[Congressional Record Volume 161, Number 87 (Tuesday, June 2, 2015)]
[Senate]
[Pages S3462-S3517]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

  SA 1463. Mr. McCAIN submitted an amendment intended to be proposed by 
him to the bill H.R. 1735, to authorize appropriations for fiscal year 
2016 for military activities of the Department of Defense and for 
military construction, to prescribe military personnel strengths for 
such fiscal year, and for other purposes; which was ordered to lie on 
the table; as follows:

       Strike all after the enacting clause and insert the 
     following:

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``National Defense 
     Authorization Act for Fiscal Year 2016''.

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

       (a) Divisions.--This Act is organized into four 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.
       (4) Division D--Funding tables.
       (b) Table of Contents.--The table of contents for this Act 
     is as follows:

Sec. 1. Short title.
Sec. 2. Organization of Act into divisions; table of contents.
Sec. 3. Congressional defense committees.
Sec. 4. Budgetary effects of this Act.

            DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS

                          TITLE I--PROCUREMENT

              Subtitle A--Authorization of Appropriations

Sec. 101. Authorization of appropriations.

                       Subtitle B--Navy Programs

Sec. 111. Amendment to cost limitation baseline for CVN-78 class 
              aircraft carrier program.
Sec. 112. Limitation on availability of funds for USS JOHN F. KENNEDY 
              (CVN-79).
Sec. 113. Limitation on availability of funds for USS ENTERPRISE (CVN-
              80).
Sec. 114. Modification of CVN-78 class aircraft carrier program.
Sec. 115. Limitation on availability of funds for Littoral Combat Ship.
Sec. 116. Extension and modification of limitation on availability of 
              funds for Littoral Combat Ship.
Sec. 117. Construction of additional Arleigh Burke destroyer.
Sec. 118. Fleet Replenishment Oiler Program.
Sec. 119. Reporting requirement for Ohio-class replacement submarine 
              program.

                     Subtitle C--Air Force Programs

Sec. 131. Limitations on retirement of B-1, B-2, and B-52 bomber 
              aircraft.
Sec. 132. Limitation on retirement of Air Force fighter aircraft.
Sec. 133. Limitation on availability of funds for F-35A aircraft 
              procurement.
Sec. 134. Prohibition on retirement of A-10 aircraft.
Sec. 135. Prohibition on availability of funds for retirement of EC-
              130H Compass Call aircraft.
Sec. 136. Limitation on transfer of C-130 aircraft.
Sec. 137. Limitation on use of funds for T-1A Jayhawk aircraft.
Sec. 138. Restriction on retirement of the Joint Surveillance Target 
              Attack Radar System (JSTARS), EC-130H Compass Call, and 
              Airborne Early Warning and Control (AWACS) Aircraft.
Sec. 139. Sense of Congress regarding the OCONUS basing of the F-35A 
              aircraft.
Sec. 140. Sense of Congress on F-16 Active Electronically Scanned Array 
              (AESA) radar upgrade.

       Subtitle D--Defense-wide, Joint, and Multiservice Matters

Sec. 151. Report on Army and Marine Corps modernization plan for small 
              arms.

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

              Subtitle A--Authorization of Appropriations

Sec. 201. Authorization of appropriations.

    Subtitle B--Program Requirements, Restrictions, and Limitations

Sec. 211. Centers for Science, Technology, and Engineering Partnership.
Sec. 212. Department of Defense technology offset program to build and 
              maintain the military technological superiority of the 
              United States.
Sec. 213. Reauthorization of defense research and development rapid 
              innovation program.
Sec. 214. Reauthorization of Global Research Watch program.
Sec. 215. Science and technology activities to support business systems 
              information technology acquisition programs.
Sec. 216. Expansion of eligibility for financial assistance under 
              Department of Defense Science, Mathematics, and Research 
              for Transformation program to include citizens of 
              countries participating in The Technical Cooperation 
              Program.
Sec. 217. Streamlining the Joint Federated Assurance Center.
Sec. 218. Limitation on availability of funds for development of the 
              Shallow Water Combat Submersible.
Sec. 219. Limitation on availability of funds for distributed common 
              ground system of the Army.
Sec. 220. Limitation on availability of funds for distributed common 
              ground system of the United States Special Operations 
              Command.

                       Subtitle C--Other Matters

Sec. 231. Assessment of air-land mobile tactical communications and 
              data network requirements and capabilities.
Sec. 232. Study of field failures involving counterfeit electronic 
              parts.
Sec. 233. Demonstration of Persistent Close Air Support capabilities.
Sec. 234. Airborne data link plan.
Sec. 235. Report on Technology Readiness Levels of the technologies and 
              capabilities critical to the Long Range Strike Bomber 
              aircraft.

                  TITLE III--OPERATION AND MAINTENANCE

              Subtitle A--Authorization of Appropriations

Sec. 301. Authorization of appropriations.

                   Subtitle B--Energy and Environment

Sec. 311. Modification of energy management reporting requirements.
Sec. 312. Report on efforts to reduce high energy costs at military 
              installations.
Sec. 313. Southern Sea Otter Military Readiness Areas.

                 Subtitle C--Logistics and Sustainment

Sec. 321. Repeal of limitation on authority to enter into a contract 
              for the sustainment, maintenance, repair, or overhaul of 
              the F117 engine.

                          Subtitle D--Reports

Sec. 331. Modification of annual report on prepositioned materiel and 
              equipment.

          Subtitle E--Limitations and Extensions of Authority

Sec. 341. Modification of requirements for transferring aircraft within 
              the Air Force inventory.
Sec. 342. Limitation on use of funds for Department of Defense 
              sponsorships, advertising, or marketing associated with 
              sports-related organizations or sporting events.
Sec. 343. Temporary authority to extend contracts and leases under ARMS 
              initiative.

                       Subtitle F--Other Matters

Sec. 351. Streamlining of Department of Defense management and 
              operational headquarters.
Sec. 352. Adoption of retired military working dogs.
Sec. 353. Modification of required review of projects relating to 
              potential obstructions to aviation.
Sec. 354. Pilot program on intensive instruction in certain Asian 
              languages.

              TITLE IV--MILITARY PERSONNEL AUTHORIZATIONS

                       Subtitle A--Active Forces

Sec. 401. End strengths for active forces.
Sec. 402. Enhancement of authority for management of end strengths for 
              military personnel.

                       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 2016 limitation on number of non-dual status 
              technicians.
Sec. 415. Maximum number of reserve personnel authorized to be on 
              active duty for operational support.
Sec. 416. Chief of the National Guard Bureau authority to increase 
              certain end strengths applicable to the Army National 
              Guard.

              Subtitle C--Authorization of Appropriations

Sec. 421. Military personnel.

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                   TITLE V--MILITARY PERSONNEL POLICY

                  Subtitle A--Officer Personnel Policy

Sec. 501. Authority of promotion boards to recommend officers of 
              particular merit be placed at the top of the promotion 
              list.
Sec. 502. Minimum grades for certain corps and related positions in the 
              Army, Navy, and Air Force.
Sec. 503. Enhancement of military personnel authorities in connection 
              with the defense acquisition workforce.
Sec. 504. Enhanced flexibility for determination of officers to 
              continue on active duty and for selective early 
              retirement and early discharge.
Sec. 505. Authority to defer until age 68 mandatory retirement for age 
              of a general or flag officer serving as Chief or Deputy 
              Chief of Chaplains of the Army, Navy, or Air Force.
Sec. 506. Reinstatement of enhanced authority for selective early 
              discharge of warrant officers.
Sec. 507. Authority to conduct warrant officer retired grade 
              determinations.

                Subtitle B--Reserve Component Management

Sec. 511. Authority to designate certain reserve officers as not to be 
              considered for selection for promotion.
Sec. 512. Clarification of purpose of reserve component special 
              selection boards as limited to correction of error at a 
              mandatory promotion board.
Sec. 513. Reconciliation of contradictory provisions relating to 
              citizenship qualifications for enlistment in the reserve 
              components of the Armed Forces.
Sec. 514. Authority for certain Air Force reserve component personnel 
              to provide training and instruction regarding pilot 
              instructor training.

                Subtitle C--General Service Authorities

Sec. 521. Duty required for eligibility for preseparation counseling 
              for members being discharged or released from active 
              duty.
Sec. 522. Expansion of pilot programs on career flexibility to enhance 
              retention of members of the Armed Forces.
Sec. 523. Sense of Senate on development of gender-neutral occupational 
              standards for occupational assignments in the Armed 
              Forces.

               Subtitle D--Member Education and Training

                 PART I--Educational Assistance Reform

Sec. 531. Limitation on tuition assistance for off-duty training or 
              education.
Sec. 532. Termination of program of educational assistance for reserve 
              component members supporting contingency operations and 
              other operations.
Sec. 533. Reports on educational levels attained by certain members of 
              the Armed Forces at time of separation from the Armed 
              Forces.
Sec. 534. Sense of Congress on transferability of unused education 
              benefits to family members.
Sec. 535. No entitlement to unemployment insurance while receiving 
              Post-9/11 Education Assistance.

                         PART II--Other Matters

Sec. 536. Repeal of statutory specification of minimum duration of in-
              resident instruction for courses of instruction offered 
              as part of Phase II joint professional military 
              education.
Sec. 537. Quality assurance of certification programs and standards for 
              professional credentials obtained by members of the Armed 
              Forces.
Sec. 538. Support for athletic programs of the United States Military 
              Academy.
Sec. 539. Online access to the higher education component of the 
              Transition Assistance Program.

                      Subtitle E--Military Justice

Sec. 546. Modification of Rule 304 of the Military Rules of Evidence 
              relating to the corroboration of a confession or 
              admission.
Sec. 547. Modification of Rule 104 of the Rules for Courts-Martial to 
              establish certain prohibitions concerning evaluations of 
              Special Victims' Counsel.
Sec. 548. Right of victims of offenses under the Uniform Code of 
              Military Justice to timely disclosure of certain 
              materials and information in connection with prosecution 
              of offenses.
Sec. 549. Enforcement of certain crime victims' rights by the Court of 
              Criminal Appeals.
Sec. 550. Release to victims upon request of complete record of 
              proceedings and testimony of courts-martial in cases in 
              which sentences adjudged could include punitive 
              discharge.
Sec. 551. Representation and assistance of victims by Special Victims' 
              Counsel in questioning by military criminal 
              investigators.
Sec. 552. Authority of Special Victims' Counsel to provide legal 
              consultation and assistance in connection with various 
              Government proceedings.
Sec. 553. Enhancement of confidentiality of restricted reporting of 
              sexual assault in the military.
Sec. 554. Establishment of Office of Complex Investigations within the 
              National Guard Bureau.
Sec. 555. Modification of deadline for establishment of Defense 
              Advisory Committee on Investigation, Prosecution, and 
              Defense of Sexual Assault in the Armed Forces.
Sec. 556. Comptroller General of the United States reports on 
              prevention and response to sexual assault by the Army 
              National Guard and the Army Reserve.
Sec. 557. Sense of Congress on the service of military families and on 
              sentencing retirement-eligible members of the Armed 
              Forces.

 Subtitle F--Defense Dependents Education and Military Family Readiness

Sec. 561. Continuation of authority to assist local educational 
              agencies that benefit dependents of members of the Armed 
              Forces and Department of Defense civilian employees.
Sec. 562. Impact aid for children with severe disabilities.
Sec. 563. Authority to use appropriated funds to support Department of 
              Defense student meal programs in domestic dependent 
              elementary and secondary schools located outside the 
              United States.
Sec. 564. Biennial surveys of military dependents on military family 
              readiness matters.

            Subtitle G--Miscellaneous Reporting Requirements

Sec. 571. Extension of semiannual reports on the involuntary separation 
              of members of the Armed Forces.
Sec. 572. Remotely piloted aircraft career field manning shortfalls.

                       Subtitle H--Other Matters

  PART I--Financial Literacy and Preparedness of Members of the Armed 
                                 Forces

Sec. 581. Improvement of financial literacy and preparedness of members 
              of the Armed Forces.
Sec. 582. Financial literacy training with respect to certain financial 
              services for members of the uniformed services.
Sec. 583. Sense of Congress on financial literacy and preparedness of 
              members of the Armed Forces.

                         PART II--Other Matters

Sec. 586. Authority for applications for correction of military records 
              to be initiated by the Secretary concerned.
Sec. 587. Recordation of obligations for installment payments of 
              incentive pays, allowances, and similar benefits when 
              payment is due.
Sec. 588. Enhancements to Yellow Ribbon Reintegration Program.
Sec. 589. Priority processing of applications for Transportation Worker 
              Identification Credentials for members undergoing 
              discharge or release from the Armed Forces.
Sec. 590. Issuance of Recognition of Service ID Cards to certain 
              members separating from the Armed Forces.
Sec. 591. Revised policy on network services for military services.
Sec. 592. Increase in number of days of active duty required to be 
              performed by reserve component members for duty to be 
              considered Federal service for purposes of unemployment 
              compensation for ex-servicemembers.

          TITLE VI--COMPENSATION AND OTHER PERSONNEL BENEFITS

                     Subtitle A--Pay and Allowances

Sec. 601. Fiscal year 2016 increase in military basic pay.
Sec. 602. Modification of percentage of national average monthly cost 
              of housing usable in computation of basic allowance for 
              housing inside the United States.
Sec. 603. Extension of authority to provide temporary increase in rates 
              of basic allowance for housing.
Sec. 604. Basic allowance for housing for married members of the 
              uniformed services assigned for duty within normal 
              commuting distance and for other members living together.
Sec. 605. Repeal of inapplicability of modification of basic allowance 
              for housing to benefits under the laws administered by 
              the Secretary of Veterans Affairs.

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Sec. 606. Limitation on eligibility for supplemental subsistence 
              allowances to members serving outside the United States 
              and associated territory.
Sec. 607. Availability of information.

           Subtitle B--Bonuses and Special and Incentive Pays

Sec. 611. One-year extension of certain bonus and special pay 
              authorities for reserve forces.
Sec. 612. One-year extension of certain bonus and special pay 
              authorities for health care professionals.
Sec. 613. One-year extension of special pay and bonus authorities for 
              nuclear officers.
Sec. 614. One-year extension of authorities relating to title 37 
              consolidated special pay, incentive pay, and bonus 
              authorities.
Sec. 615. One-year extension of authorities relating to payment of 
              other title 37 bonuses and special pays.
Sec. 616. Increase in maximum annual amount of nuclear officer bonus 
              pay.
Sec. 617. Repeal of obsolete authority to pay bonus to encourage Army 
              personnel to refer persons for enlistment in the Army.

            Subtitle C--Travel and Transportation Allowances

Sec. 621. Repeal of obsolete special travel and transportation 
              allowance for survivors of deceased members from the 
              Vietnam conflict.

     Subtitle D--Disability Pay, Retired Pay, and Survivor Benefits

                       PART I--Retired Pay Reform

Sec. 631. Thrift Savings Plan participation for members of the 
              uniformed services.
Sec. 632. Modernized retirement system for members of the uniformed 
              services.
Sec. 633. Lump sum payments of certain retired pay.
Sec. 634. Continuation pay after 12 years of service for members of the 
              uniformed services participating in the modernized 
              retirement systems.
Sec. 635. Authority for retirement flexibility for members of the 
              uniformed services.
Sec. 636. Treatment of Department of Defense Military Retirement Fund 
              as a qualified trust.

                         PART II--Other Matters

Sec. 641. Death of former spouse beneficiaries and subsequent 
              remarriages under Survivor Benefit Plan.
Sec. 642. Transitional compensation and other benefits for dependents 
              of members of the Armed Forces ineligible to receive 
              retired pay as a result of court-martial sentence.

   Subtitle E--Commissary and Non-Appropriated Fund Instrumentality 
                        Benefits and Operations

Sec. 651. Commissary system matters.
Sec. 652. Plan on privatization of the defense commissary system.
Sec. 653. Comptroller General of the United States report on the 
              Commissary Surcharge, Non-appropriated Fund, and 
              Privately-Financed Major Construction Program.

                   TITLE VII--HEALTH CARE PROVISIONS

           Subtitle A--TRICARE and Other Health Care Benefits

Sec. 701. Urgent care authorization under the TRICARE program.
Sec. 702. Modifications of cost-sharing requirements for the TRICARE 
              Pharmacy Benefits Program.
Sec. 703. Expansion of continued health benefits coverage to include 
              discharged and released members of the Selected Reserve.
Sec. 704. Expansion of reimbursement for smoking cessation services for 
              certain TRICARE beneficiaries.
Sec. 705. Pilot program on treatment of members of the Armed Forces for 
              post-traumatic stress disorder related to military sexual 
              trauma.

                 Subtitle B--Health Care Administration

Sec. 711. Access to health care under the TRICARE program.
Sec. 712. Portability of health plans under the TRICARE program.
Sec. 713. Improvement of mental health care provided by health care 
              providers of the Department of Defense.
Sec. 714. Comprehensive standards and access to contraception 
              counseling for members of the Armed Forces.
Sec. 715. Waiver of recoupment of erroneous payments due to 
              administrative error under the TRICARE program.
Sec. 716. Designation of certain non-Department mental health care 
              providers with knowledge relating to treatment of members 
              of the Armed Forces.
Sec. 717. Limitation on conversion of military medical and dental 
              positions to civilian medical and dental positions.
Sec. 718. Extension of authority for joint Department of Defense-
              Department of Veterans Affairs Medical Facility 
              Demonstration Fund.
Sec. 719. Extension of authority for DOD-VA Health Care Sharing 
              Incentive Fund.
Sec. 720. Pilot program on incentive programs to improve health care 
              provided under the TRICARE program.

                 Subtitle C--Reports and Other Matters

Sec. 731. Publication of certain information on health care provided by 
              the Department of Defense through the Hospital compare 
              website of the Department of Health and Human Services.
Sec. 732. Publication of data on patient safety, quality of care, 
              satisfaction, and health outcome measures under the 
              TRICARE program.
Sec. 733. Annual report on patient safety, quality of care, and access 
              to care at military medical treatment facilities.
Sec. 734. Report on plans to improve experience with and eliminate 
              performance variability of health care provided by the 
              Department of Defense.
Sec. 735. Report on plan to improve pediatric care and related services 
              for children of members of the Armed Forces.
Sec. 736. Report on preliminary mental health screenings for 
              individuals becoming members of the Armed Forces.
Sec. 737. Comptroller General report on use of quality of care metrics 
              at military treatment facilities.

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

             Subtitle A--Acquisition Policy and Management

Sec. 801. Role of service chiefs in the acquisition process.
Sec. 802. Expansion of rapid acquisition authority.
Sec. 803. Middle tier of acquisition for rapid prototyping and rapid 
              fielding.
Sec. 804. Amendments to other transaction authority.
Sec. 805. Use of alternative acquisition paths to acquire critical 
              national security capabilities.
Sec. 806. Secretary of Defense waiver of acquisition laws to acquire 
              vital national security capabilities.
Sec. 807. Acquisition authority of the Commander of United States Cyber 
              Command.
Sec. 808. Advisory panel on streamlining and codifying acquisition 
              regulations.
Sec. 809. Review of time-based requirements process and budgeting and 
              acquisition systems.
Sec. 810. Improvement of program and project management by the 
              Department of Defense.

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

Sec. 821. Preference for fixed-price contracts in determining contract 
              type for development programs.
Sec. 822. Applicability of cost and pricing data and certification 
              requirements.
Sec. 823. Risk-based contracting for smaller contract actions under the 
              Truth in Negotiations Act.
Sec. 824. Limitation on use of reverse auction and lowest price 
              technically acceptable contracting methods.
Sec. 825. Rights in technical data.
Sec. 826. Procurement of supplies for experimental purposes.
Sec. 827. Extension of authority to acquire products and services 
              produced in countries along a major route of supply to 
              Afghanistan.
Sec. 828. Reporting related to failure of contractors to meet goals 
              under negotiated comprehensive small business 
              subcontracting plans.
Sec. 829. Competition for religious services contracts.
Sec. 830. Treatment of interagency and State and local purchases when 
              the Department of Defense acts as contract intermediary 
              for the General Services Administration.
Sec. 831. Pilot program for streamlining awards for innovative 
              technology projects.

 Subtitle C--Provisions Relating to Major Defense Acquisition Programs

Sec. 841. Acquisition strategy required for each major defense 
              acquisition program.
Sec. 842. Risk reduction in major defense acquisition programs.
Sec. 843. Designation of milestone decision authority.
Sec. 844. Revision of Milestone A decision authority responsibilities 
              for major defense acquisition programs.

[[Page S3465]]

Sec. 845. Revision of Milestone B decision authority responsibilities 
              for major defense acquisition programs.
Sec. 846. Tenure and accountability of program managers for program 
              development periods.
Sec. 847. Tenure and accountability of program managers for program 
              execution periods.
Sec. 848. Repeal of requirement for stand-alone manpower estimates for 
              major defense acquisition programs.
Sec. 849. Penalty for cost overruns.
Sec. 850. Streamlining of reporting requirements applicable to 
              Assistant Secretary of Defense for Research and 
              Engineering regarding major defense acquisition programs.
Sec. 851. Configuration Steering Boards for cost control under major 
              defense acquisition programs.

          Subtitle D--Provisions Relating to Commercial Items

Sec. 861. Inapplicability of certain laws and regulations to the 
              acquisition of commercial items and commercially 
              available off-the-shelf items.
Sec. 862. Market research and preference for commercial items.
Sec. 863. Continuing validity of commercial item determinations.
Sec. 864. Treatment of commercial items purchased as major weapon 
              systems.
Sec. 865. Limitation on conversion of procurements from commercial 
              acquisition procedures.
Sec. 866. Treatment of goods and services provided by nontraditional 
              contractors as commercial items.

                       Subtitle E--Other Matters

Sec. 871. Streamlining of requirements relating to defense business 
              systems.
Sec. 872. Acquisition workforce.
Sec. 873. Unified information technology services.
Sec. 874. Cloud strategy for Department of Defense.
Sec. 875. Development period for Department of Defense information 
              technology systems.
Sec. 876. Revisions to pilot program on acquisition of military purpose 
              non-developmental items.
Sec. 877. Extension of the Department of Defense Mentor-Protege pilot 
              program.
Sec. 878. Improved auditing of contracts.
Sec. 879. Survey on the costs of regulatory compliance.
Sec. 880. Government Accountability Office report on bid protests.
Sec. 881. Steps to identify and address potential unfair competitive 
              advantage of technical advisors to acquisition officials.
Sec. 882. HUBZone qualified disaster areas.
Sec. 883. Base closure HUBZones.

      TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT

Sec. 901. Update of statutory specification of functions of Chairman of 
              the Joint Chiefs of Staff relating to advice on 
              requirements, programs, and budget.
Sec. 902. Reorganization and redesignation of Office of Family Policy 
              and Office of Community Support for Military Families 
              with Special Needs.
Sec. 903. Repeal of requirement for annual Department of Defense 
              funding for Ocean Research Advisory Panel.

                      TITLE X--GENERAL PROVISIONS

                     Subtitle A--Financial Matters

Sec. 1001. General transfer authority.
Sec. 1002. Annual audit of financial statements of Department of 
              Defense components by independent external auditors.
Sec. 1003. Treatment as part of the base budget of certain amounts 
              authorized for overseas contingency operations upon 
              enactment of an Act revising the Budget Control Act 
              discretionary spending limits for fiscal year 2016.
Sec. 1004. Sense of Senate on sequestration.

                  Subtitle B--Counter-Drug Activities

Sec. 1011. Extension of authority to support unified counterdrug and 
              counterterrorism campaign in Colombia.
Sec. 1012. Extension and expansion of authority to provide additional 
              support for counter-drug activities of certain foreign 
              governments.

                Subtitle C--Naval Vessels and Shipyards

Sec. 1021. Studies of fleet platform architectures for the Navy.
Sec. 1022. Amendment to National Sea-Based Deterrence Fund.
Sec. 1023. Extension of authority for reimbursement of expenses for 
              certain Navy mess operations afloat.

                      Subtitle D--Counterterrorism

Sec. 1031. Prohibition on use of funds to construct or modify 
              facilities in the United States to house detainees 
              transferred from United States Naval Station, Guantanamo 
              Bay, Cuba.
Sec. 1032. Limitation on the transfer or release of individuals 
              detained at United States Naval Station, Guantanamo Bay, 
              Cuba.
Sec. 1033. Reenactment and modification of certain prior requirements 
              for certifications relating to transfer of detainees at 
              United States Naval Station, Guantanamo Bay, Cuba, to 
              foreign countries and other foreign entities.
Sec. 1034. Authority to temporarily transfer individuals detained at 
              United States Naval Station, Guantanamo Bay, Cuba, to the 
              United States for emergency or critical medical 
              treatment.
Sec. 1035. Prohibition on use of funds for transfer or release to Yemen 
              of individuals detained at United States Naval Station, 
              Guantanamo Bay, Cuba.
Sec. 1036. Report on current detainees at United States Naval Station, 
              Guantanamo Bay, Cuba, determined or assessed to be high 
              risk or medium risk.
Sec. 1037. Report to Congress on memoranda of understanding with 
              foreign countries regarding transfer of detainees at 
              United States Naval Station, Guantanamo Bay, Cuba.
Sec. 1038. Semiannual reports on use of United States Naval Station, 
              Guantanamo Bay, Cuba, and any other Department of Defense 
              or Bureau of Prisons prison or other detention or 
              disciplinary facility in recruitment and other propaganda 
              of terrorist organizations.
Sec. 1039. Extension and modification of authority to make rewards for 
              combating terrorism.

         Subtitle E--Miscellaneous Authorities and Limitations

Sec. 1041. Assistance to secure the southern land border of the United 
              States.
Sec. 1042. Protection of Department of Defense installations.
Sec. 1043. Strategy to protect United States national security 
              interests in the Arctic region.
Sec. 1044. Extension of limitations on the transfer to the regular Army 
              of AH-64 Apache helicopters assigned to the Army National 
              Guard.
Sec. 1045. Treatment of certain previously transferred Army National 
              Guard helicopters as counting against number 
              transferrable under exception to limitation on transfer 
              of Army National Guard helicopters.
Sec. 1046. Management of military technicians.
Sec. 1047. Sense of Congress on consideration of the full range of 
              Department of Defense manpower worldwide in decisions on 
              the proper mix of military, civilian, and contractor 
              personnel to accomplish the National Defense Strategy.
Sec. 1048. Sense of Senate on the United States Marine Corps.

                    Subtitle F--Studies and Reports

Sec. 1061. Repeal of reporting requirements.
Sec. 1062. Termination of requirement for submittal to Congress of 
              reports required of the Department of Defense by statute.
Sec. 1063. Annual submittal to Congress of munitions assessments.
Sec. 1064. Potential role for United States ground forces in the 
              Pacific theater.

                       Subtitle G--Other Matters

Sec. 1081. Technical and clerical amendments.
Sec. 1082. Authority to provide training and support to personnel of 
              foreign ministries of defense.
Sec. 1083. Expansion of outreach for veterans transitioning from 
              serving on active duty.
Sec. 1084. Modification of certain requirements applicable to major 
              medical facility lease for a Department of Veterans 
              Affairs outpatient clinic in Tulsa, Oklahoma.

                  TITLE XI--CIVILIAN PERSONNEL MATTERS

Sec. 1101. Required probationary period for new employees of the 
              Department of Defense.
Sec. 1102. Delay of periodic step increase for civilian employees of 
              the Department of Defense based upon unacceptable 
              performance.
Sec. 1103. Procedures for reduction in force of Department of Defense 
              civilian personnel.
Sec. 1104. United States Cyber Command workforce.

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Sec. 1105. One-year extension of authority to waive annual limitation 
              on premium pay and aggregate limitation on pay for 
              Federal civilian employees working overseas.
Sec. 1106. Five-year extension of expedited hiring authority for 
              designated defense acquisition workforce positions.
Sec. 1107. One-year extension of discretionary authority to grant 
              allowances, benefits, and gratuities to civilian 
              personnel on official duty in a combat zone.
Sec. 1108. Extension of rate of overtime pay for Department of the Navy 
              employees performing work aboard or dockside in support 
              of the nuclear-powered aircraft carrier forward deployed 
              in Japan.
Sec. 1109. Expansion of temporary authority to make direct appointments 
              of candidates possessing bachelor's degrees to scientific 
              and engineering positions at science and technology 
              reinvention laboratories.
Sec. 1110. Extension of authority for the civilian acquisition 
              workforce personnel demonstration project.
Sec. 1111. Pilot program on dynamic shaping of the workforce to improve 
              the technical skills and expertise at certain Department 
              of Defense laboratories.
Sec. 1112. Pilot program on temporary exchange of financial management 
              and acquisition personnel.
Sec. 1113. Pilot program on enhanced pay authority for certain 
              acquisition and technology positions in the Department of 
              Defense.
Sec. 1114. Pilot program on direct hire authority for veteran technical 
              experts into the defense acquisition workforce.
Sec. 1115. Direct hire authority for technical experts into the defense 
              acquisition workforce.

             TITLE XII--MATTERS RELATING TO FOREIGN NATIONS

                  Subtitle A--Training and Assistance

Sec. 1201. One-year extension of funding limitations for authority to 
              build the capacity of foreign security forces.
Sec. 1202. Extension and expansion of authority for reimbursement to 
              the Government of Jordan for border security operations.
Sec. 1203. Extension of authority to conduct activities to enhance the 
              capability of foreign countries to respond to incidents 
              involving weapons of mass destruction.
Sec. 1204. Redesignation, modification, and extension of National Guard 
              State Partnership Program.
Sec. 1205. Authority to provide support to national military forces of 
              allied countries for counterterrorism operations in 
              Africa.
Sec. 1206. Authority to build the capacity of foreign military 
              intelligence forces.
Sec. 1207. Prohibition on assistance to entities in Yemen controlled by 
              the Houthi movement.
Sec. 1208. Report on potential support for the vetted Syrian 
              opposition.

    Subtitle B--Matters Relating to Afghanistan, Pakistan, and Iraq

Sec. 1221. Drawdown of United States forces in Afghanistan.
Sec. 1222. Extension and modification of Commanders' Emergency Response 
              Program.
Sec. 1223. Extension of authority to transfer defense articles and 
              provide defense services to the military and security 
              forces of Afghanistan.
Sec. 1224. Extension and modification of authority for reimbursement of 
              certain coalition nations for support provided to United 
              States military operations.
Sec. 1225. Prohibition on transfer to violent extremist organizations 
              of equipment or supplies provided by the United States to 
              the Government of Iraq.
Sec. 1226. Report on lines of communication of Islamic State of Iraq 
              and the Levant and other foreign terrorist organizations.
Sec. 1227. Modification of protection for Afghan allies.
Sec. 1228. Extension of authority to support operations and activities 
              of the Office of Security Cooperation in Iraq.
Sec. 1229. Sense of Senate on support for the Kurdistan Regional 
              Government.

                  Subtitle C--Matters Relating to Iran

Sec. 1241. Modification and extension of annual report on the military 
              power of Iran.

         Subtitle D--Matters Relating to the Russian Federation

Sec. 1251. Ukraine Security Assistance Initiative.
Sec. 1252. Eastern European Training Initiative.
Sec. 1253. Increased presence of United States ground forces in Eastern 
              Europe to deter aggression on the border of the North 
              Atlantic Treaty Organization.
Sec. 1254. Sense of Congress on European defense and North Atlantic 
              Treaty Organization spending.
Sec. 1255. Additional matters in annual report on military and security 
              developments involving the Russian Federation.
Sec. 1256. Report on alternative capabilities to procure and sustain 
              nonstandard rotary wing aircraft historically procured 
              through Rosoboronexport.

        Subtitle E--Matters Relating to the Asia-Pacific Region

Sec. 1261. South China Sea Initiative.
Sec. 1262. Sense of Congress reaffirming the importance of implementing 
              the rebalance to the Asia-Pacific region.
Sec. 1263. Sense of Senate on Taiwan asymmetric military capabilities 
              and bilateral training activities.

                Subtitle F--Reports and Related Matters

Sec. 1271. Item in quarterly reports on assistance to counter the 
              Islamic State of Iraq and the Levant on forces ineligible 
              to receive assistance due to a gross violation of human 
              rights.
Sec. 1272. Report on bilateral agreement with Israel on joint 
              activities to establish an anti-tunneling defense system.
Sec. 1273. Sense of Senate and report on Qatar fighter aircraft 
              capability contribution to regional security.

                       Subtitle G--Other Matters

Sec. 1281. NATO Special Operations Headquarters.
Sec. 1282. Two-year extension and modification of authorization for 
              non-conventional assisted recovery capabilities.

                TITLE XIII--COOPERATIVE THREAT REDUCTION

Sec. 1301. Specification of Cooperative Threat Reduction funds.
Sec. 1302. Funding allocations.

                    TITLE XIV--OTHER AUTHORIZATIONS

                     Subtitle A--Military Programs

Sec. 1401. Working capital funds.
Sec. 1402. National Defense Sealift Fund.
Sec. 1403. Chemical Agents and Munitions Destruction, Defense.
Sec. 1404. Drug Interdiction and Counter-Drug Activities, Defense-wide.
Sec. 1405. Defense Inspector General.
Sec. 1406. Defense Health Program.

                       Subtitle B--Other Matters

Sec. 1411. Authority for transfer of funds to joint Department of 
              Defense-Department of Veterans Affairs Medical Facility 
              Demonstration Fund for Captain James A. Lovell Health 
              Care Center, Illinois.
Sec. 1412. Authorization of appropriations for Armed Forces Retirement 
              Home.
Sec. 1413. Inspections of the Armed Forces Retirement Home by the 
              Inspector General of the Department of Defense.

   TITLE XV--AUTHORIZATION OF ADDITIONAL APPROPRIATIONS FOR OVERSEAS 
                         CONTINGENCY OPERATIONS

              Subtitle A--Authorization of Appropriations

Sec. 1501. Purpose.
Sec. 1502. Overseas contingency operations.
Sec. 1503. Procurement.
Sec. 1504. Research, development, test, and evaluation.
Sec. 1505. Operation and maintenance.
Sec. 1506. Military personnel.
Sec. 1507. Working capital funds.
Sec. 1508. Drug Interdiction and Counter-Drug Activities, Defense-wide.
Sec. 1509. Defense Inspector General.
Sec. 1510. Defense Health Program.
Sec. 1511. Counterterrorism Partnerships Fund.

                     Subtitle B--Financial Matters

Sec. 1521. Treatment as additional authorizations.
Sec. 1522. Special transfer authority.

          Subtitle C--Limitations, Reports, and Other Matters

Sec. 1531. Afghanistan Security Forces Fund.
Sec. 1532. Joint Improvised Explosive Device Defeat Fund.
Sec. 1533. Availability of Joint Improvised Explosive Device Defeat 
              Fund funds for training of foreign security forces to 
              defeat improvised explosive devices.

     TITLE XVI--STRATEGIC PROGRAMS, CYBER, AND INTELLIGENCE MATTERS

                      Subtitle A--Space Activities

Sec. 1601. Integrated policy to deter adversaries in space.
Sec. 1602. Principal advisor on space control.
Sec. 1603. Exception to the prohibition on contracting with Russian 
              suppliers of rocket engines for the evolved expendable 
              launch vehicle program.
Sec. 1604. Elimination of launch capabilities contracts under evolved 
              expendable launch vehicle program.
Sec. 1605. Allocation of funding for evolved expendable launch vehicle 
              program.

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Sec. 1606. Inclusion of plan for development and fielding of a full-up 
              engine in rocket propulsion system development program.
Sec. 1607. Limitations on availability of funds for the Defense 
              Meteorological Satellite program.
Sec. 1608. Quarterly reports on Global Positioning System III space 
              segment, Global Positioning System operational control 
              segment, and Military Global Positioning System user 
              equipment acquisition programs.
Sec. 1609. Plan for consolidation of acquisition of commercial 
              satellite communications services.
Sec. 1610. Council on Oversight of the Department of Defense 
              Positioning, Navigation, and Timing Enterprise.
Sec. 1611. Analysis of alternatives for wide-band communications.
Sec. 1612. Expansion of goals for pilot program for acquisition of 
              commercial satellite communication services.
Sec. 1613. Streamline commercial space launch activities.

