecommunications and information
    system operated by the Department of Defense, has the meaning given
    that term by section 3542(b)(2) of title 44.''.
        SEC. 907. CORRECTION OF REFERENCE TO PREDECESSOR OF DEFENSE
          INFORMATION SYSTEMS AGENCY.
        Paragraph (1) of section 193(f) of title 10, United States Code, is
    amended to read as follows:
            ``(1) The Defense Information Systems Agency.''.

                          Subtitle B--Space Activities

        SEC. 911. DESIGNATION OF SUCCESSOR ORGANIZATIONS FOR THE
          DISESTABLISHED INTERAGENCY GLOBAL POSITIONING EXECUTIVE BOARD.
        (a) Successor Organizations.--Section 8 of the Commercial Space
    Transportation Competitiveness Act of 2000 (10 U.S.C. 2281 note) is
    amended by striking ``by Congress'' and all that follows and inserting
    ``for the functions and activities of the following organizations
    established pursuant to the United States Space-Based Position,
    Navigation, and Timing Policy issued December 8, 2004 (and any
    successor organization, to the extent the successor organization
    performs the functions of the specified organization):
            ``(1) The interagency committee known as the National Space-
        Based Positioning, Navigation, and Timing Executive Committee.
            ``(2) The support office for the committee specified in
        paragraph (1) known as the National Space-Based Positioning,
        Navigation, and Timing Coordination Office.
            ``(3) The Federal advisory committee known as the National
        Space-Based Positioning, Navigation, and Timing Advisory Board.''.
        (b) Clarification.--Such section is further amended by striking
    ``interagency funding'' and inserting ``multi-agency funding''.
    SEC. 912. EXTENSION OF AUTHORITY FOR PILOT PROGRAM FOR PROVISION OF
    SPACE SURVEILLANCE NETWORK SERVICES TO NON-UNITED STATES GOVERNMENT
    ENTITIES.
        Section 2274(i) of title 10, United States Code, is amended by
    striking ``shall be conducted'' and all that follows and inserting
    ``may be conducted through September 30, 2009.''.
        SEC. 913. OPERATIONALLY RESPONSIVE SPACE.
        (a) United States Policy on Operationally Responsive Space.--It is
    the policy of the United States to demonstrate, acquire, and deploy an
    effective capability for operationally responsive space to support
    military users and operations from space, which shall consist of--
            (1) responsive satellite payloads and busses built to common
        technical standards;
            (2) low-cost space launch vehicles and supporting range
        operations that facilitate the timely launch and on-orbit
        operations of satellites;
            (3) responsive command and control capabilities; and
            (4) concepts of operations, tactics, techniques, and procedures
        that permit the use of responsive space assets for combat and
        military operations other than war.
        (b) Operationally Responsive Space Program Office.--
            (1) Establishment of office.--Section 2273a of title 10, United
        States Code, is amended to read as follows:

    ``Sec. 2273a. Operationally Responsive Space Program Office

        ``(a) Establishment.--The Secretary of Defense shall establish
    within the Department of Defense an office to be known as the
    Operationally Responsive Space Program Office (in this section referred
    to as the `Office').
        ``(b) Head of Office.--The head of the Office shall be--
            ``(1) the Department of Defense Executive Agent for Space; or
            ``(2) the designee of the Secretary of Defense, who shall
        report to the Department of Defense Executive Agent for Space.
        ``(c) Mission.--The mission of the Office shall be--
            ``(1) to contribute to the development of low-cost, rapid
        reaction payloads, busses, spacelift, and launch control
        capabilities in order to fulfill joint military operational
        requirements for on-demand space support and reconstitution; and
            ``(2) to coordinate and execute operationally responsive space
        efforts across the Department of Defense with respect to planning,
        acquisition, and operations.
        ``(d) Elements.--The Secretary of Defense shall select the elements
    of the Department of Defense to be included in the Office so as to
    contribute to the development of capabilities for operationally
    responsive space and to achieve a balanced representation of the
    military departments in the Office to ensure proper acknowledgment of
    joint considerations in the activities of the Office, except that the
    Office shall include the following:
            ``(1) A science and technology element that shall pursue
        innovative approaches to the development of capabilities for
        operationally responsive space through basic and applied research
        focused on (but not limited to) payloads, bus, and launch
        equipment.
            ``(2) An acquisition element that shall undertake the
        acquisition of systems necessary to integrate, sustain, and launch
        assets for operationally responsive space.
            ``(3) An operations element that shall--
                ``(A) sustain and maintain assets for operationally
            responsive space prior to launch;
                ``(B) integrate and launch such assets; and
                ``(C) operate such assets in orbit.
            ``(4) A combatant command support element that shall serve as
        the primary intermediary between the military departments and the
        combatant commands in order to--
                ``(A) ascertain the needs of the commanders of the
            combatant commands; and
                ``(B) integrate operationally responsive space capabilities
            into--
                    ``(i) operations plans of the combatant commands;
                    ``(ii) techniques, tactics, and procedures of the
                military departments; and
                    ``(iii) military exercises, demonstrations, and war
                games.
            ``(5) Such other elements as the Secretary of Defense may
        consider necessary.
        ``(e) Acquisition Authority.--The acquisition activities of the
    Office shall be subject to the following:
            ``(1) The Department of Defense Executive Agent for Space shall
        be the senior acquisition executive of the Office.
            ``(2) The Joint Capabilities Integration and Development System
        process shall not apply to acquisitions by the Office for
        operational experimentation.
            ``(3) The commander of the United States Strategic Command, or
        the designee of the commander, shall--
                ``(A) validate all system requirements for systems to be
            acquired by the Office; and
                ``(B) participate in the approval of any acquisition
            program initiated by the Office.
            ``(4) To the maximum extent practicable, the procurement unit
        cost of a launch vehicle procured by the Office for launch to low
        earth orbit should not exceed $20,000,000 (in constant dollars).
            ``(5) To the maximum extent practicable, the procurement unit
        cost of an integrated satellite procured by the Office should not
        exceed $40,000,000 (in constant dollars).
        ``(f) Required Program Element.--(1) The Secretary of Defense shall
    ensure that, within budget program elements for space programs of the
    Department of Defense, that--
            ``(A) there is a separate, dedicated program element for
        operationally responsive space;
            ``(B) to the extent applicable, relevant program elements
        should be consolidated into the program element required by
        subparagraph (A); and
            ``(C) the Office executes its responsibilities through this
        program element.
        ``(2) The Office shall manage the program element required by
    paragraph (1)(A).''.
            (2) Clerical amendment.--The item relating to that section in
        the table of sections at the beginning of chapter 135 of such title
        is amended to read as follows:

    ``2273a. Operationally Responsive Space Program Office.''.

        (c) Plan for Operationally Responsive Space.--
            (1) Plan required.--Not later than 120 days after the date of
        the enactment of this Act, the Secretary of Defense shall submit to
        the congressional defense committees a report setting forth a plan
        for the acquisition by the Department of Defense of capabilities
        for operationally responsive space to support military users and
        military operations.
            (2) Elements.--The plan required by paragraph (1) shall include
        the following:
                (A) An identification of the roles and missions of each
            military department, Defense Agency, and other component or
            element of the Department of Defense for the fulfillment of the
            mission of the Department with respect to operationally
            responsive space.
                (B) An identification of the capabilities required by the
            Department to fulfill such mission during the period covered by
            the current future-years defense program submitted to Congress
            pursuant to section 221 of title 10, United States Code, and an
            additional 10-year period.
                (C) A description of the chain of command and reporting
            structure of the Operationally Responsive Space Program Office
            established under section 2273a of title 10, United States
            Code, as amended by subsection (b).
                (D) A description of the classification of information
            required for the Operationally Responsive Space Program Office
            in order to ensure that the Office carries out its
            responsibilities under such section 2273a in a proper and
            efficient manner.
                (E) A description of the acquisition policies and
            procedures applicable to the Operationally Responsive Space
            Program Office, including a description of any legislative or
            administrative action necessary to provide the Office
            additional acquisition authority to carry out its
            responsibilities.
                (F) A schedule for the implementation of the plan and the
            establishment of the Operationally Responsive Space Program
            Office.
                (G) The funding and personnel required to implement the
            plan over the course of the current future-years defense
            program.
                (H) A description of any additional authorities and
            programmatic, organizational, or other changes necessary to
            ensure that the Operationally Responsive Space Program Office
            can successfully carry out its responsibilities.
        (d) Repeal of Superseded Law.--Section 913 of the National Defense
    Authorization Act for Fiscal Year 2006 (Public Law 109-163; 119 Stat.
    3408; 10 U.S.C. 2273a note) is repealed.
        SEC. 914. INDEPENDENT REVIEW AND ASSESSMENT OF DEPARTMENT OF
          DEFENSE ORGANIZATION AND MANAGEMENT FOR NATIONAL SECURITY IN
          SPACE.
        (a) Independent Review and Assessment Required.--The Secretary of
    Defense shall select an appropriate entity outside the Department of
    Defense to conduct an independent review and assessment of the
    organization and management of the Department of Defense for national
    security in space. In selecting the entity to conduct the review and
    assessment, the Secretary shall consult with the chairman and ranking
    minority member of the Committee on Armed Services of the Senate and
    the chairman and ranking minority member of the Committee on Armed
    Services of the House of Representatives.
        (b) Elements.--The review and assessment required by this section
    shall address the following:
            (1) The requirements of the Department of Defense for national
        security space capabilities, as identified by the Department, and
        the efforts of the Department to fulfill such requirements.
            (2) The actions that could be taken by the Department to modify
        the organization and management of the Department over the near-
        term, medium-term, and long-term in order to strengthen United
        States national security in space, and the ability of the
        Department to implement its requirements and carry out the future
        space missions, including the following:
                (A) Actions to improve or enhance current interagency
            coordination processes regarding the operation of national
            security space assets, including improvements or enhancements
            in interoperability and communications.
                (B) Actions to improve or enhance the relationship between
            the intelligence aspects of national security space (so-called
            ``black space'') and the non-intelligence aspects of national
            security space (so-called ``white space'').
                (C) Actions to improve or enhance the manner in which
            military space issues are addressed by professional military
            education institutions.
                (D) Actions to create a specialized career field for
            military space acquisition personnel, to include an emphasis on
            long-term assignments, that could help develop and maintain a
            professional space acquisition cadre with technical expertise
            and institutional knowledge.
        (c) Liaison.--The Secretary of Defense shall designate at least one
    senior civilian employee of the Department of Defense, and at least one
    general or flag officer, to serve as liaison between the Department,
    the Armed Forces, and the entity conducting the review and assessment
    under this section.
        (d) Report.--Not later than one year after the date of the
    enactment of this Act, the entity conducting the review and assessment
    under this section shall submit to the Secretary of Defense and the
    congressional defense committees a report containing--
            (1) the results of the review and assessment; and
            (2) recommendations on the best means by which the Department
        may improve its organization and management for national security
        in space.

                 Subtitle C--Chemical Demilitarization Program

        SEC. 921. SENSE OF CONGRESS ON COMPLETION OF DESTRUCTION OF UNITED
          STATES CHEMICAL WEAPONS STOCKPILE.
        (a) Findings.--Congress makes the following findings:
            (1) The Convention on the Prohibition of the Development,
        Production, Stockpiling and Use of Chemical Weapons and on Their
        Destruction, done at Paris on January 13, 1993 (commonly referred
        to as the ``Chemical Weapons Convention''), requires that
        destruction of the entire United States chemical weapons stockpile
        be completed by no later than the extended deadline of April 29,
        2012.
            (2) On April 10, 2006, the Department of Defense notified
        Congress that the United States would not meet even the extended
        deadline under the Chemical Weapons Convention for destruction of
        the United States chemical weapons stockpile.
            (3) Destroying existing chemical weapons is a homeland security
        imperative and an arms control priority and is required by United
        States law.
            (4) The elimination and nonproliferation of chemical weapons of
        mass destruction is of utmost importance to the national security
        of the United States.
        (b) Sense of Congress.--It is the sense of Congress that--
            (1) the United States is committed to making every effort to
        safely dispose of its entire chemical weapons stockpile by the
        Chemical Weapons Convention extended deadline of April 29, 2012, or
        as soon thereafter as possible, and will carry out all of its other
        obligations under that Convention;
            (2) to prevent further delays in completing the destruction of
        the United States chemical weapons stockpile, the Secretary of
        Defense should prepare a comprehensive schedule for the safe
        destruction of such stockpile and should annually submit that
        schedule (as currently in effect) to the congressional defense
        committees, either separately or as part of another required
        report, until such destruction is completed;
            (3) the Secretary of Defense should make every effort to ensure
        adequate funding to complete the elimination of the United States
        chemical weapons stockpile in the shortest time possible,
        consistent with the requirement to protect public health, safety,
        and the environment; and
            (4) when selecting a site for the treatment or disposal of
        neutralized chemical agent at a location remote from the location
        where the agent is stored, the Secretary of Defense should propose
        a credible process that seeks to gain the support of affected
        communities.
        SEC. 922. COMPTROLLER GENERAL REVIEW OF COST-BENEFIT ANALYSIS OF
          OFF-SITE VERSUS ON-SITE TREATMENT AND DISPOSAL OF HYDROLYSATE
          DERIVED FROM NEUTRALIZATION OF VX NERVE GAS AT NEWPORT CHEMICAL
          DEPOT, INDIANA.
        (a) Review Required.--Not later than December 1, 2006, the
    Comptroller General shall submit to Congress a report containing a
    review of the cost-benefit analysis prepared by the Secretary of the
    Army entitled ``Cost-Benefit Analysis of Off-Site Versus On-Site
    Treatment and Disposal of Newport Caustic Hydrolysate'' and dated April
    24, 2006.
        (b) Content of Review.--In conducting the review under subsection
    (a), the Comptroller General shall consider and assess at a minimum the
    following matters:
            (1) The adequacy of the rationale contained in the cost-benefit
        analysis referred to in subsection (a) in dismissing five of the
        eight technologies for hydrolysate treatment directed for
        consideration on page 116 of the Report of the Committee on Armed
        Services of the House of Representatives on H.R. 1815 (House Report
        109-89).
            (2) The rationale for the failure of the Secretary of the Army
        to consider other technical solutions, such as constructing a
        wastewater disposal system at the Newport Chemical Depot.
            (3) The adequacy of the cost-benefit analysis presented for the
        three technologies considered.
        (c) Limitation on Transport Pending Report.--The Secretary of the
    Army may not transport neutralized bulk nerve agent (other than those
    small quantities necessary for laboratory evaluation of the disposal
    process) from the Newport Chemical Depot to the State of New Jersey
    until the earlier of--
            (1) the end of the 60-day period beginning on the date on which
        the report required by subsection (a) is submitted; or
            (2) February 1, 2007.
        SEC. 923. INCENTIVES CLAUSES IN CHEMICAL DEMILITARIZATION
          CONTRACTS.
        (a) In General.--
            (1) Authority to include clauses in contracts.--The Secretary
        of Defense may, for the purpose specified in paragraph (2),
        authorize the inclusion of an incentives clause in any contract for
        the destruction of the United States stockpile of lethal chemical
        agents and munitions carried out pursuant to section 1412 of the
        Department of Defense Authorization Act, 1986 (50 U.S.C. 1521).
            (2) Purpose.--The purpose of a clause referred to in paragraph
        (1) is to provide the contractor for a chemical demilitarization
        facility an incentive to accelerate the safe elimination of the
        United States chemical weapons stockpile and to reduce the total
        cost of the Chemical Demilitarization Program by providing
        incentive payments for the early completion of destruction
        operations and the closure of such facility.
        (b) Incentives Clauses.--
            (1) In general.--An incentives clause under this section shall
        permit the contractor for the chemical demilitarization facility
        concerned the opportunity to earn incentive payments for the
        completion of destruction operations and facility closure
        activities within target incentive ranges specified in such clause.
            (2) Limitation on incentive payments.--The maximum incentive
        payment under an incentives clause with respect to a chemical
        demilitarization facility may not exceed amounts as follows:
                (A) In the case of an incentive payment for the completion
            of destruction operations within the target incentive range
            specified in such clause, $110,000,000.
                (B) In the case of an incentive payment for the completion
            of facility closure activities within the target incentive
            range specified in such clause, $55,000,000.
            (3) Target ranges.--An incentives clause in a contract under
        this section shall specify the target incentive ranges of costs for
        completion of destruction operations and facility closure
        activities, respectively, as jointly agreed upon by the contracting
        officer and the contractor concerned. An incentives clause shall
        require a proportionate reduction in the maximum incentive payment
        amounts in the event that the contractor exceeds an agreed-upon
        target cost if such excess costs are the responsibility of the
        contractor.
            (4) Calculation of incentive payments.--The amount of the
        incentive payment earned by a contractor for a chemical
        demilitarization facility under an incentives clause under this
        section shall be based upon a determination by the Secretary on how
        early in the target incentive range specified in such clause
        destruction operations or facility closure activities, as the case
        may be, are completed.
            (5) Consistency with existing obligations.--The provisions of
        any incentives clause under this section shall be consistent with
        the obligation of the Secretary of Defense under section
        1412(c)(1)(A) of the Department of Defense Authorization Act, 1986,
        to provide for maximum protection for the environment, the general
        public, and the personnel who are involved in the destruction of
        the lethal chemical agents and munitions.
            (6) Additional terms and conditions.--In negotiating the
        inclusion of an incentives clause in a contract under this section,
        the Secretary may include in such clause such additional terms and
        conditions as the Secretary considers appropriate.
        (c) Additional Limitation on Payments.--
            (1) Payment conditional on performance.--No payment may be made
        under an incentives clause under this section unless the Secretary
        determines that the contractor concerned has satisfactorily
        performed its duties under such incentives clause.
            (2) Payment contingent on appropriations.--An incentives clause
        under this section shall specify that the obligation of the
        Government to make payment under such incentives clause is subject
        to the availability of appropriations for that purpose. Amounts
        appropriated for Chemical Agents and Munitions Destruction,
        Defense, shall be available for payments under incentives clauses
        under this section.
        SEC. 924. CHEMICAL DEMILITARIZATION PROGRAM CONTRACTING AUTHORITY.
        (a) Multiyear Contracting Authority.--The Secretary of Defense may
    carry out responsibilities under section 1412(a) of the Department of
    Defense Authorization Act, 1986 (50 U.S.C. 1521(a)) through multiyear
    contracts entered into before the date of the enactment of this Act.
        (b) Availability of Funds.--Contracts entered into under subsection
    (a) shall be funded through annual appropriations for the destruction
    of chemical agents and munitions.

                    Subtitle D--Intelligence-Related Matters

        SEC. 931. FOUR-YEAR EXTENSION OF AUTHORITY OF SECRETARY OF DEFENSE
          TO ENGAGE IN COMMERCIAL ACTIVITIES AS SECURITY FOR INTELLIGENCE
          COLLECTION ACTIVITIES.
        Section 431(a) of title 10, United States Code, is amended by
    striking ``December 31, 2006'' and inserting ``December 31, 2010''.
        SEC. 932. ANNUAL REPORTS ON INTELLIGENCE OVERSIGHT ACTIVITIES OF
          THE DEPARTMENT OF DEFENSE.
        (a) In General.--Subchapter I of chapter 21 of title 10, United
    States Code, is amended by adding at the end the following new section:

    ``Sec. 427. Intelligence oversight activities of Department of Defense:
                annual reports

        ``(a) Annual Reports Required.--(1) Not later than March 1 of each
    year, the Secretary of Defense shall submit--
            ``(A) to the congressional committees specified in subparagraph
        (A) of paragraph (2) a report on the intelligence oversight
        activities of the Department of Defense during the previous
        calendar year insofar as such oversight activities relate to
        tactical intelligence and intelligence-related activities of the
        Department; and
            ``(B) to the congressional committees specified in subparagraph
        (B) of paragraph (2) a report on the intelligence oversight
        activities of the Department of Defense during the previous
        calendar year insofar as such oversight activities relate to
        intelligence and intelligence-related activities of the Department
        other than those specified in subparagraph (A).
        ``(2)(A) The committees specified in this subparagraph are the
    following:
            ``(i) The Committee on Armed Services and the Committee on
        Appropriations of the Senate.
            ``(ii) The Permanent Select Committee on Intelligence, the
        Committee on Armed Services, and the Committee on Appropriations of
        the House of Representatives.
        ``(B) The committees specified in this subparagraph are the
    following:
            ``(i) The Select Committee on Intelligence, the Committee on
        Armed Services, and the Committee on Appropriations of the Senate.
            ``(ii) The Permanent Select Committee on Intelligence and the
        Committee on Appropriations of the House of Representatives.
        ``(b) Elements.--Each report under subsection (a) shall include,
    for the calendar year covered by such report and with respect to
    oversight activities subject to coverage in that report, the following:
            ``(1) A description of any violation of law or of any Executive
        order or Presidential directive (including Executive Order No.
        12333) that comes to the attention of any General Counsel or
        Inspector General within the Department of Defense, or the Under
        Secretary of Defense for Intelligence, and a description of the
        actions taken by such official with respect to such activity.
            ``(2) A description of the results of intelligence oversight
        inspections undertaken by each of the following:
                ``(A) The Office of the Secretary of Defense.
                ``(B) Each military department.
                ``(C) Each combat support agency.
                ``(D) Each field operating agency.
            ``(3) A description of any changes made in any program for the
        intelligence oversight activities of the Department of Defense,
        including any training program.
            ``(4) A description of any changes made in any published
        directive or policy memoranda on the intelligence or intelligence-
        related activities of--
                ``(A) any military department;
                ``(B) any combat support agency; or
                ``(C) any field operating agency.
        ``(c) Definitions.--In this section:
            ``(1) The term `intelligence oversight activities of the
        Department of Defense' refers to any activity undertaken by an
        agency, element, or component of the Department of Defense to
        ensure compliance with regard to requirements or instructions on
        the intelligence and intelligence-related activities of the
        Department under law or any Executive order or Presidential
        directive (including Executive Order No. 12333).
            ``(2) The term `combat support agency' has the meaning given
        that term in section 193(f) of this title.
            ``(3) The term `field operating agency' means a specialized
        subdivision of the Department of Defense that carries out
        activities under the operational control of the Department.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such subchapter is amended by adding at the end the following new item:

    ``427. Intelligence oversight activities of Department of Defense:
              annual reports.''.
        SEC. 933. COLLECTION BY NATIONAL SECURITY AGENCY OF SERVICE CHARGES
          FOR CERTIFICATION OR VALIDATION OF INFORMATION ASSURANCE
          PRODUCTS.
        The National Security Agency Act of 1959 (50 U.S.C. 402 note) is
    amended by adding at the end the following new section:
        ``Sec. 20. (a) The Director may collect charges for evaluating,
    certifying, or validating information assurance products under the
    National Information Assurance Program or successor program.
        ``(b) The charges collected under subsection (a) shall be
    established through a public rulemaking process in accordance with
    Office of Management and Budget Circular No. A-25.
        ``(c) Charges collected under subsection (a) shall not exceed the
    direct costs of the program referred to in that subsection.
        ``(d) The appropriation or fund bearing the cost of the service for
    which charges are collected under the program referred to in subsection
    (a) may be reimbursed, or the Director may require advance payment
    subject to such adjustment on completion of the work as may be agreed
    upon.
        ``(e) Amounts collected under this section shall be credited to the
    account or accounts from which costs associated with such amounts have
    been or will be incurred, to reimburse or offset the direct costs of
    the program referred to in subsection (a).''.

                           Subtitle E--Other Matters

        SEC. 941. DEPARTMENT OF DEFENSE POLICY ON UNMANNED SYSTEMS.
        (a) Policy Required.--The Secretary of Defense shall develop a
    policy, to be applicable throughout the Department of Defense, on
    research, development, test and evaluation, procurement, and operation
    of unmanned systems.
        (b) Elements.--The policy required by subsection (a) shall include
    or address the following:
            (1) An identification of missions and mission requirements,
        including mission requirements for the military departments and
        joint mission requirements, for which unmanned systems may replace
        manned systems.
            (2) A preference for unmanned systems in acquisition programs
        for new systems, including a requirement under any such program for
        the development of a manned system for a certification that an
        unmanned system is incapable of meeting program requirements.
            (3) An assessment of the circumstances under which it would be
        appropriate to pursue joint development and procurement of unmanned
        systems and components of unmanned systems.
            (4) The transition of unmanned systems unique to one military
        department to joint systems, when appropriate.
            (5) An organizational structure for effective management,
        coordination, and budgeting for the development and procurement of
        unmanned systems, including an assessment of the feasibility and
        advisability of designating a single department or other element of
        the Department of Defense to act as executive agent for the
        Department on unmanned systems.
            (6) The integration of unmanned and manned systems to enhance
        support of the missions identified in paragraph (1).
            (7) Such other matters that the Secretary of Defense considers
        to be appropriate.
        (c) Consultation.--The Secretary of Defense shall develop the
    policy required by subsection (a) in consultation with the Chairman of
    the Joint Chiefs of Staff.
        (d) Report.--Not later than 120 days after the date of the
    enactment of this Act, the Secretary shall submit to the congressional
    defense committees a report containing--
            (1) the policy required by subsection (a); and
            (2) an implementation plan for the policy that includes--
                (A) a strategy and schedules for the replacement of manned
            systems with unmanned systems in the performance of the
            missions identified in the policy pursuant to subsection
            (b)(1);
                (B) establishment of programs to address technical,
            operational, and production challenges, and gaps in
            capabilities, with respect to unmanned systems; and
                (C) an assessment of progress towards meeting the goals
            identified for the subset of unmanned air and ground systems
            established in section 220 of the Floyd D. Spence National
            Defense Authorization Act for Fiscal Year 2001 (as enacted into
            law by Public Law 106-398; 114 Stat. 1654A-38).
        (e) Unmanned Systems Defined.--In this section, the term ``unmanned
    systems'' consists of unmanned aerial systems, unmanned ground systems,
    and unmanned maritime systems.
        SEC. 942. EXECUTIVE SCHEDULE LEVEL IV FOR DEPUTY UNDER SECRETARY OF
          DEFENSE FOR LOGISTICS AND MATERIEL READINESS.
        (a) Executive Schedule Level IV.--Section 5315 of title 5, United
    States Code, is amended by inserting after the item relating to the
    Deputy Under Secretary of Defense for Personnel and Readiness the
    following new item:
            ``Deputy Under Secretary of Defense for Logistics and Materiel
        Readiness.''.
        (b) Conforming Amendment.--Section 5314 of title 5, United States
    Code, is amended by striking the item relating to the Deputy Under
    Secretary of Defense for Logistics and Materiel Readiness.
        (c) Effective Date.--The amendments made by this section shall take
    effect on the date of the enactment of this Act, and shall apply with
    respect to individuals appointed as Deputy Under Secretary of Defense
    for Logistics and Materiel Readiness on or after that date.
        SEC. 943. STUDY AND REPORT ON REFORM OF DEFENSE TRAVEL SYSTEM.
        (a) Independent Study of System.--
            (1) Study required.--Not later than 180 days after the date of
        the enactment of this Act, the Secretary of Defense shall submit to
        the congressional defense committees the results and
        recommendations of an independent study of the Defense Travel
        System conducted to determine the most cost-effect method of
        meeting Department of Defense travel requirements. The study shall
        be conducted by an entity outside the Department of Defense.
            (2) Elements of study.--At a minimum, the study required by
        this subsection shall address the following:
                (A) The feasibility of separating the financial
            infrastructure of the Defense Travel System, including voucher
            processing, accounting, disbursing, debt collection, management
            accountability, and archival functions, from the travel
            reservation process.
                (B) The feasibility of converting the travel reservation
            process to a fee-for-services system or authorizing the use of
            multiple travel reservation processes, all of which processes
            would use the financial infrastructure of the Defense Travel
            System.
                (C) The feasibility of making the use of the financial
            infrastructure of the Defense Travel System mandatory for all
            Department of Defense travel transactions.
        (b) Implementation Plans.--Not later than 60 days after the
    Secretary of Defense receives the independent study required by
    subsection (a), the Secretary shall submit to the congressional defense
    committees a report describing the actions, if any, that the Secretary
    intends to take to implement the recommendations contained in the
    study. If the Secretary does not intend to implement any of the
    recommendations, the Secretary shall explain the basis for this
    decision.
        (c) Conditions on New Contract or Expenditures for Defense Travel
    System.--Except to continue operations to provide current services and
    to perform the functions described in paragraphs (1) through (3), the
    Secretary of Defense may not initiate a new contract for the Defense
    Travel System or expend funds for the Defense Travel System until each
    of the following occurs:
            (1) The Secretary submits the report required by subsection
        (b).
            (2) The Secretary develops firm, fixed requirements for the
        Defense Travel System.
            (3) The Secretary develops a schedule to phase out the legacy
        travel systems made redundant by implementation of the Defense
        Travel System.
        SEC. 944. ADMINISTRATION OF PILOT PROJECT ON CIVILIAN LINGUIST
          RESERVE CORPS.
        (a) Transfer of Administration to Secretary of Defense.--
            (1) In general.--Administration of the pilot project on the
        establishment of a Civilian Linguist Reserve Corps required by
        section 613 of the Intelligence Authorization Act for Fiscal Year
        2005 (Public Law 108-487; 118 Stat. 3959; 50 U.S.C. 403-1b note) is
        hereby transferred from the Director of National Intelligence to
        the Secretary of Defense.
            (2) Conforming amendments.--Section 613 of the Intelligence
        Authorization Act for Fiscal Year 2005 is amended--
                (A) by striking ``Director of National Intelligence'' each
            place it appears and inserting ``Secretary of Defense''; and
                (B) by striking ``Director'' each place it appears and
            inserting ``Secretary''.
        (b) Coordination With Director of National Intelligence in
    Administration.--Subsection (a) of such section is further amended--
            (1) by inserting ``(1)'' after ``Pilot Project.--''; and
            (2) by adding at the end the following new paragraph:
        ``(2) The Secretary shall conduct the pilot project in coordination
    with the Director of National Intelligence.''.
        (c) Discharge of Project Through National Security Education
    Program.--Subsection (a) of such section is further amended by adding
    at the end the following new paragraph:
        ``(3) The Secretary shall conduct the pilot project through the
    National Security Education Program.''.
        (d) Duration of Project.--Subsection (c) of such section is amended
    by striking ``three-year period'' and inserting ``five-year period''.
        (e) Repeal of Superseded Authorization.--Such section is further
    amended by striking subsection (f).
        SEC. 945. IMPROVEMENT OF AUTHORITIES ON THE NATIONAL SECURITY
          EDUCATION PROGRAM.
        (a) Expansion of Employment Creditable Under Service Agreements.--
    Paragraph (2) of subsection (b) of section 802 of the David L. Boren
    National Security Education Act of 1991 (50 U.S.C. 1902) is amended to
    read as follows:
            ``(2)(A) will (in accordance with regulations prescribed by the
        Secretary of Defense in coordination with the heads of the other
        Federal departments and agencies concerned) begin work not later
        than three years after the recipient's completion of degree study
        during which scholarship assistance was provided under the
        program--
                    ``(i) for not less than one year in a position
                certified by the Secretary of Defense, in coordination with
                the Director of National Intelligence, the Secretary of
                Homeland Security, and the Secretary of State (as
                appropriate), as contributing to the national security of
                the United States in the Department of Defense, any element
                of the intelligence community, the Department of Homeland
                Security, or the Department of State; or
                    ``(ii) for not less than one year in a position in a
                Federal agency or office that is identified by the
                Secretary of Defense under subsection (g) as having
                national security responsibilities if the recipient
                demonstrates to the Secretary that no position is available
                in the departments and agencies covered by clause (i); or
                ``(B) will (in accordance with such regulations) begin work
            not later than two years after the recipient's completion or
            termination of study for which fellowship assistance was
            provided under the program--
                    ``(i) for not less than one year in a position
                certified by the Secretary of Defense, in coordination with
                the Director of National Intelligence, the Secretary of
                Homeland Security, and the Secretary of State (as
                appropriate), as contributing to the national security of
                the United States in the Department of Defense, any element
                of the intelligence community, the Department of Homeland
                Security, or the Department of State; or
                    ``(ii) for not less than one year in a position in a
                Federal agency or office that is identified by the
                Secretary of Defense under subsection (g) as having
                national security responsibilities if the recipient
                demonstrates to the Secretary that no position is available
                in the departments and agencies covered by clause (i);
                and''.
        (b) Temporary Employment and Retention of Certain Participants.--
    Such section is further amended--
            (1) by redesignating subsections (h) and (i) as subsections (i)
        and (j), respectively; and
            (2) by inserting after subsection (g) the following new
        subsection (h):
        ``(h) Temporary Employment and Retention of Certain Participants.--
            ``(1) In general.--The Secretary of Defense may--
                ``(A) appoint or retain a person provided scholarship or
            fellowship assistance under the program in a position in the
            Department of Defense on an interim basis during the period of
            the person's pursuit of a degree under the program and for a
            period not to exceed two years after completion of the degree,
            but only if, in the case of the period after completion of the
            degree, there is an active investigation to provide security
            clearance to the person for an appropriate permanent position
            in the Department of Defense under subsection (b)(2); and
                ``(B) if there is no appropriate permanent position
            available for the person after the end of the periods described
            in subparagraph (A), separate the person from employment with
            the Department without regard to any other provision of law, in
            which event the service agreement of the person under
            subsection (b) shall terminate.
            ``(2) Treatment of certain service.--The period of service of a
        person covered by paragraph (1) in a position on an interim basis
        under that paragraph shall, after completion of the degree, be
        treated as a period of service for purposes of satisfying the
        obligated service requirements of the person under the service
        agreement of the person under subsection (b).''.
        (c) Plan for Improving Program.--Not later than 90 days after the
    date of the enactment of this Act, the Secretary of Defense shall
    submit to Congress a plan for improving the recruitment, placement, and
    retention within the Department of Defense of individuals who receive
    scholarships or fellowships under the David L. Boren National Security
    Education Act of 1991 (50 U.S.C. 1901 et seq.) in order to facilitate
    the purposes of that Act in meeting the requirements of the Department
    in acquiring individuals with critical foreign language skills and
    individuals who are regional experts.
        SEC. 946. REPORT ON THE POSTURE OF UNITED STATES SPECIAL OPERATIONS
          COMMAND TO CONDUCT THE GLOBAL WAR ON TERRORISM.
        (a) Findings.--Congress makes the following findings:
            (1) The 2006 Quadrennial Defense Review recommends an increase
        in the size of the United States Special Operations Command as a
        fundamental part of the efforts of the Department of Defense to
        fight the global war on terrorism.
            (2) Special operations forces conducting all nine of their
        statutory activities, as specified in section 167(j) of title 10,
        United States Code, play a crucial role in the global war on
        terrorism, and the Department of Defense should take a balanced
        approach to the expansion of the force structure of that command to
        provide additional capability in both the active and reserve
        components.
            (3) Special operations forces are engaged in operations across
        the globe and in extreme and varied operational environments which
        require specialized training to successfully operate in those
        environments.
            (4) Due to the global and long-term nature of the global war on
        terrorism, the Secretary of Defense should assess whether the
        United States Special Operations Command has the appropriate force
        structure and training focus required for successful operations in
        the global war on terrorism.
        (b) Report on Posture of SOCOM to Conduct the Global War on
    Terrorism.--Not later than six months after the date of the enactment
    of this Act, the Secretary of Defense shall submit to the congressional
    defense committees a report assessing the posture of the United States
    Special Operations Command to conduct the global war on terrorism. The
    Secretary shall include in the report the following:
            (1) The Secretary's assessment of whether the United States
        Special Operations Command is appropriately manned, resourced, and
        equipped to successfully meet the long-term requirements of the
        global war on terrorism.
            (2) The Secretary's assessment whether the expansion of that
        command as recommended in the 2006 Quadrennial Defense Review
        provides an appropriate balance between active and reserve
        component capabilities.
            (3) The Secretary's assessment of whether United States Special
        Operations Command has sufficient Army Special Forces to meet the
        2006 Quadrennial Defense Review objective of building allied and
        partner nation capacity through security assistance and other
        training missions such as the Joint Combined Exchange Training
        program.
            (4) A detailed statement of the efforts of the commander of the
        United States Special Operations Command to provide special
        operations forces personnel with specialized environmental training
        in preparation for operations across the globe and in extreme and
        varied operational environments such as mountain, jungle, or desert
        environments.

                          TITLE X--GENERAL PROVISIONS

                          Subtitle A--Financial Matters

    Sec. 1001. General transfer authority.
    Sec. 1002. Authorization of additional emergency supplemental
              appropriations for fiscal year 2006.
    Sec. 1003. Reduction in certain authorizations due to savings relating
              to lower inflation.
    Sec. 1004. Increase in fiscal year 2006 general transfer authority.
    Sec. 1005. United States contribution to NATO common-funded budgets in
              fiscal year 2007.
    Sec. 1006. Report on budgeting for fluctuations in fuel cost rates.
    Sec. 1007. Modification of date of submittal of OMB/CBO report on
              scoring of outlays.
    Sec. 1008. Budgeting for ongoing military operations in Afghanistan and
              Iraq.

              Subtitle B--Policy Relating to Vessels and Shipyards

    Sec. 1011. Aircraft carrier force structure.
    Sec. 1012. Sense of Congress on naming the CVN-78 aircraft carrier as
              the U.S.S. Gerald R. Ford.
    Sec. 1013. Transfer of naval vessels to foreign nations based upon
              vessel class.
    Sec. 1014. Overhaul, repair, and maintenance of vessels in foreign
              shipyards.
    Sec. 1015. Report on options for future lease arrangement for Guam
              Shipyard.
    Sec. 1016. Assessments of naval vessel construction efficiencies and of
              effectiveness of special contractor incentives.
    Sec. 1017. Obtaining carriage by vessel: criterion regarding overhaul,
              repair, and maintenance of vessels in the United States.
    Sec. 1018. Riding gang member requirements.
    Sec. 1019. Authority to transfer SS Arthur M. Huddell to the Government
              of Greece.

                       Subtitle C--Counter-Drug Activities

    Sec. 1021. Extension of authority of Department of Defense to provide
              additional support for counterdrug activities of other
              governmental agencies.
    Sec. 1022. Extension and expansion of Department of Defense authority to
              provide support for counter-drug activities of certain foreign
              governments.
    Sec. 1023. Extension of authority to support unified counterdrug and
              counterterrorism campaign in Colombia.
    Sec. 1024. Continuation of reporting requirement regarding Department of
              Defense expenditures to support foreign counterdrug
              activities.
    Sec. 1025. Report on interagency counter-narcotics plan for Afghanistan
              and South and Central Asian regions.
    Sec. 1026. Report on United States support for Operation Bahamas, Turks
              & Caicos.

             Subtitle D--Force Structure and Defense Policy Matters

    Sec. 1031. Improvements to Quadrennial Defense Review.
    Sec. 1032. Quarterly reports on implementation of 2006 Quadrennial
              Defense Review Report.
    Sec. 1033. Report on feasibility of establishing a regional combatant
              command for Africa.
    Sec. 1034. Determination of Department of Defense intratheater and
              intertheater airlift requirements and sealift mobility
              requirements.
    Sec. 1035. Presidential report on improving interagency support for
              United States 21st century national security missions and
              interagency operations in support of stability, security,
              transition, and reconstruction operations.

                               Subtitle E--Reports

    Sec. 1041. Additional element in annual report on chemical and
              biological warfare defense.
    Sec. 1042. Report on biodefense human capital requirements in support of
              biosafety laboratories.
    Sec. 1043. Report on technologies for neutralizing or defeating threats
              to military rotary-wing aircraft from portable air defense
              systems and rocket-propelled grenades.
    Sec. 1044. Reports on expanded use of unmanned aerial vehicles in the
              National Airspace System.
    Sec. 1045. Report on incentives to encourage certain members and former
              members of the Armed Forces to serve in the Bureau of Customs
              and Border Protection.
    Sec. 1046. Repeal of certain report requirements.
    Sec. 1047. Requirement for identification of recently enacted recurring
              reporting requirements applicable to the Department of
              Defense.

     Subtitle F--Miscellaneous Authorities and Limitations on Availability
                                and Use of Funds

    Sec. 1051. Acceptance and retention of reimbursement from non-Federal
              sources to defray Department of Defense costs of conferences.
    Sec. 1052. Increased flexibility in use of funds for Joint Staff
              exercises.
    Sec. 1053. Prohibition on parking of funds.
    Sec. 1054. Modification of authorities relating to the Special Inspector
              General for Iraq Reconstruction.

                     Subtitle G--Matters Involving Detainees

    Sec. 1061. Provision of information to Congress on certain criminal
              investigations and prosecutions involving detainees.

                            Subtitle H--Other Matters

    Sec. 1071. Technical and clerical amendments.
    Sec. 1072. Revision to authorities relating to Commission on the
              Implementation of the New Strategic Posture of the United
              States.
    Sec. 1073. Revised deadline for submission of final report of EMP
              Commission.
    Sec. 1074. Extension of returning worker exemption to H-2B numerical
              limitation.
    Sec. 1075. Patent term extensions for the badges of the American Legion,
              the American Legion Women's Auxiliary, and the Sons of the
              American Legion.
    Sec. 1076. Use of the Armed Forces in major public emergencies.
    Sec. 1077. Increased hunting and fishing opportunities for members of
              the Armed Forces, retired members, and disabled veterans.

                         Subtitle A--Financial Matters

    SEC. 1001. GENERAL TRANSFER AUTHORITY.
        (a) Authority to Transfer Authorizations.--
            (1) Authority.--Upon determination by the Secretary of Defense
        that such action is necessary in the national interest, the
        Secretary may transfer amounts of authorizations made available to
        the Department of Defense in this division for fiscal year 2007
        between any such authorizations for that fiscal year (or any
        subdivisions thereof). Amounts of authorizations so transferred
        shall be merged with and be available for the same purposes as the
        authorization to which transferred.
            (2) Limitation.--The total amount of authorizations that the
        Secretary may transfer under the authority of this section may not
        exceed $4,500,000,000.
        (b) Limitations.--The authority provided by this section to
    transfer authorizations--
            (1) may only be used to provide authority for items that have a
        higher priority than the items from which authority is transferred;
        and
            (2) may not be used to provide authority for an item that has
        been denied authorization by Congress.
        (c) Effect on Authorization Amounts.--A transfer made from one
    account to another under the authority of this section shall be deemed
    to increase the amount authorized for the account to which the amount
    is transferred by an amount equal to the amount transferred.
        (d) Notice to Congress.--The Secretary shall promptly notify
    Congress of each transfer made under subsection (a).
    SEC. 1002. AUTHORIZATION OF ADDITIONAL EMERGENCY SUPPLEMENTAL
    APPROPRIATIONS FOR FISCAL YEAR 2006.
        (a) Iraq, Afghanistan, and the Global War on Terror.--Amounts
    authorized to be appropriated to the Department of Defense for fiscal
    year 2006 in the National Defense Authorization Act for Fiscal Year
    2006 (Public Law 109-163) are hereby adjusted, with respect to any such
    authorized amount, by the amount by which appropriations pursuant to
    such authorization are increased by a supplemental appropriation, or
    decreased by a rescission, or both, or are increased by a transfer of
    funds, pursuant to title I of the Emergency Supplemental Appropriations
    Act for Defense, the Global War on Terror, and Hurricane Recovery, 2006
    (Public Law 109-234).
        (b) Hurricane Disaster Relief and Recovery.--Amounts authorized to
    be appropriated to the Department of Defense for fiscal year 2006 in
    the National Defense Authorization Act for Fiscal Year 2006 are hereby
    adjusted, with respect to any such authorized amount, by the amount by
    which appropriations pursuant to such authorization are increased by a
    supplemental appropriation, or decreased by a rescission, or both, or
    are increased by a transfer of funds, pursuant to title II of the
    Emergency Supplemental Appropriations Act for Defense, the Global War
    on Terror, and Hurricane Recovery, 2006.
        (c) Border Security.--Amounts authorized to be appropriated to the
    Department of Defense for fiscal year 2006 in the National Defense
    Authorization Act for Fiscal Year 2006 are hereby adjusted, with
    respect to any such authorized amount, by the amount by which
    appropriations pursuant to such authorization are increased by a
    supplemental appropriation, or decreased by a rescission, or both, or
    are increased by a transfer of funds, pursuant to title V of the
    Emergency Supplemental Appropriations Act for Defense, the Global War
    on Terror, and Hurricane Recovery, 2006.
    SEC. 1003. REDUCTION IN CERTAIN AUTHORIZATIONS DUE TO SAVINGS RELATING
    TO LOWER INFLATION.
        (a) Reduction.--The aggregate amount authorized to be appropriated
    by titles I, II, and III is the amount equal to the sum of all the
    amounts authorized to be appropriated by such titles reduced by
    $757,051,000.
        (b) Source of Savings.--Reductions required in order to comply with
    subsection (a) shall be derived from savings resulting from lower-than-
    expected inflation as a result of a review of the inflation assumptions
    used in the preparation of the budget of the President for fiscal year
    2007, as submitted to Congress pursuant to section 1005 of title 31,
    United States Code.
        (c) Allocation of Reduction.--The Secretary of Defense shall
    allocate the reduction required by subsection (a) among the amounts
    authorized to be appropriated for accounts in titles I, II, and III to
    reflect the extent to which net savings from lower-than-expected
    inflation are allocable to amounts authorized to be appropriated to
    such accounts.
    SEC. 1004. INCREASE IN FISCAL YEAR 2006 GENERAL TRANSFER AUTHORITY.
        Section 1001(a)(2) of the National Defense Authorization Act for
    Fiscal Year 2006 (Public Law 109-163; 119 Stat. 3418) is amended by
    striking ``$3,500,000,000'' and inserting ``$5,000,000,000''.
    SEC. 1005. UNITED STATES CONTRIBUTION TO NATO COMMON-FUNDED BUDGETS IN
    FISCAL YEAR 2007.
        (a) Fiscal Year 2007 Limitation.--The total amount contributed by
    the Secretary of Defense in fiscal year 2007 for the common-funded
    budgets of NATO may be any amount up to, but not in excess of, the
    amount specified in subsection (b) (rather than the maximum amount that
    would otherwise be applicable to those contributions under the fiscal
    year 1998 baseline limitation).
        (b) Total Amount.--The amount of the limitation applicable under
    subsection (a) is the sum of the following:
            (1) The amounts of unexpended balances, as of the end of fiscal
        year 2006, of funds appropriated for fiscal years before fiscal
        year 2007 for payments for those budgets.
            (2) The amount specified in subsection (c)(1).
            (3) The amount specified in subsection (c)(2).
            (4) The total amount of the contributions authorized to be made
        under section 2501.
        (c) Authorized Amounts.--Amounts authorized to be appropriated by
    titles II and III of this Act are available for contributions for the
    common-funded budgets of NATO as follows:
            (1) Of the amount provided in section 201(1), $797,000 for the
        Civil Budget.
            (2) Of the amount provided in section 301(1), $310,277,000 for
        the Military Budget.
        (d) Definitions.--For purposes of this section:
            (1) Common-funded budgets of nato.--The term ``common-funded
        budgets of NATO'' means the Military Budget, the Security
        Investment Program, and the Civil Budget of the North Atlantic
        Treaty Organization (and any successor or additional account or
        program of NATO).
            (2) Fiscal year 1998 baseline limitation.--The term ``fiscal
        year 1998 baseline limitation'' means the maximum annual amount of
        Department of Defense contributions for common-funded budgets of
        NATO that is set forth as the annual limitation in section
        3(2)(C)(ii) of the resolution of the Senate giving the advice and
        consent of the Senate to the ratification of the Protocols to the
        North Atlantic Treaty of 1949 on the Accession of Poland, Hungary,
        and the Czech Republic (as defined in section 4(7) of that
        resolution), approved by the Senate on April 30, 1998.
    SEC. 1006. REPORT ON BUDGETING FOR FLUCTUATIONS IN FUEL COST RATES.
        (a) Secretary of Defense Report.--
            (1) Report on budgeting for fuel cost fluctuations.--Not later
        than February 15, 2007, the Secretary of Defense shall submit to
        the Committee on Armed Services of the Senate and the Committee on
        Armed Services of the House of Representatives a report on the fuel
        rate and cost projection used in the annual Department of Defense
        budget presentation.
            (2) Matters to be included.--In the report under paragraph (1),
        the Secretary shall--
                (A) identify alternative approaches for selecting fuel
            rates that would produce more realistic estimates of amounts
            required to be appropriated or otherwise made available for the
            Department of Defense to accommodate fuel rate fluctuations;
                (B) discuss the advantages and disadvantages of each
            approach identified pursuant to subparagraph (A); and
                (C) identify the Secretary's preferred approach among the
            alternative identified pursuant to subparagraph (A) and provide
            the Secretary's rationale for preferring that approach.
            (3) Identification of alternative approaches.--In identifying
        alternative approaches pursuant to paragraph (2)(A), the Secretary
        shall examine--
                (A) approaches used by other Federal departments and
            agencies; and
                (B) the feasibility of using private economic forecasting.
        (b) Comptroller General Review and Report.--The Comptroller General
    shall review the report under subsection (a), including the basis for
    the Secretary's conclusions stated in the report, and shall submit, not
    later than March 15, 2007, to the Committee on Armed Services of the
    Senate and the Committee on Armed Services of the House of
    Representatives a report containing the results of that review.
    SEC. 1007. MODIFICATION OF DATE OF SUBMITTAL OF OMB/CBO REPORT ON
    SCORING OF OUTLAYS.
        Section 226(a) of title 10, United States Code, is amended by
    striking ``January 15 of each year'' and inserting ``April 1 of each
    year''.
    SEC. 1008. BUDGETING FOR ONGOING MILITARY OPERATIONS IN AFGHANISTAN AND
    IRAQ.
        The President's budget submitted to Congress pursuant to section
    1105(a) of title 31, United States Code, for each fiscal year after
    fiscal year 2007 shall include--
            (1) a request for the appropriation of funds for such fiscal
        year for ongoing military operations in Afghanistan and Iraq;
            (2) an estimate of all funds expected to be required in that
        fiscal year for such operations; and
            (3) a detailed justification of the funds requested.