     Subtitle B--Cyber Warfare, Cyber Security, and Related Matters

Sec. 1621. Authorization of military cyber operations.
Sec. 1622. Designation of Department of Defense entity responsible for 
              acquisition of critical cyber capabilities.
Sec. 1623. Incentive for submittal to Congress by President of 
              integrated policy to deter adversaries in cyberspace.
Sec. 1624. Authorization for procurement of relocatable Sensitive 
              Compartmented Information Facility.
Sec. 1625. Evaluation of cyber vulnerabilities of major weapon systems 
              of the Department of Defense.
Sec. 1626. Assessment of capabilities of United States Cyber Command to 
              defend the United States from cyber attacks.
Sec. 1627. Biennial exercises on responding to cyber attacks against 
              critical infrastructure.

                       Subtitle C--Nuclear Forces

Sec. 1631. Designation of Air Force officials to be responsible for 
              policy on and procurement of nuclear command, control, 
              and communications systems.
Sec. 1632. Comptroller General of the United States review of 
              recommendations relating to the nuclear security 
              enterprise.
Sec. 1633. Assessment of global nuclear environment.
Sec. 1634. Deadline for Milestone A decision on long-range standoff 
              weapon.
Sec. 1635. Availability of Air Force procurement funds for certain 
              commercial off-the-shelf parts for intercontinental 
              ballistic missile fuzes.
Sec. 1636. Sense of Congress on policy on the nuclear triad.

                  Subtitle D--Missile Defense Programs

Sec. 1641. Plan for expediting deployment time of continental United 
              States interceptor site.
Sec. 1642. Additional missile defense sensor coverage for the 
              protection of the United States homeland.
Sec. 1643. Air defense capability at North Atlantic Treaty Organization 
              missile defense sites.
Sec. 1644. Availability of funds for Iron Dome short-range rocket 
              defense system.
Sec. 1645. Israeli cooperative missile defense program codevelopment 
              and potential coproduction.
Sec. 1646. Development and deployment of multiple-object kill vehicle 
              for missile defense of the United States homeland.
Sec. 1647. Requirement to replace capability enhancement I 
              exoatmospheric kill vehicles.
Sec. 1648. Airborne boost phase defense system.
Sec. 1649. Extension of limitation on providing certain sensitive 
              missile defense information to the Russian Federation.
Sec. 1650. Extension of requirement for Comptroller General of the 
              United States review and assessment of missile defense 
              acquisition programs.

                       Subtitle E--Other Matters

Sec. 1661. Measures in response to violations of the Intermediate-Range 
              Nuclear Forces Treaty by the Russian Federation.
Sec. 1662. Modification of notification and assessment of proposal to 
              modify or introduce new aircraft or sensors for flight by 
              the Russian Federation under the Open Skies Treaty.
Sec. 1663. Milestone A decision for the Conventional Prompt Global 
              Strike Weapons System.

            DIVISION B--MILITARY CONSTRUCTION AUTHORIZATIONS

Sec. 2001. Short title.
Sec. 2002. Expiration of authorizations and amounts required to be 
              specified by law.

                 TITLE XXI--ARMY MILITARY CONSTRUCTION

Sec. 2101. Authorized army construction and land acquisition projects.
Sec. 2102. Family housing.
Sec. 2103. Improvements to military family housing units.
Sec. 2104. Authorization of appropriations, Army.
Sec. 2105. Modification of authority to carry out certain fiscal year 
              2013 project.
Sec. 2106. Extension of authorizations of certain fiscal year 2012 
              projects.
Sec. 2107. Extension of authorizations of certain fiscal year 2013 
              projects.
Sec. 2108. Additional authority to carry out certain fiscal year 2016 
              project.
Sec. 2109. Limitation on construction of new facilities at Guantanamo 
              Bay, Cuba.

                 TITLE XXII--NAVY MILITARY CONSTRUCTION

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. Extension of authorizations of certain fiscal year 2012 
              projects.
Sec. 2206. Extension of authorizations of certain fiscal year 2013 
              projects.

              TITLE XXIII--AIR FORCE MILITARY CONSTRUCTION

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 
              2010 project.
Sec. 2306. Modification of authority to carry out certain fiscal year 
              2014 project.
Sec. 2307. Modification of authority to carry out certain fiscal year 
              2015 project.
Sec. 2308. Extension of authorization of certain fiscal year 2012 
              project.
Sec. 2309. Extension of authorization of certain fiscal year 2013 
              project.

           TITLE XXIV--DEFENSE AGENCIES MILITARY CONSTRUCTION

Sec. 2401. Authorized Defense Agencies construction and land 
              acquisition projects.
Sec. 2402. Authorized energy conservation projects.
Sec. 2403. Authorization of appropriations, Defense Agencies.
Sec. 2404. Modification of authority to carry out certain fiscal year 
              2012 project.
Sec. 2405. Extension of authorizations of certain fiscal year 2012 
              projects.
Sec. 2406. Extension of authorizations of certain fiscal year 2013 
              projects.
Sec. 2407. Modification and extension of authority to carry out certain 
              fiscal year 2014 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

 Subtitle A--Project Authorizations and Authorization of Appropriations

Sec. 2601. Authorized Army National Guard construction and land 
              acquisition projects.
Sec. 2602. Authorized Army Reserve construction and land acquisition 
              projects.
Sec. 2603. Authorized Navy Reserve and Marine Corps Reserve 
              construction and land acquisition projects.
Sec. 2604. Authorized Air National Guard construction and land 
              acquisition projects.
Sec. 2605. Authorized Air Force Reserve construction and land 
              acquisition projects.
Sec. 2606. Authorization of appropriations, National Guard and Reserve.

                       Subtitle B--Others Matters

Sec. 2611. Modification and extension of authority to carry out certain 
              fiscal year 2013 project.
Sec. 2612. Modification of authority to carry out certain fiscal year 
              2015 projects.
Sec. 2613. Extension of authorizations of certain fiscal year 2012 
              projects.
Sec. 2614. Extension of authorizations of certain fiscal year 2013 
              projects.

          TITLE XXVII--BASE REALIGNMENT AND CLOSURE ACTIVITIES

Sec. 2701. Authorization of appropriations for base realignment and 
              closure activities funded through Department of Defense 
              base closure account.
Sec. 2702. Prohibition on conducting additional base realignment and 
              closure (BRAC) round.

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         TITLE XXVIII--MILITARY CONSTRUCTION GENERAL PROVISIONS

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

Sec. 2801. Authority for acceptance and use of contributions for 
              certain mutually beneficial projects.
Sec. 2802. Change in authorities relating to scope of work variations 
              for military construction projects.
Sec. 2803. Extension of temporary, limited authority to use operation 
              and maintenance funds for construction projects outside 
              the United States.
Sec. 2804. Modification of reporting requirement on in-kind 
              construction and renovation payments.
Sec. 2805. Lab modernization pilot program.
Sec. 2806. Conveyance to Indian tribes of certain housing units.

        Subtitle B--Real Property and Facilities Administration

Sec. 2811. Utility system conveyance authority.
Sec. 2812. Leasing of non-excess property of military departments and 
              Defense Agencies; treatment of value provided by local 
              education agencies and elementary and secondary schools.
Sec. 2813. Modification of facility repair notification requirement.
Sec. 2814. Increase of threshold of notice and wait requirement for 
              certain facilities for reserve components and parity with 
              authority for unspecified minor military construction and 
              repair projects.

                      Subtitle C--Land Conveyances

Sec. 2821. Release of reversionary interest retained as part of 
              conveyance to the Economic Development Alliance of 
              Jefferson County, Arkansas.

 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.

   Subtitle B--Program Authorizations, Restrictions, and Limitations

Sec. 3111. Responsive capabilities program.
Sec. 3112. Long-term plan for meeting national security requirements 
              for unencumbered uranium.
Sec. 3113. Defense nuclear nonproliferation management plan.
Sec. 3114. Plan for deactivation and decommissioning of nonoperational 
              defense nuclear facilities.
Sec. 3115. Hanford Waste Treatment and Immobilization Plant contract 
              oversight.
Sec. 3116. Assessment of emergency preparedness of defense nuclear 
              facilities.
Sec. 3117. Laboratory- and facility-directed research and development 
              programs.
Sec. 3118. Limitation on bonuses for employees of the National Nuclear 
              Security Administration who engage in improper program 
              management.
Sec. 3119. Modification of authorized personnel levels of the Office of 
              the Administrator for Nuclear Security.
Sec. 3120. Modification of submission of assessments of certain budget 
              requests relating to the nuclear weapons stockpile.
Sec. 3121. Repeal of phase three review of certain defense 
              environmental cleanup projects.
Sec. 3122. Modifications to cost-benefit analyses for competition of 
              management and operating contracts.
Sec. 3123. Review of implementation of recommendations of the 
              Congressional Advisory Panel on the Governance of the 
              Nuclear Security Enterprise.

          TITLE XXXII--DEFENSE NUCLEAR FACILITIES SAFETY BOARD

Sec. 3201. Authorization.

                       DIVISION D--FUNDING TABLES

Sec. 4001. Authorization of amounts in funding tables.
Sec. 4002. Clarification of applicability of undistributed reductions 
              of certain operation and maintenance funding among all 
              operation and maintenance funding.

                         TITLE XLI--PROCUREMENT

Sec. 4101. Procurement.
Sec. 4102. Procurement for overseas contingency operations.

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

Sec. 4201. Research, development, test, and evaluation.
Sec. 4202. Research, development, test, and evaluation for overseas 
              contingency operations.

                 TITLE XLIII--OPERATION AND MAINTENANCE

Sec. 4301. Operation and maintenance.
Sec. 4302. Operation and maintenance for overseas contingency 
              operations.

                     TITLE XLIV--MILITARY PERSONNEL

Sec. 4401. Military personnel.
Sec. 4402. Military personnel for overseas contingency operations.

                    TITLE XLV--OTHER AUTHORIZATIONS

Sec. 4501. Other authorizations.
Sec. 4502. Other authorizations for overseas contingency operations.

                   TITLE XLVI--MILITARY CONSTRUCTION

Sec. 4601. Military construction.

      TITLE XLVII--DEPARTMENT OF ENERGY NATIONAL SECURITY PROGRAMS

Sec. 4701. Department of Energy national security programs.

     SEC. 3. CONGRESSIONAL DEFENSE COMMITTEES.

       In this Act, the term ``congressional defense committees'' 
     has the meaning given that term in section 101(a)(16) of 
     title 10, United States Code.

     SEC. 4. BUDGETARY EFFECTS OF THIS ACT.

       The budgetary effects of this Act, for the purposes of 
     complying with the Statutory Pay-As-You-Go Act of 2010, shall 
     be determined by reference to the latest statement titled 
     ``Budgetary Effects of PAYGO Legislation'' for this Act, 
     jointly submitted for printing in the Congressional Record by 
     the Chairmen of the House and Senate Budget Committees, 
     provided that such statement has been submitted prior to the 
     vote on passage in the House acting first on the conference 
     report or amendment between the Houses.

            DIVISION A--DEPARTMENT OF DEFENSE AUTHORIZATIONS

                          TITLE I--PROCUREMENT

              Subtitle A--Authorization of Appropriations

     SEC. 101. AUTHORIZATION OF APPROPRIATIONS.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2016 for procurement for the Army, the Navy and the 
     Marine Corps, the Air Force, and Defense-wide activities, as 
     specified in the funding table in section 4101.

                       Subtitle B--Navy Programs

     SEC. 111. AMENDMENT TO COST LIMITATION BASELINE FOR CVN-78 
                   CLASS AIRCRAFT CARRIER PROGRAM.

       Section 122(a)(2) of the John Warner National Defense 
     Authorization Act for Fiscal Year 2007 (Public Law 109-364; 
     120 Stat. 2104), as amended by section 121(a) of the National 
     Defense Authorization Act for Fiscal Year 2014 (Public Law 
     113-66; 127 Stat. 691), is further amended by striking 
     ``$11,498,000,000'' and inserting ``$11,398,000,000''.

     SEC. 112. LIMITATION ON AVAILABILITY OF FUNDS FOR USS JOHN F. 
                   KENNEDY (CVN-79).

       (a) Limitation.--Of the funds authorized to be appropriated 
     by this Act or otherwise made available for fiscal year 2016 
     for procurement for the USS JOHN F. KENNEDY (CVN-79), 
     $100,000,000 may not be obligated or expended until the date 
     on which the Secretary of the Navy submits to the Committees 
     on Armed Services of the Senate and of the House of 
     Representatives the certification required under subsection 
     (b) and the reports required under subsection (c) and (d).
       (b) Certification Regarding Full Ship Shock Trials.--The 
     Secretary of the Navy shall submit to the Committees on Armed 
     Services of the Senate and of the House of Representatives a 
     certification that the Navy will conduct by not later than 
     September 30, 2017, full ship shock trials on the USS GERALD 
     R. FORD (CVN-78).
       (c) Report.--
       (1) In general.--Not later than 90 days after the date of 
     the enactment of this Act, the Secretary of the Navy shall 
     submit to the Committees on Armed Services of the Senate and 
     of the House of Representatives a report that evaluates cost 
     issues related to the USS JOHN F. KENNEDY (CVN-79) and the 
     USS ENTERPRISE (CVN-80).
       (2) Elements.--The report required under paragraph (1) 
     shall include the following elements:
       (A) Options to achieve ship end cost of no more than 
     $10,000,000,000.
       (B) Options to freeze the design of CVN-79 for CVN-80, with 
     exceptions only for changes due to full ship shock trials or 
     other significant test and evaluation results.
       (C) Options to reduce the plans cost for CVN-80 to less 
     than 50 percent of the CVN-79 plans cost.
       (D) Options to transition all non-nuclear government 
     furnished equipment, including launch and arresting 
     equipment, to contractor furnished equipment.
       (E) Options to build the ships at the most economic pace, 
     such as four years between ships.
       (F) A business case analysis for the Enterprise Air Search 
     Radar modification to CVN-79 and CVN-80.
       (G) A business case analysis for the two-phase CVN-79 
     delivery proposal and impact on fleet deployments.
       (d) Report.--
       (1) In general.--Not later than April 1, 2016, the 
     Secretary of the Navy shall submit to the Committees on Armed 
     Services of the Senate and of the House of Representatives a 
     report on potential requirements, capabilities, and 
     alternatives for future development of aircraft carriers that 
     would replace or supplement the CVN-78 class aircraft 
     carrier.
       (2) Elements.--The report required under paragraph (1) 
     shall include the following elements:
       (A) A description of fleet, sea-based tactical aviation 
     capability requirements for a range of operational scenarios 
     beginning in the 2025 timeframe.

[[Page S3469]]

       (B) A description of alternative aircraft carrier designs 
     that meet the requirements described under subparagraph (A).
       (C) A description of nuclear and non-nuclear propulsion 
     options.
       (D) A description of tonnage options ranging from less than 
     20,000 tons to greater than 100,000 tons.
       (E) Requirements for unmanned systems integration from 
     inception.
       (F) Developmental, procurement, and lifecycle cost 
     assessment of alternatives.
       (G) A notional acquisition strategy for development and 
     construction of alternatives.
       (H) A description of shipbuilding industrial base 
     considerations and a plan to ensure opportunity for 
     competition among alternatives.
       (I) A description of funding and timing considerations 
     related to developing the Annual Long-Range Plan for 
     Construction of Naval Vessels required under section 231 of 
     title 10, United States Code.

     SEC. 113. LIMITATION ON AVAILABILITY OF FUNDS FOR USS 
                   ENTERPRISE (CVN-80).

       (a) Limitation.--Of the funds authorized to be appropriated 
     by this Act or otherwise made available for fiscal year 2016 
     for advance procurement for the USS ENTERPRISE (CVN-80), 
     $191,400,000 may not be obligated or expended until the 
     Secretary of the Navy submits to the Committees on Armed 
     Services of the Senate and the House of Representatives the 
     certification required under subsection (b) and the report 
     required under subsection (c).
       (b) Certification Regarding CVN-80 Design.--The Secretary 
     of the Navy shall submit to the Committees on Armed Services 
     of the Senate and the House of Representatives a 
     certification that the design of CVN-80 will repeat that of 
     CVN-79, with modifications only for significant test and 
     evaluation results or significant cost reduction initiatives 
     that still meet threshold requirements.
       (c) Report.--
       (1) In general.--Not later than 90 days after the date of 
     the enactment of this Act, the Secretary of the Navy shall 
     submit to the Committees on Armed Services of the Senate and 
     the House of Representatives a report that details the plans 
     costs related to the USS ENTERPRISE (CVN-80).
       (2) Elements.--The report required under paragraph (1) 
     shall include the following elements, reported by total cost 
     and cost by fiscal year, with a detailed description and a 
     justification for why each cost is recurring and attributable 
     to CVN-80:
       (A) Overall plans.
       (B) Propulsion plant detail design.
       (C) Platform detail design.
       (D) Lead yard services and hull planning yard.
       (E) Platform detail design (Steam and Electric Plant 
     Planning Yard).
       (F) Other.

     SEC. 114. MODIFICATION OF CVN-78 CLASS AIRCRAFT CARRIER 
                   PROGRAM.

       Subsection (f) of section 122 of the John Warner National 
     Defense Authorization Act for Fiscal Year 2007 (Public Law 
     109-364; 120 Stat. 2104), as added by section 121(c) of the 
     National Defense Authorization Act for Fiscal Year 2014 
     (Public Law 113-66; 127 Stat. 692), is amended by adding at 
     the end the following new paragraph:
       ``(3)(A) As part of the report required under paragraph 
     (1), the Secretary of the Navy shall include a description of 
     new design and engineering changes to CVN-78 class aircraft 
     carriers if applicable.
       ``(B) The additional reporting requirement in subparagraph 
     (A) shall include, with respect to CVN-78 class aircraft 
     carriers in each reporting period--
       ``(i) any design or engineering change with an associated 
     cost greater than $5,000,000;
       ``(ii) program or ship cost increases for each design or 
     engineering change identified in subparagraph (A); and
       ``(iii) cost reduction achieved.
       ``(C) The Secretary of the Navy and Chief of Naval 
     Operations shall each personally sign (not autopen) the 
     additional reporting requirement in subparagraph (A). This 
     certification may not be delegated. The certification shall 
     include a determination that each change--
       ``(i) serves the national security interests of the United 
     States;
       ``(ii) cannot be deferred to a future ship due to 
     operational necessity, safety, or substantial cost reduction 
     that still meets threshold requirements; and
       ``(iii) was personally reviewed and endorsed by the 
     Secretary of the Navy and Chief of Naval Operations.''.

     SEC. 115. LIMITATION ON AVAILABILITY OF FUNDS FOR LITTORAL 
                   COMBAT SHIP.

       Of the funds authorized to be appropriated by this Act or 
     otherwise made available for fiscal year 2016 for research 
     and development, design, construction, procurement or 
     advanced procurement of materials for the Littoral Combat 
     Ships designated as LCS 33 or subsequent, not more than 25 
     percent may be obligated or expended until the Secretary of 
     the Navy submits to the Committees on Armed Services of the 
     Senate and the House of Representatives each of the 
     following:
       (1) A Capabilities Based Assessment to assess capability 
     gaps and associated capability requirements and risks for the 
     upgraded Littoral Combat Ship, which is proposed to commence 
     with LCS 33. This assessment shall conform with the Joint 
     Capabilities Integration and Development System, including 
     Chairman of the Joint Chiefs of Staff Instruction 3170.01H.
       (2) A certification that the Joint Requirements Oversight 
     Council has validated an updated Capabilities Development 
     Document for the upgraded Littoral Combat Ship.
       (3) A report describing the upgraded Littoral Combat Ship 
     modernization, which shall, at a minimum, include the 
     following elements:
       (A) A description of capabilities that the LCS program 
     delivers, and a description of how these relate to the 
     characteristics of the future joint force identified in the 
     Capstone Concept for Joint Operations, concept of operations, 
     and integrated architecture documents.
       (B) A summary of analyses and studies conducted on LCS 
     modernization.
       (C) A concept of operations for LCS modernization ships at 
     the operational level and tactical level describing how they 
     integrate and synchronize with joint and combined forces to 
     achieve the Joint Force Commander's intent.
       (D) A description of threat systems of potential 
     adversaries that are projected or assessed to reach initial 
     operational capability within 15 years against which the 
     lethality and survivability of the LCS should be determined.
       (E) A plan and timeline for LCS modernization program 
     execution.
       (F) A description of system capabilities required for LCS 
     modernization, including key performance parameters and key 
     system attributes.
       (G) A plan for family of systems or systems of systems 
     synchronization.
       (H) A plan for information technology and national security 
     systems supportability.
       (I) A plan for intelligence supportability.
       (J) A plan for electromagnetic environmental effects (E3) 
     and spectrum supportability.
       (K) A description of assets required to achieve initial 
     operational capability (IOC) of an LCS modernization 
     increment.
       (L) A schedule and initial operational capability and full 
     operational capability definitions.
       (M) A description of doctrine, organization, training, 
     materiel, leadership, education, personnel, facilities, and 
     policy considerations.
       (N) A description of other system attributes.
       (4) A plan for future periodic combat systems upgrades, 
     which are necessary to ensure relevant capability throughout 
     the Littoral Combat Ship or Frigate class service lives, 
     using the process described in paragraph (3).

     SEC. 116. EXTENSION AND MODIFICATION OF LIMITATION ON 
                   AVAILABILITY OF FUNDS FOR LITTORAL COMBAT SHIP.

       Section 124(a) of the National Defense Authorization Act 
     for Fiscal Year 2014 (Public Law 113-66; 127 Stat. 693), as 
     amended by section 123 of the Carl Levin and Howard P. 
     ``Buck'' McKeon National Defense Authorization Act for Fiscal 
     Year 2015 (Public Law 113-291; 128 Stat. 3314), is further 
     amended--
       (1) by striking ``this Act, the Carl Levin and Howard P. 
     `Buck' McKeon National Defense Authorization Act for Fiscal 
     Year 2015, or otherwise made available for fiscal years 2014 
     or 2015'' and inserting ``this Act, the National Defense 
     Authorization Act for Fiscal Year 2016, or otherwise made 
     available for fiscal years 2014, 2015, or 2016''; and
       (2) by adding at the end the following new paragraphs:
       ``(6) A Littoral Combat Ship seaframe acquisition strategy 
     for the Littoral Combat Ships designated as LCS 25 through 
     LCS 32, including upgrades to be installed on these ships 
     that were identified for the upgraded Littoral Combat Ship, 
     which is proposed to commence with LCS 33.
       ``(7) A Littoral Combat Ship mission module acquisition 
     strategy to reach the total acquisition quantity of each 
     mission module.
       ``(8) A cost and schedule plan to outfit Flight 0 and 
     Flight 0+ Littoral Combat Ships with capabilities identified 
     for the upgraded Littoral Combat Ship.
       ``(9) A current Test and Evaluation Master Plan for the 
     Littoral Combat Ship Mission Modules, approved by the 
     Director of Operational Test and Evaluation, which includes 
     the performance levels expected to be demonstrated during 
     developmental testing for each component and mission module 
     prior to commencing the associated operational test phase.''.

     SEC. 117. CONSTRUCTION OF ADDITIONAL ARLEIGH BURKE DESTROYER.

       (a) In General.--The Secretary of the Navy may enter into a 
     contract beginning with the fiscal year 2016 program year for 
     the procurement of one Arleigh Burke class destroyer in 
     addition to the ten DDG-51s in the fiscal year 2013 through 
     2017 multiyear procurement contract or for one DDG-51 in 
     fiscal year 2018. The Secretary may employ incremental 
     funding for such procurement.
       (b) Condition on 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 such 
     contract for any fiscal year after fiscal year 2016 is 
     subject to the availability of appropriations for that 
     purpose for such fiscal year.

     SEC. 118. FLEET REPLENISHMENT OILER PROGRAM.

       (a) Contract Authority.--The Secretary of the Navy may 
     enter into one or more contracts to procure up to six Fleet 
     Replenishment Oilers. Such procurements may also include 
     advance procurement for Economic

[[Page S3470]]

     Order Quantity (EOQ) and long lead time materials, beginning 
     with the lead ship, commencing not earlier than fiscal year 
     2016.
       (b) Liability.--Any contract entered into under subsection 
     (a) 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, and that 
     total liability to the government for termination of any 
     contract entered into shall be limited to the total amount of 
     funding obligated at the time of termination.

     SEC. 119. REPORTING REQUIREMENT FOR OHIO-CLASS REPLACEMENT 
                   SUBMARINE PROGRAM.

       The Secretary of Defense shall include in the budget 
     justification materials for the Ohio-class replacement 
     submarine program submitted to Congress in support of the 
     Department of Defense budget for that fiscal year (as 
     submitted with the budget of the President under section 
     1105(a) of title 31, United States Code) a report including 
     the following elements, described in terms of both fiscal 
     2010 and current fiscal year dollars:
       (1) Lead ship end cost (with plans).
       (2) Lead ship end cost (less plans).
       (3) Lead ship non-recurring engineering cost.
       (4) Average follow-on ship cost.
       (5) Average operations and sustainment cost per hull per 
     year.
       (6) Office of the Under Secretary of Defense for 
     Acquisition, Technology, and Logistics average follow-on ship 
     affordability target.
       (7) Office of the Under Secretary of Defense for 
     Acquisition, Technology, and Logistics operations and 
     sustainment cost per hull per year affordability target.

                     Subtitle C--Air Force Programs

     SEC. 131. LIMITATIONS ON RETIREMENT OF B-1, B-2, AND B-52 
                   BOMBER AIRCRAFT.

       (a) In General.--Except as provided in subsection (b), no 
     B-1, B-2, or B-52 bomber aircraft may be retired during a 
     fiscal year prior to initial operational capability (IOC) of 
     the LRS-B unless the Secretary of Defense certifies, in the 
     materials submitted in support of the budget of the President 
     for that fiscal year (as submitted to Congress under section 
     1105(a) of title 31, United States Code), that--
       (1) the retirement of the aircraft is required to 
     reallocate funding and manpower resources to enable LRS-B to 
     reach IOC and full operational capability (FOC); and
       (2) the Secretary has concluded that retirements of B-1, B-
     2, and B-52 bomber aircraft in the near-term will not 
     detrimentally affect operational capability.
       (b) Exception.--A certification described in sub-section 
     (a) is not required with respect to the retirement of B-1 
     bomber aircraft carried out in accordance with section 
     132(c)(2) of the National Defense Authorization Act for 
     Fiscal Year 2012 (Public Law 112-81; 125 Stat. 1320).

     SEC. 132. LIMITATION ON RETIREMENT OF AIR FORCE FIGHTER 
                   AIRCRAFT.

       (a) Inventory Requirement.--Section 8062 of title 10, 
     United States Code, is amended by adding at the end the 
     following new subsection:
       ``(i) Inventory Requirement.--(1) Effective October 1, 
     2015, the Secretary of the Air Force shall maintain a total 
     aircraft inventory of fighter aircraft of not less than 1,950 
     aircraft, and a total primary mission aircraft inventory 
     (combat-coded) of not less than 1,116 fighter aircraft.
       ``(2) In this subsection:
       ``(A) The term `fighter aircraft' means an aircraft that--
       ``(i) is designated by a mission design series prefix of F- 
     or A-;
       ``(ii) is manned by one or two crewmembers; and
       ``(iii) executes single-role or multi-role missions, 
     including air-to-air combat, air-to-ground attack, air 
     interdiction, suppression or destruction of enemy air 
     defenses, close air support, strike control and 
     reconnaissance, combat search and rescue support, or airborne 
     forward air control.
       ``(B) The term `primary mission aircraft inventory' means 
     aircraft assigned to meet the primary aircraft authorization 
     to a unit for the performance of its wartime mission.''.
       (b) Limitation on Retirement of Air Force Fighter 
     Aircraft.--
       (1) Limitation.--The Secretary of the Air Force may not 
     proceed with a decision to retire fighter aircraft in any 
     number that would reduce the total number of such aircraft in 
     the Air Force total active inventory (TAI) below 1,950, and 
     shall maintain a minimum of 1,116 fighter aircraft designated 
     as primary mission aircraft inventory (PMAI).
       (2) Additional limitations on retirement of fighter 
     aircraft.--The Secretary of the Air Force may not retire 
     fighter aircraft from the total active inventory as of the 
     date of the enactment of this Act until the later of the 
     following:
       (A) The date that is 30 days after the date on which the 
     Secretary submits the report required under paragraph (3).
       (B) The date that is 30 days after the date on which the 
     Secretary certifies to the congressional defense committees 
     that--
       (i) the retirement of such fighter aircraft will not 
     increase the operational risk of meeting the National Defense 
     Strategy; and
       (ii) the retirement of such aircraft will not reduce the 
     total fighter force structure below 1,950 fighter aircraft or 
     the primary mission aircraft inventory below 1,116.
       (3) Report on retirement of aircraft.--The Secretary of the 
     Air Force shall submit to the congressional defense 
     committees a report setting forth the following:
       (A) The rationale for the retirement of existing fighter 
     aircraft and an operational analysis of replacement fighter 
     aircraft that demonstrates performance of the designated 
     mission at an equal or greater level of effectiveness as the 
     retiring aircraft.
       (B) An assessment of the implications for the Air Force, 
     the Air National Guard, and the Air Force Reserve of the 
     force mix ratio of fighter aircraft.
       (C) Such other matters relating to the retirement of 
     fighter aircraft as the Secretary considers appropriate.
       (c) Reports on Fighter Aircraft.--
       (1) In general.--At least 90 days before the date on which 
     a fighter aircraft is retired, the Secretary of the Air 
     Force, in consultation with (where applicable) the Director 
     of the Air National Guard or Chief of the Air Force Reserve, 
     shall submit to the congressional defense committees a report 
     on the proposed force structure and basing of fighter 
     aircraft.
       (2) Elements.--Each report submitted under paragraph (1) 
     shall include the following elements:
       (A) A list of each aircraft in the inventory of fighter 
     aircraft, including for each such aircraft--
       (i) the mission design series type;
       (ii) the variant; and
       (iii) the assigned unit and military installation where 
     such aircraft is based.
       (B) A list of each fighter aircraft proposed for 
     retirement, including for each such aircraft--
       (i) the mission design series type;
       (ii) the variant; and
       (iii) the assigned unit and military installation where 
     such aircraft is based.
       (C) A list of each unit affected by a proposed retirement 
     listed under subparagraph (B) and a description of how such 
     unit is affected.
       (D) For each military installation and unit listed under 
     subparagraph (B)(iii), a description of changes, if any, to 
     the designed operational capability (DOC) statement of the 
     unit as a result of a proposed retirement.
       (E) A description of any anticipated changes in manpower 
     authorizations as a result of a proposed retirement listed 
     under subparagraph (B).
       (d) Fighter Aircraft Defined.--In this section, the term 
     ``fighter aircraft'' has the meaning given the term in 
     subsection (i)(2)(A) of section 8062 of title 10, United 
     States Code, as added by subsection (a) of this section.

     SEC. 133. LIMITATION ON AVAILABILITY OF FUNDS FOR F-35A 
                   AIRCRAFT PROCUREMENT.

       Of the funds authorized to be appropriated by this Act or 
     otherwise made available for fiscal year 2016 for aircraft 
     procurement, Air Force, not more than $4,285,000,000 may be 
     made available for the procurement of F-35A aircraft until 
     the Secretary of Defense certifies to the congressional 
     defense committees that F-35A aircraft delivered in fiscal 
     year 2018 will have full combat capability as currently 
     planned with Block 3F hardware, software, and weapons 
     carriage.

     SEC. 134. PROHIBITION ON RETIREMENT OF A-10 AIRCRAFT.

       (a) Prohibition on Availability of Funds for Retirement.--
     None of the funds authorized to be appropriated by this Act 
     or otherwise made available for fiscal year 2016 for the Air 
     Force may be obligated or expended to retire, prepare to 
     retire, or place in storage or on backup aircraft inventory 
     status any A-10 aircraft.
       (b) Additional Limitations on Retirement.--
       (1) In general.--In addition to the limitation in 
     subsection (a), during the period before December 31, 2016, 
     the Secretary of the Air Force may not retire, prepare to 
     retire, or place in storage or on backup flying status any A-
     10 aircraft.
       (2) Minimum inventory requirement.--The Secretary of the 
     Air Force shall ensure the Air Force maintains a minimum of 
     171 A-10 aircraft designated as primary mission aircraft 
     inventory (PMAI).
       (c) Prohibition on Availability of Funds for Significant 
     Reductions in Manning Levels.--None of the funds authorized 
     to be appropriated by this Act or otherwise made available 
     for fiscal year 2016 for the Air Force may be obligated or 
     expended to make significant reductions to manning levels 
     with respect to any A-10 aircraft squadrons or divisions.
       (d) Additional Limitation on Significant Reductions in 
     Manning Levels.---In addition to the limitation in subsection 
     (c), during the period before December 31, 2016, the 
     Secretary of the Air Force may not make significant 
     reductions to manning levels with respect to any A-10 
     aircraft squadrons or divisions.
       (e) Study on Replacement Capability Requirements or Mission 
     Platform for the A-10 Aircraft.--
       (1) Independent assessment required.--
       (A) In general.--The Secretary of the Air Force shall 
     commission an appropriate entity outside the Department of 
     Defense to conduct an assessment of the required capabilities 
     or mission platform to replace the A-10 aircraft. This 
     assessment would represent preparatory work to inform an 
     analysis of alternatives.
       (B) Elements.--The assessment required under subparagraph 
     (A) shall include each of the following:

[[Page S3471]]

       (i) Future needs analysis for the current A-10 aircraft 
     mission set to include troops-in-contact/close air support, 
     air interdiction, strike control and reconnaissance, and 
     combat search and rescue support in both contested and 
     uncontested battle environments. At a minimum, the needs 
     analysis should specifically address the following areas:

       (I) The ability to safely and effectively conduct troops-
     in-contact/danger close missions or missions in close 
     proximity to civilians in the presence of the air defenses 
     found with enemy ground maneuver units.
       (II) The ability to effectively target and destroy moving, 
     camouflaged, or dug-in troops, artillery, armor, and armored 
     personnel carriers.
       (III) The ability to remain within visual range of friendly 
     forces and targets to facilitate responsiveness to ground 
     forces and minimize re-attack times.
       (IV) The ability to safely conduct close air support 
     beneath low cloud ceilings and in reduced visibilities at low 
     airspeeds in the presence of the air defenses found with 
     enemy ground maneuver units.
       (V) The capability to enable the pilot and aircraft to 
     survive attacks stemming from small arms, machine guns, 
     MANPADs, and lower caliber anti-aircraft artillery organic or 
     attached to enemy ground forces and maneuver units.
       (VI) The ability to communicate effectively with ground 
     forces and downed pilots, including in communications jamming 
     or satellite-denied environments.
       (VII) The ability to execute the missions described in 
     subclauses (I), (II), (III), and (IV) in a GPS- or satellite-
     denied environment with or without sensors.
       (VIII) The ability to deliver multiple lethal firing passes 
     and sustain long loiter endurance to support friendly forces 
     throughout extended ground engagements.
       (IX) The ability to operate from unprepared dirt, grass, 
     and narrow road runways and to generate high sortie rates 
     under these austere conditions.

       (ii) Identification and assessment of gaps in the ability 
     of existing and programmed mission platforms in providing 
     required capabilities to conduct missions specified in clause 
     (i) in both contested and uncontested battle environments.
       (iii) Assessment of operational effectiveness of existing 
     and programmed mission platforms to conduct missions 
     specified in clause (i) in both contested and uncontested 
     battle environments.
       (iv) Assessment of probability of likelihood of conducting 
     missions requiring troops-in-contact/close air support 
     operations specified in clause (i) in contested environments 
     as compared to uncontested environments.
       (v) Any other matters the independent entity or the 
     Secretary of the Air Force determines to be appropriate.
       (2) Report.--
       (A) In general.--Not later than September 30, 2016, the 
     Secretary of the Air Force shall submit to the congressional 
     defense committees a report that includes the assessment 
     required under paragraph (1).
       (B) Form.--The report required under subparagraph (A) may 
     be submitted in classified form, but shall also contain an 
     unclassified executive summary and may contain an 
     unclassified annex.
       (3) Nonduplication of effort.--If any information required 
     under paragraph (1) has been included in another report or 
     notification previously submitted to Congress by law, the 
     Secretary of the Air Force may provide a list of such reports 
     and notifications at the time of submitting the report 
     required under paragraph (2) in lieu of including such 
     information in the report required under paragraph (2).

     SEC. 135. PROHIBITION ON AVAILABILITY OF FUNDS FOR RETIREMENT 
                   OF EC-130H COMPASS CALL AIRCRAFT.