              Subtitle B--Policy Relating to Vessels and Shipyards

    SEC. 1011. AIRCRAFT CARRIER FORCE STRUCTURE.
        (a) Reduction in Minimum Number of Operational Aircraft Carriers
    Required by Law.--Section 5062(b) of title 10, United States Code, is
    amended by striking ``12'' and inserting ``11''.
        (b) Required Certification Before Retirement of U.S.S. John F.
    Kennedy.--The Secretary of the Navy may not retire the U.S.S. John F.
    Kennedy (CV-67) from operational status unless the Secretary of Defense
    first submits to the Committee on Armed Services of the Senate and the
    Committee on Armed Services of the House of Representatives the
    Secretary's certification that the Secretary has received--
            (1) a formal notice from the Secretary of Homeland Security
        that the Department of Homeland Security does not desire to
        maintain and operate that vessel; and
            (2) a formal notice from the North Atlantic Treaty Organization
        that the North Atlantic Treaty Organization does not desire to
        maintain and operate that vessel.
        (c) Conditions on Status of U.S.S. John F. Kennedy if Retired.--
    Upon the retirement from operational status of the U.S.S. John F.
    Kennedy (CV-67), the Secretary of the Navy--
            (1) while the vessel is in the custody and control of the Navy,
        shall maintain that vessel in a state of preservation (including
        configuration control, dehumidification, cathodic protection, and
        maintenance of spares) that would allow for reactivation of that
        vessel in the event that the vessel was needed in response to a
        national emergency; and
            (2) if the vessel is transferred from the custody and control
        of the Navy, shall require as a condition of such transfer that--
                (A) if the President declares a national emergency pursuant
            to the National Emergencies Act (50 U.S.C. 1601 et seq.), the
            transferee shall, upon request of the Secretary of Defense,
            return the vessel to the United States; and
                (B) in such a case (unless the transferee is otherwise
            notified by the Secretary), title to the vessel shall revert
            immediately to the United States.
    SEC. 1012. SENSE OF CONGRESS ON NAMING THE CVN-78 AIRCRAFT CARRIER AS
    THE U.S.S. GERALD R. FORD.
        (a) Findings.--Congress makes the following findings:
            (1) Gerald R. Ford has served his country with honor and
        distinction for the past 64 years, and continues to serve.
            (2) Gerald R. Ford was commissioned in the Naval Reserve in
        1942 and served valiantly at sea on the U.S.S. Monterey (CVL-26)
        during World War II, taking part in major operations in the
        Pacific, including at Makin Island, Kwajalein, Truk, Saipan, and
        the Philippine Sea.
            (3) Gerald R. Ford received 9 engagement stars and 2 bronze
        stars for his service in the Navy during World War II.
            (4) Gerald R. Ford was first elected to the House of
        Representatives in 1948.
            (5) During 25 years of service in the House of Representatives,
        Gerald R. Ford distinguished himself by an exemplary record for
        character, decency, and trustworthiness.
            (6) Throughout his service in the House of Representatives,
        Gerald R. Ford was an ardent proponent of strong national defense
        and international leadership by the United States.
            (7) From 1965 to 1973, Gerald R. Ford served as minority leader
        of the House of Representatives, raising the standard for
        bipartisanship in his tireless fight for freedom, hope, and
        justice.
            (8) In 1973, Gerald R. Ford was appointed by President Nixon to
        the office of Vice President of the United States under the 25th
        Amendment to the Constitution, having been confirmed by
        overwhelming majorities in both Houses of Congress.
            (9) On August 9, 1974, Gerald R. Ford became the 38th President
        of the United States, taking office during one of the most
        challenging periods in the history of the United States.
            (10) As President from August 9, 1974, to January 20, 1977,
        Gerald R. Ford restored the faith of the people of the United
        States in the office of the President through his steady
        leadership, courage, and ultimate integrity.
            (11) As President, Gerald R. Ford helped restore the prestige
        of the United States in the world community by working to achieve
        peace in the Middle East, preserve detente with the Soviet Union,
        and set new limits on the spread of nuclear weapons.
            (12) As President, Gerald R. Ford served as Commander in Chief
        of the Armed Forces with great dignity, supporting a strong Navy
        and a global military presence for the United States and honoring
        the members of the Armed Forces.
            (13) Since leaving the office of President, Gerald R. Ford has
        been an international ambassador of American goodwill, a noted
        scholar and lecturer, a strong supporter of human rights, and a
        promoter of higher education.
            (14) Gerald R. Ford was awarded the Medal of Freedom and the
        Congressional Gold Medal in 1999 in recognition of his contribution
        to the Nation.
            (15) As President, Gerald R. Ford bore the weight of a
        constitutional crisis and guided the Nation on a path of healing
        and restored hope, earning forever the enduring respect and
        gratitude of the Nation.
        (b) Naming of CVN-78 Aircraft Carrier.--It is the sense of Congress
    that the nuclear-powered aircraft carrier of the Navy designated as
    CVN-78 should be named the U.S.S. Gerald R. Ford.
    SEC. 1013. TRANSFER OF NAVAL VESSELS TO FOREIGN NATIONS BASED UPON
    VESSEL CLASS.
        Section 7307(a) of title 10, United States Code, is amended--
            (1) by striking ``disposition of that vessel is approved'' and
        inserting ``disposal of that vessel, or of a vessel of the class of
        that vessel, is authorized''; and
            (2) by adding at the end the following new sentences: ``In the
        case of an authorization by law for the disposal of such a vessel
        that names a specific vessel as being authorized for such disposal,
        the Secretary of Defense may substitute another vessel of the same
        class, if the vessel substituted has virtually identical
        capabilities as the named vessel. In the case of an authorization
        by law for the disposal of vessels of a specified class, the
        Secretary may dispose of vessels of that class pursuant to that
        authorization only in the number of such vessels specified in that
        law as being authorized for disposal.''.
    SEC. 1014. OVERHAUL, REPAIR, AND MAINTENANCE OF VESSELS IN FOREIGN
    SHIPYARDS.
        Section 7310(a) of title 10, United States Code, is amended--
            (1) by inserting ``or Guam'' in the subsection heading after
        ``United States''; and
            (2) by inserting ``or Guam'' after ``in the United States''.
    SEC. 1015. REPORT ON OPTIONS FOR FUTURE LEASE ARRANGEMENT FOR GUAM
    SHIPYARD.
        (a) Report Required.--Not later than December 15, 2006, the
    Secretary of the Navy shall submit to the Committee on Armed Services
    of the Senate and the Committee on Armed Service of the House of
    Representatives a report describing the options available with respect
    to the Guam Shipyard in Santa Rita, Guam.
        (b) Contents of Report.--The report required under subsection (a)
    shall include the following:
            (1) An evaluation of the performance of the entities that, as
        of the date of the enactment of this Act, are the lessee and
        operators of the Guam Shipyard under the terms of the lease in
        effect on the date of the enactment of this Act.
            (2) An evaluation of each of the following options with respect
        to the Guam Shipyard lease:
                (A) Terminating the remaining term of the lease and issuing
            a new 25 year lease with the same entity.
                (B) Terminating the remaining term of the lease with
            respect to the approximately 73 acres within the Guam Shipyard
            that are required for mission requirements and leaving the
            remaining term of the lease in effect with respect to the
            approximately 27 acres within the Facility that are not
            required for mission requirements.
                (C) Terminating the remaining term of the lease and
            negotiating a new use arrangement with a different lessee or
            operator. The new use arrangement options shall include:
                    (i) Government-owned and government-operated facility.
                    (ii) Government-owned and contractor-operated facility.
                    (iii) Government-leased property for contractor-owned
                and contractor-operated facility.
        (c) Options for New Use Arrangements.--In evaluating the options
    under subsection (b)(2)(C), the Secretary of the Navy shall include an
    evaluation of each of the following:
            (1) The anticipated future military vessel repair and workload
        on Guam in relation to the 2006 Quadrennial Defense Review, issued
        on February 6, 2006, pursuant to section 118 of title 10, United
        States Code.
            (2) The anticipated military vessel repair and workload
        attributable to vessels comprising the Maritime Prepositioning Ship
        Squadron Three.
            (3) The anticipated military vessel repair and workload due to
        a change in section 7310 of title 10, United States Code, that
        would designate Guam as a United States homeport facility.
            (4) The expected workload if the submarine tender the U.S.S.
        Frank Cable (AS-40) is decommissioned.
            (5) The estimated reacquisition costs of transferred Government
        property.
            (6) Costs to improve floating dry dock mooring certification
        and required nuclear certification for the floating dry dock
        designated as AFDB-8 to conduct the following maintenance:
                (A) Dry-docking selected restricted availabilities and mid-
            term availability for attack submarines.
                (B) Dry-docking phased maintenance availabilities for
            amphibious vessels, including to amphibious assault ships, dock
            landing ships, and amphibious transport dock ships.
                (C) Dry-docking phased maintenance availabilities for
            surface combatants, including cruisers, destroyers, and
            frigates.
            (7) Commercial opportunities for development to expand
        commercial ship repair and general industrial services, given anti-
        terrorism force protection requirements at the current facility.
            (8) Estimates from three contractors for the maintenance and
        repair costs associated with executing a multiship, multioption
        contract that would generate a minimum 60,000 manday commitment for
        the Department of the Navy and Military Sealift Command vessels.
            (9) A projection of the maintenance and repair costs associated
        with executing a minimum 60,000 mandays for the Department of the
        Navy and Military Sealift Command vessels as a Government-owned and
        Government-operated Navy ship repair facility.
        (d) Input From Contractors.--In evaluating the options under
    clauses (ii) and (iii) of subsection (b)(2)(C) for the purposes of
    paragraphs (1), (2), and (3) of subsection (c), the Secretary of the
    Navy shall seek input from at least three contractors on the viability
    of operations based on the projected workload fiscal years 2008 through
    2013.
        (e) Recommendations.--The Secretary of the Navy shall include in
    the report required under subsection (a) the following:
            (1) The recommendations of the Secretary with respect to
        continuation of the existing Guam Shipyard lease based on
        evaluations conducted pursuant to subsection (b)(1).
            (2) The option under subsection (b)(2) that the Secretary
        recommends for fiscal year 2008.
        (f) GAO Report.--Not later than March 1, 2007, the Comptroller
    General shall submit to the Committee on Armed Services of the Senate
    and the Committee on Armed Service of the House of Representatives a
    report evaluating the report submitted by the Secretary of the Navy
    under subsection (a). The report shall include the option under
    subsection (b)(2) that the Secretary recommends for fiscal year 2008.
    SEC. 1016. ASSESSMENTS OF NAVAL VESSEL CONSTRUCTION EFFICIENCIES AND OF
    EFFECTIVENESS OF SPECIAL CONTRACTOR INCENTIVES.
        (a) Assessment Required.--The Secretary of the Navy shall conduct
    an assessment of each of the aspects of naval vessel construction
    specified in subsection (b) in order to determine--
            (1) what inefficiencies exist in those aspects of naval vessel
        construction;
            (2) what innovative design and production technologies,
        processes, and performance incentives are warranted to alleviate
        the inefficiencies so identified; and
            (3) what action the Secretary intends to take to facilitate the
        adoption by the shipbuilding industry of the technologies,
        processes, and performance incentives identified under paragraph
        (2).
        (b) Aspects to Be Assessed.--Subsection (a) applies with respect to
    the following aspects of naval vessel construction:
            (1) Program design, engineering, and production engineering.
            (2) Organization and operating systems.
            (3) Steelwork production.
            (4) Ship construction and outfitting.
            (5) Combat systems development, integration, and installation.
        (c) Consideration of Prior Assessments.--In making the assessments
    required by subsection (a), the Secretary shall take into consideration
    the results of--
            (1) the study of the cost effectiveness of the ship
        construction program of the Navy required by section 1014 of the
        Ronald W. Reagan National Defense Authorization Act for Fiscal Year
        2005 (Public Law 108-375; 118 Stat. 2041);
            (2) the assessment of the United States naval shipbuilding
        industry required by section 254 of the National Defense
        Authorization Act for Fiscal Year 2006 (Public Law 109-163; 119
        Stat. 3180); and
            (3) any prior assessment performed by or on behalf of the
        Department of Defense.
        (d) Special Contractor Incentives.--In addition to the assessments
    under subsection (a), the Secretary shall conduct an assessment of the
    effectiveness of the use in naval vessel construction contracts of
    special contract incentives for investment by the contractor in
    facilities and process improvement projects. Such assessment shall
    include the following:
            (1) A description of the intent of the use of such incentives
        in naval vessel construction contracts.
            (2) A description of the process and criteria used by the
        Secretary for evaluation of proposed projects to receive such
        incentives in naval vessel construction contracts and for the
        selection among such proposed projects for inclusion of incentives
        in such contracts.
            (3) For each facility or process improvement project for which
        funds were provided in a naval vessel construction contract during
        the five-year period ending on the date of the enactment of this
        Act (including the facility or process improvement project contract
        incentives incorporated in the Virginia-class submarine
        construction contract and in the CVN-21 construction contract)--
                (A) a description of the facility or process improvement
            project proposed by the contractor;
                (B) the amount expended (or to be expended) by the United
            States for the project under the contract; and
                (C) the estimated or actual return on investment for the
            amounts referred to in subparagraph (B).
            (4) The plans of the Secretary of the Navy to use similar
        contract incentives in ongoing and future shipbuilding programs.
            (5) Any recommendation by the Secretary for the enactment of
        legislation that might increase the effectiveness of, or expand the
        use of, such contract incentives.
        (e) Report.--Not later than April 1, 2007, the Secretary of the
    Navy shall submit to the congressional defense committees a report on--
            (1) the Secretary's assessments of naval vessel construction
        efficiencies under subsection (a), addressing each of the matters
        specified in that subsection; and
            (2) the Secretary's assessment of the effectiveness of special
        incentives for contractor investment in facilities and process
        improvement projects under subsection (d).
    SEC. 1017. OBTAINING CARRIAGE BY VESSEL: CRITERION REGARDING OVERHAUL,
    REPAIR, AND MAINTENANCE OF VESSELS IN THE UNITED STATES.
        (a) Acquisition Policy.--In order to maintain the national defense
    industrial base, the Secretary of Defense shall issue an acquisition
    policy that establishes, as a criterion required to be considered in
    obtaining carriage by vessel of cargo for the Department of Defense,
    the extent to which an offeror of such carriage had overhaul, repair,
    and maintenance work for covered vessels of the offeror performed in
    shipyards located in the United States.
        (b) Covered Vessels.--A vessel is a covered vessel of an offeror
    under this section if the vessel is--
            (1) owned, operated, or controlled by the offeror; and
            (2) qualified to engage in the carriage of cargo in the
        coastwise or non-contiguous trade under section 27 of the Merchant
        Marine Act, 1920 (46 U.S.C. 883), section 12106 of title 46, United
        States Code, and section 2 of the Shipping Act, 1916 (46 U.S.C.
        App. 802).
        (c) Application of Policy.--The acquisition policy shall include
    rules providing for application of the policy to covered vessels as
    expeditiously as is practicable based on the nature of carriage
    obtained, and by no later than June 1, 2007.
        (d) Regulations.--
            (1) In general.--The Secretary shall prescribe regulations as
        necessary to carry out the acquisition policy and submit such
        regulations to the Committees on Armed Services of the Senate and
        the House of Representatives, by not later than June 1, 2007.
            (2) Interim regulations.--
                (A) In general.--The Secretary may prescribe interim
            regulations as necessary to carry out the acquisition policy.
            For this purpose, the Secretary is excepted from compliance
            with the notice and comment requirements of section 553 of
            title 5, United States Code.
                (B) Submission to congress.--Upon the issuance of interim
            regulations under this paragraph, the Secretary shall submit to
            the Committees on Armed Services of the Senate and the House of
            Representatives the interim regulations and a description of
            the acquisition policy developed (or being developed) under
            subsection (a).
                (C) Expiration.--All interim regulations prescribed under
            the authority of this paragraph that are not earlier superseded
            by final regulations shall expire no later than June 1, 2007.
        (e) Annual Report.--The Secretary, acting through the United States
    Transportation Command, shall annually submit to the Committees on
    Armed Services of the Senate and the House of Representatives a report
    regarding overhaul, repair, and maintenance performed on covered
    vessels of each offeror of carriage to which the acquisition policy
    applies.
        (f) Definitions.--In this section:
            (1) Foreign shipyard.--The term ``foreign shipyard'' means a
        shipyard that is not located in the United States.
            (2) United states.--The term ``United States'' means--
                (A) any State of the United States; and
                (B) Guam.
    SEC. 1018. RIDING GANG MEMBER REQUIREMENTS.
        (a) Requirement for Charters and Contracts.--
            (1) In general.--The Secretary of Defense may not award, renew,
        extend, or exercise an option to extend any charter of a vessel
        documented under chapter 121 of title 46, United States Code, for
        the Department of Defense, or any contract for the carriage of
        cargo by a vessel documented under that chapter for the Department
        of Defense, unless the charter or contract, respectively, includes
        provisions that allow riding gang members to perform work on the
        vessel during the effective period of the charter or contract only
        under terms, conditions, restrictions, and requirements that,
        except as provided in paragraphs (2) and (3), are substantially the
        same as those that apply under section 8106 of title 46, United
        States Code, as in effect immediately before the enactment of this
        Act, with respect to a vessel referred to in that section.
            (2) Limitation.--For purposes of paragraph (1) of this
        subsection, subsections (a)(1)(A)(ii), (c), and (d) of section 8106
        of title 46, United States Code, shall not apply with respect to a
        charter or contract referred to in paragraph (1).
            (3) Merchant mariner's document required.--The Secretary of
        Defense shall include in the provisions required under paragraph
        (1) a requirement that each riding gang member who performs work on
        the vessel must hold a merchant mariner's document issued under
        chapter 73 of title 46, United States Code.
            (4) Riding gang member defined.--In this subsection the term
        ``riding gang member'' has the meaning that term has in section
        8106 of title 46, United States Code, as in effect immediately
        before the enactment of this Act.
        (b) Exemptions by Secretary of Defense.--
            (1) In general.--The Secretary of Defense may issue regulations
        that exempt from the charter or contract provisions required under
        subsection (a) any individual who is on a vessel for purposes other
        than engaging in the operation or maintenance of the vessel,
        including an individual who is--
                (A) one of the personnel who accompany, supervise, guard,
            and maintain unit equipment aboard a ship, commonly referred to
            as supercargo personnel;
                (B) one of the force protection personnel of the vessel;
                (C) a specialized repair technician; or
                (D) otherwise required by the Secretary of Defense to be
            aboard the vessel.
            (2) Background check.--Such regulations shall include a
        requirement that any individual who is exempt under the regulations
        must pass a background check before going aboard the vessel, unless
        the individual holds a merchant mariner's document issued under
        chapter 73 of title 46, United States Code.
            (3) Exempted individual not treated as in addition to the
        crew.--An individual exempted under paragraph (1) shall not be
        counted as an individual in addition to the crew for the purposes
        of section 3304 of title 46, United States Code.
    SEC. 1019. AUTHORITY TO TRANSFER SS ARTHUR M. HUDDELL TO THE GOVERNMENT
    OF GREECE.
        (a) Authority to Transfer.--The President is authorized to transfer
    the ex-Liberty ship SS Arthur M. Huddell to the Government of Greece in
    accordance with such terms and conditions as the President may
    determine.
        (b) Additional Equipment.--The President is authorized to convey
    additional equipment from other obsolete vessels of the National
    Defense Reserve Fleet to assist the Government of Greece in using the
    vessel referred to in subsection (a) as a museum exhibit.
        (c) Repair and Refurbishment in United States Shipyard.--To the
    maximum extent practicable, the President shall require, as a condition
    of the transfer of the vessel referred to in subsection (a), that the
    Government of Greece have such repair or refurbishment of the vessel as
    is needed performed at a shipyard located in the United States.

                      Subtitle C--Counter-Drug Activities

    SEC. 1021. EXTENSION OF AUTHORITY OF DEPARTMENT OF DEFENSE TO PROVIDE
    ADDITIONAL SUPPORT FOR COUNTERDRUG ACTIVITIES OF OTHER GOVERNMENTAL
    AGENCIES.
        Section 1004(a) of the National Defense Authorization Act for
    Fiscal Year 1991 (10 U.S.C. 374 note) is amended by striking ``through
    2006'' and inserting ``through 2011''.
    SEC. 1022. EXTENSION AND EXPANSION OF DEPARTMENT OF DEFENSE AUTHORITY
    TO PROVIDE SUPPORT FOR COUNTER-DRUG ACTIVITIES OF CERTAIN FOREIGN
    GOVERNMENTS.
        (a) Extension of Authority.--Paragraph (2) of subsection (a) of
    section 1033 of the National Defense Authorization Act for Fiscal Year
    1998 (Public Law 105-85; 111 Stat. 1881), as amended by section 1021 of
    the National Defense Authorization Act for Fiscal Year 2004 (Public Law
    108-136: 117 Stat. 1593), is amended by striking ``September 30, 2006''
    and inserting ``September 30, 2008''.
        (b) Additional Governments Eligible To Receive Support.--Subsection
    (b) of such section is amended by adding at the end the following new
    paragraphs:
            ``(10) The Government of Azerbaijan.
            ``(11) The Government of Kazakhstan.
            ``(12) The Government of Kyrgyzstan.
            ``(13) The Government of Armenia.
            ``(14) The Government of Guatemala.
            ``(15) The Government of Belize.
            ``(16) The Government of Panama.''.
        (c) Types of Support.--Subsection (c) of such section is amended--
            (1) in paragraph (2), by inserting ``, vehicles, and, subject
        to section 484(a) of the Foreign Assistance Act of 1961 (22 U.S.C.
        2291c(a)), aircraft'' after ``patrol boats''; and
            (2) by adding at the end the following new paragraphs:
            ``(4) The transfer of detection, interception, monitoring, and
        testing equipment.
            ``(5) For the Government of Afghanistan only, individual and
        crew-served weapons of 50 caliber or less and ammunition for such
        weapons for counter-narcotics security forces.''.
        (d) Maximum Annual Amount of Support.--Subsection (e)(2) of such
    section is amended--
            (1) by striking ``or $40,000,000'' and inserting
        ``$40,000,000''; and
            (2) by inserting before the period at the end the following:
        ``, or $60,000,000 during either of the fiscal years 2007 and
        2008''.
    SEC. 1023. EXTENSION OF AUTHORITY TO SUPPORT UNIFIED COUNTERDRUG AND
    COUNTERTERRORISM CAMPAIGN IN COLOMBIA.
        Section 1021 of the Ronald W. Reagan National Defense Authorization
    Act for Fiscal Year 2005 (Public Law 108-375; 118 Stat. 2042) is
    amended--
            (1) in subsection (a)(1), by striking ``and 2006'' and
        inserting ``through 2008''; and
            (2) in subsection (c), by striking ``and 2006'' and inserting
        ``through 2008''.
    SEC. 1024. CONTINUATION OF REPORTING REQUIREMENT REGARDING DEPARTMENT
    OF DEFENSE EXPENDITURES TO SUPPORT FOREIGN COUNTERDRUG ACTIVITIES.
        (a) Two-Year Extension of Reporting Requirement.--Section 1022 of
    the Floyd D. Spence National Defense Authorization Act for Fiscal Year
    2001 (as enacted into law by Public Law 106-398; 114 Stat. 1654A-255),
    as amended by section 1022 of the National Defense Authorization Act
    for Fiscal Year 2002 (Public Law 107-107; 115 Stat. 1215) and section
    1021 of the National Defense Authorization Act for Fiscal Year 2006
    (Public Law 109-163; 119 Stat. 3426), is further amended by striking
    ``Not later than April 15, 2006,'' and inserting ``(a) Reports
    Required.--Not later than April 15, 2006, February 15, 2007, and
    February 15, 2008,''.
        (b) Additional Information to Be Included.--Such section is further
    amended--
            (1) by designating the second sentence as subsection (b) and
        striking ``The report'' and inserting ``Information to Be
        Provided.--Each report under this section''; and
            (2) in paragraph (2), by inserting before the period at the end
        the following: ``and the amount of funds provided for each type of
        counterdrug activity assisted''.
        (c) Form and Submission of Reports.--Such section is further
    amended--
            (1) in subsection (a), as designated by subsection (a) of this
        section, by striking ``the congressional defense committees'' and
        inserting ``the congressional committees specified in subsection
        (d)''; and
            (2) by adding at the end the following new subsections:
        ``(c) Form of Reports.--Each report under this section shall be
    submitted in both classified and unclassified form.
        ``(d) Specified Committees.--The congressional committees specified
    in this subsection are the following:
            ``(1) The Committee on Armed Services, the Committee on Foreign
        Relations, and the Committee on Appropriations of the Senate.
            ``(2) The Committee on Armed Services, the Committee on
        International Relations, and the Committee on Appropriations of the
        House of Representatives.''.
    SEC. 1025. REPORT ON INTERAGENCY COUNTER-NARCOTICS PLAN FOR AFGHANISTAN
    AND SOUTH AND CENTRAL ASIAN REGIONS.
        (a) Report Required.--Not later than December 31, 2006, the
    Secretary of Defense shall submit to the congressional defense
    committees a report updating the interagency counter-narcotics
    implementation plan for Afghanistan and the South and Central Asian
    regions, including Turkmenistan, Uzbekistan, Tajikistan, Kyrgyzstan,
    Kazakhstan, Iran, Armenia, Azerbaijan, Pakistan, India, and China.
        (b) Consultation.--The report under this section shall be prepared
    in consultation with the Secretary of State, the Administrator of the
    Agency for International Development, and the Director of the Drug
    Enforcement Administration.
        (c) Matters to Be Included.--The report shall include the following
    for each foreign government covered by the report:
            (1) A consideration of what activities should be reallocated
        among the United States and the foreign government based on the
        capabilities of each department and agency involved.
            (2) Any measures necessary to clarify the legal authority
        required to complete the mission.
            (3) The measures necessary for the United States to
        successfully complete its counter-narcotics efforts in Afghanistan
        and the South and Central Asian regions, including an assessment of
        whether sufficient personnel and other resources, including
        infrastructure and development initiatives, are being made
        available by the United States and the foreign government.
            (4) Current and proposed United States funding to support
        counter-narcotics activities of the foreign government.
    SEC. 1026. REPORT ON UNITED STATES SUPPORT FOR OPERATION BAHAMAS, TURKS
    & CAICOS.
        (a) Findings.--Congress makes the following findings:
            (1) In 1982 the United States Government created Operation
        Bahamas, Turks & Caicos (OPBAT) to counter the smuggling of cocaine
        into the United States.
            (2) According to the Drug Enforcement Agency, an estimated 80
        percent of the cocaine entering the United States in the 1980s came
        through the Bahamas, whereas, according to the Office of National
        Drug Control Policy, only an estimated 10 percent comes through the
        Bahamas today.
            (3) According to the Drug Enforcement Agency, more than 80,000
        kilograms of cocaine and nearly 700,000 pounds of marijuana have
        been seized in Operation Bahamas, Turks & Caicos since 1986, with a
        combined street value of approximately two billion dollars.
            (4) The Army has provided military airlift to law enforcement
        officials under Operation Bahamas, Turks & Caicos to create an
        effective, reliable, and immediate response capability for drug
        interdiction. This support is largely responsible for the decline
        in cocaine shipments to the United States through the Bahamas.
            (5) The Bahamas is an island nation composed of approximately
        700 islands and keys, which makes aviation assets the best and most
        efficient method of transporting law enforcement agents and
        interdicting smugglers.
            (6) It is in the interests of the United States to maintain the
        results of the successful Operation Bahamas, Turks & Caicos program
        and prevent drug smugglers from rebuilding their operations through
        the Bahamas.
        (b) Report on United States Government Support for OPBAT.--
            (1) Report on decision to withdraw.--Not later than 30 days
        before implementing a decision to withdraw Department of Defense
        helicopters from Operation Bahamas, Turks & Caicos, the Secretary
        of Defense shall submit to the Congress a report outlining the plan
        for the coordination of the Operation Bahamas, Turks & Caicos
        mission, at the same level of effectiveness, using other United
        States Government assets.
            (2) Consultation.--The Secretary of Defense shall consult with
        the Secretary of State, the Attorney General, and the Secretary of
        Homeland Security, and with other appropriate officials of the
        United States Government, in preparing the report under paragraph
        (1).
            (3) Elements.--The report under paragraph (1) on the withdrawal
        of equipment referred to in that paragraph shall include the
        following:
                (A) An explanation of the military justification for the
            withdrawal of the equipment.
                (B) An assessment of the availability of other options
            (including other Government helicopters) to provide the
            capability being provided by the equipment to be withdrawn.
                (C) An explanation of how each option specified under
            subparagraph (B) will provide the capability currently provided
            by the equipment to be withdrawn.
                (D) An assessment of the potential use of unmanned aerial
            vehicles in Operation Bahamas, Turks & Caicos, including the
            capabilities of such vehicles and any advantages or
            disadvantages associated with the use of such vehicles in that
            operation, and a recommendation on whether or not to deploy
            such vehicles in that operation.

             Subtitle D--Force Structure and Defense Policy Matters

    SEC. 1031. IMPROVEMENTS TO QUADRENNIAL DEFENSE REVIEW.
        (a) Findings.--Congress finds that the comprehensive examination of
    the defense program and policies of the United States that is
    undertaken by the Security Defense every four years pursuant to section
    118 of title 10, United States Code, known as the Quadrennial Defense
    Review, is--
            (1) vital in laying out the strategic military planning and
        threat objectives of the Department of Defense; and
            (2) critical to identifying the correct mix of military
        planning assumptions, defense capabilities, and strategic focuses
        for the Armed Forces.
        (b) Sense of Congress.--It is the sense of Congress that the
    Quadrennial Defense Review is intended to provide more than an overview
    of global threats and the general strategic orientation of the
    Department of Defense.
        (c) Conduct of Review.--Subsection (b) of section 118 of title 10,
    United States Code, is amended--
            (1) by striking ``and'' at the end of paragraph (2);
            (2) by striking the period at the end of paragraph (3) and
        inserting ``; and''; and
            (3) by adding at the end the following new paragraph:
            ``(4) to make recommendations that are not constrained to
        comply with the budget submitted to Congress by the President
        pursuant to section 1105 of title 31.''.
        (d) Additional Elements in Report to Congress.--Subsection (d) of
    such section is amended--
            (1) in paragraph (1), by inserting ``, the strategic planning
        guidance,'' after ``United States'';
            (2) by redesignating paragraphs (9) through (15) as paragraphs
        (10), (11), (12), (13), (14), (15), and (17), respectively;
            (3) by inserting after paragraph (8) the following new
        paragraph (9):
            ``(9) The specific capabilities, including the general number
        and type of specific military platforms, needed to achieve the
        strategic and warfighting objectives identified in the review.'';
        and
            (4) by inserting after paragraph (15), as redesignated by
        paragraph (2), the following new paragraph:
            ``(16) The homeland defense and support to civil authority
        missions of the active and reserve components, including the
        organization and capabilities required for the active and reserve
        components to discharge each such mission.''.
        (e) CJCS Review.--Subsection (e)(1) of such section is amended by
    inserting before the period at the end the following: ``and a
    description of the capabilities needed to address such risk''.
        (f) Independent Assessment.--Such section is further amended by
    adding at the end the following new subsection:
        ``(f) Independent Panel Assessment.--(1) Not later than six months
    before the date on which the report on a Quadrennial Defense Review is
    to be submitted under subsection (d), the Secretary of Defense shall
    establish a panel to conduct an assessment of the quadrennial defense
    review.
        ``(2) Not later than three months after the date on which the
    report on a quadrennial defense review is submitted under subsection
    (d) to the congressional committees named in that subsection, the panel
    appointed under paragraph (1) shall submit to those committees an
    assessment of the review, including the recommendations of the review,
    the stated and implied assumptions incorporated in the review, and the
    vulnerabilities of the strategy and force structure underlying the
    review. The assessment of the panel shall include analyses of the
    trends, asymmetries, and concepts of operations that characterize the
    military balance with potential adversaries, focusing on the strategic
    approaches of possible opposing forces.''.
    SEC. 1032. QUARTERLY REPORTS ON IMPLEMENTATION OF 2006 QUADRENNIAL
    DEFENSE REVIEW REPORT.
        (a) Reports Required.--Not later than 30 days after the end of each
    fiscal-year quarter, the Secretary of Defense shall submit to the
    Committee on Armed Services of the Senate and the Committee on Armed
    Services of the House of Representatives a report on the implementation
    of recommendations described in the Department of Defense 2006
    Quadrennial Defense Review Report.
        (b) Contents of Reports.--Each quarterly report under subsection
    (a) shall, at a minimum--
            (1) describe the processes and procedures established by the
        Secretary of Defense to examine the various recommendations
        referred to in subsection (a);
            (2) discuss implementation plans and strategies for each area
        highlighted by the Quadrennial Defense Review Report;
            (3) provide relevant information about the status of such
        implementation; and
            (4) indicate changes in the Secretary's assessment of the
        defense strategies or capabilities required since the publication
        of the 2006 Quadrennial Defense Review Report.
        (c) Initial Report.--The first report under subsection (a) shall be
    submitted not later than January 31, 2007.
        (d) Expiration of Requirement.--The reporting requirement in
    subsection (a) shall terminate upon the earlier of the following:
            (1) The date of the publication of the next Quadrennial Defense
        Review Report after the date of the enactment of this Act pursuant
        to section 118 of title 10, United States Code.
            (2) The date of transmission of a written notification by the
        Secretary of Defense to the Committee on Armed Services of the
        Senate and the Committee on Armed Services of the House of
        Representatives that implementation of the recommendations of the
        2006 Quadrennial Defense Review is complete.
    SEC. 1033. REPORT ON FEASIBILITY OF ESTABLISHING A REGIONAL COMBATANT
    COMMAND FOR AFRICA.
        (a) Report Required.--Not later than 180 days after the date of the
    enactment of this Act, the Secretary of Defense shall submit to the
    Committee on Armed Services of the Senate and the Committee on Armed
    Services of the House of Representatives a report on the establishment
    under chapter 6 of title 10, United States Code, of a new unified
    combatant command with a geographic area of responsibility consisting
    of the African continent and adjacent waters.
        (b) Content.--The report under subsection (a) shall include--
            (1) a study on the feasibility and advisability of establishing
        a combatant command for Africa as described in subsection (a);
            (2) an assessment of the benefits and problems associated with
        establishing such a command; and
            (3) an estimate of the costs, time, and resources needed to
        establish such a command.
    SEC. 1034. DETERMINATION OF DEPARTMENT OF DEFENSE INTRATHEATER AND
    INTERTHEATER AIRLIFT REQUIREMENTS AND SEALIFT MOBILITY REQUIREMENTS.
        (a) Determination of Requirements.--The Secretary of Defense, as
    part of the 2006 Mobility Capabilities Study, shall determine
    Department of Defense mobility requirements as follows:
            (1) The Secretary shall determine intratheater and intertheater
        airlift mobility requirements (stated in terms of million ton miles
        per day) and sealift mobility requirements (stated in terms of
        tons) necessary to support warfighting objectives of the commanders
        of the combatant commands for each scenario that was modeled in the
        2005 Mobility Capabilities Study and each scenario that is modeled
        in the 2006 Mobility Capabilities Study.
            (2) The Secretary shall determine intratheater and intertheater
        airlift mobility requirements (stated in terms of million ton miles
        per day) and sealift mobility requirements (stated in terms of
        tons) for executing the National Military Strategy with a low
        acceptable level of risk, with a medium acceptable level of risk,
        and with a high acceptable level of risk, for each of the
        following:
                (A) Two overlapping ``swift defeat'' campaigns.
                (B) The Global War on Terrorism.
                (C) Baseline security posture operations.
                (D) Homeland defense and civil support operations.
                (E) Special operations missions.
                (F) Global long-range strike missions.
                (G) Strategic nuclear missions.
        (b) Report.--Not later than February 1, 2007, the Secretary of
    Defense shall submit to the congressional defense committees a report
    providing the mobility requirements determined pursuant to subsection
    (a). As part of the report, the Secretary shall--
            (1) set forth each mobility requirement specified in paragraph
        (1) or (2) of subsection (a); and
            (2) compare those defined mobility requirements to the
        Department of Defense's mobility capability program of record for
        intertheater and intratheater airlift and sealift.
        (c) Mobility Capabilities Studies.--For purposes of this section:
            (1) 2006 mobility capabilities study.--The term ``2006 Mobility
        Capabilities Study'' means the studies conducted by the Secretary
        of Defense and the Joint Staff during 2006 as a follow-on to the
        2005 Mobility Capabilities Study.
            (2) 2005 mobility capabilities study.--The term ``2005 Mobility
        Capabilities Study'' means the comprehensive Mobility Capabilities
        Study completed in December 2005 and conducted through the Office
        of Program Analysis and Evaluation of the Department of Defense to
        assess mobility needs for all aspects of the National Defense
        Strategy.
    SEC. 1035. PRESIDENTIAL REPORT ON IMPROVING INTERAGENCY SUPPORT FOR
    UNITED STATES 21ST CENTURY NATIONAL SECURITY MISSIONS AND INTERAGENCY
    OPERATIONS IN SUPPORT OF STABILITY, SECURITY, TRANSITION, AND
    RECONSTRUCTION OPERATIONS.
        (a) Report Required.--Not later than April 1, 2007, the President
    shall submit to Congress a report on building interagency capacity and
    enhancing the integration of civilian capabilities of the executive
    branch with the capabilities of the Armed Forces to enhance the
    achievement of United States national security goals and objectives.
        (b) Report Elements.--The report under subsection (a) shall include
    the following:
            (1) An assessment of the capacity and capabilities required
        within the civilian agencies of the United States Government to
        achieve the full range of United States national security goals and
        objectives, to defend United States national security interests,
        and, in particular, to coordinate with the Armed Forces where
        deployed, including capacity and capabilities in at least the
        following areas:
                (A) Organizations and organizational structures, including
            a description of the roles, responsibilities, and authorities;
                (B) Planning and assessment capabilities;
                (C) Information sharing policies, practices, and systems;
                (D) Leadership issues, including command and control of
            forces and personnel in the field;
                (E) Personnel policies and systems, including those
            pertaining to recruiting, retention, training, education,
            promotion, awards, employment, deployment, and retirement; and
                (F) Acquisition authorities, including identifying any
            economies of scale that could be gained by improved
            coordination of acquisition activities and replicating ``best
            practices'', as appropriate.
            (2) The criteria and considerations used to evaluate progress
        in each of the areas specified in paragraph (1) towards building
        interagency capacity and capabilities and integrating such
        capabilities across the United States Government to enhance the
        achievement of United States national security goals and
        objectives.
            (3) Recommendations for specific legislative proposals that
        would build interagency capacity by--
                (A) addressing statutory or budgetary impediments, if any,
            to the improvement of interagency cooperation and coordination
            in order to carry out the full range of national security
            missions (including stability, security, transition, and
            reconstruction operations); and
                (B) providing means to enhance the integration of civilian
            capabilities with the capabilities of deployed elements of the
            Armed Forces for each of those national security missions.
        (c) Additional Report Elements.--The report under subsection (a)
    shall include a portion dedicated to efforts to address the near-term
    need to strengthen interagency operations in support of stability,
    security, transition, and reconstruction operations, including a plan
    to establish interagency operating procedures for the departments and
    agencies of the United States Government for the planning and conduct
    of stability, security, transition, and reconstruction operations. Such
    plan shall include the following:
            (1) A delineation of the roles, responsibilities, and
        authorities of the departments and agencies of the United States
        Government for stability, security, transition, and reconstruction
        operations.
            (2) A description of operational processes for setting policy
        direction for stability, security, transition, and reconstruction
        operations in order to guide--
                (A) operational planning and funding decisions of those
            departments and agencies;
                (B) integration of civilian and military planning efforts;
                (C) integration of programs and activities into an
            implementation plan;
                (D) oversight of policy implementation;
                (E) provision of guidance to field-level personnel on
            program direction and priorities; and
                (F) monitoring of field implementation of assistance
            programs.
            (3) A description of available capabilities and resources of
        each department and agency of the United States Government that
        could be used in support of stability, security, transition, and
        reconstruction operations and identification of additional
        resources needed to support the conduct of such operations.
            (4) A description of how the capabilities and resources of the
        departments and agencies of the United States Government will be
        coordinated to support stability, security, transition, and
        reconstruction operations.
            (5) A description of existing, or planned, protocols between
        departments and agencies of the United States Government on the
        utilization and allocation of assets in field operations that
        support stability, security, transition, and reconstruction
        operations.
            (6) Recommendations for improving interagency training,
        education, and simulation exercises in order to adequately prepare
        civilian and military personnel in the departments and agencies of
        the United States Government to perform stability, security,
        transition, and reconstruction operations.
            (7) Guidance for the implementation of the plan.
        (d) Form of Report.--To the maximum extent practicable, the report
    shall be unclassified, with a classified annex, if necessary.

                              Subtitle E--Reports

    SEC. 1041. ADDITIONAL ELEMENT IN ANNUAL REPORT ON CHEMICAL AND
    BIOLOGICAL WARFARE DEFENSE.
        Section 1703(b) of the National Defense Authorization Act for
    Fiscal Year 1994 (50 U.S.C. 1523(b)) is amended by adding at the end
    the following new paragraph:
            ``(10) A description of the coordination and integration of the
        program of the Defense Advanced Research Projects Agency (DARPA) on
        basic and applied research and advanced technology development on
        chemical and biological warfare defense technologies and systems
        under section 1701(c)(2) with the overall program of the Department
        of Defense on chemical and biological warfare defense, including--
                ``(A) an assessment of the degree to which the DARPA
            program is coordinated and integrated with, and supports the
            objectives and requirements of, the overall program of the
            Department of Defense; and
                ``(B) the means by which the Department determines the
            level of such coordination and support.''.
    SEC. 1042. REPORT ON BIODEFENSE HUMAN CAPITAL REQUIREMENTS IN SUPPORT
    OF BIOSAFETY LABORATORIES.
        (a) Study Required.--The Secretary of Defense shall conduct a study
    to determine the Department of Defense human capital requirements for
    pending capital programs to construct biodefense laboratories at
    Biosafety Level (BSL) 3 and Biosafety Level 4 or to expand current
    biodefense laboratories to such biosafety levels.
        (b) Elements.--In conducting the study, the Secretary shall address
    the following:
            (1) The number of trained research and support staff, by
        discipline and qualification level, including researchers,
        laboratory technicians, animal handlers, facility managers,
        facility or equipment maintainers, biosecurity personnel (including
        biosafety, physical, and electronic security personnel), and other
        safety personnel required--
                (A) for existing biodefense laboratories at Biosafety Level
            3 and Biosafety Level 4; and
                (B) to manage biodefense research efforts to combat
            bioterrorism at the biodefense laboratories described in
            subsection (a).
            (2) Plans to recruit and retain skilled personnel, in numbers
        sufficient to meet requirements described in paragraph (1)(B).
            (3) A forecast of the training required to provide the
        personnel described by paragraph (1)(B) in time to meet the
        scheduled openings of the biodefense laboratories described in
        subsection (a), including--
                (A) the types of training required;
                (B) the length of training required; and
                (C) the training sources.
        (c) Report.--Not later than 180 days after the date of the
    enactment of this Act, the Secretary shall submit to the Committees on
    Armed Services of the Senate and House of Representatives a report
    setting forth the results of the study conducted under this section.
    SEC. 1043. REPORT ON TECHNOLOGIES FOR NEUTRALIZING OR DEFEATING THREATS
    TO MILITARY ROTARY-WING AIRCRAFT FROM PORTABLE AIR DEFENSE SYSTEMS AND
    ROCKET-PROPELLED GRENADES.
        (a) Report Required.--Not later than 180 days after the date of the
    enactment of this Act, the Secretary of Defense shall submit to the
    congressional defense committees a report on technologies for
    neutralizing or defeating threats to military rotary-wing aircraft
    posed by portable air defense systems and rocket-propelled grenades
    that are being researched, developed, employed, or considered by the
    United States Government or the North Atlantic Treaty Organization.
        (b) Content.--The report under subsection (a) shall include the
    following:
            (1) An assessment of the expected value and utility of the
        technologies referred to in subsection (a), particularly with
        respect to--
                (A) the saving of lives;
                (B) the ability to reduce the vulnerability of aircraft;
            and
                (C) the enhancement of the ability of aircraft and their
            crews to accomplish assigned missions.
            (2) An assessment of the potential costs of developing and
        deploying such technologies.
            (3) A description of efforts undertaken to develop such
        technologies, including--
                (A) nonlethal countermeasures;
                (B) lasers and other systems designed to dazzle, impede, or
            obscure threatening weapons or their users;
                (C) direct fire response systems;
                (D) directed energy weapons; and
                (E) passive and active systems.
            (4) A description of any impediment to the development of such
        technologies, such as legal restrictions under the law of war,
        treaty restrictions under the Protocol on Blinding Lasers, and
        political obstacles such as the reluctance of other allied
        countries to pursue such technologies.
    SEC. 1044. REPORTS ON EXPANDED USE OF UNMANNED AERIAL VEHICLES IN THE
    NATIONAL AIRSPACE SYSTEM.
        (a) Findings.--Congress makes the following findings:
            (1) Unmanned aerial vehicles (UAVs) serve Department of Defense
        intelligence, surveillance, reconnaissance, and combat missions.
            (2) Operational reliability of unmanned aerial systems
        continues to improve, and development and fielding of so-called
        sense-and-avoid technology should continue in order to provide
        unmanned aerial systems with an appropriate level of safety.
            (3) Unmanned aerial vehicles have the potential to support the
        Nation's homeland defense mission, border security mission, and
        natural disaster recovery efforts.
        (b) Reports.--
            (1) DOD report.--Not later than one year after the date of the
        enactment of this Act, the Secretary of Defense shall submit to the
        relevant congressional committees a report on the actions of the
        Department of Defense to develop standards for the testing and
        operation of unmanned aerial vehicles in the National Airspace
        System.
            (2) FAA report.--Not later than one year after the date of the
        enactment of this Act, the Administrator of the Federal Aviation
        Administration shall submit to the relevant congressional
        committees a report on progress in developing a policy for testing
        and a plan for achieving wider access by unmanned aerial vehicles
        that are appropriately equipped to operate in the National Airspace
        System
            (3) Relevant congressional committee.--For the purposes of this
        subsection, the relevant congressional committees are the
        following:
                (A) The Committee on Armed Services, the Committee on
            Commerce, the Committee on Science and Transportation, and the
            Committee on Homeland Security and Governmental Affairs of the
            Senate.
                (B) The Committee on Armed Services, the Committee on
            Energy and Commerce, the Committee on Government Reform, and
            the Committee on Transportation and Infrastructure of the House
            of Representatives.
    SEC. 1045. REPORT ON INCENTIVES TO ENCOURAGE CERTAIN MEMBERS AND FORMER
    MEMBERS OF THE ARMED FORCES TO SERVE IN THE BUREAU OF CUSTOMS AND
    BORDER PROTECTION.
        (a) Report Required.--Not later than 60 days after the date of the
    enactment of this Act, the Secretary of Homeland Security and the
    Secretary of Defense shall jointly submit to the congressional
    committees specified in subsection (e) a report assessing the
    desirability and feasibility of offering incentives to members and
    former members of the Armed Forces described in subsection (b) for the
    purpose of encouraging such members to serve in the Bureau of Customs
    and Border Protection of the Department of Homeland Security.
        (b) Covered Members and Former Members.--The members and former
    members of the Armed Forces to be covered by the report under
    subsection (a) are the following:
            (1) Members of the reserve components of the Armed Forces.
            (2) Former members of the Armed Forces within two years of
        separation from service in the Armed Forces.
        (c) Requirements and Limitations.--
            (1) Nature of incentives.--In considering incentives for
        purposes of the report required by subsection (a), the Secretaries
        shall consider such incentives as the Secretaries jointly consider
        appropriate, whether or not such incentives are monetary or
        otherwise and whether or not such incentives are authorized by
        current law or regulations.
            (2) Targeting of incentives.--In assessing any incentive for
        purposes of the report, the Secretaries shall give particular
        attention to the utility of such incentive in--
                (A) encouraging service in the Bureau of Customs and Border
            Protection after service in the Armed Forces by members and
            former members of the Armed Forces described in subsection (b)
            who provided border patrol or border security assistance to the
            Bureau as part of their duties as members of the Armed Forces;
            and
                (B) leveraging military training and experience by
            accelerating training, or allowing credit to be applied to
            related areas of training, required for service with the Bureau
            of Customs and Border Protection.
            (3) Payment.--In assessing incentives for purposes of the
        report, the Secretaries shall assume that any costs of such
        incentives shall be borne by the Department of Homeland Security.
        (d) Elements.--The report required by subsection (a) shall include
    the following:
            (1) A description of various monetary and non-monetary
        incentives considered for purposes of the report.
            (2) An assessment of the desirability and feasibility of
        utilizing any such incentive for the purpose specified in
        subsection (a), including an assessment of the particular utility
        of such incentive in encouraging service in the Bureau of Customs
        and Border Protection after service in the Armed Forces by members
        and former members of the Armed Forces described in subsection
        (c)(2)(A).
            (3) Any other matters that the Secretaries jointly consider
        appropriate.
        (e) Submission of Report.--The report required by subsection (a)
    shall be submitted to--
            (1) the Committee on Armed Services, the Committee on Homeland
        Security and Governmental Affairs, and the Committee on
        Appropriations of the Senate; and
            (2) the Committee on Armed Services, the Committee on Homeland
        Security, and the Committee on Appropriations of the House of
        Representatives.
    SEC. 1046. REPEAL OF CERTAIN REPORT REQUIREMENTS.
        (a) Annual Report on Aviation Career Incentive Pay.--Section 301a
    of title 37, United States Code, is amended by striking subsection (f).
        (b) Annual Report on Effects of Certain Initiatives on Recruitment
    and Retention.--
            (1) Repeal.--Section 1015 of title 37, United States Code, is
        repealed.
            (2) Clerical amendment.--The table of sections at the beginning
        of chapter 19 of such title is amended by striking the item
        relating to section 1015.
        (c) Secretary of Defense Recommendation on Need for Defense Impact
    Review Process.--Section 1041 of the National Defense Authorization Act
    for Fiscal Year 2002 (Public Law 107-107; 115 Stat. 1217) is repealed.
        (d) Report on Pilot Program To Enhance Military Recruiting by
    Improving Military Awareness of School Counselors and Educators.--
    Section 564 of the Floyd D. Spence National Defense Authorization Act
    for Fiscal Year 2001 (as enacted into law by Public Law 106-398 (114
    Stat. 1654A-133; 10 U.S.C. 503 note)) is amended by striking subsection
    (c).
        (e) Annual Report on Medical Informatics.--Section 723(d) of the
    National Defense Authorization Act for Fiscal Year 2000 (Public Law
    106-65; 10 U.S.C. 1071 note) is amended--
            (1) by striking paragraph (5); and
            (2) by redesignating paragraphs (6) and (7) as paragraphs (5)
        and (6), respectively.
    SEC. 1047. REQUIREMENT FOR IDENTIFICATION OF RECENTLY ENACTED RECURRING
    REPORTING REQUIREMENTS APPLICABLE TO THE DEPARTMENT OF DEFENSE.
        (a) Identification and Submittal to Congressional Committees.--
            (1) In general.--Not later than March 1, 2007, the Secretary of
        Defense shall submit to the Committee on Armed Services of the
        Senate and the Committee on Armed Services of the House of
        Representatives a listing of each provision of law specified in
        paragraph (2).
            (2) Covered provisions of law.--Paragraph (1) applies with
        respect to any provision of law enacted on or after November 24,
        2003 (the date of the enactment of the National Defense
        Authorization Act for Fiscal Year 2004 (Public Law 108-136)), and
        before February 1, 2007, that requires the submission by the
        Secretary of Defense or any other official of the Department of
        Defense of annual, semiannual, or other periodic reports to one or
        more of the congressional defense committees.
        (b) Additional Matter To Be Submitted.--The Secretary of Defense
    shall include with the listing submitted under subsection (a) the
    following:
            (1) With respect to each provision of law covered by that
        subsection, a description of the report requirement under that
        provision.
            (2) For each such report requirement--
                (A) an assessment by the Secretary--
                    (i) of the burden imposed on the Department of Defense
                by the preparation of the report; and
                    (ii) of the utility of such report from the perspective
                of the Department of Defense; and
                (B) a recommendation on the advisability of repealing or
            modifying the requirement for the submittal of such report.
        (c) Definition.--In this section, the term ``report'' has the
    meaning given that term in section 480(c) of title 10, United States
    Code.

     Subtitle F--Miscellaneous Authorities and Limitations on Availability
                                and Use of Funds

    SEC. 1051. ACCEPTANCE AND RETENTION OF REIMBURSEMENT FROM NON-FEDERAL
    SOURCES TO DEFRAY DEPARTMENT OF DEFENSE COSTS OF CONFERENCES.
        (a) In General.--Subchapter II of chapter 134 of title 10, United
    States Code, is amended by adding at the end the following new section:

    ``Sec. 2262. Department of Defense conferences: collection of fees to
                cover Department of Defense costs

        ``(a) Authority to Collect Fees.--(1) The Secretary of Defense may
    collect fees from any individual or commercial participant in a
    conference, seminar, exhibition, symposium, or similar meeting
    conducted by the Department of Defense (in this section referred to
    collectively as a `conference').
        ``(2) The Secretary may provide for the collection of fees under
    this section directly or by contract. The fees may be collected in
    advance of a conference.
        ``(b) Use of Collected Fees.--Amounts collected under subsection
    (a) with respect to a conference shall be credited to the appropriation
    or account from which the costs of the conference are paid and shall be
    available to pay the costs of the Department of Defense with respect to
    the conference or to reimburse the Department for costs incurred with
    respect to the conference.
        ``(c) Treatment of Excess Amounts.--In the event the total amount
    of fees collected under subsection (a) with respect to a conference
    exceeds the actual costs of the Department of Defense with respect to
    the conference, the amount of such excess shall be deposited into the
    Treasury as miscellaneous receipts.
        ``(d) Annual Reports.--(1) Not later than 45 days after the
    President submits to Congress the budget for a fiscal year under
    section 1105 of title 31, the Secretary of Defense shall submit to the
    congressional defense committees a budget justification document
    summarizing the use of the fee-collection authority provided by this
    section.
        ``(2) Each report shall include the following:
            ``(A) A list of all conferences conducted during the preceding
        two calendar years for which fees were collected under this
        section.
            ``(B) For each conference included on the list under
        subparagraph (A):
                ``(i) The estimated costs of the Department for the
            conference.
                ``(ii) The actual costs of the Department for the
            conference, including a separate statement of the amount of any
            conference coordinator fees associated with the conference.
                ``(iii) The amount of fees collected under this section for
            the conference.
            ``(C) An estimate of the number of conferences to be conducted
        during the calendar year in which the report is submitted for which
        the Department will collect fees under this section.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    subchapter II of chapter 134 of such title is amended by adding at the
    end the following new item:

    ``2262. Department of Defense conferences: collection of fees to cover
              Department of Defense costs.''.
    SEC. 1052. INCREASED FLEXIBILITY IN USE OF FUNDS FOR JOINT STAFF
    EXERCISES.
        (a) In General.--Amounts available to the Chairman of the Joint
    Chiefs of Staff for joint staff exercises may be available for any
    expenses as follows:
            (1) Expenses of the Armed Forces in connection with such
        exercises, including expense relating to self-deploying watercraft
        under the jurisdiction of a military department.
            (2) Expenses relating to the costs of port support activities
        in connection with such exercises, including transportation and
        port handling.
            (3) Expenses relating to the breakout and operation of
        prepositioned watercraft and lighterage for joint logistics and
        over the shore exercises in connection with such exercises.
        (b) Supplement Not Supplant.--Any amounts made available by the
    Chairman of the Joint Chiefs of Staff under subsection (a) for expenses
    covered by that subsection are in addition to any other amounts
    available under law for such expenses.
    SEC. 1053. PROHIBITION ON PARKING OF FUNDS.
        (a) Prohibition.--
            (1) In general.--Chapter 165 of title 10, United States Code,
        is amended by inserting after section 2773a the following new
        section:

    ``Sec. 2773b. Parking of funds: prohibition; penalties

        ``(a) Prohibition.--An officer or employee of the Department of
    Defense may not direct the designation of funds for a particular
    purpose in the budget of the President, as submitted to Congress
    pursuant to section 1105 of title 31, or the supporting documents of
    the Department of Defense component of such budget, with the knowledge
    or intent that such funds, if made available to the Department, will
    not be used for the purpose for which they are designated.
        ``(b) Penalties.--The direction of the designation of funds in
    violation of the prohibition in subsection (a) shall be treated for
    purposes of chapter 13 of title 31 as a violation of section
    1341(a)(1)(A) of such title.''.
            (2) Clerical amendment.--The table of sections at the beginning
        of chapter 165 of such title is amended by inserting after the item
        relating to section 2773a the following new item:

    ``2773b. Parking of funds: prohibition; penalties.''.

        (b) Effective Date.--
            (1) In general.--The amendments made by subsection (a) shall
        take effect on the date that is 31 days after the date of the
        enactment of this Act.
            (2) Modification of certain policies and regulations.--Not
        later than 30 days after the date of the enactment of this Act, the
        Secretary of Defense shall modify the policies and regulations of
        the Department of Defense regarding the preparation and submittal
        to Congress of budget materials for the Department of Defense to
        take into account section 2773b of title 10, United States Code, as
        added by subsection (a).
    SEC. 1054. MODIFICATION OF AUTHORITIES RELATING TO THE SPECIAL
    INSPECTOR GENERAL FOR IRAQ RECONSTRUCTION.
        (a) Duties.--For purposes of carrying out the duties of the Special
    Inspector General for Iraq Reconstruction under section 3001(f) of the
    Emergency Supplemental Appropriations Act for Defense and for the
    Reconstruction of Iraq and Afghanistan, 2004 (Public Law 108-106; 117
    Stat. 1235 et seq.; 5 U.S.C. App., note to section 8G of Public Law 95-
    452), any United States funds appropriated or otherwise made available
    for fiscal year 2006 for the reconstruction of Iraq, irrespective of
    the designation of such funds, shall be deemed to be amounts
    appropriated or otherwise made available to the Iraq Relief and
    Reconstruction Fund.
        (b) Termination.--Section 3001(o) of the Emergency Supplemental
    Appropriations Act for Defense and for the Reconstruction of Iraq and
    Afghanistan, 2004 (Public Law 108-106; 117 Stat. 1238; 5 U.S.C. App.,
    note to section 8G of Public Law 95-452) is amended to read as follows:
        ``(o) Termination.--The Office of the Inspector General shall
    terminate on October 1, 2007, with transition operations authorized to
    continue through December 31, 2007.''.

                    Subtitle G--Matters Involving Detainees

    SEC. 1061. PROVISION OF INFORMATION TO CONGRESS ON CERTAIN CRIMINAL
    INVESTIGATIONS AND PROSECUTIONS INVOLVING DETAINEES.
        (a) Annual Report.--Subsection (c) of section 1093 of the Ronald W.
    Reagan National Defense Authorization Act for Fiscal Year 2005 (Public
    Law 108-375; 118 Stat. 2070) is amended--
            (1) in paragraph (1), by inserting ``, or any prosecution on
        account of,'' after ``Notice of any investigation into''; and
            (2) by adding at the end the following new paragraph:
            ``(3) For each investigation or prosecution described in
        paragraph (1) with respect to which notice is included in the
        report--
                ``(A) a detailed and comprehensive description of such
            investigation or prosecution and any resulting judicial or
            nonjudicial punishment or other disciplinary action; and
                ``(B) if the individual receiving the punishment or
            disciplinary action is a member of the Armed Forces, the grade
            of that individual (i) as of the time of the incident resulting
            in the investigation or prosecution, (ii) as of the beginning
            of the investigation or prosecution, and (iii) as of the
            submission of the report.''.
        (b) Timely Submission of Covered Information.--Such section is
    further amended by adding at the end the following new subsection:
        ``(f) Additional Reporting.--In addition to the annual report under
    subsection (c), the Secretary of Defense shall submit to the committees
    named in that subsection regular and timely reports on the matters
    described in paragraphs (1) and (3) of that subsection.''.

                           Subtitle H--Other Matters

    SEC. 1071. TECHNICAL AND CLERICAL AMENDMENTS.
        (a) Title 10, United States Code.--Title 10, United States Code, is
    amended as follows:
            (1) Section 115 is amended--
                (A) by striking the second subsection (i) (added by section
            512(b) of Public Law 108-375 (118 Stat. 1880)); and
                (B) by adding at the end of subsection (i) the following
            new paragraph:
            ``(13) Members of the National Guard on full-time National
        Guard duty involuntarily and performing homeland defense activities
        under chapter 9 of title 32.''.
            (2) Sections 133(c)(1), 2225(f)(1), 2302c(b),
        2304(f)(1)(B)(iii), 2359a(i), and 2382(c)(3)(A) are amended by
        striking ``section 16(3) of the Office of Federal Procurement
        Policy Act (41 U.S.C. 414(3))'' and inserting ``section 16(c) of
        the Office of Federal Procurement Policy Act (41 U.S.C. 414(c))''.
            (3) Section 426(a)(1)(B) is amended by striking ``coordiation''
        and inserting ``coordination''.
            (4) Section 843(b)(2) is amended--
                (A) in subparagraph (B)(iii), by striking ``article 126''
            and inserting ``article 125''; and
                (B) in subparagraph (C), by striking ``under chapter 110 or
            117, or under section 1591, of title 18'' and inserting ``under
            chapter 110 or 117 of title 18 or under section 1591 of that
            title''.
            (5) Section 1107a(a) is amended--
                (A) by redesignating subparagraphs (A) and (B) as
            paragraphs (1) and (2), respectively; and
                (B) in paragraph (2), as so redesignated, by striking
            ``subparagraph (A)'' and inserting ``paragraph (1)''.
            (6) Section 1217(a) is amended by striking ``the date of'' and
        all that follows and inserting ``October 28, 2004.''.
            (7) Section 1406(i)(3)(B)(vi) is amended by striking ``Advisor
        for'' and inserting ``Advisor to''.
            (8) Section 1448(d)(6)(A) is amended by striking the second
        comma after ``November 23, 2003''.
            (9) Section 2006(b)(1) is amended--
                (A) by inserting ``of this title'' after ``and 1607''; and
                (B) by striking ``of this title'' before the period at the
            end.
            (10) Section 2103a(b) is amended in the subsection heading by
        striking ``Eligibilty'' and inserting ``Eligibility''.
            (11) Section 2105 is amended by adding a period at the end of
        the last sentence.
            (12) The item relating to section 2152 in the table of sections
        at the beginning of chapter 107 is amended to read as follows:

    ``2152. Joint professional military education: general requirements.''.

            (13) The heading for section 2155, and the item relating to
        that section in the table of sections at the beginning of chapter
        107, are amended by capitalizing the first letter of the fifth
        word.
            (14) Section 2155(a) is amended in the subsection heading by
        inserting ``Phase'' after ``Education''.
            (15) Section 2157 is amended by striking ``phase II'' in
        paragraph (1) and inserting ``Phase II''.
            (16) Section 2216(b)(1) is amended by striking ``subsections''
        and inserting ``subsection''.
            (17) The heading for section 2440 is amended so that the first
        letter of each word after the first is lower case.
            (18) The item relating to section 2481 in the table of sections
        at the beginning of subchapter I of chapter 147 is amended by
        adding a period at the end.
            (19)(A) The second section 2613 (added by section 1051(a) of
        Public Law 108-375 (118 Stat. 2053)) is redesignated as section
        2614 and is amended by redesignating the second subsection (c) as
        subsection (d).
            (B) The item relating to such section in the table of sections
        at the beginning of chapter 155 is revised to reflect the
        redesignation of such section by subparagraph (A).
            (20) Section 2613(b) is amended by striking ``In the'' and
        inserting ``In this''.
            (21) Section 2692(b)(9) is amended by striking ``materiel'' and
        inserting ``material''.
            (22) Section 2694a(c) is amended in the subsection heading by
        striking ``Revisionary'' and inserting ``Reversionary''.
            (23) Section 2703(h) is amended by striking ``subsection'' in
        the first sentence and inserting ``section''.
            (24) Section 2722(c)(2) is amended by striking ``section 921''
        and inserting ``section 921(a)''.
            (25) Section 2784a(a)(2) is amended by striking ``care'' and
        inserting ``card''.
            (26) Section 2831(f)(2) is amended by striking ``enviromental''
        and inserting ``environmental''.
            (27) Section 3911(b) is amended--
                (A) in paragraph (1), by striking the second comma after
            ``paragraph (2)''; and
                (B) in paragraph (2), by striking ``the date of the
            enactment of the National Defense Authorization Act for Fiscal
            Year 2006'' and inserting ``January 6, 2006,''.
            (28) Section 4342(a)(9) is amended by striking ``cadet'' and
        inserting ``cadets''.
            (29) Section 4544(d) is amended in the subsection heading by
        striking ``Arangement'' and inserting ``Arrangement''.
            (30) Section 4687(c) is amended by striking ``section 921(10)''
        and inserting ``section 921(a)(10)''.
            (31) The item relating to section 6086 in the table of sections
        at the beginning of chapter 557 is amended by striking the
        semicolon and inserting a colon.
            (32) The table of sections at the beginning of chapter 561 is
        amended--
                (A) in the item relating to section 6154, by striking the
            semicolon and inserting a colon; and
                (B) by striking the item relating to section 6161 and
            inserting the following:

    ``6161. Settlement of accounts: remission or cancellation of
              indebtedness of members.''.

            (33) Section 6323(a)(2) is amended--
                (A) in subparagraph (A), by striking the second comma after
            ``subparagraph (B)''; and
                (B) in subparagraph (B), by striking ``the date of the
            enactment of the National Defense Authorization Act for Fiscal
            Year 2006'' and inserting ``January 6, 2006,''.
            (34) The item relating to section 6965 in the table of sections
        at the beginning of chapter 603 is amended by striking the
        semicolon and inserting a colon.
            (35) The item relating to section 7081 in the table of sections
        at the beginning of chapter 607 is amended by striking the first
        semicolon and inserting a colon.
            (36) Section 7306b(b)(1) is amended by striking ``section
        2(14)'' and inserting ``section 3(14)''.
            (37) Section 8911(b) is amended--
                (A) in paragraph (1), by striking the second comma after
            ``paragraph (2)''; and
                (B) in paragraph (2), by striking ``the date of the
            enactment of the National Defense Authorization Act for Fiscal
            Year 2006'' and inserting ``January 6, 2006,''.
            (38) Section 9342(a)(9) is amended by striking ``cadet'' and
        inserting ``cadets''.
            (39) Section 9355(c)(1) is amended by striking ``board'' and
        inserting ``Board''.
            (40) Section 12731(a)(3) is amended by striking ``before the
        end of the 180-day period beginning on the date of the enactment of
        the National Defense Authorization Act for Fiscal Year 2005'' and
        inserting ``before April 25, 2005''.
            (41) Section 12741 is amended by striking ``under subsection
        (b)'' in subsections (c) and (d) and inserting ``under subsection
        (a)''.
            (42) Section 18233(f)(2) is amended by striking the comma after
        ``purchase''.
        (b) Title 32, United States Code.--Title 32, United States Code, is
    amended as follows:
            (1) Section 902 is amended by striking ``(a)'' before ``The
        Secretary''.
            (2) Section 908(b)(1) is amended by striking ``subsection (i)''
        and inserting ``subsection (i)(13)''.
        (c) Title 37, United States Code.--Title 37, United States Code, is
    amended as follows:
            (1) Section 210(c)(6) is amended by striking ``Advisor for''
        and inserting ``Advisor to''.
            (2) Section 301(f)(2)(C) is amended by striking the comma after
        ``the term''.
            (3) Section 308g(f) is amended by striking the second period at
        the end.
            (4) Section 308j is amended by striking subsection (g) and
        inserting the following new subsection:
        ``(g) Repayment.--A person who enters into an agreement under this
    section and receives all or part of the bonus under the agreement, but
    who does not accept a commission or an appointment as an officer or
    does not commence to participate or does not satisfactorily participate
    in the Selected Reserve for the total period of service specified in
    the agreement, shall be subject to the repayment provisions of section
    303a(e) of this title.''.
            (5) The table of sections at the beginning of chapter 7 is
        amended--
                (A) by striking the item relating to section 407 and
            inserting the following:

    ``407. Travel and transportation allowances: dislocation allowance.'';
              and

                (B) by striking the item relating to section 425 and
            inserting the following:

    ``425. United States Navy Band; United States Marine Corps Band:
              allowances while on concert tour.''.

            (6) Section 402a(b)(3)(B) is amended by striking ``section 310
        of this section'' and inserting ``section 310 of this title''.
            (7) Section 414(c) is amended by striking ``, or the Senior
        Enlisted Advisor for the Chairman of the Joint Chiefs of Staff''
        before the period at the end.
            (8) The heading of section 1010 is amended to read as follows:

    ``Sec. 1010. Commissioned officers: promotions; effective date for pay
                and allowances''.

        (d) Public Law 109-272.--Effective as of August 14, 2006, and as if
    included therein as enacted, section 2(a) of Public Law 109-272 (120
    Stat. 770; 16 U.S.C. 431 note) is amended by striking ``division E''
    and inserting ``division J''.
        (e) National Defense Authorization Act for Fiscal Year 2006.--
    Effective as of January 6, 2006, and as if included therein as enacted,
    the National Defense Authorization Act for Fiscal Year 2006 (Public Law
    109-163) is amended as follows:
            (1) Section 341(e) (119 Stat. 3199) is amended by striking
        ``(a)(1)(E)'' and inserting ``(a)(1)(F)''.
            (2) Section 545(b) (119 Stat. 3254) is amended by striking
        ``title''.
            (3) Section 606(a) (119 Stat. 3287; 37 U.S.C. 211 note) is
        amended by striking ``title 10'' and inserting ``title 37''.
            (4) Section 608(b) (119 Stat. 3289) is amended--
                (A) in paragraph (1), by striking ``the first sentence''
            and inserting ``the second sentence''; and
                (B) in paragraph (2), by striking ``the second sentence''
            and inserting ``the third sentence''.
            (5) Section 685(a) (119 Stat. 3325) is amended by striking
        ``Advisor for'' both places it appears and inserting ``Advisor
        to''.
            (6) Section 687(a)(2) (119 Stat. 3327) is amended by striking
        ``subsection (a)'' and inserting ``subsection (e)''.
            (7) Section 687(b)(15) (119 Stat. 3330) is amended--
                (A) by striking ``Subsection (d)'' and inserting
            ``Subsection (e)''; and
                (B) in the matter inserted by that section, by striking
            ``(d) Repayment.--'' and inserting ``(e) Repayment.--''.
            (8) Section 740(c) (119 Stat. 3359; 10 U.S.C. 1073 note) is
        amended by inserting ``include'' after ``shall''.
        (f) Reconciliation of Duplicate Enactments.--
            (1) In executing to section 2554 of title 10, United States
        Code, the identical amendments made by section 8126(c)(2) of Public
        Law 109-148 (119 Stat. 2729) and section 1058(c) of Public Law 109-
        163 (119 Stat. 3443), such amendments shall be executed so as to
        appear only once in the law as amended.
            (2) In executing to section 109 of the Housing and Community
        Development Act of 1974 the identical amendments made by section
        8126(d) of Public Law 109-148 (119 Stat. 2730) and section 1058(d)
        of Public Law 109-163 (119 Stat. 3443), such amendments shall be
        executed so as to appear only once in the law as amended.
            (3) Section 8126 of Public Law 109-148 (119 Stat. 2728) is
        repealed.
        (g) Ronald W. Reagan National Defense Authorization Act for Fiscal
    Year 2005.--Effective as of October 28, 2004, and as if included
    therein as enacted, the Ronald W. Reagan National Defense Authorization
    Act for Fiscal Year 2005 (Public Law 108-375) is amended as follows:
            (1) Section 416 is amended--
                (A) in subsection (a)(1) (118 Stat. 1866), by inserting
            ``the second place it appears'' before the semicolon at the
            end; and
                (B) in subsection (g)(1) (118 Stat. 1868), by inserting
            open quotation marks before ``(1) Reserve''.
            (2) Subsections (a)(2), (b)(2), and (c)(2) of section 544 (118
        Stat. 1906) are amended by striking ``such title'' and inserting
        ``such chapter''.
            (3) Section 554(1) (118 Stat. 1913) is amended by inserting
        ``of'' in the quoted matter after ``a period''.
            (4) Section 593(a) (118 Stat. 1934; 10 U.S.C. 503 note) is
        amended in the subsection heading by striking ``Screeing'' and
        inserting ``Screening''.
            (5) Section 645 (118 Stat. 1962; 10 U.S.C. 1448 note) is
        amended by redesignating the last subsection (relating to
        definitions) as subsection (j).
            (6) Section 651(a)(5)(C) (118 Stat. 1966) is amended by
        striking ``subsection (f)'' and inserting ``subsection (e)''.
            (7) Section 726(b)(1) (118 Stat. 1992) is amended by striking
        ``(1)'' in the second quoted matter.
            (8) Section 731 (118 Stat. 1993; 10 U.S.C. 1074 note) is
        amended by striking ``this title'' each place it appears in
        subsections (a), (b)(3)(C), and (c)(1)(A) and inserting ``this
        subtitle''.
            (9) Section 733(b)(2) (118 Stat. 1998; 10 U.S.C. 1074f note) is
        amended by striking ``section 1301'' and inserting ``section
        731(b)''.
            (10) Section 801(b)(2)(A) (118 Stat. 2004) is amended--
                (A) by striking ``(7), (8), and (9)'' and inserting ``(7)
            and (8)''; and
                (B) by striking ``(8), (9), and (10)'' and inserting ``(8)
            and (9)''.
            (11) Section 818(b) (118 Stat. 2016) is amended by inserting
        ``of subsection (b)'' after ``Paragraph (3)''.
            (12) Section 1103(a)(1) (118 Stat. 2072) is amended by
        inserting ``basic'' after ``rates of'' in the first quoted matter.
            (13) Section 1203(e)(2)(B) (118 Stat. 2079) is amended by
        inserting ``office'' after ``and field'' in the first quoted
        matter.
        (h) Bob Stump National Defense Authorization Act for Fiscal Year
    2003.--Section 806(d) of the Bob Stump National Defense Authorization
    Act for Fiscal Year 2003 (10 U.S.C. 2302 note) is amended in the
    subsection heading by striking ``Statues'' and inserting ``Statutes''.
        (i) Coordination With Other Amendments.--For purposes of applying
    amendments made by provisions of this Act other than provisions of this
    section, this section shall be treated as having been enacted
    immediately before the other provisions of this Act.
    SEC. 1072. REVISION TO AUTHORITIES RELATING TO COMMISSION ON THE
    IMPLEMENTATION OF THE NEW STRATEGIC POSTURE OF THE UNITED STATES.
        Section 1051 of the National Defense Authorization Act for Fiscal
    Year 2006 (Public Law 109-163; 119 Stat. 3431) is amended--
            (1) in subsection (c)(1), by striking ``June 30, 2007'' and
        inserting ``September 30, 2007''; and
            (2) in subsection (f), by striking ``July 30, 2007'' and
        inserting ``November 30, 2007''.
    SEC. 1073. REVISED DEADLINE FOR SUBMISSION OF FINAL REPORT OF EMP
    COMMISSION.
        Section 1403(a) of the Floyd D. Spence National Defense
    Authorization Act for Fiscal Year 2001 (as enacted into law by Public
    Law 106-398; 114 Stat. 1654A-346), as amended by section 1052(f) of the
    National Defense Authorization Act for Fiscal Year 2006 (Public Law
    109-163; 119 Stat. 3434), is amended by striking ``June 30, 2007'' and
    inserting ``September 30, 2007''.
    SEC. 1074. EXTENSION OF RETURNING WORKER EXEMPTION TO H-2B NUMERICAL
    LIMITATION.
        (a) In General.--Section 214(g)(9) of the Immigration and
    Nationality Act (8 U.S.C. 1184(g)(9)) is amended--
            (1) by amending the first sentence of subparagraph (A) to read
        as follows: ``Subject to subparagraphs (B) and (C), an alien who
        has already been counted toward the numerical limitation of
        paragraph (1)(B) during fiscal year 2004, 2005, or 2006 shall not
        again be counted toward such limitation during fiscal year 2007.'';
        and
            (2) in subparagraph (B), by striking ``referred to in
        subparagraph (A)'' and inserting ``to admit or otherwise provide
        status under section 101(a)(15)(H)(ii)(b)''.
        (b) Deletion of Prior Sunset Provision.--Section 402(b)(1) of the
    Save Our Small and Seasonal Businesses Act of 2005 (title IV of
    division B of Public Law 109-13; 119 Stat. 318; 8 U.S.C. 1184 note) is
    amended by striking ``2004,'' and all that follows through the period
    at the end and inserting ``2004.''.
        (c) Effective Date.--The amendments made by this section shall take
    effect on October 1, 2006. If this section is enacted after October 1,
    2006, the amendments made by this section shall take effect as if
    enacted on such date.
    SEC. 1075. PATENT TERM EXTENSIONS FOR THE BADGES OF THE AMERICAN
    LEGION, THE AMERICAN LEGION WOMEN'S AUXILIARY, AND THE SONS OF THE
    AMERICAN LEGION.
        (a) Patent Term Extension for the Badge of the American Legion.--
    The term of the design patent numbered 54,296 (for the badge of the
    American Legion) is renewed and extended for a period of 14 years
    beginning on the date of enactment of this Act, with all the rights and
    privileges pertaining to such patent.
        (b) Patent Term Extension for the Badge of the American Legion
    Women's Auxiliary.--The term of the design patent numbered 55,398 (for
    the badge of the American Legion Women's Auxiliary) is renewed and
    extended for a period of 14 years beginning on the date of enactment of
    this Act, with all the rights and privileges pertaining to such patent.
        (c) Patent Term Extension for the Badge of the Sons of the American
    Legion.--The term of the design patent numbered 92,187 (for the badge
    of the Sons of the American Legion) is renewed and extended for a
    period of 14 years beginning on the date of enactment of this Act, with
    all the rights and privileges pertaining to such patent.
    SEC. 1076. USE OF THE ARMED FORCES IN MAJOR PUBLIC EMERGENCIES.
        (a) Use of the Armed Forces Authorized.--
            (1) In general.--Section 333 of title 10, United States Code,
        is amended to read as follows:

    ``Sec. 333. Major public emergencies; interference with State and
                Federal law

        ``(a) Use of Armed Forces in Major Public Emergencies.--(1) The
    President may employ the armed forces, including the National Guard in
    Federal service, to--
            ``(A) restore public order and enforce the laws of the United
        States when, as a result of a natural disaster, epidemic, or other
        serious public health emergency, terrorist attack or incident, or
        other condition in any State or possession of the United States,
        the President determines that--
                ``(i) domestic violence has occurred to such an extent that
            the constituted authorities of the State or possession are
            incapable of maintaining public order; and
                ``(ii) such violence results in a condition described in
            paragraph (2); or
            ``(B) suppress, in a State, any insurrection, domestic
        violence, unlawful combination, or conspiracy if such insurrection,
        violation, combination, or conspiracy results in a condition
        described in paragraph (2).
        ``(2) A condition described in this paragraph is a condition that--
            ``(A) so hinders the execution of the laws of a State or
        possession, as applicable, and of the United States within that
        State or possession, that any part or class of its people is
        deprived of a right, privilege, immunity, or protection named in
        the Constitution and secured by law, and the constituted
        authorities of that State or possession are unable, fail, or refuse
        to protect that right, privilege, or immunity, or to give that
        protection; or
            ``(B) opposes or obstructs the execution of the laws of the
        United States or impedes the course of justice under those laws.
        ``(3) In any situation covered by paragraph (1)(B), the State shall
    be considered to have denied the equal protection of the laws secured
    by the Constitution.
        ``(b) Notice to Congress.--The President shall notify Congress of
    the determination to exercise the authority in subsection (a)(1)(A) as
    soon as practicable after the determination and every 14 days
    thereafter during the duration of the exercise of that authority.''.
            (2) Proclamation to disperse.--Section 334 of such title is
        amended by inserting ``or those obstructing the enforcement of the
        laws'' after ``insurgents''.
            (3) Heading amendment.--The heading of chapter 15 of such title
        is amended to read as follows:

        ``CHAPTER 15--ENFORCEMENT OF THE LAWS TO RESTORE PUBLIC ORDER''.

            (4) Clerical amendments.--(A) The tables of chapters at the
        beginning of subtitle A of title 10, United States Code, and at the
        beginning of part I of such subtitle, are each amended by striking
        the item relating to chapter 15 and inserting the following new
        item:

    ``15 Enforcement of the Laws to Restore Public Order..............331''.

            (B) The table of sections at the beginning of chapter 15 of
        such title is amended by striking the item relating to sections 333
        and inserting the following new item:

    ``333. Major public emergencies; interference with State and Federal
              law.''.

        (b) Provision of Supplies, Services, and Equipment.--
            (1) In general.--Chapter 152 of such title is amended by adding
        at the end the following new section:

    ``Sec. 2567. Supplies, services, and equipment: provision in major
                public emergencies

        ``(a) Provision Authorized.--In any situation in which the
    President determines to exercise the authority in section 333(a)(1)(A)
    of this title, the President may direct the Secretary of Defense to
    provide supplies, services, and equipment to persons affected by the
    situation.
        ``(b) Covered Supplies, Services, and Equipment.--The supplies,
    services, and equipment provided under this section may include food,
    water, utilities, bedding, transportation, tentage, search and rescue,
    medical care, minor repairs, the removal of debris, and other
    assistance necessary for the immediate preservation of life and
    property.
        ``(c) Limitations.--(1) Supplies, services, and equipment may be
    provided under this section--
            ``(A) only to the extent that the constituted authorities of
        the State or possession concerned are unable to provide such
        supplies, services, and equipment, as the case may be; and
            ``(B) only until such authorities, or other departments or
        agencies of the United States charged with the provision of such
        supplies, services, and equipment, are able to provide such
        supplies, services, and equipment.
        ``(2) The Secretary may provide supplies, services, and equipment
    under this section only to the extent that the Secretary determines
    that doing so will not interfere with military preparedness or ongoing
    military operations or functions.
        ``(d) Inapplicability of Certain Authorities.--The provision of
    supplies, services, or equipment under this section shall not be
    subject to the provisions of section 403(c) of the Robert T. Stafford
    Disaster Relief and Emergency Assistance Act (42 U.S.C. 5170b(c)).''.
            (2) Clerical amendment.--The table of sections at the beginning
        of such chapter is amended by adding at the end the following new
        item:

    ``2567. Supplies, services, and equipment: provision in major public
              emergencies''.

        (c) Conforming Amendment.--Section 12304(c)(1) of such title is
    amended by striking ``No unit'' and all that follows through
    ``subsection (b),'' and inserting ``Except to perform any of the
    functions authorized by chapter 15 or section 12406 of this title or by
    subsection (b), no unit or member of a reserve component may be ordered
    to active duty under this section''.
    SEC. 1077. INCREASED HUNTING AND FISHING OPPORTUNITIES FOR MEMBERS OF
    THE ARMED FORCES, RETIRED MEMBERS, AND DISABLED VETERANS.
        (a) Access for Members, Retired Members, and Disabled Veterans.--
    Consistent with section 2671 of title 10, United States Code, and using
    such funds as are made available for this purpose, the Secretary of
    Defense shall ensure that members of the Armed Forces, retired members,
    disabled veterans, and persons assisting disabled veterans are able to
    utilize lands under the jurisdiction of the Department of Defense that
    are available for hunting or fishing.
        (b) Assessment.--Not later than 180 days after the date of the
    enactment of this Act, the Secretary shall submit to Congress a report
    containing the results of an assessment of those lands under the
    jurisdiction of the Department of Defense and suitable for hunting or
    fishing and describing the actions necessary--
            (1) to further increase the acreage made available to members
        of the Armed Forces, retired members, disabled veterans, and
        persons assisting disabled veterans for hunting and fishing; and
            (2) to make that acreage more accessible to disabled veterans.
        (c) Recreational Activities on Santa Rosa Island.--The Secretary of
    the Interior shall immediately cease the plan, approved in the
    settlement agreement for case number 96-7412 WJR and case number 97-
    4098 WJR, to exterminate the deer and elk on Santa Rosa Island, Channel
    Islands, California, by helicopter and shall not exterminate or nearly
    exterminate the deer and elk.

                      TITLE XI--CIVILIAN PERSONNEL MATTERS

    Sec. 1101. Accrual of annual leave for members of the uniformed services
              performing dual employment.
    Sec. 1102. Strategy for improving the senior management, functional, and
              technical workforce of the Department of Defense.
    Sec. 1103. Three-year extension of authority for experimental personnel
              management program for scientific and technical personnel.
    Sec. 1104. Reports on members of the Armed Forces and civilian employees
              of the Department of Defense serving in the legislative
              branch.
    Sec. 1105. Extension of authority to waive annual limitation on total
              compensation paid to Federal civilian employees.
    SEC. 1101. ACCRUAL OF ANNUAL LEAVE FOR MEMBERS OF THE UNIFORMED
    SERVICES PERFORMING DUAL EMPLOYMENT.
        Section 5534a of title 5, United States Code, is amended by adding
    at the end the following new sentence: ``Such a member also is entitled
    to accrue annual leave with pay in the manner specified in section
    6303(a) of this title for a retired member of a uniformed service.''.
    SEC. 1102. STRATEGY FOR IMPROVING THE SENIOR MANAGEMENT, FUNCTIONAL,
    AND TECHNICAL WORKFORCE OF THE DEPARTMENT OF DEFENSE.
        (a) Inclusion in 2007 Strategic Human Capital Plan.--The Secretary
    of Defense shall include in the March 1, 2007, strategic human capital
    plan required by section 1122(c) of the National Defense Authorization
    Act for Fiscal Year 2006 (Public Law 109-163; 119 Stat. 3453; 10 U.S.C.
    prec. 1580 note) a strategic plan to shape and improve the senior
    management, functional, and technical workforce (including scientists
    and engineers) of the Department of Defense.
        (b) Scope of Plan.--The strategic plan required by subsection (a)
    shall cover, at a minimum, the following categories of Department of
    Defense civilian personnel:
            (1) Appointees in the Senior Executive Service under section
        3131 of title 5, United States Code.
            (2) Persons serving in positions described in section 5376(a)
        of title 5, United States Code.
            (3) Highly qualified experts appointed pursuant to section 9903
        of title 5, United States Code.
            (4) Scientists and engineers appointed pursuant to section
        342(b) of the National Defense Authorization Act for Fiscal Year
        1995 (Public Law 103-337; 108 Stat. 2721), as amended by section
        1114 of the Floyd D. Spence National Defense Authorization Act for
        Fiscal Year 2001 (as enacted into law by Public Law 106-398 (114
        Stat. 1654A-315)).
            (5) Scientists and engineers appointed pursuant to section 1101
        of the Strom Thurmond National Defense Authorization Act for Fiscal
        Year 1999 (5 U.S.C. 3104 note).
            (6) Persons serving in the Defense Intelligence Senior
        Executive Service under section 1606 of title 10, United States
        Code.
            (7) Persons serving in Intelligence Senior Level positions
        under section 1607 of title 10, United States Code.
        (c) Contents of Plan.--The strategic plan required by subsection
    (a) shall include--
            (1) an assessment of--
                (A) the needs of the Department of Defense for senior
            management, functional, and technical personnel (including
            scientists and engineers) in light of recent trends and
            projected changes in the mission and organization of the
            Department and in light of staff support needed to accomplish
            that mission;
                (B) the capability of the existing civilian employee
            workforce of the Department to meet requirements relating to
            the mission of the Department, including the impact on that
            capability of projected trends in the senior management,
            functional, and technical personnel workforce of the Department
            based on expected losses due to retirement and other attrition;
            and
                (C) gaps in the existing or projected civilian employee
            workforce of the Department that should be addressed to ensure
            that the Department has continued access to the senior
            management, functional, and technical personnel (including
            scientists and engineers) it needs; and
            (2) a plan of action for developing and reshaping the senior
        management, functional, and technical workforce of the Department
        to address the gaps identified under paragraph (1)(C), including--
                (A) any legislative or administrative action that may be
            needed to adjust the requirements applicable to any category of
            civilian personnel identified in subsection (b) or to establish
            a new category of senior management or technical personnel;
                (B) any changes in the number of personnel authorized in
            any category of personnel identified in subsection (b) that may
            be needed to address such gaps and effectively meet the needs
            of the Department;
                (C) any changes in the rates or methods of pay for any
            category of personnel identified in subsection (b) that may be
            needed to address inequities and ensure that the Department has
            full access to appropriately qualified personnel to address
            such gaps and meet the needs of the Department;
                (D) specific recruiting and retention goals, including the
            program objectives of the Department to be achieved through
            such goals;
                (E) specific strategies for developing, training,
            deploying, compensating, motivating, and designing career paths
            and career opportunities for the senior management, functional,
            and technical workforce of the Department, including the
            program objectives of the Department to be achieved through
            such strategies; and
                (F) specific steps that the Department has taken or plans
            to take to ensure that the senior management, functional, and
            technical workforce of the Department is managed in compliance
            with the requirements of section 129 of title 10, United States
            Code.
    SEC. 1103. THREE-YEAR EXTENSION OF AUTHORITY FOR EXPERIMENTAL PERSONNEL
    MANAGEMENT PROGRAM FOR SCIENTIFIC AND TECHNICAL PERSONNEL.
        Section 1101(e)(1) of the Strom Thurmond National Defense
    Authorization Act for Fiscal Year 1999 (5 U.S.C. 3104 note) is amended
    by striking ``September 30, 2008'' and inserting ``September 30,
    2011''.
    SEC. 1104. REPORTS ON MEMBERS OF THE ARMED FORCES AND CIVILIAN
    EMPLOYEES OF THE DEPARTMENT OF DEFENSE SERVING IN THE LEGISLATIVE
    BRANCH.
        (a) Quarterly Reports on Details and Fellowships of Long
    Duration.--Not later than 120 days after the date of the enactment of
    this Act, and quarterly thereafter, the Secretary of Defense shall
    submit to the congressional defense committees a report on the members
    of the Armed Forces and civilian employees of the Department of Defense
    who, as of the date of such report, have served continuously in the
    Legislative Branch for more than 12 consecutive months in one or a
    combination of covered legislative details or fellowships.
        (b) Reports on Certain Military Details and Fellowships.--If a
    member of the Armed Forces is assigned to a covered legislative detail
    or fellowship as the last tour of duty of such member before retirement
    or separation from the Armed Forces in contravention of the regulations
    of the Department of Defense, the Secretary shall submit to the
    congressional defense committees a report on the assignment of such
    member to such covered legislative detail or fellowship. The report
    shall include a rationale for the waiver of the regulations of the
    Department in order to permit the detail or fellowship.
        (c) Report Elements.--Each report under subsection (a) or (b) shall
    set forth, for each member of the Armed Forces or civilian employee of
    the Department of Defense covered by such report, the following:
            (1) The name of such member or employee.
            (2) In the case of a member, the Armed Force of such member.
            (3) The committee or member of Congress to which such member or
        employee is detailed or assigned.
            (4) A general description of the projects or tasks undertaken
        or to be undertaken, as applicable, by such member or employee as a
        detailee, fellow, or both.
            (5) The anticipated termination date of the current detail or
        fellowship of such member or employee.
        (d) Covered Legislative Detail or Fellowship Defined.--In this
    section, the term ``covered legislative detail or fellowship'' means
    the following:
            (1) A detail under the provisions of Department of Defense
        Directive 1000.17.
            (2) A legislative fellowship (including a legislative
        fellowship under the provisions of Department of Defense Directive
        1322.6).
    SEC. 1105. EXTENSION OF AUTHORITY TO WAIVE ANNUAL LIMITATION ON TOTAL
    COMPENSATION PAID TO FEDERAL CIVILIAN EMPLOYEES.
        Section 1105 of the National Defense Authorization Act for Fiscal
    Year 2006 (Public Law 109-163; 119 Stat. 3450) is amended--
            (1) in subsection (a), by inserting ``and 2007'' after
        ``2006''; and
            (2) in subsection (b)--
                (A) by striking ``$200,000'' in the heading; and
                (B) by striking ``a calendar year'' and inserting ``2006
            and $212,100 in 2007''.

                 TITLE XII--MATTERS RELATING TO FOREIGN NATIONS

                       Subtitle A--Assistance and Training

    Sec. 1201. Logistic support for allied forces participating in combined
              operations.
    Sec. 1202. Temporary authority to use acquisition and cross-servicing
              agreements to lend certain military equipment to foreign
              forces in Iraq and Afghanistan for personnel protection and
              survivability.
    Sec. 1203. Recodification and revision to law relating to Department of
              Defense humanitarian demining assistance.
    Sec. 1204. Enhancements to Regional Defense Combating Terrorism
              Fellowship Program.
    Sec. 1205. Participation of the Department of Defense in multinational
              military centers of excellence.
    Sec. 1206. Modification and extension of authorities relating to program
              to build the capacity of foreign military forces.
    Sec. 1207. Authority for distribution to certain foreign personnel of
              education and training materials and information technology to
              enhance military interoperability.

          Subtitle B--Nonproliferation Matters and Countries of Concern

    Sec. 1211. North Korea.
    Sec. 1212. Report on participation of multinational partners in the
              United Nations Command in the Republic of Korea.
    Sec. 1213. Intelligence on Iran.
    Sec. 1214. Sense of Congress on United States policy on the nuclear
              programs of Iran.

                            Subtitle C--Other Matters

    Sec. 1221. Exclusion of petroleum, oil, and lubricants from limitations
              on annual amount of liabilities the United States may accrue
              under acquisition and cross-servicing agreements.
    Sec. 1222. Modification of limitations on assistance under the American
              Servicemembers' Protection Act of 2002.
    Sec. 1223. Humanitarian support for Iraqi children in urgent need of
              medical care.
    Sec. 1224. Sense of Congress opposing the granting of amnesty by the
              government of Iraq to persons known to have attacked, killed,
              or wounded members of the United States Armed Forces in Iraq.
    Sec. 1225. Annual reports on United States contributions to the United
              Nations.
    Sec. 1226. Comprehensive regional strategy and annual reports on
              Somalia.
    Sec. 1227. Report on the implementation of the Darfur Peace Agreement.
    Sec. 1228. Sense of Congress concerning cooperation with Russia on
              issues pertaining to missile defense.
    Sec. 1229. Sense of Congress calling for convening of a summit for a
              comprehensive political agreement for Iraq.
    Sec. 1230. Sense of Congress on the commendable actions of the Armed
              Forces in Iraq.
    Sec. 1231. Annual report on foreign sales of significant military
              equipment manufactured in the United States.

                      Subtitle A--Assistance and Training

    SEC. 1201. LOGISTIC SUPPORT FOR ALLIED FORCES PARTICIPATING IN COMBINED
    OPERATIONS.
        (a) Authority.--Chapter 3 of title 10, United States Code, is
    amended by inserting after section 127b the following new section:

    ``Sec. 127c. Allied forces participating in combined operations:
                authority to provide logistic support, supplies, and
                services

        ``(a) Authority.--Subject to subsections (b) and (c), the Secretary
    of Defense may provide logistic support, supplies, and services to
    allied forces participating in a combined operation with the armed
    forces. Provision of such support, supplies, and services to the forces
    of an allied nation may be made only with the concurrence of the
    Secretary of State.
        ``(b) Limitations.--(1) The authority provided by subsection (a)
    may be used only in accordance with the Arms Export Control Act and
    other export control laws of the United States.
        ``(2) The authority provided by subsection (a) may be used only for
    a combined operation--
            ``(A) that is carried out during active hostilities or as part
        of a contingency operation or a noncombat operation (including an
        operation in support of the provision of humanitarian or foreign
        disaster assistance, a country stabilization operation, or a
        peacekeeping operation under chapter VI or VII of the Charter of
        the United Nations); and
            ``(B) in a case in which the Secretary of Defense determines
        that the allied forces to be provided logistic support, supplies,
        and services--
                ``(i) are essential to the success of the combined
            operation; and
                ``(ii) would not be able to participate in the combined
            operation but for the provision of such logistic support,
            supplies, and services by the Secretary.
        ``(c) Limitations on Value.--(1) Except as provided in paragraph
    (2), the value of logistic support, supplies, and services provided
    under this section in any fiscal year may not exceed $100,000,000.
        ``(2) In addition to any logistic support, supplies, and services
    provided under subsection (a) that are covered by paragraph (1), the
    value of logistic support, supplies, and services provided under this
    section solely for the purposes of enhancing the interoperability of
    the logistical support systems of military forces participating in
    combined operation of the United States in order to facilitate such
    operations may not, in any fiscal year, exceed $5,000,000.
        ``(d) Annual Report.--(1) Not later than December 31 each year, the
    Secretary of Defense shall submit to the Committee on Armed Services
    and the Committee on Foreign Relations of the Senate and the Committee
    on Armed Services and the Committee on International Relations of the
    House of Representatives a report on the use of the authority provided
    by subsection (a) during the preceding fiscal year.
        ``(2) Each report under paragraph (1) shall be prepared in
    coordination with the Secretary of State.
        ``(3) Each report under paragraph (1) shall include, for the fiscal
    year covered by the report, the following:
            ``(A) Each nation provided logistic support, supplies, and
        services through the use of the authority provided by subsection
        (a).
            ``(B) For each such nation, a description of the type and value
        of logistic support, supplies, and services so provided.
        ``(e) Definition.--In this section, the term `logistic support,
    supplies, and services' has the meaning given that term in section
    2350(1) of this title.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by inserting after the item relating to section
    127b the following new item:

    ``127c. Allied forces participating in combined operations: authority to
              provide logistic support, supplies, and services.''.
    SEC. 1202. TEMPORARY AUTHORITY TO USE ACQUISITION AND CROSS-SERVICING
    AGREEMENTS TO LEND CERTAIN MILITARY EQUIPMENT TO FOREIGN FORCES IN IRAQ
    AND AFGHANISTAN FOR PERSONNEL PROTECTION AND SURVIVABILITY.
        (a) Authority.--
            (1) In general.--Subject to paragraphs (2), (3), and (4), the
        Secretary of Defense may treat covered military equipment as
        logistic support, supplies, and services under subchapter I of
        chapter 138 of title 10, United States Code, for the purpose of
        providing for the use of such equipment by military forces of a
        nation participating in combined operations with the United States
        in Iraq or Afghanistan.
            (2) Required determinations.--Equipment may be provided to the
        military forces of a nation under the authority of this section
        only upon--
                (A) a determination by the Secretary of Defense that the
            United States forces in the combined operation have no unfilled
            requirements for that equipment; and
                (B) a determination by the Secretary of Defense, with the
            concurrence of the Secretary of State, that it is in the
            national security interest of the United States to provide for
            the use of such equipment by the military forces of that nation
            under this section.
            (3) Limitation on use of equipment.--Equipment provided to the
        military forces of a nation under the authority of this section may
        be used by those forces only in Iraq or Afghanistan and only for
        personnel protection or to aid in the personnel survivability of
        those forces.
            (4) Limitation on duration of provision of equipment.--
        Equipment provided to the military forces of a nation under the
        authority of this section may be used by the military forces of
        that nation for not longer than one year.
        (b) Semiannual Reports to Congressional Committees.--
            (1) Use of authority during first six months of fiscal year.--
        If the authority provided in subsection (a) is exercised during the
        first six months of a fiscal year, the Secretary of Defense shall
        submit to the specified congressional committees a report on that
        exercise of such authority not later than the following April 30.
            (2) Use of authority during second six months of fiscal year.--
        If the authority provided in subsection (a) is exercised during the
        second six months of a fiscal year, the Secretary of Defense shall
        submit to the specified congressional committees a report on that
        exercise of such authority not later than the following October 30.
            (3) Content.--Each report under paragraph (1) or (2) shall
        include, with respect to each exercise of the authority provided in
        subsection (a) during the period covered by the report, the
        following:
                (A) A description of the basis for the determination of the
            Secretary of Defense that it is in the national security
            interests of the United States to provide for the use of
            covered military equipment in the manner authorized in
            subsection (a).
                (B) Identification of each foreign force that receives such
            equipment.
                (C) A description of the type, quantity, and value of the
            equipment provided to each foreign force that receives such
            equipment.
                (D) A description of the terms and duration of the
            provision of the equipment to each foreign force that receives
            such equipment.
            (4) Coordination.--Each report under paragraph (1) or (2) shall
        be prepared in coordination with the Secretary of State.
        (c) Limitations on Provision of Military Equipment.--The provision
    of military equipment under this section is subject to the provisions
    of the Arms Export Control Act (22 U.S.C. 2751 et seq.) and of any
    other export control process under laws relating to the transfer of
    military equipment and technology to foreign nations.
        (d) Definitions.--In this section:
            (1) The term ``covered military equipment'' means items
        designated as significant military equipment in categories I, II,
        III, VII, XI, and XIII of the United States Munitions List under
        section 38(a)(1) of the Arms Export Control Act (22 U.S.C.
        2778(a)(1)).
            (2) The term ``specified congressional committees'' means--
                (A) the Committee on Armed Services and the Committee on
            Foreign Relations of the Senate; and
                (B) the Committee on Armed Services and the Committee on
            International Relations of the House of Representatives.
        (e) Expiration.--The authority to provide military equipment to the
    military forces of a foreign nation under this section expires on
    September 30, 2008.
    SEC. 1203. RECODIFICATION AND REVISION TO LAW RELATING TO DEPARTMENT OF
    DEFENSE HUMANITARIAN DEMINING ASSISTANCE.
        (a) Repeal.--Section 401 of title 10, United States Code, is
    amended--
            (1) in subsection (a), by striking paragraph (4);
            (2) in subsection (b)--
                (A) by striking ``(1)'' after ``(b)''; and
                (B) by striking paragraph (2);
            (3) in subsection (c), by striking paragraphs (2) and (3); and
            (4) in subsection (e), by striking paragraph (5).
        (b) Recodification and Revision.--
            (1) In general.--Chapter 20 of such title is amended by adding
        at the end the following new section:

    ``Sec. 407. Humanitarian demining assistance: authority; limitations

        ``(a) Authority.--(1) Under regulations prescribed by the Secretary
    of Defense, the Secretary of a military department may carry out
    humanitarian demining assistance in a country if the Secretary
    concerned determines that the assistance will promote either--
            ``(A) the security interests of both the United States and the
        country in which the activities are to be carried out; or
            ``(B) the specific operational readiness skills of the members
        of the armed forces who participate in the activities.
        ``(2) Humanitarian demining assistance under this section shall
    complement, and may not duplicate, any other form of social or economic
    assistance which may be provided to the country concerned by any other
    department or agency of the United States.
        ``(3) The Secretary of Defense shall ensure that no member of the
    armed forces, while providing humanitarian demining assistance under
    this section--
            ``(A) engages in the physical detection, lifting, or destroying
        of landmines or other explosive remnants of war (unless the member
        does so for the concurrent purpose of supporting a United States
        military operation); or
            ``(B) provides such assistance as part of a military operation
        that does not involve the armed forces.
        ``(b) Limitations.--(1) Humanitarian demining assistance may not be
    provided under this section unless the Secretary of State specifically
    approves the provision of such assistance.
        ``(2) Any authority provided under any other provision of law to
    provide humanitarian demining assistance to a foreign country shall be
    carried out in accordance with, and subject to, the limitations
    prescribed in this section.
        ``(c) Expenses.--(1) Expenses incurred as a direct result of
    providing humanitarian demining assistance under this section to a
    foreign country shall be paid for out of funds specifically
    appropriated for the purpose of the provision by the Department of
    Defense of overseas humanitarian assistance.
        ``(2) Expenses covered by paragraph (1) include the following:
            ``(A) Travel, transportation, and subsistence expenses of
        Department of Defense personnel providing such assistance.
            ``(B) The cost of any equipment, services, or supplies acquired
        for the purpose of carrying out or supporting humanitarian demining
        activities, including any nonlethal, individual, or small-team
        equipment or supplies for clearing landmines or other explosive
        remnants of war that are to be transferred or otherwise furnished
        to a foreign country in furtherance of the provision of assistance
        under this section.
        ``(3) The cost of equipment, services, and supplies provided in any
    fiscal year under this section may not exceed $10,000,000.
        ``(d) Annual Report.--The Secretary of Defense shall include in the
    annual report under section 401 of this title a separate discussion of
    activities carried out under this section during the preceding fiscal
    year, including--
            ``(1) a list of the countries in which humanitarian demining
        assistance was carried out during the preceding fiscal year;
            ``(2) the type and description of humanitarian demining
        assistance carried out in each country during the preceding fiscal
        year, as specified in paragraph (1);
            ``(3) a list of countries in which humanitarian demining
        assistance could not be carried out during the preceding fiscal
        year due to insufficient numbers of Department of Defense personnel
        to carry out such activities; and
            ``(4) the amount expended in carrying out such assistance in
        each such country during the preceding fiscal year.
        ``(e) Humanitarian Demining Assistance Defined.--In this section,
    the term `humanitarian demining assistance', as it relates to training
    and support, means detection and clearance of landmines and other
    explosive remnants of war, including activities related to the
    furnishing of education, training, and technical assistance with
    respect to the detection and clearance of landmines and other explosive
    remnants of war.''.
            (2) Clerical amendment.--The table of sections at the beginning
        of such chapter is amended by adding at the end the following new
        item:

    ``407. Humanitarian demining assistance: authority; limitations.''.
    SEC. 1204. ENHANCEMENTS TO REGIONAL DEFENSE COMBATING TERRORISM
    FELLOWSHIP PROGRAM.
        (a) Authorized Purposes.--Subsection (a) of section 2249c of title
    10, United States Code, is amended by striking ``associated with'' and
    all that follows and inserting: ``associated with the education and
    training of foreign military officers, ministry of defense officials,
    or security officials at military or civilian educational institutions,
    regional centers, conferences, seminars, or other training programs
    conducted under the Regional Defense Combating Terrorism Fellowship
    Program. Costs for which payment may be made under this section include
    the costs of transportation and travel and subsistence costs.''.
        (b) Annual Limitation on Amount Obligated.--Subsection (b) of such
    section is amended by striking ``$20,000,000'' and inserting
    ``$25,000,000''.
        (c) Obligation of Funds Across Fiscal Years.--Subsection (b) of
    such section is further amended by adding at the end the following new
    sentence: ``Amounts available under the authority in subsection (a) for
    a fiscal year may be used for programs that begin in such fiscal year
    but end in the next fiscal year.''.
        (d) Clerical Amendments.--
            (1) Reference to program.--Subsection (c)(3) of such section is
        amended by striking ``Regional Defense Counterterrorism Fellowship
        Program'' and inserting ``program referred to in subsection (a)''.
            (2) Section heading.--The heading of such section is amended to
        read as follows:

    ``Sec. 2249c. Regional Defense Combating Terrorism Fellowship Program:
                authority to use appropriated funds for costs associated
                with education and training of foreign officials''.

            (3) Table of sections.--The item relating to such section in
        the table of sections at the beginning of subchapter I of chapter
        134 of such title is amended to read as follows:

    ``2249c.  Regional Defense Combating Terrorism Fellowship Program:
              authority to use appropriated funds for costs associated with
              education and training of foreign officials.''.
    SEC. 1205. PARTICIPATION OF THE DEPARTMENT OF DEFENSE IN MULTINATIONAL
    MILITARY CENTERS OF EXCELLENCE.
        (a) Participation Authorized.--During fiscal year 2007, the
    Secretary of Defense may, with the concurrence of the Secretary of
    State, authorize the participation of members of the Armed Forces and
    Department of Defense civilian personnel in any multinational military
    center of excellence hosted by any nation or combination of nations
    referred to in subsection (b) for purposes of--
            (1) enhancing the ability of military forces and civilian
        personnel of the nations participating in such center to engage in
        joint exercises or coalition or international military operations;
        or
            (2) improving interoperability between the Armed Forces of the
        United States and the military forces of friendly foreign nations.
        (b) Covered Nations.--The nations referred to in this subsection
    are the following:
            (1) The United States.
            (2) Any member nation of the North Atlantic Treaty Organization
        (NATO).
            (3) Any major non-NATO ally.
            (4) Any other friendly foreign nation identified by the
        Secretary of Defense, with the concurrence of the Secretary of
        State, for purposes of this section.
        (c) Definitions.--In this section:
            (1) Multinational military center of excellence.--The term
        ``multinational military center of excellence'' means an entity
        sponsored by one or more nations that is accredited and approved by
        the Military Committee of the North Atlantic Treaty Organization
        (NATO) as offering recognized expertise and experience to personnel
        participating in the activities of such entity for the benefit of
        NATO by providing such personnel opportunities to--
                (A) enhance education and training;
                (B) improve interoperability and capabilities;
                (C) assist in the development of doctrine; and
                (D) validate concepts through experimentation.
            (2) Major non-nato ally.--The term ``major non-NATO ally''
        means a country (other than a member nation of the North Atlantic
        Treaty Organization) that is designated as a major non-NATO ally
        pursuant to section 517 of the Foreign Assistance Act of 1961 (22
        U.S.C. 2321k).
        (d) Memorandum of Understanding.--
            (1) Requirement.--The participation of members of the Armed
        Forces or Department of Defense civilian personnel in a
        multinational military center of excellence under subsection (a)
        shall be in accordance with the terms of one or more memoranda of
        understanding entered into by the Secretary of Defense, with the
        concurrence of the Secretary of State, and the foreign nation or
        nations concerned.
            (2) Scope.--If Department of Defense facilities, equipment, or
        funds are used to support a multinational military center of
        excellence under subsection (a), the memoranda of understanding
        under paragraph (1) with respect to that center shall provide
        details of any cost-sharing arrangement or other funding
        arrangement.
        (e) Availability of Appropriated Funds.--
            (1) Availability.--Funds appropriated to the Department of
        Defense for operation and maintenance are available as follows:
                (A) To pay the United States share of the operating
            expenses of any multinational military center of excellence in
            which the United States participates under this section.
                (B) To pay the costs of the participation of members of the
            Armed Forces and Department of Defense civilian personnel in
            multinational military centers of excellence under this
            section, including the costs of expenses of such participants.
            (2) Limitation on amount.--The amount available under paragraph
        (1)(A) in fiscal year 2007 for the expenses referred to in that
        paragraph may not exceed $3,000,000.
            (3) Limitation on use of funds.--No funds may be used under
        this section to fund the pay or salaries of members of the Armed
        Forces and Department of Defense civilian personnel who participate
        in multinational military centers of excellence under this section.
        (f) Use of Department of Defense Facilities and Equipment.--
    Facilities and equipment of the Department of Defense may be used for
    purposes of the support of multinational military centers of excellence
    under this section that are hosted by the Department.
        (g) Report on Use of Authority.--
            (1) Report required.--Not later than October 31, 2007, the
        Secretary of Defense shall submit to the Committee on Armed
        Services of the Senate and the Committee on Armed Services of the
        House of Representatives a report on the use of the authority in
        this section during fiscal year 2007.
            (2) Elements.--The report required by paragraph (1) shall
        include the following:
                (A) A detailed description of the participation of the
            Department of Defense, and of members of the Armed Forces and
            civilian personnel of the Department, in multinational military
            centers of excellence under the authority of this section
            during fiscal year 2007.
                (B) For each multinational military center of excellence in
            which the Department of Defense, or members of the Armed Forces
            or civilian personnel of the Department, so participated--
                    (i) a description of such multinational military center
                of excellence;
                    (ii) a description of the activities participated in by
                the Department, or by members of the Armed Forces or
                civilian personnel of the Department; and
                    (iii) a statement of the costs of the Department for
                such participation, including--

                        (I) a statement of the United States share of the
                    expenses of such center and a statement of the
                    percentage of the United States share of the expenses
                    of such center to the total expenses of such center;
                    and
                        (II) a statement of the amount of such costs
                    (including a separate statement of the amount of costs
                    paid for under the authority of this section by
                    category of costs).