       (a) Prohibition on Retirement.--None of the funds 
     authorized to be appropriated by this Act or otherwise made 
     available for fiscal year 2016 for the Air Force may be 
     obligated or expended to retire, prepare to retire, or place 
     in storage or backup aircraft inventory status any EC-130H 
     Compass Call aircraft.
       (b) Additional Limitations on Retirement of EC-130h Compass 
     Call Aircraft.--In addition to the limitation in subsection 
     (a), during the period preceding December 31, 2016, the 
     Secretary of the Air Force may not retire, prepare to retire, 
     or place in storage or on backup flying status any EC-130H 
     Compass Call aircraft.
       (c) Report on Retirement of EC-130h Compass Call 
     Aircraft.--Not later than September 30, 2016, the Secretary 
     of the Air Force shall submit to the congressional defense 
     committees a report setting forth the following:
       (1) The rationale for the retirement of existing EC-130H 
     Compass Call aircraft, including an operational analysis of 
     the impact of such retirements on combatant commander 
     warfighting requirements.
       (2) A plan for how the Air Force will fulfill the 
     capability requirement of the EC-130H mission, transition the 
     mission capabilities of the EC-130H into a replacement 
     platform, or integrate the required capabilities into other 
     mission platforms.
       (3) Such other matters relating to the required mission 
     capabilities and transition of the EC-130H Compass Call fleet 
     as the Secretary considers appropriate.

     SEC. 136. LIMITATION ON TRANSFER OF C-130 AIRCRAFT.

       None of the funds authorized to be appropriated by this Act 
     or otherwise made available for fiscal year 2016 for the Air 
     Force may be obligated or expended to transfer from one 
     facility of the Department of Defense to another any C-130H 
     aircraft, initiate any C-130 manpower authorization 
     adjustments, retire or prepare to retire any C-130H aircraft, 
     or close any C-130H unit until 90 days after the date on 
     which the Secretary of the Air Force, in consultation with 
     the Secretary of the Army, and after certification by the 
     commanders of the XVIII Airborne Corps, 82nd Airborne 
     Division and United States Army Special Operations Command, 
     certifies to the Committees on Armed Services of the Senate 
     and of the House of Representatives that--
       (1) the United States Air Force will maintain dedicated C-
     130 wings to support the daily training and contingency 
     requirements of the XVIII Airborne Corps, 82nd Airborne 
     Division, and United States Army Special Operations Command 
     at manning levels required to support and operate the number 
     of aircraft that existed as part of regular and reserve Air 
     Force operations in support of such units as of September 30, 
     2014; and
       (2) failure to maintain such Air Force operations will not 
     adversely impact the daily training requirement of those 
     airborne and special operations units.

     SEC. 137. LIMITATION ON USE OF FUNDS FOR T-1A JAYHAWK 
                   AIRCRAFT.

       None of the funds authorized to be appropriated by this Act 
     or otherwise made available for fiscal year 2016 for avionics 
     modification to the T-1A Jayhawk aircraft may be obligated or 
     expended until 30 days after the Secretary of the Air Force 
     submits to the congressional defense committees the report 
     required under section 142 of the Carl Levin and Howard P. 
     ``Buck'' McKeon National Defense Authorization Act for Fiscal 
     Year 2015 (Public Law 113-291; 128 Stat. 3320).

     SEC. 138. RESTRICTION ON RETIREMENT OF THE JOINT SURVEILLANCE 
                   TARGET ATTACK RADAR SYSTEM (JSTARS), EC-130H 
                   COMPASS CALL, AND AIRBORNE EARLY WARNING AND 
                   CONTROL (AWACS) AIRCRAFT.

       The Secretary of the Air Force may not retire any 
     operational Joint Surveillance Target Attack Radar System 
     (JSTARS), EC-130H Compass Call, or Airborne Early Warning and 
     Control (AWACS) aircraft until the follow-on replacement 
     aircraft program enters Low-Rate Initial Production.

     SEC. 139. SENSE OF CONGRESS REGARDING THE OCONUS BASING OF 
                   THE F-35A AIRCRAFT.

       (a) Finding.--Congress finds that the Department of Defense 
     is continuing its process of permanently stationing the F-35 
     aircraft at installations in the Continental United States 
     (in this section referred to as ``CONUS'') and forward-basing 
     Outside the Continental United States (in this section 
     referred to as ``OCONUS'').
       (b) Sense of Congress.--It is the sense of Congress that 
     the Secretary of the Air Force, in the strategic basing 
     process for the F-35A aircraft, should continue to consider 
     the benefits derived from sites that--
       (1) are capable of hosting fighter-based bilateral and 
     multilateral training opportunities with international 
     partners;
       (2) have sufficient airspace and range capabilities and 
     capacity to meet the training requirements;
       (3) have existing facilities to support personnel, 
     operations, and logistics associated with the flying mission;
       (4) have limited encroachment that would adversely impact 
     training or operations; and
       (5) minimize the overall construction and operational 
     costs.

     SEC. 140. SENSE OF CONGRESS ON F-16 ACTIVE ELECTRONICALLY 
                   SCANNED ARRAY (AESA) RADAR UPGRADE.

       (a) Findings.--Congress makes the following findings:
       (1) National Guard F-16 aircraft are protecting the United 
     States from terrorist air attack from inside or outside the 
     contiguous United States 24 hours a day, 365 days a year.
       (2) These aircraft, stationed throughout the United States, 
     are tasked with the zero-fail mission of guarding and 
     securing United States airspace.
       (3) The United States is facing an increased threat from 
     both state and non-state actors.
       (4) The National Guard F-16 aircraft performing the 
     Aerospace Control Alert (ACA) mission are operating legacy 
     radar systems.
       (5) Air Force Chief of Staff General Mark Welsh testified 
     to Congress in March 2015, stating, ``We need to develop an 
     AESA radar plan for our F-16s who are conducting the homeland 
     defense mission in particular.''
       (6) First Air Force, United States Northern Command, issued 
     a Joint Urgent Operational Need (JUON) request in March 2015 
     for radar upgrades to its F-16 fleet.
       (b) Sense of Congress.--It is the sense of Congress that--
       (1) it is essential to our Nation's defense that Air Force 
     aircraft modification funding is made available to purchase 
     these Active Electronically Scanned Array (AESA) radars as 
     the United States Air Force bridges the gap between 4th and 
     5th generation fighters;
       (2) the United States Government must invest in radar 
     upgrades which ensure that 4th generation aircraft succeed at 
     this zero-fail mission; and
       (3) the First Air Force JUON request should be met as soon 
     as possible.

[[Page S3472]]

       Subtitle D--Defense-wide, Joint, and Multiservice Matters

     SEC. 151. REPORT ON ARMY AND MARINE CORPS MODERNIZATION PLAN 
                   FOR SMALL ARMS.

       (a) Report Required.--Not later than one year after the 
     date of the enactment of this Act, the Secretary of the Army 
     and the Secretary of the Navy shall jointly submit to the 
     Committees on Armed Services of the Senate and the House of 
     Representatives a report on the plan of the Army and the 
     Marine Corps to modernize small arms for the Army and the 
     Marine Corps during the 15-year period beginning on the date 
     of such plan, including the mechanisms to be used to promote 
     competition among suppliers of small arms and small arms 
     parts in achieving the plan.
       (b) Small Arms.--The small arms covered by the plan under 
     subsection (a) shall include the following:
       (1) Pistols.
       (2) Carbines.
       (3) Rifles and automatic rifles.
       (4) Light machine guns.
       (5) Such other small arms as the Secretaries consider 
     appropriate for purposes of the report required by subsection 
     (a).
       (c) Non-standard Small Arms.--In addition to the arms 
     specified in subsection (b), the plan under subsection (a) 
     shall also address non-standard small arms not currently in 
     the small arms inventory of the Army or the Marine Corps.

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

              Subtitle A--Authorization of Appropriations

     SEC. 201. AUTHORIZATION OF APPROPRIATIONS.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2016 for the use of the Department of Defense for 
     research, development, test, and evaluation as specified in 
     the funding table in section 4201.

    Subtitle B--Program Requirements, Restrictions, and Limitations

     SEC. 211. CENTERS FOR SCIENCE, TECHNOLOGY, AND ENGINEERING 
                   PARTNERSHIP.

       (a) In General.--Chapter 139 of title 10, United States 
     Code, is amended by inserting after section 2367 the 
     following new section:

     ``Sec. 2368. Centers for Science, Technology, and Engineering 
       Partnership

       ``(a) Designation.--(1) The Secretary of Defense, in 
     coordination with the Secretaries of the military 
     departments, shall designate each science and technology 
     reinvention laboratory as a Center for Science, Technology, 
     and Engineering Partnership in the recognized core 
     competencies of the designee.
       ``(2) The Secretary of Defense shall establish a policy to 
     encourage the Secretary of each military department to 
     reengineer management and business processes and adopt best-
     business and personnel practices at their Centers for 
     Science, Technology, and Engineering Partnership in 
     connection with their core competency requirements, so as to 
     serve as recognized leaders in their core competencies 
     throughout the Department of Defense and in the national 
     technology and industrial base (as defined in section 2500 of 
     this title).
       ``(3) The Secretary of Defense, acting through the 
     directors of the Centers for Science, Technology, and 
     Engineering Partnership, may conduct one or more pilot 
     programs, consistent with applicable requirements of law, to 
     test any practices referred to in paragraph (2) that the 
     Directors determine could--
       ``(A) improve the efficiency and effectiveness of 
     operations at Centers for Science, Technology, and 
     Engineering Partnership;
       ``(B) improve the support provided by the Centers for the 
     Department of Defense users of the services of the Centers; 
     and
       ``(C) enhance capabilities by reducing the cost and 
     improving the performance and efficiency of executing 
     laboratory missions.
       ``(4) In this subsection, the term `science and technology 
     reinvention laboratory' means a science and technology 
     reinvention laboratory designated under section 1105 of the 
     National Defense Authorization Act for Fiscal Year 2010 
     (Public Law 111-84; 10 U.S.C. 2358 note).
       ``(b) Public-private Partnerships.--(1) To achieve one or 
     more objectives set forth in paragraph (2), the Secretary may 
     authorize and establish incentives for the Director of a 
     Center for Science, Technology, and Engineering Partnership 
     to enter into public-private cooperative arrangements (in 
     this section referred to as a `public-private partnership') 
     to provide for any of the following:
       ``(A) For employees of the Center, private industry, or 
     other entities outside the Department of Defense to perform 
     (under contract, subcontract, or otherwise) work related to 
     the core competencies of the Center, including any work that 
     involves one or more core competencies of the Center.
       ``(B) For private industry or other entities outside the 
     Department of Defense to use, for any period of time 
     determined to be consistent with the needs of the Department 
     of Defense, any facilities or equipment of the Center that 
     are not fully used for Department of Defense activities.
       ``(2) The objectives for exercising the authority provided 
     in paragraph (1) are as follows:
       ``(A) To maximize the use of the capacity of a Center for 
     Science, Technology, and Engineering Partnership.
       ``(B) To reduce or eliminate the cost of ownership and 
     maintenance of a Center by the Department of Defense.
       ``(C) To reduce the cost of research and testing activities 
     of the Department of Defense.
       ``(D) To leverage private sector investment in--
       ``(i) such efforts as research and equipment 
     recapitalization for a Center; and
       ``(ii) the promotion of the undertaking of commercial 
     business ventures based on the core competencies of a Center, 
     as determined by the director of the Center.
       ``(E) To foster cooperation between the armed forces, 
     academia, and private industry.
       ``(F) To increase access by a Center to a skilled technical 
     workforce that can contribute to the effective and efficient 
     execution of Department of Defense missions.
       ``(c) Private Sector Use of Excess Capacity.--Any 
     facilities or equipment of a Center for Science, Technology, 
     and Engineering Partnership made available to private 
     industry may be used to perform research and testing 
     activities in order to make more efficient and economical use 
     of Government-owned facilities and encourage the creation and 
     preservation of jobs to ensure the availability of a 
     workforce with the necessary research and technical skills to 
     meet the needs of the armed forces.
       ``(d) Crediting of Amounts for Performance.--Amounts 
     received by a Center for Science, Technology, and Engineering 
     Partnership for work performed under a public-private 
     partnership may--
       ``(1) be credited to the appropriation or fund, including a 
     working-capital fund, that incurs the cost of performing the 
     work; or
       ``(2) be used by the Director of the Center as the Director 
     considers appropriate and consistent with section 219 of the 
     Duncan Hunter National Defense Authorization Act for Fiscal 
     Year 2009 (Public Law 110-417; 10 U.S.C. 2358 note).
       ``(e) Availability of Excess Equipment to Private-sector 
     Partners.--Equipment or facilities of a Center for Science, 
     Technology, and Engineering Partnership may be made available 
     for use by a private-sector entity under this section only 
     if--
       ``(1) the use of the equipment or facilities will not have 
     a significant adverse effect on the performance of the Center 
     or the ability of the Center to achieve its mission, as 
     determined by the Director of the Center; and
       ``(2) the private-sector entity agrees--
       ``(A) to reimburse the Department of Defense for the direct 
     and indirect costs (including any rental costs) that are 
     attributable to the entity's use of the equipment or 
     facilities, as determined by that Secretary; and
       ``(B) to hold harmless and indemnify the United States 
     from--
       ``(i) any claim for damages or injury to any person or 
     property arising out of the use of the equipment or 
     facilities, except under the circumstances described in 
     section 2563(c)(3) of title 10, United States Code; and
       ``(ii) any liability or claim for damages or injury to any 
     person or property arising out of a decision by the Secretary 
     to suspend or terminate that use of equipment or facilities 
     during a war or national emergency.
       ``(f) Construction of Provision.--Nothing in this section 
     may be construed to authorize a change, otherwise prohibited 
     by law, from the performance of work at a Center for Science, 
     Technology, and Engineering Partnership by Department of 
     Defense personnel to performance by a contractor.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 139 of such title is amended by 
     inserting after the item relating to section 2367 the 
     following new item:

``2368. Centers for Science, Technology, and Engineering 
              Partnership.''.

     SEC. 212. DEPARTMENT OF DEFENSE TECHNOLOGY OFFSET PROGRAM TO 
                   BUILD AND MAINTAIN THE MILITARY TECHNOLOGICAL 
                   SUPERIORITY OF THE UNITED STATES.

       (a) Program Established.--
       (1) In general.--The Secretary of Defense shall establish a 
     technology offset program to build and maintain the military 
     technological superiority of the United States by--
       (A) accelerating the fielding of offset technologies that 
     would help counter technological advantages of potential 
     adversaries of the United States, including directed energy, 
     low-cost, high-speed munitions, autonomous systems, undersea 
     warfare, cyber technology, and intelligence data analytics, 
     developed using Department of Defense research funding and 
     accelerating the commercialization of such technologies; and
       (B) developing and implementing new policies and 
     acquisition and business practices.
       (2) Guidelines.--Not later than one year after the date of 
     the enactment of this Act, the Secretary shall issue 
     guidelines for the operation of the program, including--
       (A) criteria for an application for funding by a military 
     department, defense agency, or a combatant command;
       (B) the purposes for which such a department, agency, or 
     command may apply for funds and appropriate requirements for 
     technology development or commercialization to be supported 
     using program funds;
       (C) the priorities, if any, to be provided to field or 
     commercialize offset technologies developed by certain types 
     of Department research funding; and
       (D) criteria for evaluation of an application for funding 
     or changes to policies or acquisition and business practices 
     by a department, agency, or command for purposes of the 
     program.
       (b) Development of Directed Energy Strategy.--
       (1) In general.--Not later than one year after the date of 
     the enactment of this Act,

[[Page S3473]]

     the Secretary, in consultation with such officials and third-
     party experts as the Secretary considers appropriate, shall 
     develop a directed energy strategy to ensure that the United 
     States directed energy technologies are being developed and 
     deployed at an accelerated pace.
       (2) Components of strategy.--The strategy required by 
     paragraph (1) shall include the following:
       (A) A technology roadmap for directed energy that can be 
     used to manage and assess investments and policies of the 
     Department in this high priority technology area.
       (B) Proposals for legislative and administrative action to 
     improve the ability of the Department to develop and deploy 
     technologies and capabilities consistent with the directed 
     energy strategy.
       (C) An approach to program management that is designed to 
     accelerate operational prototyping of directed energy 
     technologies and develop cost-effective, real-world military 
     applications for such technologies.
       (3) Biennial revisions.--Not less frequently than once 
     every 2 years, the Secretary shall revise the strategy 
     required by paragraph (1).
       (4) Submittal to congress.--(A) Not later than 90 days 
     after the date on which the Secretary completes the 
     development of the strategy required by paragraph (1) and not 
     later than 90 days after the date on which the Secretary 
     completes a revision to such strategy under paragraph (3), 
     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 copy of such strategy.
       (B) The strategy submitted under subparagraph (A) shall be 
     submitted in unclassified form, but may include a classified 
     annex.
       (c) Applications for Funding.--
       (1) In general.--Under the program, the Secretary shall, 
     not less frequently than annually, solicit from the heads of 
     the military departments, the defense agencies, and the 
     combatant commands applications for funding to be used to 
     enter into contracts, cooperative agreements, or other 
     transaction agreements entered into pursuant to section 845 
     of the National Defense Authorization Act for Fiscal Year 
     1994 (Public Law 103-160; 10 U.S.C. 2371 note) with 
     appropriate entities for the fielding or commercialization of 
     technologies.
       (2) Treatment pursuant to certain congressional rules.--
     Nothing in this section shall be interpreted to require any 
     official of the Department of Defense to provide funding 
     under this section to any earmark as defined pursuant to 
     House Rule XXI, clause 9, or any congressionally directed 
     spending item as defined pursuant to Senate Rule XLIV, 
     paragraph 5.
       (d) Funding.--
       (1) In general.--Subject to the availability of 
     appropriations for such purpose, of the amounts authorized to 
     be appropriated for research, development, test, and 
     evaluation, Defense-wide for fiscal year 2016, not more than 
     $400,000,000 may be used for any such fiscal year for the 
     program established under subsection (a).
       (2) Amount for directed energy.--Of this amount, not more 
     than $200,000,000 may be used for activities in the field of 
     directed energy.
       (e) Transfer Authority.--
       (1) In general.--The Secretary may transfer funds available 
     for the program to the research, development, test, and 
     evaluation accounts of a military department, defense agency, 
     or a combatant command pursuant to an application, or any 
     part of an application, that the Secretary determines would 
     support the purposes of the program.
       (2) Supplement not supplant.--The transfer authority 
     provided in this subsection is in addition to any other 
     transfer authority available to the Department of Defense.
       (f) Termination.--
       (1) In general.--The authority to carry out a program under 
     this section shall terminate on September 30, 2020.
       (2) Transfer after termination.--Any amounts made available 
     for the program that remain available for obligation on the 
     date the program terminates may be transferred under 
     subsection (e) during the 180-day period beginning on the 
     date of the termination of the program.

     SEC. 213. REAUTHORIZATION OF DEFENSE RESEARCH AND DEVELOPMENT 
                   RAPID INNOVATION PROGRAM.

       (a) Extension of Program.--Section 1073 of the Ike Skelton 
     National Defense Authorization Act for Fiscal Year 2011 
     (Public Law 111-383; 10 U.S.C. 2359a note) is amended--
       (1) in subsection (d), by striking ``2015'' and inserting 
     ``2020''; and
       (2) in subsection (g), by striking ``September 30, 2015'' 
     and inserting ``September 30, 2020''.
       (b) Modification of Guidelines for Operation of Program.--
     Subsection (b) of such section is amended--
       (1) by amending paragraph (1) to read as follows:
       ``(1) The issuance of an annual broad agency announcement 
     or the use of any other competitive or merit-based processes 
     by the Department of Defense for candidate proposals in 
     support of defense acquisition programs as described in 
     subsection (a).'';
       (2) in paragraph (3), by striking the second sentence;
       (3) in paragraph (4)--
       (A) in the first sentence, by striking ``be funded under 
     the program for more than two years'' and inserting ``receive 
     more than a total of two years of funding under the 
     program''; and
       (B) by striking the second sentence; and
       (4) by adding at the end, the following new paragraphs:
       ``(5) Mechanisms to facilitate transition of follow-on or 
     current projects carried out under the program into defense 
     acquisition programs, through the use of the authorities of 
     section 819 of the National Defense Authorization Act for 
     Fiscal year 2010 (Public Law 111-84; 10 U.S.C. 2302 note) or 
     such other authorities as may be appropriate to conduct 
     further testing, low rate production, or full rate production 
     of technologies developed under the program.
       ``(6) Projects are selected using merit based selection 
     procedures and the selection of projects is not subject to 
     undue influence by Congress or other Federal agencies.''.
       (c) Repeal of Report Requirement.--Such section is further 
     amended--
       (1) by striking subsection (f); and
       (2) by redesignating subsection (g) as subsection (f).

     SEC. 214. REAUTHORIZATION OF GLOBAL RESEARCH WATCH PROGRAM.

       Section 2365 of title 10, United States Code, is amended--
       (1) in paragraphs (1) and (2) of subsection (b), by 
     inserting ``and private sector persons'' after ``foreign 
     nations'' both places it appears; and
       (2) in subsection (f), by striking ``September 30, 2015'' 
     and inserting ``September 30, 2025''.

     SEC. 215. SCIENCE AND TECHNOLOGY ACTIVITIES TO SUPPORT 
                   BUSINESS SYSTEMS INFORMATION TECHNOLOGY 
                   ACQUISITION PROGRAMS.

       (a) In General.--The Secretary of Defense, acting through 
     the Undersecretary of Acquisition, Technology, and Logistics, 
     the Deputy Chief Management Officer, and the Chief 
     Information Officer shall establish a set of science, 
     technology, and innovation activities to improve the 
     acquisition outcomes of major automated information systems 
     through improved performance and reduced developmental and 
     life cycle costs.
       (b) Execution of Activities.--The activities established 
     under subsection (a) shall be carried out by such military 
     departments and defense agencies as the Under Secretary and 
     the Deputy Chief Management Officer consider appropriate.
       (c) Activities.--The set of activities established under 
     subsection (a) may include the following:
       (1) Development of capabilities in Department of Defense 
     laboratories, test centers, and Federally-funded research and 
     development centers to provide technical support for 
     acquisition program management and business process re-
     engineering activities.
       (2) Funding of intramural and extramural research and 
     development activities as described in subsection (d).
       (d) Funding of Intramural and Extramural Research and 
     Development.--
       (1) In general.--In carrying out the set of activities 
     required by subsection (a), the Secretary may award grants or 
     contracts to eligible entities to carry out intramural or 
     extramural research and development in areas of interest 
     described in paragraph (3).
       (2) Eligible entities.--For purposes of this subsection, an 
     eligible entity includes the following:
       (A) Entities in the defense industry.
       (B) Institutions of higher education.
       (C) Small businesses.
       (D) Nontraditional defense contractors (as defined in 
     section 2302 of title 10, United States Code).
       (E) Federally-funded research and development centers, 
     primarily for the purpose of improving technical expertise to 
     support acquisition efforts.
       (F) Nonprofit research institutions.
       (G) Government laboratories and test centers, primarily for 
     the purpose of improving technical expertise to support 
     acquisition efforts.
       (3) Areas of interest.--The areas of interest described in 
     this paragraph are the following:
       (A) Management innovation, including personnel and 
     financial management policy innovation.
       (B) Business process re-engineering.
       (C) Systems engineering of information technology business 
     systems.
       (D) Cloud computing to support business systems and 
     business processes.
       (E) Software development, including systems and techniques 
     to limit unique interfaces and simplify processes to 
     customize commercial software to meet the needs of the 
     Department of Defense.
       (F) Hardware development, including systems and techniques 
     to limit unique interfaces and simplify processes to 
     customize commercial hardware to meet the needs of the 
     Department of Defense.
       (G) Development of methodologies and tools to support 
     development and operational test of large and complex 
     business systems.
       (H) Analysis tools to allow decision makers to balance 
     between requirements, costs, technical risks, and schedule in 
     major automated information system acquisition programs
       (I) Information security in major automated information 
     system systems.
       (J) Innovative acquisition policies and practices to 
     streamline acquisition of information technology systems.
       (K) Such other areas as the Secretary considers 
     appropriate.
       (e) Priorities.--

[[Page S3474]]

       (1) In general.--In carrying out the set of activities 
     required by subsection (a), the Secretary shall give priority 
     to--
       (A) projects that--
       (i) address the innovation and technology needs of the 
     Department of Defense; and
       (ii) support activities of initiatives, programs and 
     offices identified by the Under Secretary and Deputy Chief 
     Management Officer; and
       (B) the projects and programs identified in paragraph (2).
       (2) Projects and programs identified.--The projects and 
     programs identified in this paragraph are the following:
       (A) Major automated information system programs.
       (B) Projects and programs under the oversight of the Deputy 
     Chief Management Officer.
       (C) Projects and programs relating to defense procurement 
     acquisition policy.
       (D) Projects and programs of the Defense Contract Audit 
     Agency.
       (E) Military and civilian personnel policy development for 
     information technology workforce.

     SEC. 216. EXPANSION OF ELIGIBILITY FOR FINANCIAL ASSISTANCE 
                   UNDER DEPARTMENT OF DEFENSE SCIENCE, 
                   MATHEMATICS, AND RESEARCH FOR TRANSFORMATION 
                   PROGRAM TO INCLUDE CITIZENS OF COUNTRIES 
                   PARTICIPATING IN THE TECHNICAL COOPERATION 
                   PROGRAM.

       Section 2192a(b)(1)(A) of title 10, United States Code, is 
     amended by inserting ``or a country the government of which 
     is a party to The Technical Cooperation Program (TTCP) 
     memorandum of understanding of October 24, 1995'' after 
     ``United States''.

     SEC. 217. STREAMLINING THE JOINT FEDERATED ASSURANCE CENTER.

       Section 937(c)(2) of the National Defense Authorization Act 
     for Fiscal Year 2014 (Public Law 113-66; 10 U.S.C. 2224 note) 
     is amended--
       (1) in subparagraph (C), by striking ``, in coordination 
     with the Center for Assured Software of the National Security 
     Agency,''; and
       (2) in subparagraph (E), by striking ``, in coordination 
     with the Defense Microelectronics Activity,''.

     SEC. 218. LIMITATION ON AVAILABILITY OF FUNDS FOR DEVELOPMENT 
                   OF THE SHALLOW WATER COMBAT SUBMERSIBLE.

       (a) Limitation.--Of the amounts authorized to be 
     appropriated in this Act or otherwise made available for 
     fiscal year 2016 for Special Operations Command for 
     development of the Shallow Water Combat Submersible, not more 
     than 25 percent may be obligated or expended until the date 
     that is 15 days after the later of the date on which--
       (1) the Under Secretary of Defense for Acquisition, 
     Technology, and Logistics designates a civilian official 
     responsible for oversight and assistance to Special 
     Operations Command for all undersea mobility programs; and
       (2) the Under Secretary, in coordination with the Assistant 
     Secretary of Defense for Special Operations and Low-Intensity 
     Conflict, submits to the congressional defense committees the 
     report described in subsection (b).
       (b) Report Described.--The report described in this 
     subsection is a report on the Shallow Water Combat 
     Submersible that includes the following:
       (1) An analysis of the reasons for cost and schedule 
     overruns associated with the Shallow Water Combat Submersible 
     program.
       (2) A revised timeline for initial and full operational 
     capability of the Shallow Water Combat Submersible.
       (3) The projected cost to meet the total unit acquisition 
     objective.
       (4) A plan to prevent, identify, and mitigate any 
     additional cost and schedule overruns.
       (5) A description of such opportunities as may be to 
     recover cost or schedule.
       (6) A description of such lessons as the Under Secretary 
     may have learned from the Shallow Water Combat Submersible 
     program that could be applied to future undersea mobility 
     acquisition programs.
       (7) Such other matters as the Under Secretary considers 
     appropriate.

     SEC. 219. LIMITATION ON AVAILABILITY OF FUNDS FOR DISTRIBUTED 
                   COMMON GROUND SYSTEM OF THE ARMY.

       (a) Limitation.--Of the amounts authorized to be 
     appropriated for fiscal year 2016 for the Department of 
     Defense by section 201 and available for research, 
     development, test, and evaluation, Army, for the distributed 
     common ground system of the Army as specified in the funding 
     tables in title XLII, not more than 75 percent may be 
     obligated or expended until the Secretary of the Army--
       (1) conducts a review of the program planning for the 
     distributed common ground system of the Army; and
       (2) submits to the appropriate congressional committees the 
     report required by subsection (b)(1).
       (b) Report.--
       (1) In general.--The Secretary shall submit to the 
     appropriate congressional committees a report on the review 
     of the distributed common ground system of the Army conducted 
     under subsection (a)(1).
       (2) Matters included.--The report under paragraph (1) shall 
     include the following:
       (A) A review of the segmentation of Increment 2 of the 
     distributed common ground system program of the Army into 
     discrete software components with the associated requirements 
     of each component.
       (B) Identification of each component of Increment 2 of the 
     distributed common ground system of the Army for which 
     commercial software exists that is capable of fulfilling most 
     or all of the system requirements for each such component.
       (C) A cost analysis of each such commercial software that 
     compares performance with projected cost.
       (D) Determination of the degree to which commercial 
     software solutions are compliant with the standards required 
     by the framework and guidance for the Intelligence Community 
     Information Technology Enterprise, the Defense Intelligence 
     Information Enterprise, and the Joint Information 
     Environment.
       (E) Identification of each component of Increment 2 of the 
     distributed common ground system of the Army that the 
     Secretary determines may be acquired through competitive 
     means.
       (F) An acquisition plan for Increment 2 of the distributed 
     common ground system of the Army that prioritizes the 
     acquisition of commercial software components, including a 
     data integration layer, in time to meet the projected 
     deployment schedule for Increment 2.
       (G) A review of the timetable for the distributed common 
     ground system program of the Army in order to determine 
     whether there is a practical, executable acquisition 
     strategy, including the use of operational capability 
     demonstrations, that could lead to an initial operating 
     capability of Increment 2 of the distributed common ground 
     system of the Army prior to fiscal year 2017.
       (c) Appropriate Congressional Committees Defined.--In this 
     section, the term ``appropriate congressional committees'' 
     means--
       (1) the congressional defense committees; and
       (2) the Select Committee on Intelligence of the Senate and 
     the Permanent Select Committee on Intelligence of the House 
     of Representatives.

     SEC. 220. LIMITATION ON AVAILABILITY OF FUNDS FOR DISTRIBUTED 
                   COMMON GROUND SYSTEM OF THE UNITED STATES 
                   SPECIAL OPERATIONS COMMAND.

       (a) Limitation.--Of the amounts authorized to be 
     appropriated for fiscal year 2016 for the Department of 
     Defense by section 201 and available for research, 
     development, test, and evaluation, Defense-wide, for the 
     United States Special Operations Command for the distributed 
     common ground system, not more than 75 percent may be 
     obligated or expended until the Commander of the United 
     States Special Operations Command submits to the 
     congressional defense committees the report required by 
     subsection (b).
       (b) Report Required.--The Commander shall submit to the 
     congressional defense committees a report on the distributed 
     common ground system. Such report shall include the 
     following:
       (1) A review of the segmentation of the distributed common 
     ground system special operations forces program into discrete 
     software components with the associated requirements of each 
     component.
       (2) Identification of each component of the distributed 
     common ground system special operations forces program for 
     which commercial software exists that is capable of 
     fulfilling most or all of the system requirements for each 
     such component.
       (3) A cost analysis of each such commercial software that 
     compares performance with projected cost.
       (4) A determination of the degree to which commercial 
     software solutions are compliant with the standards required 
     by the framework and guidance for the Intelligence Community 
     Information Technology Enterprise, the Defense Intelligence 
     Information Enterprise, and the Joint Information 
     Environment.
       (5) Identification of each component of the distributed 
     common ground system special operations forces program that 
     the Commander determines may be acquired through competitive 
     means.
       (6) An assessment of the extent to which elements of the 
     distributed common ground system special operations forces 
     program could be modified to increase commercial acquisition 
     opportunities.
       (7) An acquisition plan that leads to full operational 
     capability prior to fiscal year 2019.

                       Subtitle C--Other Matters

     SEC. 231. ASSESSMENT OF AIR-LAND MOBILE TACTICAL 
                   COMMUNICATIONS AND DATA NETWORK REQUIREMENTS 
                   AND CAPABILITIES.

       (a) Assessment Required.--The Director of Cost Assessment 
     and Program Evaluation, in consultation with the Director of 
     Operational Test and Evaluation, shall contract with an 
     independent entity to conduct a comprehensive assessment of 
     current and future requirements and capabilities of the 
     Department of Defense with respect to an air-land ad hoc, 
     mobile tactical communications, and data network, including 
     the technological feasibility, suitability, and survivability 
     of such a network.
       (b) Elements.--The assessment required under subsection (a) 
     shall include the following elements:
       (1) Concepts, capabilities, and capacities of current or 
     future communications and data network systems to meet the 
     requirements of current or future tactical operations 
     effectively, efficiently, and affordably.

[[Page S3475]]

       (2) Software requirements and capabilities, particularly 
     with respect to communications and data network waveforms.
       (3) Hardware requirements and capabilities, particularly 
     with respect to receiver/transmission technology, tactical 
     communications, and data radios at all levels and on all 
     platforms, all associated technologies, and their 
     integration, compatibility, and interoperability.
       (4) Any other matters that in the judgment of the 
     independent entity are relevant or necessary to a 
     comprehensive assessment of tactical networks or networking.
       (c) Independent Entity.--The Director of Cost Assessment 
     and Program Evaluation shall select an independent entity 
     with direct, long-standing, and demonstrated experience and 
     expertise in program test and evaluation of concepts, 
     requirements, and technologies for joint tactical 
     communications and data networking to perform the assessment 
     under subsection (a).
       (d) Report Required.--Not later than April 30, 2016, the 
     Secretary of Defense shall submit to the congressional 
     defense commitments a report including the findings and 
     recommendations of the assessment conducted under subsection 
     (a), together with the Secretary's comments.
       (e) Availability of Funds.--The Secretary of Defense shall 
     use funds authorized by this Act or otherwise made available 
     for fiscal year 2016 for Operation and Maintenance, Defense-
     wide to carry out activities under this section.
       (f) Limitation on Obligation of Funds.--The Secretary of 
     the Army may not obligate or expend more than 50 percent of 
     the funds authorized by this Act or otherwise made available 
     for fiscal year 2016 for Other Procurement, Army and 
     available for the Warfighter Information Network--Tactical 
     (Increment 2) until the Secretary of Defense submits the 
     report required under subsection (d).

     SEC. 232. STUDY OF FIELD FAILURES INVOLVING COUNTERFEIT 
                   ELECTRONIC PARTS.

       (a) In General.--The Secretary of Defense shall conduct a 
     hardware assurance study to assess the presence, scope, and 
     effect on Department of Defense operations of counterfeit 
     electronic parts that have passed through the Department 
     supply chain and into field systems.
       (b) Execution and Technical Analysis.--
       (1) In general.--The Secretary shall direct the federation 
     established under section 937(a)(1) of the National Defense 
     Authorization Act for Fiscal Year 2014 (Public Law 113-66; 10 
     U.S.C. 2224 note) to coordinate execution of the study 
     required by subsection (a) using capabilities of the 
     Department in effect on the day before the date of the 
     enactment of this Act to conduct technical analysis on a 
     sample of failed electronic parts in field systems.
       (2) Elements.--The technical analysis required by paragraph 
     (1) shall include the following:
       (A) Selection of a representative sample of electronic 
     component types, including digital, mixed-signal, and analog 
     integrated circuits.
       (B) An assessment of the presence of counterfeit parts, 
     including causes and attributes of failures of any identified 
     counterfeit part.
       (C) For components found to have counterfeit parts present, 
     an assessment of the impact of the counterfeit part in the 
     failure mechanism.
       (D) For cases with counterfeit parts contributing to the 
     failure, a determination of the failure attributes, factors, 
     and effects on subsystem and system level reliability, 
     readiness, and performance.
       (c) Recommendations.--As part of the study required by 
     subsection (a), the Secretary shall develop recommendations 
     for such legislative and administrative action, including 
     budget requirements, as the Secretary considers necessary to 
     conduct sampling and technical hardware analysis of 
     counterfeit parts in identified areas of high concern.
       (d) Report.--
       (1) In general.--Not later than 540 days after the date of 
     the enactment of this Act, the Secretary shall submit to the 
     congressional defense committees a report on the study 
     carried out under subsection (a).
       (2) Contents.--The report required by paragraph (1) shall 
     include the following:
       (A) The findings of the Secretary with respect to the study 
     conducted under subsection (a).
       (B) The recommendations developed under subsection (c).

     SEC. 233. DEMONSTRATION OF PERSISTENT CLOSE AIR SUPPORT 
                   CAPABILITIES.

       (a) Joint Demonstration Required.--The Secretary of the Air 
     Force, the Secretary of the Army, and the Director of the 
     Defense Advanced Research Projects Agency shall jointly 
     conduct a demonstration of the Persistent Close Air Support 
     (PCAS) capability in fiscal year 2016.
       (b) Parameters of Demonstration.--
       (1) Selection and equipment of aircraft.--As part of the 
     demonstration required by subsection (a), the Secretary of 
     the Air Force shall select and equip at least two aircraft 
     for use in the demonstration that the Secretary otherwise 
     intends to use for close air support, as identified by the 
     United States Air Force Close Air Support Forum.
       (2) Close air support operations.--The demonstration 
     required by subsection (a) shall include close air support 
     operations that involve the following:
       (A) Multiple tactical radio networks representing diverse 
     ground force user communities.
       (B) Two-way digital exchanges of situational awareness 
     data, video, and calls for fire between aircraft and ground 
     users without modification to aircraft operational flight 
     profiles.
       (C) Real-time sharing of blue force, aircraft, and target 
     location data to reduce risks of fratricide.
       (D) Lightweight digital tools based on commercial-off-the-
     shelf technology for pilots and joint tactical air 
     controllers.
       (E) Operations in simple and complex operating 
     environments.
       (c) Assessment.--The Secretary of the Air Force, the 
     Secretary of the Army, and the Director of the Defense 
     Advanced Research Projects Agency shall jointly--
       (1) assess the effect of the capabilities demonstrated as 
     part of the demonstration required by subsection (a) on--
       (A) the time required to conduct close air support 
     operations;
       (B) the effectiveness of blue force in achieving tactical 
     objectives; and
       (C) the risk of fratricide and collateral damage; and
       (2) estimate the costs that would be incurred in 
     transitioning the technology used in the Persistent Close Air 
     Support capability to the Army and the Air Force.

     SEC. 234. AIRBORNE DATA LINK PLAN.

       (a) Plan Required.--The Under Secretary of Defense for 
     Acquisition, Technology, and Logistics and the Vice Chairman 
     of the Joint Chiefs of Staff shall jointly, in consultation 
     with the Secretary of the Air Force and the Secretary of the 
     Navy, develop a plan--
       (1) to provide objective survivable communications gateways 
     to enable--
       (A) the secure dissemination of national and tactical 
     intelligence information to fourth-generation fighter 
     aircraft and supporting airborne platforms and to low-
     observable penetrating platforms such as the F-22 and F-35; 
     and
       (B) the secure reception and dissemination of sensor data 
     from low-observable penetrating aircraft, such as the F-22 
     and F-35;
       (2) to provide secure data sharing between the fifth-
     generation fighter aircraft of the Air Force, Navy, and 
     Marine Corps, with minimal changes to the outer surfaces of 
     the aircraft and to aircraft operational flight programs; and
       (3) to enable secure data sharing between fifth-generation 
     and fourth-generation aircraft in jamming environments.
       (b) Additional Plan Requirements.--The plan required by 
     subsection (a) shall include non-proprietary and open systems 
     approaches that are compatible with the Rapid Capabilities 
     Office Open Mission Systems initiative of the Air Force and 
     the Future Airborne Capability Environment initiative of the 
     Navy.
       (c) Prohibition.--No funds may be obligated or expended by 
     the Department of Defense on the interim communications 
     initiatives identified as Talon Hate and Multi-Domain 
     Adaptable Processing System until the congressional defense 
     committees are briefed by the Under Secretary or the Vice 
     Chairman about the plan required by subsection (a).

     SEC. 235. REPORT ON TECHNOLOGY READINESS LEVELS OF THE 
                   TECHNOLOGIES AND CAPABILITIES CRITICAL TO THE 
                   LONG RANGE STRIKE BOMBER AIRCRAFT.

       (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 on the Technology Readiness 
     Levels (TRLs) of the technologies and capabilities critical 
     to the Long Range Strike Bomber aircraft.
       (b) Review by Comptroller General of the United States.--
     Not later than 60 days after the report of the Secretary is 
     submitted under subsection (a), the Comptroller General of 
     the United States shall review the report and submit to the 
     congressional defense committees an assessment of the matters 
     contained in the report.

                  TITLE III--OPERATION AND MAINTENANCE

              Subtitle A--Authorization of Appropriations

     SEC. 301. AUTHORIZATION OF APPROPRIATIONS.

       Funds are hereby authorized to be appropriated for fiscal 
     year 2016 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, as specified in the funding table in section 
     4301.

                   Subtitle B--Energy and Environment

     SEC. 311. MODIFICATION OF ENERGY MANAGEMENT REPORTING 
                   REQUIREMENTS.

       Section 2925(a) of title 10, United States Code, is 
     amended--
       (1) by striking paragraphs (4) and (7);
       (2) by redesignating paragraphs (5), (6), (8), (9), (10), 
     (11), and (12) as paragraphs (4), (5), (6), (7), (8), (9), 
     and (10), respectively;
       (3) by amending paragraph (7), as redesignated by paragraph 
     (2) of this section, to read as follows:
       ``(7) A description and estimate of the progress made by 
     the military departments in meeting current high performance 
     and sustainable building standards under the Unified 
     Facilities Criteria.'';
       (4) by amending paragraph (9), as redesignated by such 
     paragraph (2), to read as follows:
       ``(9) Details of all commercial utility outages caused by 
     threats and those caused by hazards at military installations 
     that last eight hours or longer, whether or not the

[[Page S3476]]

     outage was mitigated by backup power, including non-
     commercial utility outages and Department of Defense-owned 
     infrastructure, including the total number and location of 
     outages, the financial impact of the outages, and measure 
     taken to mitigate outages in the future at the affected 
     locations and across the Department of Defense.''; and
       (5) by adding at the end the following new paragraph:
       ``(11) At the discretion of the Secretary of Defense, a 
     classified annex, as appropriate.''.

     SEC. 312. REPORT ON EFFORTS TO REDUCE HIGH ENERGY COSTS AT 
                   MILITARY INSTALLATIONS.

       (a) Report.--
       (1) Report required.--Not later than 270 days after the 
     date of the enactment of this Act, the Under Secretary of 
     Defense for Acquisition, Technology, and Logistics, in 
     conjunction with the assistant secretaries responsible for 
     installations and environment for the military services and 
     the Defense Logistics Agency, shall submit to the 
     congressional defense committees a report detailing the 
     efforts to achieve cost savings at military installations 
     with high energy costs.
       (2) Elements.--The report required under paragraph (1) 
     shall include the following elements:
       (A) A comprehensive, installation-specific assessment of 
     feasible and mission-appropriate energy initiatives 
     supporting energy production and consumption at military 
     installations with high energy costs.
       (B) An assessment of current sources of energy in areas 
     with high energy costs and potential future sources that are 
     technologically feasible, cost-effective, and mission-
     appropriate for military installations.
       (C) A comprehensive implementation strategy to include 
     required investment for feasible energy efficiency options 
     determined to be the most beneficial and cost-effective, 
     where appropriate, and consistent with Department of Defense 
     priorities.
       (D) An explanation on how military services are working 
     collaboratively in order to leverage lessons learned on 
     potential energy efficiency solutions.
       (E) An assessment of extent of which activities 
     administered under the Federal Energy Management Program 
     could be used to assist with the implementation strategy.
       (F) An assessment of State and local partnership 
     opportunities that could achieve efficiency and cost savings, 
     and any legislative authorities required to carry out such 
     partnerships or agreements.
       (3) Coordination with state and local and other entities.--
     In preparing the report required under paragraph (1), the 
     Under Secretary may work in conjunction and coordinate with 
     the States containing areas of high energy costs, local 
     communities, and other Federal departments and agencies.
       (b) Definitions.--In this section, the term ``high energy 
     costs'' means costs for the provision of energy by kilowatt 
     of electricity or British Thermal Unit of heat or steam for a 
     military installation in the United States that is in the 
     highest 20 percent of all military installations for a 
     military department.

     SEC. 313. SOUTHERN SEA OTTER MILITARY READINESS AREAS.

       (a) Establishment of the Southern Sea Otter Military 
     Readiness Areas.--Chapter 631 of title 10, United States 
     Code, is amended by adding at the end the following new 
     section:

     ``Sec. 7235. Establishment of the Southern Sea Otter Military 
       Readiness Areas

       ``(a) Establishment.--The Secretary of the Navy shall 
     establish areas, to be known as `Southern Sea Otter Military 
     Readiness Areas', for national defense purposes. Such areas 
     shall include each of the following:
       ``(1) The area that includes Naval Base Ventura County, San 
     Nicolas Island, and Begg Rock and the adjacent and 
     surrounding waters within the following coordinates:


 
                       ``N. Latitude/W. Longitude
 
                    3327.8'/11934.3'
                    3320.5'/11915.5'
                    3313.5'/11911.8'
                    3306.5'/11915.3'
                    3302.8'/11926.8'
                    3308.8'/11946.3'
                    3317.2'/11956.9'
                   3330.9'/11954.2'.
 

       ``(2) The area that includes Naval Base Coronado, San 
     Clemente Island and the adjacent and surrounding waters 
     running parallel to shore to 3 nautical miles from the high 
     tide line designated by part 165 of title 33, Code of Federal 
     Regulations, on May 20, 2010, as the San Clemente Island 3NM 
     Safety Zone.
       ``(b) Activities Within the Southern Sea Otter Military 
     Readiness Areas.--
       ``(1) Incidental takings under endangered species act of 
     1973.--Sections 4 and 9 of the Endangered Species Act of 1973 
     (16 U.S.C. 1533, 1538) shall not apply with respect to the 
     incidental taking of any southern sea otter in the Southern 
     Sea Otter Military Readiness Areas in the course of 
     conducting a military readiness activity.
       ``(2) Incidental takings under marine mammal protection act 
     of 1972.--Sections 101 and 102 of the Marine Mammal 
     Protection Act of 1972 (16 U.S.C. 1371, 1372) shall not apply 
     with respect to the incidental taking of any southern sea 
     otter in the Southern Sea Otter Military Readiness Areas in 
     the course of conducting a military readiness activity.
       ``(3) Treatment as species proposed to be listed.--For 
     purposes of conducting a military readiness activity, any 
     southern sea otter while within the Southern Sea Otter 
     Military Readiness Areas shall be treated for the purposes of 
     section 7 of the Endangered Species Act of 1973 (16 U.S.C. 
     1536) as a member of a species that is proposed to be listed 
     as an endangered species or a threatened species under 
     section 4 of the Endangered Species Act of 1973 (16 U.S.C. 
     1533).
       ``(c) Removal.--Nothing in this section or any other 
     Federal law shall be construed to require that any southern 
     sea otter located within the Southern Sea Otter Military 
     Readiness Areas be removed from the Areas.
       ``(d) Revision or Termination of Exceptions.--The Secretary 
     of the Interior may revise or terminate the application of 
     subsection (b) if the Secretary of the Interior, in 
     consultation with the Secretary of the Navy and the Marine 
     Mammal Commission, determines that military activities 
     occurring in the Southern Sea Otter Military Readiness Areas 
     are impeding the southern sea otter conservation or the 
     return of southern sea otters to optimum sustainable 
     population levels.
       ``(e) Monitoring.--
       ``(1) In general.--The Secretary of the Navy shall conduct 
     monitoring and research within the Southern Sea Otter 
     Military Readiness Areas to determine the effects of military 
     readiness activities on the growth or decline of the southern 
     sea otter population and on the near-shore ecosystem. 
     Monitoring and research parameters and methods shall be 
     determined in consultation with the Service and the Marine 
     Mammal Commission.
       ``(2) Reports.--Not later than 24 months after the date of 
     the enactment of this section and every three years 
     thereafter, the Secretary of the Navy shall report to 
     Congress and the public on monitoring undertaken pursuant to 
     paragraph (1).
       ``(f) Definitions.--In this section:
       ``(1) Southern sea otter.--The term `southern sea otter' 
     means any member of the subspecies Enhydra lutris nereis.
       ``(2) Take.--The term `take'--
       ``(A) when used in reference to activities subject to 
     regulation by the Endangered Species Act of 1973 (16 U.S.C. 
     1531 et seq.), shall have the meaning given such term in that 
     Act; and
       ``(B) when used in reference to activities subject to 
     regulation by the Marine Mammal Protection Act of 1972 (16 
     U.S.C. 1361 et seq.) shall have the meaning given such term 
     in that Act.
       ``(3) Incidental taking.--The term `incidental taking' 
     means any take of a southern sea otter that is incidental to, 
     and not the purpose of, the carrying out of an otherwise 
     lawful activity.
       ``(4) Military readiness activity.--The term `military 
     readiness activity' has the meaning given that term in 
     section 315(f) of the Bob Stump National Defense 
     Authorization Act for Fiscal Year 2003 (16 U.S.C. 703 note) 
     and includes all training and operations of the armed forces 
     that relate to combat and the adequate and realistic testing 
     of military equipment, vehicles, weapons, and sensors for 
     proper operation and suitability for combat use.
       ``(5) Optimum sustainable population.--The term `optimum 
     sustainable population' means, with respect to any population 
     stock, the number of animals that will result in the maximum 
     productivity of the population or the species, keeping in 
     mind the carrying capacity of the habitat and the health of 
     the ecosystem of which they form a constituent element.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of such chapter is amended by adding at the end the 
     following new item:

``7235. Establishment of the Southern Sea Otter Military Readiness 
              Areas.''.

       (c) Conforming Amendment.--Section 1 of Public Law 99-625 
     (16 U.S.C. 1536 note) is repealed.

                 Subtitle C--Logistics and Sustainment

     SEC. 321. REPEAL OF LIMITATION ON AUTHORITY TO ENTER INTO A 
                   CONTRACT FOR THE SUSTAINMENT, MAINTENANCE, 
                   REPAIR, OR OVERHAUL OF THE F117 ENGINE.

       Section 341 of the Carl Levin and Howard P. ``Buck'' McKeon 
     National Defense Authorization Act for Fiscal Year 2015 
     (Public Law 113-291; 128 Stat. 3345) is repealed.

                          Subtitle D--Reports

     SEC. 331. MODIFICATION OF ANNUAL REPORT ON PREPOSITIONED 
                   MATERIEL AND EQUIPMENT.

       Section 2229a(a)(8) of title 10, United States Code, is 
     amended to read as follows:
       ``(8) A list of any equipment used in support of 
     contingency operations slated for retrograde and subsequent 
     inclusion in the prepositioned stocks.''.

          Subtitle E--Limitations and Extensions of Authority

     SEC. 341. MODIFICATION OF REQUIREMENTS FOR TRANSFERRING 
                   AIRCRAFT WITHIN THE AIR FORCE INVENTORY.

       (a) Modification of Requirements.--Section 345 of the 
     National Defense Authorization Act for Fiscal Year 2011 
     (Public Law 111-383; 10 U.S.C. 8062 note) is amended--
       (1) in subsection (a)--
       (A) by striking the first sentence and inserting the 
     following: ``Before making an aircraft transfer described in 
     subsection (c), the Secretary of the Air Force shall ensure 
     that a written agreement regarding such transfer has been 
     entered into between the Chief of

[[Page S3477]]

     Staff of the Air Force and the Director of the Air National 
     Guard or the Chief of Air Force Reserve.''; and
       (B) in paragraph (3), by striking ``depot'';
       (2) by amending subsection (b) to read as follows:
       ``(b) Submittal of Agreements to the Department of Defense 
     and Congress.--The Secretary of the Air Force may not take 
     any action to transfer an aircraft until the Secretary 
     ensures that the Air Force has complied with applicable 
     Department of Defense regulations and, for a transfer 
     described in subsection (c)(1), until the Secretary submits 
     to the congressional defense committees an agreement entered 
     into pursuant to subsection (a) regarding the transfer of the 
     aircraft.''; and
       (3) by adding at the end the following new subsections:
       ``(c) Covered Aircraft Transfers.--(1) An aircraft transfer 
     described in this subsection is the transfer (other than as 
     specified in paragraph (2)) from a reserve component of the 
     Air Force to the regular component of the Air Force of--
       ``(A) the permanent assignment of an aircraft that 
     terminates a reserve component's equitable interest in the 
     aircraft; or
       ``(B) possession of an aircraft for a period in excess of 
     90 days.
       ``(2) Paragraph (1) does not apply to the following:
       ``(A) A routine temporary transfer of possession of an 
     aircraft from a reserve component that is made solely for the 
     benefit of the reserve component for the purpose of 
     maintenance, upgrade, conversion, modification, or testing 
     and evaluation.
       ``(B) A routine permanent transfer of assignment of an 
     aircraft that terminates a reserve component's equitable 
     interest in the aircraft if notice of the transfer has 
     previously been provided to the congressional defense 
     committees and the transfer has been approved by the 
     Secretary of Defense pursuant to Department of Defense 
     regulations.
       ``(C) A transfer described in paragraph (1)(A) when there 
     is a reciprocal permanent assignment of an aircraft from the 
     regular component of the Air Force to the reserve component 
     that does not degrade the capability of, or reduce the total 
     number of, aircraft assigned to the reserve component.
       ``(d) Return of Aircraft After Routine Temporary 
     Transfer.--In the case of an aircraft transferred from a 
     reserve component of the Air Force to the regular component 
     of the Air Force for which an agreement under subsection (a) 
     is not required by reason of subparagraph (A) of subsection 
     (c)(2), possession of the aircraft shall be transferred back 
     to the reserve component upon completion of the work 
     described in such subparagraph.''.
       (b) Conforming Amendment.--Subsection (a)(7) of such 
     section is amended by striking ``Commander of the Air Force 
     Reserve Command'' and inserting ``Chief of Air Force 
     Reserve''.
       (c) Technical Amendments to Delete References to Aircraft 
     Ownership.--Subsection (a) of such section is further amended 
     by striking ``the ownership of'' each place it appears.

     SEC. 342. LIMITATION ON USE OF FUNDS FOR DEPARTMENT OF 
                   DEFENSE SPONSORSHIPS, ADVERTISING, OR MARKETING 
                   ASSOCIATED WITH SPORTS-RELATED ORGANIZATIONS OR 
                   SPORTING EVENTS.

       No amounts authorized to be appropriated for the Department 
     of Defense by this Act or otherwise made available to the 
     Department may be used for any sponsorship, advertising, or 
     marketing associated with a sports-related organization or 
     sporting event until the Under Secretary of Defense for 
     Personnel and Readiness, in consultation with the Director of 
     Accessions Policy--
       (1) conducts a review of current contracts and task orders 
     for such sponsorships, advertising, and marketing (as awarded 
     by the regular and reserve components of the Armed Forces) in 
     order to assess--
       (A) whether such sponsorships, advertising, and marketing 
     are effective in meeting the recruiting objectives of the 
     Department;
       (B) whether consistent metrics are used to evaluate the 
     effectiveness of each such activity in generating leads and 
     recruit accessions; and
       (C) whether the return on investment for such activities is 
     sufficient to warrant continuing use of Department funds for 
     such activities; and
       (2) submits to the Committees on Armed Services of the 
     Senate and the House of Representatives a report that 
     includes--
       (A) a description of the actions being taken to coordinate 
     efforts of the Department relating to such sponsorships, 
     advertising, and marketing, and to minimize duplicative 
     contracts for such sponsorships, advertising, and marketing, 
     as applicable; and
       (B) the results of the review required by paragraph (1), 
     including an assessment of the extent to which continuing use 
     of Department funds for such sponsorships, advertising, and 
     marketing is warranted in light of the review and the actions 
     described pursuant to subparagraph (A).

     SEC. 343. TEMPORARY AUTHORITY TO EXTEND CONTRACTS AND LEASES 
                   UNDER ARMS INITIATIVE.

       Contracts or subcontracts entered into pursuant to section 
     4554(a)(3)(A) of title 10, United States Code, on or before 
     the date that is five years after the date of the enactment 
     of this Act may include an option to extend the term of the 
     contract or subcontract for an additional 25 years.

                       Subtitle F--Other Matters

     SEC. 351. STREAMLINING OF DEPARTMENT OF DEFENSE MANAGEMENT 
                   AND OPERATIONAL HEADQUARTERS.

       (a) Comprehensive Review of Headquarters.--
       (1) In general.--The Secretary of Defense shall conduct a 
     comprehensive review of the management and operational 
     headquarters of the Department of Defense for purposes of 
     consolidating and streamlining headquarters functions.
       (2) Elements.--The review required by paragraph (1) shall 
     address the following:
       (A) The extent, if any, to which the staff of the 
     Secretaries of the military departments and the Chiefs of 
     Staff of the Armed Forces have duplicative staff functions 
     and services and could be consolidated into a single service 
     staff.
       (B) The extent, if any, to which the staff of the Office of 
     the Secretary of Defense, the military departments, the 
     Defense Agencies, and temporary organizations have 
     duplicative staff functions and services and could be 
     streamlined with respect to--
       (i) performing oversight and making policy;
       (ii) performing staff functions and services specific to 
     the military department concerned;
       (iii) performing multi-department staff functions and 
     services; and
       (iv) performing functions and services across the 
     Department of Defense with respect to intelligence collection 
     and analysis.
       (C) The extent, if any, to which the Joint Staff, the 
     combatant commands, and their subordinate service component 
     commands have duplicative staff functions and services that 
     could be shared, consolidated, eliminated, or otherwise 
     streamlined with--
       (i) the Joint Staff performing oversight and execution;
       (ii) the staff of the combatant commands performing only 
     staff functions and services specific to the combatant 
     command concerned; and
       (iii) the staff of the service component commands of the 
     combatant commands performing only staff functions and 
     services specific to the service component command concerned.
       (D) The extent, if any, to which reductions in military and 
     civilian end-strength in management or operational 
     headquarters could be used to create, build, or fill 
     shortages in force structure for operational units.
       (E) The extent, if any, to which revisions are required to 
     the Defense Officers Personnel Management Act, including 
     requirements for officers to serve in joint billets, the 
     number of qualifying billets, the rank structure in the joint 
     billets, and the joint qualification requirement for officers 
     to be promoted while serving for extensive periods in 
     critical positions such as program managers of major defense 
     acquisition programs, and officers in units of component 
     forces supporting joint commands, in order to achieve 
     efficiencies, provide promotion fairness and equity, and 
     obtain effective governance in the management of the 
     Department of Defense.
       (F) The structure and staffing of the Joint Staff, and the 
     number, structure, and staffing of the combatant commands and 
     their subordinate service component commands, including, in 
     particular--
       (i) whether or not the staff organization of each such 
     entity has documented and periodically validated requirements 
     for such entity;
       (ii) whether or not there are an appropriate number of 
     combatant commands relative to the requirements of the 
     National Security Strategy, the Quadrennial Defense Review, 
     and the National Military Strategy; and
       (iii) whether or not opportunities exist to consolidate 
     staff functions and services common to the Joint Staff and 
     the service component commands into a single staff 
     organization that provides the required functions, services, 
     capabilities, and capacities to the Chairman of the Joint 
     Chiefs of Staff and supported combatant commanders, and if 
     so--

       (I) where in the organizational structure such staff 
     functions, services, capabilities, and capacities would be 
     established; and
       (II) whether or not the military departments could execute 
     such staff functions, services, capabilities, and capacities 
     while executing their requirements to organize, train, and 
     equip the Armed Forces.

       (G) The statutory and regulatory authority of the combatant 
     commands to establish subordinate joint commands or 
     headquarters, including joint task forces, led by a general 
     or flag officer, and the extent, if any, to which the 
     combatant commands have used such authority--
       (i) to establish temporary or permanent subordinate joint 
     commands or headquarters, including joint task forces, led by 
     general or flag officers;
       (ii) to disestablish temporary or permanent subordinate 
     joint commands or headquarters, including joint task forces, 
     led by general or flag officers;
       (iii) to increase requirements for general and flag 
     officers in the joint pool which are exempt from the end 
     strength limitations otherwise applicable to general and flag 
     officers in the Armed Forces;
       (iv) to participate in the management of joint officer 
     qualification in order to ensure the efficient and effective 
     quality and quantity of officers needed to staff headquarters 
     functions and services and return to the services officers 
     with required professional experience and skills necessary to 
     remain

[[Page S3478]]

     competitive for increased responsibility and authority 
     through subsequent assignment or promotion, including by 
     identifying--

       (I) circumstances, if any, in which officers spend a 
     disproportionate amount of time in their careers to attain 
     joint officer qualifications with corresponding loss of 
     opportunities to develop in the service-specific assignments 
     needed to gain the increased proficiency and experience to 
     qualify for service and command assignments; and
       (II) circumstances, if any, in which the military 
     departments detail officers to joint headquarters staffs in 
     order to maximize the number of officers receiving joint duty 
     credit with a focus on the quantity, instead of the quality, 
     of officers achieving joint duty credit;

       (v) to establish commanders' strategic planning groups, 
     advisory groups, or similar parallel personal staff entities 
     that could risk isolating function and staff processes, 
     including an assessment of the justification used to 
     establish such personal staff organizations and their impact 
     on the effectiveness and efficiency of organizational staff 
     functions, services, capabilities, and capacities; and
       (vi) to ensure the identification and management of 
     officers serving or having served in units in subordinate 
     service component or joint commands during combat operations 
     and did not receive joint credit for such service.
       (3) Consultation.--The Secretary shall, to the extent 
     practicable and as the Secretary considers appropriate, 
     conduct the review required by paragraph (1) in consultation 
     with such experts on matters covered by the review who are 
     independent of the Department of Defense.
       (4) Report.--Not later than March 1, 2016, the Secretary 
     shall submit to the congressional defense committees a report 
     setting forth the results of the review required by paragraph 
     (1).
       (b) Plan on Reduction in Amounts Used for Administration in 
     Fiscal Years 2016 Through 2019.--
       (1) In general.--Not later than January 31, 2016, the 
     Secretary of Defense shall submit to the congressional 
     defense committees, and implement, a plan designed to ensure 
     that the amount used by the Department of Defense for 
     administration from amounts authorized to be appropriated for 
     a fiscal year for operation and maintenance shall be as 
     follows:
       (A) In fiscal year 2016, an amount that is 7.5 percent less 
     than the amount authorized to be appropriated for fiscal year 
     2015 for operation and maintenance, Defense-wide, and 
     available for administration (in this paragraph referred to 
     as the ``fiscal year 2015 administration amount'').
       (B) In fiscal year 2017, an amount that is 15 percent less 
     than the fiscal year 2015 administration amount.
       (C) In fiscal year 2018, an amount that is 22.5 percent 
     less than the fiscal year 2015 administration amount.
       (D) In fiscal year 2019, an amount that is 30 percent less 
     than the fiscal year 2015 administration amount.
       (2) Achievement of reductions.--As part of meeting the 
     requirements in paragraph (1), the plan shall provide for 
     reductions in personnel (including military and civilian 
     personnel of the Department of Defense and contract personnel 
     in support of the Department) in the Office of the Secretary 
     of Defense, the secretariats and military staffs of the 
     military departments, the staffs of the Defense Agencies, the 
     staffs of the Joint Staff, the staffs of the combatant 
     commands, and the staffs of their subordinate service 
     component commands.
       (3) Exclusion.--The plan may not meet the requirements in 
     paragraph (1) through reductions in funding for 
     administration for the following:
       (A) The United States Special Operations Command.
       (B) The Department of Defense Education Activity.
       (C) Any classified program.
       (D) Any program relating to sexual assault prevention and 
     response.
       (c) Comptroller General of the United States Reports.--Not 
     later than 90 days after the end of each of fiscal years 
     2016, 2017, 2018, and 2019, the Comptroller General of the 
     United States shall submit to the congressional defense 
     committees a report setting forth the assessment of the 
     Comptroller General of the extent to which the Department of 
     Defense met the applicable requirement in subsection (b)(1) 
     during such fiscal year.
       (d) Limitation on Availability of Funds for Contract 
     Personnel Support for OSD.--In each of fiscal years 2017, 
     2018, 2019, and 2020, amounts authorized to be appropriated 
     for the Department of Defense and available for the Office of 
     the Secretary of Defense may not be obligated or expended for 
     contract personnel in support of the Office of the Secretary 
     of Defense until the Secretary of Defense certifies to the 
     congressional defense committees that the applicable 
     requirement in subsection (b)(1) was met during the preceding 
     fiscal year.

     SEC. 352. ADOPTION OF RETIRED MILITARY WORKING DOGS.

       (a) Transfer for Adoption.--Subsection (f) of section 2583 
     of title 10, United States Code, is amended in the matter 
     preceding paragraph (1) by striking ``may transfer'' and 
     inserting ``shall transfer''.
       (b) Preference in Adoption for Former Handlers.--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) Preference in Adoption of Retired Military Working 
     Dogs for Former Handlers.--(1) In providing for the adoption 
     under this section of a retired military working dog 
     described in paragraph (1) or (3) of subsection (a), the 
     Secretary of the military department concerned shall accord a 
     preference to the former handler of the dog unless the 
     Secretary determines that adoption of the dog by the former 
     handler would not be in the best interests of the dog.
       ``(2) In the case of a dog covered by paragraph (1) with 
     more than one former handler seeking adoption of the dog at 
     the time of adoption, the Secretary shall provide for the 
     adoption of the dog by such former handler whose adoption of 
     the dog will best serve the interests of the dog and such 
     former handlers. The Secretary shall make any determination 
     required by this paragraph with respect to a dog following 
     consultation with the kennel master of the unit at which the 
     dog was last located before adoption under this section.
       ``(3) Nothing in this subsection shall be construed as 
     altering, revising, or overriding any policy of a military 
     department for the adoption of military working dogs by law 
     enforcement agencies before the end of the dogs' useful 
     lives.''.

     SEC. 353. MODIFICATION OF REQUIRED REVIEW OF PROJECTS 
                   RELATING TO POTENTIAL OBSTRUCTIONS TO AVIATION.

       Section 358 of the Ike Skelton National Defense 
     Authorization Act for Fiscal Year 2011 (Public Law 111-383; 
     124 Stat. 4200; 49 U.S.C. 44718 note) is amended--
       (1) in subsection (c)--
       (A) in paragraph (3), by striking ``from State and local 
     officials or the developer of a renewable energy development 
     or other energy project'' and inserting ``from a State 
     government, an Indian tribal government, a local government, 
     a landowner, or the developer of an energy project''; and
       (B) in paragraph (4), by striking ``readiness, and'' and 
     all that follows through the period at the end and inserting 
     ``readiness and to clearly communicate actions being taken by 
     the Department of Defense to the party requesting an early 
     project review under this section.'';
       (2) in subsection (d)(2)(B), by striking ``as high, medium, 
     or low''; and
       (3) in subsection (j), by adding at the end the following 
     new paragraph:
       ``(4) The term `landowner' means a person or other legal 
     entity that owns a fee interest in real property on which a 
     proposed energy project is planned to be located.''.

     SEC. 354. PILOT PROGRAM ON INTENSIVE INSTRUCTION IN CERTAIN 
                   ASIAN LANGUAGES.

       (a) Pilot Program Authorized.--The Secretary of Defense 
     may, in consultation with the National Security Education 
     Board, carry out a pilot program to assess the feasibility 
     and advisability of providing scholarships in accordance with 
     the David L. Boren National Security Education Act of 1991 
     (50 U.S.C. 1901 et seq.) to individuals otherwise eligible 
     for scholarships under that Act for intensive language 
     instruction in a covered Asian language.
       (b) Covered Asian Language.--For purposes of this section, 
     a covered Asian language is any of the five Asian languages 
     that would be treated as a language in which deficiencies 
     exist for purposes of section 802(a)(1)(A) of the David L. 
     Boren National Security Education Act of 1991 (50 U.S.C. 
     1902(a)(2)(A)) if the National Security Education Board could 
     treat an additional five Asian languages as a language in 
     which such deficiencies exist.
       (c) Use of Scholarships.--Notwithstanding any provision of 
     the David L. Boren National Security Education Act of 1991, a 
     scholarship awarded pursuant to the pilot program may be used 
     for intensive language instruction in--
       (1) the United States; or
       (2) a country in which the covered Asian language concerned 
     is spoken by a significant portion of the population (as 
     determined by the Secretary for purposes of the pilot 
     program).
       (d) National Security Education Board Defined.--In this 
     section, the term ``National Security Education Board'' means 
     the National Security Education Board established pursuant to 
     section 803 of the David L. Boren National Security Education 
     Act of 1991 (50 U.S.C. 1903).
       (e) Termination.--No scholarship may be awarded under the 
     pilot program after the date that is five years after the 
     date on which the pilot program is established.

              TITLE IV--MILITARY PERSONNEL AUTHORIZATIONS

                       Subtitle A--Active Forces

     SEC. 401. END STRENGTHS FOR ACTIVE FORCES.

       The Armed Forces are authorized strengths for active duty 
     personnel as of September 30, 2016, as follows:
       (1) The Army, 475,000.
       (2) The Navy, 329,200.
       (3) The Marine Corps, 184,000.
       (4) The Air Force, 317,000.

     SEC. 402. ENHANCEMENT OF AUTHORITY FOR MANAGEMENT OF END 
                   STRENGTHS FOR MILITARY PERSONNEL.

       (a) Repeal of Specification of Permanent End Strengths to 
     Support Two Major Regional Contingencies.--
       (1) Repeal.--Section 691 of title 10, United States Code, 
     is repealed.

[[Page S3479]]

       (2) Clerical amendment.--The table of sections at the 
     beginning of chapter 39 of such title is amended by striking 
     the item relating to section 691.
       (b) Enhanced Authority for End Strength Management.--
       (1) Secretary of defense authority.--Subsection (f) of 
     section 115 of title 10, United States Code, is amended by 
     striking ``increase'' each place it appears and inserting 
     ``vary''.
       (2) Service secretary authority.--Subsection (g) of such 
     section is amended--
       (A) in paragraph (1), by striking ``increase'' each place 
     it appears and inserting ``vary''; and
       (B) in paragraph (2), by striking ``increase'' each place 
     it appears and inserting ``variance''.

                       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, 2016, as follows:
       (1) The Army National Guard of the United States, 342,000.
       (2) The Army Reserve, 198,000.
       (3) The Navy Reserve, 57,400.
       (4) The Marine Corps Reserve, 38,900.
       (5) The Air National Guard of the United States, 105,500.
       (6) The Air Force Reserve, 69,200.
       (7) The Coast Guard Reserve, 7,000.
       (b) End Strength Reductions.--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.
       (c) End Strength Increases.--Whenever units or individual 
     members of the Selected Reserve of any reserve component 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.

       (a) Findings.--The Senate makes the following findings:
       (1) Several States routinely recruit and retain members of 
     the Army National Guard of the United States in excess of 
     State authorizations to offset States that do not recruit to 
     State authorizations.
       (2) The States that routinely recruit and retain members of 
     the Army National Guard of the United States in excess of 
     authorizations do not receive any extra full-time operational 
     support duty personnel to support excess members.
       (b) Sense of Senate.--It is the sense of the Senate that 
     the National Guard Bureau should account for States that 
     routinely recruit and retain members in excess of State 
     authorizations when allocating full-time operational support 
     duty personnel.
       (c) End Strengths.--Within the end strengths prescribed in 
     section 411(a), the reserve components of the Armed Forces 
     are authorized, as of September 30, 2016, 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, 30,770.
       (2) The Army Reserve, 16,261.
       (3) The Navy Reserve, 9,934.
       (4) The Marine Corps Reserve, 2,260.
       (5) The Air National Guard of the United States, 14,748.
       (6) The Air Force Reserve, 3,032.
       (d) Allocation Among States.--In allocating Reserves on 
     full-time duty in the Army National Guard of the United 
     States authorized by subsection (c)(1) among the States, the 
     Chief of the National Guard Bureau shall take into account 
     the actual number of members of the Army National Guard of 
     the United States serving in each State as of September 30 
     each year.

     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 2016 for the reserve 
     components of the Army and the Air Force (notwithstanding 
     section 129 of title 10, United States Code) shall be the 
     following:
       (1) For the Army National Guard of the United States, 
     26,099.
       (2) For the Army Reserve, 7,395.
       (3) For the Air National Guard of the United States, 
     22,104.
       (4) For the Air Force Reserve, 9,814.