    SEC. 1206. MODIFICATION AND EXTENSION OF AUTHORITIES RELATING TO
    PROGRAM TO BUILD THE CAPACITY OF FOREIGN MILITARY FORCES.
        (a) Program Implementation Vested in Secretary of Defense.--
            (1) Authority.--Subsection (a) of section 1206 of the National
        Defense Authorization Act for Fiscal Year 2006 (Public Law 109-163;
        119 Stat. 3456) is amended by striking ``The President may direct
        the Secretary of Defense to'' and inserting ``The Secretary of
        Defense, with the concurrence of the Secretary of State, may''.
            (2) Conforming amendments.--Such section is further amended--
                (A) in subsection (b), by striking ``directed by the
            President'' in paragraphs (1) and (2);
                (B) in subsection (c)--
                    (i) in paragraph (1), by striking ``directed by the
                President''; and
                    (ii) in paragraphs (2) and (3), by striking ``The
                President'' and inserting ``The Secretary of Defense'';
                (C) in subsection (d), by striking ``directed by the
            President'' both places it appears; and
                (D) in subsection (e)(2), by striking ``as directed by the
            President''.
        (b) Funding.--Subsection (c)(1) of such section is further
    amended--
            (1) by striking ``$200,000,000'' and inserting
        ``$300,000,000''; and
            (2) by striking ``defense-wide''.
        (c) Notification to Congress.--Paragraph (1) of subsection (e) of
    such section is amended to read as follows:
            ``(1) Notification.--Whenever the Secretary of Defense decides,
        with the concurrence of the Secretary of State, to conduct or
        support a program authorized under subsection (a), the Secretary of
        Defense shall submit to Congress a notification in writing of that
        decision. Any such notification shall be prepared in coordination
        with the Secretary of State.''.
        (d) One-Year Extension of Program Authority.--Subsection (g) of
    such section is amended to read as follows:
        ``(g) Termination of Program.--The authority provided under
    subsection (a) terminates at the close of September 30, 2008. Any
    program directed before that date may be completed, but only using
    funds available for fiscal year 2006, 2007, or 2008.''.
    SEC. 1207. AUTHORITY FOR DISTRIBUTION TO CERTAIN FOREIGN PERSONNEL OF
    EDUCATION AND TRAINING MATERIALS AND INFORMATION TECHNOLOGY TO ENHANCE
    MILITARY INTEROPERABILITY.
        (a) Distribution Authorized.--To enhance interoperability between
    the Armed Forces and military forces of friendly foreign countries, the
    Secretary of Defense may--
            (1) provide to personnel referred to in subsection (b)
        electronically-distributed learning content for the education and
        training of such personnel for the development and enhancement of
        allied and friendly military capabilities for multinational
        operations, including joint exercises and coalition operations; and
            (2) provide information technology, including computer software
        developed for such purpose, but only to the extent necessary to
        support the use of such learning content for the education and
        training of such personnel.
        (b) Authorized Recipients.--The personnel to whom learning content
    and information technology may be provided under subsection (a) are
    military and civilian personnel of a friendly foreign government, with
    the permission of that government.
        (c) Education and Training.--Any education and training provided
    under subsection (a) shall include the following:
            (1) Internet-based education and training.
            (2) Advanced distributed learning and similar Internet learning
        tools, as well as distributed training and computer assisted
        exercises.
        (d) Secretary of State Concurrence in Certain Activities.--In the
    case of any activity proposed to be undertaken under this section that
    is not authorized by another provision of law, the Secretary of Defense
    may undertake such activity only with the concurrence of the Secretary
    of State.
        (e) Applicability of Export Control Regimes.--The provision of
    learning content and information technology under this section shall be
    subject to the provisions of the Arms Export Control Act (22 U.S.C.
    2751 et seq.) and any other export control regime under law relating to
    the transfer of military technology to foreign nations.
        (f) Secretary of Defense Guidance.--
            (1) Guidance required.--The Secretary of Defense shall develop
        and issue guidance on the procedures for the use of the authority
        provided in this section.
            (2) Submittal to congressional committees.--Not later than 30
        days after issuing the guidance required by paragraph (1), the
        Secretary shall submit to the Committees on Armed Services of the
        Senate and House of Representatives a report setting forth such
        guidance.
            (3) Modification.--If the Secretary modifies the guidance
        issued under paragraph (1), the Secretary shall submit to the
        committees named in paragraph (2) a report setting forth the
        modified guidance not later than 30 days after the date of such
        modification.
        (g) Annual Report.--
            (1) Report required.--Not later than October 31 of 2007 and
        2008, the Secretary of Defense shall submit to the committees named
        in subsection (f)(1) a report on the exercise of the authority
        provided in this section during the preceding fiscal year.
            (2) Elements.--Each report under paragraph (1) shall include,
        for the fiscal year covered by such report, the following:
                (A) A statement of the recipients of learning content and
            information technology provided under this section.
                (B) A description of the type, quantity, and value of the
            learning content and information technology provided under this
            section.
        (h) Termination.--The authority provided in this section shall
    expire on September 30, 2008.

         Subtitle B--Nonproliferation Matters and Countries of Concern

    SEC. 1211. NORTH KOREA.
        (a) Coordinator of Policy on North Korea.--
            (1) Appointment required.--Not later than 60 days after the
        date of the enactment of this Act, the President shall appoint a
        senior presidential coordinator of United States policy on North
        Korea.
            (2) Designation.--The individual appointed under paragraph (1)
        may be known as the ``North Korea Policy Coordinator'' (in this
        subsection referred to as the ``Coordinator)''.
            (3) Duties.--The Coordinator shall--
                (A) conduct a full and complete interagency review of
            United States policy toward North Korea;
                (B) consult with foreign governments, including the parties
            to the Six Party Talks on the denuclearization of the Korean
            peninsula; and
                (C) provide policy direction and leadership for
            negotiations with North Korea relating to nuclear weapons,
            ballistic missiles, and other security matters.
            (4) Report.--Not later than 90 days after the date of the
        appointment of an individual as Coordinator under paragraph (1),
        the Coordinator shall submit to the President and Congress an
        unclassified report, with a classified annex if necessary, on the
        actions undertaken under paragraph (3). The report shall set
        forth--
                (A) the results of the review under paragraph (3)(A); and
                (B) any other matter on North Korea that the Coordinator
            considers appropriate.
            (5) Termination.--The position under this subsection shall
        terminate no later than December 31, 2011.
        (b) Semiannual Reports on Nuclear and Missile Programs of North
    Korea.--
            (1) Reports required.--Not later than 90 days after the date of
        the enactment of this Act, and every 180 days thereafter for fiscal
        years 2007 and 2008, the President shall transmit to Congress an
        unclassified report, with a classified annex as appropriate, on the
        nuclear program and the missile program of North Korea.
            (2) Matters to be included.--Each report under paragraph (1)
        shall include the following:
                (A) The most current national intelligence estimate on the
            nuclear program and the missile program of North Korea and,
            consistent with the protection of intelligence sources and
            methods, an unclassified summary of the key judgments in that
            estimate.
                (B) The most current unclassified United States Government
            assessment, stated as a range if necessary, of--
                    (i) the number of nuclear weapons possessed by North
                Korea; and
                    (ii) the amount of nuclear material suitable for
                weapons use produced by North Korea by plutonium
                reprocessing and uranium enrichment.
                (C) Any other matter relating to the nuclear program or
            missile program of North Korea that the President considers
            appropriate.
    SEC. 1212. REPORT ON PARTICIPATION OF MULTINATIONAL PARTNERS IN THE
    UNITED NATIONS COMMAND IN THE REPUBLIC OF KOREA.
        (a) Report Required.--Not later than 180 days after the date of the
    enactment of this Act, the Secretary of Defense, in coordination with
    the Secretary of State, shall submit to the appropriate committees of
    Congress a report on participation of multinational partners in the
    United Nations Command in the Republic of Korea.
        (b) Elements.--The report required by subsection (a) shall include
    the following:
            (1) A list of the nations that are current members of the
        United Nations Command in the Republic of Korea, together with a
        detailed description of the role and participation of each such
        member nation in the responsibilities and activities of the United
        Nations Command.
            (2) A detailed description of efforts being undertaken by the
        United States to encourage enhanced participation in the
        responsibilities and activities of the United Nations Command in
        the Republic of Korea by such member nations.
            (3) A discussion of how members of the United Nations Command
        in the Republic of Korea might be persuaded to increase their
        contribution of military forces stationed in the Republic and an
        assessment of how United States political-military requirements in
        the Republic of Korea might be affected by such increases.
            (4) An assessment of how the contribution of additional
        military forces by a member of the United Nations Command might
        affect that member's approach to facilitating a diplomatic
        resolution of the nuclear challenge posed by the Democratic
        People's Republic of Korea.
        (c) Form.--The report required by subsection (a) shall be submitted
    in unclassified form, but may include a classified annex.
        (d) Appropriate Committees of Congress Defined.--In this section,
    the term ``appropriate committees of Congress'' means--
            (1) the Committees on Armed Services and Foreign Relations of
        the Senate; and
            (2) the Committees on Armed Services and International
        Relations of the House of Representatives.
    SEC. 1213. INTELLIGENCE ON IRAN.
        (a) Submittal to Congress of Updated National Intelligence Estimate
    on Iran.--
            (1) Submittal required.--The Director of National Intelligence
        shall submit to Congress an updated, comprehensive National
        Intelligence Estimate on Iran. Such National Intelligence Estimate
        shall be submitted as soon as is practicable, but not later than
        the end of the 90-day period beginning on the date of the enactment
        of this Act.
            (2) Notice regarding submittal.--If before the end of the 90-
        day period specified in paragraph (1) the Director determines that
        the National Intelligence Estimate required by that paragraph
        cannot be submitted by the end of that period as required by that
        paragraph, the Director shall (before the end of that period)
        submit to Congress a report setting forth--
                (A) the reasons why the National Intelligence Estimate
            cannot be submitted by the end of such 90-day period; and
                (B) an estimated date for the submittal of the National
            Intelligence Estimate.
            (3) Form.--The National Intelligence Estimate under paragraph
        (1) shall be submitted in classified form. Consistent with the
        protection of intelligence sources and methods, an unclassified
        summary of the key judgments of the National Intelligence Estimate
        should be submitted.
        (b) Presidential Report on Policy Objectives and United States
    Strategy Regarding Iran.--
            (1) Report required.--As soon as is practicable, but not later
        than 90 days after the date of the enactment of this Act, the
        President shall submit to Congress a report on--
                (A) the objectives of United States policy on Iran; and
                (B) the strategy for achieving those objectives.
            (2) Form.--The report under paragraph (1) shall be submitted in
        unclassified form with a classified annex, as appropriate.
            (3) Elements.--The report submitted under paragraph (1) shall--
                (A) address the role of diplomacy, incentives, sanctions,
            other punitive measures and incentives, and other programs and
            activities relating to Iran for which funds are provided by
            Congress; and
                (B) summarize United States contingency planning regarding
            the range of possible United States military actions in support
            of United States policy objectives with respect to Iran.
    SEC. 1214. SENSE OF CONGRESS ON UNITED STATES POLICY ON THE NUCLEAR
    PROGRAMS OF IRAN.
        Congress--
            (1) endorses the policy of the United States to achieve a
        successful diplomatic outcome, in coordination with leading members
        of the international community, with respect to the threat posed by
        the efforts of the Iranian regime to acquire a capability to
        produce nuclear weapons;
            (2) calls on Iran to--
                (A) suspend fully and verifiably its enrichment and
            reprocessing activities, as required by the International
            Atomic Energy Agency (IAEA); and
                (B) work with the international community to achieve a
            negotiated outcome to the concerns regarding its nuclear
            program;
            (3) in the event Iran fails to comply with United Nations
        Security Council Resolution 1696 (July 31, 2006), urges the
        Security Council to work for the adoption of appropriate measures
        under Article 41 of Chapter VII of the Charter of the United
        Nations; and
            (4) urges the President and the Secretary of State to keep
        Congress fully and currently informed regarding the progress of
        this vital diplomatic initiative.

                           Subtitle C--Other Matters

    SEC. 1221. EXCLUSION OF PETROLEUM, OIL, AND LUBRICANTS FROM LIMITATIONS
    ON ANNUAL AMOUNT OF LIABILITIES THE UNITED STATES MAY ACCRUE UNDER
    ACQUISITION AND CROSS-SERVICING AGREEMENTS.
        (a) Exclusion.--Section 2347 of title 10, United States Code, is
    amended--
            (1) in subsection (a), by striking ``(other than petroleum,
        oils, and lubricants)'' in paragraphs (1) and (2); and
            (2) by adding at the end the following new subsection:
        ``(d) The amount of any sale, purchase, or exchange of petroleum,
    oils, or lubricants by the United States under this subchapter in any
    fiscal year shall be excluded in any computation for the purposes of
    subsection (a) or (b) of the amount of reimbursable liabilities or
    reimbursable credits that the United States accrues under this
    subchapter in that fiscal year.''.
        (b) Effective Date.--The amendments made by subsection (a) shall
    take effect beginning with fiscal year 2007.
        (c) Reports.--Not later than October 31 of 2007 and 2008, the
    Secretary of Defense shall submit to the Committee on Armed Services of
    the Senate and the Committee on Armed Services of the House of
    Representatives a report on the exercise during the preceding fiscal
    year of the authority provided in subchapter I of chapter 138 of title
    10, United States Code, with respect to the sale, purchase, or exchange
    of petroleum, oil, or lubricants. Each report shall identify each
    country involved in a sale, purchase, or exchange of petroleum, oil, or
    lubricants with the United States and include a description, by
    country, of the type, quantity, and value of the petroleum, oil, and
    lubricants that were sold, purchased, or exchanged by the United
    States.
    SEC. 1222. MODIFICATION OF LIMITATIONS ON ASSISTANCE UNDER THE AMERICAN
    SERVICEMEMBERS' PROTECTION ACT OF 2002.
        Section 2013(13)(A) of the American Servicemembers' Protection Act
    of 2002 (22 U.S.C. 7432(13)(A)) is amended by striking ``or 5''.
    SEC. 1223. HUMANITARIAN SUPPORT FOR IRAQI CHILDREN IN URGENT NEED OF
    MEDICAL CARE.
        (a) Findings.--Congress makes the following findings:
            (1) The Secretary of Defense has discretionary authority to
        permit space-available travel on military aircraft for various
        reasons, including humanitarian purposes.
            (2) Recently, 110 Iraqi children journeyed 22 hours by bus from
        Baghdad, Iraq, to Amman, Jordan, for urgently needed oral/facial
        surgery. While traveling, armed insurgents stopped and boarded the
        children's bus, raising serious questions about the safety of
        further travel by ground.
            (3) Pursuant to the Secretary's discretionary authority
        referred to in paragraph (1), the Secretary authorized the Iraqi
        children to travel on military aircraft for their return trip from
        Amman to Baghdad.
            (4) The Secretary is to be commended for his initiative in
        providing for the safe return of these children to Iraq by military
        aircraft.
        (b) Sense of Congress.--It is the sense of Congress that the
    Secretary of Defense should continue to provide space-available travel
    on military aircraft for humanitarian reasons to Iraqi children who
    would otherwise have no means available to seek urgently needed medical
    care such as that provided by a humanitarian organization in Amman,
    Jordan.
    SEC. 1224. SENSE OF CONGRESS OPPOSING THE GRANTING OF AMNESTY BY THE
    GOVERNMENT OF IRAQ TO PERSONS KNOWN TO HAVE ATTACKED, KILLED, OR
    WOUNDED MEMBERS OF THE UNITED STATES ARMED FORCES IN IRAQ.
        (a) Findings.--Congress makes the following findings:
            (1) The Armed Forces of the United States and coalition
        military forces are serving heroically in Iraq to provide all the
        people of Iraq a better future.
            (2) The Armed Forces of the United States and coalition
        military forces have served bravely in Iraq since the beginning of
        military operations in March of 2003.
            (3) As of June 15, 2006, more than 2,500 members of the Armed
        Forces of the United States and members of coalition military
        forces have been killed and more than 18,000 have been injured in
        operations to bring peace and stability to all the people of Iraq.
        (b) Sense of Congress.--
            (1) Iraqi sovereignty.--It is the sense of Congress that the
        goal of the United States and of the coalition partners of the
        United States has been to empower the Iraqi people and, in doing
        so, to recognize their freedom to exercise full sovereignty.
            (2) Amnesty.--Recognizing the sovereignty of the Iraqi people
        as referred to in paragraph (1), it is further the sense of
        Congress that the Government of Iraq, consistent with that
        sovereignty, should not grant amnesty to persons known to have
        attacked, killed, or wounded members of the Armed Forces of the
        United States.
    SEC. 1225. ANNUAL REPORTS ON UNITED STATES CONTRIBUTIONS TO THE UNITED
    NATIONS.
        (a) Annual Report.--Not later than 90 days after the date of the
    enactment of this Act and annually thereafter until December 31, 2010,
    the President shall submit to Congress a report listing all assessed
    and voluntary contributions of the United States Government for the
    preceding fiscal year to the United Nations and United Nations
    affiliated agencies and related bodies.
        (b) Contents.--Each report required under subsection (a) shall set
    forth, for the fiscal year covered by such report, the following:
            (1) The total amount of all assessed and voluntary
        contributions of the United States Government to the United Nations
        and United Nations affiliated agencies and related bodies.
            (2) The approximate percentage of United States Government
        contributions to each United Nations affiliated agency or body in
        such fiscal year when compared with all contributions to such
        agency or body from any source in such fiscal year.
            (3) For each such contribution--
                (A) the amount of such contribution;
                (B) a description of such contribution (including whether
            assessed or voluntary);
                (C) the department or agency of the United States
            Government responsible for such contribution;
                (D) the purpose of such contribution; and
                (E) the United Nations or United Nations affiliated agency
            or related body receiving such contribution.
    SEC. 1226. COMPREHENSIVE REGIONAL STRATEGY AND ANNUAL REPORTS ON
    SOMALIA.
        (a) Sense of Congress.--It is the sense of Congress that the United
    States should--
            (1) support--
                (A) the establishment of a functional, legitimate, and
            unified national government in Somalia;
                (B) humanitarian assistance to the people of Somalia;
                (C) efforts to prevent Somalia from becoming a safe haven
            for terrorists and terrorist activities; and
                (D) regional stability;
            (2) broaden and integrate its strategic approach toward Somalia
        within the context of United States policy and activities in the
        countries of the Horn of Africa and other relevant countries on the
        Arabian Peninsula; and
            (3) coordinate and carry out all diplomatic, humanitarian,
        counterterrorism, and security-related activities in Somalia within
        the framework of an interagency process.
        (b) Comprehensive Regional Strategy.--
            (1) In general.--Not later than 90 days after the date of the
        enactment of this Act, the President shall submit to the
        appropriate congressional committees a report on a comprehensive
        regional strategy toward Somalia within the context of United
        States policy and activities in the countries of the Horn of Africa
        and other relevant countries on the Arabian Peninsula.
            (2) Components.--The comprehensive regional strategy described
        in the report shall include the following components:
                (A) A clearly stated policy towards Somalia that will help
            establish a functional, legitimate, and unified national
            government in Somalia that is capable of maintaining the rule
            of law and preventing Somalia from becoming a safe haven for
            terrorists.
                (B) A description of the type and form of bilateral,
            regional, and multilateral efforts to coordinate and strengthen
            diplomatic engagement with Somalia.
                (C) A description of an integrated political, humanitarian,
            intelligence, and military approach to counter transnational
            security threats in Somalia and throughout the countries of the
            Horn of Africa.
                (D) A description of an interagency framework involving the
            Federal agencies and departments of the United States to plan,
            coordinate, and execute United States policy and activities in
            Somalia and throughout the countries of the Horn of Africa and
            to oversee policy and program implementation.
                (E) Guidance on the manner in which the comprehensive
            regional strategy will be implemented.
        (c) Annual Reports.--Not later than April 1, 2007, and annually
    thereafter until April 1, 2010, the President shall submit to the
    appropriate congressional committees a report on the status of the
    implementation of the comprehensive regional strategy toward Somalia
    required under subsection (b).
        (d) Form.--Each report under this section, including the
    comprehensive regional strategy, shall be submitted in unclassified
    form, but may include a classified annex, as appropriate.
        (e) Appropriate Congressional Committees Defined.--In this section,
    the term ``appropriate congressional committees'' means--
            (1) the Committee on Armed Services, the Committee on
        International Relations, and the Permanent Select Committee on
        Intelligence of the House of Representatives; and
            (2) the Committee on Armed Services, the Committee on Foreign
        Relations, and the Select Committee on Intelligence of the Senate.
    SEC. 1227. REPORT ON THE IMPLEMENTATION OF THE DARFUR PEACE AGREEMENT.
        (a) Requirement for Reports.--Not later than 90 days after the date
    of the enactment of this Act and every six months thereafter until
    December 31, 2011, the Secretary of Defense, in coordination with the
    Secretary of State, shall submit to the appropriate congressional
    committees a report on the implementation of the Darfur Peace Agreement
    of May 5, 2006, and the contributions of the Department of Defense to
    the North Atlantic Treaty Organization in support of the African Union
    Mission in Sudan (AMIS).
        (b) Contents.--Each report under subsection (a) shall include--
            (1) a description of major violations of the Darfur Peace
        Agreement and major delays in implementing the Agreement, including
        violations and delays relating to the demobilization and
        disarmament of the Janjaweed, the voluntary safe return of
        internally displaced persons and refugees, and security and access
        for humanitarian supply routes;
            (2) an assessment of the extent to which the Ceasefire
        Commission and the AMIS are able to monitor the implementation of
        the Darfur Peace Agreement and an assessment of efforts to impede
        the monitoring activities of the Ceasefire Commission and AMIS;
            (3) a list of contributions made by the Department of Defense
        in support of NATO assistance to AMIS and the United Nations
        peacekeeping operation authorized for Darfur;
            (4) a description of the activities carried out by United
        States Armed Forces in support of NATO assistance to AMIS and the
        United Nations peacekeeping operation authorized for Darfur;
            (5) the amount of funds expended by the Department of Defense
        in support of NATO assistance to AMIS; and
            (6) a description of the efforts by the United States to obtain
        troop contributions from other countries to serve in the United
        Nations peacekeeping operation authorized for Darfur.
         (c) Form and Availability of Reports.--
            (1) Form.--Reports submitted under this section shall be in an
        unclassified form and may include a classified annex.
            (2) Availability.--The unclassified portion of such reports
        shall be made available to the public.
        (d) Appropriate Congressional Committees Defined.--In this section,
    the term ``appropriate committees of Congress'' means--
            (1) the Committee on Armed Services and the Committee on
        International Relations of the House of Representatives; and
            (2) the Committee on Armed Services and the Committee on
        Foreign Relations of the Senate.
    SEC. 1228. SENSE OF CONGRESS CONCERNING COOPERATION WITH RUSSIA ON
    ISSUES PERTAINING TO MISSILE DEFENSE.
        It is the sense of Congress that--
            (1) cooperation between the United States and Russia with
        regard to missile defense is in the interest of the United States;
            (2) there does not exist strong enough engagement between the
        United States and Russia with respect to missile defense
        cooperation;
            (3) the United States should explore innovative and
        nontraditional means of cooperation with Russia on issues
        pertaining to missile defense; and
            (4) as part of such an effort, the Secretary of Defense should
        consider the possibilities for United States-Russian cooperation
        with respect to missile defense through--
                (A) the testing of specific elements of the detection and
            tracking equipment of the Missile Defense Agency of the United
            States Department of Defense through the use of Russian target
            missiles; and
                (B) the provision of early warning radar to the Missile
            Defense Agency by the use of Russian radar data.
    SEC. 1229. SENSE OF CONGRESS CALLING FOR CONVENING OF A SUMMIT FOR A
    COMPREHENSIVE POLITICAL AGREEMENT FOR IRAQ.
        (a) In General.--It is the sense of Congress that the President
    should continue working with the Government of Iraq and the United
    Nations to convene a summit as soon as possible after the enactment of
    this Act for the purpose of reaching a comprehensive political
    agreement for Iraq--
            (1) that promotes the Government of Iraq's National
        Reconciliation and Dialogue Plan of June 25, 2006, which is
        designed to focus on many of the fundamental questions dividing
        Iraqis; and
            (2) that address the issues of--
                (A) federalism;
                (B) the equitable distribution of oil revenues;
                (C) the demobilization and reintegration of armed militias
                (D) the inducement of the armed opposition to lay down
            their arms and join the political process, and
                (E) the building of a renewed international partnership
            with Iraq aimed at encouraging the economic recovery and
            reconstruction of Iraq.
        (b) Summit Participants.--A summit convened for the purpose stated
    in subsection (a) should include the following participants (as well as
    other appropriate participants):
            (1) Representatives of Iraq's neighbors.
            (2) Representatives of the Arab League.
            (3) The Secretary General of the North Atlantic Treaty
        Organization.
            (4) Representatives of the European Union.
            (5) Leaders of the governments of each permanent member of the
        United Nations Security Council.
    SEC. 1230. SENSE OF CONGRESS ON THE COMMENDABLE ACTIONS OF THE ARMED
    FORCES IN IRAQ.
        (a) Findings.--Congress makes the following findings:
            (1) On June 7, 2006, the United States Armed Forces carried out
        an air strike near the City of Baquba, northeast of Baghdad, Iraq,
        that resulted in the death of Ahmad Fadeel al-Nazal al-Khalayleh,
        better known as Abu Musab al-Zarqawi, the leader of the al-Qaeda in
        Iraq terrorist organization and the most wanted terrorist in Iraq.
            (2) Zarqawi, as the operational commander of al-Qaeda in Iraq,
        led a brutal campaign of suicide bombings, car bombings,
        assassinations, and abductions that caused the deaths of many
        members of the United States Armed Forces, civilian officials of
        the United States Government, thousands of innocent Iraqi
        civilians, and innocent civilians of other nations.
            (3) Zarqawi publicly swore his allegiance to Osama bin Laden
        and al-Qaeda in 2004, and changed the name of his terrorist
        organization from the ``Monotheism and Holy War Group'' to ``al-
        Qaeda in Iraq''.
            (4) In an audiotape broadcast in December 2004, Osama bin
        Laden, the leader of al-Qaeda's worldwide terrorist organization,
        called Zarqawi ``the prince of al-Qaeda in Iraq''.
            (5) Three perpetrators confessed to being paid by Zarqawi to
        carry out the October 2002 assassination of the United States
        diplomat, Lawrence Foley, in Amman, Jordan.
            (6) The Monotheism and Holy War Group claimed responsibility
        for--
                (A) the August 2003 suicide attack that destroyed the
            United Nations headquarters in Baghdad and killed the United
            Nations envoy to Iraq, Sergio Vieira de Mello, along with 21
            other people; and
                (B) the suicide attack on the Imam Ali Mosque in Najaf that
            occurred less than two weeks later, which killed at least 85
            people, including the Ayatollah Sayed Mohammed Baqr al-Hakim,
            and wounded dozens more.
            (7) Zarqawi is believed to have personally beheaded American
        hostage Nicholas Berg in May 2004.
            (8) In May 2004, Zarqawi was implicated in a car bombing that
        killed Izzadine Salim, the rotating president of the Iraqi
        Governing Council.
            (9) In November 2005, al-Qaeda in Iraq attacked three hotels in
        Amman, Jordan, killing at least 67 innocent civilians.
            (10) Zarqawi and his terrorist organization were directly
        responsible for numerous other brutal terrorist attacks against the
        American and coalition forces, Iraqi security forces and recruits,
        and innocent Iraqi civilians.
            (11) Zarqawi sought to turn Iraq into a safe haven for al-
        Qaeda.
            (12) To achieve that end, Zarqawi stated his opposition to the
        democratically elected government of Iraq and worked to divide the
        Iraqi people, foment sectarian violence, and incite a civil war in
        Iraq.
            (13) The members of the United States Armed Forces, the
        intelligence community, and other Federal agencies, along with
        coalition partners and the Iraqi Security Forces, should be
        commended for their courage and extraordinary efforts to track down
        the most wanted terrorist in Iraq and to secure a free and
        prosperous future for the people of Iraq.
        (b) Sense of Congress.--It is the sense of Congress that Congress--
            (1) commends the United States Armed Forces, the intelligence
        community, and other Federal agencies, along with coalition
        partners, for the actions taken through June 7, 2006, that resulted
        in the death of Abu Musab al-Zarqawi, the leader of the al-Qaeda in
        Iraq terrorist organization and the most wanted terrorist in Iraq;
            (2) commends the United States Armed Forces, the intelligence
        community, and other agencies for the action referred to in
        paragraph (1) and their exemplary performance in striving to bring
        freedom, democracy, and security to the people of Iraq;
            (3) commends the coalition partners of the United States, the
        new government of Iraq, and members of the Iraqi Security Forces
        for their invaluable assistance in the operation referred to in
        paragraph (1) and their extraordinary efforts to secure a free and
        prosperous Iraq;
            (4) commends United States civilian and military leadership for
        their continuing efforts to eliminate the leadership of al-Qaeda in
        Iraq, and also commends the new government of Iraq, led by Prime
        Minister Nouri al-Maliki, for its contribution to that achievement;
            (5) recognizes that the death of Abu Musab al-Zarqawi is a
        victory for American and coalition forces in the global war on
        terror and a blow to the al-Qaeda terrorist organization;
            (6) commends Iraqi Prime Minister Nouri al-Maliki on the
        finalization of the new Iraqi cabinet;
            (7) urges the democratically elected government in Iraq to use
        this opportunity to defeat the terrorist enemy, to put an end to
        ethnic and sectarian violence, and to achieve a free, prosperous,
        and secure future for Iraq; and
            (8) affirms that the Congress will continue to support the
        United States Armed Forces, the democratically elected unity
        government of Iraq, and the people of Iraq in their quest to secure
        a free, prosperous, and democratic Iraq.
    SEC. 1231. ANNUAL REPORT ON FOREIGN SALES OF SIGNIFICANT MILITARY
    EQUIPMENT MANUFACTURED IN THE UNITED STATES.
        (a) Report Required.--Not later than March 31 of each year, the
    Secretary of Defense shall submit to the congressional defense
    committees a report on foreign military sales and direct sales to
    foreign entities of significant military equipment manufactured in the
    United States during the preceding calendar year.
        (b) Contents.--Each report required by subsection (a) shall
    indicate, for each sale of significant military equipment in excess of
    $2,000,000--
            (1) the nature of the equipment and the dollar value of the
        sale;
            (2) the country to which the equipment was sold; and
            (3) the manufacturer of the equipment and the State in which
        the equipment was manufactured.
        (c) Public Availability.--The Secretary of Defense shall make each
    report required by subsection (a) publicly available to the maximum
    extent practicable.
        (d) Significant Military Equipment Defined.--In this section, the
    term ``significant military equipment'' has the meaning given the term
    in section 47(9) of the Arms Export Control Act (22 U.S.C. 2794(9)
    note).

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

    Sec. 1301. Specification of Cooperative Threat Reduction programs and
              funds.
    Sec. 1302. Funding allocations.
    Sec. 1303. Extension of temporary authority to waive limitation on
              funding for chemical weapons destruction facility in Russia.
    Sec. 1304. National Academy of Sciences study of prevention of
              proliferation of biological weapons.
    SEC. 1301. SPECIFICATION OF COOPERATIVE THREAT REDUCTION PROGRAMS AND
    FUNDS.
        (a) Specification of CTR Programs.--For purposes of section 301 and
    other provisions of this Act, Cooperative Threat Reduction programs are
    the programs specified in section 1501(b) of the National Defense
    Authorization Act for Fiscal Year 1997 (Public Law 104-201; 110 Stat.
    2731; 50 U.S.C. 2362 note).
        (b) Fiscal Year 2007 Cooperative Threat Reduction Funds Defined.--
    As used in this title, the term ``fiscal year 2007 Cooperative Threat
    Reduction funds'' means the funds appropriated pursuant to the
    authorization of appropriations in section 301 for Cooperative Threat
    Reduction programs.
        (c) Availability of Funds.--Funds appropriated pursuant to the
    authorization of appropriations in section 301 for Cooperative Threat
    Reduction programs shall be available for obligation for three fiscal
    years.
    SEC. 1302. FUNDING ALLOCATIONS.
        (a) Funding for Specific Purposes.--Of the $372,128,000 authorized
    to be appropriated to the Department of Defense for fiscal year 2007 in
    section 301(19) for Cooperative Threat Reduction programs, the
    following amounts may be obligated for the purposes specified:
            (1) For strategic offensive arms elimination in Russia,
        $76,985,000.
            (2) For nuclear weapons storage security in Russia,
        $87,100,000.
            (3) For nuclear weapons transportation security in Russia,
        $33,000,000.
            (4) For weapons of mass destruction proliferation prevention in
        the states of the former Soviet Union, $37,486,000.
            (5) For biological weapons proliferation prevention in the
        former Soviet Union, $68,357,000.
            (6) For chemical weapons destruction in Russia, $42,700,000.
            (7) For defense and military contacts, $8,000,000.
            (8) For activities designated as Other Assessments/
        Administrative Support, $18,500,000.
        (b) Report on Obligation or Expenditure of Funds for Other
    Purposes.--No fiscal year 2007 Cooperative Threat Reduction funds may
    be obligated or expended for a purpose other than a purpose listed in
    paragraphs (1) through (8) of subsection (a) until 30 days after the
    date that the Secretary of Defense submits to Congress a report on the
    purpose for which the funds will be obligated or expended and the
    amount of funds to be obligated or expended. Nothing in the preceding
    sentence shall be construed as authorizing the obligation or
    expenditure of fiscal year 2007 Cooperative Threat Reduction funds for
    a purpose for which the obligation or expenditure of such funds is
    specifically prohibited under this title or any other provision of law.
        (c) Limited Authority to Vary Individual Amounts.--
            (1) In general.--Subject to paragraphs (2) and (3), in any case
        in which the Secretary of Defense determines that it is necessary
        to do so in the national interest, the Secretary may obligate
        amounts appropriated for fiscal year 2007 for a purpose listed in
        any of the paragraphs in subsection (a) in excess of the specific
        amount authorized for that purpose.
            (2) Notice-and-wait required.--An obligation of funds for a
        purpose stated in any of the paragraphs in subsection (a) in excess
        of the specific amount authorized for such purpose may be made
        using the authority provided in paragraph (1) only after--
                (A) the Secretary submits to Congress notification of the
            intent to do so together with a complete discussion of the
            justification for doing so; and
                (B) 15 days have elapsed following the date of the
            notification.
            (3) Restriction.--The Secretary may not, under the authority
        provided in paragraph (1), obligate amounts for a purpose stated in
        any of paragraphs (6) through (8) of subsection (a) in excess of
        125 percent of the specific amount authorized for such purpose.
    SEC. 1303. EXTENSION OF TEMPORARY AUTHORITY TO WAIVE LIMITATION ON
    FUNDING FOR CHEMICAL WEAPONS DESTRUCTION FACILITY IN RUSSIA.
        Section 1303 of the Ronald W. Reagan National Defense Authorization
    Act for Fiscal Year 2005 (Public Law 108-375; 118 Stat. 2094; 22 U.S.C.
    5952 note) is amended--
            (1) in subsection (a), by striking ``shall not apply for a
        calendar year for which the President submits to Congress a written
        certification'' and inserting the following: ``shall not apply for
        a calendar year to the chemical weapons destruction facility that
        is (as of 2006) under construction at Shchuch'ye in the Russian
        Federation, if the President submits to Congress a written
        certification, for the calendar year concerned,''; and
            (2) in subsection (b), by striking ``shall expire'' and all
        that follows through the period at the end and inserting ``is not
        effective for calendar years after calendar year 2011.''.
    SEC. 1304. NATIONAL ACADEMY OF SCIENCES STUDY OF PREVENTION OF
    PROLIFERATION OF BIOLOGICAL WEAPONS.
        (a) Study Required.--Not later than 60 days after the date of the
    enactment of this Act, the Secretary of Defense shall enter into an
    arrangement with the National Academy of Sciences under which the
    Academy shall carry out a study to identify areas for further
    cooperation with Russia and other states of the former Soviet Union
    under the Cooperative Threat Reduction (CTR) program of the Department
    of Defense in the specific area of prevention of proliferation
    biological weapons.
        (b) Matters to Be Included in Study.--The Secretary shall provide
    for the study under subsection (a) to include the following:
            (1) A brief review of any ongoing or previously completed
        United States Government program (whether conducted through the
        Cooperative Threat Reduction program or otherwise) in the area of
        prevention of proliferation of biological weapons.
            (2) An identification of further cooperative work between the
        United States Government and foreign governments, including
        technical scientific cooperation, that could effectively be pursued
        in the area of prevention of proliferation of biological weapons
        and the objectives that such work would be designed to achieve.
            (3) An identification of any obstacles to designing and
        implementing a nonproliferation program (whether conducted through
        the Cooperative Threat Reduction program or otherwise) that could
        successfully accomplish the objectives identified pursuant to
        paragraph (2), together with recommendations for overcoming such
        obstacles, including recommendations in the area of coordination
        among relevant United States Government departments and agencies.
        (c) Report.--
            (1) Secretary of defense report.--Not later than December 31,
        2007, the Secretary of Defense shall submit to the Committee on
        Armed Services of the Senate and the Committee on Armed Services of
        the House of Representatives a report on the study carried out
        under subsection (a).
            (2) Matters to be incuded.--The report under paragraph (1)
        shall incude the following:
                (A) The results of the study carried out under subsection
            (a), including any report received from the National Academy of
            Sciences on such study.
                (B) An assessment of the study by the Secretary.
                (C) an action plan for implementing the recommendations
            from the study, if any, that the Secretary has decided to
            pursue.
            (3) Form of submittal.--The report under paragraph (1) shall be
        submitted in unclassified form, but may include a classified annex.
        (d) Funding.--Of the amounts made available pursuant to the
    authorization of appropriations in section 301(19) for Cooperative
    Threat Reduction programs, not more than $150,000 shall be available to
    carry out this section.

      TITLE XIV--MATTERS RELATED TO DEFENSE AGAINST TERRORISM AND RELATED
                                SECURITY MATTERS

    Sec. 1401. Enhancement to authority to pay rewards for assistance in
              combating terrorism.
    Sec. 1402. Quarterly reports on Department of Defense response to threat
              posed by improvised explosive devices.
    Sec. 1403. Requirement that all military wheeled vehicles used in Iraq
              and Afghanistan outside of secure military operating bases be
              protected by Improvised Explosive Device (IED) jammers.
    Sec. 1404. Report on assessment process of Chairman of the Joint Chiefs
              of Staff relating to Global War on Terrorism.
    Sec. 1405. Treatment under Freedom of Information Act of certain
              confidential information shared with State and local
              personnel.
    Sec. 1406. Database of emergency response capabilities.
    SEC. 1401. ENHANCEMENT TO AUTHORITY TO PAY REWARDS FOR ASSISTANCE IN
    COMBATING TERRORISM.
        (a) Increase in Delegation Limitation.--Paragraph (2) of section
    127b(c) of title 10, United States Code, is amended by striking
    ``$2,500'' and inserting ``$10,000''.
        (b) Expansion of Senior Officers to Whom Combatant Commander
    Authority May Be Delegated.--Such paragraph is further amended--
            (1) by inserting after ``deputy commander'' the following: ``,
        or to the commander of a command directly subordinate to that
        commander,''; and
            (2) by adding at the end the following new sentence: ``Such a
        delegation may be made to the commander of a command directly
        subordinate to the commander of a combatant command only with the
        approval of the Secretary of Defense, the Deputy Secretary of
        Defense, or an Under Secretary of Defense to whom authority has
        been delegated under subparagraph (1)(A).''.
    SEC. 1402. QUARTERLY REPORTS ON DEPARTMENT OF DEFENSE RESPONSE TO
    THREAT POSED BY IMPROVISED EXPLOSIVE DEVICES.
         (a) Reports Required.--
            (1) Initial report.--Not later than 90 days after the date of
        the enactment of this Act, the Secretary of Defense shall submit to
        Congress a report--
                (A) regarding the status of the threat posed to United
            States and allied forces in Iraq and Afghanistan by improvised
            explosive devices; and
                (B) describing efforts being undertaken by the Department
            of Defense to defeat that threat.
            (2) Supplemental quarterly reports.--After the submission of
        the report under paragraph (1), the Secretary shall submit to
        Congress a supplemental report, not later than 30 days after the
        end of each calendar-year quarter, to account for every reported
        incident involving the detonation or discovery of an improvised
        explosive device during the preceding quarter that involved United
        States or allied forces in Iraq and Afghanistan.
            (3) Classification of reports.--Reports under this section
        shall be transmitted in an unclassified manner with a classified
        annex, if necessary.
        (b) Joint IED Defeat Organization and Related Offices.--Each report
    under subsection (a) shall provide the following information regarding
    the joint entity in the Office of the Secretary of Defense known as the
    ``Joint IED Defeat Organization'' and those portions of all other
    organizational elements within the Department of Defense that are
    focused on countering improvised explosive devices:
            (1) The number of Department of Defense personnel assigned to
        the Joint IED Defeat Organization and each other organizational
        element.
            (2) The major locations to which such personnel are assigned
        and the organizational structure of those elements.
            (3) The projected budget of the Joint IED Defeat Organization
        and those other elements relating to the counter-IED mission.
            (4) The level of funding required for administrative costs
        relating to the counter-IED mission.
        (c) Existing Threat and Counter Measures.--Each report under
    subsection (a) shall include the following information regarding the
    threat posed by improvised explosive devices and the countermeasures
    employed to defeat those threats:
            (1) The number of improvised explosive devices being
        encountered by United States and allied military personnel,
        including general trends in tactics and technology used by the
        enemy.
            (2) Passive countermeasures employed and the success rate of
        each such countermeasure.
            (3) Active countermeasures employed and the success rate of
        each such countermeasure.
            (4) Any evidence of assistance to the enemy by foreign
        countries or other entities not directly involved in fighting
        United States and allied forces in Iraq and Afghanistan.
            (5) A summary of data collected and reports generated by the
        Department of Defense on efforts to counter improvised explosive
        devices in Iraq and Afghanistan and other fronts in the Global War
        on Terrorism.
        (d) Research, Development, Test, and Evaluation of New
    Countermeasures.--Each report under subsection (a) shall include the
    following information regarding research, development, test, and
    evaluation activities relating to new active and passive
    countermeasures and any impediments to those activities:
            (1) The status of any effort within the Department of Defense
        to conduct research, development, test, and evaluation of passive
        and active countermeasures and to accelerate the introduction of
        those countermeasures into deployed units.
            (2) Impediments to introduction of new passive and active
        countermeasures.
        (e) Interdiction Efforts.--
            (1) Description of interdiction efforts.--Each report under
        subsection (a) shall identify those portions of any office within
        the Department of Defense (in addition to those discussed pursuant
        to subsection (b)) that are focused on interdiction of improvised
        explosive devices, together with the personnel and funding
        requirements for that office (as specified in subsection (b)) and
        the success of the interdiction efforts of that office.
            (2) Interdiction defined.--For purposes of this subsection, the
        term ``interdiction'' includes--
                (A) the development of intelligence regarding persons and
            locations involved in the manufacture or deployment of
            improvised explosive devices; and
                (B) subsequent action against those persons or locations,
            including efforts to prevent emplacement of improvised
            explosive devices.
    SEC. 1403. REQUIREMENT THAT ALL MILITARY WHEELED VEHICLES USED IN IRAQ
    AND AFGHANISTAN OUTSIDE OF SECURE MILITARY OPERATING BASES BE PROTECTED
    BY IMPROVISED EXPLOSIVE DEVICE (IED) JAMMERS.
        (a) Requirement.--The Secretary of Defense shall take such steps as
    necessary to ensure that by the end of fiscal year 2007 all United
    States military wheeled vehicles used in Iraq and Afghanistan outside
    of secure military operating bases are protected by Improvised
    Explosive Device (IED) jammers.
        (b) Funding.--The Secretary shall carry out subsection (a) using
    funds provided pursuant to authorizations of appropriations in title
    XV.
        (c) Report.--Not later than December 15, 2006, the Secretary of
    Defense shall submit to the congressional defense committees a report
    on the cost and timeline to complete compliance with the requirement in
    subsection (a) that by the end of fiscal year 2007 each vehicle
    described in that subsection be protected by an Improvised Explosive
    Device jammer.
    SEC. 1404. REPORT ON ASSESSMENT PROCESS OF CHAIRMAN OF THE JOINT CHIEFS
    OF STAFF RELATING TO GLOBAL WAR ON TERRORISM.
        Not later than March 1, 2007, the Secretary of Defense shall submit
    to the Committee on Armed Services of the Senate and the Committee on
    Armed Services of the House of Representatives a report on the findings
    of the semiannual assessment process relating to the Global War on
    Terrorism that is described in the annex to the National Military
    Strategic Plan for the War on Terrorism, issued by the Secretary of
    Defense on February 1, 2006, that is designated as the Implementation
    and Assessment Annex (Annex R).
    SEC. 1405. TREATMENT UNDER FREEDOM OF INFORMATION ACT OF CERTAIN
    CONFIDENTIAL INFORMATION SHARED WITH STATE AND LOCAL PERSONNEL.
        (a) In General.--Chapter 3 of title 10, United States Code, is
    amended by adding at the end the following new section:

    ``Sec. 130d. Treatment under Freedom of Information Act of certain
                confidential information shared with State and local
                personnel

        ``Confidential business information and other sensitive but
    unclassified homeland security information in the possession of the
    Department of Defense that is shared, pursuant to section 892 of the
    Homeland Security Act of 2002 (6 U.S.C. 482), with State and local
    personnel (as defined in such section) shall not be subject to
    disclosure under section 552 of title 5 by virtue of the sharing of
    such information with such personnel.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by adding at the end the following new item:

    ``130d. Treatment under Freedom of Information Act of certain
              confidential information shared with State and local
              personnel.''.
    SEC. 1406. DATABASE OF EMERGENCY RESPONSE CAPABILITIES.
        The Secretary of Defense shall maintain a database of emergency
    response capabilities that includes the following:
            (1) The types of emergency response capabilities that each
        State's National Guard, as reported by the States, may be able to
        provide in response to a domestic natural or manmade disaster, both
        to their home States and under State-to-State mutual assistance
        agreements.
            (2) The types of emergency response capabilities that the
        Department of Defense may be able to provide in support of the
        National Response Plan's Emergency Support Functions, and
        identification of the units that provide these capabilities.

      TITLE XV--AUTHORIZATION FOR INCREASED COSTS DUE TO OPERATION IRAQI
                     FREEDOM AND OPERATION ENDURING FREEDOM