     SEC. 414. FISCAL YEAR 2016 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, 2016, 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, 
     2016, 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, 2016, 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 2016, 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.

     SEC. 416. CHIEF OF THE NATIONAL GUARD BUREAU AUTHORITY TO 
                   INCREASE CERTAIN END STRENGTHS APPLICABLE TO 
                   THE ARMY NATIONAL GUARD.

       (a) Authority.--Subject to subsection (b), the Chief of the 
     National Guard Bureau may increase each of the end strengths 
     for fiscal year 2016 applicable to the Army National Guard as 
     follows:
       (1) The end strength for Selected Reserve personnel of the 
     Army National Guard of the United States in section 411(a)(1) 
     by up to 3,000 members in addition to the number specified in 
     section 411(a)(1).
       (2) The end strength for Reserves serving on full-time duty 
     for the purpose of organizing, administering, recruiting, 
     instructing, or training for the Army National Guard of the 
     United States specified in section 412(1) by up to 615 
     Reserves in addition to the number specified in section 
     412(1).
       (3) The end strength for military technicians (dual status) 
     for the Army National Guard of the United States specified in 
     section 413(1) by up to 1,111 technicians in addition to the 
     number specified in section 413(1).
       (b) Limitation.--The Chief of the National Guard Bureau may 
     increase an end strength using the authority in subsection 
     (a) only if such increase is paid for out of funds 
     appropriated for fiscal year 2016 for Operation and 
     Maintenance, Army National Guard.

              Subtitle C--Authorization of Appropriations

     SEC. 421. MILITARY PERSONNEL.

       (a) Authorization of Appropriations.--Funds are hereby 
     authorized to be appropriated for fiscal year 2016 for the 
     use of the Armed Forces and other activities and agencies of 
     the Department of Defense for expenses, not otherwise 
     provided for, for military personnel, as specified in the 
     funding table in section 4401.
       (b) Construction of Authorization.--The authorization of 
     appropriations in subsection (a) supersedes any other 
     authorization of appropriations (definite or indefinite) for 
     such purpose for fiscal year 2016.

                   TITLE V--MILITARY PERSONNEL POLICY

                  Subtitle A--Officer Personnel Policy

     SEC. 501. AUTHORITY OF PROMOTION BOARDS TO RECOMMEND OFFICERS 
                   OF PARTICULAR MERIT BE PLACED AT THE TOP OF THE 
                   PROMOTION LIST.

       (a) Authority of Promotion Boards To Recommend Officers of 
     Particular Merit Be Placed at Top of Promotion List.--Section 
     616 of title 10, United States Code, is amended by adding at 
     the end the following new subsection:
       ``(g)(1) In selecting the officers to be recommended for 
     promotion, a selection board may, when authorized by the 
     Secretary of the military department concerned, recommend 
     officers of particular merit, from among those officers 
     selected for promotion, to be placed at the top of the 
     promotion list promulgated by the Secretary under section 
     624(a)(1) of this title.
       ``(2) The determination whether an officer is an officer of 
     particular merit for purposes of this subsection shall be 
     made in accordance with criteria prescribed by the Secretary 
     of the military department concerned for such purposes.
       ``(3) The number of such officers placed at the top of the 
     promotion list may not exceed the number equal to 10 percent 
     of the maximum number of officers that the board is 
     authorized to recommend for promotion in such competitive 
     category. If the number determined under this subsection is 
     less than one, the board may recommend one such officer.
       ``(4) No officer may be recommended to be placed at the top 
     of the promotion list unless the officer receives the 
     recommendation of at least three-quarters of the members of a 
     board for such placement.
       ``(5) For the officers recommended to be placed at the top 
     of the promotion list, the board shall recommend the order in 
     which these officers should be promoted.''.
       (b) Officers of Particular Merit Appearing at Top of 
     Promotion List.--Section

[[Page S3480]]

     624(a)(1) of such title is amended by inserting ``, except 
     such officers of particular merit who were approved by the 
     President and recommended by the board to be placed at the 
     top of the promotion list under section 616(g) of this title 
     as these officers shall be placed at the top of the promotion 
     list in the order recommended by the board'' after ``officers 
     on the active-duty list''.

     SEC. 502. MINIMUM GRADES FOR CERTAIN CORPS AND RELATED 
                   POSITIONS IN THE ARMY, NAVY, AND AIR FORCE.

       (a) Army.--
       (1) Chief of legislative liaison.--Section 3023(a) of title 
     10, United States Code, is amended in the second sentence by 
     striking ``the grade of major general'' and inserting ``a 
     grade above the grade of colonel''.
       (2) Assistant surgeon general.--Section 3039(b) of such 
     title is amended by striking the last sentence and inserting 
     the following new sentence: ``An officer appointed to that 
     position shall be an officer in a grade above the grade of 
     colonel.''.
       (3) Chief of the nurse corps.--Section 3069(b) of such 
     title is amended by striking ``whose regular grade'' and all 
     that follows through ``major general.'' and inserting ``. An 
     officer appointed to that position shall be an officer in a 
     grade above the grade of colonel.''.
       (4) Chief of the veterinary corps.--Section 3084 of such 
     title is amended by striking the last sentence and inserting 
     the following new sentence: ``An officer appointed to that 
     position shall be an officer in a grade above the grade of 
     lieutenant colonel.''.
       (b) Navy.--
       (1) Chief of legislative affairs.--Section 5027(a) of title 
     10, United States Code, is amended by striking ``the grade of 
     rear admiral'' and inserting ``a grade above the grade of 
     captain''.
       (2) Chief of the dental corps.--Section 5138 of such title 
     is amended--
       (A) by striking subsections (a) and (b) and inserting the 
     following new subsection (a):
       ``(a) There is a Chief of the Dental Corps in the 
     Department of the Navy. An officer assigned to that position 
     shall be an officer in a grade above the grade of captain.''; 
     and
       (B) by redesignating subsections (c) and (d) as subsections 
     (b) and (c), respectively.
       (3) Directors of medical corps.--Section 5150(c) of such 
     title is amended--
       (A) in the first sentence, by striking ``for promotion'' 
     and all that follows through the end of the sentence and 
     inserting a period; and
       (B) by inserting after the first sentence the following new 
     sentence: ``An officer so selected shall be an officer in a 
     grade above the grade of captain.''.
       (c) Air Force.--
       (1) Chief of legislative liaison.--Section 8023(a) of title 
     10, United States Code, is amended in the second sentence by 
     striking ``the grade of major general'' and inserting ``a 
     grade above the grade of colonel''.
       (2) Chief of the nurse corps.--Section 8069(b) of such 
     title is amended by striking ``whose regular grade'' and all 
     that follows through ``major general.'' and inserting ``. An 
     officer appointed to that position shall be an officer in a 
     grade above the grade of colonel.''.
       (3) Assistant surgeon general for dental services.--Section 
     8081 of such title is amended by striking the second sentence 
     and inserting the following new sentence: ``An officer 
     appointed to that position shall be an officer in a grade 
     above the grade of colonel.''.
       (d) Transition.--In the case of an officer who on the date 
     of the enactment of this Act is serving in a position that is 
     covered by an amendment made by this section, the continued 
     service of that officer in such position after the date of 
     the enactment of this Act shall not be affected by that 
     amendment.

     SEC. 503. ENHANCEMENT OF MILITARY PERSONNEL AUTHORITIES IN 
                   CONNECTION WITH THE DEFENSE ACQUISITION 
                   WORKFORCE.

       (a) Inclusion of Acquisition Matters Within Joint Matters 
     for Officer Management.--
       (1) Joint matters.--Subsection (a)(1) of section 688 of 
     title 10, United States Code, is amended--
       (A) in subparagraph (D), by striking ``or'' at the end;
       (B) in subparagraph (E), by striking the period at the end 
     and inserting ``; or''; and
       (C) by adding at the end the following new subparagraph:
       ``(E) acquisition addressed by military personnel acting 
     under chapter 87 of this title.''.
       (2) Joint duty assignment.--Subsection (b)(1)(A) of such 
     section is amended by striking ``limited to assignments in 
     which'' and all that follows and inserting ``limited to--
       ``(i) assignments in which the officer gains significant 
     experience in joint matters; and
       ``(ii) assignments pursuant to chapter 87 of this title; 
     and''.
       (b) Requirements for Military Personnel in the Acquisition 
     Field.--
       (1) Consultation of service chiefs in policies and 
     guidance.--Subsection (a) of section 1722a of title 10, 
     United States Code, is amended by inserting after ``such 
     military department)'' the following: ``, in consultation 
     with the Chief of Staff of the Army, the Chief of Naval 
     Operations, the Chief of Staff of the Air Force, and the 
     Commandant of the Marine Corps (with respect to the armed 
     force under the jurisdiction of each),''.
       (2) Enhanced career paths for personnel.--Subsection (b) of 
     such section is amended--
       (A) in paragraph (1), by inserting ``single-tracked'' 
     before ``career path'';
       (B) by redesignating paragraphs (2) and (3) as paragraphs 
     (3) and (4), respectively; and
       (C) by inserting after paragraph (1) the following new 
     paragraph (2):
       ``(2) A dual-tracked career path that attracts the highest 
     quality officers and enlisted personnel and allows them to 
     gain experience in, and receive credit for, a primary career 
     in combat arms and a functional secondary career in the 
     acquisition field in order to more closely align the military 
     operational requirements and acquisition workforces of each 
     armed force.''.
       (c) Joint Professional Military Education.--
       (1) Inclusion of business and commercial training in joint 
     professional military education.--Subsection (a) of section 
     2151 of title 10, United States Code, is amended--
       (A) by inserting ``(1)'' before ``Joint professional 
     military education''; and
       (B) by striking the second sentence and inserting the 
     following new paragraphs:
       ``(2) The subject matter to be covered by joint 
     professional military education shall include at least the 
     following:
       ``(A) National Military Strategy.
       ``(B) Joint planning at all levels of war.
       ``(C) Joint doctrine.
       ``(D) Joint command and control.
       ``(E) Joint force and joint requirements development.
       ``(F) Operational contract support.
       ``(3) In lieu of the subject matters covered by paragraph 
     (2), or in supplement to one or more of such matters, the 
     subject matter to be covered by joint professional military 
     education may include subjects addressed in training programs 
     under section 2013(a) of this title by, in, or through 
     organizations described in paragraph (2)(D) of that 
     section.''.
       (2) Senior level service schools.--Subsection (b)(1) of 
     such section is amended by adding at the end the following 
     new subparagraph:
       ``(E) A training program section 2013(a) of this title by, 
     in, or through an organization described in paragraph (2)(D) 
     of that section.''.
       (3) Three-phase approach.--Section 2154(a)(2) of such title 
     is amended--
       (A) in the matter preceding subparagraph (A), by striking 
     ``in residence at'';
       (B) by striking subparagraph (A) and inserting the 
     following new subparagraph (A):
       ``(A) in residence at the Joint Forces Staff College;''; 
     and
       (C) in subparagraph (B), by striking ``a senior level 
     service school'' and inserting ``in residence at a senior 
     level service school, or by, in, or though a senior level 
     service school described in section 2151(b)(1)(E) of this 
     title,''.
       (4) Joint professional military education phase ii.--
     Section 2155 of such title is amended--
       (A) in subsection (b)--
       (i) in the subsection caption, by inserting ``for Joint 
     Military Subjects'' after ``Phase II Requirements''; and
       (ii) by inserting ``described in section 2151(a)(2) of this 
     title'' after ``joint professional military education'';
       (B) in subsection (c)--
       (i) in the subsection caption, by inserting ``for Joint 
     Military Subjects'' after ``Curriculum Content'';
       (ii) by striking ``section 2151(a)'' and inserting 
     ``section 2151(a)(2)''; and
       (iii) by inserting ``described in such section'' after 
     ``joint professional military education'';
       (C) by redesignating subsection (d) as subsection (e);
       (D) by inserting after subsection (c) the following new 
     subsection (d):
       ``(d) Curriculum Content for Business and Commercial 
     Training.--The curriculum for Phase II joint professional 
     military education described in section 2151(a)(3) of this 
     title shall include such matters as the Secretary shall 
     specify in connection with training programs described in 
     that section in order to satisfy requirements for successful 
     performance in the acquisition or acquisition-related 
     field.''; and
       (E) in subsection (e), as redesignated by subparagraph (C), 
     by inserting ``(other than a service school described in 
     section 2151(b)(1)(E) of this title)'' after ``senior level 
     service school''.
       (d) Acquisition-related Functions of Service Chiefs.--
     Section 2547 of title 10, United States Code, is amended--
       (1) in subsection (b), by striking ``this subsection'' the 
     first place it appears and inserting ``subsection (a)'';
       (2) by redesignating subsection (c) as subsection (d); and
       (3) by inserting after subsection (b) the following new 
     subsection (c):
       ``(c) Annual Report on Promotion Rates for Officers in 
     Acquisition Positions.--(1) Not later than January 1 each 
     year, the Chief of Staff of the Army, the Chief of Naval 
     Operations, the Chief of Staff of the Air Force, and the 
     Commandant of the Marine Corps shall each submit to Congress 
     a report on the promotion rates during the preceding fiscal 
     year of officers who are serving in, or have served in, 
     positions covered by chapter 87 of this title, and officers 
     who have been certified under that chapter, in the grades 
     specified in paragraph (2). If promotion rates for any such 
     grade of officers failed to meet objectives for the fiscal 
     year concerned for promotion rates for such grade, the chief 
     of the armed force concerned shall include in the report for 
     such fiscal year information on such failure and on the 
     actions taken or to be taken by such chief to prevent further 
     such failures.

[[Page S3481]]

       ``(2) The grades specified in this paragraph are as 
     follows:
       ``(A) The grade of colonel (or captain, in the case of the 
     Navy).
       ``(B) The grade of lieutenant colonel (or commander, in the 
     case of the Navy).
       ``(C) The grade of major (or lieutenant commander, in the 
     case of the Navy).''.

     SEC. 504. ENHANCED FLEXIBILITY FOR DETERMINATION OF OFFICERS 
                   TO CONTINUE ON ACTIVE DUTY AND FOR SELECTIVE 
                   EARLY RETIREMENT AND EARLY DISCHARGE.

       Section 638a(d)(2) of title 10, United States Code, is 
     amended by striking ``officers considered--'' and all that 
     follows and inserting ``officers considered.''.

     SEC. 505. AUTHORITY TO DEFER UNTIL AGE 68 MANDATORY 
                   RETIREMENT FOR AGE OF A GENERAL OR FLAG OFFICER 
                   SERVING AS CHIEF OR DEPUTY CHIEF OF CHAPLAINS 
                   OF THE ARMY, NAVY, OR AIR FORCE.

       (a) Authority.--Section 1253 of title 10, United States 
     Code, is amended by adding at the end the following new 
     subsection:
       ``(c) Exception for Chiefs of Chaplains and Deputy Chiefs 
     of Chaplains.--The Secretary of the military department 
     concerned may defer the retirement under subsection (a) of an 
     officer serving in a general or flag officer grade who is the 
     Chief of Chaplains or Deputy Chief of Chaplains of that 
     officer's armed force. 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.''.
       (b) Conforming Amendments.--
       (1) Heading.--The heading of such section is amended by 
     striking ``exception'' and inserting ``exceptions''.
       (2) Table of sections.--The table of sections at the 
     beginning of chapter 63 of such title is amended in the item 
     relating to section 1253 by striking ``exception'' and 
     inserting ``exceptions''.

     SEC. 506. REINSTATEMENT OF ENHANCED AUTHORITY FOR SELECTIVE 
                   EARLY DISCHARGE OF WARRANT OFFICERS.

       Section 580a of title 10, United States Code, is amended--
       (1) in subsection (a), by striking ``November 30, 1993, and 
     ending on October 1, 1999'' and inserting ``October 1, 2015, 
     and ending on October 1, 2019''; and
       (2) in subsection (c)--
       (A) by striking paragraph (3); and
       (B) by redesignating paragraphs (4) and (5) as paragraphs 
     (3) and (4), respectively.

     SEC. 507. AUTHORITY TO CONDUCT WARRANT OFFICER RETIRED GRADE 
                   DETERMINATIONS.

       Section 1371 of title 10, United States Code, is amended--
       (1) by inserting ``highest'' after ``in the''; and
       (2) by striking ``that he held on the day before the date 
     of his retirement, or in any higher warrant officer grade''.

                Subtitle B--Reserve Component Management

     SEC. 511. AUTHORITY TO DESIGNATE CERTAIN RESERVE OFFICERS AS 
                   NOT TO BE CONSIDERED FOR SELECTION FOR 
                   PROMOTION.

       Section 14301 of title 10, United States Code, is amended 
     by adding at the end the following new subsection:
       ``(j) Certain Officers Not To Be Considered for Selection 
     for Promotion.--The Secretary of the military department 
     concerned may provide that an officer who is in an active 
     status, but is in a duty status in which the only points the 
     officer accrues under section 12732(a)(2) of this title are 
     pursuant to subparagraph (C)(i) of that section (relating to 
     membership in a reserve component), shall not be considered 
     for selection for promotion at any time the officer otherwise 
     would be so considered. Any such officer may remain on the 
     reserve active-status list.''.

     SEC. 512. CLARIFICATION OF PURPOSE OF RESERVE COMPONENT 
                   SPECIAL SELECTION BOARDS AS LIMITED TO 
                   CORRECTION OF ERROR AT A MANDATORY PROMOTION 
                   BOARD.

       Section 14502(b) of title 10, United States Code, is 
     amended--
       (1) in paragraph (1)--
       (A) in the matter preceding subparagraph (A), by striking 
     ``a selection board'' and inserting ``a mandatory promotion 
     board convened under section 14101(a) of this title''; and
       (B) in subparagraphs (A) and (B), by striking ``selection 
     board'' and inserting ``mandatory promotion board''; and
       (2) in the first sentence of paragraph (3), by striking 
     ``selection board'' and inserting ``mandatory promotion 
     board''.

     SEC. 513. RECONCILIATION OF CONTRADICTORY PROVISIONS RELATING 
                   TO CITIZENSHIP QUALIFICATIONS FOR ENLISTMENT IN 
                   THE RESERVE COMPONENTS OF THE ARMED FORCES.

       Section 12102(b) of title 10, United States Code, is 
     amended by striking paragraphs (1) and (2) and inserting the 
     following new paragraphs:
       ``(1) that person has met the citizenship or residency 
     requirements established in section 504(b)(1) of this title; 
     or
       ``(2) that person is authorized to enlist by the Secretary 
     concerned under section 504(b)(2) of this title.''.

     SEC. 514. AUTHORITY FOR CERTAIN AIR FORCE RESERVE COMPONENT 
                   PERSONNEL TO PROVIDE TRAINING AND INSTRUCTION 
                   REGARDING PILOT INSTRUCTOR TRAINING.

       (a) Authority.--
       (1) In general.--During fiscal year 2016, the Secretary of 
     the Air Force may authorize personnel described in paragraph 
     (2) to provide training and instruction regarding pilot 
     instructor training to the following:
       (A) Members of the Armed Forces on active duty.
       (B) Members of foreign military forces who are in the 
     United States.
       (2) Personnel.--The personnel described in this paragraph 
     are the following:
       (A) Members of the reserve components of the Air Force on 
     active Guard and Reserve duty (as that term is defined in 
     section 101(d) of title 10, United States Code) who are not 
     otherwise authorized to conduct the training described in 
     paragraph (1) due to the limitations in section 10216 of 
     title 10, United States Code.
       (B) Members of the Air Force who are military technicians 
     (dual status) who are not otherwise authorized to conduct the 
     training described in paragraph (1) due to the limitations in 
     section 328(b) of title 32, United States Code
       (3) Limitation.--The total number of personnel described in 
     paragraph (2) who may provide training and instruction under 
     the authority in paragraph (1) at any one time may not exceed 
     50.
       (4) Federal tort claims act.--Members of the uniformed 
     services described in paragraph (2) who provide training and 
     instruction pursuant to the authority in paragraph (1) shall 
     be covered by the Federal Tort Claims Act for purposes of any 
     claim arising from the employment of such individuals under 
     that authority.
       (b) Report.--Not later than 180 days after the date of the 
     enactment of this Act, the Secretary of the Air Force shall 
     submit to the Committees on Armed Services of the Senate and 
     the House of Representatives a report setting forth a plan to 
     eliminate pilot instructor shortages within the Air Force 
     using authorities available to the Secretary under current 
     law.

                Subtitle C--General Service Authorities

     SEC. 521. DUTY REQUIRED FOR ELIGIBILITY FOR PRESEPARATION 
                   COUNSELING FOR MEMBERS BEING DISCHARGED OR 
                   RELEASED FROM ACTIVE DUTY.

       (a) Requirement for 180 Continuous Days of Active Duty 
     Service for Eligibility.--Subparagraph (A) of section 
     1142(a)(4) of title 10, United States Code, is amended by 
     inserting ``continuous'' after ``first 180''.
       (b) Exclusion of Training From Periods of Active Duty.--
     Such section is further amended by adding at the end the 
     following new subparagraph:
       ``(C) For purposes of subparagraph (A), the term `active 
     duty' does not include full-time training duty, annual 
     training duty, and attendance, while in the active military 
     service, at a school designated as a service school by law or 
     by the Secretary of the military department concerned.''.

     SEC. 522. EXPANSION OF PILOT PROGRAMS ON CAREER FLEXIBILITY 
                   TO ENHANCE RETENTION OF MEMBERS OF THE ARMED 
                   FORCES.

       Section 533 of the Duncan Hunter National Defense 
     Authorization Act for Fiscal Year 2009 (10 U.S.C. prec. 701 
     note) is amended by striking subsections (b) and (c).

     SEC. 523. SENSE OF SENATE ON DEVELOPMENT OF GENDER-NEUTRAL 
                   OCCUPATIONAL STANDARDS FOR OCCUPATIONAL 
                   ASSIGNMENTS IN THE ARMED FORCES.

       (a) Finding.--The Senate remains interested in the 
     integration of women into the combat arms of the Armed Forces 
     and the development of gender-neutral occupational standards 
     for occupational assignments in the Armed Forces.
       (b) Sense of Senate.--It is the sense of the Senate that--
       (1) the development of gender-neutral occupational 
     standards is vital in determining the occupational 
     assignments of all members of the Armed Forces;
       (2) studies being conducted by the Armed Forces are 
     important to the development of these standards and should 
     incorporate the best scientific practices available; and
       (3) the Armed Forces should consider such studies on these 
     standards carefully in order to ensure that--
       (A) such studies do not result in unnecessary barriers to 
     service in the Armed Forces; and
       (B) all decisions on occupational assignments in the Armed 
     Forces--
       (i) are based on an objective analysis of the tasks 
     required to perform the occupational assignment concerned; 
     and
       (ii) do not negatively impact the required combat 
     capabilities of the Armed Forces, including units whose 
     primary mission is to engage in direct combat at the tactical 
     level.

               Subtitle D--Member Education and Training

                 PART I--EDUCATIONAL ASSISTANCE REFORM

     SEC. 531. LIMITATION ON TUITION ASSISTANCE FOR OFF-DUTY 
                   TRAINING OR EDUCATION.

       Section 2007(a) of title 10, United States Code, is amended 
     by inserting ``, but only if the Secretary determines that 
     such education or training is likely to contribute to the 
     member's professional development'' after ``during the 
     member's off-duty periods''.

     SEC. 532. TERMINATION OF PROGRAM OF EDUCATIONAL ASSISTANCE 
                   FOR RESERVE COMPONENT MEMBERS SUPPORTING 
                   CONTINGENCY OPERATIONS AND OTHER OPERATIONS.

       (a) In General.--Chapter 1607 of title 10, United States 
     Code, is amended by adding at the end the following new 
     section:

[[Page S3482]]

     ``Sec. 16167. Sunset

       ``(a) Sunset.--The authority to provide educational 
     assistance under this chapter shall terminate on the date 
     that is four years after the date of the enactment of the 
     National Defense Authorization Act for Fiscal Year 2016.
       ``(b) Limitation on Provision of Assistance Pending 
     Sunset.--Notwithstanding any other provision of this chapter, 
     during the period beginning on the date of the enactment of 
     the National Defense Authorization Act for Fiscal Year 2016 
     and ending on the date that is four years after the date of 
     the enactment of that Act, educational assistance may be 
     provided under this chapter only to a member otherwise 
     eligible for educational assistance under this chapter who 
     received educational assistance under this chapter for a 
     course of study at an educational institution for the 
     enrollment period at the educational institution that 
     immediately preceded the date of the enactment of that 
     Act.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 1607 of such title is amended by adding 
     at the end the following new item:

``16167. Sunset.''.

     SEC. 533. REPORTS ON EDUCATIONAL LEVELS ATTAINED BY CERTAIN 
                   MEMBERS OF THE ARMED FORCES AT TIME OF 
                   SEPARATION FROM THE ARMED FORCES.

       (a) Annual Reports Required.--Each Secretary concerned 
     shall submit to Congress each year a report on the 
     educational levels attained by members of the Armed Forces 
     described in subsection (b) under the jurisdiction of such 
     Secretary who separated from the Armed Forces during the 
     preceding year.
       (b) Covered Members.--The members of the Armed Forces 
     described in this subsection are members of the Armed Forces 
     who transferred unused education benefits to family members 
     pursuant to section 3319 of title 38, United States Code, 
     while serving as members of the Armed Forces.
       (c) Secretary Concerned Defined.--In this section, the term 
     ``Secretary concerned'' has the meaning given that term in 
     section 101 of title 38, United States Code.

     SEC. 534. SENSE OF CONGRESS ON TRANSFERABILITY OF UNUSED 
                   EDUCATION BENEFITS TO FAMILY MEMBERS.

       (a) In General.--It is the sense of Congress that each 
     Secretary concerned should--
       (1) exercise the authority in section 3319(a) of title 38, 
     United States Code, relating to the transferability of unused 
     education benefits to family members, in a manner that 
     encourages the retention of individuals in the Armed Forces; 
     and
       (2) be more selective in permitting such transferability.
       (b) Definitions.--In this section, the terms ``Armed 
     Forces'' and ``Secretary concerned'' have the meaning given 
     such terms in section 101 of title 38, United States Code.

     SEC. 535. NO ENTITLEMENT TO UNEMPLOYMENT INSURANCE WHILE 
                   RECEIVING POST-9/11 EDUCATION ASSISTANCE.

       Section 8525(b) of title 5, United States Code, is 
     amended--
       (1) in paragraph (1), by striking ``or'' after the 
     semicolon;
       (2) in paragraph (2), by striking the period and inserting 
     ``; or''; and
       (3) by adding at the end the following new paragraph:
       ``(3) an educational assistance allowance under chapter 33 
     of title 38.''.

                         PART II--OTHER MATTERS

     SEC. 536. REPEAL OF STATUTORY SPECIFICATION OF MINIMUM 
                   DURATION OF IN-RESIDENT INSTRUCTION FOR COURSES 
                   OF INSTRUCTION OFFERED AS PART OF PHASE II 
                   JOINT PROFESSIONAL MILITARY EDUCATION.

       (a) Repeal of Statutory Requirement for In-resident 
     Instruction.--Section 2154(a)(2)(A) of title 10, United 
     States Code, is amended by striking ``taught in residence 
     at'' and inserting ``offered through''.
       (b) Repeal of Statutory Durational Minimum.--
       (1) Repeal.--Section 2156 of such title is repealed.
       (2) Clerical amendment.--The table of sections at the 
     beginning of chapter 107 of such title amended by striking 
     the item relating to section 2156.

     SEC. 537. QUALITY ASSURANCE OF CERTIFICATION PROGRAMS AND 
                   STANDARDS FOR PROFESSIONAL CREDENTIALS OBTAINED 
                   BY MEMBERS OF THE ARMED FORCES.

       Section 2015 of title 10, United States Code, as amended by 
     section 551 of the Carl Levin and Howard P. ``Buck'' McKeon 
     National Defense Authorization Act for Fiscal Year 2015 
     (Public Law 113-291; 128 Stat. 3376), is further amended--
       (1) by redesignating subsections (c) and (d) as subsections 
     (d) and (e), respectively; and
       (2) by inserting after subsection (b) the following new 
     subsection (c):
       ``(c) Quality Assurance of Certification Programs and 
     Standards.--(1) Commencing not later than three years after 
     the date of the enactment of the National Defense 
     Authorization Act for Fiscal Year 2016, each Secretary 
     concerned shall ensure that any credentialing program used in 
     connection with the program under subsection (a) is 
     accredited by an accreditation body that meets the 
     requirements specified in paragraph (2).
       ``(2) The requirements for accreditation bodies specified 
     in this paragraph are requirements that an accreditation 
     body--
       ``(A) be an independent body that has in place mechanisms 
     to ensure objectivity and impartiality in its accreditation 
     activities;
       ``(B) meet a recognized national or international standard 
     that directs its policy and procedures regarding 
     accreditation;
       ``(C) apply a recognized national or international 
     certification standard in making its accreditation decisions 
     regarding certification bodies and programs;
       ``(D) conduct on-site visits, as applicable, to verify the 
     documents and records submitted by credentialing bodies for 
     accreditation;
       ``(E) have in place policies and procedures to ensure due 
     process when addressing complaints and appeals regarding its 
     accreditation activities;
       ``(F) conduct regular training to ensure consistent and 
     reliable decisions among reviewers conducting accreditations; 
     and
       ``(G) meet such other criteria as the Secretary concerned 
     considers appropriate in order to ensure quality in its 
     accreditation activities.''.

     SEC. 538. SUPPORT FOR ATHLETIC PROGRAMS OF THE UNITED STATES 
                   MILITARY ACADEMY.

       (a) In General.--Chapter 403 of title 10, United States 
     Code, is amended by adding at the end the following new 
     section:

     ``Sec. 4362. Support of athletic and physical fitness 
       programs

       ``(a) Authority.--
       ``(1) Contracts and cooperative agreements.--The Secretary 
     of the Army may enter into contracts and cooperative 
     agreements with the Army West Point Athletic Association for 
     the purpose of supporting the athletic and physical fitness 
     programs of the Academy. Notwithstanding section 2304(k) of 
     this title, the Secretary may enter such contracts or 
     cooperative agreements on a sole source basis pursuant to 
     section 2304(c)(5) of this title. Notwithstanding chapter 63 
     of title 31, a cooperative agreement under this section may 
     be used to acquire property or services for the direct 
     benefit or use of the Academy.
       ``(2) Financial controls.--(A) Before entering into a 
     contract or cooperative agreement under paragraph (1), the 
     Secretary shall ensure that such contract or agreement 
     includes appropriate financial controls to account for 
     Academy and Association resources in accordance with accepted 
     accounting principles.
       ``(B) Any such contract or cooperative agreement shall 
     contain a provision that allows the Secretary, at the 
     Secretary's discretion, to review the financial accounts of 
     the Association to determine whether the operations of the 
     Association--
       ``(i) are consistent with the terms of the contract or 
     cooperative agreement; and
       ``(ii) will not compromise the integrity or appearance of 
     integrity of any program of the Department of the Army.
       ``(3) Leases.--Section 2667(h) of this title shall not 
     apply to any leases the Secretary may enter into with the 
     Association for the purpose of supporting the athletic and 
     physical fitness programs of the Academy.
       ``(b) Support Services.--
       ``(1) Authority.--To the extent required by a contract or 
     cooperative agreement under subsection (a), the Secretary may 
     provide support services to the Association while the 
     Association conducts its support activities at the Academy. 
     The Secretary may provide support services described in 
     paragraph (2) only if the Secretary determines that the 
     provision of such services is essential for the support of 
     the athletic and physical fitness programs of the Academy.
       ``(2) Support services defined.--(A) In this subsection, 
     the term `support services' includes utilities, office 
     furnishings and equipment, communications services, records 
     staging and archiving, audio and video support, and security 
     systems in conjunction with the leasing or licensing of 
     property.
       ``(B) Such term includes--
       ``(i) housing for Association personnel on United States 
     Army Garrison, West Point, New York; and
       ``(ii) enrollment of dependents of Association personnel in 
     elementary and secondary schools under the same criteria 
     applied to dependents of Federal employees under section 
     2164(a) of this title, except that educational services 
     provided pursuant to this clause shall be provided on a 
     reimbursable basis.
       ``(3) No liability of the united states.--Any such support 
     services may only be provided without any liability of the 
     United States to the Association.
       ``(c) Acceptance of Support.--
       ``(1) Support received from the association.--
     Notwithstanding section 1342 of title 31, the Secretary may 
     accept from the Association funds, supplies, and services for 
     the support of the athletic and physical fitness programs of 
     the Academy. For the purposes of this section, employees or 
     personnel of the Association may not be considered to be 
     employees of the United States.
       ``(2) Funds received from ncaa.--The Secretary may accept 
     funds from the National Collegiate Athletic Association to 
     support the athletic and physical fitness programs of the 
     Academy.
       ``(3) Limitation.--The Secretary shall ensure that 
     contributions under this subsection and expenditure of funds 
     pursuant to subsection (e) do not reflect unfavorably on

[[Page S3483]]

     the ability of the Department of the Army, any of its 
     employees, or any member of the armed forces to carry out any 
     responsibility or duty in a fair and objective manner, or 
     compromise the integrity or appearance of integrity of any 
     program of the Department of the Army, or any individual 
     involved in such a program.
       ``(d) Trademarks and Service Marks.--
       ``(1) Licensing, marketing, and sponsorship agreements.--An 
     agreement under subsection (a) may, consistent with section 
     2260 of this title (other than subsection (d) of such 
     section), authorize the Association to enter into licensing, 
     marketing, and sponsorship agreements relating to trademarks 
     and service marks identifying the Academy, subject to the 
     approval of the Secretary of the Army.
       ``(2) Limitations.--No licensing, marketing, or sponsorship 
     agreement may be entered into under paragraph (1) if--
       ``(A) such agreement would reflect unfavorably on the 
     ability of the Department of the Army, any of its employees, 
     or any member of the armed forces to carry out any 
     responsibility or duty in a fair and objective manner; or
       ``(B) the Secretary determines that the use of the 
     trademark or service mark would compromise the integrity or 
     appearance of integrity of any program of the Department of 
     the Army, or any individual involved in such a program.
       ``(e) Retention and Use of Funds.--
       ``(1) In general.--Any funds received by the Secretary 
     under this section other than money rentals received for 
     property leased pursuant to section 2667 of this title shall 
     be used by the Academy for one or more of the following 
     purposes:
       ``(A) To benefit participating cadets.
       ``(B) To enhance the ability of the Academy to compete 
     against other colleges and universities.
       ``(2) Availability of funds.--Funds described in paragraph 
     (1) shall remain available until expended.
       ``(f) Service on Association Board of Directors.--The 
     Association is a designated entity for which authorization 
     under sections 1033(a) and 1589(a) of this title may be 
     provided.
       ``(g) Conditions.--The authority provided in this section 
     with respect to the Association is available only so long as 
     the Association continues--
       ``(1) to qualify as a nonprofit organization under section 
     501(c)(3) of the Internal Revenue Code of 1986 and operates 
     in accordance with this section, the law of the State of New 
     York, and the constitution and bylaws of the Association; and
       ``(2) to operate exclusively to support the athletic and 
     physical fitness programs of the Academy.
       ``(h) Association Defined.--In this section, the term 
     `Association' means the Army West Point Athletic 
     Association.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 403 of such title is amended by adding 
     at the end the following new item:

``4362. Support of athletic and physical fitness programs.''.

     SEC. 539. ONLINE ACCESS TO THE HIGHER EDUCATION COMPONENT OF 
                   THE TRANSITION ASSISTANCE PROGRAM.

       (a) Notice to Program Participants of Availability of 
     Component Online Through the Department of Defense.--If a 
     member of the Armed Forces, veteran, or dependent requests a 
     certificate of eligibility from the Secretary of Veterans 
     Affairs to prove the eligibility of the member, veteran, or 
     dependent, as the case may be, for educational assistance 
     under chapter 33 of title 38, United States Code, the 
     Secretary shall notify the member, veteran, or dependent of 
     the availability of the higher education component of the 
     Transition Assistance Program (TAP) on the Transition GPS 
     Standalone Training Internet website of the Department of 
     Defense.
       (b) Availability of Component Online Through the Department 
     of Veterans Affairs.--
       (1) In general.--The Secretary of Defense shall, in 
     collaboration with the Secretary of Veterans Affairs, assess 
     the feasibility of--
       (A) providing access for veterans and dependents to the 
     higher education component of the Transition Assistance 
     Program on the eBenefits Internet website of the Department 
     of Veterans Affairs; and
       (B) tracking the completion of that component through that 
     Internet website.
       (2) Report to congress.--The Secretary of Defense shall 
     submit to Congress a report setting forth a description of 
     the cost and length of time required to provide access and 
     begin tracking completion of the higher education component 
     of the Transition Assistance Program as described in 
     paragraph (1).

                      Subtitle E--Military Justice

     SEC. 546. MODIFICATION OF RULE 304 OF THE MILITARY RULES OF 
                   EVIDENCE RELATING TO THE CORROBORATION OF A 
                   CONFESSION OR ADMISSION.

       Not later than 180 days after the date of the enactment of 
     this Act, Rule 304(c) of the Military Rules of Evidence shall 
     be modified as follows:
       (1) To provide that an admission or a confession of the 
     accused may be considered as evidence against the accused on 
     the question of guilt or innocence only if independent 
     evidence, either direct or circumstantial, has been admitted 
     into evidence which would tend to establish the 
     trustworthiness of the admission or confession.
       (2) To provide that not every element or fact contained in 
     the admission or confession must be independently proven for 
     the admission or confession to be admitted into evidence in 
     its entirety.
       (3) To strike the rule that if independent evidence raises 
     an inference of the truth of some but not all of the 
     essential facts admitted, the confession or admission may be 
     considered as evidence against the accused only with respect 
     to those essential facts stated in the confession or 
     admission that are corroborated by the independent evidence.
       (4) With respect to the quantum of evidence needed to 
     establish corroboration, to provide that the independent 
     evidence need raise only an inference of the truth of the 
     admission or confession.

     SEC. 547. MODIFICATION OF RULE 104 OF THE RULES FOR COURTS-
                   MARTIAL TO ESTABLISH CERTAIN PROHIBITIONS 
                   CONCERNING EVALUATIONS OF SPECIAL VICTIMS' 
                   COUNSEL.

       Not later than 180 days after the date of the enactment of 
     this Act, Rule 104(b) of the Rules for Courts-Martial shall 
     be modified to provide that the prohibitions concerning 
     evaluations established by that Rule shall apply to the 
     giving of a less favorable rating or evaluation to any member 
     of the Armed Forces serving as a Special Victims' Counsel 
     because of the zeal with which such counsel represented a 
     victim.

     SEC. 548. RIGHT OF VICTIMS OF OFFENSES UNDER THE UNIFORM CODE 
                   OF MILITARY JUSTICE TO TIMELY DISCLOSURE OF 
                   CERTAIN MATERIALS AND INFORMATION IN CONNECTION 
                   WITH PROSECUTION OF OFFENSES.

       Section 806b(a) of title 10, United States Code (article 
     6b(a) of the Uniform Code of Military Justice), is amended--
       (1) by redesignating paragraphs (3) through (8) as 
     paragraphs (4) through (9), respectively; and
       (2) by inserting after paragraph (2) the following new 
     paragraph (3):
       ``(3) The right to the timely disclosure by trial counsel 
     to the victim (or the Special Victims' Counsel of the victim 
     if the victim is so represented) of the following:
       ``(A) Any charges and specifications related to the 
     offense.
       ``(B) Any motions filed by trial counsel or defense counsel 
     in connection with the court-martial of the offense, unless 
     otherwise protected from disclosure.
       ``(C) All statements by the accused related to the offense.
       ``(D) Any statement by the victim in connection with the 
     offense that is in the possession of the government.
       ``(E) Any portions relating to the victim in any report of 
     an investigation of the offense that is in the possession of 
     the government.
       ``(F) In the event the staff judge advocate advises 
     pursuant to section 834 of this title (article 34) that any 
     charge or specification in connection with the offense not be 
     referred for trial, the advice making such recommendation, 
     with such advice to be so provided before the convening 
     authority acts on the advice.''.

     SEC. 549. ENFORCEMENT OF CERTAIN CRIME VICTIMS' RIGHTS BY THE 
                   COURT OF CRIMINAL APPEALS.

       Section 806b of title 10, United States Code (article 6b of 
     the Uniform Code of Military Justice), is amended--
       (1) by redesignating subsection (d) as subsection (e); and
       (2) by inserting after subsection (c) the following new 
     subsection (d):
       ``(d) Enforcement of Certain Rights by Court of Criminal 
     Appeals.--(1)(A) If the victim of an offense under this 
     chapter believes that a preliminary hearing ruling under 
     section 832 of this title (article 32), or a court-martial 
     ruling, violates the victim's rights afforded by a section 
     (article) or rule specified in paragraph (2), the victim may 
     file an interlocutory appeal of such ruling by petitioning 
     the Court of Criminal Appeals for an order to require the 
     judge advocate conducting such preliminary hearing, or the 
     court-martial, as the case may be, to comply with the section 
     (article) or rule, as applicable.
       ``(B) A victim of an offense under this chapter who is 
     subject to an order to submit to a deposition notwithstanding 
     the fact that the victim shall be available to testify at the 
     court-martial of the offense may file an interlocutory appeal 
     of such order by petitioning the Court of Criminal Appeals 
     for an order to quash such order.
       ``(C) The Court of Criminal Appeals shall provide a de novo 
     review of the question or questions raised by a petition 
     filed under this paragraph. A single judge or panel of judges 
     shall take up and decide the petition within 72 hours after 
     the petition is filed.
       ``(2) Paragraph (1)(A) applies with respect to the 
     protections afforded by the following:
       ``(A) This section (article).
       ``(B) Military Rule of Evidence 412, relating to the 
     admission of evidence regarding a victim's sexual background.
       ``(C) Military Rule of Evidence 513, relating to the 
     psychotherapist-patient privilege.
       ``(D) Military Rule of Evidence 514, relating to the victim 
     advocate-victim privilege.
       ``(E) Military Rule of Evidence 615, relating to the 
     exclusion of witnesses.
       ``(3) The proceedings of a preliminary hearing under 
     section 832 of this title (article 32), or a court-martial, 
     may not be stayed or subject to a continuance of more than 
     five days for purposes of enforcing this subsection. If the 
     Court of Criminal Appeals denies the relief sought, the 
     reasons for the denial shall be clearly stated on the record 
     in a written opinion.''.

[[Page S3484]]

     SEC. 550. RELEASE TO VICTIMS UPON REQUEST OF COMPLETE RECORD 
                   OF PROCEEDINGS AND TESTIMONY OF COURTS-MARTIAL 
                   IN CASES IN WHICH SENTENCES ADJUDGED COULD 
                   INCLUDE PUNITIVE DISCHARGE.

       (a) In General.--Section 854(e) of title 10, United States 
     Code (article 54(e) of the Uniform Code of Military Justice), 
     is amended--
       (1) by inserting ``(1)'' after ``(e)'';
       (2) in paragraph (1), as so designated, by inserting ``or 
     the victim requests such records'' before the period at the 
     end of the first sentence; and
       (3) by adding at the end the following new paragraphs:
       ``(2) In the case of a general or special court-martial 
     involving an offense (other than an offense covered by 
     paragraph (1)) for which the sentence as adjudged could 
     include punitive discharge from the armed forces, a copy of 
     all prepared records of the proceedings of the court-martial 
     shall be given to the victim of the offense if the victim 
     requests such records.
       ``(3) Records given to a victim under this subsection at 
     the request of the victim in a case where the court-martial 
     concerned resulted in the acquittal of the accused may 
     include restrictions on release or use of such records or 
     information in such records in order to protect the privacy 
     or other interests of the accused.''.
       (b) Effective Date.--The amendments made by subsection (a) 
     shall take effect on the date of the enactment of this Act, 
     and shall apply with respect to courts-martial first convened 
     on or after that date.

     SEC. 551. REPRESENTATION AND ASSISTANCE OF VICTIMS BY SPECIAL 
                   VICTIMS' COUNSEL IN QUESTIONING BY MILITARY 
                   CRIMINAL INVESTIGATORS.

       Section 1044e(f) of title 10, United States Code, is 
     amended by adding at the end the following new paragraph:
       ``(3)(A) In carrying out paragraph (1), a military criminal 
     investigator seeking to question an individual eligible for 
     the assistance of a Special Victims' Counsel under this 
     section shall inform the individual of the individual's right 
     to be represented by a Special Victims' Counsel in connection 
     with such questioning.
       ``(B) If an individual described in subparagraph (A) 
     requests representation by a Special Victims' Counsel in 
     connection with questioning described in that subparagraph--
       ``(i) a Special Victims' Counsel shall represent and assist 
     the individual during and in connection with such 
     questioning;
       ``(ii) the military criminal investigator shall contact and 
     question the individual only through the Special Victims' 
     Counsel representing the individual; and
       ``(iii) the military criminal investigation may not contact 
     or question the individual without the consent of such 
     Special Victims' Counsel.
       ``(C) Nothing in this paragraph confers any right on an 
     accused under investigation.
       ``(D) A violation of this paragraph shall not be a basis 
     for the suppression of any statement of an individual 
     described in subparagraph (A), or derivative evidence of such 
     a statement, in a proceeding against a person accused with 
     committing an offense against such individual.''.

     SEC. 552. AUTHORITY OF SPECIAL VICTIMS' COUNSEL TO PROVIDE 
                   LEGAL CONSULTATION AND ASSISTANCE IN CONNECTION 
                   WITH VARIOUS GOVERNMENT PROCEEDINGS.

       Section 1044e(b) of title 10, United States Code, is 
     amended--
       (1) by redesignating paragraph (9) as paragraph (10); and
       (2) by inserting after paragraph (8) the following new 
     paragraph (9):
       ``(9) Legal consultation and assistance in connection 
     with--
       ``(A) any complaint against the Government, including an 
     allegation under review by an inspector general and a 
     complaint regarding equal employment opportunities;
       ``(B) any request to the Government for information, 
     including a request under section 552a of title 5 (commonly 
     referred to as a 'Freedom of Information Act request'); and
       ``(C) any correspondence or other communications with 
     Congress.''.

     SEC. 553. ENHANCEMENT OF CONFIDENTIALITY OF RESTRICTED 
                   REPORTING OF SEXUAL ASSAULT IN THE MILITARY.

       (a) Preemption of State Law to Ensure Confidentiality of 
     Reporting.--Subsection (b) of section 1565b of title 10, 
     United States Code, is amended by adding at the end the 
     following new paragraph:
       ``(3) In the case of information disclosed pursuant to 
     paragraph (1), any State law or regulation that would require 
     an individual specified in paragraph (2) to disclose the 
     personally identifiable information of the adult victim or 
     alleged perpetrator of the sexual assault to a State or local 
     law enforcement agency shall not apply, except when reporting 
     is necessary to prevent or mitigate a serious and imminent 
     threat to the health or safety of an individual.''.
       (b) Clarification of Scope.--Paragraph (1) of such 
     subsection is amended by striking ``a dependent'' and 
     inserting ``an adult dependent''.
       (c) Definitions.--Such section is further amended by adding 
     at the end the following new subsection:
       ``(c) Definitions.--In this section:
       ``(1) Sexual assault.--The term `sexual assault' includes 
     the offenses of rape, sexual assault, forcible sodomy, 
     aggravated sexual contact, abusive sexual contact, and 
     attempts to commit such offenses, as punishable under 
     applicable Federal or State law.
       ``(2) State.--The term `State' includes the District of 
     Columbia, the Commonwealth of Puerto Rico, the Commonwealth 
     of the Northern Mariana Islands, and any territory or 
     possession of the United States.''.

     SEC. 554. ESTABLISHMENT OF OFFICE OF COMPLEX INVESTIGATIONS 
                   WITHIN THE NATIONAL GUARD BUREAU.

       (a) In General.--Chapter 1101 of title 10, United States 
     Code, is amended by adding at the end the following new 
     section:

     ``Sec. 10509. Office of Complex Investigations

       ``(a) In General.--There is in the National Guard Bureau an 
     Office of Complex Investigations (in this section referred to 
     as the `Office') under the authority, direction, and control 
     of the Chief of the National Guard Bureau.
       ``(b) Disposition and Functions.--The Office shall be 
     organized, trained, equipped, and managed to conduct 
     administrative investigations in order to assist the States 
     in the organization, maintenance, and operation of the 
     National Guard as follows:
       ``(1) In investigations of allegations of sexual assault 
     involving members of the National Guard.
       ``(2) In Investigations in circumstances involving members 
     of the National Guard in which other law enforcement agencies 
     within the Department of Defense do not have, or have 
     limited, jurisdiction or authority to investigate.
       ``(3) In investigations in such other circumstances 
     involving members of the National Guard as the Chief of the 
     National Guard Bureau may direct.
       ``(c) Scope of Investigative Authority.--Individuals 
     performing investigations described in subsection (b)(1) are 
     authorized--
       ``(1) to have access to all records, reports, audits, 
     reviews, documents, papers, recommendations, or other 
     material available to the applicable establishment which 
     relate to programs and operations with respect to the 
     National Guard; and
       ``(2) to request such information or assistance as may be 
     necessary for carrying out those duties from any Federal, 
     State, or local governmental agency or unit thereof.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 1101 of such title is amended by adding 
     at the end the following new item:

``10509. Office of Complex Investigations.''.

     SEC. 555. MODIFICATION OF DEADLINE FOR ESTABLISHMENT OF 
                   DEFENSE ADVISORY COMMITTEE ON INVESTIGATION, 
                   PROSECUTION, AND DEFENSE OF SEXUAL ASSAULT IN 
                   THE ARMED FORCES.

       Section 546(a)(2) of the Carl Levin and Howard P. ``Buck'' 
     McKeon National Defense Authorization Act for Fiscal Year 
     2015 (Public Law 113-291; 128 Stat. 3374; 10 U.S.C. 1561 
     note) is amended by striking ``not later than'' and all that 
     follows and inserting ``not later than 90 days after the date 
     of the enactment of the National Defense Authorization Act 
     for Fiscal Year 2016.''.

     SEC. 556. COMPTROLLER GENERAL OF THE UNITED STATES REPORTS ON 
                   PREVENTION AND RESPONSE TO SEXUAL ASSAULT BY 
                   THE ARMY NATIONAL GUARD AND THE ARMY RESERVE.

       (a) Initial Report.--Not later than April 1, 2016, the 
     Comptroller General of the United States shall submit to 
     Congress a report on the preliminary assessment of the 
     Comptroller General (made pursuant to a review conducted by 
     the Comptroller General for purposes of this section) of the 
     extent to which the Army National Guard and the Army 
     Reserve--
       (1) have in place policies and programs to prevent and 
     respond to incidents of sexual assault involving members of 
     the Army National Guard or the Army Reserve, as applicable;
       (2) provide medical and mental health care services to 
     members of the Army National Guard or the Army Reserve, as 
     applicable, following a sexual assault; and
       (3) have identified whether the nature of service in the 
     Army National Guard or the Army Reserve, as the case may be, 
     poses challenges to the prevention of or response to sexual 
     assault.
       (b) Additional Reports.--If after submitting the report 
     required by subsection (a) the Comptroller General makes 
     additional assessments as a result of the review described in 
     that subsection, the Comptroller General shall submit to 
     Congress such reports on such additional assessments as the 
     Comptroller General considers appropriate.

     SEC. 557. SENSE OF CONGRESS ON THE SERVICE OF MILITARY 
                   FAMILIES AND ON SENTENCING RETIREMENT-ELIGIBLE 
                   MEMBERS OF THE ARMED FORCES.

       (a) Findings.--Congress makes the following findings:
       (1) Military families serve alongside their member of the 
     Armed Forces, enduring hardships, lending support, and 
     contributing to the member's career. These family members 
     endure frequent moves, long periods of separation, and other 
     unique hardships associated with military life.
       (2) Innocent family members are sometimes inadvertently 
     punished when the member they depend on forfeits retirement 
     benefit eligibility due to a court-martial sentence.
       (3) When a retirement-eligible member forfeits retirement 
     eligibility, that member's innocent family members lose the 
     security of benefits they had planned for and helped earn.

[[Page S3485]]

       (4) Military juries may choose to impose unjustly light 
     sentences on convicted members out of concern for the 
     innocent family members when a just sentence would require 
     stripping the member of retirement eligibility.
       (b) Sense of Congress.--It is the sense of Congress--
       (1) that military juries should not face the difficult 
     choice between imposing a fair sentence or protecting the 
     benefits of a member of the Armed Forces for the sake of 
     innocent family members;
       (2) that innocent military family members of retirement-
     eligible members should not be made to forgo benefits they 
     have sacrificed for and helped to earn; and
       (3) to welcome the opportunity to work with the Department 
     of Defense to develop the necessary laws and regulations to 
     improve the military justice system and to protect the 
     benefits that military families have helped earn.

 Subtitle F--Defense Dependents Education and Military Family Readiness

     SEC. 561. 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 for fiscal year 2016 by section 301 and 
     available for operation and maintenance for Defense-wide 
     activities as specified in the funding table in section 4301, 
     $25,000,000 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; 
     20 U.S.C. 7703b).
       (b) 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. 562. IMPACT AID FOR CHILDREN WITH SEVERE DISABILITIES.

       Of the amount authorized to be appropriated for fiscal year 
     2016 pursuant to section 301 and available for operation and 
     maintenance for Defense-wide activities as specified in the 
     funding table in section 4301, $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. 563. AUTHORITY TO USE APPROPRIATED FUNDS TO SUPPORT 
                   DEPARTMENT OF DEFENSE STUDENT MEAL PROGRAMS IN 
                   DOMESTIC DEPENDENT ELEMENTARY AND SECONDARY 
                   SCHOOLS LOCATED OUTSIDE THE UNITED STATES.

       (a) Authority.--Section 2243 of title 10, United States 
     Code, is amended--
       (1) in subsection (a)--
       (A) by striking ``the defense dependents' education 
     system'' and inserting ``overseas defense dependents' 
     schools''; and
       (B) by striking ``students enrolled in that system'' and 
     inserting ``students enrolled in such a school'';
       (2) in subsection (d), by striking ``Department of Defense 
     dependents' schools which are located outside the United 
     States'' and inserting ``overseas defense dependents' 
     schools''; and
       (3) by adding at the end the following new subsection:
       ``(e) Overseas Defense Dependents' School Defined.--In this 
     section, the term `overseas defense dependents' school' means 
     the following:
       ``(1) A school established as part of the defense 
     dependents' education system provided for under the Defense 
     Dependents' Education Act of 1978 (20 U.S.C. 921 et seq.).
       ``(2) An elementary or secondary school established 
     pursuant to section 2164 of this title that is located in a 
     territory, commonwealth, or possession of the United 
     States.''.
       (b) Conforming Amendments.--
       (1) Heading amendment.--The heading of such section is 
     amended by inserting ``defense'' after ``overseas''.
       (2) Table of sections.--The table of sections at the 
     beginning of subchapter I of chapter 134 of such title is 
     amended in the item relating to section 2243 by inserting 
     ``defense'' after ``overseas''.

     SEC. 564. BIENNIAL SURVEYS OF MILITARY DEPENDENTS ON MILITARY 
                   FAMILY READINESS MATTERS.

       (a) Biennial Surveys Required.--The Director of the Office 
     of Family Policy of the Department of Defense shall undertake 
     every other year a survey of adult dependents of members of 
     the Armed Forces on the matters specified in subsection (b). 
     Participation by dependents in the survey shall be voluntary.
       (b) Matters.--The matters specified in this subsection are 
     the following:
       (1) Mental health of dependents of members of the Armed 
     Forces.
       (2) Incidence of suicide and suicidal ideation among 
     dependents of members of the Armed Forces.
       (3) Incidence of divorce among dependents of members of the 
     Armed Forces.
       (4) Incidence of spousal abuse, child abuse, sexual 
     assault, and harassment among dependents of members of the 
     Armed Forces.
       (5) Financial health and financial literacy of military 
     families.
       (6) Employment and education of dependents of members of 
     the Armed Forces.
       (7) Adequacy and availability of child care for dependents 
     of members of the Armed Forces.
       (8) Quality of programs for military families.
       (9) Such other matters relating to military family 
     readiness as the Director considers appropriate.

            Subtitle G--Miscellaneous Reporting Requirements

     SEC. 571. EXTENSION OF SEMIANNUAL REPORTS ON THE INVOLUNTARY 
                   SEPARATION OF MEMBERS OF THE ARMED FORCES.

       Section 525(a) of the National Defense Authorization Act 
     for Fiscal Year 2013 (Public Law 112-239; 126 Stat. 1724) is 
     amended by striking ``calendar years 2013 and 2014'' and 
     ``each of calendar years 2013 through 2017''.

     SEC. 572. REMOTELY PILOTED AIRCRAFT CAREER FIELD MANNING 
                   SHORTFALLS.

       (a) Limitation.--Of the funds authorized to be appropriated 
     by this Act or otherwise made available for fiscal year 2016 
     for operation and maintenance for the Office of the Secretary 
     of the Air Force, not more than 85 percent may be obligated 
     or expended until a period of 15 days has elapsed following 
     the date on which the Secretary of the Air Force submits to 
     the congressional defense committees the report described in 
     subsection (b).
       (b) Report Required.--
       (1) In general.--Not later than 60 days after the date of 
     enactment of this Act, the Secretary of the Air Force shall 
     submit to the congressional defense committees a report on 
     remotely piloted aircraft career field manning levels and 
     actions the Air Force will take to rectify personnel 
     shortfalls.
       (2) Elements.--The report required under paragraph (1) 
     shall include the following elements:
       (A) A description of current and projected manning 
     requirements and inventory levels for remotely piloted 
     aircraft systems.
       (B) A description of rated and non-rated officer and 
     enlisted manning policies for authorization and inventory 
     levels in effect for remotely piloted aircraft systems and 
     units, to include whether remotely piloted aircraft duty is 
     considered as a permanent Air Force Specialty Code or treated 
     as an ancillary single assignment duty, and if both are used, 
     the division of authorizations between permanently assigned 
     personnel and those who will return to a different primary 
     career field.
       (C) Comparisons to other Air Force manned combat aircraft 
     systems and units with respect to personnel policies, 
     manpower authorization levels, and projected personnel 
     inventory.
       (D) Identification and assessment of mitigation actions to 
     increase unit manning levels, including recruitment and 
     retention bonuses, incentive pay, use of enlisted personnel, 
     and increased weighting to remotely piloted aircraft 
     personnel on promotion boards, and to ensure the school house 
     for remotely piloted aircraft personnel is sufficient to meet 
     increased manning demands.
       (E) Analysis demonstrating the requirements determination 
     for how remotely piloted aircraft pilot and sensor operators 
     are selected, including whether individuals are prior rated 
     or non-rated qualified, what prerequisite training or 
     experience is necessary, and required and types of basic and 
     advanced qualification training for each mission design 
     series of remotely piloted aircraft in the Air Force 
     inventory.
       (F) Recommendations for changes to existing legislation 
     required to implement mitigation actions.
       (G) An assessment of the authorization levels of government 
     civilian and contractor support required for sufficiency of 
     remotely piloted aircraft career field manning.
       (H) A description and associated timeline of actions the 
     Air Force will take to increase remotely piloted aircraft 
     career field manpower authorizations and manning levels to at 
     least the equal of the normative levels of manning and 
     readiness of all other combat aircraft career fields.
       (I) A description of any other matters concerning remotely 
     piloted aircraft career field manning levels the Secretary of 
     the Air Force determines to be appropriate.
       (3) Form.--The report required under paragraph (1) may be 
     submitted in classified form, but shall also contain an 
     unclassified executive summary and may contain an 
     unclassified annex.
       (4) Nonduplication of effort.--If any information required 
     under paragraph (1) has been included in another report or 
     notification previously submitted to Congress by law, the 
     Secretary of the Air Force may provide a list of such reports 
     and notifications at the time of submitting the report 
     required under this subsection in lieu of including such 
     information in the report.

                       Subtitle H--Other Matters

  PART I--FINANCIAL LITERACY AND PREPAREDNESS OF MEMBERS OF THE ARMED 
                                 FORCES

     SEC. 581. IMPROVEMENT OF FINANCIAL LITERACY AND PREPAREDNESS 
                   OF MEMBERS OF THE ARMED FORCES.

       (a) In General.--Section 992 of title 10, United States 
     Code, is amended--
       (1) in subsection (a)--
       (A) in the subsection heading, by striking ``Consumer 
     Education'' and inserting ``Financial Literacy Training'';
       (B) in paragraph (1), by striking ``education'' in the 
     matter preceding subparagraph (A) and inserting ``financial 
     literacy training'';

[[Page S3486]]

       (C) in paragraph (2)--
       (i) in the matter preceding subparagraph (A), by striking 
     ``as'';
       (ii) in subparagraph (A)--

       (I) by inserting ``as'' before ``a component'';
       (II) by striking ``orientation''; and
       (III) by striking ``and'' after the semicolon;

       (iii) by redesignating subparagraph (B) as subparagraph 
     (J); and
       (iv) by inserting after subparagraph (A) the following new 
     subparagraphs:
       ``(B) upon arrival at the first duty station;
       ``(C) upon arrival at each duty station following the first 
     duty station in the case of each member in pay grade E-4 or 
     below or in pay grade O-3 or below;
       ``(D) on the date of promotion, in the case of each member 
     in pay grade E-5 or below or in pay grade O-4 or below;
       ``(E) when the member vests in the Thrift Savings Plan 
     (TSP);
       ``(F) at each major life event during the member's service, 
     such as--
       ``(i) marriage;
       ``(ii) divorce;
       ``(iii) birth of first child; or
       ``(iv) disabling sickness or condition;
       ``(G) during leadership training;
       ``(H) during pre-deployment training and during post-
     deployment training;
       ``(I) at transition points in military service, such as--
       ``(i) transition from a regular component to a reserve 
     component;
       ``(ii) separation from service; or
       ``(iii) retirement; and''; and
       (v) in subparagraph (J), as redesignated by clause (iii), 
     by inserting ``as'' before ``a component'';
       (D) in paragraph (3), by striking ``(2)(B)'' and inserting 
     ``(2)(J)''; and
       (E) by adding at the end the following new paragraph:
       ``(4) The Secretary concerned shall prescribe regulations 
     setting forth any additional events and circumstances (other 
     than those described in paragraph (2)) for which the 
     Secretary determines that training under this subsection 
     shall be required.''.
       (b) Financial Literacy and Preparedness Survey.--Such 
     section is further amended--
       (1) by redesignating subsection (d) as subsection (e); and
       (2) by inserting after subsection (c) the following new 
     subsection (d):
       ``(d) Financial Literacy and Preparedness Survey.--(1) The 
     Director of the Defense Manpower Data Center shall annually 
     include in the status of forces survey a survey of the status 
     of the financial literacy and preparedness of members of the 
     armed forces.
       ``(2) The results of the annual financial literacy and 
     preparedness survey--
       ``(A) shall be used by each of the Secretaries concerned as 
     a benchmark to evaluate and update training provided under 
     this section; and
       ``(B) shall be submitted to the Committees on Armed 
     Services of the Senate and the House of Representatives.''.
       (c) Additional Financial Services Covered by Literacy 
     Training.--Subsection (e) of such section, as redesignated by 
     subsection (b)(1) of this section, is amended by adding at 
     the end the following new paragraph:
       ``(4) Health insurance, budget management, Thrift Savings 
     Plan (TSP), retirement lump sum payments (including rollover 
     options and tax consequences), and Survivor Benefit Plan 
     (SBP) .''.
       (d) Conforming and Clerical Amendments.--
       (1) Section heading.--The heading of such section is 
     amended to read as follows:

     ``Sec. 992. Financial literacy training: financial 
       services''.

       (2) Table of sections.--The table of sections at the 
     beginning of chapter 50 of such title is amended by striking 
     the item related to section 992 and inserting the following 
     new item:

``992. Financial literacy training: financial services.''.

     SEC. 582. FINANCIAL LITERACY TRAINING WITH RESPECT TO CERTAIN 
                   FINANCIAL SERVICES FOR MEMBERS OF THE UNIFORMED 
                   SERVICES.

       (a) In General.--The Secretary concerned shall provide the 
     financial literacy training under section 992 of title 10, 
     United States Code, for the financial services described in 
     paragraph (4) of section 992(e) of such title (as amended and 
     added by section 581 of this Act) to members of the uniformed 
     services under the jurisdiction of such Secretary commencing 
     not later than six months after the date of the enactment of 
     this Act.
       (b) Definitions.--In this section, the terms ``uniformed 
     services'' and ``Secretary concerned'' have the meaning given 
     such terms in section 101(a) of title 10, United States Code.

     SEC. 583. SENSE OF CONGRESS ON FINANCIAL LITERACY AND 
                   PREPAREDNESS OF MEMBERS OF THE ARMED FORCES.

       It is the sense of Congress that--
       (1) the Secretary of Defense should strengthen arrangements 
     with other departments and agencies of the Federal 
     Government, as well as with nonprofit organizations, in order 
     to improve the financial literacy and preparedness of members 
     of the Armed Forces; and
       (2) the Chairman of the Joint Chiefs of Staff and the 
     Chiefs of Staff of the Armed Forces should provide support 
     for the financial literacy and preparedness training carried 
     out under section 992 of title 10, United States Code (as 
     amended by section 581 of this Act).

                         PART II--OTHER MATTERS

     SEC. 586. AUTHORITY FOR APPLICATIONS FOR CORRECTION OF 
                   MILITARY RECORDS TO BE INITIATED BY THE 
                   SECRETARY CONCERNED.

       Section 1552(b) of title 10, United States Code, is 
     amended--
       (1) by striking ``or his heir or legal representative'' and 
     inserting ``(or the claimant's heir or legal representative) 
     or the Secretary concerned''; and
       (2) by striking ``he discovers'' and inserting 
     ``discovering''.

     SEC. 587. RECORDATION OF OBLIGATIONS FOR INSTALLMENT PAYMENTS 
                   OF INCENTIVE PAYS, ALLOWANCES, AND SIMILAR 
                   BENEFITS WHEN PAYMENT IS DUE.

       (a) In General.--Chapter 19 of title 37, United States 
     Code, is amended by adding at the end the following new 
     section:

     ``Sec. 1015. Recordation of installment payment obligations 
       for incentive pays and similar benefits

       ``(a) In General.--In the case of any pay, allowance, 
     bonus, or other benefit described in subsection (b) that is 
     paid to a member of the uniformed services on an installment 
     basis, each installment payment shall be charged to 
     appropriations that are available for obligation at the time 
     such payment is payable.
       ``(b) Covered Pay and Benefits.--Subsection (a) applies to 
     any incentive pay, special pay, or bonus, or similar periodic 
     payment of pay or allowances, or of educational benefits or 
     stipends, that is paid to a member of the uniformed services 
     under this title or title 10.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 19 of such title is amended by adding at 
     the end the following new item:

``1015. Recordation of installment payment obligations for incentive 
              pays and similar benefits.''.

     SEC. 588. ENHANCEMENTS TO YELLOW RIBBON REINTEGRATION 
                   PROGRAM.

       (a) Scope and Purpose.--Section 582 of the National Defense 
     Authorization Act for Fiscal Year 2008 (10 U.S.C. 10101 note) 
     is amended--
       (1) in subsection (a), by striking ``combat veteran''; and
       (2) in subsection (b), by striking ``informational events 
     and activities'' and inserting ``information, events, and 
     activities''.
       (b) Eligibility.--Such section is further amended--
       (1) in subsection (a), by striking ``National Guard and 
     Reserve members and their families'' and inserting ``eligible 
     individuals'';
       (2) in subsection (b), by striking ``members of the reserve 
     components of the Armed Forces, their families,'' and 
     inserting ``eligible individuals'';
       (3) in subsection (d)(2)(C), by striking ``members of the 
     Armed Forces and their families'' and inserting ``eligible 
     individuals'';
       (4) in subsection (h), in the matter preceding paragraph 
     (1)--
       (A) by striking ``members of the Armed Forces and their 
     family members'' and inserting ``eligible individuals''; and
       (B) by striking ``such members and their family members'' 
     and inserting ``such eligible individuals'';
       (5) in subsection (j), by striking ``members of the Armed 
     Forces and their families'' and inserting ``eligible 
     individuals'';
       (6) in subsection (k), by striking ``individual members of 
     the Armed Forces and their families'' and inserting 
     ``eligible individuals''; and
       (7) by adding at the end the following new subsection:
       ``(l) Eligible Individuals.--For the purposes of this 
     section, the term `eligible individual' means a member of a 
     reserve component, a member of their family, or a designated 
     representative who the Secretary of Defense determines to be 
     eligible for the Yellow Ribbon Reintegration Program.''.
       (c) Office for Reintegration Programs.--
       (1) Oversight of yellow ribbon reintegration program.--
     Paragraph (1)(A) of subsection (d) of such section is amended 
     by striking the second and third sentence and inserting ``The 
     office shall exercise oversight over the Yellow Ribbon 
     Reintegration Program, and shall be responsible for 
     coordination with State National Guard and Reserve 
     organizations, including existing family and support 
     programs.''.
       (2) Partnerships to provide quality of life services.--
     Paragraph (1)(B) of such subsection is amended by striking 
     ``substance abuse and mental health treatment services'' and 
     inserting ``substance abuse, mental health treatment, and 
     other quality of life services''.
       (3) Grant authority.--Such subsection is further amended by 
     adding at the end the following new paragraph:
       ``(3) Grants.--The Office for Reintegration Programs may 
     make grants to conduct data collection, trend analysis, and 
     curriculum development, and to prepare reports, in support of 
     activities under this section.''.
       (d) Coordination With Coast Guard Reserve.--Such section is 
     further amended--
       (1) in subsection (d)(1)(A), by striking ``and Air Force 
     Reserve'' and inserting ``Air Force Reserve, and Coast Guard 
     Reserve''; and
       (2) in subsection (e)(1), by striking ``and Air Force 
     Reserve'' and inserting ``Air Force Reserve, and Coast Guard 
     Reserve''.

[[Page S3487]]

       (e) Due Date of Advisory Board Annual Report.--Subsection 
     (e)(4) of such section is amended by striking ``March'' and 
     inserting ``April''.
       (f) Support Teams.--Subsection (f) of such section is 
     amended--
       (1) in the matter preceding paragraph (1), by striking 
     ``administer the Yellow Ribbon Reintegration Program at the 
     State level'' and inserting ``support and assist State 
     National Guard and Reserve organization reintegration 
     efforts''; and
       (2) by amending paragraph (1) to read as follows:
       ``(1) to provide reintegration curriculum and 
     information;''.
       (g) Operation of Program.--
       (1) Enhanced flexibility.--Subsection (g) of such section 
     is amended to read as follows:
       ``(g) Operation of Program.--
       ``(1) In general.--The Office for Reintegration Programs 
     shall assist State National Guard and Reserve organizations 
     with the development and provision of information, events, 
     and activities to support the health and well-being of 
     eligible individuals before, during, and after periods of 
     activation, mobilization, or deployment.
       ``(2) Focus of information, events, and activities.--
       ``(A) Before activation, mobilization, or deployment.--
     Before such a period, the information, events, and activities 
     described in paragraph (1) should focus on preparing eligible 
     individuals and affected communities for the rigors of 
     activation, mobilization, and deployment.
       ``(B) During activation, mobilization, or deployment.--
     During such a period, the information, events, and activities 
     described in paragraph (1) should focus on--
       ``(i) helping eligible individuals cope with the challenges 
     and stress associated with such period;
       ``(ii) decreasing the isolation of eligible individuals 
     during such period; and
       ``(iii) preparing eligible individuals for the challenges 
     associated with reintegration.
       ``(C) After activation, mobilization, or deployment.--After 
     such a period, the information, events, and activities 
     described in paragraph (1) should focus on--
       ``(i) reconnecting the member with their families, friends, 
     and communities;
       ``(ii) providing information on employment opportunities;
       ``(iii) helping eligible individuals deal with the 
     challenges of reintegration;
       ``(iv) ensuring that eligible individuals understand what 
     benefits they are entitled to and what resources are 
     available to help them overcome the challenges of 
     reintegration; and
       ``(v) providing a forum for addressing negative behaviors 
     related to operational stress and reintegration.
       ``(3) Member pay.--Members shall receive appropriate pay 
     for days spent attending such events and activities.
       ``(4) Minimum number of events and activities.--State 
     National Guard and Reserve organizations shall provide to 
     eligible individuals--
       ``(A) one event or activity before a period of activation, 
     mobilization, or deployment;
       ``(B) one event or activity during a period of activation, 
     mobilization, or deployment; and
       ``(C) two events or activities after a period of 
     activation, mobilization, or deployment.''.
       (2) Conforming amendments.--Such section is further 
     amended--
       (A) in subsection (a), by striking ``throughout the entire 
     deployment cycle'';
       (B) in subsection (b)--
       (i) in the subsection heading, by striking ``; Deployment 
     Cycle''; and
       (ii) by striking ``well-being through the 4 phases'' 
     through the end of the subsection and inserting ``well-
     being.'';
       (C) in subsection (d)(2)(C), by striking ``throughout the 
     deployment cycle described in subsection (g)''; and
       (D) in subsection (f), by striking ``State Deployment 
     Cycle'' in the subsection heading.
       (h) Additional Permitted Outreach Service.--Subsection (h) 
     of such section is amended by adding at the end the following 
     new paragraph:
       ``(16) Stress management and positive coping skills.''.
       (i) Support of Department-Wide Suicide Prevention 
     Efforts.--Such section is further amended by inserting after 
     subsection (h) the following new subsection:
       ``(i) Support of Suicide Prevention Efforts.--The Office 
     for Reintegration Programs shall assist the Defense Suicide 
     Prevention Office and the Defense Centers of Excellence for 
     Psychological Health and Traumatic Brain Injury to collect 
     and analyze information, suggestions, and best practices from 
     State National Guard and Reserve organizations with respect 
     to suicide prevention and community response programs.''.
       (j) Technical Amendments.--Such section is further 
     amended--
       (1) in subsection (d)(1)(B), by striking ``Substance Abuse 
     and the Mental Health Services Administration'' and inserting 
     ``Substance Abuse and Mental Health Services 
     Administration''; and
       (2) in subsection (e)(3)(C), by striking ``Office of 
     Reintegration Programs'' and inserting ``Office for 
     Reintegration Programs''.