    Sec. 1501. Purpose.
    Sec. 1502. Army procurement.
    Sec. 1503. Navy and Marine Corps procurement.
    Sec. 1504. Air Force procurement.
    Sec. 1505. Defense-wide activities procurement.
    Sec. 1506. Research, development, test, and evaluation.
    Sec. 1507. Operation and maintenance.
    Sec. 1508. Defense Health Program.
    Sec. 1509. Classified programs.
    Sec. 1510. Military personnel.
    Sec. 1511. Treatment as additional authorizations.
    Sec. 1512. Transfer authority.
    Sec. 1513. Availability of funds.
    Sec. 1514. Joint Improvised Explosive Device Defeat Fund.
    Sec. 1515. Iraq Freedom Fund.
    Sec. 1516. Iraq Security Forces Fund.
    Sec. 1517. Afghanistan Security Forces Fund.
    Sec. 1518. Submittal to Congress of Department of Defense supplemental
              and cost of war execution reports.
    Sec. 1519. Limitation on availability of funds for certain purposes
              relating to Iraq.
    Sec. 1520. Intelligence Community Management Account.
    SEC. 1501. PURPOSE.
        The purpose of this title is to authorize estimated future
    emergency supplemental appropriations for the Department of Defense for
    fiscal year 2007 to provide funds for additional costs due to Operation
    Iraqi Freedom and Operation Enduring Freedom.
    SEC. 1502. ARMY PROCUREMENT.
        Funds are hereby authorized to be appropriated for fiscal year 2007
    for procurement accounts of the Army in amounts as follows:
            (1) For aircraft procurement, $1,524,300,000
            (2) For ammunition procurement, $48,591,000.
            (3) For weapons and tracked combat vehicles procurement,
        $3,022,836,000.
            (4) For other procurement, $4,636,810,000.
            (5) For missile procurement, $3,200,000.
    SEC. 1503. NAVY AND MARINE CORPS PROCUREMENT.
        (a) Navy.--Funds are hereby authorized to be appropriated for
    fiscal year 2007 for procurement accounts for the Navy in amounts as
    follows:
            (1) For aircraft procurement, $389,465,000
            (2) For weapons procurement, $109,400,000.
            (3) For other procurement, $14,600,000.
        (b) Marine Corps.--Funds are hereby authorized to be appropriated
    for fiscal year 2007 for the procurement account for the Marine Corps
    in the amount of $4,397,926,000.
        (c) Navy and Marine Corps Ammunition.--Funds are hereby authorized
    to be appropriated for fiscal year 2007 for the procurement account for
    ammunition for the Navy and the Marine Corps in the amount of
    $151,439,000.
    SEC. 1504. AIR FORCE PROCUREMENT.
        Funds are hereby authorized to be appropriated for fiscal year 2007
    for procurement accounts for the Air Force in amounts as follows:
            (1) For aircraft procurement, $2,174,000,000.
            (2) For other procurement, $5,650,000.
    SEC. 1505. DEFENSE-WIDE ACTIVITIES PROCUREMENT.
         Funds are hereby authorized to be appropriated for fiscal year
    2007 for the procurement account for Defense-wide in the amount of
    $127,600,000.
    SEC. 1506. RESEARCH, DEVELOPMENT, TEST, AND EVALUATION.
         Funds are hereby authorized to be appropriated for fiscal year
    2007 for the use of the Department of Defense for research,
    development, test, and evaluation as follows:
            (1) For the Army, $2,639,000.
            (2) For the Navy, $7,856,000.
    SEC. 1507. OPERATION AND MAINTENANCE.
        Funds are hereby authorized to be appropriated for fiscal year 2007
    for the use of the Armed Forces for expenses, not otherwise provided
    for, for operation and maintenance, in amounts as follows:
            (1) For the Army, $28,045,387,000.
            (2) For the Navy, $2,007,948,000.
            (3) For the Marine Corps, $2,257,089,000.
            (4) For the Air Force, $2,478,906,000.
            (5) For Defense-wide activities, $1,544,614,000.
            (6) For the Army National Guard, $221,500,000.
            (7) For the Air National Guard, $2,000,000.
            (8) For the Army Reserve, $500,000.
    SEC. 1508. DEFENSE HEALTH PROGRAM.
        Funds are hereby authorized to be appropriated for the Department
    of Defense for fiscal year 2007 for expenses, not otherwise provided
    for, the Defense Health Program, in the amount of $869,200,000 for
    operation and maintenance.
    SEC. 1509. CLASSIFIED PROGRAMS.
        Funds are hereby authorized to be appropriated to the Department of
    Defense for fiscal year 2007 for classified programs, in the amount of
    $2,500,000,000.
    SEC. 1510. MILITARY PERSONNEL.
         There is hereby authorized to be appropriated to the Department of
    Defense for military personnel accounts for fiscal year 2007 a total of
    $8,106,979,000.
    SEC. 1511. TREATMENT AS ADDITIONAL AUTHORIZATIONS.
        The amounts authorized to be appropriated by this title are in
    addition to amounts otherwise authorized to be appropriated by this
    Act.
    SEC. 1512. TRANSFER AUTHORITY.
        (a) Authority To Transfer Authorizations.--
            (1) Authority.--Upon determination by the Secretary of Defense
        that such action is necessary in the national interest, the
        Secretary may transfer amounts of authorizations made available to
        the Department of Defense in this title for fiscal year 2007
        between any such authorizations for that fiscal year (or any
        subdivisions thereof). Amounts of authorizations so transferred
        shall be merged with and be available for the same purposes as the
        authorization to which transferred.
            (2) Limitation.--The total amount of authorizations that the
        Secretary may transfer under the authority of this section may not
        exceed $2,500,000,000. The transfer authority provided in this
        section is in addition to any other transfer authority available to
        the Secretary of Defense.
        (b) Limitations.--The authority provided by this section to
    transfer authorizations--
            (1) may only be used to provide authority for items that have a
        higher priority than the items from which authority is transferred;
            (2) may not be used to provide authority for an item that has
        been denied authorization by Congress; and
            (3) may not be combined with the authority under section 1001.
        (c) Effect on Authorization Amounts.--A transfer made from one
    account to another under the authority of this section shall be deemed
    to increase the amount authorized for the account to which the amount
    is transferred by an amount equal to the amount transferred.
        (d) Notice to Congress.--A transfer may be made under the authority
    of this section only after the Secretary of Defense--
            (1) consults with the chairmen and ranking members of the
        congressional defense committees with respect to the proposed
        transfer; and
            (2) after such consultation, notifies those committees in
        writing of the proposed transfer not less than five days before the
        transfer is made.
    SEC. 1513. AVAILABILITY OF FUNDS.
        Funds in this title shall be made available for obligation to the
    Army, Navy, Marine Corps, Air Force, and Defense-wide components by the
    end of the second quarter of fiscal year 2007.
    SEC. 1514. JOINT IMPROVISED EXPLOSIVE DEVICE DEFEAT FUND.
        (a) Authorization of Appropriation.--Funds are hereby authorized
    for fiscal year 2007 for the Joint Improvised Explosive Device Defeat
    Fund in the amount of $2,100,000,000.
        (b) Use of Funds.--Funds appropriated pursuant to subsection (a)
    shall be available to the Secretary of Defense for the purpose of
    allowing the Director of the Joint Improvised Explosive Device Defeat
    Organization to investigate, develop, and provide equipment, supplies,
    services, training, facilities, personnel, and funds to assist United
    States forces in the defeat of improvised explosive devices.
        (c) Transfer Authority.--
            (1) Transfers authorized.--Amounts authorized to be
        appropriated by subsection (a) may be transferred from the Joint
        Improvised Explosive Device Defeat Fund to any of the following
        accounts and funds of the Department of Defense to accomplish the
        purposes provided in subsection (b):
                (A) Military personnel accounts.
                (B) Operation and maintenance accounts.
                (C) Procurement accounts.
                (D) Research, development, test, and evaluation accounts.
                (E) Defense working capital funds.
            (2) Additional transfer authority.--The transfer authority
        provided by paragraph (1) is in addition to any other transfer
        authority available to the Department of Defense.
            (3) Transfers back to the fund.--Upon determination that all or
        part of the funds transferred from the Joint Improvised Explosive
        Device Defeat Fund under paragraph (1) are not necessary for the
        purpose provided, such funds may be transferred back to the Joint
        Improvised Explosive Device Defeat Fund.
            (4) Prior notice to congressional committees.--Funds may not be
        obligated from the Joint Improvised Explosive Device Defeat Fund,
        or transferred under the authority provided in paragraph (1), until
        five days after the date on which the Secretary of Defense notifies
        the congressional defense committees in writing of the details of
        the proposed obligation or transfer.
            (5) Effect on authorization amounts.--A transfer of an amount
        to an account under the authority in paragraph (1) shall be deemed
        to increase the amount authorized for such account by an amount
        equal to the amount transferred.
        (d) Management Plan.--
            (1) Plan required.--Not later than 60 days after the date of
        the enactment of this Act, the Secretary shall submit to the
        congressional defense committees a plan for the intended management
        and use of the Joint Improvised Explosive Device Defeat Fund.
            (2) Matter to be included.--The plan required by paragraph (1)
        shall include an update of the plan required in the paragraph under
        the heading ``Joint Improvised Explosive Device Defeat Fund'' in
        chapter 2 of title I of the Emergency Supplemental Appropriations
        Act for Defense, the Global War on Terror, and Hurricane Recovery,
        2006 (Public Law 109-234; 120 Stat. 424), including identification
        of--
                (A) year-to-date transfers and obligations; and
                (B) projected transfers and obligations through September
            30, 2007.
        (e) Quarterly Reports.--Not later than 30 days after the end of
    each fiscal-year quarter, the Secretary shall submit to the
    congressional defense committees a report summarizing the detail of any
    obligation or transfer of funds from the Joint Improvised Explosive
    Device Defeat Fund plan required by subsection (d).
        (f) Duration of Authority.--Amounts appropriated to the Fund are
    available for obligation or transfer from the Fund until September 30,
    2009.
    SEC. 1515. IRAQ FREEDOM FUND.
        (a) In General.--Funds are hereby authorized to be appropriated for
    fiscal year 2007 for the Iraq Freedom Fund in the amount of
    $50,000,000.
        (b) Transfer.--
            (1) Transfer authorized.--Subject to paragraph (2), amounts
        authorized to be appropriated by subsection (a) may be transferred
        from the Iraq Freedom Fund to any accounts as follows:
                (A) Operation and maintenance accounts of the Armed Forces.
                (B) Military personnel accounts.
                (C) Research, development, test, and evaluation accounts of
            the Department of Defense.
                (D) Procurement accounts of the Department of Defense.
                (E) Accounts providing funding for classified programs.
                (F) The operating expenses account of the Coast Guard.
            (2) Notice to congress.--A transfer may not be made under the
        authority in paragraph (1) until five days after the date on which
        the Secretary of Defense notifies the congressional defense
        committees in writing of the transfer.
            (3) Treatment of transferred funds.--Amounts transferred to an
        account under the authority in paragraph (1) shall be merged with
        amounts in such account and shall be made available for the same
        purposes, and subject to the same conditions and limitations, as
        amounts in such account.
            (4) Effect on authorization amounts.--A transfer of an amount
        to an account under the authority in paragraph (1) shall be deemed
        to increase the amount authorized for such account by an amount
        equal to the amount transferred.
    SEC. 1516. IRAQ SECURITY FORCES FUND.
        (a) Authorization of Appropriations.--Funds are hereby authorized
    to be appropriated for fiscal year 2007 for the Iraq Security Forces
    Fund in the amount of $1,734,000,000.
        (b) Use of Funds.--
            (1) In general.--Funds appropriated pursuant to subsection (a)
        shall be available to the Secretary of Defense for the purpose of
        allowing the Commander, Multi-National Security Transition
        Command--Iraq, to provide assistance to the security forces of
        Iraq.
            (2) Types of assistance authorized.--Assistance provided under
        this section may include the provision of equipment, supplies,
        services, training, facility and infrastructure repair, renovation,
        construction, and funding.
            (3) Secretary of state concurrence.--Assistance may be provided
        under this section only with the concurrence of the Secretary of
        State.
        (c) Authority in Addition to Other Authorities.--The authority to
    provide assistance under this section is in addition to any other
    authority to provide assistance to foreign nations.
        (d) Transfer Authority.--
            (1) Transfers authorized.--Subject to paragraph (2), amounts
        authorized to be appropriated by subsection (a) may be transferred
        from the Iraq Security Forces Fund to any of the following accounts
        and funds of the Department of Defense to accomplish the purposes
        provided in subsection (b):
                (A) Military personnel accounts.
                (B) Operation and maintenance accounts.
                (C) Procurement accounts.
                (D) Research, development, test, and evaluation accounts.
                (E) Defense working capital funds.
                (F) Overseas Humanitarian, Disaster, and Civic Aid account.
            (2) Additional authority.--The transfer authority provided by
        paragraph (1) is in addition to any other transfer authority
        available to the Department of Defense.
            (3) Transfers back to the fund.--Upon determination that all or
        part of the funds transferred from the Iraq Security Forces Fund
        under paragraph (1) are not necessary for the purpose provided,
        such funds may be transferred back to the Iraq Security Forces
        Fund.
            (4) Prior notice to congressional committees.--Funds may not be
        obligated from the Iraq Security Forces Fund, or transferred under
        the authority provided in paragraph (1), until five days after the
        date on which the Secretary of Defense notifies the congressional
        defense committees in writing of the details of the proposed
        obligation or transfer.
            (5) Effect on authorization amounts.--A transfer of an amount
        to an account under the authority in paragraph (1) shall be deemed
        to increase the amount authorized for such account by an amount
        equal to the amount transferred.
        (e) Contributions.--
            (1) Authority to accept contributions.--Contributions of funds
        for the purposes provided in subsection (b) from any person,
        foreign government, or international organization may be credited
        to the Iraq Security Forces Fund and used for the purposes provided
        in subsection (b).
            (2) Limitation.--The Secretary may not accept a contribution
        under this subsection if the acceptance of the contribution would
        compromise or appear to compromise the integrity of any program of
        the Department of Defense.
            (3) Notification.--The Secretary shall notify the congressional
        defense committees in writing upon the receipt and upon the
        transfer of any contribution. Such notice shall delineate the
        sources and amounts of the funds received and the specific use of
        such contributions.
        (f) Quarterly Reports.--Not later than 30 days after the end of
    each fiscal-year quarter, the Secretary shall submit to the
    congressional defense committees a report summarizing the details of
    any obligation or transfer of funds from the Iraq Security Forces Fund
    during the preceding quarter.
        (g) Duration of Authority.--Amounts appropriated or contributed to
    the Fund are available for obligation or transfer from the Iraq
    Security Forces Fund until September 30, 2008.
    SEC. 1517. AFGHANISTAN SECURITY FORCES FUND.
        (a) Authorization of Appropriations.--Funds are hereby authorized
    to be appropriated for fiscal year 2007 for the Afghanistan Security
    Forces Fund in the amount of $1,446,300,000.
        (b) Use of Funds.--
            (1) In general.--Funds appropriated pursuant to subsection (a)
        shall be available to the Secretary of Defense for the purpose of
        allowing the Commander, Office of Security Cooperation--
        Afghanistan, to provide assistance to the security forces of
        Afghanistan.
            (2) Types of assistance authorized.--Assistance provided under
        this section may include the provision of equipment, supplies,
        services, training, facility and infrastructure repair, renovation,
        construction, and funding.
            (3) Secretary of state concurrence.--Assistance may be provided
        under this section only with the concurrence of the Secretary of
        State.
        (c) Authority in Addition to Other Authorities.--The authority to
    provide assistance under this section is in addition to any other
    authority to provide assistance to foreign nations.
        (d) Transfer Authority.--
            (1) Transfers authorized.--Subject to paragraph (2), amounts
        authorized to be appropriated by subsection (a) may be transferred
        from the Afghanistan Security Forces Fund to any of the following
        accounts and funds of the Department of Defense to accomplish the
        purposes provided in subsection (b):
                (A) Military personnel accounts.
                (B) Operation and maintenance accounts.
                (C) Procurement accounts.
                (D) Research, development, test, and evaluation accounts.
                (E) Defense working capital funds.
                (F) Overseas Humanitarian, Disaster, and Civic Aid account.
            (2) Additional authority.--The transfer authority provided by
        paragraph (1) is in addition to any other transfer authority
        available to the Department of Defense.
            (3) Transfers back to the fund.--Upon determination that all or
        part of the funds transferred from the Afghanistan Security Forces
        Fund under paragraph (1) are not necessary for the purpose
        provided, such funds may be transferred back to the Afghanistan
        Security Forces Fund.
            (4) Prior notice to congressional committees.--Funds may not be
        obligated from the Afghanistan Security Forces Fund, or transferred
        under the authority provided in paragraph (1), until five days
        after the date on which the Secretary of Defense notifies the
        congressional defense committees in writing of the details of the
        proposed obligation or transfer.
            (5) Effect on authorization amounts.--A transfer of an amount
        to an account under the authority in paragraph (1) shall be deemed
        to increase the amount authorized for such account by an amount
        equal to the amount transferred.
        (e) Contributions.--
            (1) Authority to accept contributions.--Contributions of funds
        for the purposes provided in subsection (b) from any person,
        foreign government, or international organization may be credited
        to the Afghanistan Security Forces Fund and used for the purposes
        provided in subsection (b).
            (2) Limitation.--The Secretary may not accept a contribution
        under this subsection if the acceptance of the contribution would
        compromise or appear to compromise the integrity of any program of
        the Department of Defense.
            (3) Notification.--The Secretary shall notify the congressional
        defense committees in writing upon the receipt and upon the
        transfer of any contribution. Such notice shall delineate the
        sources and amounts of the funds received and the specific use of
        such contributions.
        (f) Quarterly Reports.--Not later than 30 days after the end of
    each fiscal-year quarter, the Secretary shall submit to the
    congressional defense committees a report summarizing the details of
    any obligation or transfer of funds from the Afghanistan Security
    Forces Fund during the preceding quarter.
        (g) Duration of Authority.--Amounts appropriated or contributed to
    the Fund are available for obligation or transfer from the Afghanistan
    Security Forces Fund until September 30, 2008.
    SEC. 1518. SUBMITTAL TO CONGRESS OF DEPARTMENT OF DEFENSE SUPPLEMENTAL
    AND COST OF WAR EXECUTION REPORTS.
        Section 1221(c) of the National Defense Authorization Act for
    Fiscal Year 2006 (Public Law 109-163; 119 Stat. 3462; 10 U.S.C. 113
    note) is amended--
            (1) in the subsection caption by inserting ``Congress and''
        after ``Submission to''; and
            (2) by inserting ``the congressional defense committees and''
        before ``the Comptroller General''.
    SEC. 1519. LIMITATION ON AVAILABILITY OF FUNDS FOR CERTAIN PURPOSES
    RELATING TO IRAQ.
        No funds appropriated pursuant to an authorization of
    appropriations in this Act may be obligated or expended for a purpose
    as follows:
            (1) To establish any military installation or base for the
        purpose of providing for the permanent stationing of United States
        Armed Forces in Iraq.
            (2) To exercise United States economic control of the oil
        resources of Iraq.
    SEC. 1520. INTELLIGENCE COMMUNITY MANAGEMENT ACCOUNT.
        There is hereby authorized to be appropriated for the Intelligence
    Community Management Account for fiscal year 2007 a total of
    $19,265,000.

                DIVISION B--MILITARY CONSTRUCTION AUTHORIZATIONS

    SEC. 2001. SHORT TITLE.
        This division may be cited as the ``Military Construction
    Authorization Act for Fiscal Year 2007''.
    SEC. 2002. RECOGNITION OF REPRESENTATIVE JOEL HEFLEY UPON HIS
    RETIREMENT FROM THE HOUSE OF REPRESENTATIVES.
        (a) Findings.--Congress makes the following findings:
            (1) Representative Joel Hefley was elected to represent
        Colorado's 5th Congressional district in 1986 and has served in the
        House of Representatives since that time with distinction, class,
        integrity, and honor.
            (2) Representative Hefley has served on the Committee on Armed
        Services of the House of Representatives for 18 years, including
        service as Chairman of the Subcommittee on Military Installations
        and Facilities from 1995 through 2000 and, since 2001, as Chairman
        of the Subcommittee on Readiness.
            (3) Representative Hefley's colleagues know him to be a fair
        and effective lawmaker who works for the national interest while
        never forgetting his Western roots.
            (4) Representative Hefley's efforts on the Committee on Armed
        Services have been instrumental to the military value of, and
        quality of life at, installations in the State of Colorado,
        including Fort Carson, Cheyenne Mountain, Peterson Air Force Base,
        Schriever Air Force Base, Buckley Air Force Base, and the United
        States Air Force Academy.
            (5) Representative Hefley was a leader in efforts to retain and
        expand Fort Carson as an essential part of the national defense
        system during the Defense Base Closure and Realignment process.
            (6) Representative Hefley has consistently advocated for
        providing members of the Armed Forces and their families with
        quality, safe, and affordable housing and supportive communities.
            (7) As a primary architect of the Military Housing
        Privatization Initiative, Representative Hefley helped lead
        congressional efforts to establish this initiative to eliminate
        inadequate housing on military installations, and the first pilot
        program was located at Fort Carson.
            (8) Representative Hefley's leadership on the Military Housing
        Privatization Initiative has allowed for the privatization of more
        than 121,000 units of military family housing, which brought
        meaningful improvements to living conditions for thousands of
        members of the Armed Forces and their spouses and children at
        installations throughout the United States.
        (b) Recognition.--Congress recognizes and commends Representative
    Joel Hefley for his 20 years of service to benefit the people of
    Colorado, members of the Armed Forces and their families, veterans, and
    the United States.

                                TITLE XXI--ARMY

    Sec. 2101. Authorized Army construction and land acquisition projects
    Sec. 2102. Family housing
    Sec. 2103. Improvements to military family housing units
    Sec. 2104. Authorization of appropriations, Army
    SEC. 2101. AUTHORIZED ARMY CONSTRUCTION AND LAND ACQUISITION PROJECTS.
        (a) Inside the United States.--Using amounts appropriated pursuant
    to the authorization of appropriations in section 2104(a)(1), the
    Secretary of the Army may acquire real property and carry out military
    construction projects for the installations or locations inside the
    United States, and in the amounts, set forth in the following table:

                         Army: Inside the United States
    ------------------------------------------------------------------------
                                         Installation or
                 State                       Location             Amount
    ------------------------------------------------------------------------
    Alabama........................  Redstone Arsenal.......     $24,300,000
    Alaska.........................  Fort Richardson........     $72,300,000
                                     Fort Wainwright........      $8,800,000
                                     Fort Irwin.............     $18,200,000
                                     Fort Carson............     $30,800,000
                                     Fort Gillem............     $15,000,000
                                     Fort Stewart/Hunter         $95,300,000
                                      Army Air Field.
    Hawaii.........................  Schofield Barracks.....     $54,500,000
    Kansas.........................  Fort Leavenworth.......     $23,200,000
                                     Fort Riley.............     $47,400,000
    Kentucky.......................  Blue Grass Army Depot..      $3,500,000
                                     Fort Campbell..........    $135,300,000
    Louisiana......................  Fort Polk..............     $15,900,000
    Maryland.......................  Aberdeen Proving Ground      $8,800,000
                                     Fort Detrick...........     $12,400,000
    Michigan.......................  Detroit Arsenal........     $18,500,000
    Missouri.......................  Fort Leonard Wood......     $34,500,000
    New Jersey.....................  Picatinny Arsenal......      $9,900,000
    New York.......................  Fort Drum..............    $218,600,000
    North Carolina.................  Fort Bragg.............     $96,900,000
                                     Sunny Point Military        $46,000,000
                                      Ocean Terminal.
    Oklahoma.......................  McAlester Army               $3,050,000
                                      Ammunition Plant.
    Pennsylvania...................  Letterkenny Depot......      $7,500,000
    Texas..........................  Corpus Christi Army         $12,200,000
                                      Depot.
                                     Fort Bliss.............      $8,200,000
                                     Fort Hood..............     $93,000,000
                                     Red River Depot........      $6,000,000
    Utah...........................  Dugway Proving Ground..     $14,400,000
    Virginia.......................  Fort Belvoir...........     $27,000,000
    ------------------------------------------------------------------------

                         Army: Inside the United States
    ------------------------------------------------------------------------
                                           Installation or
                   State                      Location            Amount
    ------------------------------------------------------------------------
    Alabama...........................  Redstone Arsenal....     $24,300,000
    Alaska............................  Fort Richardson.....     $72,300,000
                                        Fort Wainwright.....      $8,800,000
    California........................  Fort Irwin..........     $18,200,000
    Colorado..........................  Fort Carson.........     $30,800,000
    Georgia...........................  Fort Gillem.........     $15,000,000
                                        Fort Stewart/Hunter      $95,300,000
                                         Army Air Field.
    Hawaii............................  Schofield Barracks..     $54,500,000
    Kansas............................  Fort Leavenworth....     $23,200,000
                                        Fort Riley..........     $47,400,000
    Kentucky..........................  Blue Grass Army           $3,500,000
                                         Depot.
                                        Fort Campbell.......    $135,300,000
    Louisiana.........................  Fort Polk...........     $15,900,000
    Maryland..........................  Aberdeen Proving          $8,800,000
                                         Ground.
                                        Fort Detrick........     $12,400,000
    Michigan..........................  Detroit Arsenal.....     $18,500,000
    Missouri..........................  Fort Leonard Wood...     $34,500,000
    New Jersey........................  Picatinny Arsenal...      $9,900,000
    New York..........................  Fort Drum...........    $218,600,000
    North Carolina....................  Fort Bragg..........     $96,900,000
                                        Sunny Point Military     $46,000,000
                                         Ocean Terminal.
    Oklahoma..........................  McAlester Army            $3,050,000
                                         Ammunition Plant.
    Pennsylvania......................  Letterkenny Depot...      $7,500,000
    Texas.............................  Corpus Christi Army      $12,200,000
                                         Depot.
                                        Fort Bliss..........      $8,200,000
                                        Fort Hood...........     $93,000,000
                                        Red River Depot.....      $6,000,000
    Utah..............................  Dugway Proving           $14,400,000
                                         Ground.
    Virginia..........................  Fort Belvoir........     $27,000,000
    ------------------------------------------------------------------------

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

                         Army: Outside the United States
    ------------------------------------------------------------------------
                                          Installation or
                 Country                      Location            Amount
    ------------------------------------------------------------------------
    Germany..........................  Grafenwoehr..........    $157,632,000
                                       Vilseck..............     $19,000,000
    Italy............................  Vicenza..............    $223,000,000
    Japan............................  Camp Hansen..........      $7,150,000
    Korea............................  Camp Humphreys.......     $61,600,000
                                       Yongpyong............      $7,400,000
    Romania..........................  Babadag Range........     $34,800,000
    ------------------------------------------------------------------------

    SEC. 2102. FAMILY HOUSING.
        (a) Construction and Acquisition.--Using amounts appropriated
    pursuant to the authorization of appropriations in section
    2104(a)(5)(A), the Secretary of the Army may construct or acquire
    family housing units (including land acquisition and supporting
    facilities) at the installations or locations, in the number of units,
    and in the amounts set forth in the following table:

                                                  Army: Family Housing
    ----------------------------------------------------------------------------------------------------------------
                      State                    Installation or Location              Units                Amount
    ----------------------------------------------------------------------------------------------------------------
    Alaska..................................  Fort Richardson...........  162                            $70,000,000
                                              Fort Wainwright...........  234                           $132,000,000
    Arizona.................................  Fort Huachuca.............  119                            $32,000,000
    Arkansas................................  Pine Bluff Arsensal.......  10                              $2,900,000
    Wisconsin...............................  Fort McCoyine.............  13                              $4,900,000
    ----------------------------------------------------------------------------------------------------------------

        (b) Planning and Design.--Using amounts appropriated pursuant to
    the authorization of appropriations in section 2104(a)(5)(A), the
    Secretary of the Army may carry out architectural and engineering
    services and construction design activities with respect to the
    construction or improvement of family housing units in an amount not to
    exceed $16,332,000.
    SEC. 2103. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.
        Subject to section 2825 of title 10, United States Code, and using
    amounts appropriated pursuant to the authorization of appropriations in
    section 2104(a)(5)(A), the Secretary of the Army may improve existing
    military family housing units in an amount not to exceed $320,659,000.
    SEC. 2104. AUTHORIZATION OF APPROPRIATIONS, ARMY.
        (a) Authorization of Appropriations.--Funds are hereby authorized
    to be appropriated for fiscal years beginning after September 30, 2006,
    for military construction, land acquisition, and military family
    housing functions of the Department of the Army in the total amount of
    $3,518,450,000 as follows:
            (1) For military construction projects inside the United States
        authorized by section 2101(a), $1,362,200,000.
            (2) For military construction projects outside the United
        States authorized by section 2101(b), $510,582,000.
            (3) For unspecified minor military construction projects
        authorized by section 2805 of title 10, United States Code,
        $23,930,000.
            (4) For architectural and engineering services and construction
        design under section 2807 of title 10, United States Code,
        $219,830,000.
            (5) For military family housing functions:
                (A) For construction and acquisition, planning and design,
            and improvement of military family housing and facilities,
            $578,791,000.
                (B) For support of military family housing (including the
            functions described in section 2833 of title 10, United States
            Code), $675,617,000.
            (6) For the construction of increment 2 of a barracks complex
        at Fort Drum, New York, authorized by section 2101(a) of the
        Military Construction Authorization Act for Fiscal Year 2006
        (division B of Public Law 109-163; 119 Stat. 3485), $16,500,000.
            (7) For the construction of increment 2 of a barracks complex
        for the 2nd Brigade at Fort Bragg, North Carolina, authorized by
        section 2101(a) of the Military Construction Authorization Act for
        Fiscal Year 2006 (division B of Public Law 109-163; 119 Stat.
        3485), $31,000,000.
            (8) For the construction of increment 2 of a barracks complex
        for the 3rd Brigade at Fort Bragg, North Carolina, authorized by
        section 2101(a) of the Military Construction Authorization Act for
        Fiscal Year 2006 (division B of Public Law 109-163; 119 Stat.
        3485), $50,000,000.
            (9) For the construction of increment 2 of a barracks complex
        for divisional artillery at Fort Bragg, North Carolina, authorized
        by section 2101(a) of the Military Construction Authorization Act
        for Fiscal Year 2006 (division B of Public Law 109-163; 119 Stat.
        3485), $37,000,000.
            (10) For the construction of increment 2 of a defense access
        road at Fort Belvoir, Virginia, authorized by section 2101(a) of
        the Military Construction Authorization Act for Fiscal Year 2006
        (division B of Public Law 109-163; 119 Stat. 3486), $13,000,000.
        (b) Limitation on Total Cost of Construction Projects.--
    Notwithstanding the cost variations authorized by section 2853 of title
    10, United States Code, and any other cost variation authorized by law,
    the total cost of all projects carried out under section 2101 of this
    Act may not exceed the sum of the following:
            (1) The total amount authorized to be appropriated under
        paragraphs (1) and (2) of subsection (a).
            (2) $306,000,000 (the balance of the amount authorized under
        section 2101(a) for construction of a brigade complex for Fort
        Lewis, Washington).

                                TITLE XXII--NAVY

    Sec. 2201. Authorized Navy construction and land acquisition projects.
    Sec. 2202. Family housing.
    Sec. 2203. Improvements to military family housing units.
    Sec. 2204. Authorization of appropriations, Navy.
    Sec. 2205. Modification of authority to carry out certain fiscal year
              2004, 2005, and 2006 projects.
    SEC. 2201. AUTHORIZED NAVY CONSTRUCTION AND LAND ACQUISITION PROJECTS.
        (a) Inside the United States.--Using amounts appropriated pursuant
    to the authorization of appropriations in section 2204(a)(1), the
    Secretary of the Navy may acquire real property and carry out military
    construction projects for the installations or locations inside the
    United States, and in the amounts, set forth in the following table:

                         Navy: Inside the United States
    ------------------------------------------------------------------------
                                         Installation or
                 State                       Location             Amount
    ------------------------------------------------------------------------
    Arizona........................  Marine Corps Air             $5,966,000
                                      Station, Yuma.
    California.....................  Marine Corps Air             $6,412,000
                                      Station, Camp
                                      Pendleton.
                                     Marine Corps Air             $2,968,000
                                      Station, Miramar.
                                     Marine Corps Base, Camp    $106,142,000
                                      Pendleton.
                                     Marine Corps Base,          $27,217,000
                                      Twentynine Palms.
                                     Naval Air Station,          $21,535,000
                                      North Island.
                                     Naval Support Activity,      $7,380,000
                                      Monterey.
    Connecticut....................  Naval Submarine Base,        $9,580,000
                                      New London.
    Florida........................  Cape Canaveral.........      $9,900,000
                                     Naval Air Station,          $13,486,000
                                      Pensacola.
    Georgia........................  Marine Corps Logistics      $70,540,000
                                      Base, Albany.
                                     Navy/Naval Submarine        $20,282,000
                                      Base, Kings Bay.
    Hawaii.........................  Naval Base, Pearl           $48,338,000
                                      Harbor.
                                     Naval Magazine, Pearl        $6,010,000
                                      Harbor.
                                     Naval Shipyard, Pearl       $22,000,000
                                      Harbor.
    Indiana........................  Naval Support Activity,      $6,730,000
                                      Crane.
    Maine..........................  Portsmouth Naval             $9,650,000
                                      Shipyard.
    Maryland.......................  Naval Air Station,          $16,316,000
                                      Patuxent River.
                                     NMIC/Naval Support          $67,939,000
                                      Activity, Suitland.
    Mississippi....................  Naval Air Station,           $5,870,000
                                      Meridian.
    Nevada.........................  Naval Air Station,           $7,730,000
                                      Fallon.
    North Carolina.................  Marine Corps Air             $2,790,000
                                      Station, Cherry Point.
                                     Marine Corps Air            $21,500,000
                                      Station, New River.
                                     Marine Corps Base, Camp    $160,904,000
                                      Lejeune.
    Rhode Island...................  Naval Station, Newport.      $3,308,000
    South Carolina.................  Marine Corps Air            $25,575,000
                                      Station, Beaufort.
    Virginia.......................  Marine Corps Base,          $30,628,000
                                      Quantico.
                                     Naval Shipyard, Norfolk     $34,952,000
                                     Naval Special Weapons        $9,850,000
                                      Center, Dahlgren.
                                     Naval Station, Norfolk.     $12,062,000
                                     Naval Support Activity,     $41,712,000
                                      Norfolk.
    Washington.....................  Naval Air Station,          $67,303,000
                                      Whidbey Island.
                                     Naval Base, Kitsap.....     $17,617,000
    ------------------------------------------------------------------------

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

                         Navy: Outside the United States
    ------------------------------------------------------------------------
               Country              Installation or Location      Amount
    ------------------------------------------------------------------------
    Diego Garcia.................  Diego Garcia.............     $37,473,000
    Italy........................  Naval Air Station,            $13,051,000
                                    Sigonella.
    ------------------------------------------------------------------------

        (c) Unspecified Worldwide.--Using amounts appropriated pursuant to
    the authorization of appropriations in section 2204(a)(3), the
    Secretary of the Navy may acquire real property and carry out military
    construction projects for unspecified installations or locations in the
    amount set forth in the following table:

                           Navy: Unspecified Worldwide
    ------------------------------------------------------------------------
               Location                     Project               Amount
    ------------------------------------------------------------------------
                                   Helicopter Support            $12,185,000
                                    Facility.
    ------------------------------------------------------------------------

    SEC. 2202. FAMILY HOUSING.
        (a) Construction and Acquisition.--Using amounts appropriated
    pursuant to the authorization of appropriations in section
    2204(a)(6)(A), the Secretary of the Navy may construct or acquire
    family housing units (including land acquisition and supporting
    facilities) at the installations, in the number of units, and in the
    amounts set forth in the following table:

                                                  Navy: Family Housing
    ----------------------------------------------------------------------------------------------------------------
                    Location                           Installation                    Units              Amount
    ----------------------------------------------------------------------------------------------------------------
    California..............................  Marine Corps Log. Base, Barstow  74...................     $27,851,000
    Guam....................................   Naval Station/Base, Guam......  176..................     $98,174,000
    ----------------------------------------------------------------------------------------------------------------

        (b) Planning and Design.--Using amounts appropriated pursuant to
    the authorization of appropriations in section 2204(a)(6)(A), the
    Secretary of the Navy may carry out architectural and engineering
    services and construction design activities with respect to the
    construction or improvement of military family housing units in an
    amount not to exceed $2,785,000.
    SEC. 2203. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.
        Subject to section 2825 of title 10, United States Code, and using
    amounts appropriated pursuant to the authorization of appropriations in
    section 2204(a)(6)(A), the Secretary of the Navy may improve existing
    military family housing units in an amount not to exceed $180,146,000.
    SEC. 2204. AUTHORIZATION OF APPROPRIATIONS, NAVY.
        (a) Authorization of Appropriations.--Funds are hereby authorized
    to be appropriated for fiscal years beginning after September 30, 2006,
    for military construction, land acquisition, and military family
    housing functions of the Department of the Navy in the total amount of
    $2,109,367,000, as follows:
            (1) For military construction projects inside the United States
        authorized by section 2201(a), $832,982,000.
            (2) For military construction projects outside the United
        States authorized by section 2201(b), $50,524,000.
            (3) For military construction projects at unspecified worldwide
        locations authorized by section 2201(c), $12,185,000.
            (4) For unspecified minor military construction projects
        authorized by section 2805 of title 10, United States Code,
        $8,939,000.
            (5) For architectural and engineering services and construction
        design under section 2807 of title 10, United States Code,
        $70,861,000.
            (6) For military family housing functions:
                (A) For construction and acquisition, planning and design,
            and improvement of military family housing and facilities,
            $308,956,000.
                (B) For support of military family housing (including
            functions described in section 2833 of title 10, United States
            Code), $509,126,000.
            (7) For the construction of increment 2 of a reclamation and
        conveyance project for Marine Corps Base, Camp Pendleton,
        California, authorized by section 2201(a) of the Military
        Construction Authorization Act of Fiscal Year 2006 (division B of
        Public Law 109-163; 119 Stat. 3490), as amended by section 2205(c)
        of this Act, $33,290,000.
            (8) For the construction of increment 2 of a helicopter hangar
        replacement at Naval Air Station, Jacksonville, Florida, authorized
        by section 2201(a) of the Military Construction Authorization Act
        for Fiscal Year 2006 (division B of Public Law 109-163; 119 Stat.
        3489), $43,250,000.
            (9) For the construction of increment 2 of recruit training
        barracks infrastructure upgrades at Recruit Training Command, Great
        Lakes, Illinois, authorized by section 2201(a) of the Military
        Construction Authorization Act for Fiscal Year 2006 (division B of
        Public Law 109-163; 119 Stat. 3490), $23,589,000.
            (10) For the construction of increment 2 of a field house at
        the United States Naval Academy, Annapolis, Maryland, authorized by
        section 2201(a) of the Military Construction Authorization Act of
        Fiscal Year 2006 (division B of Public Law 109-163; 119 Stat.
        3490), $26,685,000.
            (11) For the construction of increment 2 of the replacement of
        Ship Repair Pier 3 at Naval Support Activity, Norfolk Naval
        Shipyard, Virginia, authorized by section 2201(a) of the Military
        Construction Authorization Act of Fiscal Year 2006 (division B of
        Public Law 109-163; 119 Stat. 3490), $30,939,000.
            (12) For the construction of increment 2 of an addition to
        Hockmuth Hall, Marine Corps Base, Quantico, Virginia, authorized by
        section 2201(a) of the Military Construction Authorization Act of
        Fiscal Year 2006 (division B of Public Law 109-163; 119 Stat.
        3490), $10,159,000.
            (13) For the construction of increment 2 of wharf upgrades at
        Naval Station Guam, Marianas Islands, authorized by section 2201(b)
        of the Military Construction Authorization Act for Fiscal Year 2006
        (division B of Public Law 109-163; 119 Stat. 3490), $29,772,000.
            (14) For the construction of increment 2 of wharf upgrades at
        Yokosuka, Japan, authorized by section 2201(b) of the Military
        Construction Authorization Act of Fiscal Year 2006 (division B of
        Public Law 109-163; 119 Stat. 3490), $44,360,000.
            (15) For the construction of increment 2 of bachelor quarters
        at Naval Station, Everett, Washington, authorized by section
        2201(a) of the Military Construction Authorization Act of Fiscal
        Year 2006 (division B of Public Law 109-163; 119 Stat. 3490),
        $20,917,000.
            (16) For the construction of increment 3 of the limited area
        production and storage complex at Strategic Weapons Facility
        Pacific, Bangor, Washington, authorized by section 2201(a) of the
        Military Construction Authorization Act for Fiscal Year 2005
        (division B of Public Law 108-375; 118 Stat. 2105), as amended by
        section 2206 of the Military Construction Authorization Act for
        Fiscal Year 2006 (division B of Public Law 109-163; 119 Stat. 3493,
        $14,274,000.
            (17) For the construction of the next increment of the
        outlaying landing field facilities at Washington County, North
        Carolina, authorized by section 2201(a) of the Military
        Construction Authorization Act for Fiscal Year 2004 (division B of
        Public Law 108-136; 117 Stat. 1704), as amended by section 2205(a)
        of this Act, $7,926,000.
            (18) For the construction of increment 4 of pier 11 replacement
        at Naval Station, Norfolk, Virginia, authorized by section 2201(a)
        of the Military Construction Authorization Act for Fiscal Year 2004
        (division B of Public Law 108-136; 117 Stat. 1704), $30,633,000.
        (b) Limitation on Total Cost of Construction Projects.--
    Notwithstanding the cost variations authorized by section 2853 of title
    10, United States Code, and any other cost variation authorized by law,
    the total cost of all projects carried out under section 2201 of this
    Act may not exceed the sum of the following:
            (1) The total amount authorized to be appropriated under
        paragraphs (1), (2), and (3) of subsection (a).
            (2) $56,159,000 (the balance of the amount authorized under
        section 2201(a) for construction of an addition to the National
        Maritime Intelligence Center, Suitland, Maryland).
            (3) $31,153,000 (the balance of the amount authorized under
        section 2201(a) to recapitalize Hangar 5 at Naval Air Station,
        Whidbey Island, Washington).
    SEC. 2205. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN FISCAL YEAR
    2004, 2005, AND 2006 PROJECTS.
        (a) Fiscal Year 2004 Inside the United States Project.--
            (1) Modification.--The table in section 2201(a) of the Military
        Construction Authorization Act for Fiscal Year 2004 (division B of
        Public Law 108-136; 117 Stat. 1704), as amended by section 2205 of
        the Military Construction Authorization Act for Fiscal Year 2006
        (division B of Public Law 109-163; 119 Stat. 3492), is amended--
                (A) at the end of the items relating to North Carolina, by
            inserting a new item entitled ``Navy Outlying Landing Field,
            Washington County'' in the amount of ``$193,260,000'';
                (B) by striking the item relating to Various Locations,
            CONUS; and
                (C) by striking the amount identified as the total in the
            amount column and inserting ``$1,489,424,000''.
            (2) Conforming amendments.--Section 2204(b)(6) of that Act (117
        Stat. 1706) is amended--
                (A) by striking ``$28,750,000'' and inserting
            ``$165,650,000''; and
                (B) by striking ``outlying landing field facilities,
            various locations in the continental United States'' and
            inserting ``an outlying landing field in Washington County,
            North Carolina''.
        (b) Fiscal Year 2005 Inside the United States Project.--
            (1) Modification.--The table in section 2201(a) of the Military
        Construction Authorization Act for Fiscal Year 2005 (division B of
        Public Law 108-375; 118 Stat. 2105), as amended by section 2206 of
        the Military Construction Authorization Act for Fiscal Year 2006
        (division B of Public Law 109-163; 119 Stat. 3493), is amended--
                (A) by striking the item relating to Navy Outlying Landing
            Field, Washington County, North Carolina; and
                (B) by striking the amount identified as the total in the
            amount column and inserting ``$825,479,000''.
            (2) Conforming amendments.--Section 2204 of that Act (118 Stat.
        2107), as amended by section 2206 of the Military Construction
        Authorization Act for Fiscal Year 2006 (division B of Public Law
        109-163; 119 Stat. 3493), is amended--
                (A) in subsection (a)--
                    (i) in paragraph (1), by striking ``$752,927,000'' and
                inserting ``722,927,000''; and
                    (ii) by adding at the end the following new paragraph:
            ``(10) For the construction of increment 2 of the Navy outlying
        landing field in Washington County, North Carolina, authorized by
        section 2201(a) of the Military Construction Authorization Act for
        Fiscal Year 2004 (division B of Public Law 108-136; 117 Stat.
        1704), as amended by section 2205(a) of the Military Construction
        Authorization Act for Fiscal Year 2007, $30,000,000.''; and
                (B) in subsection (b), by striking paragraph (3).
        (c) Fiscal Year 2006 Inside the United States Project.--
            (1) Modification.--The table in section 2201(a) of the Military
        Construction Authorization Act for Fiscal Year 2006 (division B of
        Public Law 109-163; 119 Stat. 3489) is amended in the item related
        to Marine Corps Base, Camp Pendleton, California, by striking
        ``$90,437,000'' in the amount column and inserting ``$86,006,000''.
            (2) Conforming amendments.--Section 2204(b)(2) of that Act (119
        Stat. 3492) is amended by striking ``$37,721,000'' and inserting
        ``$33,290,000''.

                             TITLE XXIII--AIR FORCE

    Sec. 2301. Authorized Air Force construction and land acquisition
              projects.
    Sec. 2302. Family housing.
    Sec. 2303. Improvements to military family housing units.
    Sec. 2304. Authorization of appropriations, Air Force.
    Sec. 2305. Modification of authority to carry out certain fiscal year
              2006 project.
    SEC. 2301. AUTHORIZED AIR FORCE CONSTRUCTION AND LAND ACQUISITION
    PROJECTS.
        (a) Inside the United States.--Using amounts appropriated pursuant
    to the authorization of appropriations in section 2304(a)(1), the
    Secretary of the Air Force may acquire real property and carry out
    military construction projects for the installations or locations
    inside the United States, and in the amounts, set forth in the
    following table:

                       Air Force: Inside the United States
    ------------------------------------------------------------------------
                                       Installation or
                 State                     Location              Amount
    ------------------------------------------------------------------------
    Alaska........................  Eielson Air Force           $38,300,000
                                     Base.
                                    Elmendorf Air Force         $68,100,000
                                     Base.
    Arizona.......................  Davis-Monthan Air           $11,800,000
                                     Force Base.
    Arkansas......................  Little Rock Air Force        $9,800,000
                                     Base.
    California....................  Beale Air Force Base.       $28,000,000
                                    Travis Air Force Base       $85,800,000
    Colorado......................  Buckley Air Force           $10,700,000
                                     Base.
                                    Peterson Air Force           $4,900,000
                                     Base.
                                    Schriever Air Force         $21,000,000
                                     Base.
    Delaware......................  Dover Air Force Base.       $30,400,000
    Florida.......................  Eglin Air Force Base.       $30,350,000
                                    Hurlburt Field.......       $32,950,000
                                    MacDill Air Force           $71,000,000
                                     Base.
                                    Tyndall Air Force            $8,200,000
                                     Base.
    Georgia.......................  Robins Air Force Base       $59,600,000
    Hawaii........................  Hickam Air Force Base       $28,538,000
    Illinois......................  Scott Air Force Base.       $28,200,000
    Kansas........................  McConnell Air Force          $3,875,000
                                     Base.
    Kentucky......................  Fort Knox............        $3,500,000
    Maryland......................  Andrews Air Force           $29,000,000
                                     Base.
    Massachusetts.................  Hanscom Air Force           $12,400,000
                                     Base.
    Missouri......................  Whiteman Air Force           $3,800,000
                                     Base.
    Montana.......................  Malmstrom Air Force          $5,700,000
                                     Base.
    Nevada........................  Indian Springs              $49,923,000
                                     Auxiliary Field.
    New Jersey....................  McGuire Air Force           $28,500,000
                                     Base.
    New Mexico....................  Kirtland Air Force          $11,400,000
                                     Base.
    North Dakota..................  Minot Air Force Base.        $9,000,000
    Oklahoma......................  Altus Air Force Base.        $9,500,000
                                    Tinker Air Force Base        $5,700,000
    South Carolina................  Charleston Air Force        $10,200,000
                                     Base.
                                    Shaw Air Force Base..       $31,500,000
    South Dakota..................   Ellsworth Air Force         $3,000,000
                                     Base.
    Texas.........................  Fort Bliss...........        $8,500,000
                                    Lackland Air Force          $13,200,000
                                     Base.
                                    Laughlin Air Force          $12,600,000
                                     Base.
                                    Sheppard Air Force           $7,000,000
                                     Base.
    Utah..........................  Hill Air Force Base..       $63,400,000
    Virginia......................  Langley Air Force           $57,700,000
                                     Base.
    Washington....................  Fairchild Air Force          $4,250,000
                                     Base.
    Wyoming.......................  Francis E. Warren Air       $11,000,000
                                     Force Base.
    ------------------------------------------------------------------------

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

                      Air Force: Outside the United States
    ------------------------------------------------------------------------
               Country              Installation or Location      Amount
    ------------------------------------------------------------------------
    Germany......................  Ramstein Air Base........     $53,150,000
    Guam.........................  Andersen Air Base........     $65,300,000
    Korea........................  Kunsan Air Base..........     $37,360,000
                                   Osan Air Base............      $2,156,000
    ------------------------------------------------------------------------

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

                        Air Force: Unspecified Worldwide
    ------------------------------------------------------------------------
               Location             Installation or Location      Amount
    ------------------------------------------------------------------------
    Worldwide Classified.........  Classified Project 1.....      $3,377,000
                                   Classified Project 2.....      $4,600,000
                                   Classified Project 3.....      $1,700,000
    ------------------------------------------------------------------------

    SEC. 2302. FAMILY HOUSING.
        (a) Construction and Acquisition.--Using amounts appropriated
    pursuant to the authorization of appropriations in section
    2304(a)(6)(A), the Secretary of the Air Force may construct or acquire
    family housing units (including land acquisition and supporting
    facilities) at the installations or locations, in the number of units,
    and in the amounts set forth in the following table:

                                                Air Force: Family Housing
    ----------------------------------------------------------------------------------------------------------------
                State or Country                   Installation or Location             Units             Amount
    ----------------------------------------------------------------------------------------------------------------
    Alaska..................................  Eielson Air Force Base...........  129................     $87,414,000
    Idaho...................................  Mountain Home Air Force Base.....  457................    $107,800,000
    Missouri................................  Whiteman Air Force Base..........  116................     $39,270,000
    Montana.................................  Malmstrom Air Force Base.........  493................    $140,252,000
    North Carolina..........................  Seymour Johnson Air Force Base...  56.................     $22,956,000
    North Dakota............................  Minot Air Force Base.............  575................    $170,188,000
    Texas...................................  Dyess Air Force Base.............  199................     $49,215,000
    Germany.................................  Ramstein Air Base................  101................     $59,488,000
                                              Spangdahlem Air Base.............  60.................     $39,294,000
    United Kingdom..........................  Royal Air Force Lakenheath.......  74.................     $35,282,000
    ----------------------------------------------------------------------------------------------------------------

        (b) Planning and Design.--Using amounts appropriated pursuant to
    the authorization of appropriations in section 2304(a)(6)(A), the
    Secretary of the Air Force may carry out architectural and engineering
    services and construction design activities with respect to the
    construction or improvement of military family housing units in an
    amount not to exceed $13,202,000.
    SEC. 2303. IMPROVEMENTS TO MILITARY FAMILY HOUSING UNITS.
        Subject to section 2825 of title 10, United States Code, and using
    amounts appropriated pursuant to the authorization of appropriations in
    section 2304(a)(6)(A), the Secretary of the Air Force may improve
    existing military family housing units in an amount not to exceed
    $403,777,000.
    SEC. 2304. AUTHORIZATION OF APPROPRIATIONS, AIR FORCE.
        (a) Authorization of Appropriations.--Funds are hereby authorized
    to be appropriated for fiscal years beginning after September 30, 2006,
    for military construction, land acquisition, and military family
    housing functions of the Department of the Air Force in the total
    amount of $3,231,442,000, as follows:
            (1) For military construction projects inside the United States
        authorized by section 2301(a), $962,286,000.
            (2) For military construction projects outside the United
        States authorized by section 2301(b), $157,966,000.
            (3) For military construction projects at unspecified worldwide
        locations authorized by section 2301(c), $9,677,000.
            (4) For unspecified minor military construction projects
        authorized by section 2805 of title 10, United States Code,
        $15,000,000.
            (5) For architectural and engineering services and construction
        design under section 2807 of title 10, United States Code,
        $79,004,000.
            (6) For military family housing functions:
                (A) For construction and acquisition, planning and design,
            and improvement of military family housing and facilities,
            $1,168,138,000.
                (B) For support of military family housing (including
            functions described in section 2833 of title 10, United States
            Code), $755,071,000.
            (7) For the construction of increment 2 of the C-17 maintenance
        complex at Elmendorf Air Force Base, Alaska, authorized by section
        2301(a) of the Military Construction Authorization Act for Fiscal
        Year 2006 (division B of Public Law 109-163; 119 Stat. 3494),
        $30,000,000.
            (8) For the construction of increment 2 of the main base runway
        at Edwards Air Force Base, California, authorized by section
        2301(a) of the Military Construction Authorization Act for Fiscal
        Year 2006 (division B of Public Law 109-163; 119 Stat. 3494),
        $31,000,000.
            (9) For the construction of increment 2 of the CENTCOM Joint
        Intelligence Center at MacDill Air Force Base, Florida, authorized
        by section 2301(a) of the Military Construction Authorization Act
        for Fiscal Year 2006 (division B of Public Law 109-163; 119 Stat.
        3494), as amended by section 2305 of this Act, $23,300,000.
        (b) Limitation on Total Cost of Construction Projects.--
    Notwithstanding the cost variations authorized by section 2853 of title
    10, United States Code, and any other cost variation authorized by law,
    the total cost of all projects carried out under section 2301 of this
    Act may not exceed the total amount authorized to be appropriated under
    paragraphs (1), (2), and (3) of subsection (a).
    SEC. 2305. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN FISCAL YEAR
    2006 PROJECT.
        (a) Modification of Inside the United States Project.--The table in
    section 2301(a) of the Military Construction Authorization Act for
    Fiscal Year 2006 (division B of Public Law 109-163; 119 Stat. 3494) is
    amended in the item relating to MacDill Air Force Base, Florida, by
    striking ``$107,200,000'' in the amount column and inserting
    ``$101,500,000''.
        (b) Conforming Amendment.--Section 2304(b)(4) of that Act (119
    Stat. 3496) is amended by striking ``$29,000,000'' and inserting
    ``$23,300,000''.

                          TITLE XXIV--DEFENSE AGENCIES

    Sec. 2401. Authorized Defense Agencies construction and land acquisition
              projects.
    Sec. 2402. Family housing.
    Sec. 2403. Energy conservation projects.
    Sec. 2404. Authorized base closure and realignment activities funded
              through Department of Defense Base Closure Account 2005.
    Sec. 2405. Authorization of appropriations, Defense Agencies.
    Sec. 2406. Modification of authority to carry out certain fiscal year
              2006 project.
    SEC. 2401. AUTHORIZED DEFENSE AGENCIES CONSTRUCTION AND LAND
    ACQUISITION PROJECTS.
        (a) Inside the United States.--Using amounts appropriated pursuant
    to the authorization of appropriations in section 2405(a)(1), the
    Secretary of Defense may acquire real property and carry out military
    construction projects for the installations or locations inside the
    United States, and in the amounts, set forth in the following tables:

                                               Defense Education Activity
    ----------------------------------------------------------------------------------------------------------------
                        State                                   Installation or Location                  Amount
    ----------------------------------------------------------------------------------------------------------------
    Kentucky.....................................  Fort Knox........................................     $18,108,000
    ----------------------------------------------------------------------------------------------------------------

                                                Defense Logistics Agency
    ----------------------------------------------------------------------------------------------------------------
                        State                                   Installation or Location                  Amount
    ----------------------------------------------------------------------------------------------------------------
    Arizona......................................  Marine Corps Air Station, Yuma...................      $8,715,000
    California...................................  Beale Air Force Base.............................      $9,000,000
    Pennsylvania.................................  Defense Distribution Depot, New Cumberland.......      $8,900,000
    Viginia......................................  Fort Belvoir.....................................      $5,500,000
    Washington...................................  Naval Air Station, Whidbey Island................     $26,000,000
    ----------------------------------------------------------------------------------------------------------------

                                               Special Operations Command
    ----------------------------------------------------------------------------------------------------------------
                        State                                   Installation or Location                  Amount
    ----------------------------------------------------------------------------------------------------------------
    California...................................  Marine Corps Base, Camp Pendleton................     $24,400,000
    Colorado.....................................  Fort Carson......................................     $26,100,000
    Florida......................................  Hurlburt Field...................................     $14,482,000
                                                   MacDill Air Force Base...........................     $27,300,000
    Kentucky.....................................  Fort Campbell....................................     $24,500,000
    Mississippi..................................  Stennis Space Center.............................     $10,200,000
    North Carolina...............................  Fort Bragg.......................................     $51,768,000
                                                   Marine Corps Base, Camp Lejeune..................     $51,600,000
                                                   Pope Air Force Base..............................     $15,276,000
    Virginia.....................................  Naval Air Base, Little Creek.....................     $22,000,000
    ----------------------------------------------------------------------------------------------------------------

                                               TRICARE Management Activity
    ----------------------------------------------------------------------------------------------------------------
                        State                                   Installation or Location                  Amount
    ----------------------------------------------------------------------------------------------------------------
    Alaska.......................................  Fort Richardson..................................     $37,200,000
    California...................................  Fort Irwin.......................................      $6,050,000
    Florida......................................  MacDill Air Force Base...........................     $92,000,000
                                                   Naval Hospital, Jacksonville.....................     $16,000,000
    Hawaii.......................................  Naval Base, Pearl Harbor.........................      $7,700,000
    Illinois.....................................  Naval Hospital, Great Lakes......................     $20,000,000
    Maryland.....................................  Fort Detrick.....................................    $550,000,000
    New York.....................................  Fort Drum........................................      $9,700,000
    Texas........................................  Fort Hood........................................     $18,000,000
    ----------------------------------------------------------------------------------------------------------------

        (b) Outside the United States.--Using amounts appropriated pursuant
    to the authorization of appropriations in section 2405(a)(2), the
    Secretary of Defense may acquire real property and carry out military
    construction projects for the installations or locations outside the
    United States, and in the amounts, set forth in the following tables:

                                               Defense Education Activity
    ----------------------------------------------------------------------------------------------------------------
                        Country                                 Installation or Location                  Amount
    ----------------------------------------------------------------------------------------------------------------
    Italy.........................................  Vicenza.........................................     $47,210,000
    Korea.........................................  Osan Air Base...................................      $4,589,000
    Spain.........................................  Naval Station, Rota.............................     $23,048,000
    ----------------------------------------------------------------------------------------------------------------

                            Defense Logistics Agency
    ------------------------------------------------------------------------
                                            Installation or
           Country or Possession                Location            Amount
    ------------------------------------------------------------------------
    Japan.............................  Okinawa................   $5,000,000
    Wake Island.......................  Wake Island............   $2,600,000
    ------------------------------------------------------------------------

                             Missile Defense Agency
    ------------------------------------------------------------------------
                                          Installation or
          Country or Possession               Location            Amount
    ------------------------------------------------------------------------
    Kwajalein........................  Kwajalein Atoll            $7,592,000
    ------------------------------------------------------------------------

                           Special Operations Command
    ------------------------------------------------------------------------
               Country              Installation or Location      Amount
    ------------------------------------------------------------------------
    Qatar........................  Al Udeid AB..............     $44,500,000
    ------------------------------------------------------------------------

                           TRICARE Management Activity
    ------------------------------------------------------------------------
               Country              Installation or Location      Amount
    ------------------------------------------------------------------------
    Italy........................  Vicenza..................     $52,000,000
    ------------------------------------------------------------------------

    SEC. 2402. FAMILY HOUSING.
        (a) Construction and Acquisition.--Using amounts appropriated
    pursuant to the authorization of appropriations in section
    2405(a)(9)(A), the Secretary of Defense may construct or acquire family
    housing units (including land acquisition and supporting facilities) at
    the location, in the number of units, and in the amount set forth in
    the following table:

                                        Defense Logistics Agency: Family Housing
    ----------------------------------------------------------------------------------------------------------------
                      State                               Location                     Units              Amount
    ----------------------------------------------------------------------------------------------------------------
    Virginia................................  Defense Supply Center, Richmond  25...................      $7,840,000
    ----------------------------------------------------------------------------------------------------------------

        (b) Planning and Design.--Using amounts appropriated pursuant to
    the authorization of appropriations in section 2405(a)(9)(A), the
    Secretary of Defense may carry out architectural and engineering
    services and construction design activities with respect to the
    construction or improvement of military family housing units in an
    amount not to exceed $200,000.
    SEC. 2403. ENERGY CONSERVATION PROJECTS.
        Using amounts appropriated pursuant to the authorization of
    appropriations in section 2405(a)(6), the Secretary of Defense may
    carry out energy conservation projects under section 2865 of title 10,
    United States Code, in the amount of $55,000,000.
    SEC. 2404. AUTHORIZED BASE CLOSURE AND REALIGNMENT ACTIVITIES FUNDED
    THROUGH DEPARTMENT OF DEFENSE BASE CLOSURE ACCOUNT 2005.
        (a) Authorized Activities.--Using amounts appropriated pursuant to
    the authorization of appropriations in section 2405(a)(8), the
    Secretary of Defense may carry out base closure and realignment
    activities, including real property acquisition and military
    construction projects, as authorized by the Defense Base Closure and
    Realignment Act of 1990 (part A of title XXIX of Public Law 101-510; 10
    U.S.C. 2687 note) and funded through the Department of Defense Base
    Closure Account 2005 established by section 2906A of such Act, in the
    amount of $5,902,723,000.
        (b) Conforming Amendments to Fiscal Year 2006 Authorizations.--
            (1) Authorized activities.--Title XXIV of the Military
        Construction Authorization Act for Fiscal Year 2006 (division B of
        Public Law 109-163; 119 Stat. 3496) is amended by adding at the end
        the following new section:
        ``SEC. 2404. AUTHORIZED BASE CLOSURE AND REALIGNMENT ACTIVITIES
          FUNDED THROUGH DEPARTMENT OF DEFENSE BASE CLOSURE ACCOUNT 2005.
        ``Using amounts appropriated pursuant to the authorization of
    appropriations in section 2403(a)(7), the Secretary of Defense may
    carry out base closure and realignment activities, including real
    property acquisition and military construction projects, as authorized
    by the Defense Base Closure and Realignment Act of 1990 (part A of
    title XXIX of Public Law 101-510; 10 U.S.C. 2687 note) and funded
    through the Department of Defense Base Closure Account 2005 established
    by section 2906A of such Act, in the amount of $2,035,466,000.''.
            (2) Authorization of appropriations and limitations.--Section
        2403 of that Act (119 Stat. 3499) is amended--
                (A) in subsection (a)(7)--
                    (i) by striking ``as authorized by the Defense Base
                Closure and Realignment Act of 1990 (part A of title XXIX
                of Public Law 101-510; 10 U.S.C. 2687 note)'' and inserting
                ``authorized by section 2404 of this Act''; and
                    (ii) by striking ``section 2906 of such Act'' and
                inserting ``section 2906A of the Defense Base Closure and
                Realignment Act of 1990 (part A of title XXIX of Public Law
                101-510; 10 U.S.C. 2687 note)'';
                (B) by redesignating subsection (c) as subsection (d); and
                (C) by inserting after subsection (b) the following new
            subsection (c):
        ``(c) Limitation on Total Cost of Base Closure and Realignment
    Activities.--Notwithstanding the cost variations authorized by section
    2853 of title 10, United States Code, and any other cost variation
    authorized by law, the total cost of all base closure and realignment
    activities, including real property acquisition and military
    construction projects, carried out under section 2404 of this Act may
    not exceed the sum of the following:
            ``(1) The total amount authorized to be appropriated under
        subsection (a)(7).
            ``(2) $531,000,000 (the balance of the amount authorized under
        section 2404 for base closure and realignment activities).''.
    SEC. 2405. AUTHORIZATION OF APPROPRIATIONS, DEFENSE AGENCIES.
        (a) In General.--Funds are hereby authorized to be appropriated for
    fiscal years beginning after September 30, 2006, for military
    construction, land acquisition, and military family housing functions
    of the Department of Defense (other than the military departments) in
    the total amount of $7,163,431,000, as follows:
            (1) For military construction projects inside the United States
        authorized by section 2401(a), $533,099,000.
            (2) For military construction projects outside the United
        States authorized by section 2401(b), $170,789,000.
            (3) For unspecified minor military construction projects under
        section 2805 of title 10, United States Code, $21,672,000.
            (4) For contingency construction projects of the Secretary of
        Defense under section 2804 of title 10, United States Code,
        $10,000,000.
            (5) For architectural and engineering services and construction
        design under section 2807 of title 10, United States Code,
        $172,950,000.
            (6) For energy conservation projects authorized by section 2403
        of this Act, $55,000,000.
            (7) For base closure and realignment activities as authorized
        by the Defense Base Closure and Realignment Act of 1990 (part A of
        title XXIX of Public Law 101-510; 10 U.S.C. 2687 note) and funded
        through the Department of Defense Base Closure Account 1990
        established by section 2906 of such Act, $191,220,000.
            (8) For base closure and realignment activities authorized by
        section 2404 of this Act and funded through the Department of
        Defense Base Closure Account 2005 established by section 2906A of
        the Defense Base Closure and Realignment Act of 1990 (part A of
        title XXIX of Public Law 101-510; 10 U.S.C. 2687 note),
        $5,236,223,000.
            (9) For military family housing functions:
                (A) For construction and acquisition, planning and design,
            and improvement of military family housing and facilities,
            $8,808,000.
                (B) For support of military family housing (including
            functions described in section 2833 of title 10, United States
            Code), $48,506,000.
                (C) For credit to the Department of Defense Family Housing
            Improvement Fund established by section 2883(a)(1) of title 10,
            United States Code, $2,500,000.
            (10) For the construction of increment 2 of the regional
        security operations center at Augusta, Georgia, authorized by
        section 2401(a) of the Military Construction Authorization Act of
        Fiscal Year 2006 (division B of Public Law 109-163; 119 Stat.
        3497), as amended by section 7016 of Public Law 109-234 (120 Stat.
        485), $77,118,000.
            (11) For the construction of increment 2 of the regional
        security operations center at Kunia, Hawaii, authorized by section
        2401(a) of the Military Construction Authorization Act of Fiscal
        Year 2006 (division B of Public Law 109-163; 119 Stat. 3497), as
        amended by section 7017 of Public Law 109-234 (120 Stat. 485),
        $47,016,000.
            (12) For the construction of increment 2 of the classified
        material conversion facility at Fort Meade, Maryland, authorized by
        section 2401(a) of the Military Construction Authorization Act of
        Fiscal Year 2006 (division B of Public Law 109-163; 119 Stat.
        3497), $11,151,000.
            (13) For the construction of increment 2 of an operations
        building, Royal Air Force Menwith Hill Station, United Kingdom,
        authorized by section 2401(b) of the Military Construction
        Authorization Act of Fiscal Year 2006 (division B of Public Law
        109-163; 119 Stat. 3498), as amended by section 2406 of this Act,
        $46,386,000.
            (14) For the construction of the second increment of certain
        base closure and realignment activities authorized by section 2404
        of the Military Construction Authorization Act of Fiscal Year 2006
        (division B of Public Law 109-163; 119 Stat. 3500), as added by
        section 2404(b) of this Act, $390,000,000.
            (15) For the construction of increment 7 of a munitions
        demilitarization facility at Blue Grass Army Depot, Kentucky,
        authorized by section 2401(a) of the Military Construction
        Authorization Act for Fiscal Year 2000 (division B of Public Law
        106-65; 113 Stat. 835), as amended by section 2405 of the Military
        Construction Authorization Act of 2002 (division B of Public Law
        107-107; 115 Stat. 1298), and section 2405 of the Military
        Construction Authorization Act for Fiscal Year 2003 (division B of
        Public Law 107-314; 116 Stat. 2698), $99,157,000.
            (16) For the construction of increment 8 of a munitions
        demilitarization facility at Pueblo Chemical Activity, Colorado,
        authorized by section 2401(a) of the Military Construction
        Authorization Act for Fiscal Year 1997 (division B of Public Law
        104-201; 110 Stat. 2775), as amended by section 2406 of the
        Military Construction Authorization Act for Fiscal Year 2000
        (division B of Public Law 106-65; 113 Stat. 839), and section 2407
        of the Military Construction Authorization Act for Fiscal Year 2003
        (division B of Public Law 107-314; 116 Stat. 2698), $41,836,000.
        (b) Limitation on Total Cost of Construction Projects.--
    Notwithstanding the cost variations authorized by section 2853 of title
    10, United States Code, and any other cost variation authorized by law,
    the total cost of all projects carried out under section 2401 of this
    Act may not exceed the sum of the following:
            (1) The total amount authorized to be appropriated under
        paragraphs (1) and (2) of subsection (a).
            (2) $46,400,000 (the balance of the amount authorized under
        section 2401(a) for construction of a health clinic at MacDill Air
        Force Base, Florida).
            (3) $521,000,000 (the balance of the amount authorized under
        section 2401(a) for stage 1 of the replacement of the Army Medical
        Research Institute of Infectious Diseases at Fort Detrick,
        Maryland).
        (c) Limitation on Total Cost of Base Closure and Realignment
    Activities.--Notwithstanding the cost variations authorized by section
    2853 of title 10, United States Code, and any other cost variation
    authorized by law, the total cost of all base closure and realignment
    activities, including real property acquisition and military
    construction projects, carried out under section 2404(a) of this Act
    may not exceed the sum of the following:
            (1) The total amount authorized to be appropriated under
        subsection (a)(8).
            (2) $666,500,000 (the balance of the amount authorized under
        section 2404(a) for base closure and realignment activities).
        (d) Congressional Notification Regarding Base Closure and
    Realignment Activities.--Not later than 14 days after the date on which
    funds appropriated pursuant to the authorization of appropriations in
    subsection (a)(8) are first obligated for a particular program,
    project, or activity, the Secretary of Defense shall submit to the
    congressional defense committees a report describing the program,
    project, or activity.
    SEC. 2406. MODIFICATION OF AUTHORITY TO CARRY OUT CERTAIN FISCAL YEAR
    2006 PROJECT.
        (a) Modification of Outside the United States National Security
    Agency Project.--The table relating to the National Security Agency in
    section 2401(b) of the Military Construction Authorization Act for
    Fiscal Year 2006 (division B of Public Law 109-163; 119 Stat. 3498) is
    amended in the item relating to Menwith Hill, United Kingdom, by
    striking ``$86,354,000'' in the amount column and inserting
    ``$91,383,000''.
        (b) Conforming Amendments.--Section 2403(b)(5) of that Act (119
    Stat. 3500) is amended by striking ``$44,657,000'' and inserting
    ``$49,686,000''.

       TITLE XXV--NORTH ATLANTIC TREATY ORGANIZATION SECURITY INVESTMENT
                                    PROGRAM

    Sec. 2501. Authorized NATO construction and land acquisition projects
    Sec. 2502. Authorization of appropriations, NATO
    SEC. 2501. AUTHORIZED NATO CONSTRUCTION AND LAND ACQUISITION PROJECTS.
        The Secretary of Defense may make contributions for the North
    Atlantic Treaty Organization Security Investment program as provided in
    section 2806 of title 10, United States Code, in an amount not to
    exceed the sum of the amount authorized to be appropriated for this
    purpose in section 2502 and the amount collected from the North
    Atlantic Treaty Organization as a result of construction previously
    financed by the United States.
    SEC. 2502. AUTHORIZATION OF APPROPRIATIONS, NATO.
        Funds are hereby authorized to be appropriated for fiscal years
    beginning after September 30, 2006, for contributions by the Secretary
    of Defense under section 2806 of title 10, United States Code, for the
    share of the United States of the cost of projects for the North
    Atlantic Treaty Organization Security Investment program authorized by
    section 2501, in the amount of $200,985,000.

                TITLE XXVI--GUARD AND RESERVE FORCES FACILITIES

    Sec. 2601. Authorized Guard and Reserve construction and land
              acquisition projects
    SEC. 2601. AUTHORIZED GUARD AND RESERVE CONSTRUCTION AND LAND
    ACQUISITION PROJECTS.
        Funds are hereby authorized to be appropriated for fiscal years
    beginning after September 30, 2006, for the costs of acquisition,
    architectural and engineering services, and construction of facilities
    for the Guard and Reserve Forces, and for contributions therefor, under
    chapter 1803 of title 10, United States Code (including the cost of
    acquisition of land for those facilities), in the following amounts:
            (1) For the Department of the Army--
                (A) for the Army National Guard of the United States,
            $561,375,000; and
                (B) for the Army Reserve, $190,617,000.
            (2) For the Department of the Navy, for the Navy Reserve and
        Marine Corps Reserve, $49,998,000.
            (3) For the Department of the Air Force--
                (A) for the Air National Guard of the United States,
            $294,283,000; and
                (B) for the Air Force Reserve, $56,836,000.

            TITLE XXVII--EXPIRATION AND EXTENSION OF AUTHORIZATIONS

    Sec. 2701. Expiration of authorizations and amounts required to be
              specified by law.
    Sec. 2702. Extension of authorizations of certain fiscal year 2004
              projects.
    Sec. 2703. Extension of authorizations of certain fiscal year 2003
              projects.
    Sec. 2704. Effective date.
    SEC. 2701. EXPIRATION OF AUTHORIZATIONS AND AMOUNTS REQUIRED TO BE
    SPECIFIED BY LAW.
        (a) Expiration of Authorizations After Three Years.--Except as
    provided in subsection (b), all authorizations contained in titles XXI
    through XXVI for military construction projects, land acquisition,
    family housing projects and facilities, and contributions to the North
    Atlantic Treaty Organization Security Investment program (and
    authorizations of appropriations therefor) shall expire on the later
    of--
            (1) October 1, 2009; or
            (2) the date of the enactment of an Act authorizing funds for
        military construction for fiscal year 2010.
        (b) Exception.--Subsection (a) shall not apply to authorizations
    for military construction projects, land acquisition, family housing
    projects and facilities, and contributions to the North Atlantic Treaty
    Organization Security Investment program (and authorizations of
    appropriations therefor), for which appropriated funds have been
    obligated before the later of--
            (1) October 1, 2009; or
            (2) the date of the enactment of an Act authorizing funds for
        fiscal year 2010 for military construction projects, land
        acquisition, family housing projects and facilities, or
        contributions to the North Atlantic Treaty Organization Security
        Investment program.
    SEC. 2702. EXTENSION OF AUTHORIZATIONS OF CERTAIN FISCAL YEAR 2004
    PROJECTS.
        (a) Extension and Renewal.--Notwithstanding section 2701 of the
    Military Construction Authorization Act for Fiscal Year 2004 (division
    B of Public Law 108-136; 117 Stat. 1716), authorizations set forth in
    the tables in subsection (b), as provided in section 2101, 2301, 2302,
    2401, or 2601 of that Act shall remain in effect until October 1, 2007,
    or the date of the enactment of an Act authorizing funds for military
    construction for fiscal year 2008, whichever is later.
        (b) Tables.--The tables referred to in subsection (a) are as
    follows:

                 Army: Extension of 2004 Project Authorizations
    ------------------------------------------------------------------------
        Installation or Location             Project              Amount
    ------------------------------------------------------------------------
    Aviano Air Base, Italy.........  Joint deployment            $15,500,000
                                      facility.
    Fort Wainwright, Alaska........  Training range complex.     $47,000,000
    ------------------------------------------------------------------------

               Air Force: Extension of 2004 Project Authorizations
    ------------------------------------------------------------------------
        Installation or Location             Project              Amount
    ------------------------------------------------------------------------
    Eglin Air Force Base, Florida..  Family housing (279         $32,166,000
                                      units).
    Hickam Air Force Base, Hawaii..  Parking ramp...........     $10,102,000
    Travis Air Force Base,           Family housing (56          $12,723,000
     California.                      units).
    ------------------------------------------------------------------------

              Defense Wide: Extension of 2004 Project Authorization
    ------------------------------------------------------------------------
         Installation or Location        Agency and Project       Amount
    ------------------------------------------------------------------------
    Hickam Air Force Base, Hawaii....  DLA hydrant fuel          $14,100,000
                                        system.
    ------------------------------------------------------------------------

          Army National Guard: Extension of 2004 Project Authorizations
    ------------------------------------------------------------------------
         Installation or Location             Project             Amount
    ------------------------------------------------------------------------
    Albuquerque, New Mexico..........  Readiness center.....      $2,533,000
    Fort Indiantown Gap, Pennsylvania  Training range.......     $15,338,000
    Gary, Indiana....................  Aviation support          $15,581,000
                                        facility.
    ------------------------------------------------------------------------

    SEC. 2703. EXTENSION OF AUTHORIZATIONS OF CERTAIN FISCAL YEAR 2003
    PROJECTS.
        (a) Extension.--Notwithstanding section 2701 of the Military
    Construction Authorization Act for Fiscal Year 2003 (division B of
    Public Law 107-314; 116 Stat. 2700), authorizations set forth in the
    table in subsection (b), as provided in section 2302 of that Act and
    extended by section 2702 of the Military Construction Authorization Act
    for Fiscal Year 2006 (division B of Public Law 109-163; 119 Stat.
    3502), shall remain in effect until October 1, 2007, or the date of the
    enactment of an Act authorizing funds for military construction for
    fiscal year 2008, whichever is later.
        (b) Tables.--The table referred to in subsection (a) is as follows:

               Air Force: Extension of 2003 Project Authorizations
    ------------------------------------------------------------------------
        Installation or Location             Project              Amount
    ------------------------------------------------------------------------
    Eglin Air Force Base, Florida..  Family housing (134         $15,906,000
                                      units).
    Eglin Air Force Base, Florida..  Family housing office..        $597,000
    Randolph Air Force Base, Texas   Housing maintenance            $447,000
                                      facility.
    ------------------------------------------------------------------------

    SEC. 2704. EFFECTIVE DATE.
        Titles XXI, XXII, XXIII, XXIV, XXV, and XXVI of this Act shall take
    effect on the later of--
            (1) October 1, 2006; or
            (2) the date of the enactment of this Act.

             TITLE XXVIII--MILITARY CONSTRUCTION GENERAL PROVISIONS

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

    Sec. 2801. Increase in maximum annual amount authorized to be obligated
              for emergency military construction.
    Sec. 2802. One-year extension of temporary, limited authority to use
              operation and maintenance funds for construction projects
              outside the United States.
    Sec. 2803. Repeal of requirement to determine availability of suitable
              alternative housing for acquisition in lieu of construction of
              new family housing.
    Sec. 2804. Authority to continue to occupy leased family housing for
              United States Southern Command personnel.
    Sec. 2805. Consideration of alternative and more efficient uses for
              general officer and flag officer quarters in excess of 6,000
              square feet.
    Sec. 2806. Modification of notification requirements related to cost
              variation authority.
    Sec. 2807. Consideration of local comparability of floor areas in
              construction, acquisition, and improvement of military
              unaccompanied housing.
    Sec. 2808. Certification required for military construction projects for
              facilities designed to provide training in urban operations.
    Sec. 2809. Authority to carry out military construction projects in
              connection with industrial facility investment program.
    Sec. 2810. Repeal of special requirement for military construction
              contracts on Guam.
    Sec. 2811. Temporary expansion of authority to convey property at
              military installations to support military construction.
    Sec. 2812. Pilot projects for acquisition or construction of military
              unaccompanied housing.

             Subtitle B--Real Property and Facilities Administration

    Sec. 2821. Congressional notice requirements, in advance of acquisition
              of land by condemnation for military purposes.
    Sec. 2822. Consolidation of Department of Defense authorities regarding
              granting of easements for rights-of-way.
    Sec. 2823. Authority to grant restrictive easements for conservation
              purposes in connection with land conveyances.
    Sec. 2824. Maximum term of leases for structures and real property
              relating to structures in foreign countries needed for
              purposes other than family housing.
    Sec. 2825. Consolidation of laws relating to transfer of Department of
              Defense real property within the Department of Defense and to
              other Federal agencies.
    Sec. 2826. Defense access road program.
    Sec. 2827. Reports on Army operational ranges.

                    Subtitle C--Base Closure and Realignment

    Sec. 2831. Modification of deposit requirements in connection with lease
              proceeds received at military installations approved for
              closure or realignment after January 1, 2005.
    Sec. 2832. Report on Air Force and Air National Guard bases affected by
              2005 round of defense base closure and realignment.

                          Subtitle D--Land Conveyances

    Sec. 2841. Conveyance of easement, Pine Bluff Arsenal, Arkansas.
    Sec. 2842. Modification of land transfer authority, Potomac Annex,
              District of Columbia.
    Sec. 2843. Land conveyance, Naval Air Station, Barbers Point, Hawaii.
    Sec. 2844. Land conveyances, Omaha, Nebraska.
    Sec. 2845. Land conveyance, Hopkinton, New Hampshire.
    Sec. 2846. Land conveyance, North Hills Army Reserve Center, Allison
              Park, Pennsylvania.
    Sec. 2847. Transfer of jurisdiction, Fort Jackson, South Carolina.
    Sec. 2848. Sense of Congress regarding land conveyance involving Army
              Reserve Center, Marshall, Texas.
    Sec. 2849. Modifications to land conveyance authority, Engineering
              Proving Ground, Fort Belvoir, Virginia.
    Sec. 2850. Land conveyance, Radford Army Ammunition Plant, New River
              Unit, Virginia.

                           Subtitle E--Energy Security

    Sec. 2851. Consolidation and enhancement of laws to improve Department
              of Defense energy efficiency and conservation.
    Sec. 2852. Department of Defense goal regarding use of renewable energy
              to meet electricity needs.
    Sec. 2853. Congressional notification of cancellation ceiling for
              Department of Defense energy savings performance contracts.
    Sec. 2854. Use of energy efficiency products in new construction.

                            Subtitle F--Other Matters

    Sec. 2861. Availability of research and technical assistance under
              Defense Economic Adjustment Program.
    Sec. 2862. Availability of community planning assistance relating to
              encroachment of civilian communities on military facilities
              used for training by the Armed Forces.
    Sec. 2863. Prohibitions against making certain military airfields or
              facilities available for use by civil aircraft.
    Sec. 2864. Modification of certain transportation projects.
    Sec. 2865. Availability of funds for South County Commuter Rail project,
              Providence, Rhode Island.
    Sec. 2866. Fox Point Hurricane Barrier, Providence, Rhode Island.
    Sec. 2867. Federal funding for fixed guideway projects.
    Sec. 2868. Feasibility study regarding use of General Services
              Administration property for Fort Belvoir, Virginia,
              realignment.

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

    SEC. 2801. INCREASE IN MAXIMUM ANNUAL AMOUNT AUTHORIZED TO BE OBLIGATED
    FOR EMERGENCY MILITARY CONSTRUCTION.
        Section 2803(c)(1) of title 10, United States Code, is amended by
    striking ``$45,000,000'' and inserting ``$50,000,000''.
    SEC. 2802. ONE-YEAR EXTENSION OF TEMPORARY, LIMITED AUTHORITY TO USE
    OPERATION AND MAINTENANCE FUNDS FOR CONSTRUCTION PROJECTS OUTSIDE THE
    UNITED STATES.
        Section 2808(a) of the Military Construction Authorization Act for
    Fiscal Year 2004 (division B of Public Law 108-136; 117 Stat. 1723), as
    amended by section 2810 of the Military Construction Authorization Act
    for Fiscal Year 2005 (division B of Public Law 108-375; 118 Stat. 2128)
    and section 2809 of the Military Construction Authorization Act for
    Fiscal Year 2006 (division B of Public Law 109-163; 119 Stat. 3508), is
    further amended by striking ``and 2006'' and inserting ``through
    2007''.
    SEC. 2803. REPEAL OF REQUIREMENT TO DETERMINE AVAILABILITY OF SUITABLE
    ALTERNATIVE HOUSING FOR ACQUISITION IN LIEU OF CONSTRUCTION OF NEW
    FAMILY HOUSING.
        (a) In General.--Section 2823 of title 10, United States Code, is
    repealed.
        (b) Clerical Amendment.--The table of sections at the beginning of
    subchapter II of chapter 169 of such title is amended by striking the
    item relating to section 2823.
    SEC. 2804. AUTHORITY TO CONTINUE TO OCCUPY LEASED FAMILY HOUSING FOR
    UNITED STATES SOUTHERN COMMAND PERSONNEL.
        Section 2828(b)(4) of title 10, United States Code, is amended by
    adding at the end the following new subparagraph:
        ``(D) Until September 30, 2008, the Secretary of the Army may
    authorize family members of a member of the armed forces on active duty
    who is assigned to a family-member-restricted area and who, before such
    assignment, was occupying a housing unit leased under this paragraph,
    to remain in the leased housing unit until the member completes the
    assignment. Costs incurred for the leased housing unit during the
    assignment shall be included in the costs subject to the limitation
    under subparagraph (B).''.
    SEC. 2805. CONSIDERATION OF ALTERNATIVE AND MORE EFFICIENT USES FOR
    GENERAL OFFICER AND FLAG OFFICER QUARTERS IN EXCESS OF 6,000 SQUARE
    FEET.
        (a) Reporting Requirements.--Subsection (e)(1) of section 2831 of
    title 10, United States Code, is amended--
            (1) in subparagraph (A), by striking ``and'' at the end of the
        subparagraph;
            (2) in subparagraph (B)--
                (A) by striking ``so identified'' and inserting
            ``identified under subparagraph (A)''; and
                (B) by striking the period at the end of the subparagraph
            and inserting a semicolon; and
            (3) by adding at the end the following new subparagraphs:
            ``(C) identifying each family housing unit in excess of 6,000
        square feet used, or intended for use, as quarters for a general
        officer or flag officer;
            ``(D) for each family housing unit identified under
        subparagraph (C), specifying any alternative and more efficient use
        to which the unit could be converted (which would include any costs
        necessary to convert the unit) and containing an explanation of the
        reasons why the unit is not being converted to the alternative use;
        and
            ``(E) for each family housing unit identified under
        subparagraph (C) for which costs under subparagraph (A) or new
        construction costs are anticipated to exceed $100,000 in the next
        fiscal year, specifying any alternative use to which the unit could
        be converted (which would include any costs necessary to convert
        the unit) and an estimate of the costs to demolish and rebuild the
        unit to private sector standards.''.
        (b) Stylistic Amendments.--Such section is further amended--
            (1) in subsection (a), by inserting ``Establishment.--'' after
        ``(a)'';
            (2) in subsection (b), by inserting ``Credits to Account.--''
        after ``(b)'';
            (3) in subsection (c), by inserting ``Availability of Amounts
        in Account.--'' after ``(c)''; and
            (4) in subsection (d), by inserting ``Use of Account.--'' after
        ``(d)''; and
            (5) in the heading of subsection (e), by striking ``Cost of'';
    SEC. 2806. MODIFICATION OF NOTIFICATION REQUIREMENTS RELATED TO COST
    VARIATION AUTHORITY.
        Section 2853(c) of title 10, United States Code, is amended by
    striking ``if--'' and paragraphs (1), (2), and (3) and inserting the
    following: ``if the variation in cost or reduction in the scope of work
    is approved by the Secretary concerned and--
            ``(1) in the case of a cost increase or a reduction in the
        scope of work--
                ``(A) the Secretary concerned notifies the appropriate
            committees of Congress in writing of the cost increase or
            reduction in scope and the reasons therefor, including a
            description of the funds proposed to be used to finance any
            increased costs; and
                ``(B) a period of 21 days has elapsed after the date on
            which the notification is received by the committees or, if
            over sooner, a period of 14 days has elapsed after the date on
            which a copy of the notification is provided in an electronic
            medium pursuant to section 480 of this title; or
            ``(2) in the case of a cost decrease, the Secretary concerned
        notifies the appropriate committees of Congress in writing not
        later than 14 days after the date funds are obligated in connection
        with the military construction project or military family housing
        project.''.
    SEC. 2807. CONSIDERATION OF LOCAL COMPARABILITY OF FLOOR AREAS IN
    CONSTRUCTION, ACQUISITION, AND IMPROVEMENT OF MILITARY UNACCOMPANIED
    HOUSING.
        (a) Comparability of Floor Areas.--
            (1) In general.--Section 2856 of title 10, United States Code,
        is amended to read as follows:

    ``Sec. 2856. Military unaccompanied housing: local comparability of
                floor areas

        ``In the construction, acquisition, and improvement of military
    unaccompanied housing, the Secretary concerned shall ensure that the
    floor areas of such housing in a particular locality (as designated by
    the Secretary concerned for purposes of this section) do not exceed the
    floor areas of similar housing in the private sector in that
    locality.''.
            (2) Clerical amendment.--The table of sections at the beginning
        of subchapter III of chapter 169 of such title is amended by
        striking the item relating to section 2856 and inserting the
        following new item:

    ``2856. Military unaccompanied housing: local comparability of floor
              areas.''.

        (b) Conforming Amendments Regarding Alternative Acquisition and
    Improvement Authority.--Section 2880(b) of such title is amended--
            (1) by striking ``(1) Section 2826'' and inserting ``Sections
        2826 and 2856'';
            (2) by inserting ``or military unaccompanied housing'' after
        ``military family housing''; and
            (3) by striking paragraph (2).
    SEC. 2808. CERTIFICATION REQUIRED FOR MILITARY CONSTRUCTION PROJECTS
    FOR FACILITIES DESIGNED TO PROVIDE TRAINING IN URBAN OPERATIONS.
        (a) Certification Required.--Section 2859 of title 10, United
    States Code, is amended by adding at the end the following new
    subsection:
        ``(d) Certification Required for Military Construction Projects
    Designed to Provide Training in Urban Operations.--(1) Except as
    provided in paragraph (3), the Secretary concerned may not carry out a
    military construction project to construct a facility designed to
    provide training in urban operations for members of the armed forces or
    personnel of the Department of Defense or other Federal agencies
    until--
            ``(A) the Secretary of Defense approves a strategy for training
        and facility construction for operations in urban terrain; and
            ``(B) the Under Secretary of Defense for Personnel and
        Readiness evaluates the project and certifies to the appropriate
        committees of Congress that the project--
                ``(i) is consistent with the strategy; and
                ``(ii) incorporates the appropriate capabilities for joint
            and interagency use in accordance with the strategy.
        ``(2) The Under Secretary of Defense for Personnel and Readiness
    shall conduct the evaluation required by paragraph (1)(B) in
    consultation with the Commander of the United States Joint Forces
    Command.
        ``(3) This subsection shall not apply with respect to a military
    construction project carried out under the authority of section 2803,
    2804, or 2808 of this title or section 2808 of the Military
    Construction Authorization Act for Fiscal Year 2004 (division B of
    Public Law 108-136; 117 Stat. 1723).''.
        (b) Clerical Amendments.--
            (1) Section heading.--The heading of such section is amended to
        read as follows:

    ``Sec. 2859. Construction requirements related to antiterrorism and
                force protection or urban-training operations''.

            (2) Table of sections.--The table of sections at the beginning
        of subchapter III of chapter 169 of such title is amended by
        striking the item relating to section 2859 and inserting the
        following new item:

    ``2859. Construction requirements related to antiterrorism and force
              protection or urban-training operations.''.

        (c) Effective Date.--Subsection (d) of section 2859 of title 10,
    United States Code, as added by subsection (a), shall apply with
    respect to military construction projects described in such subsection
    (d) for which funds are first provided for fiscal year 2007 or
    thereafter.
    SEC. 2809. AUTHORITY TO CARRY OUT MILITARY CONSTRUCTION PROJECTS IN
    CONNECTION WITH INDUSTRIAL FACILITY INVESTMENT PROGRAM.
        (a) Authority.--Subchapter III of chapter 169 of title 10, United
    States Code, is amended by inserting after section 2860 the following
    new section:

    ``Sec. 2861. Military construction projects in connection with
                industrial facility investment program

        ``(a) Authority.--The Secretary of Defense may carry out a military
    construction project, not previously authorized, for the purpose of
    carrying out activities under section 2474(a)(2) of this title, using
    funds appropriated or otherwise made available for that purpose in
    military construction accounts.
        ``(b) Crediting of Funds to Capital Budget.--Funds appropriated or
    otherwise made available in a fiscal year for the purpose of carrying
    out a military construction project with respect to a covered depot (as
    defined in subsection (e) of section 2476 of this title) may be
    credited to the amount required by subsection (a) of such section to be
    invested in the capital budgets of the covered depots in that fiscal
    year.
        ``(c) Notice and Wait Requirement.--When a decision is made to
    carry out a project under subsection (a), the Secretary of Defense
    shall notify in writing the appropriate committees of Congress of that
    decision and the savings estimated to be realized from the project. The
    project may then be carried out only after the end of the 21-day period
    beginning on the date the notification is received by such committees
    or, if earlier, the end of the 14-day period beginning on the date on
    which a copy of the notification is provided in an electronic medium
    pursuant to section 480 of this title.
        ``(d) Annual Report.--Not later than December 31 of each year, the
    Secretary shall submit to Congress a report describing actions taken
    under this section and the savings realized from such actions during
    the fiscal year ending in the year in which the report is submitted.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such subchapter is amended by inserting after the item relating to
    section 2860 the following new item:

    ``2861. Military construction projects in connection with industrial
              facility investment program.''.
    SEC. 2810. REPEAL OF SPECIAL REQUIREMENT FOR MILITARY CONSTRUCTION
    CONTRACTS ON GUAM.
        (a) Repeal.--Section 2864 of title 10, United States Code, is
    repealed.
        (b) Clerical Amendment.--The table of sections at the beginning of
    subchapter III of chapter 169 of such title is amended by striking the
    item relating to section 2864.
    SEC. 2811. TEMPORARY EXPANSION OF AUTHORITY TO CONVEY PROPERTY AT
    MILITARY INSTALLATIONS TO SUPPORT MILITARY CONSTRUCTION.
        (a) Temporary Inclusion of All Military Installations.--Subsection
    (a) of section 2869 of title 10, United States Code, is amended--
            (1) by redesignating paragraphs (1) and (2) as subparagraphs
        (A) and (B), respectively;
            (2) by inserting ``(1)'' before ``The Secretary concerned'';
            (3) by striking ``located on a military installation that is
        closed or realigned under a base closure law'' and inserting
        ``described in paragraph (2)''; and
            (4) by adding at the end the following new paragraphs:
        ``(2) Paragraph (1) applies with respect to real property under the
    jurisdiction of the Secretary concerned that--
            ``(A) is located on a military installation that is closed or
        realigned under a base closure law; or
            ``(B) is located on a military installation not covered by
        subparagraph (A) and is determined to be excess to the needs of the
        Department of Defense.
        ``(3) Subparagraph (B) of paragraph (2) shall apply only during the
    period beginning on the date of the enactment of the John Warner
    National Defense Authorization Act for Fiscal Year 2007 and ending on
    September 30, 2008. Any conveyance of real property described in such
    subparagraph for which the Secretary concerned has provided the advance
    public notice required by subsection (d)(1) before the expiration date
    may be completed after that date.''.
        (b) Use of Authority to Support Agreements to Limit
    Encroachments.--Subparagraph (A) of paragraph (1) of subsection (a) of
    such section, as redesignated and amended by subsection (a), is further
    amended by striking ``land acquisition'' and inserting ``land
    acquisition, including the acquisition of all right, title, and
    interest or a lesser interest in real property under an agreement
    entered into under section 2684a of this title to limit encroachments
    and other constraints on military training, testing, and operations''.
        (c) Advance Notice of Use of Authority; Content of Notice.--
    Subsection (d) of such section is amended--
            (1) in paragraph (1), by striking ``closed or realigned under
        the base closure laws is to be conveyed'' and inserting ``is
        proposed for conveyance'';
            (2) by striking paragraph (2) and inserting the following new
        paragraph:
        ``(2) The Secretary concerned may not enter into an agreement under
    subsection (a) for the conveyance of real property until--
            ``(A) the Secretary submits to Congress notice of the
        conveyance, including--
                ``(i) a description of the real property to be conveyed by
            the Secretary under the agreement;
                ``(ii) a description of the military construction project,
            land acquisition, military family housing, or military
            unaccompanied housing to be carried out under the agreement in
            exchange for the conveyance of the property; and
                ``(iii) the amount of any payment to be made under
            subsection (b) or under section 2684a(d) of this title to
            equalize the fair market values of the property to be conveyed
            and the military construction project, land acquisition,
            military family housing, or military unaccompanied housing to
            be carried out under the agreement in exchange for the
            conveyance of the property; and
            ``(B) the waiting period applicable to that notice under
        paragraph (3) expires.
        ``(3) If the notice submitted under paragraph (2) deals with the
    conveyance of real property located on a military installation that is
    closed or realigned under a base closure law or the conveyance of real
    property under an agreement entered into under section 2684a of this
    title, the Secretary concerned may enter into the agreement under
    subsection (a) for the conveyance of the property after a period of 21
    days has elapsed from the date of receipt of the notice or, if over
    sooner, a period of 14 days has elapsed from the date on which a copy
    of the notice is provided in an electronic medium pursuant to section
    480 of this title. In the case of other real property to be conveyed
    under subsection (a), the Secretary concerned may enter into the
    agreement only after a period of 60 days has elapsed from the date of
    receipt of the notice or, if over sooner, a period of 45 days has
    elapsed from the date on which the electronic copy is provided.''.
        (d) Deposit and Use of Funds.--Subsection (e) of such section is
    amended to read as follows:
        ``(e) Deposit and Use of Funds.--(1) Except as provided in
    paragraph (2), the Secretary concerned may deposit funds received under
    subsection (b) in the Department of Defense housing funds established
    under section 2883(a) of this title.
        ``(2) During the period specified in paragraph (3) of subsection
    (a), the Secretary concerned shall deposit funds received under
    subsection (b) in the appropriation `Foreign Currency Fluctuations,
    Construction, Defense'.
        ``(3) The funds deposited under paragraph (2) shall be available,
    in such amounts as provided in appropriation Acts, for the purpose of
    paying increased costs of overseas military construction and family
    housing construction or improvement associated with unfavorable
    fluctuations in currency exchange rates. The use of such funds for this
    purpose does not relieve the Secretary concerned from the duty to
    provide advance notice to Congress under section 2853(c) of this title
    whenever the Secretary approves an increase in the cost of an overseas
    project under such section.''.
        (e) Annual Reports; Effect of Failure to Submit.--Subsection (f) of
    such section is amended--
            (1) by redesignating paragraphs (1), (2), and (3) as
        subparagraphs (A), (B), and (C), respectively;
            (2) in subparagraph (C), as so redesignated, by inserting
        before the period at the end the following: ``and of excess real
        property at military installations'';
            (3) by striking ``(f)'' and all that follows through ``the
        following:'' and inserting the following:
        ``(f) Annual Reports; Effect of Failure to Submit.--(1) Not later
    than March 15 of each year, the Secretary of Defense shall submit to
    Congress a report detailing the following:''; and
            (4) by adding at the end the following new paragraph:
        ``(2) If the report for a year is not submitted to Congress by the
    date specified in paragraph (1), the Secretary concerned may not enter
    into an agreement under subsection (a) after that date for the
    conveyance of real property until the date on which the report is
    finally submitted.''.
        (f) Clerical Amendments.--
            (1) Section heading.--The heading of such section is amended to
        read as follows:

    ``Sec. 2869. Conveyance of property at military installations to
                support military construction or limit encroachment''.

            (2) Table of sections.--The table of sections at the beginning
        of subchapter III of chapter 169 of such title is amended by
        striking the item relating to section 2869 and inserting the
        following new item:

    ``2869. Conveyance of property at military installations to support
              military construction or limit encroachment.''.

        (g) Conforming Amendments to Authority to Limit Encroachments.--
    Subsection (d)(3) of section 2684a of such title is amended--
            (1) by redesignating subparagraphs (B) and (C) as subparagraphs
        (C) and (D), respectively;
            (2) in subparagraph (C), as so redesignated, by striking ``in
        the sharing of acquisition costs of real property, or an interest
        in real property, under paragraph (1)(B)'' and inserting ``under
        subparagraph (A), either through the contribution of funds or
        excess real property, or both,''; and
            (3) by inserting after subparagraph (A) the following new
        subparagraph (B):
        ``(B) In lieu of or in addition to making a monetary contribution
    toward the cost of acquiring a parcel of real property, or an interest
    therein, pursuant to an agreement under this section, the Secretary
    concerned may convey, using the authority provided by section 2869 of
    this title, real property described in paragraph (2) of subsection (a)
    of such section, subject to the limitation in paragraph (3) of such
    subsection.''.
    SEC. 2812. PILOT PROJECTS FOR ACQUISITION OR CONSTRUCTION OF MILITARY
    UNACCOMPANIED HOUSING.
        (a) Reduction of Applicable Notification Periods.--Section 2881a of
    title 10, United States Code, is amended by striking ``90 days'' both
    places it appears and inserting ``30 days''.
        (b) Extension of Authority.--Subsection (f) of such section is
    amended by striking ``2007'' and inserting ``2009''.

            Subtitle B--Real Property and Facilities Administration

    SEC. 2821. CONGRESSIONAL NOTICE REQUIREMENTS, IN ADVANCE OF ACQUISITION
    OF LAND BY CONDEMNATION FOR MILITARY PURPOSES.
        (a) Sense of Congress.--It is the sense of Congress that the
    Secretary of Defense, when acquiring land for military purposes,
    should--
            (1) make every effort to acquire the land by means of purchases
        from willing sellers; and
            (2) employ condemnation, eminent domain, or seizure procedures
        only as a measure of last resort in cases of compelling national
        security requirements or at the request of the seller.
        (b) Advance Notice of Use of Condemnation; Exceptions.--Section
    2663 of title 10, United States Code, is amended--
            (1) in subsection (a)(1), ``The Secretary'' and inserting
        ``Subject to subsection (f), the Secretary''; and
            (2) by adding at the end the following new subsections:
        ``(f) Advance Notice of Use of Condemnation.--(1) Before commencing
    any legal proceeding to acquire any interest in land under subsection
    (a), including acquisition for temporary use, by condemnation, eminent
    domain, or seizure, the Secretary of the military department concerned
    shall--
            ``(A) pursue, to the maximum extent practicable, all other
        available options for the acquisition or use of the land, such as
        the purchase of an easement or the execution of a land exchange;
        and
            ``(B) submit to the congressional defense committees a report
        containing--
                ``(i) a description of the land to be acquired;
                ``(ii) a certification that negotiations with the owner or
            owners of the land occurred, and that the Secretary tendered
            consideration in an amount equal to the fair market value of
            the land, as determined by the Secretary; and
                ``(iii) an explanation of the other approaches considered
            for acquiring use of the land, the reasons for the acquisition
            of the land, and the reasons why alternative acquisition
            strategies are inadequate.
        ``(2) The Secretary concerned may have proceedings brought in the
    name of the United States to acquire the land after the end of the 21-
    day period beginning on the date on which the report is received by the
    committees or, if over sooner, the end of the 14-day period beginning
    on the date on which a copy of the report is provided in an electronic
    medium pursuant to section 480 of this title.
        ``(g) Exception to Advance Notice Requirement.--If the Secretary of
    a military department determines that the use of condemnation, eminent
    domain, or seizure to acquire an interest in land is required under
    subsection (a) to satisfy a requirement vital to national security, and
    that any delay would be detrimental to national security or the
    protection of health, safety, or the environment, the Secretary may
    have proceedings brought in the name of the United States to acquire
    the land in advance of submitting the report required by subsection
    (f)(1)(B). However, the Secretary shall submit the report not later
    than seven days after commencement of the legal proceedings with
    respect to the land.''.
    SEC. 2822. CONSOLIDATION OF DEPARTMENT OF DEFENSE AUTHORITIES REGARDING
    GRANTING OF EASEMENTS FOR RIGHTS-OF-WAY.
        (a) Consolidation.--Subsection (a) of section 2668 of title 10,
    United States Code, is amended--
            (1) in the matter preceding paragraph (1)--
                (A) by striking ``he'' both places it appears and inserting
            ``the Secretary''; and
                (B) by striking ``his control, to a State, Commonwealth, or
            possession, or political subdivision thereof, or to a citizen,
            association, partnership, or corporation of a State,
            Commonwealth, or possession,'' and inserting ``the Secretary's
            control'';
            (2) in paragraph (2), by striking ``oil pipe lines'' and
        inserting ``gas, water, sewer, and oil pipe lines''; and
            (3) in paragraph (13), by striking ``he considers advisable,
        except a purpose covered by section 2669 of this title'' and
        inserting ``the Secretary considers advisable''.
        (b) Stylistic Amendments.--Such section is further amended--
            (1) in subsection (a), by inserting ``Authorized Types of
        Easements.--'' after ``(a)'';
            (2) in subsection (b), by inserting ``Limitation on Size of
        Easement.--'' after ``(b)'';
            (3) in subsection (c), by inserting ``Termination.--'' after
        ``(c)'';
            (4) in subsection (d), by inserting ``Notice to Department of
        the Interior.--'' after ``(d)''; and
            (5) in subsection (e), by inserting ``Disposition of
        Consideration.--'' after ``(e)''.
        (c) Conforming Repeal.--Section 2669 of such title is repealed.
        (d) Clerical Amendment.--The table of sections at the beginning of
    chapter 159 of such title is amended by striking the item related to
    section 2669.
    SEC. 2823. AUTHORITY TO GRANT RESTRICTIVE EASEMENTS FOR CONSERVATION
    PURPOSES IN CONNECTION WITH LAND CONVEYANCES.
        (a) Restrictive Easements.--Chapter 159 of title 10, United States
    Code, is amended by inserting after section 2668 the following new
    section:

    ``Sec. 2668a. Easements: granting restrictive easements in connection
                with land conveyances

        ``(a) Authority to Include Restrictive Easement.--In connection
    with the conveyance of real property by the Secretary concerned under
    any provision of law, the Secretary concerned may grant an easement to
    an entity specified in subsection (b) restricting future uses of the
    conveyed real property for a conservation purpose consistent with
    section 170(h)(4)(A)(iv) of the Internal Revenue Code of 1986 (26
    U.S.C. 170(h)(4)(A)(iv)).
        ``(b) Authorized Recipients.--An easement under subsection (a) may
    be granted only to--
            ``(1) a State or local government; or
            ``(2) a qualified organization, as that term is defined in
        section 170(h) of the Internal Revenue Code of 1986 (26 U.S.C.
        170(h)).
        ``(c) Limitations on Use of Easement Authority.--An easement under
    subsection (a) may not be granted unless--
            ``(1) the proposed recipient of the easement consents to the
        receipt of the easement;
            ``(2) the Secretary concerned determines that the easement is
        in the public interest and the conservation purpose to be promoted
        by the easement cannot be effectively achieved through the
        application of State law by the State or a local government without
        the grant of restrictive easements;
            ``(3) the jurisdiction that encompasses the property to be
        subject to the easement authorizes the grant of restrictive
        easements; and
            ``(4) the Secretary can give or assign to a third party the
        responsibility for monitoring and enforcing easements granted under
        this section.
        ``(d) Consideration.--Easements granted under this section shall be
    without consideration from the recipient.
        ``(e) Acreage Limitation.--No easement granted under this section
    may include more land than is necessary for the easement.
        ``(f) Terms and Conditions.--The grant of an easement under this
    section shall be subject to such additional terms and conditions as the
    Secretary concerned considers appropriate to protect the interests of
    the United States.''.
        (b) Clerical Amendment.--The table of sections at the beginning of
    such chapter is amended by inserting after the item relating to section
    2668 the following new item:

    ``2668a. Easements: granting restrictive easements in connection with
              land conveyances.''.
    SEC. 2824. MAXIMUM TERM OF LEASES FOR STRUCTURES AND REAL PROPERTY
    RELATING TO STRUCTURES IN FOREIGN COUNTRIES NEEDED FOR PURPOSES OTHER
    THAN FAMILY HOUSING.
        Section 2675(a) of title 10, United States Code, is amended by
    striking ``five years'' and inserting ``10 years''.
    SEC. 2825. CONSOLIDATION OF LAWS RELATING TO TRANSFER OF DEPARTMENT OF
    DEFENSE REAL PROPERTY WITHIN THE DEPARTMENT OF DEFENSE AND TO OTHER
    FEDERAL AGENCIES.
        (a) Inclusion of Transfer Authority Between Armed Forces.--Section
    2696 of title 10, United States Code, is amended--
            (1) by redesignating subsections (a) and (b) as subsections (b)
        and (c), respectively; and
            (2) by inserting before subsection (b), as so redesignated, the
        following new subsection:
        ``(a) Transfers Between Armed Forces.--If either of the Secretaries
    concerned requests it and the other approves, real property may be
    transferred, without compensation, from one armed force to another.
    Section 2571(d) of this title shall apply to the transfer of real
    property under this subsection.''.
        (b) Inclusion of Department of Justice Program to Screen and Convey
    Property for Correctional Facilities.--The text of section 2693 of such
    title is amended--
            (1) by redesignating paragraphs (1), (2), and (3) of subsection
        (a) as subparagraphs (A), (B), and (C), respectively;
            (2) by redesignating paragraphs (1) and (2) of subsection (b)
        as subparagraphs (A) and (B), respectively, and in such
        subparagraph (B), as so redesignated, by striking ``this section''
        and inserting ``paragraph (1)'';
            (3) by striking ``(a) Except as provided in subsection (b)''
        and inserting ``(f) Screening and Conveyance of Property for
        Correctional Facilities Purposes.--(1) Except as provided in
        paragraph (2)'';
            (4) by striking ``(b) The provisions of this section'' and
        inserting ``(2) Paragraph (1)''; and
            (5) by transferring the text, as so redesignated and amended,
        to appear as a new subsection (f) at the end of section 2696 of
        such title.
        (c) Conforming Amendments.--
            (1) Conforming amendment to authority on interchange of
        property and services.--Section 2571(a) of such title is amended by
        striking ``and real estate''.
            (2) Repeal of superseded authority on screening and transfer
        for correctional purposes.--Section 2693 of such title is repealed.
            (3) Conforming amendments to consolidated authority.--Section
        2696 of such title is amended--
                (A) in subsection (b), as redesignated by subsection
            (a)(1), by striking ``Screening Requirement.--'' and inserting
            ``Screening Requirements for Additional Federal Use.--'';
                (B) in subsection (c)(1), as redesignated by subsection
            (a)(1), by striking ``subsection (a)'' in the first sentence
            and inserting ``subsection (b)'';
                (C) in subsection (d), by striking ``subsection (b)(1)''
            and inserting ``subsection (c)(1)''; and
                (D) in subsection (e), by striking ``this section'' and
            inserting ``subsection (b)''.
        (d) Clerical Amendments.--
            (1) Section 2571.--(A) The heading of section 2571 of such
        title is amended to read as follows:

    ``Sec. 2571. Interchange of supplies and services''.

            (B) The table of sections at the beginning of chapter 153 of
        such title is amended by striking the item relating to section 2571
        and inserting the following new item:

    ``2571. Interchange of supplies and services.''.

            (2) Sections 2693 and 2696.--(A) The heading of section 2696 of
        such title is amended to read as follows:

    ``Sec. 2696. Real property: transfer between armed forces and screening
                requirements for other Federal use''.

            (B) The table of sections at the beginning of chapter 159 of
        such title is amended--
                (i) by striking the item relating to section 2693; and
                (ii) by striking the item relating to section 2696 and
            inserting the following new item:

    ``2696. Real property: transfer between armed forces and screening
              requirements for other Federal use.''.
    SEC. 2826. DEFENSE ACCESS ROAD PROGRAM.
        Section 2837 of the Military Construction Authorization Act for
    Fiscal Year 2006 (division B of Public Law 109-163; 119 Stat. 3522) is
    amended--
            (1) in subsection (a)--
                (A) by inserting ``and transit systems'' after ``that
            roads''; and
                (B) by striking ``that is'' and inserting ``that are''; and
            (2) in subsection (b)--
                (A) by striking ``and'' at the end of paragraph (1); and
                (B) by striking paragraph (2) and inserting the following
            new paragraphs:
            ``(2) to determine whether the existing surface transportation
        infrastructure, including roads and transit at each installation
        identified under paragraph (1) is adequate to support the increased
        traffic associated with the increase in the number of defense
        personnel described in that paragraph; and
            ``(3) to determine whether the defense access road program
        adequately considers the complete range of surface transportation
        options, including roads and other means of transit, necessary to
        support the national defense.''.
    SEC. 2827. REPORTS ON ARMY OPERATIONAL RANGES.
        (a) Report on Pinon Canyon Maneuver Site.--
            (1) Report required.--Not later than November 30, 2006, the
        Secretary of the Army shall submit to the congressional defense
        committees a report containing an analysis of any potential
        expansion of the Pinon Canyon Maneuver Site at Fort Carson,
        Colorado.
            (2) Elements of report.--The report required under paragraph
        (1) shall include the following:
                (A) A description of the current and projected military
            requirements of the Army for training at the Pinon Canyon
            Maneuver Site.
                (B) An analysis of the reasons for any changes in those
            requirements, including the extent to which the changes are the
            result of--
                    (i) an increase in military personnel using the Pinon
                Canyon Maneuver Site due to decisions made as part of the
                2005 round of defense base closure and realignment under
                the Defense Base Closure and Realignment Act of 1990 (part
                A of title XXIX of Public Law 101-510; 10 U.S.C. 2687
                note);
                    (ii) the conversion of Army brigades to a modular
                format;
                    (iii) the Integrated Global Presence and Basing
                Strategy;
                    (iv) high operational tempos; or
                    (v) surge requirements.
                (C) A proposed plan for addressing those requirements,
            including a description of any proposed expansion of the
            existing Pinon Canyon Maneuver Site by acquiring privately held
            land surrounding the site and an analysis of alternative
            approaches that would not require expansion.
            (3) Additional elements.--If the expansion of the Pinon Canyon
        Maneuver Site is recommended in the plan required by paragraph
        (2)(C), the report shall also include the following:
                (A) An assessment of the economic impact on local
            communities of expanding the Pinon Canyon Maneuver Site by
            acquiring privately held land surrounding the site.
                (B) An assessment of the environmental impact of expanding
            the Pinon Canyon Maneuver Site.
                (C) An estimate of the costs associated with the potential
            expansion, including land acquisition, range improvements,
            installation of utilities, environmental restoration, and other
            environmental activities in connection with the acquisition.
                (D) An assessment of options for compensating local
            communities for the loss of property tax revenue as a result of
            the expansion of the Pinon Canyon Maneuver Site.
                (E) An assessment of whether the acquisition of additional
            land at the Pinon Canyon Maneuver Site can be carried out by
            the Secretary solely through transactions, including land
            exchanges and the lease or purchase of easements, with willing
            sellers of the privately held land.
        (b) Limitation on Real Property Acquisition Pending Report.--The
    Secretary of the Army may not carry out any acquisition of real
    property to expand the Pinon Canyon Maneuver Site until at least 30
    days after the date on which the Secretary submits the report required
    under subsection (a).
        (c) Report on Potential Expansion of Army Operational Ranges.--
            (1) Report required.--Not later than February 1, 2007, the
        Secretary of the Army shall submit to the congressional defense
        committees a report containing an assessment of the Army
        operational ranges used to support range activities.
            (2) Content.--The report required under paragraph (1) shall
        include the following information:
                (A) The size, description, and mission-essential tasks
            supported by each Army operational range during fiscal year
            2003.
                (B) A description of the projected changes in Army
            operational range requirements, including the size,
            characteristics, and attributes for mission-essential
            activities at each range and the extent to which any changes in
            requirements are a result of--
                    (i) decisions made as part of the 2005 round of defense
                base closure and realignment under the Defense Base Closure
                and Realignment Act of 1990 (part A of title XXIX of Public
                Law 101-510; 10 U.S.C. 2687 note);
                    (ii) the conversion of Army brigades to a modular
                format;
                    (iii) the Integrated Global Presence and Basing
                Strategy;
                    (iv) high operational tempos; or
                    (v) surge requirements.
                (C) The projected deficit or surplus of land at each Army
            operational range, and a description of the Army's plan to
            address that projected deficit or surplus of land as well as
            the upgrade of range attributes at each existing Army
            operational range.
                (D) A description of the Army's prioritization process and
            investment strategy to address the potential expansion or
            upgrade of Army operational ranges.
                (E) An analysis of alternatives to the expansion of Army
            operational ranges, including an assessment of the joint use of
            operational ranges under the jurisdiction, custody, or control
            of the Secretary of another military department.
            (3) Definitions.--In this subsection:
                (A) The term ``Army operational range'' has the meaning
            given the term ``operational range'' in section 101(e)(3) of
            title 10, United States Code, except that the term is limited
            to operational ranges under the jurisdiction, custody, or
            control of the Secretary of the Army.
                (B) The term ``range activities'' has the meaning given
            that term in section 101(e)(2) of such title.