     SEC. 589. PRIORITY PROCESSING OF APPLICATIONS FOR 
                   TRANSPORTATION WORKER IDENTIFICATION 
                   CREDENTIALS FOR MEMBERS UNDERGOING DISCHARGE OR 
                   RELEASE FROM THE ARMED FORCES.

       (a) Priority Processing.--The Secretary of Defense shall 
     consult with the Secretary of Homeland Security to afford a 
     priority in the processing of applications for a 
     Transportation Worker Identification Credential (TWIC) to 
     applications submitted by members of the Armed Forces who are 
     undergoing separation, discharge, or release from the Armed 
     Forces under honorable conditions, with such priority to 
     provide for the review and adjudication of such an 
     application by not later than 14 days after submittal, unless 
     an appeal or waiver applies or further application 
     documentation is necessary. The priority shall be so afforded 
     commencing not later than 180 days after the date of the 
     enactment of this Act to members who undergo separation, 
     discharge, or release from the Armed Forces after the date on 
     which the priority so commences being afforded.
       (b) Memorandum of Understanding.--The Secretary of Defense 
     and the Secretary of Homeland Security shall enter into a 
     memorandum of understanding in connection with achieving the 
     requirement in subsection (a).
       (c) Report.--Not later than one year after the date of the 
     enactment of this Act, the Secretary of Defense and the 
     Secretary of Homeland Security shall jointly submit to the 
     Committees on Armed Services of the Senate and the House of 
     Representatives a report on the implementation of the 
     requirements of this section. The report shall set forth the 
     following:
       (1) The memorandum of understanding required pursuant to 
     subsection (b).
       (2) A description of the number of individuals who applied 
     for, and the number of individuals who have been issued, a 
     Transportation Worker Identification Credential pursuant to 
     the memorandum of understanding as of the date of the report.
       (3) If any applications for a Transportation Worker 
     Identification Credential covered by paragraph (2) were not 
     reviewed and adjudicated within the deadline specified in 
     subsection (a), a description of the reasons for the failure 
     and of the actions being taken to assure that future 
     applications for a Credential are reviewed and adjudicated 
     within the deadline.

     SEC. 590. ISSUANCE OF RECOGNITION OF SERVICE ID CARDS TO 
                   CERTAIN MEMBERS SEPARATING FROM THE ARMED 
                   FORCES.

       (a) Issuance Required.--
       (1) In general.--The Secretary of Defense shall issue to 
     each covered individual a card that identifies such 
     individual as a veteran and includes a photo of the 
     individual and the name of the individual.
       (2) Designation.--A card issued under paragraph (1) may be 
     known as a ``Recognition of Service ID Card''.
       (b) Covered Individuals.--For purposes of this section, a 
     ``covered individual'' is an individual who is undergoing 
     discharge or release from the Armed Forces (other than as the 
     result of a punitive discharge adjudicated as part of a 
     sentence at a court-martial after the effective date of this 
     section) on or after the effective date provided for in 
     subsection (e).
       (c) Collection of Amounts.--
       (1) In general.--The Secretary may collect from civilian 
     employees of the Department of Defense and contractor 
     personnel of the Department who are issued a replacement card 
     for a lost or stolen Department of Defense identification 
     card such amount as the Secretary considers appropriate to 
     defray the cost of the issuance of cards under subsection 
     (a), and to implement the issuance of cards without the 
     assignment of additional personnel for that purpose.
       (2) Treatment of amounts.--The Secretary shall deposit 
     amounts collected under this subsection to the account or 
     accounts providing funds for the issuance of cards under 
     subsection (a).
       (d) Recognition of Recognition of Service ID Cards for 
     Reduced Prices of Services, Consumer Products, and 
     Pharmaceuticals.--The Secretary of Defense may work with 
     national retail chains that offer reduced prices on services, 
     consumer products, and pharmaceuticals to veterans to ensure 
     that such retail chains recognize cards issued under 
     subsection (a) for purposes of offering reduced prices on 
     services, consumer products, and pharmaceuticals.
       (e) Effective Date.--This section shall take effect on the 
     date that is one year after the date of the enactment of this 
     Act.

     SEC. 591. REVISED POLICY ON NETWORK SERVICES FOR MILITARY 
                   SERVICES.

       (a) Establishment of Policy.--It is the policy of the 
     United States that the Secretary of Defense shall minimize 
     and reduce, to the maximum extent practicable, the number of 
     uniformed military personnel providing network services to 
     military installations within the United States.
       (b) Prohibition.--Except as provided in subsection (c), 
     each military service shall be prohibited from using uniform 
     military personnel to provide network services to military 
     installations within the United States 2 years after the date 
     of the enactment of this Act.
       (c) Exception.--Nothing in subsection (b) shall be 
     construed as prohibiting the use of military personnel 
     providing network services in support of combatant commands, 
     special operations, the intelligence community, or the United 
     States Cyber Command, including training for these 
     organizations.
       (d) Waiver.--The Secretary of Defense or the Chief 
     Information Officer may waive the prohibition in subsection 
     (b) if necessary for the safety of human life, protection of 
     property, or providing network services in support of a 
     combat operation.

[[Page S3488]]

       (e) Report.--
       (1) In general.--Not later than March 30, 2016, the Chief 
     Information Officer shall submit to the congressional defense 
     committees a plan for the transition of the current 
     performance of network services from military personnel to 
     other means.
       (2) Elements.--The report required under paragraph (1) 
     shall include the following elements:
       (A) An assessment of the costs of using military personnel 
     versus other means to provide network services for the 
     military services.
       (B) An estimate of the savings of transitioning the current 
     performance of network services from military personnel to 
     other means.
       (C) An estimate of the number of military personnel that 
     could be reallocated for military-unique missions.
       (f) Validation of Cost and Savings Estimates.--The report 
     required under subsection (e) shall be validated by the 
     Director of Cost Assessment and Program Evaluation.

     SEC. 592. INCREASE IN NUMBER OF DAYS OF ACTIVE DUTY REQUIRED 
                   TO BE PERFORMED BY RESERVE COMPONENT MEMBERS 
                   FOR DUTY TO BE CONSIDERED FEDERAL SERVICE FOR 
                   PURPOSES OF UNEMPLOYMENT COMPENSATION FOR EX-
                   SERVICEMEMBERS.

       (a) Increase of Number of Days.--Section 8521(a)(1) of 
     title 5, United States Code, is amended by striking ``90 
     days'' in the matter preceding subparagraph (A) and inserting 
     ``180 days''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall take effect on the date of the eanctment of this Act, 
     and shall apply with respect to periods of Federal service 
     commencing on or after that date.

          TITLE VI--COMPENSATION AND OTHER PERSONNEL BENEFITS

                     Subtitle A--Pay and Allowances

     SEC. 601. FISCAL YEAR 2016 INCREASE IN MILITARY BASIC PAY.

       (a) Waiver of Section 1009 Adjustment.--The adjustment to 
     become effective during fiscal year 2016 required by section 
     1009 of title 37, United States Code, in the rates of monthly 
     basic pay authorized members of the uniformed services shall 
     not be made.
       (b) Increase in Basic Pay.--Effective on January 1, 2016, 
     the rates of monthly basic pay for members of the uniformed 
     services are increased by 1.3 percent for enlisted member pay 
     grades, warrant officer pay grades, and commissioned officer 
     pay grades below pay grade O-7.
       (c) Application of Executive Schedule Level II Ceiling on 
     Payable Rates for General and Flag Officers.--Section 
     203(a)(2) of title 37, United States Code, shall be applied 
     for rates of basic pay payable for commissioned officers in 
     pay grades O-7 through O-10 during calendar year 2016 by 
     using the rate of pay for level II of the Executive Schedule 
     in effect during 2014.

     SEC. 602. MODIFICATION OF PERCENTAGE OF NATIONAL AVERAGE 
                   MONTHLY COST OF HOUSING USABLE IN COMPUTATION 
                   OF BASIC ALLOWANCE FOR HOUSING INSIDE THE 
                   UNITED STATES.

       (a) Modification of Percentage Usable.--Section 
     403(b)(3)(B) of title 37, United States Code, is amended by 
     striking ``one percent'' and inserting ``five percent''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall take effect on January 1, 2016, and shall apply with 
     respect to computations of monthly amounts of basic allowance 
     for housing inside the United States that occur for years 
     beginning on or after that date.

     SEC. 603. EXTENSION OF AUTHORITY TO PROVIDE TEMPORARY 
                   INCREASE IN RATES OF BASIC ALLOWANCE FOR 
                   HOUSING.

       Section 403(b)(7)(E) of title 37, United States Code, is 
     amended by striking ``December 31, 2015'' and inserting 
     ``December 31, 2016''.

     SEC. 604. BASIC ALLOWANCE FOR HOUSING FOR MARRIED MEMBERS OF 
                   THE UNIFORMED SERVICES ASSIGNED FOR DUTY WITHIN 
                   NORMAL COMMUTING DISTANCE AND FOR OTHER MEMBERS 
                   LIVING TOGETHER.

       (a) BAH for Married Members Assigned for Duty Within Normal 
     Commuting Distance.--Section 403 of title 37, United States 
     Code, is amended by adding at the end the following new 
     subsection:
       ``(p) Single Allowance for Married Members Assigned for 
     Duty Within Normal Commuting Distance.--In the event two 
     members of the uniformed services entitled to receive a basic 
     allowance for housing under this section are married to one 
     another and are each assigned for duty within normal 
     commuting distance, basic allowance for housing under this 
     section shall be paid only to the member having the higher 
     pay grade, or to the member having rank in grade if both 
     members have the same pay grade, and at the rate payable for 
     a member of such pay grade with dependents (regardless of 
     whether or not such members have dependents).''.
       (b) BAH for Other Members Living Together.--Such section is 
     further amended by adding at the end the following new 
     subsection:
       ``(q) Reduced Allowance for Members Living Together.--(1) 
     In the event two or more members of the uniformed services 
     who are entitled to receive a basic allowance for housing 
     under this section live together, basic allowance for housing 
     under this section shall be paid to each such member at the 
     rate as follows:
       ``(A) In the case of such a member in a pay grade below pay 
     grade E-4, the rate otherwise payable to such member under 
     this section.
       ``(B) In the case of such a member in a pay grade above pay 
     grade E-3, the rate equal to the greater of--
       ``(i) 75 percent of the rate otherwise payable to such 
     member under this section; or
       ``(ii) the rate payable for a member in pay grade E-4 
     without dependents.
       ``(2) This subsection does not apply to members covered by 
     subsection (p).''.
       (c) Effective Date.--
       (1) In general.--The amendments made by this section shall 
     take effect on October 1, 2015, and shall, except as provided 
     in paragraph (2), apply with respect to allowances for basic 
     housing payable for months beginning on or after that date.
       (2) Preservation of current bah for members with 
     uninterrupted eligibility for bah.--Notwithstanding any 
     amendment made by this section, the monthly amount of basic 
     allowance for housing payable to a member of the uniformed 
     services under section 403 of title 37, United States Code, 
     as of September 30, 2015, shall not be reduced by reason of 
     such amendment so long as the member retains uninterrupted 
     eligibility for such basic allowance for housing within an 
     area of the United States or within an overseas location (as 
     applicable).

     SEC. 605. REPEAL OF INAPPLICABILITY OF MODIFICATION OF BASIC 
                   ALLOWANCE FOR HOUSING TO BENEFITS UNDER THE 
                   LAWS ADMINISTERED BY THE SECRETARY OF VETERANS 
                   AFFAIRS.

       (a) Repeal.--Subsection (b) of section 604 of the Carl 
     Levin and Howard P. ``Buck'' McKeon National Defense 
     Authorization Act for Fiscal Year 2015 (Public Law 113-291) 
     is repealed.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall take effect on January 1, 2016.

     SEC. 606. LIMITATION ON ELIGIBILITY FOR SUPPLEMENTAL 
                   SUBSISTENCE ALLOWANCES TO MEMBERS SERVING 
                   OUTSIDE THE UNITED STATES AND ASSOCIATED 
                   TERRITORY.

       Section 402a(b) of title 37, United States Code, is 
     amended--
       (1) in paragraph (1), by inserting ``and paragraph (4)'' 
     after ``subsection (d)''; and
       (2) by adding at the end the following new paragraph:
       ``(4) After September 30, 2016, a member is eligible for a 
     supplemental subsistence allowance under this section only if 
     the member is serving outside the United States, the 
     Commonwealth of Puerto Rico, the United States Virgin 
     Islands, or Guam.''.

     SEC. 607. AVAILABILITY OF INFORMATION.

       In administering the supplemental nutrition assistance 
     program established under the Food and Nutrition Act of 2008 
     (7 U.S.C. 2011 et seq.), the Secretary of Agriculture shall 
     ensure that any safeguards that prevent the use or disclosure 
     of information obtained from applicant households shall not 
     prevent the use of that information by, or the disclosure of 
     that information to, the Secretary of Defense for purposes of 
     determining the number of applicant households that contain 
     one or more members of a regular component or reserve 
     component of the Armed Forces.

           Subtitle B--Bonuses and Special and Incentive Pays

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

       The following sections of title 37, United States Code, are 
     amended by striking ``December 31, 2015'' and inserting 
     ``December 31, 2016'':
       (1) Section 308b(g), relating to Selected Reserve 
     reenlistment bonus.
       (2) Section 308c(i), relating to Selected Reserve 
     affiliation or enlistment bonus.
       (3) Section 308d(c), relating to special pay for enlisted 
     members assigned to certain high-priority units.
       (4) Section 308g(f)(2), relating to Ready Reserve 
     enlistment bonus for persons without prior service.
       (5) Section 308h(e), relating to Ready Reserve enlistment 
     and reenlistment bonus for persons with prior service.
       (6) Section 308i(f), relating to Selected Reserve 
     enlistment and reenlistment bonus for persons with prior 
     service.
       (7) Section 478a(e), relating to reimbursement of travel 
     expenses for inactive-duty training outside of normal 
     commuting distance.
       (8) Section 910(g), relating to income replacement payments 
     for reserve component members experiencing extended and 
     frequent mobilization for active duty service.

     SEC. 612. ONE-YEAR EXTENSION OF CERTAIN BONUS AND SPECIAL PAY 
                   AUTHORITIES FOR HEALTH CARE PROFESSIONALS.

       (a) Title 10 Authorities.--The following sections of title 
     10, United States Code, are amended by striking ``December 
     31, 2015'' and inserting ``December 31, 2016'':
       (1) Section 2130a(a)(1), relating to nurse officer 
     candidate accession program.
       (2) Section 16302(d), relating to repayment of education 
     loans for certain health professionals who serve in the 
     Selected Reserve.
       (b) Title 37 Authorities.--The following sections of title 
     37, United States Code, are amended by striking ``December 
     31, 2015'' and inserting ``December 31, 2016'':
       (1) Section 302c-1(f), relating to accession and retention 
     bonuses for psychologists.

[[Page S3489]]

       (2) Section 302d(a)(1), relating to accession bonus for 
     registered nurses.
       (3) Section 302e(a)(1), relating to incentive special pay 
     for nurse anesthetists.
       (4) Section 302g(e), relating to special pay for Selected 
     Reserve health professionals in critically short wartime 
     specialties.
       (5) Section 302h(a)(1), relating to accession bonus for 
     dental officers.
       (6) Section 302j(a), relating to accession bonus for 
     pharmacy officers.
       (7) Section 302k(f), relating to accession bonus for 
     medical officers in critically short wartime specialties.
       (8) Section 302l(g), relating to accession bonus for dental 
     specialist officers in critically short wartime specialties.

     SEC. 613. ONE-YEAR EXTENSION OF SPECIAL PAY AND BONUS 
                   AUTHORITIES FOR NUCLEAR OFFICERS.

       The following sections of title 37, United States Code, are 
     amended by striking ``December 31, 2015'' and inserting 
     ``December 31, 2016'':
       (1) Section 312(f), relating to special pay for nuclear-
     qualified officers extending period of active service.
       (2) Section 312b(c), relating to nuclear career accession 
     bonus.
       (3) Section 312c(d), relating to nuclear career annual 
     incentive bonus.

     SEC. 614. ONE-YEAR EXTENSION OF AUTHORITIES RELATING TO TITLE 
                   37 CONSOLIDATED SPECIAL PAY, INCENTIVE PAY, AND 
                   BONUS AUTHORITIES.

       The following sections of title 37, United States Code, are 
     amended by striking ``December 31, 2015'' and inserting 
     ``December 31, 2016'':
       (1) Section 331(h), relating to general bonus authority for 
     enlisted members.
       (2) Section 332(g), relating to general bonus authority for 
     officers.
       (3) Section 333(i), relating to special bonus and incentive 
     pay authorities for nuclear officers.
       (4) Section 334(i), relating to special aviation incentive 
     pay and bonus authorities for officers.
       (5) Section 335(k), relating to special bonus and incentive 
     pay authorities for officers in health professions.
       (6) Section 336(g), relating to contracting bonus for 
     cadets and midshipmen enrolled in the Senior Reserve 
     Officers' Training Corps.
       (7) Section 351(h), relating to hazardous duty pay.
       (8) Section 352(g), relating to assignment pay or special 
     duty pay.
       (9) Section 353(i), relating to skill incentive pay or 
     proficiency bonus.
       (10) Section 355(h), relating to retention incentives for 
     members qualified in critical military skills or assigned to 
     high priority units.

     SEC. 615. ONE-YEAR EXTENSION OF AUTHORITIES RELATING TO 
                   PAYMENT OF OTHER TITLE 37 BONUSES AND SPECIAL 
                   PAYS.

       The following sections of title 37, United States Code, are 
     amended by striking ``December 31, 2015'' and inserting 
     ``December 31, 2016'':
       (1) Section 301b(a), relating to aviation officer retention 
     bonus.
       (2) Section 307a(g), relating to assignment incentive pay.
       (3) Section 308(g), relating to reenlistment bonus for 
     active members.
       (4) Section 309(e), relating to enlistment bonus.
       (5) Section 316a(g), relating to incentive pay for members 
     of precommissioning programs pursuing foreign language 
     proficiency.
       (6) Section 324(g), relating to accession bonus for new 
     officers in critical skills.
       (7) Section 326(g), relating to incentive bonus for 
     conversion to military occupational specialty to ease 
     personnel shortage.
       (8) Section 327(h), relating to incentive bonus for 
     transfer between Armed Forces.
       (9) Section 330(f), relating to accession bonus for officer 
     candidates.

     SEC. 616. INCREASE IN MAXIMUM ANNUAL AMOUNT OF NUCLEAR 
                   OFFICER BONUS PAY.

       (a) Increase.--Section 333(d)(1)(A) of title 37, United 
     States Code, is amended by striking ``$35,000'' and inserting 
     ``$50,000''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall take effect on January 1, 2016, and shall apply with 
     respect to agreements entered into under section 333 of title 
     37, United States Code, on or after that date.

     SEC. 617. REPEAL OF OBSOLETE AUTHORITY TO PAY BONUS TO 
                   ENCOURAGE ARMY PERSONNEL TO REFER PERSONS FOR 
                   ENLISTMENT IN THE ARMY.

       (a) Repeal.--Section 3252 of title 10, United States Code, 
     is repealed.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 333 of such title is amended by striking 
     the item relating to section 3252.

            Subtitle C--Travel and Transportation Allowances

     SEC. 621. REPEAL OF OBSOLETE SPECIAL TRAVEL AND 
                   TRANSPORTATION ALLOWANCE FOR SURVIVORS OF 
                   DECEASED MEMBERS FROM THE VIETNAM CONFLICT.

       Section 481f of title 37, United States Code, is amended by 
     striking subsection (d).

     Subtitle D--Disability Pay, Retired Pay, and Survivor Benefits

                       PART I--RETIRED PAY REFORM

     SEC. 631. THRIFT SAVINGS PLAN PARTICIPATION FOR MEMBERS OF 
                   THE UNIFORMED SERVICES.

       (a) Modernized Retirement System.--Section 8440e of title 
     5, United States Code, is amended by striking subsection (e) 
     and inserting the following:
       ``(e) Modernized Retirement System.--
       ``(1) TSP contributions.--The Secretary concerned shall 
     make contributions to the Thrift Savings Fund, in accordance 
     with section 8432, except to the extent the requirements 
     under such section are modified by this subsection, for the 
     benefit of a member who--
       ``(A) first enters a uniformed service on or after January 
     1, 2018; or
       ``(B) makes an election described in section 1409(b)(4)(B) 
     or 12739(f) of title 10.
       ``(2) Maximum amount.--The amount contributed under this 
     subsection by the Secretary concerned for the benefit of a 
     member described in paragraph (1) for any pay period shall be 
     not more than 5 percent of such member's basic pay for such 
     pay period.
       ``(3) Timing and duration of contributions.--
       ``(A) Automatic contributions.--The Secretary concerned 
     shall make a contribution described in section 8432(c)(1) 
     under this subsection for the benefit of a member described 
     in paragraph (1) for any pay period during the period that--
       ``(i) begins on or after the day that is 60 days after the 
     date the member first enters a uniformed service; and
       ``(ii) ends on the day such member completes 20 years of 
     service as a member of the uniformed services.
       ``(B) Matching contributions.--The Secretary concerned 
     shall make a contribution described in section 8432(c)(2) 
     under this subsection for the benefit of a member described 
     in paragraph (1) for any pay period during the period that--
       ``(i) begins on or after the day that is 2 years and 1 day 
     after the date the member first enters a uniformed service; 
     and
       ``(ii) ends on the day such member completes 20 years of 
     service as a member of the uniformed services.
       ``(4) Protections for spouses and former spouses.--Section 
     8435 shall apply to a member described in paragraph (1) in 
     the same manner as such section is applied to an employee or 
     Member under such section.
       ``(5) Definition of secretary concerned.--In this 
     subsection the term `Secretary concerned' has the meaning 
     given the term in section 101 of title 37.''.
       (b) Automatic Enrollment in TSP.--Section 8432(b)(2) of 
     title 5, United States Code, is amended--
       (1) in subparagraph (D)(ii)--
       (A) by striking ``(ii) Members'' and inserting ``(ii)(I) 
     Except as provided in subclause (II), members''; and
       (B) by adding at the end the following:
       ``(II) A member described in section 8440e(e)(1) shall be 
     an eligible individual for purposes of this paragraph.''; and
       (2) by adding at the end the following:
       ``(F) Notwithstanding any other provision of this 
     paragraph, a member described in section 8440e(e)(1) who has 
     declined automatic enrollment into the Thrift Savings Plan 
     shall be automatically reenrolled, on January 1 of the year 
     succeeding the year for which the determination is made, to 
     make contributions under subsection (a) at the default 
     percentage of basic pay.
       ``(G) In this paragraph the term `member' has the meaning 
     given the term in section 211 of title 37.''.
       (c) Vesting.--Section 8432(g) of title 5, United States 
     Code, is amended--
       (1) in paragraph (2)--
       (A) in subparagraph (A)(iii), by striking ``or'' after the 
     semicolon;
       (B) in subparagraph (B), by striking the period and 
     inserting ``; or''; and
       (C) by adding at the end the following:
       ``(C) 2 years of service in the case of a member of the 
     uniformed services.''; and
       (2) by adding at the end the following:
       ``(6) For purposes of this subsection, a member of the 
     uniformed services shall be considered to have separated from 
     Government employment if the member is discharged or released 
     from service in the uniformed services.''.
       (d) Thrift Savings Plan Default Investment Fund.--Section 
     8438(c)(2) of title 5, United States Code, as amended by 
     section 2(a) of the Smarter Savings Act (Public Law 113-255), 
     is amended--
       (1) in subparagraph (A), by striking ``(A) Consistent with 
     the requirements of subparagraph (B), if an'' and inserting 
     ``If an''; and
       (2) by striking subparagraph (B).
       (e) Conforming Amendments.--
       (1) Section 211 of title 37, United States Code, is 
     amended--
       (A) by striking subsection (d); and
       (B) by redesignating subsection (e) as subsection (d).
       (2) Section 8432b(c)(2)(B) of title 5, United States Code, 
     is amended by striking ``(including pursuant to an agreement 
     under section 211(d) of title 37)''.
       (f) Actions to Assure Implementation by Effective Date.--
       (1) In general.--The Secretaries concerned, the Director of 
     the Office of Personnel Management, and the Federal 
     Retirement Thrift Investment Board shall each and jointly 
     take appropriate actions to ensure the full and effective 
     commencement of the implementation of the amendments made by 
     this section as of January 1, 2018.
       (2) Secretary concerned defined.--In this subsection, the 
     term ``Secretary concerned'' has the meaning given that term 
     in section 101 of title 37, United States Code.
       (g) Effective Dates.--
       (1) Modernized retirement system.--The amendment made by 
     subsection (a) shall take effect on the date of the enactment 
     of this Act.

[[Page S3490]]

       (2) Other amendments.--The amendments made by subsections 
     (b) through (e) shall take effect on January 1, 2018.

     SEC. 632. MODERNIZED RETIREMENT SYSTEM FOR MEMBERS OF THE 
                   UNIFORMED SERVICES.

       (a) Modernized Retirement System.--
       (1) In general.--Section 1409(b) of title 10, United States 
     Code, is amended by adding at the end the following new 
     paragraph:
       ``(4) Modernized retirement system.--
       ``(A) Reduced multipliers for members receiving tsp 
     matching contributions.--Notwithstanding paragraphs (1), (2), 
     and (3), in the case of a member who first becomes a member 
     of the uniformed services after January 1, 2018, or a member 
     who makes the election described in subparagraph (B)--
       ``(i) subparagraph (A) of paragraph (1) shall be applied by 
     substituting `2' for `2\1/2\'';
       ``(ii) clause (i) of paragraph (3)(B) shall be applied by 
     substituting `60 percent' for `75 percent'; and
       ``(iii) subclause (I) of paragraph (3)(B)(ii) shall be 
     applied by substituting `2' for `2\1/2\'.
       ``(B) Election to participate in modernized retirement 
     system.--
       ``(i) Election.--A member of a uniformed service serving on 
     January 1, 2018, may elect to accept the reduced multipliers 
     described in subparagraph (A) for purposes of calculating the 
     retired pay of the member.
       ``(ii) Effect of election.--A member making the election 
     described in clause (i) shall--

       ``(I) have the retired pay of the member calculated using 
     the reduced multipliers described in subparagraph (A);
       ``(II) receive Thrift Savings Plan (TSP) matching 
     contributions pursuant to section 8440e(e) of title 5 for 
     periods of service between the completion of 2 years of 
     service and the completion of 20 years of service in 
     accordance with paragraph (3)(B) of such section; and
       ``(III) be eligible for lump sum payments under section 
     1415 of this title.

       ``(iii) Election period.--

       ``(I) In general.--Except as provided in subclauses (II) 
     and (III), a member of a uniformed service may make the 
     election described in clause (i) during the period that 
     begins on July 1, 2018, and ends on December 31, 2018.
       ``(II) Hardship extension.--The Secretary concerned may 
     extend the election period described in subclause (I) for a 
     member who experiences a hardship as determined by the 
     Secretary concerned.
       ``(III) Members experiencing break in service.--A member of 
     a uniformed service returning to service after a break in 
     service in which falls the election period specified in 
     subclause (I) shall make the election described in clause (i) 
     on the date of the reentry into service of the member.

       ``(iv) No retroactive matching contributions pursuant to 
     election.--Thrift Savings Plan matching contributions may not 
     be made for a member under this subparagraph for any pay 
     period beginning before the date of the member's election 
     under clause (i).
       ``(C) Regulations.--Each Secretary concerned shall 
     prescribe regulations to implement this paragraph.''.
       (2) Non-regular service.--Section 12739 of such title is 
     amended by adding at the end the following new subsection:
       ``(f) Modernized Retirement System.--
       ``(1) Reduced multipliers for persons receiving tsp 
     matching contributions.--In the case of a person who first 
     performs reserve component service after January 1, 2018, 
     after not having performed regular or reserve component 
     service on or before that date, or a person who makes the 
     election described in paragraph (2)--
       ``(A) paragraph (2) of subsection (a) shall be applied by 
     substituting `2 percent' for `2\1/2\ percent';
       ``(B) subparagraph (A) of subsection (c)(2) shall be 
     applied by substituting `60 percent' for `75 percent'; and
       ``(C) clause (ii) of subsection (c)(2)(B) shall be applied 
     by substituting `2 percent' for `2\1/2\ percent'.
       ``(2) Election to participate in modernized retirement 
     system.--
       ``(A) Election.--A person performing reserve component 
     service on January 1, 2018, may elect to accept the reduced 
     multipliers described in paragraph (1) for purposes of 
     calculating the retired pay of the person.
       ``(B) Effect of election.--A person making the election 
     described in subparagraph (A) shall--
       ``(i) have the retired pay of the person calculated using 
     the reduced multipliers described in paragraph (1):
       ``(ii) receive Thrift Savings Plan (TSP) matching 
     contributions pursuant to section 8440e(e) of title 5 for 
     periods of service between the completion of 2 years of 
     service and the completion of 20 years of service in 
     accordance with paragraph (3)(B) of such section; and
       ``(iii) be eligible for lump sum payments under section 
     1415 of this title.
       ``(C) Election period.--
       ``(i) In general.--Except as provided in clauses (ii) and 
     (iii), a person performing reserve component service may make 
     the election described in subparagraph (A) during the period 
     that begins on July 1, 2018, and ends on December 31, 2018.
       ``(ii) Hardship extension.--The Secretary concerned may 
     extend the election period described in clause (i) for a 
     person who experiences a hardship as determined by the 
     Secretary concerned.
       ``(iii) Persons experiencing break in service.--A person 
     returning to reserve component service after a break in 
     reserve component service in which falls the election period 
     specified in clause (i) shall make the election described in 
     subparagraph (A) on the date of the reentry into service of 
     the person.
       ``(iv) No retroactive matching contributions pursuant to 
     election.--Thrift Savings Plan matching contributions may not 
     be made for a person under this paragraph for any pay period 
     beginning before the date of the person's election under 
     subparagraph (A).
       ``(3) Regulations.--Each Secretary concerned shall 
     prescribe regulations to implement this subsection.''.
       (b) Coordinating Amendments to Other Retirement 
     Authorities.--
       (1) Disability, warrant officers, and dopma retired pay.--
       (A) Computation of retired pay.--The table in section 
     1401(a) of title 10, United States Code, is amended--
       (i) in paragraph (1) in column 2 of formula number 1, by 
     striking ``2\1/2\% of years of service credited to him under 
     section 1208'' and inserting ``the retired pay multiplier 
     determined for the member under section 1409 of this title'';
       (ii) in paragraph (1) in column 2 of formula number 2, by 
     striking ``2\1/2\% of years of service credited to him under 
     section 1208'' and inserting ``the retired pay multiplier 
     determined for the member under section 1409 of this title''; 
     and
       (iii) in column 2 of each of formula number 4 and formula 
     number 5, by striking ``section 1409(a)'' and inserting 
     ``section 1409''.
       (B) Clarification regarding modernized retirement system.--
     Section 1401a(b) of such title is amended--
       (i) by redesignating paragraph (5) as paragraph (6); and
       (ii) by inserting after paragraph (4) the following new 
     paragraph (5):
       ``(5) Adjustments for participants in modernized retirement 
     system.--Notwithstanding paragraph (3), if a member makes the 
     election described in section 1409(b)(4) of this title, the 
     Secretary shall increase the retired pay of such member in 
     accordance with paragraph (2).''.
       (2) National oceanic and atmospheric administration 
     commissioned officer corps act of 2002.--Paragraph (2) of 
     section 245(a) of the National Oceanic and Atmospheric 
     Administration Commissioned Officer Corps Act of 2002 (33 
     U.S.C. 3045(a)) is amended to read as follows:
       ``(2) the retired pay multiplier determined under section 
     1409 of such title for the number of years of service that 
     may be credited to the officer under section 1405 of such 
     title as if the officer's service were service as a member of 
     the Armed Forces.''.
       (3) Title 37, united states code.--
       (A) 15-year career status bonus repayment.--Subsection (f) 
     of section 354 of title 37, United States Code, is amended--
       (i) by striking ``If a'' and inserting ``(1) If a''; and
       (ii) by adding at the end the following new paragraph:
       ``(2) If a person who is paid a bonus under this section 
     subsequently makes an election described in section 
     1409(b)(4) or 12739(f) of title 10, the person shall repay 
     any bonus payments received under this section in the same 
     manner as repayments are made under section 373 of this 
     title.''.
       (B) Sunset and continuation of payments.--Such section 354 
     is further amended by adding at the end the following new 
     subsection:
       ``(g) Sunset and Continuation of Payments.--(1) A Secretary 
     concerned may not pay a new bonus under this section after 
     December 31, 2017.
       ``(2) Subject to subsection (f)(2), the Secretary concerned 
     may continue to make payments after December 31, 2017, for 
     bonuses that were awarded under this section on or before 
     that date.''.
       (4) Public health service act.--Paragraph (4) of section 
     211(a) of the Public Health Service Act (42 U.S.C. 212) is 
     amended--
       (A) in the matter preceding subparagraph (A), by striking 
     ``at the rate of 2 \1/2\ per centum of the basic pay of the 
     highest grade held by him as such officer'' and inserting 
     ``calculated by multiplying the retired pay base determined 
     under section 1406 of title 10, United States Code, by the 
     retired pay multiplier determined under section 1409 of such 
     title for the numbers of years of service credited to the 
     officer under this paragraph''; and
       (B) in the matter following subparagraph (B)(iii)--
       (i) in subparagraph (C), by striking ``such pay, and'' and 
     inserting ``such pay,''; and
       (ii) in subparagraph (D), by striking ``such basic pay.'' 
     and inserting ``such basic pay, and (E) in the case of any 
     officer who makes the election described in section 
     1409(b)(4) of title 10, United States Code, subparagraph (C) 
     shall be applied by substituting `40 per centum' for `50 per 
     centum' each place the term appears and subparagraph (D) 
     shall be applied by substituting `60 per centum' for `75 per 
     centum'.''.
       (c) Effective Dates.--
       (1) Modernized retirement systems.--The amendments made by 
     subsection (a) shall take effect on the date of the enactment 
     of this Act.
       (2) Coordinating amendments.--
       (A) In general.--Except as provided in subparagraph (B), 
     the amendments made by subsection (b) shall take effect on 
     January 1, 2018.

[[Page S3491]]

       (B) Title 37 amendments.--The amendments made by paragraph 
     (3) of subsection (b) shall take effect on the date of the 
     enactment of this Act.

     SEC. 633. LUMP SUM PAYMENTS OF CERTAIN RETIRED PAY.