                    Subtitle C--Base Closure and Realignment

    SEC. 2831. MODIFICATION OF DEPOSIT REQUIREMENTS IN CONNECTION WITH
    LEASE PROCEEDS RECEIVED AT MILITARY INSTALLATIONS APPROVED FOR CLOSURE
    OR REALIGNMENT AFTER JANUARY 1, 2005.
        Section 2667(d) of title 10, United States Code, is amended--
            (1) in paragraph (1)(B)(ii), by striking ``paragraph (4) or
        (5)'' and inserting ``paragraph (4), (5), or (6)'';
            (2) in paragraph (5), by inserting after ``lease under
        subsection (f)'' the following: ``at a military installation
        approved for closure or realignment under a base closure law before
        January 1, 2005,''; and
            (3) by adding at the end the following new paragraph:
        ``(6) Money rentals received by the United States from a lease
    under subsection (f) at a military installation approved for closure or
    realignment under a base closure law on or after January 1, 2005, shall
    be deposited into the account established under section 2906A(a) of the
    Defense Base Closure and Realignment Act of 1990 (part A of title XXIX
    of Public Law 101-510; 10 U.S.C. 2687 note).''.
    SEC. 2832. REPORT ON AIR FORCE AND AIR NATIONAL GUARD BASES AFFECTED BY
    2005 ROUND OF DEFENSE BASE CLOSURE AND REALIGNMENT.
        (a) Report.--Not later than January 1, 2007, the Secretary of the
    Air Force shall submit to Congress a report on planning by the
    Department of the Air Force for future roles and missions for each Air
    Force and Air National Guard installation that--
            (1) will have the number of aircraft, weapon systems, or
        functions assigned to the installation reduced or eliminated as a
        result of decisions made as part of the 2005 round of defense base
        closure and realignment under the Defense Base Closure and
        Realignment Act of 1990 (part A of title XXIX of Public Law 101-
        510; 10 U.S.C. 2687 note); or
            (2) will serve as a receiving location for the realignment of
        aircraft, weapons systems, or functions as a result of such
        decisions.
        (b) Elements of Report.--The report required under subsection (a)
    shall include the following:
            (1) An assessment of the capabilities, characteristics, and
        capacity of the facilities, other infrastructure, and personnel at
        each installation described in subsection (a).
            (2) A description of the planning process used by the
        Department of the Air Force to determine future roles and missions
        at each installation described in subsection (a), including an
        analysis of alternatives for installations to support each future
        role or mission.
            (3) A description of the future roles and missions under
        consideration for each Air Force and Air National Guard
        installation, including installations described in subsection (a),
        and an explanation of the criteria and decision-making process to
        make final decisions about future roles and missions for each
        installation.
            (4) A timeline for decisions on the final determination of
        future roles and missions for each installation described in
        subsection (a).

                          Subtitle D--Land Conveyances

    SEC. 2841. CONVEYANCE OF EASEMENT, PINE BLUFF ARSENAL, ARKANSAS.
        (a) Conveyance Authorized.--The Secretary of the Army may convey,
    without consideration, to Jefferson County, Arkansas (in this section
    referred to as the ``County''), all right, title, and interest of the
    United States in and to an easement that was acquired by the United
    States in 1942 for the benefit of Pine Bluff Arsenal, Arkansas, and
    encumbers the real property described in subsection (c) if the
    Secretary determines that the conveyance and subsequent use of the
    easement will not adversely impact the mission of Pine Bluff Arsenal.
    The conveyance shall include all appurtenances to the easement and any
    improvements thereon constructed by the United States.
        (b) Purpose of Conveyance.--The conveyance authorized by subsection
    (a) is for the sole purpose of permitting the County to construct,
    maintain, and operate a railroad over, upon, and across the real
    property encumbered by the easement.
        (c) Description of Property Encumbered by Easement.--The real
    property encumbered by the easement is situated in Jefferson County,
    Arkansas, consists of approximately 38.18 acres, and is described as
    PBR Tract No. 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35,
    36, 37, 38, 38-A, and 39 and includes the real property described in a
    Warranty Deed from C.C. Neal and Pearlee Neal dated August 14, 1942. If
    the Secretary determines that an additional survey is necessary to
    better determine the legal description of the real property encumbered
    by the easement, a survey satisfactory to the Secretary shall be
    conducted.
        (d) Further Transfer, Assignments, or Permits.--Subject to
    subsection (b), the County may make such further transfer or
    assignments, grant such permits, or make such other arrangements with
    regard to the easement conveyed under subsection (a) as the County
    considers beneficial and appropriate for the interests of the County.
        (e) Payment of Costs of Conveyances.--
            (1) Payment required.--The Secretary shall require the County
        to cover costs to be incurred by the Secretary, or to reimburse the
        Secretary for costs incurred by the Secretary, to carry out a
        conveyance under subsection (a), including survey costs, related to
        the conveyance. If amounts are collected from the County in advance
        of the Secretary incurring the actual costs, and the amount
        collected exceeds the costs actually incurred by the Secretary to
        carry out the conveyance, the Secretary shall refund the excess
        amount to the County.
            (2) Treatment of amounts received.--Amounts received under
        paragraph (1) as reimbursement for costs incurred by the Secretary
        to carry out a conveyance under subsection (a) shall be credited to
        the fund or account that was used to cover the costs incurred by
        the Secretary in carrying out the conveyance. Amounts so credited
        shall be merged with amounts in such fund or account and shall be
        available for the same purposes, and subject to the same conditions
        and limitations, as amounts in such fund or account.
        (f) Additional Term and Conditions.--The Secretary may require such
    additional terms and conditions in connection with the conveyance under
    subsection (a) as the Secretary considers appropriate to protect the
    interests of the United States.
    SEC. 2842. MODIFICATION OF LAND TRANSFER AUTHORITY, POTOMAC ANNEX,
    DISTRICT OF COLUMBIA.
        Section 2831(a) of the National Defense Authorization Act for
    Fiscal Year 1997 (Public Law 104-201; 110 Stat. 2795) is amended by
    striking ``consisting of approximately 3 acres'' and inserting
    ``consisting of approximately 4 acres and containing two buildings,
    known as building 6 and building 7''.
    SEC. 2843. LAND CONVEYANCE, NAVAL AIR STATION, BARBERS POINT, HAWAII.
        (a) Conveyance of Property.--Not later than September 30, 2008, the
    Secretary of the Navy shall enter into a binding agreement to convey,
    by sale, lease, or a combination thereof, to any public or private
    person or entity outside the Department of Defense certain parcels of
    real property, including any improvements thereon, consisting of
    approximately 499 acres located at the former Naval Air Station,
    Barbers Point, Oahu, Hawaii, that are subject to the Ford Island Master
    Development Agreement developed pursuant to section 2814(a)(2) of title
    10, United States Code, for the purpose of promoting the beneficial
    development of the real property.
        (b) Use of Existing Authority.--To implement subsection (a), the
    Secretary may utilize the special conveyance and lease authorities
    provided to the Secretary by subsections (b) and (c) of section 2814 of
    title 10, United States Code, for the purpose of developing or
    facilitating the development of Ford Island, Hawaii.
        (c) Description of Property.--The exact acreage and legal
    description of real property to be conveyed under subsection (a) shall
    be determined by a survey satisfactory to the Secretary.
        (d) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with a conveyance
    under subsection (a) as the Secretary considers appropriate to protect
    the interests of the United States.
    SEC. 2844. LAND CONVEYANCES, OMAHA, NEBRASKA.
        (a) Conveyances Authorized.--
            (1) Army conveyance.--The Secretary of the Army may convey to
        the Metropolitan Community College Area, a public community college
        located in Omaha, Nebraska (in this section referred to as the
        ``College'') all right, title, and interest of the United States in
        and to three parcels of real property under the control of the Army
        Reserve, including any improvements thereon, consisting of
        approximately 5.42 acres on the Fort Omaha campus at the College,
        for educational purposes.
            (2) Navy conveyance.--The Secretary of the Navy may convey to
        the College all right, title, and interest of the United States in
        and to a parcel of real property under the control of the Navy
        Reserve and Marine Corps Reserve, including any improvements
        thereon, consisting of approximately 6.57 acres on the Fort Omaha
        campus at the College, for educational purposes.
        (b) Consideration.--
            (1) In general.--As consideration for each conveyance under
        subsection (a), the College shall provide the United States,
        whether by cash payment, in-kind consideration, or a combination
        thereof, an amount that is not less than the fair market value of
        the conveyed property, as determined pursuant to an appraisal
        acceptable to the Secretary concerned.
            (2) Reduced tuition rates.--The Secretary concerned may accept
        as in-kind consideration under paragraph (1) reduced tuition rates
        for military personnel at the College.
        (c) Payment of Costs of Conveyances.--
            (1) Payment required.--The Secretary concerned shall require
        the College to cover costs to be incurred by the Secretary, or to
        reimburse the Secretary for costs incurred by the Secretary, to
        carry out a conveyance under subsection (a), including survey
        costs, related to the conveyance. If amounts are collected from the
        College in advance of the Secretary incurring the actual costs, and
        the amount collected exceeds the costs actually incurred by the
        Secretary to carry out the conveyance, the Secretary shall refund
        the excess amount to the College.
            (2) Treatment of amounts received.--Amounts received under
        paragraph (1) as reimbursement for costs incurred by the Secretary
        concerned to carry out a conveyance under subsection (a) shall be
        credited to the fund or account that was used to cover the costs
        incurred by the Secretary in carrying out the conveyance. Amounts
        so credited shall be merged with amounts in such fund or account
        and shall be available for the same purposes, and subject to the
        same conditions and limitations, as amounts in such fund or
        account.
        (d) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)
    shall be determined by surveys satisfactory to the Secretary concerned.
        (e) Additional Terms and Conditions.--The Secretary concerned may
    require such additional terms and conditions in connection with the
    conveyances under subsection (a) as the Secretary considers appropriate
    to protect the interests of the United States.
    SEC. 2845. LAND CONVEYANCE, HOPKINTON, NEW HAMPSHIRE.
        (a) Conveyance Authorized.--The Secretary of the Army may convey to
    the Town of Hopkinton, New Hampshire (in this section referred to as
    the ``Town''), all right, title, and interest of the United States in
    and to a parcel of real property, including any improvements thereon,
    consisting of approximately 90 acres located at a site in Hopkinton,
    New Hampshire, known as the ``Kast Hill'' property for the purpose of
    permitting the Town to use the existing sand and gravel resources on
    the property and to ensure perpetual conservation of the property.
        (b) Consideration.--
            (1) In general.--As consideration for the conveyance under
        subsection (a), the Town shall, subject to paragraph (2), provide
        to the United States, whether by cash payment, in-kind
        consideration, or a combination thereof, an amount that is not less
        than the fair market value of the conveyed property, as determined
        pursuant to an appraisal acceptable to the Secretary.
            (2) Waiver of payment of consideration.--The Secretary may
        waive the requirement for consideration under paragraph (1) if the
        Secretary determines that the Town will not use the existing sand
        and gravel resources to generate revenue.
        (c) Reversionary Interest.--If the Secretary determines at any time
    that the real property conveyed under subsection (a) is not being used
    in accordance with the purpose of the conveyance specified in such
    subsection, all right, title, and interest in and to all or any portion
    of the property shall revert, at the option of the Secretary, to the
    United States, and the United States shall have the right of immediate
    entry onto the property. Any determination of the Secretary under this
    subsection shall be made on the record after an opportunity for a
    hearing.
        (d) Prohibition on Reconveyance of Land.--The Town may not reconvey
    any of the land acquired from the United States under subsection (a)
    without the prior approval of the Secretary.
        (e) Payment of Costs of Conveyance.--
            (1) Payment required.--The Secretary shall require the Town to
        cover costs to be incurred by the Secretary, or to reimburse the
        Secretary for costs incurred by the Secretary, to carry out the
        conveyance under subsection (a), including survey costs, costs
        related to environmental documentation, and other administrative
        costs related to the conveyance. If amounts are collected from the
        Town in advance of the Secretary incurring the actual costs, and
        the amount collected exceeds the costs actually incurred by the
        Secretary to carry out the conveyance, the Secretary shall refund
        the excess amount to the Town.
            (2) Treatment of amounts received.--Amounts received as
        reimbursement under paragraph (1) shall be credited to the fund or
        account that was used to cover the costs incurred by the Secretary
        in carrying out the conveyance. Amounts so credited shall be merged
        with amounts in such fund or account and shall be available for the
        same purposes, and subject to the same conditions and limitations,
        as amounts in such fund or account.
        (f) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)
    shall be determined by a survey satisfactory to the Secretary.
        (g) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the conveyance
    of real property under subsection (a) as the Secretary considers
    appropriate to protect the interests of the United States.
    SEC. 2846. LAND CONVEYANCE, NORTH HILLS ARMY RESERVE CENTER, ALLISON
    PARK, PENNSYLVANIA.
        (a) Conveyance Authorized.--The Secretary of the Army may convey to
    the North Allegheny School District (in this section referred to as the
    ``School District'') all right, title, and interest of the United
    States in and to a parcel of real property consisting of approximately
    11.15 acres and containing the North Hills Army Reserve Center in
    Allison Park, Pennsylvania, for the purpose of permitting the School
    District to use the property for educational and recreational purposes
    and for parking facilities related thereto.
        (b) Consideration.--The Secretary may waive any requirement for
    consideration in connection with the conveyance under subsection (a) if
    the Secretary determines that, were the conveyance of the property to
    be made under subchapter III of chapter 5 of title 40, United States
    Code, for the same purpose specified in subsection (a), the conveyance
    could be made without consideration.
        (c) Reversionary Interest.--If the Secretary determines at any time
    that the real property conveyed under subsection (a) is not being used
    in accordance with the purpose of the conveyance specified in such
    subsection, all right, title, and interest in and to all or any portion
    of the property shall revert, at the option of the Secretary, to the
    United States, and the United States shall have the right of immediate
    entry onto the property. Any determination of the Secretary under this
    subsection shall be made on the record after an opportunity for a
    hearing.
        (d) Payment of Costs of Conveyance.--
            (1) Payment required.--The Secretary shall require the School
        District to cover costs to be incurred by the Secretary, or to
        reimburse the Secretary for costs incurred by the Secretary, to
        carry out the conveyance under subsection (a), including survey
        costs, costs related to environmental documentation, and other
        administrative costs related to the conveyance. If amounts are
        collected from the School District in advance of the Secretary
        incurring the actual costs, and the amount collected exceeds the
        costs actually incurred by the Secretary to carry out the
        conveyance, the Secretary shall refund the excess amount to the
        School District.
            (2) Treatment of amounts received.--Amounts received as
        reimbursement under paragraph (1) shall be credited to the fund or
        account that was used to cover the costs incurred by the Secretary
        in carrying out the conveyance. Amounts so credited shall be merged
        with amounts in such fund or account, and shall be available for
        the same purposes, and subject to the same conditions and
        limitations, as amounts in such fund or account.
        (e) Description of Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)
    shall be determined by a survey satisfactory to the Secretary.
        (f) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the conveyance
    under subsection (a) as the Secretary considers appropriate to protect
    the interests of the United States.
    SEC. 2847. TRANSFER OF JURISDICTION, FORT JACKSON, SOUTH CAROLINA.
        (a) Transfer Authorized.--The Secretary of the Army may transfer,
    without reimbursement, to the administrative jurisdiction of the
    Secretary of Veterans Affairs a parcel of real property, including any
    improvements thereon, consisting of approximately 600 acres and
    comprising a portion of Fort Jackson, South Carolina.
        (b) Use of Land.--The Secretary of Veterans Affairs shall establish
    on the real property transferred under subsection (a) a national
    cemetery under chapter 24 of title 38, United States Code.
        (c) Legal Description.--The exact acreage and legal description of
    the real property to be transferred under this section shall be
    determined by a survey satisfactory to the Secretary of the Army. The
    cost of the survey shall be borne by the Secretary of Veterans Affairs.
        (d) Additional Terms and Conditions.--The Secretary of the Army may
    require such additional terms and conditions in connection with the
    transfer under this section as the Secretary of the Army considers
    appropriate to protect the interests of the United States.
    SEC. 2848. SENSE OF CONGRESS REGARDING LAND CONVEYANCE INVOLVING ARMY
    RESERVE CENTER, MARSHALL, TEXAS.
        It is the sense of Congress that the Secretary of the Army should
    consider the feasibility of conveying the Army Reserve Center at 1209
    Pinecrest Drive East in Marshall, Texas, to the Marshall-Harrison
    County Veterans Association for the purpose of assisting the efforts of
    the Association in erecting a veterans memorial, creating a park, and
    establishing a museum recognizing and honoring the sacrifices and
    accomplishments of veterans of the Armed Forces.
    SEC. 2849. MODIFICATIONS TO LAND CONVEYANCE AUTHORITY, ENGINEERING
    PROVING GROUND, FORT BELVOIR, VIRGINIA.
        (a) Construction of Security Barrier.--Section 2836 of the Military
    Construction Authorization Act for Fiscal Year 2002 (division B of
    Public Law 107-107; 115 Stat. 1314), as amended by section 2846 of the
    Military Construction Authorization Act for Fiscal Year 2006 (division
    B of Public Law 109-163; 119 Stat. 3527), is further amended--
            (1) in subsection (b)(4), by striking ``$3,880,000'' and
        inserting ``$4,880,000''; and
            (2) in subsection (d)--
                (A) in paragraph (1), by inserting after ``Virginia,'' the
            following: ``and the construction of a security barrier, as
            applicable,''; and
                (B) in paragraph (2), by inserting after ``Building 191''
            the following: ``and the construction of a security barrier, as
            applicable''.
        (b) Authority to Enter Into Alternative Agreement for Design and
    Construction of Fairfax County Parkway Portion.--Such section 2836 is
    further amended--
            (1) in subsection (b)--
                (A) by amending paragraph (1) to read as follows:
            ``(1) except as provided in subsection (f), design and
        construct, at its expense and for public benefit, the portion of
        the Fairfax County Parkway through the Engineer Proving Ground (in
        this section referred to as the `Parkway portion');''; and
                (B) in paragraph (2), by inserting after ``C514'' the
            following: ``, RW-214 (in this section referred to as `Parkway
            project')'';
            (2) by redesignating subsection (f) as subsection (g);
            (3) by inserting after subsection (e) the following new
        subsection:
        ``(f) Alternate Agreement for Construction of Road.--(1) The
    Secretary of the Army may, in connection with the conveyance authorized
    under subsection (a), enter into an agreement with the Commonwealth
    providing for the design and construction by the Department of the Army
    or the United States Department of Transportation of the Parkway
    portion and other portions of the Fairfax County Parkway off the
    Engineer Proving Ground that are necessary to complete the Parkway
    project (in this subsection referred to as the `alternate agreement')
    if the Secretary determines that the alternate agreement is in the best
    interests of the United States to support the permanent relocation of
    additional military and civilian personnel at Fort Belvoir pursuant to
    decisions made as part of the 2005 round of defense base closure and
    realignment under the Defense Base Closure and Realignment Act of 1990
    (part A of title XXIX of Public Law 101-510; 10 U.S.C. 2687 note).
        ``(2) If the Secretary of Defense certifies that the Parkway
    portion is important to the national defense pursuant to section 210 of
    title 23, United States Code, the Secretary of the Army may enter into
    an agreement with the Secretary of Transportation to carry out the
    alternate agreement under the Defense Access Road Program.
        ``(3) The Commonwealth shall pay to the Secretary of the Army the
    costs of the design and construction of the Parkway portion and any
    other portions of the Fairfax County Parkway off the Engineer Proving
    Ground designed and constructed under the alternate agreement. The
    Secretary shall apply such payment to the design and construction
    provided for in the alternate agreement.
        ``(4) Using the authorities available to the Secretary under
    chapter 160 of title 10, United States Code, and funds deposited in the
    Environmental Restoration Account, Army, established by section 2703(a)
    of such title and appropriated for this purpose, the Secretary may
    carry out environmental restoration activities on real property under
    the jurisdiction of the Secretary in support of the construction of the
    Parkway portion.
        ``(5) The alternate agreement shall be subject to the following
    conditions:
            ``(A) The Commonwealth shall acquire and retain all necessary
        right, title, and interest in any real property not under the
        jurisdiction of the Secretary that is necessary for construction of
        the Parkway portion or for construction of any other portions of
        the Fairfax County Parkway off the Engineer Proving Ground that
        will be constructed under the alternate agreement, and shall grant
        to the United States all necessary access to and use of such
        property for such construction.
            ``(B) The Secretary shall receive consideration from the
        Commonwealth as required in subsections (b)(2), (b)(3), and (b)(4)
        and shall carry out the acceptance and disposition of funds in
        accordance with subsection (d).
        ``(6) The design of the Parkway portion under the alternate
    agreement shall be subject to the approval of the Secretary and the
    Commonwealth in accordance with the Virginia Department of
    Transportation Approved Plan, dated June 15, 2004, Project #R000-029-
    249, PE-108, C-514, RW-214. For each phase of the design and
    construction of the Parkway portion under the alternate agreement, the
    Secretary may--
            ``(A) accept funds from the Commonwealth; or
            ``(B) transfer funds received from the Commonwealth to the
        United States Department of Transportation.
        ``(7) Upon completion of the construction of the Parkway portion
    and any other portions of the Fairfax County Parkway off the Engineer
    Proving Ground required under the alternate agreement, the Secretary
    shall carry out the conveyance under subsection (a). As a condition of
    such conveyance carried out under the alternate agreement, the
    Secretary shall receive a written commitment, in a form satisfactory to
    the Secretary, that the Commonwealth agrees to accept all
    responsibility for the costs of operation and maintenance of the
    Parkway portion upon conveyance to the Commonwealth of such real
    property.''; and
            (4) in subsection (g), as redesignated by paragraph (2), by
        inserting ``or the alternate agreement authorized under subsection
        (f)'' after ``conveyance under subsection (a)''.
    SEC. 2850. LAND CONVEYANCE, RADFORD ARMY AMMUNITION PLANT, NEW RIVER
    UNIT, VIRGINIA.
        (a) Conveyance Authorized.--The Secretary of the Army may convey,
    without consideration, to the Commonwealth of Virginia on behalf of the
    Virginia Department of Veterans Services (in this section referred to
    as the ``Commonwealth'') all right, title, and interest of the United
    States in and to a parcel of real property, including any improvements
    thereon, consisting of approximately 85 acres at the Radford Army
    Ammunition Plant, New River Unit, Virginia, for the purpose of
    permitting the Commonwealth to establish on the property a cemetery
    operated by the Commonwealth for veterans of the Armed Forces.
        (b) Reversionary Interest.--If the Secretary determines at any time
    that the real property conveyed under subsection (a) is not being used
    in accordance with the purpose of the conveyance specified in such
    subsection, all right, title, and interest in and to the property shall
    revert, at the option of the Secretary, to the United States, and the
    United States shall have the right of immediate entry onto the
    property. Any determination of the Secretary under this subsection
    shall be made on the record after an opportunity for a hearing.
        (c) Payment of Costs of Conveyance.--
            (1) Payment required.--The Secretary shall require the
        Commonwealth to cover costs to be incurred by the Secretary, or to
        reimburse the Secretary for costs incurred by the Secretary, to
        carry out the conveyance under subsection (a), including survey
        costs, costs related to environmental documentation, and other
        administrative costs related to the conveyance. If amounts are
        collected from the Commonwealth in advance of the Secretary
        incurring the actual costs, and the amount collected exceeds the
        costs actually incurred by the Secretary to carry out the
        conveyance, the Secretary shall refund the excess amount to the
        Commonwealth.
            (2) Treatment of amounts received.--Amounts received as
        reimbursement under paragraph (1) shall be credited to the fund or
        account that was used to cover the costs incurred by the Secretary
        in carrying out the conveyance. Amounts so credited shall be merged
        with amounts in such fund or account and shall be available for the
        same purposes, and subject to the same conditions and limitations,
        as amounts in such fund or account.
        (d) Description of Real Property.--The exact acreage and legal
    description of the real property to be conveyed under subsection (a)
    shall be determined by a survey satisfactory to the Secretary.
        (e) Additional Terms and Conditions.--The Secretary may require
    such additional terms and conditions in connection with the conveyance
    under subsection (a) as the Secretary considers appropriate to protect
    the interests of the United States.

                          Subtitle E--Energy Security

    SEC. 2851. CONSOLIDATION AND ENHANCEMENT OF LAWS TO IMPROVE DEPARTMENT
    OF DEFENSE ENERGY EFFICIENCY AND CONSERVATION.
        (a) Creation of New Chapter.--
            (1) Reorganization of section 2865 of title 10.--Title 10,
        United States Code, is amended by inserting after chapter 172 the
        following new chapter:

                         ``CHAPTER 173--ENERGY SECURITY

    ``Subchapter
    ``I. Energy Security Activities................................... 2911

    ``II. Energy-Related Procurement.................................. 2922

    ``III. General Provisions......................................... 2925

                   ``SUBCHAPTER I--ENERGY SECURITY ACTIVITIES

    ``Sec.
    `` 2911. Energy performance goals and plan for Department of Defense.
    `` 2912. Availability and use of energy cost savings.
    `` 2913. Energy savings contracts and activities.
    `` 2914. Energy conservation construction projects.
    ``2915. New construction: use of renewable forms of energy and energy
              efficient products.
    ``2916. Sale of electricity from alternate energy and cogeneration
              production facilities.
    ``2917. Development of geothermal energy on military lands.
    ``2918. Fuel sources for heating systems; prohibition on converting
              certain heating facilities.

    ``Sec. 2911. Energy performance goals and plan for Department of
                Defense

        ``(a) Energy Performance Goals.--(1) The Secretary of Defense shall
    submit to the congressional defense committees the energy performance
    goals for the Department of Defense regarding transportation systems,
    support systems, utilities, and infrastructure and facilities.
        ``(2) The energy performance goals shall be submitted annually not
    later than the date on which the President submits to Congress the
    budget for the next fiscal year under section 1105 of title 31 and
    cover that fiscal year as well as the next five, l0, and 20 years. The
    Secretary shall identify changes to the energy performance goals since
    the previous submission.
        ``(b) Energy Performance Plan.--The Secretary of Defense shall
    develop, and update as necessary, a comprehensive plan to help achieve
    the energy performance goals for the Department of Defense.
        ``(c) Special Considerations.--For the purpose of developing and
    implementing the energy performance goals and energy performance plan,
    the Secretary of Defense shall consider at a minimum the following:
            ``(1) Opportunities to reduce the current rate of consumption
        of energy.
            ``(2) Opportunities to reduce the future demand and the
        requirements for the use of energy.
            ``(3) Opportunities to implement conservation measures to
        improve the efficient use of energy.
            ``(4) Opportunities to pursue alternative energy initiatives,
        including the use of alternative fuels in military vehicles and
        equipment.
            ``(5) Cost effectiveness, cost savings, and net present value
        of alternatives.
            ``(6) The value of diversification of types and sources of
        energy used.
            ``(7) The value of economies-of-scale associated with fewer
        energy types used.
            ``(8) The value of the use of renewable energy sources.
            ``(9) The potential for an action to serve as an incentive for
        members of the armed forces and civilian personnel to reduce energy
        consumption or adopt an improved energy performance measure.
        ``(d) Selection of Energy Conservation Measures.--(1) For the
    purpose of implementing the energy performance plan, the Secretary of
    Defense shall provide that the selection of energy conservation
    measures, including energy efficient maintenance, shall be limited to
    those measures that--
            ``(A) are readily available;
            ``(B) demonstrate an economic return on the investment;
            ``(C) are consistent with the energy performance goals and
        energy performance plan for the Department; and
            ``(D) are supported by the special considerations specified in
        subsection (c).
        ``(2) In this subsection, the term `energy efficient maintenance'
    includes--
            ``(A) the repair of military vehicles, equipment, or facility
        and infrastructure systems, such as lighting, heating, or cooling
        equipment or systems, or industrial processes, by replacement with
        technology that--
                ``(i) will achieve energy savings over the life-cycle of
            the equipment or system being repaired; and
                ``(ii) will meet the same end needs as the equipment or
            system being repaired; and
            ``(B) improvements in an operation or maintenance process, such
        as improved training or improved controls, that result in energy
        savings.

    ``Sec. 2912. Availability and use of energy cost savings

        ``(a) Availability.--An amount of the funds appropriated to the
    Department of Defense for a fiscal year that is equal to the amount of
    energy cost savings realized by the Department, including financial
    benefits resulting from shared energy savings contracts entered into
    under section 2913 of this title, shall remain available for obligation
    under subsection (b) until expended, without additional authorization
    or appropriation.
        ``(b) Use.--The Secretary of Defense shall provide that the amount
    that remains available for obligation under subsection (a) and the
    funds made available under section 2916(b)(2) of this title shall be
    used as follows:
            ``(1) One-half of the amount shall be used for the
        implementation of additional energy conservation measures at
        buildings, facilities, or installations of the Department of
        Defense or related to vehicles and equipment of the Department,
        which are designated, in accordance with regulations prescribed by
        the Secretary of Defense, by the head of the department, agency, or
        instrumentality that realized the savings referred to in subsection
        (a).
            ``(2) One-half of the amount shall be used at the installation
        at which the savings were realized, as determined by the commanding
        officer of such installation consistent with applicable law and
        regulations, for--
                ``(A) improvements to existing military family housing
            units;
                ``(B) any unspecified minor construction project that will
            enhance the quality of life of personnel; or
                ``(C) any morale, welfare, or recreation facility or
            service.
        ``(c) Treatment of Certain Financial Incentives.--Financial
    incentives received from gas or electric utilities under section 2913
    of this title shall be credited to an appropriation designated by the
    Secretary of Defense. Amounts so credited shall be merged with the
    appropriation to which credited and shall be available for the same
    purposes and the same period as the appropriation with which merged.
        ``(d) Congressional Notification.--The Secretary of Defense shall
    include in the budget material submitted to Congress in connection with
    the submission of the budget for a fiscal year pursuant to section 1105
    of title 31 a separate statement of the amounts available for
    obligation under this section in that fiscal year.

    ``Sec. 2913. Energy savings contracts and activities

        ``(a) Shared Energy Savings Contracts.--(1) The Secretary of
    Defense shall develop a simplified method of contracting for shared
    energy savings contract services that will accelerate the use of these
    contracts with respect to military installations and will reduce the
    administrative effort and cost on the part of the Department of Defense
    as well as the private sector.
        ``(2) In carrying out paragraph (1), the Secretary of Defense may--
            ``(A) request statements of qualifications (as prescribed by
        the Secretary of Defense), including financial and performance
        information, from firms engaged in providing shared energy savings
        contracting;
            ``(B) designate from the statements received, with an update at
        least annually, those firms that are presumptively qualified to
        provide shared energy savings services;
            ``(C) select at least three firms from the qualifying list to
        conduct discussions concerning a particular proposed project,
        including requesting a technical and price proposal from such
        selected firms for such project; and
            ``(D) select from such firms the most qualified firm to provide
        shared energy savings services pursuant to a contractual
        arrangement that the Secretary determines is fair and reasonable,
        taking into account the estimated value of the services to be
        rendered and the scope and nature of the project.
        ``(3) In carrying out paragraph (1), the Secretary may also provide
    for the direct negotiation, by departments, agencies, and
    instrumentalities of the Department of Defense, of contracts with
    shared energy savings contractors that have been selected competitively
    and approved by any gas or electric utility serving the department,
    agency, or instrumentality concerned.
        ``(b) Participation in Gas or Electric Utility Programs.--The
    Secretary of Defense shall permit and encourage each military
    department, Defense Agency, and other instrumentality of the Department
    of Defense to participate in programs conducted by any gas or electric
    utility for the management of energy demand or for energy conservation.
        ``(c) Acceptance of Financial Incentive, Goods, or Services.--The
    Secretary of Defense may authorize any military installation to accept
    any financial incentive, goods, or services generally available from a
    gas or electric utility, to adopt technologies and practices that the
    Secretary determines are in the interests of the United States and
    consistent with the energy performance goals for the Department of
    Defense.
        ``(d) Agreements With Gas or Electric Utilities.--(1) The Secretary
    of Defense may authorize the Secretary of a military department having
    jurisdiction over a military installation to enter into agreements with
    gas or electric utilities to design and implement cost-effective demand
    and conservation incentive programs (including energy management
    services, facilities alterations, and the installation and maintenance
    of energy saving devices and technologies by the utilities) to address
    the requirements and circumstances of the installation.
        ``(2) If an agreement under this subsection provides for a utility
    to advance financing costs for the design or implementation of a
    program referred to in that paragraph to be repaid by the United
    States, the cost of such advance may be recovered by the utility under
    terms no less favorable than those applicable to its most favored
    customer.
        ``(3) Subject to the availability of appropriations, repayment of
    costs advanced under paragraph (2) shall be made from funds available
    to a military department for the purchase of utility services.
        ``(4) An agreement under this subsection shall provide that title
    to any energy-saving device or technology installed at a military
    installation pursuant to the agreement vest in the United States. Such
    title may vest at such time during the term of the agreement, or upon
    expiration of the agreement, as determined to be in the best interests
    of the United States.

    ``Sec. 2914. Energy conservation construction projects

        ``(a) Projects Authorized.--The Secretary of Defense may carry out
    a military construction project for energy conservation, not previously
    authorized, using funds appropriated or otherwise made available for
    that purpose.
        ``(b) Congressional Notification.--When a decision is made to carry
    out a project under this section, the Secretary of Defense shall notify
    in writing the appropriate committees of Congress of that decision. The
    project may then be carried out only after the end of the 21-day period
    beginning on the date the notification is received by such committees
    or, if earlier, the end of the 14-day period beginning on the date on
    which a copy of the notification is provided in an electronic medium
    pursuant to section 480 of this title.

                  ``SUBCHAPTER II--ENERGY-RELATED PROCUREMENT

    ``Sec.
    ``2922. Liquid fuels and natural gas: contracts for storage, handling,
              or distribution.
    ``2922a. Contracts for energy or fuel for military installations.
    ``2922b. Procurement of energy systems using renewable forms of energy.
    ``2922c. Procurement of gasohol as motor vehicle fuel.
    ``2922d. Procurement of fuel derived from coal, oil shale, and tar
              sands.
    ``2922e. Acquisition of certain fuel sources: authority to waive
              contract procedures; acquisition by exchange; sales authority.
    ``2922f. Preference for energy efficient electric equipment.

                      ``SUBCHAPTER III--GENERAL PROVISIONS

    ``Sec.
    ``2925. Annual report.

    ``Sec. 2925. Annual report

        ``(a) Report Required.--As part of the annual submission of the
    energy performance goals for the Department of Defense under section
    2911 of this title, the Secretary of Defense shall submit a report
    containing the following:
            ``(1) A description of the progress made to achieve the goals
        of the Energy Policy Act of 2005 (Public Law 109-58) and the energy
        performance goals for the Department of Defense during the
        preceding fiscal year.
            ``(2) A description of the actions taken to implement the
        energy performance plan in effect under section 2911 of this title
        and carry out this chapter during the preceding fiscal year.
            ``(3) A description of the energy savings realized from such
        actions.
            ``(4) An estimate of the types and quantities of energy
        consumed by the Department of Defense and members of the armed
        forces and civilian personnel residing or working on military
        installations during the preceding fiscal year, including a
        breakdown of energy consumption by user groups and types of energy,
        energy costs, and the quantities of renewable energy produced or
        procured by the Department.
            ``(5) A description of the types and amount of financial
        incentives received under section 2913 of this title during the
        preceding fiscal year and the appropriation account or accounts to
        which the incentives were credited.
        ``(b) Initial Report.--In the first report required under this
    section, the Secretary of Defense shall include the following:
            ``(1) Such recommendations for changes to this chapter as the
        Secretary considers appropriate to improve energy performance.
            ``(2) A description of how responsibility over energy
        performance is distributed within the Department of Defense and a
        discussion on whether such responsibilities should be consolidated
        within a single entity.
            ``(3) A discussion of the manner in which the Secretary intends
        to balance the considerations specified in subsection (c) of
        section 2911 of this title in developing and implementing the
        energy performance goals and energy performance plan.
            ``(4) A discussion of the extent to which non-direct energy
        costs are considered in making research and development,
        procurement, and construction decisions.''.
            (2) Conforming repeal.--Section 2865 of title 10, United States
        Code, is repealed.
        (b) Inclusion of Additional Energy-Related Sections.--
            (1) Transfer and redesignation of chapter 159 and 169
        provisions.--Sections 2857, 2867, 2689, and 2690 of title 10,
        United States Code, are--
                (A) transferred to chapter 173 of such title, as added by
            subsection (a)(1);
                (B) inserted after section 2914; and
                (C) redesignated as sections 2915, 2916, 2917, and 2918,
            respectively.
            (2) Transfer and redesignation of chapter 141 provisions.--
        Sections 2388, 2394, 2394a, 2398, 2398a, 2404, and 2410c of such
        title are--
                (A) transferred to chapter 173 of such title, as added by
            subsection (a)(1);
                (B) inserted after the table of sections of subchapter II
            of such chapter; and
                (C) redesignated as sections 2922, 2922a, 2922b, 2922c,
            2922d, 2922e, and 2922f, respectively.
            (3) Conforming amendments.--Chapter 173 of such title, as added
        by subsection (a)(1), is amended--
                (A) in section 2915 (former section 2857), as transferred
            and redesignated by paragraph (1)--
                    (i) in subsection (a), by striking ``would be practical
                and economically feasible'' and inserting ``is consistent
                with the energy performance goals and energy performance
                plan for the Department of Defense developed under section
                2911 of this title and supported by the special
                considerations specified in subsection (c) of such
                section''; and
                    (ii) in subsection (b), by striking ``in those cases in
                which use of such forms of energy has the potential for
                reduced energy costs'';
                (B) in subsection (b)(2) of section 2916 (former section
            2867), as transferred and redesignated by paragraph (1), by
            striking ``section 2865(a) of this title'' and inserting
            ``section 2911(b) of this title'';
                (C) in subsection (a)(1) of section 2922a (former section
            2394), as transferred and redesignated by paragraph (2), by
            striking ``section 2689 of this title'' and inserting ``section
            2917 of this title'';
                (D) in section 2922b (former section 2394a), as transferred
            and redesignated by paragraph (2)--
                    (i) in subsection (a)--

                        (I) by striking ``possible and will be cost
                    effective, reliable, and otherwise suited'' and
                    inserting ``possible, suited''; and
                        (II) by striking ``his jurisdiction'' and inserting
                    ``the jurisdiction of the Secretary, consistent with
                    the energy performance goals and energy performance
                    plan for the Department of Defense developed under
                    section 2911 of this title, and supported by the
                    special considerations specified in subsection (c) of
                    such section'';

                    (ii) in subsection (b)--

                        (I) by striking ``cost effective and''; and
                        (II) by striking ``section 2857 of this title'' and
                    inserting ``section 2915 of this title''; and

                    (iii) by striking subsection (c); and
                (E) in subsection (a) of section 2922f (former section
            2410c), as transferred and redesignated by paragraph (2)--
                    (i) by striking ``When cost effective, in'' and
                inserting ``In''; and
                    (ii) by striking ``procurement, as the case may be.''
                and inserting ``procurement, if providing such a preference
                is consistent with the energy performance goals and energy
                performance plan for the Department of Defense developed
                under section 2911 of this title and supported by the
                special considerations specified in subsection (c) of such
                section.''.
            (4) Applicability of chapter 169 definitions.--Section 2801(c)
        of such title is amended by inserting ``and chapter 173 of this
        title'' after ``chapter'' in the matter preceding paragraph (1).
        (c) Clerical Amendments.--
            (1) Reference to new chapter.--The table of chapters at the
        beginning of subtitle A of title 10, United States Code, and at the
        beginning of part IV of such subtitle, are each amended by
        inserting after the item relating to chapter 172 the following new
        item:

                                 ``173. Energy
    Security.................................................................
                                  .... 2911''.

            (2) Chapter 141.--The table of sections at the beginning of
        chapter 141 of such title is amended by striking the items relating
        to sections 2388, 2394, 2394a, 2398, 2398a, 2404, and 2410c.
            (3) Chapter 159.--The table of sections at the beginning of
        chapter 159 of such title is amended by striking the items relating
        to sections 2689 and 2690.
            (4) Chapter 169.--The table of sections at the beginning of
        subchapter III of chapter 169 of such title is amended by striking
        the items relating to sections 2857, 2865, and 2867.
        (d) Conforming Amendment to Water Conservation Authority.--
    Subsection (b) of section 2866 of title 10, United States Code, is
    amended to read as follows:
        ``(b) Use of Financial Incentives and Water Cost Savings.--(1)
    Financial incentives received from utilities for management of water
    demand or water conservation under subsection (a)(2) shall be credited
    to an appropriation designated by the Secretary of Defense. Amounts so
    credited shall be merged with the appropriation to which credited and
    shall be available for the same purposes and the same period as the
    appropriation with which merged.
        ``(2) Water cost savings realized under subsection (a)(3) shall be
    used as follows:
            ``(A) One-half of the amount shall be used for water
        conservation activities at such buildings, facilities, or
        installations of the Department of Defense as may be designated (in
        accordance with regulations prescribed by the Secretary of Defense)
        by the head of the department, agency, or instrumentality that
        realized the water cost savings.
            ``(B) One-half of the amount shall be used at the installation
        at which the savings were realized, as determined by the commanding
        officer of such installation consistent with applicable law and
        regulations, for--
                ``(i) improvements to existing military family housing
            units;
                ``(ii) any unspecified minor construction project that will
            enhance the quality of life of personnel; or
                ``(iii) any morale, welfare, or recreation facility or
            service.
        ``(3) The Secretary of Defense shall include in the budget material
    submitted to Congress in connection with the submission of the budget
    for a fiscal year pursuant to section 1105 of title 31 a separate
    statement of the amounts available for obligation under this subsection
    in that fiscal year.''.
    SEC. 2852. DEPARTMENT OF DEFENSE GOAL REGARDING USE OF RENEWABLE ENERGY
    TO MEET ELECTRICITY NEEDS.
        Section 2911 of title 10, United States Code, as added by section
    2851 of this Act, is amended by adding at the end the following new
    subsection:
        ``(e) Goal Regarding Use of Renewable Energy To Meet Electricity
    Needs.--It shall be the goal of the Department of Defense--
            ``(1) to produce or procure not less than 25 percent of the
        total quantity of electric energy it consumes within its facilities
        and in its activities during fiscal year 2025 and each fiscal year
        thereafter from renewable energy sources (as defined in section
        203(b) of the Energy Policy Act of 2005 (42 U.S.C. 15852(b))); and
            ``(2) to produce or procure electric energy from renewable
        energy sources whenever the use of such renewable energy sources is
        consistent with the energy performance goals and energy performance
        plan for the Department and supported by the special considerations
        specified in subsection (c).''.
    SEC. 2853. CONGRESSIONAL NOTIFICATION OF CANCELLATION CEILING FOR
    DEPARTMENT OF DEFENSE ENERGY SAVINGS PERFORMANCE CONTRACTS.
        Section 2913 of title 10, United States Code, as added by section
    2851 of this Act, is amended by adding at the end the following new
    subsection:
        ``(e) Congressional Notification of Cancellation Ceiling for Energy
    Savings Performance Contracts.--When a decision is made to award an
    energy savings performance contract that contains a clause setting
    forth a cancellation ceiling in excess of $7,000,000, the Secretary of
    Defense shall submit to the appropriate committees of Congress written
    notification of the proposed contract and of the proposed cancellation
    ceiling for the contract. The notification shall include the
    justification for the proposed cancellation ceiling. The contract may
    then be awarded only after the end of the 30-day period beginning on
    the date the notification is received by such committees or, if
    earlier, the end of the 15-day period beginning on the date on which a
    copy of the notification is provided in an electronic medium pursuant
    to section 480 of this title.''.
    SEC. 2854. USE OF ENERGY EFFICIENCY PRODUCTS IN NEW CONSTRUCTION.
        (a) Use of Energy Efficient Products.--Section 2915 of title 10,
    United States Code, as transferred, redesignated, and amended by
    section 2851(b) of this Act, is amended by adding at the end the
    following new subsection:
        ``(e) Use of Energy Efficiency Products in New Construction.--(1)
    The Secretary of Defense shall ensure, to the maximum extent
    practicable, that energy efficient products meeting the requirements of
    the Department of Defense are used in new facility construction by or
    for the Department carried out under chapter 169 of this title if such
    products are readily available and their use is consistent with the
    energy performance goals and energy performance plan for the Department
    developed under section 2911 of this title and supported by the special
    considerations specified in subsection (c) of such section.
        ``(2) In determining the energy efficiency of products, the
    Secretary shall consider products that--
            ``(A) meet or exceed Energy Star specifications; or
            ``(B) are listed on the Federal Energy Management Program
        Product Energy Efficiency Recommendations product list of the
        Department of Energy.''.
        (b) Clerical Amendments.--Such section is further amended--
            (1) by striking the section heading and inserting the
        following:

    ``Sec. 2915. New construction: use of renewable forms of energy and
                energy efficient products'';

            (2) in subsection (a), by inserting ``Use of Renewable Forms of
        Energy Encouraged.--'' after ``(a)'';
            (3) in subsection (b), by inserting ``Consideration During
        Design Phase of Projects.--'' after ``(b)'';
            (4) in subsection (c), by inserting ``Determination of Cost
        Effectiveness.--'' after ``(c)''; and
            (5) in subsection (d), by inserting ``Exception to Square Feet
        and Cost Per Square Foot Limitations.--'' after ``(d)''.

                           Subtitle F--Other Matters

    SEC. 2861. AVAILABILITY OF RESEARCH AND TECHNICAL ASSISTANCE UNDER
    DEFENSE ECONOMIC ADJUSTMENT PROGRAM.
        Section 2391 of title 10, United States Code, is amended by
    inserting after subsection (b) the following new subsection:
        ``(c) Research and Technical Assistance.--The Secretary of Defense
    may make grants to, or conclude cooperative agreements or enter into
    contracts with, another Federal agency, a State or local government, or
    any private entity to conduct research and provide technical assistance
    in support of activities under this section or Executive Order 12788
    (57 Fed. Reg. 2213), as amended by section 33 of Executive Order 13286
    (68 Fed. Reg. 10625) and Executive Order 13378 (70 Fed. Reg. 28413).''.
    SEC. 2862. AVAILABILITY OF COMMUNITY PLANNING ASSISTANCE RELATING TO
    ENCROACHMENT OF CIVILIAN COMMUNITIES ON MILITARY FACILITIES USED FOR
    TRAINING BY THE ARMED FORCES.
         Section 2391(d)(1) of title 10, United States Code, is amended by
    adding at the end the following new sentence: ``For purposes of
    subsection (b)(1)(D), the term `military installation' includes a
    military facility owned and operated by any of the several States, the
    District of Columbia, the Commonwealth of Puerto Rico, American Samoa,
    Guam, or the Virgin Islands, even though the facility is not under the
    jurisdiction of the Department of Defense, if the Secretary of Defense
    determines that the military facility is subject to significant use for
    training by the armed forces.''.
    SEC. 2863. PROHIBITIONS AGAINST MAKING CERTAIN MILITARY AIRFIELDS OR
    FACILITIES AVAILABLE FOR USE BY CIVIL AIRCRAFT.
        (a) Prohibitions.--With respect to each military installation
    specified in subsection (b), the Secretary of Defense and the Secretary
    of the Navy may not enter into an agreement, or authorize any other
    person to enter into an agreement, that would--
            (1) authorize civil aircraft to regularly use an airfield or
        any other property at the installation; or
            (2) convey any real property at the installation, including any
        airfield at the installation, for the purpose of permitting the use
        of the property by civil aircraft.
        (b) Covered Installations.--The prohibitions in subsection (a)
    apply with respect to the following military installations:
            (1) Marine Corps Air Station, Camp Pendleton, California.
            (2) Marine Corps Air Station, Miramar, California.
            (3) Marine Corps Base, Camp Pendleton, California.
            (4) Naval Air Station, North Island, California.
        (c) Repeal of Existing Limited Prohibition.--Section 2894 of the
    Military Construction Authorization Act for Fiscal Year 1996 (division
    B of Public Law 104-106; 110 Stat. 592) is repealed.
    SEC. 2864. MODIFICATION OF CERTAIN TRANSPORTATION PROJECTS.
        (a) High Priority Projects.--The table in section 1702 of the Safe,
    Accountable, Flexible, Efficient Transportation Equity Act: A Legacy
    for Users (Public Law 109-59; 119 Stat. 1256) is amended--
            (1) in the item designated as project 4333 (119 Stat. 1422), by
        striking ``Plan and construct, land acquisition, Detroit West
        Riverfront Greenway'' in the project description column and
        inserting ``Detroit Riverfront Conservancy, Riverfront walkway,
        greenway, and adjacent land planning, construction, and land
        acquisition from Gabriel Richard Park at the Douglas Mac Arthur
        Bridge to Riverside Park at the Ambassador Bridge, Detroit''; and
            (2) in the item designated as project 4651 (119 Stat. 1434), by
        striking ``Grading, paving'' and all that follows through
        ``Airport'' in the project description column and inserting
        ``Grading, paving, roads, and the transfer of rail-to-truck for the
        intermodal facility at Rickenbacker Airport, Columbus, Ohio''.
        (b) Transportation Improvement Project.--The table in section
    1934(c) of such Act (119 Stat. 1485) is amended in the item designated
    as project 196 (119 Stat. 1495) by striking ``Detroit Riverfront
    Conservancy'' and all that follows through ``Detroit'' in the project
    description column and inserting ``Detroit Riverfront Conservancy,
    Riverfront walkway, greenway, and adjacent land planning, construction,
    and land acquisition from Gabriel Richard Park at the Douglas Mac
    Arthur Bridge to Riverside Park at the Ambassador Bridge, Detroit''.
    SEC. 2865. AVAILABILITY OF FUNDS FOR SOUTH COUNTY COMMUTER RAIL
    PROJECT, PROVIDENCE, RHODE ISLAND.
        Funds available for the South County Commuter Rail project,
    Providence, Rhode Island, authorized by paragraphs (34) and (35) of
    section 3043(d) of the Safe, Accountable, Flexible, Efficient
    Transportation Equity Act: A Legacy for Users (Public Law 109-59; 119
    Stat. 1650) shall be available for the purchase of commuter rail
    equipment for the South County Commuter Rail project upon the receipt
    by the Rhode Island Department of Transportation of an approved
    environmental assessment for the South County Commuter Rail project.
    SEC. 2866. FOX POINT HURRICANE BARRIER, PROVIDENCE, RHODE ISLAND.
        (a) Assumption of Responsibility for Barrier.--Not later than two
    years after the date of the enactment of this Act, the Secretary of the
    Army, acting through the Chief of Engineers, shall assume
    responsibility for the annual operation and maintenance of the Fox
    Point Hurricane Barrier in Providence, Rhode Island.
        (b) Identification and Conveyance of Required Structures.--The City
    of Providence, Rhode Island, in coordination with the Secretary, shall
    identify any land and structures required for the continued operation
    and maintenance, repair, replacement, rehabilitation, and structural
    integrity of the Fox Point Hurricane Barrier. The City shall convey to
    the Secretary, by quitclaim deed and without consideration, all right,
    title, and interest of the City in and to the land and structures so
    identified.
        (c) Authorization of Appropriations.--There are authorized to be
    appropriated to the Secretary such funds as are necessary for each
    fiscal year for the operation and maintenance, including repair,
    replacement, and rehabilitation, of the Fox Point Hurricane Barrier.
    SEC. 2867. FEDERAL FUNDING FOR FIXED GUIDEWAY PROJECTS.
        The Federal Transit Administration's Dear Colleague letter dated
    April 29, 2005 (C-05-05), which requires fixed guideway projects to
    achieve a ``medium'' cost-effectiveness rating for the Federal Transit
    Administration to recommend such projects for funding, shall not apply
    to the Northstar Corridor Commuter Rail Project in Minnesota.
    SEC. 2868. FEASIBILITY STUDY REGARDING USE OF GENERAL SERVICES
    ADMINISTRATION PROPERTY FOR FORT BELVOIR, VIRGINIA, REALIGNMENT.
        (a) Feasibility Study.--Not later than 180 days after the date of
    the enactment of this Act, the Secretary of the Army shall submit to
    Congress a report evaluating the costs, benefits, feasibility, and
    suitability of locating support functions for Fort Belvoir and the
    Engineering Proving Grounds, Virginia, on property currently occupied
    by General Services Administration warehouses in Springfield, Virginia.
        (b) Consultation.--The Secretary of the Army shall carry out this
    section in consultation with the Administrator of General Services.

     DIVISION C--DEPARTMENT OF ENERGY NATIONAL SECURITY AUTHORIZATIONS AND
                              OTHER AUTHORIZATIONS
          TITLE XXXI--DEPARTMENT OF ENERGY NATIONAL SECURITY PROGRAMS

              Subtitle A--National Security Programs Authorizations

    Sec. 3101. National Nuclear Security Administration.
    Sec. 3102. Defense environmental cleanup.
    Sec. 3103. Other defense activities.
    Sec. 3104. Defense nuclear waste disposal.

        Subtitle B--Program Authorizations, Restrictions, and Limitations

    Sec. 3111. Plan for transformation of National Nuclear Security
              Administration nuclear weapons complex.
    Sec. 3112. Extension of Facilities and Infrastructure Recapitalization
              Program.
    Sec. 3113. Utilization of contributions to Global Threat Reduction
              Initiative.
    Sec. 3114. Utilization of contributions to Second Line of Defense
              program.
    Sec. 3115. Two-year extension of authority for appointment of certain
              scientific, engineering, and technical personnel.
    Sec. 3116. National Academy of Sciences study of quantification of
              margins and uncertainty methodology for assessing and
              certifying the safety and reliability of the nuclear
              stockpile.
    Sec. 3117. Consolidation of counterintelligence programs of Department
              of Energy and National Nuclear Security Administration.
    Sec. 3118. Notice-and-wait requirement applicable to certain third-party
              financing arrangements.
    Sec. 3119. Extension of deadline for transfer of lands to Los Alamos
              County, New Mexico, and of lands in trust for the Pueblo of
              San Ildefonso.
    Sec. 3120. Limitations on availability of funds for Waste Treatment and
              Immobilization Plant.
    Sec. 3121. Report on Russian Surplus Fissile Materials Disposition
              Program.
    Sec. 3122. Limitation on availability of funds for construction of MOX
              Fuel Fabrication Facility.
    Sec. 3123. Education of future nuclear engineers.
    Sec. 3124. Technical correction related to authorization of
              appropriations for fiscal year 2006.

             Subtitle A--National Security Programs Authorizations

    SEC. 3101. NATIONAL NUCLEAR SECURITY ADMINISTRATION.
        (a) Authorization of Appropriations.--Funds are hereby authorized
    to be appropriated to the Department of Energy for fiscal year 2007 for
    the activities of the National Nuclear Security Administration in
    carrying out programs necessary for national security in the amount of
    $9,300,811,000, to be allocated as follows:
            (1) For weapons activities, $6,417,676,000.
            (2) For defense nuclear nonproliferation activities,
        $1,701,426,000.
            (3) For naval reactors, $795,133,000.
            (4) For the Office of the Administrator for Nuclear Security,
        $386,576,000.
        (b) Authorization of New Plant Projects.--From funds referred to in
    subsection (a) that are available for carrying out plant projects, the
    Secretary of Energy may carry out the following new plant projects:
            (1) For weapons activities:
            Project 07-D-140, project engineering and design, various
        locations, $4,977,000.
            Project 07-D-220, Radioactive Liquid Waste Treatment Facility
        upgrade, Los Alamos National Laboratory, Los Alamos, New Mexico,
        $14,828,000.
             Project 07-D-253, Technical Area 1 Heating Systems
        Modernization, Sandia National Laboratories, Albuquerque, New
        Mexico, $14,500,000.
            (2) For defense nuclear nonproliferation activities:
            Project 07-SC-05, Physical Sciences Facility, Pacific Northwest
        National Laboratory, Richland, Washington, $4,220,000.
            (3) For naval reactors:
            Project 07-D-190, project engineering and design, Materials
        Research Technology Complex, Bettis Atomic Power Laboratory, West
        Mifflin, Pennsylvania, $1,485,000.
    SEC. 3102. DEFENSE ENVIRONMENTAL CLEANUP.
         Funds are hereby authorized to be appropriated to the Department
    of Energy for fiscal year 2007 for defense environmental cleanup
    activities in carrying out programs necessary for national security in
    the amount of $5,435,312,000.
    SEC. 3103. OTHER DEFENSE ACTIVITIES.
         Funds are hereby authorized to be appropriated to the Department
    of Energy for fiscal year 2007 for other defense activities in carrying
    out programs necessary for national security in the amount of
    $717,788,000.
    SEC. 3104. DEFENSE NUCLEAR WASTE DISPOSAL.
         Funds are hereby authorized to be appropriated to the Department
    of Energy for fiscal year 2007 for defense nuclear waste disposal for
    payment to the Nuclear Waste Fund established in section 302(c) of the
    Nuclear Waste Policy Act of 1982 (42 U.S.C. 10222(c)) in the amount of
    $358,080,000.

       Subtitle B--Program Authorizations, Restrictions, and Limitations

    SEC. 3111. PLAN FOR TRANSFORMATION OF NATIONAL NUCLEAR SECURITY
    ADMINISTRATION NUCLEAR WEAPONS COMPLEX.
        (a) Plan Required.--Subtitle A of title XLII of the Atomic Energy
    Defense Act (division D of Public Law 107-314) is amended by inserting
    after section 4213 (50 U.S.C. 2533) the following new section:
        ``SEC. 4214. PLAN FOR TRANSFORMATION OF NATIONAL NUCLEAR SECURITY
          ADMINISTRATION NUCLEAR WEAPONS COMPLEX.
        ``(a) Plan Required.--The Secretary of Energy shall develop a plan
    to transform the nuclear weapons complex so as to achieve a responsive
    infrastructure by 2030. The plan shall be designed to accomplish the
    following objectives:
            ``(1) To maintain the safety, reliability, and security of the
        United States nuclear weapons stockpile.
            ``(2) To continue Stockpile Life Extension Programs that the
        Nuclear Weapons Council considers necessary.
            ``(3) To prepare to produce replacement warheads under the
        Reliable Replacement Warhead program at a rate necessary to meet
        future stockpile requirements, commencing with a first production
        unit in 2012 and achieving steady-state production using modern
        manufacturing processes by 2025.
            ``(4) To eliminate, within the nuclear weapons complex,
        duplication of production capability except to the extent required
        to ensure the safety, reliability, and security of the stockpile.
            ``(5) To maintain the current philosophy within the national
        security laboratories of peer review of nuclear weapons designs
        while eliminating duplication of laboratory capabilities except to
        the extent required to ensure the safety, reliability, and security
        of the stockpile.
            ``(6) To maintain the national security mission, and in
        particular the science-based Stockpile Stewardship Program, as the
        primary mission of the national security laboratories while
        optimizing the work-for-others activities of those laboratories to
        support other national security objectives in fields such as
        defense, intelligence, and homeland security.
            ``(7) To consolidate to the maximum extent practicable, and to
        provide for the ultimate disposition of, special nuclear material
        throughout the nuclear weapons complex, with the ultimate goal of
        eliminating Category I and II special nuclear material from the
        national security laboratories no later than March 1, 2012, so as
        to further reduce the footprint of the nuclear weapons complex,
        reduce security costs, and reduce transportation costs for special
        nuclear material. This objective does not preclude the retention of
        Category I and II special nuclear materials at a national security
        laboratory if the transformation plan required by this subsection
        envisions a pit production capability (including interim pit
        production) at a national security laboratory.
            ``(8) To employ a risk-based approach to ensure compliance with
        Design Basis Threat security requirements.
            ``(9) To expeditiously dismantle inactive nuclear weapons to
        reduce the size of the stockpile to the lowest level required by
        the Nuclear Weapons Council.
            ``(10) To operate the nuclear weapons complex in a more cost-
        effective manner.
        ``(b) Report.--Not later than February 1, 2007, the Secretary of
    Energy shall submit to the congressional defense committees a report on
    the transformation plan required by subsection (a). The report shall
    address each of the objectives required by subsection (c) and also
    include each of the following:
            ``(1) A comprehensive list of the capabilities, facilities, and
        project staffing that the National Nuclear Security Administration
        will need to have in place at the nuclear weapons complex as of
        2030 to meet the requirements of the transformation plan.
            ``(2) A comprehensive list of the capabilities and facilities
        that the National Nuclear Security Administration currently has in
        place at the nuclear weapons complex that will not be needed as of
        2030 to meet the requirements of the transformation plan.
            ``(3) A plan for implementing the transformation plan,
        including a schedule with incremental milestones.
        ``(c) Consultation.--The Secretary of Energy shall develop the
    transformation plan required by subsection (a) in consultation with the
    Secretary of Defense and the Nuclear Weapons Council.
        ``(d) Definition.--In this section, the term `national security
    laboratory' has the meaning given such term in section 3281 of the
    National Nuclear Security Administration Act (50 U.S.C. 2471).''.
        (b) Inclusion in Future-Years Nuclear Security Program.--Section
    3253 of the National Nuclear Security Administration Act (50 U.S.C.
    2453) is amended in subsection (b) by adding at the end the following
    new paragraph:
            ``(5) A statement of proposed budget authority, estimated
        expenditures, and proposed appropriations necessary to support the
        programs required to implement the plan to transform the nuclear
        weapons complex under section 4214 of the Atomic Energy Defense
        Act, together with a detailed description of how the funds
        identified for each program element specified pursuant to paragraph
        (1) in the budget for the Administration for each fiscal year
        during that five-fiscal-year period will help ensure that those
        programs are implemented. The statement shall assume year-to-year
        funding profiles that account for increases only for projected
        inflation.''.
    SEC. 3112. EXTENSION OF FACILITIES AND INFRASTRUCTURE RECAPITALIZATION
    PROGRAM.
        Section 3114 of the National Defense Authorization Act for Fiscal
    Year 2004 (Public Law 108-136; 50 U.S.C. 2453 note), as amended by
    section 3113 of the Ronald W. Reagan National Defense Authorization Act
    for Fiscal Year 2005 (Public Law 108-375; 118 Stat. 2160), is amended--
            (1) in subsection (a)(3)(F), by striking ``2011'' and inserting
        ``2013''; and
            (2) in subsection (b), by striking ``2011'' and inserting
        ``2013''.
    SEC. 3113. UTILIZATION OF CONTRIBUTIONS TO GLOBAL THREAT REDUCTION
    INITIATIVE.
        Section 3132 of the Ronald W. Reagan National Defense Authorization
    Act for Fiscal Year 2005 (Public Law 108--375; 118 Stat. 2166; 50
    U.S.C. 2569) is amended--
            (1) by redesignating subsection (f) as subsection (g); and
            (2) by adding after subsection (e) the following new
        subsection:
        ``(f) Participation by Other Governments and Organizations.--
            ``(1) In general.--The Secretary of Energy may, with the
        concurrence of the Secretary of State, enter into one or more
        agreements with any person (including a foreign government,
        international organization, or multinational entity) that the
        Secretary of Energy considers appropriate under which the person
        contributes funds for purposes of the programs described in
        paragraph (2).
            ``(2) Programs covered.--The programs described in this
        paragraph are the following international programs within the
        Global Threat Reduction Initiative:
                ``(A) The International Radiological Threat Reduction
            program.
                ``(B) The Emerging Threats and Gap Materials program.
                ``(C) The Reduced Enrichment for Research and Test Reactors
            program.
                ``(D) The Russian Research Reactor Fuel Return program.
                ``(E) The Global Research Reactor Security program.
                ``(F) The Kazakhstan Spent Fuel program.
            ``(3) Retention and use of amounts.--Notwithstanding section
        3302 of title 31, United States Code, the Secretary of Energy may
        retain and use amounts contributed under an agreement under
        paragraph (1) for purposes of the programs described in paragraph
        (2). Amounts so contributed shall be retained in a separate fund
        established in the Treasury for such purposes and shall be
        available for use without further appropriation and without fiscal
        year limitation.
            ``(4) Return of amounts not used within 5 years.--If an amount
        contributed under an agreement under paragraph (1) is not used
        under this subsection within 5 years after it was contributed, the
        Secretary of Energy shall return that amount to the person who
        contributed it.
            ``(5) Notice to congressional defense committees.--Not later
        than 30 days after the receipt of an amount contributed under
        paragraph (1), the Secretary of Energy shall submit to the
        congressional defense committees a notice specifying the purpose
        and value of the contribution and identifying the person who
        contributed it. The Secretary may not use the amount until 15 days
        after the notice is submitted.
            ``(6) Annual report.--Not later than October 31 of each year,
        the Secretary of Energy shall submit to the congressional defense
        committees a report on the receipt and use of amounts under this
        subsection during the preceding fiscal year. Each report for a
        fiscal year shall set forth--
                ``(A) a statement of any amounts received under this
            subsection, including, for each such amount, the value of the
            contribution and the person who contributed it;
                ``(B) a statement of any amounts used under this
            subsection, including, for each such amount, the purposes for
            which the amount was used; and
                ``(C) a statement of the amounts retained but not used
            under this subsection, including, for each such amount, the
            purposes (if known) for which the Secretary intends to use the
            amount.
            ``(7) Expiration.--The authority to accept, retain, and use
        contributions under this subsection expires on December 31,
        2013.''.
    SEC. 3114. UTILIZATION OF CONTRIBUTIONS TO SECOND LINE OF DEFENSE
    PROGRAM.
        (a) In General.--The Secretary of Energy may, with the concurrence
    of the Secretary of State, enter into one or more agreements with any
    person (including a foreign government, international organization, or
    multinational entity) that the Secretary of Energy considers
    appropriate under which the person contributes funds for purposes of
    the Second Line of Defense program of the National Nuclear Security
    Administration.
        (b) Retention and Use of Amounts.--Notwithstanding section 3302 of
    title 31, United States Code, the Secretary of Energy may retain and
    use amounts contributed under an agreement under subsection (a) for
    purposes of the Second Line of Defense program. Amounts so contributed
    shall be retained in a separate fund established in the Treasury for
    such purposes and shall be available for use without further
    appropriation and without fiscal year limitation.
        (c) Return of Amounts Not Used Within 5 Years.--If an amount
    contributed under an agreement under subsection (a) is not used under
    this section within 5 years after it was contributed, the Secretary of
    Energy shall return that amount to the person who contributed it.
        (d) Notice to Congressional Defense Committees.--Not later than 30
    days after the receipt of an amount contributed under subsection (a),
    the Secretary of Energy shall submit to the congressional defense
    committees a notice specifying the purpose and value of the
    contribution and identifying the person who contributed it. The
    Secretary may not use the amount until 15 days after the notice is
    submitted.
        (e) Annual Report.--Not later than October 31 of each year, the
    Secretary of Energy shall submit to the congressional defense
    committees a report on the receipt and use of amounts under this
    section during the preceding fiscal year. Each report for a fiscal year
    shall set forth--
            (1) a statement of any amounts received under this section,
        including, for each such amount, the value of the contribution and
        the person who contributed it;
            (2) a statement of any amounts used under this section,
        including, for each such amount, the purposes for which the amount
        was used; and
            (3) a statement of the amounts retained but not used under this
        section, including, for each such amount, the purposes (if known)
        for which the Secretary intends to use the amount.
        (f) Expiration.--The authority to accept, retain, and use
    contributions under this section expires on December 31, 2013.
    SEC. 3115. TWO-YEAR EXTENSION OF AUTHORITY FOR APPOINTMENT OF CERTAIN
    SCIENTIFIC, ENGINEERING, AND TECHNICAL PERSONNEL.
        Section 4601(c)(1) of the Atomic Energy Defense Act (50 U.S.C.
    2701(c)(1)) is amended by striking ``September 30, 2006'' and inserting
    ``September 30, 2008''.
    SEC. 3116. NATIONAL ACADEMY OF SCIENCES STUDY OF QUANTIFICATION OF
    MARGINS AND UNCERTAINTY METHODOLOGY FOR ASSESSING AND CERTIFYING THE
    SAFETY AND RELIABILITY OF THE NUCLEAR STOCKPILE.
        (a) Study Required.--The Secretary of Energy shall, as soon as
    practicable and no later than 120 days after the date of the enactment
    of this Act, enter into an arrangement with the National Research
    Council of the National Academy of Sciences for the Council to carry
    out a study of the quantification of margins and uncertainty
    methodology used by the national security laboratories for assessing
    and certifying the safety and reliability of the nuclear stockpile.
        (b) Matters Included.--The study required by subsection (a) shall
    evaluate the following:
            (1) The use of the quantification of margins and uncertainty
        methodology by the national security laboratories, including
        underlying assumptions of weapons performance and the ability of
        modeling and simulation tools to predict nuclear explosive package
        characteristics.
            (2) The manner in which that methodology is used to conduct the
        annual assessments of the nuclear weapons stockpile.
            (3) How the use of that methodology compares and contrasts
        between the national security laboratories.
            (4) Whether the application of the quantification of margins
        and uncertainty used for annual assessments and certification of
        the nuclear weapons stockpile can be applied to the planned
        Reliable Replacement Warhead program so as to carry out the
        objective of that program to reduce the likelihood of the
        resumption of underground testing of nuclear weapons.
        (c) Report.--
            (1) In general.--Not later than one year after the date on
        which the arrangement required by subsection (a) is entered into,
        the National Research Council shall submit to the Secretary of
        Energy and the congressional committees specified in paragraph (2)
        a report on the study that addresses the matters listed in
        subsection (b) and any other matters considered by the National
        Research Council to be relevant to the use of the quantification of
        margins and uncertainty methodology in assessing the current or
        future nuclear weapons stockpile.
            (2) Specified committees.--The congressional committees
        referred to in paragraph (1) are the following:
                (A) The Committee on Armed Services of the Senate.
                (B) The Committee on Armed Services of the House of
            Representatives.
        (d) Provision of Information.--The Secretary of Energy shall, in a
    timely manner, make available to the National Research Council all
    information that the National Research Council considers necessary to
    carry out its responsibilities under this section.
        (e) Funding.--Of the amounts made available to the Department of
    Energy pursuant to the authorization of appropriations in section 3101,
    $2,000,000 shall be available for carrying out the study required by
    this section.
    SEC. 3117. CONSOLIDATION OF COUNTERINTELLIGENCE PROGRAMS OF DEPARTMENT
    OF ENERGY AND NATIONAL NUCLEAR SECURITY ADMINISTRATION.
        (a) Transfer of Functions.--
            (1) In general.--The functions, personnel, funds, assets, and
        other resources of the Office of Defense Nuclear
        Counterintelligence of the National Nuclear Security Administration
        are transferred to the Secretary of Energy, to be administered
        (except to any extent otherwise directed by the Secretary) by the
        Director of the Office of Counterintelligence of the Department of
        Energy.
            (2) Sunset.--Effective September 30, 2010--
                (A) the functions, personnel, funds, assets, and other
            resources transferred by paragraph (1) are transferred to the
            Administrator for Nuclear Security;
                (B) subsection (e) of section 3220 of the National Nuclear
            Security Administration Act (50 U.S.C. 2410), as added by this
            section, is repealed; and
                (C) section 3233 of the National Nuclear Security
            Administration Act (50 U.S.C. 2423) is amended--
                    (i) in each of subsections (a) and (b), by striking
                ``The Secretary of Energy shall'' and inserting ``The
                Administrator shall''; and
                    (ii) in subsection (b), by striking ``Office of
                Counterintelligence of the Department of Energy'' and
                inserting ``Administration''.
        (b) NNSA Counterintelligence Office Abolished.--
            (1) In general.--Section 3232 of the National Nuclear Security
        Administration Act (50 U.S.C. 2422) is amended--
                (A) by amending the heading to read as follows:
        ``SEC. 3232. OFFICE OF DEFENSE NUCLEAR SECURITY.''.
                (B) by striking subsection (a) and inserting the following
            new subsection (a):
        ``(a) Establishment.--There is within the Administration an Office
    of Defense Nuclear Security, headed by a Chief appointed by the
    Secretary of Energy. The Administrator shall recommend to the Secretary
    suitable candidates for such position.'';
                (C) by striking subsection (b); and
                (D) by redesignating subsection (c) as subsection (b).
            (2) Conforming amendment.--The table of sections at the
        beginning of the National Nuclear Security Administration Act is
        amended by striking the item relating to section 3232 and inserting
        the following new item:

    ``Sec. 3232. Office of Defense Nuclear Security.''.

        (c) Counterintelligence Programs at NNSA Facilities.--Section 3233
    of the National Nuclear Security Administration Act (50 U.S.C. 2423) is
    amended--
            (1) in each of subsections (a) and (b), by striking ``The
        Administrator shall'' and inserting ``The Secretary of Energy
        shall''; and
            (2) in subsection (b), by striking ``Office of Defense Nuclear
        Counterintelligence'' and inserting ``Office of Counterintelligence
        of the Department of Energy''.
        (d) Status of NNSA Intelligence and Counterintelligence
    Personnel.--Section 3220 of the National Nuclear Security
    Administration Act (50 U.S.C. 2410) is amended by adding at the end the
    following new subsection:
        ``(e) Status of Intelligence and Counterintelligence Personnel.--
    Notwithstanding the restrictions of subsections (a) and (b), each
    officer or employee of the Administration, or of a contractor of the
    Administration, who is carrying out activities related to intelligence
    or counterintelligence shall, in carrying out those activities, be
    subject to the authority, direction, and control of the Secretary of
    Energy or the Secretary's delegate.''.
        (e) NNSA Intelligence and Counterintelligence Liaison.--Section
    3218 of the National Nuclear Security Administration Act (50 U.S.C.
    2408) is amended in subsection (b)--
            (1) by redesignating paragraph (4) as paragraph (5); and
            (2) by inserting after paragraph (3) the following new
        paragraph (4):
            ``(4) Liaison with the Department of Energy's Office of
        Intelligence and Counterintelligence.''.
        (f) Service From Which DOE Intelligence Director and
    Counterintelligence Director Appointed.--Section 215(b)(1) (42 U.S.C.
    7144b(b)(1)) and section 216(b)(1) (42 U.S.C. 7144c(b)(1)) of the
    Department of Energy Organization Act are each amended by striking
    ``which shall be a position in the Senior Executive Service'' and
    inserting ``who shall be an employee in the Senior Executive Service,
    the Senior Intelligence Service, the Senior National Intelligence
    Service, or any other Service that the Secretary, in coordination with
    the Director of National Intelligence, considers appropriate''.
        (g) Intelligence Executive Committee; Budget for Intelligence and
    Counterintelligence.--Section 214 of the Department of Energy
    Organization Act (42 U.S.C. 7144a) is amended--
            (1) by inserting ``(a)'' before ``The Secretary shall be
        responsible''; and
            (2) by adding at the end the following:
        ``(b)(1) There is within the Department an Intelligence Executive
    Committee. The Committee shall consist of the Deputy Secretary of
    Energy, who shall chair the Committee, and each Under Secretary of
    Energy.
            ``(2) The Committee shall be staffed by the Director of the
        Office of Intelligence and the Director of the Office of
        Counterintelligence.
            ``(3) The Secretary shall use the Committee to assist in
        developing and promulgating the counterintelligence and
        intelligence policies, requirements, and priorities of the
        Department.
        ``(c) In the budget justification materials submitted to Congress
    in support of each budget submitted by the President to Congress under
    title 31, United States Code, the amounts requested for the Department
    for intelligence functions and the amounts requested for the Department
    for counterintelligence functions shall each be specified in
    appropriately classified individual, dedicated program elements. Within
    the amounts requested for counterintelligence functions, the amounts
    requested for the National Nuclear Security Administration shall be
    specified separately from the amounts requested for other elements of
    the Department.''.
        (h) Report.--Not later than 1 year after the date of the enactment
    of this Act, the Inspector General of the Department of Energy shall
    submit to Congress a report on the implementation of this section and
    of the amendments required by this section. The report shall include
    the Inspector General's evaluation of that implementation.
    SEC. 3118. NOTICE-AND-WAIT REQUIREMENT APPLICABLE TO CERTAIN THIRD-
    PARTY FINANCING ARRANGEMENTS.
        Subtitle A of title XLVIII of the Atomic Energy Defense Act (50
    U.S.C. 2781 et seq.) is amended by adding at the end the following new
    section:
        ``SEC. 4804. NOTICE-AND-WAIT REQUIREMENT APPLICABLE TO CERTAIN
          THIRD-PARTY FINANCING ARRANGEMENTS.
        ``(a) Notice-and-Wait Requirement.--The Secretary of Energy may not
    enter into an arrangement described in subsection (b) until 30 days
    after the date on which the Secretary notifies the congressional
    defense committees in writing of the proposed arrangement.
        ``(b) Covered Arrangements.--
            ``(1) In general.--Except as provided in paragraph (2), an
        arrangement referred to in subsection (a) is any alternative
        financing arrangement, third-party financing arrangement, public-
        private partnership, privatization arrangement, private capital
        arrangement, or other financing arrangement that--
                ``(A) is entered into in connection with a project
            conducted using funds authorized to be appropriated to the
            Department of Energy to carry out programs necessary for
            national security; and
                ``(B) involves a contractor or Federal agency obtaining and
            charging to the Department of Energy as an allowable cost under
            a contract the use of office space, facilities, or other real
            property assets with a value of at least $5,000,000.
            ``(2) Exception.--An arrangement referred to in subsection (a)
        does not include an arrangement that--
                ``(A) involves the Department of Energy or a contractor
            acquiring or entering into a capital lease for office space,
            facilities, or other real property assets; or
                ``(B) is entered into in connection with a capital
            improvement project undertaken as part of an energy savings
            performance contract under section 801 of the National Energy
            Conservation Policy Act (42 U.S.C. 8287).''.
    SEC. 3119. EXTENSION OF DEADLINE FOR TRANSFER OF LANDS TO LOS ALAMOS
    COUNTY, NEW MEXICO, AND OF LANDS IN TRUST FOR THE PUEBLO OF SAN
    ILDEFONSO.
        Section 632 of the Departments of Commerce, Justice, and State, the
    Judiciary, and Related Agencies Appropriations Act, 1998 (Public Law
    105-119; 111 Stat. 2523; 42 U.S.C. 2391 note) is amended--
            (1) in subsection (d)(2), by striking ``10 years after the date
        of enactment of this Act'' and inserting ``November 26, 2012''; and
            (2) in subsection (g)(3)(B), by striking ``the end of the 10-
        year period beginning on the date of enactment of this Act'' and
        inserting ``November 26, 2012''.
    SEC. 3120. LIMITATIONS ON AVAILABILITY OF FUNDS FOR WASTE TREATMENT AND
    IMMOBILIZATION PLANT.
        (a) Limitation Relating to Earned Value Management System.--
            (1) In general.--Of the amount appropriated or otherwise
        available for defense environmental cleanup activities and
        available for the Waste Treatment and Immobilization Plant, not
        more than 90 percent of that amount may be obligated or expended.
            (2) Termination of limitation.--Paragraph (1) does not apply
        after the date on which the Secretary of Energy certifies to the
        congressional defense committees that the Defense Contract
        Management Agency has recommended for acceptance the earned value
        management system used to track and report costs of the Waste
        Treatment and Immobilization Plant.
        (b) Limitation Relating to Seismic Criteria.--
            (1) In general.--Of the amount appropriated or otherwise
        available for defense environmental cleanup activities and
        available for the Waste Treatment and Immobilization Plant, none of
        that amount may be obligated or expended for construction, or for
        the procurement of critical equipment affected by seismic criteria,
        relating to the Pretreatment Facility and the High-Level Waste
        Facility.
            (2) Exception.--Paragraph (1) does not apply to the obligation
        or expenditure of funds for construction that is necessary for
        maintenance or for activities related to maintenance.
            (3) Termination of limitation.--Paragraph (1) does not apply
        after the date on which the Secretary of Energy certifies to the
        congressional defense committees that the final seismic and ground
        motion criteria have been approved by the Secretary and that the
        contracting officer of the Waste Treatment and Immobilization Plant
        Project has formally directed that the final criteria be used for
        the final design of the Pretreatment Facility and the High-Level
        Waste Facility.
    SEC. 3121. REPORT ON RUSSIAN SURPLUS FISSILE MATERIALS DISPOSITION
    PROGRAM.
        Not later than March 1, 2007, the Secretary of Energy shall submit
    to the congressional defense committees a report on the Russian Surplus
    Fissile Materials Disposition Program (in this section referred to as
    the ``Program''). The report shall include--
            (1) a description of the disposition method the Government of
        Russia has agreed to use under the Program;
            (2) a description of the assistance the United States
        Government plans to provide under the Program;
            (3) an estimate of the total cost and schedule of such
        assistance; and
            (4) an explanation of how parallelism is to be defined for
        purposes of the Program, including projected goals for the
        disposition of Russian weapons-grade plutonium under the 2000
        Plutonium Disposition and Management Agreement, and whether such
        parallelism can be achieved if the United States mixed-oxide (MOX)
        plutonium disposition program continues on the current planned
        schedule without further delays.
    SEC. 3122. LIMITATION ON AVAILABILITY OF FUNDS FOR CONSTRUCTION OF MOX
    FUEL FABRICATION FACILITY.
        Of the amount appropriated under section 3101(a)(2) or otherwise
    available for defense nuclear nonproliferation activities for fiscal
    year 2007, none of that amount may be obligated for construction
    project 99-D-143, the Mixed-Oxide (MOX) Fuel Fabrication Facility,
    until 30 days after the date on which the Secretary of Energy provides
    to the congressional defense committees--
            (1) an independent cost estimate for the United States Surplus
        Fissile Materials Disposition Program and facilities;
            (2) a written certification that the Department of Energy
        intends to use the MOX Fuel Fabrication Facility for United States
        plutonium disposition regardless of the future direction of the
        Russian Surplus Fissile Materials Disposition Program; and
            (3) a corrective action plan for addressing the issues raised
        by the Inspector General of the Department of Energy in the
        December 2005 report titled ``The Status of the Mixed Oxide Fuel
        Fabrication Facility''.
    SEC. 3123. EDUCATION OF FUTURE NUCLEAR ENGINEERS.
        (a) Findings.--Congress makes the following findings:
            (1) The Department of Defense and the Department of Energy
        depend on the specialized expertise of nuclear engineers who
        support the development and sustainment of technologies including
        naval reactors, strategic weapons, and nuclear power plants.
            (2) Experts estimate that over 25 percent of the approximately
        58,000 workers in the nuclear power industry in the United States
        will be eligible to retire within 5 years, representing both a huge
        loss of institutional memory and a potential national security
        crisis.
            (3) This shortfall of workers is exacerbated by reductions to
        the University Reactor Infrastructure and Education Assistance
        program, which trains civilian nuclear scientists and engineers.
        The defense and civilian nuclear industries are interdependent on a
        limited number of educational institutions to produce their
        workforce. A reduction in nuclear scientists and engineers trained
        in the civilian sector may result in a further loss of qualified
        personnel for defense-related research and engineering.
            (4) The Department of Defense's successful Science, Math and
        Research for Transformation (SMART) scholarship-for-service program
        serves as a good model for a targeted scholarship or fellowship
        program designed to educate future scientists at the postsecondary
        and postgraduate levels.
        (b) Report on Education of Future Nuclear Engineers.--
            (1) Study.--The Secretary of Energy shall study the feasibility
        and merit of establishing a targeted scholarship or fellowship
        program to educate future nuclear engineers at the postsecondary
        and postgraduate levels.
            (2) Report required.--The President shall submit to the
        congressional defense committees, at the same time that the budget
        for fiscal year 2008 is submitted under section 1105(a) of title
        31, United States Code, a report on the study conducted by the
        Secretary of Energy under paragraph (1).
    SEC. 3124. TECHNICAL CORRECTION RELATED TO AUTHORIZATION OF
    APPROPRIATIONS FOR FISCAL YEAR 2006.
        Effective as of January 6, 2006, and as if included therein as
    enacted, section 3101(a) of the National Defense Authorization Act for
    Fiscal Year 2006 (Public Law 109-163; 119 Stat. 3537) is amended by
    striking ``$9,196,456'' and inserting ``$9,196,456,000''.

              TITLE XXXII--DEFENSE NUCLEAR FACILITIES SAFETY BOARD

    Sec. 3201. Authorization.
    SEC. 3201. AUTHORIZATION.
        There are authorized to be appropriated for fiscal year 2007,
    $22,260,000 for the operation of the Defense Nuclear Facilities Safety
    Board under chapter 21 of the Atomic Energy Act of 1954 (42 U.S.C. 2286
    et seq.).

                    TITLE XXXIII--NATIONAL DEFENSE STOCKPILE

    Sec. 3301. Authorized uses of National Defense Stockpile funds.
    Sec. 3302. Revisions to required receipt objectives for previously
              authorized disposals from National Defense Stockpile.
    SEC. 3301. AUTHORIZED USES OF NATIONAL DEFENSE STOCKPILE FUNDS.
        (a) Obligation of Stockpile Funds.--During fiscal year 2007, the
    National Defense Stockpile Manager may obligate up to $52,132,000 of
    the funds in the National Defense Stockpile Transaction Fund
    established under subsection (a) of section 9 of the Strategic and
    Critical Materials Stock Piling Act (50 U.S.C. 98h) for the authorized
    uses of such funds under subsection (b)(2) of such section, including
    the disposal of hazardous materials that are environmentally sensitive.
        (b) Additional Obligations.--The National Defense Stockpile Manager
    may obligate amounts in excess of the amount specified in subsection
    (a) if the National Defense Stockpile Manager notifies Congress that
    extraordinary or emergency conditions necessitate the additional
    obligations. The National Defense Stockpile Manager may make the
    additional obligations described in the notification after the end of
    the 45-day period beginning on the date on which Congress receives the
    notification.
        (c) Limitations.--The authorities provided by this section shall be
    subject to such limitations as may be provided in appropriations Acts.
    SEC. 3302. REVISIONS TO REQUIRED RECEIPT OBJECTIVES FOR PREVIOUSLY
    AUTHORIZED DISPOSALS FROM NATIONAL DEFENSE STOCKPILE.
        (a) Fiscal Year 1999 Disposal Authority.--Section 3303(a) of the
    Strom Thurmond National Defense Authorization Act for Fiscal Year 1999
    (Public Law 105-261; 50 U.S.C. 98d note), as amended by section 3302 of
    the Ronald W. Reagan National Defense Authorization Act for Year 2005
    (Public Law 108-375; 118 Stat. 2193) and section 3302 of the National
    Defense Authorization Act for Fiscal Year 2006 (Public Law 109-163; 119
    Stat. 3545), is amended--
            (1) by striking ``and'' at the end of paragraph (5); and
            (2) by striking the period at the end of paragraph (6) and
        inserting ``; and''; and
            (3) by adding at the end the following new paragraph:
            ``(7) $1,016,000,000 by the end of fiscal year 2014.''.
        (b) Fiscal Year 1998 Disposal Authority.--Section 3305(a)(5) of the
    National Defense Authorization Act for Fiscal Year 1998 (Public Law
    105-85; 50 U.S.C. 98d note), as amended by section 3305 of the National
    Defense Authorization Act for Fiscal Year 2002 (Public Law 107-107; 115
    Stat. 1390), is amended by striking ``2006'' and inserting ``2008''.
        (c) Fiscal Year 1997 Disposal Authority.--Section 3303 of the
    National Defense Authorization Act for Fiscal Year 1997 (Public Law
    104-201; 50 U.S.C. 98d note), as amended by section 3402(f) of the
    National Defense Authorization Act for Year 2000 (Public Law 106-65;
    113 Stat. 973) and section 3304(c) of the National Defense
    Authorization Act for 2002 (Public Law 107-107; 115 Stat. 1390), is
    amended--
            (1) in subsection (a), by striking paragraph (2) and inserting
        the following new paragraph (2):
            ``(2) $720,000,000 during the 12-fiscal year period ending
        September 30, 2008.''; and
            (2) in subsection (b)(2), by striking ``the 10-fiscal year
        period'' and inserting ``the period''.

                     TITLE XXXIV--NAVAL PETROLEUM RESERVES

    Sec. 3401. Authorization of appropriations.
    SEC. 3401. AUTHORIZATION OF APPROPRIATIONS.
        (a) Amount.--There are hereby authorized to be appropriated to the
    Secretary of Energy $18,810,000 for fiscal year 2007 for the purpose of
    carrying out activities under chapter 641 of title 10, United States
    Code, relating to the naval petroleum reserves.
        (b) Period of Availability.--Funds appropriated pursuant to the
    authorization of appropriations in subsection (a) shall remain
    available until expended.

                      TITLE XXXV--MARITIME ADMINISTRATION

    Sec. 3501. Authorization of appropriations for fiscal year 2007.
    Sec. 3502. Amendments relating to the Maritime Security Fleet program.
    Sec. 3503. Applicability to certain Maritime Administration vessels of
              limitations on overhaul, repair, and maintenance of vessels in
              foreign shipyards.
    Sec. 3504. Vessel transfer authority.
    Sec. 3505. United States Merchant Marine Academy graduates: service
              requirements.
    Sec. 3506. United States Merchant Marine Academy graduates: service
              obligation performance reporting requirement.
    Sec. 3507. Temporary authority to transfer obsolete combatant vessels to
              Navy for disposal.
    Sec. 3508. Qualifying Reserve duty for receipt of student incentive
              payments.
    Sec. 3509. Large passenger ship crew requirements.
    Sec. 3510. Miscellaneous Maritime Administration provisions.

    SEC. 3501. AUTHORIZATION OF APPROPRIATIONS FOR FISCAL YEAR 2007.
        Funds are hereby authorized to be appropriated for fiscal year
    2007, to be available without fiscal year limitation if so provided in
    appropriations Acts, for the use of the Department of Transportation
    for the Maritime Administration as follows:
            (1) For expenses necessary for operations and training
        activities, $116,442,000.
            (2) For paying reimbursement under section 3517 of the Maritime
        Security Act of 2003 (46 U.S.C. 53101 note), $19,500,000.
            (3) For assistance to small shipyards and maritime communities
        under section 3506 of the National Defense Authorization Act for
        Fiscal Year 2006 (46 U.S.C. App. 1249), $15,000,000.
            (4) For expenses to dispose of obsolete vessels in the National
        Defense Reserve Fleet, including provision of assistance under
        section 7 of Public Law 92-402, $25,740,000.
            (5) For administrative expenses related to the implementation
        of the loan guarantee program under title XI of the Merchant Marine
        Act, 1936 (46 U.S.C. App. 1271 et seq.), administrative expenses
        related implementation of the reimbursement program under section
        3517 of the Maritime Security Act of 2003 (46 U.S.C. 53101 note),
        and administrative expenses related to the implementation of the
        small shipyards and maritime communities assistance program under
        section 3506 of the National Defense Authorization Act for Fiscal
        Year 2006 (46 U.S.C. App. 1249), $3,317,000.
    SEC. 3502. AMENDMENTS RELATING TO THE MARITIME SECURITY FLEET PROGRAM.
        (a) Limitation on Transfer of Operating Agreements.--Section
    53105(e) of title 46, United States Code, is amended--
            (1) by inserting ``(1) In general.--'' before the first
        sentence;
            (2) by moving paragraph (1) (as designated by the amendment
        made by paragraph (1) of this subsection) so as to appear
        immediately below the heading for such subsection, and 2 ems to the
        right; and
            (3) by adding at the end the following:
            ``(2) Limitation.--The Secretary of Defense may not approve
        under paragraph (1) transfer of an operating agreement to a person
        that is not a citizen of the United States under section 2 of the
        Shipping Act, 1916 (46 U.S.C. App. 802), unless the Secretary of
        Defense determines that there is no person who is a citizen under
        such section and is interested in obtaining the operating agreement
        for a vessel that is otherwise eligible to be included in the Fleet
        under section 53102(b) and meets the requirements of the Department
        of Defense.''.
        (b) Maritime Security Fleet Program Tank Vessels.--
            (1) In general.--Section 53103(c)(4) of title 46, United States
        Code, is amended--
                (A) in subparagraph (A)(i) by striking ``(i)'' and
            inserting ``(i)(I)'';
                (B) in subparagraph (A) by redesignating clause (ii) as
            subclause (II) of clause (i);
                (C) in subparagraph (A)(i)(II), as so redesignated, by
            striking ``53102(b).'' and inserting ``53102(b); or'';
                (D) by inserting after subparagraph (A)(i)(II), as so
            redesignated, the following:
                ``(ii)(I) not later than 9 months after the first date
            amounts are available to carry out this chapter, the operator
            of the existing tank vessel enters into an agreement to charter
            one or more tank vessels to be built in the United States and
            operated as a documented vessel or documented vessels;
                ``(II) the combined tonnage of the vessels required to be
            chartered under subclause (I) is equal to or greater than the
            tonnage of the existing tank vessel subject to an operating
            agreement;
                ``(III) the operator enters into an agreement with the
            Secretary that is substantially the same as an Emergency
            Preparedness Agreement under section 53107 of this title, under
            which the operator shall make available commercial
            transportation resources as provided in that section;
                ``(IV) if the person that is the owner or operator of the
            existing tank vessel owns or operates more than one existing
            tank vessel subject to an operating agreement, the combined
            tonnage of those vessels required to be chartered under
            subclause (I) by that person is equal to or greater than the
            combined tonnage of all such existing tank vessels owned or
            operated by such person that are subject to operating
            agreements.'';
                (E) in subparagraph (B) by inserting ``with respect to
            which a binding contract is entered into under subparagraph
            (A)(i)'' after ``existing tank vessel''; and
                (F) by adding at the end the following:
            ``(C) For purpose of subparagraph (A)(ii), tonnage shall be
        measured under section 14502 of this title, or an alternate tonnage
        measured under section 14302 of this title as prescribed by the
        Secretary under section 14104 of this title.
            ``(D) No payment under this chapter may be made for an existing
        tank vessel with respect to which an agreement is entered into
        under subparagraph (A)(ii) for any period occurring--
                ``(i) after the date that is 5 years after the first date
            that amounts became available to carry out this chapter, if the
            vessel or vessels required to be chartered under subparagraph
            (A)(ii) have not been delivered; or
                ``(ii) after delivery of the vessel or vessels required to
            be chartered under such subparagraph, if any of such vessels is
            not chartered by the operator of the existing tank vessel.''.
            (2) Assistance authority.--Section 3543(a) of the National
        Defense Authorization Act for Fiscal Year 2004 (46 U.S.C. 53101
        note) is amended by striking ``shall, to the extent of the
        availability of appropriations,'' and inserting ``may''.
        (c) Priority in Allocation of Amounts Available for Annual
    Payments.--Section 53106 of title 46, United States Code, is amended by
    adding at the end the following:
        ``(f) Priority in Allocation of Available Amounts.--If the amount
    available for a fiscal year for making payments under operating
    agreements under this chapter is not sufficient to pay the full amount
    authorized under each agreement pursuant to this section for such
    fiscal year, the amount available shall be allocated among such
    agreements in a manner that gives priority to payments for vessels that
    are subject to agreements under section 3517 of the Maritime Security
    Act of 2003 (46 U.S.C. 53101 note).''.
    SEC. 3503. APPLICABILITY TO CERTAIN MARITIME ADMINISTRATION VESSELS OF
    LIMITATIONS ON OVERHAUL, REPAIR, AND MAINTENANCE OF VESSELS IN FOREIGN
    SHIPYARDS.
        Section 11 of the Merchant Ship Sales Act of 1946 (50 U.S.C. App.
    1744) is amended by inserting after subsection (c) the following:
        ``(d) Applicability of Limitations on Overhaul, Repair, and
    Maintenance in Foreign Shipyards.--
            ``(1) Application of limitation.--The provisions of section
        7310 of title 10, United States Code, shall apply to vessels
        specified in subsection (b), and to the Secretary of Transportation
        with respect to those vessels, in the same manner as those
        provisions apply to vessels specified in subsection (b) of such
        section, and to the Secretary of the Navy, respectively.
            ``(2) Covered vessels.--Vessels specified in this paragraph are
        vessels maintained by the Secretary of Transportation in support of
        the Department of Defense, including any vessel assigned by the
        Secretary of Transportation to the Ready Reserve Force that is
        owned by the United States.''.
    SEC. 3504. VESSEL TRANSFER AUTHORITY.
        The Secretary of Transportation may transfer or otherwise make
    available without reimbursement to any other department a vessel under
    the jurisdiction of the Department of Transportation, upon request by
    the Secretary of the department that receives the vessel.
    SEC. 3505. UNITED STATES MERCHANT MARINE ACADEMY GRADUATES: SERVICE
    REQUIREMENTS.
        (a) Alternate Service.--Section 1303(e) of the Merchant Marine Act,
    1936 (46 U.S.C. App. 1295b(e)) is amended by adding at the end the
    following:
        ``(6)(A) An individual who for the 5-year period following
    graduation from the Academy, serves as a commissioned officer on active
    duty in an armed force of the United States or as a commissioned
    officer of the National Oceanic and Atmospheric Administration or the
    Public Health Service shall be excused from the requirements of
    subparagraphs (C), (D), and (E) of paragraph (1).
        ``(B) The Secretary may modify or waive any of the terms and
    conditions set forth in paragraph (1) through the imposition of
    alternative service requirements.''.
        (b) Application.--Paragraph (6) of section 1303(e) of the Merchant
    Marine Act, 1936 (46 U.S.C. App. 1295b(e)), as added by this section,
    applies only to an individual who enrolls as a cadet at the United
    States Merchant Marine Academy, and signs an agreement under paragraph
    (1) of that section, after the date of the enactment of this Act.
    SEC. 3506. UNITED STATES MERCHANT MARINE ACADEMY GRADUATES: SERVICE
    OBLIGATION PERFORMANCE REPORTING REQUIREMENT.
        (a) In General.--Section 1303(e) of the Merchant Marine Act, 1936
    (46 U.S.C. App. 1295b(e)) is further amended by adding at the end the
    following:
        ``(7)(A) Subject to any otherwise applicable restrictions on
    disclosure in section 552a of title 5, United States Code, the
    Secretary of Defense, the Secretary of the department in which the
    Coast Guard is operating, the Administrator of the National Oceanic and
    Atmospheric Administration, and the Surgeon General of the Public
    Health Service--
            ``(i) shall report the status of obligated service of an
        individual graduate of the Academy upon request of the Secretary;
        and
            ``(ii) may, in their discretion, notify the Secretary of any
        failure of the graduate to perform the graduate's duties, either on
        active duty or in the Ready Reserve component of their respective
        service, or as a commissioned officer of the National Oceanic and
        Atmospheric Administration or the Public Health Service,
        respectively.
        ``(B) A report or notice under subparagraph (A) shall identify any
    graduate determined to have failed to comply with service obligation
    requirements and provide all required information as to why such
    graduate failed to comply.
        ``(C) Upon receipt of such a report or notice, such graduate may be
    considered to be in default of the graduate's service obligations by
    the Secretary, and subject to all remedies the Secretary may have with
    respect to such a default.''.
        (b) Application.--The amendment made by this section does not apply
    with respect to an agreement entered into under section 1303(e) of the
    Merchant Marine Act, 1936 (46 U.S.C. 1295b(e)) before the date of the
    enactment of this Act.
    SEC. 3507. TEMPORARY AUTHORITY TO TRANSFER OBSOLETE COMBATANT VESSELS
    TO NAVY FOR DISPOSAL.
        The Secretary of Transportation shall, subject to the availability
    of appropriations and consistent with section 1535 of title 31, United
    States Code, popularly known as the Economy Act, transfer to the
    Secretary of the Navy during fiscal year 2007 for disposal by the Navy,
    no fewer than 3 combatant vessels in the nonretention fleet of the
    Maritime Administration that are acceptable to the Secretary of the
    Navy.
    SEC. 3508. QUALIFYING RESERVE DUTY FOR RECEIPT OF STUDENT INCENTIVE
    PAYMENTS.
        Section 1304(g)(2) of title XIII of the Merchant Marine Act, 1936
    (46 U.S.C. App. 1295c(g)(2)) is amended to read as follows:
        ``(2) Each agreement entered into under paragraph (1) shall require
    the individual to accept enlisted reserve status in the United States
    Naval Reserve (including the Merchant Marine Reserve, United States
    Naval Reserve) or the United States Coast Guard Reserve before
    receiving any student incentive payments under this subsection.''.
    SEC. 3509. LARGE PASSENGER SHIP CREW REQUIREMENTS.
         Section 8103 of title 46, United States Code, is amended by adding
    at the end the following:
        ``(k) Crew Requirements for Large Passenger Vessels.--
            ``(1) Citizenship and nationality.--Each unlicensed seaman on a
        large passenger vessel shall be--
                ``(A) a citizen of the United States;
                ``(B) an alien lawfully admitted to the United States for
            permanent residence;
                ``(C) an alien allowed to be employed in the United States
            under the Immigration and Nationality Act (8 U.S.C. 1101 et
            seq.), including an alien crewman described in section
            101(a)(15)(D)(i) of that Act (8 U.S.C. 1101(a)(15)(D)(i)), who
            meets the requirements of paragraph (3)(A) of this subsection;
            or
                ``(D) a foreign national who is enrolled in the United
            States Merchant Marine Academy.
            ``(2) Percentage limitation for alien seamen.--Not more than 25
        percent of the unlicensed seamen on a vessel described in paragraph
        (1) of this subsection may be aliens referred to in subparagraph
        (B) or (C) of that paragraph.
            ``(3) Special rules for certain unlicensed seamen.--
                ``(A) Qualifications.--An unlicensed seaman described in
            paragraph (1)(C) of this subsection--
                    ``(i) shall have been employed, for a period of not
                less than 1 year, on a passenger vessel under the same
                common ownership or control as the vessel described in
                paragraph (1) of this subsection, as certified by the owner
                or managing operator of such vessel to the Secretary;
                    ``(ii) shall have no record of material disciplinary
                actions during such employment, as verified in writing by
                the owner or managing operator of such vessel to the
                Secretary;
                    ``(iii) shall have successfully completed a United
                States Government security check of the relevant domestic
                and international databases, as appropriate, or any other
                national security-related information or database;
                    ``(iv) shall have successfully undergone an employer
                background check--

                        ``(I) for which the owner or managing operator
                    provides a signed report to the Secretary that
                    describes the background checks undertaken that are
                    reasonably and legally available to the owner or
                    managing operator including personnel file information
                    obtained from such seaman and from databases available
                    to the public with respect to the seaman;
                        ``(II) that consisted of a search of all
                    information reasonably available to the owner or
                    managing operator in the seaman's country of
                    citizenship and any other country in which the seaman
                    receives employment referrals, or resides;
                        ``(III) that is kept on the vessel and available
                    for inspection by the Secretary; and
                        ``(IV) the information derived from which is made
                    available to the Secretary upon request; and

                    ``(v) may not be a citizen or temporary or permanent
                resident of a country designated by the United States as a
                sponsor of terrorism or any other country that the
                Secretary, in consultation with the Secretary of State and
                the heads of other appropriate United States agencies,
                determines to be a security threat to the United States.
                ``(B) Restrictions.--An unlicensed seaman described in
            paragraph (1)(C) of this subsection--
                    ``(i) may be employed only in the steward's department
                of the vessel; and
                    ``(ii) may not perform watchstanding, automated engine
                room duty watch, or vessel navigation functions.
                ``(C) Status, documentation, and employment.--An unlicensed
            seaman described in subparagraph (C) or (D) of paragraph (1) of
            this subsection--
                    ``(i) is deemed to meet the nationality requirements
                necessary to qualify for a merchant mariners document
                notwithstanding the requirements of part 12 of title 46,
                Code of Federal Regulations;
                    ``(ii) is deemed to meet the proof-of-identity
                requirements necessary to qualify for a merchant mariners
                document, as prescribed under regulations promulgated by
                the Secretary, if the seaman possesses--

                        ``(I) an unexpired passport issued by the
                    government of the country of which the seaman is a
                    citizen or subject; and
                        ``(II) an unexpired visa issued to the seaman, as
                    described in paragraph (1)(C);

                    ``(iii) shall, if eligible, be issued a merchant
                mariners document with an appropriate annotation reflecting
                the restrictions of subparagraph (B) of this paragraph; and
                    ``(iv) may be employed for a period of service on board
                not to exceed 36 months in the aggregate as a nonimmigrant
                crewman described in section 101(a)(15)(D)(i) of the
                Immigration and Nationality Act (8 U.S.C.
                1101(a)(15)(D)(i)) on vessels engaged in domestic voyages
                notwithstanding the departure requirements and time
                limitations of such section and the regulations and rules
                promulgated thereunder.
            ``(4) Merchant mariner's document requirements not affected.--
        This subsection shall not be construed to affect any requirement
        under Federal law that an individual must hold a merchant mariner's
        document.
            ``(5) Definitions.--In this subsection:
                ``(A) Steward's department.--The term `steward's
            department' means the department that includes entertainment
            personnel and all service personnel, including wait staff,
            housekeeping staff, and galley workers, as defined in the
            vessel security plan approved by the Secretary pursuant to
            section 70103(c) of this title.
                ``(B) Large passenger vessel.--The term `large passenger
            vessel' means a vessel of more than 70,000 gross tons, as
            measured under section 14302 of this title, with capacity for
            at least 2,000 passengers and documented with a coastwise
            endorsement under chapter 121 of this title.''.
    SEC. 3510. MISCELLANEOUS MARITIME ADMINISTRATION PROVISIONS.
        (a) Technical Correction Regarding War Risk Insurance for Merchant
    Marine Vessels.--
            (1) In general.--Section 1208(a) of the Merchant Marine Act,
        1936 (46 U.S.C. App. 1288(a)) is amended--
                (A) by striking ``Upon the request of the Secretary of
            Transportation, the Secretary of the Treasury may invest or
            reinvest all or any part of the fund in securities of the
            United States or in securities guaranteed as to principal and
            interest by the United States.''; and
                (B) by inserting after ``to the credit of such fund.'' the
            following: ``Payments of return premiums, losses, settlements,
            judgments, and all liabilities incurred by the United States
            under this title shall be made from such fund through the
            Fiscal Service of the Department of the Treasury.''.
            (2) Effective date.--The amendments made by paragraph (1) shall
        be effective as if enacted by section 3502 of the Ronald W. Reagan
        National Defense Authorization Act for Fiscal Year 2005 (118 Stat.
        2195).
        (b) Right to Use Maritime Administration Decoration.--Section 8 of
    the Merchant Marine Decorations and Medals Act (46 U.S.C. App. 2007) is
    amended by inserting ``or the Secretary of Transportation,'' after
    ``Act,''.
        (c) Intermodal Centers.--
            (1) In general.--Notwithstanding section 5309(m)(6)(B) of title
        49, United States Code, half of the amounts appropriated or made
        available under subsections (b) and (c) of section 5338 of title
        49, United States Code, for capital projects under section
        5309(m)(6)(B) of that title for fiscal years 2006 through 2009
        shall be made available and used, in accordance with section
        9008(a) of Public Law 109-59, for an intermodal or marine facility
        comprising a component of the Hawaii Port Infrastructure Expansion
        Program.
            (2) Supplementary funding.--Any amount made available under
        paragraph (1) shall be in addition to any amounts authorized to be
        appropriated under subsections (b) and (c) of section 9008 of
        Public Law 109-59.
        (d) Technical Correction.--
            (1) Correction.--Section 3509 of the National Defense
        Authorization Act for Fiscal Year 2006 (119 Stat. 3557) is amended
        by striking ``Maritime Education and Training Act of 1980'' and
        inserting ``Merchant Marine Act, 1936''.
            (2) Effective date.--This subsection shall be effective
        immediately after section 3509 of the National Defense
        Authorization Act for Fiscal Year 2006 (119 Stat. 3557) takes
        effect.

                                   Speaker of the House of Representatives.

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