       (a) Lump Sum Payments of Certain Retired Pay.--
       (1) In general.--Chapter 71 of title 10, United States 
     Code, is amended by adding at the end the following new 
     section:

     ``Sec. 1415. Lump sum payment of certain retired pay

       ``(a) Definitions.--In this section:
       ``(1) Covered retired pay.--The term `covered retired pay' 
     means retired pay under--
       ``(A) this title;
       ``(B) title 14;
       ``(C) the National Oceanic and Atmospheric Administration 
     Commissioned Officer Corps Act of 2002 (33 U.S.C. 3001 et 
     seq.); or
       ``(D) the Public Health Service Act (42 U.S.C. 201 et 
     seq.).
       ``(2) Eligible person.--The term `eligible person' means a 
     person who--
       ``(A)(i) first becomes a member of a uniformed service on 
     or after January 1, 2018; or
       ``(ii) makes the election described in section 1409(b)(4) 
     or 12739(f) of this title; and
       ``(B) does not retire or separate under chapter 61 of this 
     title.
       ``(3) Retirement age.--The term `retirement age' has the 
     meaning given the term in section 216(l) of the Social 
     Security Act (42 U.S.C. 416(l)).
       ``(b) Election of Lump Sum Payment of Certain Retired 
     Pay.--
       ``(1) In general.--An eligible person entitled to covered 
     retired pay (including an eligible person who is entitled to 
     such pay by reason of an election described in subsection 
     (a)(2)(A)(ii)) may elect--
       ``(A) to receive a lump sum payment of the discounted 
     present value at the time of the election of the amount of 
     the covered retired pay that the eligible person is otherwise 
     entitled to receive for the period beginning on the date of 
     retirement and ending on the date the eligible person attains 
     the eligible person's retirement age; or
       ``(B) to receive--
       ``(i) a lump sum payment of an amount equal to 50 percent 
     of the amount otherwise receivable by the eligible person 
     pursuant to subparagraph (A); and
       ``(ii) a monthly amount during the period described in 
     subparagraph (A) equal to 50 percent of the amount of monthly 
     covered retired pay the eligible person is otherwise entitled 
     to receive during such period.
       ``(2) Discounted present value.--The Secretary of Defense 
     shall compute the discounted present value of amounts of 
     covered retired pay that an eligible person is otherwise 
     entitled to receive for a period for purposes of paragraph 
     (1)(A) by--
       ``(A) estimating the aggregate amount of retired pay the 
     person would receive for the period, taking into account 
     cost-of-living adjustments under section 1401a of this title 
     projected by the Secretary at the time the person separates 
     from service and would otherwise begin receiving covered 
     retired pay; and
       ``(B) reducing the aggregate amount estimated pursuant to 
     subparagraph (A) by an appropriate percentage determined by 
     the Secretary--
       ``(i) using average personal discount rates (as defined and 
     calculated by the Secretary taking into consideration 
     applicable and reputable studies of personal discount rates 
     for military personnel and past actuarial experience in the 
     calculation of personal discount rates under this paragraph); 
     and
       ``(ii) in accordance with generally accepted actuarial 
     principles and practices.
       ``(3) Timing of election.--An eligible person shall make 
     the election under this subsection not later than 90 days 
     before the date of the retirement of the eligible person from 
     the uniformed services.
       ``(4) Single payment or combination of payments.--An 
     eligible person may elect to receive a lump sum payment under 
     this subsection in a single payment or in a combination of 
     payments.
       ``(5) Commencement of payment.--An eligible person who 
     makes an election under this subsection shall receive the 
     lump sum payment, or the first installment of a combination 
     of payments of the lump sum payment if elected under 
     paragraph (4), as follows:
       ``(A) Not later than 60 days after the date of the 
     retirement of the eligible person from the uniformed 
     services.
       ``(B) In the case of an eligible person who is a member of 
     a reserve component, not later than 60 days after the later 
     of--
       ``(i) the date on which the eligible person attains 60 
     years of age; or
       ``(ii) the date on which the eligible person first becomes 
     entitled to covered retired pay.
       ``(6) No subsequent adjustment.--An eligible person who 
     accepts payment of a lump sum under this subsection may not 
     seek the review of or otherwise challenge the amount of the 
     lump sum in light of any variation in cost-of-living 
     adjustments under section 1401a of this title, actuarial 
     assumptions, or other factors used by the Secretary in 
     calculating the amount of the lump sum that occur after the 
     Secretary pays the lump sum.
       ``(c) Resumption of Monthly Annuity.--
       ``(1) General rule.--Subject to paragraph (2), an eligible 
     person who makes an election described in subsection (b) 
     shall be entitled to receive the eligible person's monthly 
     covered retired pay calculated in accordance with paragraph 
     (2) after the eligible person attains the eligible person's 
     retirement age.
       ``(2) Restoration of full retirement amount at retirement 
     age.--The retired pay of an eligible person who makes an 
     election described in subsection (a) shall be recomputed, 
     effective on the first day of the first month beginning after 
     the person attains the eligible person's retirement age, so 
     as to be an amount equal to the amount of covered retired pay 
     to which the eligible person would otherwise be entitled on 
     that date if the annual increases, in the retired pay of the 
     eligible person made to reflect changes in the Consumer Price 
     Index, had been made in accordance with section 1401a of this 
     title.
       ``(d) Payment of Retired Pay to Persons Not Making 
     Election.--An eligible person who does not make the election 
     described in subsection (b) shall be paid the retired pay to 
     which the eligible person is otherwise entitled under the 
     applicable provisions of law referred to in subsection 
     (a)(1).
       ``(e) Regulations.--The Secretary of Defense concerned 
     shall prescribe regulations to carry out the provisions of 
     this section.''.
       (2) Clerical amendment.--The table of sections at the 
     beginning of chapter 71 of such title is amended by adding at 
     the end the following new item:

``1415. Lump sum payment of certain retired pay.''.

       (3) Payments from department of defense military retirement 
     fund.--Section 1463(a)(1) of title 10, United States Code, is 
     amended by striking ``or 1414'' and inserting ``, 1414, or 
     1415''.
       (b) Offset of Veterans Pension and Compensation by Amount 
     of Lump Sum Payments.--Section 5304 of title 38, United 
     States Code, is amended by adding at the end the following 
     new subsection:
       ``(d)(1) Other than amounts payable under section 1413a or 
     1414 of title 10, the amount of pension and compensation 
     benefits payable to a person under this title shall be 
     reduced by the amount of any lump sum payment made to such 
     person under section 1415 of title 10.
       ``(2) The Secretary shall collect any reduction under 
     paragraph (1) from amounts otherwise payable to the person 
     under this title, including pension and compensation payable 
     under this title, before any pension and compensation 
     payments under this title may be paid to the person.''.

     SEC. 634. CONTINUATION PAY AFTER 12 YEARS OF SERVICE FOR 
                   MEMBERS OF THE UNIFORMED SERVICES PARTICIPATING 
                   IN THE MODERNIZED RETIREMENT SYSTEMS.

       (a) Continuation Pay.--
       (1) In general.--Subchapter II of chapter 5 of title 37, 
     United States Code, is amended by adding at the end the 
     following new sections:

     ``Sec. 356. Continuation pay after 12 years of service: 
       members participating in modernized retirement systems

       ``(a) Continuation Pay.--
       ``(1) In general.--The Secretary concerned shall make a 
     payment of continuation pay to each member of the uniformed 
     services under the jurisdiction of the Secretary who--
       ``(A)(i) first becomes a member of a uniformed service 
     after January 1, 2018; or
       ``(ii) subject to paragraph (2), makes the election 
     described in section 1409(b)(4) or 12739(f) of title 10; and
       ``(B) after the date on which the member satisfies the 
     applicable requirement in subparagraph (A)--
       ``(i) completes 12 years of service; and
       ``(ii) enters into an agreement with the Secretary to serve 
     for an additional 4 years of obligated service.
       ``(2) Eligibility dependent on election before completion 
     of 12 years of service.--A member who makes an election 
     described in paragraph (1)(A)(ii) after the member completes 
     12 years of service is not eligible for continuation pay 
     under this section.
       ``(b) Amount.--The amount of continuation pay payable to a 
     member under this section shall be the amount that is equal 
     to--
       ``(1) in the case of a member of a regular component--
       ``(A) the monthly basic pay of the member at 12 years of 
     service multiplied by 2.5; plus
       ``(B) at the discretion of the Secretary concerned, the 
     monthly basic pay of the member at 12 years of service 
     multiplied by such number of months (not to exceed 13 months) 
     as the Secretary concerned shall specify in the agreement of 
     the member under subsection (a); and
       ``(2) in the case of a member of a reserve component--
       ``(A) the amount of monthly basic pay to which the member 
     would be entitled at 12 years of service if the member were a 
     member of a regular component multiplied by 0.5; plus
       ``(B) at the discretion of the Secretary concerned, the 
     amount of monthly basic pay described in subparagraph (A) 
     multiplied by such number of months (not to exceed 6 months) 
     as the Secretary concerned shall specify in the agreement of 
     the member under subsection (a).
       ``(c) Timing of Payment.--The Secretary concerned shall pay 
     continuation pay under this section to a member when the 
     member completes 12 years of service.
       ``(d) Lump Sum or Installments.--A member may elect to 
     receive continuation pay under this section in a lump sum or 
     in a series of not more than 4 payments.
       ``(e) Relationship to Other Pay and Allowances.--
     Continuation pay under this section is in addition to any 
     other pay or allowance to which the member is entitled.

[[Page S3492]]

       ``(f) Repayment.--A member who receives continuation pay 
     under this section and fails to complete the obligated 
     service required under subsection (a)(2)(B)(ii) shall be 
     subject to the repayment provisions of section 373 of this 
     title.
       ``(g) Regulations.--Each Secretary concerned shall 
     prescribe regulations to carry out this section.''.
       (2) Clerical amendment.--The table of sections at the 
     beginning of chapter 5 of such title is amended by adding at 
     the end the following new item:

``356. Continuation pay after 12 years of service: members 
              participating in modernized retirement systems.''.

       (b) Effective Date.--The amendments made by subsection (a) 
     shall take effect on January 1, 2018, and shall apply with 
     respect to agreements entered into under section 356 of title 
     37, United States Code, after that date.

     SEC. 635. AUTHORITY FOR RETIREMENT FLEXIBILITY FOR MEMBERS OF 
                   THE UNIFORMED SERVICES.

       (a) Authority for Retirement Flexibility.--Chapter 63 of 
     title 10, United States Code, is amended by adding at the end 
     the following new item:

     ``Sec. 1276. Retirement flexibility: authority to modify 
       years of service required for retirement for particular 
       occupational specialities or other groupings

       ``(a) Authority.--Notwithstanding any other provision of 
     law, the Secretary concerned may modify the years of service 
     required for an eligible member to retire, to greater than or 
     fewer than 20 years of service, in order to facilitate 
     management actions that shape the personnel profile or 
     correct manpower shortages within an occupational specialty 
     or other grouping of members of the uniformed services.
       ``(b) Eligible Member Defined.--In this section, the term 
     `eligible member' means a member of the uniformed services 
     working in an occupational specialty or other grouping 
     designated by the Secretary concerned as in need of a 
     management action described in subsection (a).
       ``(c) Notice-and-wait.--
       ``(1) Notice required.--The Secretary concerned shall 
     submit to Congress notice of any proposed modification under 
     subsection (a).
       ``(2) Limitation.--The Secretary concerned may not 
     implement a proposed modification under subsection (a) until 
     one year after the day on which the notice of the 
     modification is submitted to Congress under paragraph (1).
       ``(d) Applicability.--The Secretary concerned may only 
     modify the required years of service under subsection (a) for 
     an eligible member who first becomes a member of a uniformed 
     service on or after the date of the expiration of the one 
     year period described in subsection (c)(2) that is applicable 
     to the occupational specialty or other grouping in which the 
     eligible member works.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 63 of such title is amended by adding at 
     the end the following new item:

``1276. Retirement flexibility: authority to modify years of service 
              required for retirement for particular occupational 
              specialities or other groupings.''.

     SEC. 636. TREATMENT OF DEPARTMENT OF DEFENSE MILITARY 
                   RETIREMENT FUND AS A QUALIFIED TRUST.

       (a) In General.--Chapter 74 of title 10, United States 
     Code, is amended by adding at the end the following new 
     section:

     ``Sec. 1468. Treatment as a qualified trust

       ``For purposes of the Internal Revenue Code of 1986 (26 
     U.S.C. 1 et seq.)--
       ``(1) the Fund shall be treated as a trust described in 
     section 401(a) of such Code (26 U.S.C. 401(a)) which is 
     exempt from taxation under section 501(a) of such Code (26 
     U.S.C. 501(a)); and
       ``(2) any contribution to, or distribution from, the Fund 
     shall be treated in the same manner as contributions to or 
     distributions from such a trust.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 74 of such title is amended by adding at 
     the end the following new item:

``1468. Treatment as a qualified trust.''.

                         PART II--OTHER MATTERS

     SEC. 641. DEATH OF FORMER SPOUSE BENEFICIARIES AND SUBSEQUENT 
                   REMARRIAGES UNDER SURVIVOR BENEFIT PLAN.

       (a) In General.--Section 1448(b) of title 10, United States 
     Code, is amended by adding at the end the following new 
     paragraph:
       ``(7) Effect of death of former spouse beneficiary.--
       ``(A) Termination of participation in plan.--A person who 
     elects to provide an annuity to a former spouse under 
     paragraph (2) or (3) and whose former spouse subsequently 
     dies is no longer a participant in the Plan, effective on the 
     date of death of the former spouse.
       ``(B) Authority for election of new spouse beneficiary.--If 
     a person's participation in the Plan is discontinued by 
     reason of the death of a former spouse beneficiary, the 
     person may elect to resume participation in the Plan and to 
     elect a new spouse beneficiary as follows:
       ``(i) Married on the date of death of former spouse.--A 
     person who is married at the time of the death of the former 
     spouse beneficiary may elect to provide coverage to that 
     person's spouse. Such an election must be received by the 
     Secretary concerned within one year after the date of death 
     of the former spouse beneficiary.
       ``(ii) Marriage after death of former spouse beneficiary.--
     A person who is not married at the time of the death of the 
     former spouse beneficiary and who later marries may elect to 
     provide spouse coverage. Such an election must be received by 
     the Secretary concerned within one year after the date on 
     which that person marries.
       ``(C) Effective date of election.--The effective date of 
     election under this paragraph shall be as follows:
       ``(i) An election under subparagraph (B)(i) is effective as 
     of the first day of the first calendar month following the 
     death of the former spouse beneficiary.
       ``(ii) An election under subparagraph (B)(ii) is effective 
     as of the first day of the first calendar month following the 
     month in which the election is received by the Secretary 
     concerned.
       ``(D) Level of coverage.--A person making an election under 
     subparagraph (B) may not reduce the base amount previously 
     elected.
       ``(E) Procedures.--An election under this paragraph shall 
     be in writing, signed by the participant, and made in such 
     form and manner as the Secretary concerned may prescribe.
       ``(F) Irrevocability.--An election under this paragraph is 
     irrevocable.''.
       (b) Effective Date.--Paragraph (7) of section 1448(b) of 
     title 10, United States Code, as added by subsection (a), 
     shall apply with respect to any person whose former spouse 
     beneficiary dies on or after the date of the enactment of 
     this Act.
       (c) Applicability to Former Spouse Deaths Before 
     Enactment.--
       (1) In general.--A person--
       (A) who before the date of the enactment of this Act had a 
     former spouse beneficiary under the Survivor Benefit Plan who 
     died before that date; and
       (B) who on the date of the enactment of this Act is 
     married,

     may elect to provide spouse coverage for such spouse under 
     the Plan, regardless of whether the person married such 
     spouse before or after the death of the former spouse 
     beneficiary. Any such election may only be made during the 
     one-year period beginning on the date of the enactment of 
     this Act.
       (2) Effective date of election if married at least a year 
     at death former spouse.--If the person providing the annuity 
     was married to the spouse beneficiary for at least one year 
     at the time of the death of the former spouse beneficiary, 
     the effective date of such election shall be the first day of 
     the first month after the death of the former spouse 
     beneficiary.
       (3) Other effective date.--If the person providing the 
     annuity married the spouse beneficiary after (or during the 
     one-year period preceding) the death of the former spouse 
     beneficiary, the effective date of the election shall be the 
     first day of the first month following the first anniversary 
     of the person's marriage to the spouse beneficiary.
       (4) Responsibility for premiums.--A person electing to 
     participate in the Plan under this subsection shall be 
     responsible for payment of all premiums due from the 
     effective date of the election.

     SEC. 642. TRANSITIONAL COMPENSATION AND OTHER BENEFITS FOR 
                   DEPENDENTS OF MEMBERS OF THE ARMED FORCES 
                   INELIGIBLE TO RECEIVE RETIRED PAY AS A RESULT 
                   OF COURT-MARTIAL SENTENCE.

       (a) In General.--Chapter 53 of title 10, United States 
     Code, is amended by inserting after section 1059 the 
     following new section:

     ``Sec. 1059a. Dependents of members of the armed forces 
       ineligible to receive retired pay as a result of court-
       martial sentence: transitional compensation and other 
       benefits; commissary and exchange benefits

       ``(a) Authority To Pay Compensation.--The Secretary of 
     Defense, with respect to the armed forces (other than the 
     Coast Guard when it is not operating as a service in the 
     Navy), and the Secretary of Homeland Security, with respect 
     to the Coast Guard when it is not operating as a service in 
     the Navy, may each carry out a program under which the 
     Secretary may pay monthly transitional compensation in 
     accordance with this section to dependents or former 
     dependents of a member of the armed forces described in 
     subsection (b) who is under the jurisdiction of the 
     Secretary.
       ``(b) Members Covered.--This section applies in the case of 
     a member of the armed forces eligible for retired or retainer 
     pay under this title for years of service who--
       ``(1) is separated from the armed forces pursuant to the 
     sentence of a court-martial as a result of misconduct while a 
     member; and
       ``(2) has eligibility to receive retired pay terminated 
     pursuant to such sentence.
       ``(c) Recipient of Payments.--(1) In the case of a member 
     of the armed forces described in subsection (b), the 
     Secretary may pay compensation under this section to 
     dependents or former dependents of the member as follows:
       ``(A) If the member was married at the time of the 
     commission of the offense resulting in separation from the 
     armed forces, such compensation may be paid to the spouse or 
     former spouse to whom the member was married at that time, 
     including an amount for each, if any, dependent child of

[[Page S3493]]

     the member who resides in the same household as that spouse 
     or former spouse.
       ``(B) If there is a spouse or former spouse who is or, but 
     for subsection (d)(2), would be eligible for compensation 
     under this section and if there is a dependent child of the 
     member who does not reside in the same household as that 
     spouse or former spouse, compensation under this section may 
     be paid to each such dependent child of the member who does 
     not reside in that household.
       ``(C) If there is no spouse or former spouse who is or, but 
     for subsection (d)(2), would be eligible under this section, 
     compensation under this section may be paid to the dependent 
     children of the member.
       ``(2) A dependent or former dependent of a member described 
     in subsection (b) is not eligible for transitional 
     compensation under this section if the Secretary concerned 
     determines (under regulations prescribed under subsection 
     (g)) that the dependent or former dependent either--
       ``(A) was an active participant in the conduct constituting 
     the offense under chapter 47 of this title (the Uniform Code 
     of Military Justice) for which the member was convicted and 
     separated from the armed forces; or
       ``(B) did not cooperate with the investigation of such 
     conduct.
       ``(d) Commencement and Duration of Payment.--(1) Payment of 
     transitional compensation under this section shall commence--
       ``(A) as of the date the court-martial sentence is adjudged 
     if the sentence, as adjudged, includes--
       ``(i) a dismissal, dishonorable discharge, or bad conduct 
     discharge; and
       ``(ii) forfeiture of all pay and allowances; or
       ``(B) if there is a pretrial agreement that provides for 
     disapproval or suspension of the dismissal, dishonorable 
     discharge, bad conduct discharge, or forfeiture of all pay 
     and allowances, as of the date of the approval of the court-
     martial sentence by the person acting under section 860(c) of 
     this title (article 60(c) of the Uniform Code of Military 
     Justice) if the sentence, as approved, includes--
       ``(i) an unsuspended dismissal, dishonorable discharge, or 
     bad conduct discharge; and
       ``(ii) forfeiture of all pay and allowances.
       ``(2) Paragraphs (2) and (3) of subsection (e), paragraphs 
     (1) and (2) of subsection (g), and subsections (f) and (h) of 
     section 1059 of this title shall apply in determining--
       ``(A) the amount of transitional compensation to be paid 
     under this section;
       ``(B) the period for which such compensation may be paid; 
     and
       ``(C) the circumstances under which the payment of such 
     compensation may or will cease.
       ``(e) Commissary and Exchange Benefits.--A dependent or 
     former dependent who receives transitional compensation under 
     this section shall, while receiving such payments, be 
     entitled to use commissary and exchange stores in the same 
     manner as provided in subsection (j) of section 1059 of this 
     title.
       ``(f) Coordination of Benefits.--(1) The Secretary 
     concerned may not make payments to a spouse or former spouse 
     under both this section, on the one hand, and section 1059, 
     1408(h), or 1408(i) of this title, on the other hand. In the 
     case of a spouse or former spouse for whom a court order 
     provides for payments pursuant to section 1408(h) or 1408(i) 
     of this title and to whom the Secretary offers payments under 
     this section or section 1059 of this title, the spouse or 
     former spouse shall elect which payments to receive.
       ``(2) Upon the cessation of payments of transitional 
     compensation to a spouse or former spouse under this section 
     pursuant to subsection (d)(2), a spouse or former spouse who 
     elected payments of transitional compensation under this 
     section and either remains or becomes eligible for payments 
     under section 1408(h) or 1408(i) of this title, as 
     applicable, may commence receipt of payments under such 
     section 1408(h) or 1408(i) in accordance with such section.
       ``(g) Regulations.--The Secretary of Defense shall 
     prescribe regulations to carry out this section with respect 
     to the armed forces (other than the Coast Guard when it is 
     not operating as a service in the Navy). The Secretary of 
     Homeland Security shall prescribe regulations to carry out 
     this section with respect to the Coast Guard when it is not 
     operating as a service in the Navy.
       ``(h) Dependent Child Defined.--In this section, the term 
     `dependent child', with respect to a member or former member 
     of the armed forces referred to in subsection (b), has the 
     meaning given such term in subsection (l) of section 1059 of 
     this title, except that status as a `dependent child' shall 
     be determined as of the date on which the member described in 
     subsection (b) is convicted of the offense concerned.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 53 of such title is amended by inserting 
     after the item relating to section 1059 the following new 
     item:

``1059a. Dependents of members of the armed forces ineligible to 
              receive retired pay as a result of court-martial 
              sentence: transitional compensation and other benefits; 
              commissary and exchange benefits.''.
       (c) Conforming Amendment.--Subsection (i) of section 1059 
     of title 10, United States Code, is amended to read as 
     follows:
       ``(i) Coordination of Benefits.--The Secretary concerned 
     may not make payments to a spouse or former spouse under both 
     this section, on the one hand, and section 1059a, 1408(h), or 
     1408(i) of this title, on the other hand. In the case of a 
     spouse or former spouse for whom a court order provides for 
     payments pursuant to section 1408(h) or 1408(i) of this title 
     and to whom the Secretary offers payments under this section 
     or section 1059a of this title, the spouse or former spouse 
     shall elect which payments to receive.''.

   Subtitle E--Commissary and Non-Appropriated Fund Instrumentality 
                        Benefits and Operations

     SEC. 651. COMMISSARY SYSTEM MATTERS.

       (a) Operating Expenses.--Section 2483 of title 10, United 
     States Code, is amended--
       (1) in subsection (b)--
       (A) in paragraph (4), by striking ``supplies and'';
       (B) by striking (5); and
       (C) by redesignating paragraph (6) as paragraph (5); and
       (2) by adding at the end the following new subsections:
       ``(d) Transportation Costs for Certain Goods and 
     Supplies.--Appropriated funds may be used to pay any costs 
     associated with the transportation of commissary goods and 
     supplies to overseas areas, but only to the extent that the 
     working capital fund for commissary operations is reimbursed 
     for the payment of such costs. The sales prices in commissary 
     stores worldwide shall be adjusted in an equal percentage to 
     the extent necessary to provide sufficient gross revenues 
     from such sales to make such reimbursements.
       ``(e) Uniform System-wide Pricing.--The defense commissary 
     system shall be managed with the objective of attaining 
     uniform system-wide pricing.''.
       (b) Pricing and Surcharges.--Section 2484 of such title is 
     amended--
       (1) by striking subsection (e) and inserting the following 
     new subsection (e):
       ``(e) Sales Price Establishment.--The Secretary of Defense 
     shall establish the sales price of merchandise sold in, at, 
     or by commissary stores in amounts sufficient to finance 
     operating expenses as prescribed in section 2483(b) of this 
     title and the replenishment of inventories.''; and
       (2) in subsection (h)--
       (A) in the subsection caption, by striking ``and 
     Maintenance'' and inserting ``Maintenance, and Purchase of 
     Operating Supplies''; and
       (B) in paragraph (1)(A)--
       (i) in clause (i), by striking ``and'' at the end;
       (ii) in clause (ii), by striking the period at the end and 
     inserting ``; and''; and
       (iii) by adding at the end the following new clause:
       ``(iii) to purchase operating supplies for commissary 
     stores.''.
       (c) Overseas Transportation.--Section 2643(b) of such title 
     is amended by striking the first sentence and inserting the 
     following new sentence: ``Defense working capital funds may 
     be used to cover the transportation costs of commissary goods 
     and supplies as provided in section 2483(d) of this title.''.

     SEC. 652. PLAN ON PRIVATIZATION OF THE DEFENSE COMMISSARY 
                   SYSTEM.

       (a) Plan Required.--
       (1) In general.--Not later than March 1, 2016, the 
     Secretary of Defense shall submit to the Committees on Armed 
     Services of the Senate and the House of Representatives a 
     report setting forth a plan for the privatization, in whole 
     or in part, of the defense commissary system of the 
     Department of Defense.
       (2) Consultation.--The Secretary shall consult with major 
     grocery retailers in the continental United States in 
     developing the plan.
       (b) Elements.--
       (1) Plan elements.--The plan required by subsection (a) 
     shall ensure the provision of high quality grocery goods and 
     products, discount savings to patrons, and high levels of 
     customer satisfaction while achieving savings for the 
     Department of Defense.
       (2) Report elements.--The report required by subsection (a) 
     should include--
       (A) an evaluation of the current rates of basic pay and 
     basic allowance for subsistence payable to members of the 
     Armed Forces, and an assessment whether such pay and 
     allowance should be adjusted to ensure that members maintain 
     purchasing power for grocery goods and products under the 
     plan; and
       (B) an estimate of any initial and long-term costs or 
     savings to the Department as a result of the implementation 
     of the plan.
       (3) Recommendations for legislative action.--The plan shall 
     include recommendations for such legislative action as the 
     Secretary considers appropriate to implement the plan.
       (c) Comptroller General of the United States Assessment of 
     Plan.--Not later than 120 days after the submittal of the 
     report required by subsection (a), the Comptroller General of 
     the United States shall submit to the committees of Congress 
     referred to in that subsection a report setting forth an 
     assessment by the Comptroller General of the plan set forth 
     in the report required by that subsection.
       (d) Pilot Program on Privatization.--
       (1) Pilot program required.--Commencing as soon as 
     practicable after the submittal to Congress of the report 
     required by subsection (c), the Secretary shall carry out a 
     pilot program to assess the feasibility and advisability of 
     the plan set forth in the report required by subsection (a).

[[Page S3494]]

       (2) Number and location of commissaries.--The pilot program 
     shall involve not fewer than five commissaries selected by 
     the Secretary for purposes of the pilot program from among 
     commissaries in the largest markets of the defense commissary 
     system in the United States.
       (3) Scope of pilot program.--The Secretary shall carry out 
     the pilot program in accordance with the plan described in 
     paragraph (1) as modified by the Secretary in light of the 
     assessment of the plan by the Comptroller General pursuant to 
     subsection (c). The Secretary shall submit to the Committees 
     on Armed Services of the Senate and the House of 
     Representatives a notice on any modifications made to the 
     plan for purposes of the pilot program in light of the 
     assessment.
       (4) Additional element on online purchases.--In an addition 
     to any requirements under paragraph (3), the Secretary may 
     include in the pilot program a component designed to permit 
     eligible beneficiaries of the defense commissary system in 
     the catchment areas of the commissaries selected for 
     participation in the pilot program to order and purchase 
     grocery goods and products otherwise available through the 
     defense commissary system through the Internet and to receive 
     items so ordered through home delivery.
       (5) Duration.--The duration of the pilot program shall be 
     two years.
       (6) Report.--Not later than 180 days after the completion 
     of the pilot program, the Secretary shall submit to the 
     Committees on Armed Services of the Senate and the House of 
     Representatives a report on the pilot program, including--
       (A) an assessment of the feasibility and advisability of 
     carrying out the plan described in paragraph (1), as 
     modified, if at all, as described in paragraph (3); and
       (B) a description of any modifications to the plan the 
     Secretary considers appropriate in light of the pilot 
     program.

     SEC. 653. COMPTROLLER GENERAL OF THE UNITED STATES REPORT ON 
                   THE COMMISSARY SURCHARGE, NON-APPROPRIATED 
                   FUND, AND PRIVATELY-FINANCED MAJOR CONSTRUCTION 
                   PROGRAM.

       (a) In General.--Not later than 180 days after the date of 
     the enactment of this Act, the Comptroller General of the 
     United States shall submit to the Committees on Armed 
     Services of the Senate and the House of Representatives a 
     report on the Commissary Surcharge, Non-appropriated Fund and 
     Privately-Financed Major Construction Program of the 
     Department of Defense.
       (b) Elements.--The report under subsection (a) shall 
     include the following:
       (1) An assessment whether the Secretary of Defense has 
     established policies and procedures to ensure the timely 
     submittal to the committees of Congress referred to in 
     subsection (a) of notice on construction projects proposed to 
     be funded through the program referred to in that subsection.
       (2) An assessment whether the Secretaries of the military 
     departments have developed and implemented policies and 
     procedures to comply with the policies and directives of the 
     Department of Defense for the submittal to such committees of 
     Congress of notice on such construction projects.
       (3) An assessment whether the Secretary of Defense has 
     established policies and procedures to notify such committees 
     of Congress when such construction projects have been 
     commenced without notice to Congress.
       (4) An assessment whether construction projects described 
     in paragraph (3) have been completed before submittal of 
     notice to Congress as described in that paragraph and, if so, 
     a list of such projects.

                   TITLE VII--HEALTH CARE PROVISIONS

           Subtitle A--TRICARE and Other Health Care Benefits

     SEC. 701. URGENT CARE AUTHORIZATION UNDER THE TRICARE 
                   PROGRAM.

       (a) Urgent Care.--
       (1) In general.--In accordance with the regulations 
     prescribed under this section, a covered beneficiary under 
     the TRICARE program shall have access to up to four urgent 
     care visits per year under that program without the need for 
     preauthorization for such visits.
       (2) Regulations.--Not later than 180 days after the date of 
     the enactment of this Act, the Secretary shall prescribe 
     regulations to carry out paragraph (1).
       (b) Publication.--The Secretary shall--
       (1) publish information on any modifications made pursuant 
     to subsection (a) to the authorization requirements for the 
     receipt of urgent care under the TRICARE program--
       (A) on the primary Internet website that is available to 
     the public of the Department; and
       (B) on the primary Internet website that is available to 
     the public of each military medical treatment facility; and
       (2) ensure that such information is made available on the 
     primary Internet website that is available to the public of 
     each current managed care contractor that has established a 
     health care provider network under the TRICARE program.
       (c) Definitions.--In this section, the terms ``covered 
     beneficiary'' and ``TRICARE program'' have the meaning given 
     such terms in section 1072 of title 10, United States Code.

     SEC. 702. MODIFICATIONS OF COST-SHARING REQUIREMENTS FOR THE 
                   TRICARE PHARMACY BENEFITS PROGRAM.

       Paragraph (6) of section 1074g(a) of title 10, United 
     States Code, is amended to read as follows:
       ``(6)(A) In the case of any of the years 2016 through 2025, 
     the cost-sharing amounts under this subsection shall be 
     determined in accordance with the following table:


------------------------------------------------------------------------
                                     The cost-
             The cost-                sharing                 The cost-
              sharing    The cost-     amount    The cost-     sharing
               amount     sharing    for a 90-    sharing     amount for
              for 30-    amount for     day      amount for    a 90-day
   ``For:       day        30-day    supply of    a 90-day   supply of a
             supply of  supply of a    a mail   supply of a   mail order
              a retail     retail      order     mail order      non-
              generic    formulary    generic    formulary    formulary
                is:         is:         is:         is:          is:
 
------------------------------------------------------------------------
    2016           $8         $28          $0         $28          $54
------------------------------------------------------------------------
    2017           $8         $30          $0         $30          $58
------------------------------------------------------------------------
    2018           $8         $32          $0         $32          $62
------------------------------------------------------------------------
    2019           $9         $34          $9         $34          $66
------------------------------------------------------------------------
    2020          $10         $36         $10         $36          $70
------------------------------------------------------------------------
    2021          $11         $38         $11         $38          $75
------------------------------------------------------------------------
    2022          $12         $40         $12         $40          $80
------------------------------------------------------------------------
    2023          $13         $43         $13         $43          $85
------------------------------------------------------------------------
    2024          $14         $45         $14         $45          $90
------------------------------------------------------------------------
    2025          $14         $46         $14         $46          $92
------------------------------------------------------------------------

       ``(B) For any year after 2025, the cost-sharing amounts 
     under this subsection shall be equal to the cost-sharing 
     amounts for the previous year adjusted by an amount, if any, 
     determined by the Secretary to reflect changes in the costs 
     of pharmaceutical agents and prescription dispensing, rounded 
     to the nearest dollar.
       ``(C) Notwithstanding subparagraphs (A) and (B), the cost-
     sharing amounts under this subsection for any year for a 
     dependent of a member of the uniformed services who dies 
     while on active duty, a member retired under chapter 61 of 
     this title, or a dependent of such a member shall be equal to 
     the cost-sharing amounts, if any, for 2015.''.

     SEC. 703. EXPANSION OF CONTINUED HEALTH BENEFITS COVERAGE TO 
                   INCLUDE DISCHARGED AND RELEASED MEMBERS OF THE 
                   SELECTED RESERVE.

       (a) In General.--Subsection (b) of section 1078a of title 
     10, United States Code, is amended--
       (1) by redesignating paragraphs (2) through (4) as 
     paragraphs (3) through (5), respectively; and
       (2) by inserting after paragraph (1) the following new 
     paragraph (2):
       ``(2) A member of the Selected Reserve of the Ready Reserve 
     of a reserve component of the armed forces who--
       ``(A) is discharged or released from service in the 
     Selected Reserve, whether voluntarily or involuntarily, under 
     other than adverse conditions, as characterized by the 
     Secretary concerned;
       ``(B) immediately preceding that discharge or release, is 
     eligible to enroll in TRICARE Standard coverage under section 
     1076d of this title; and

[[Page S3495]]

       ``(C) after that discharge or release, would not otherwise 
     be eligible for any benefits under this chapter.''.
       (b) Notification of Eligibility.--Subsection (c)(2) of such 
     section is amended by inserting ``or subsection (b)(2)'' 
     after ``subsection (b)(1)''.
       (c) Election of Coverage.--Subsection (d) of such section 
     is amended--
       (1) by redesignating paragraphs (2) through (4) as 
     paragraphs (3) through (5), respectively; and
       (2) by inserting after paragraph (1) the following new 
     paragraph (2):
       ``(2) In the case of a member described in subsection 
     (b)(2), the written election shall be submitted to the 
     Secretary concerned before the end of the 60-day period 
     beginning on the later of--
       ``(A) the date of the discharge or release of the member 
     from service in the Selected Reserve; and
       ``(B) the date the member receives the notification 
     required pursuant to subsection (c).''.
       (d) Coverage of Dependents.--Subsection (e) of such section 
     is amended by inserting ``or subsection (b)(2)'' after 
     ``subsection (b)(1)''.
       (e) Period of Continued Coverage.--Subsection (g)(1) of 
     such section is amended--
       (1) by redesignating subparagraphs (B) through (D) as 
     subparagraphs (C) through (E); and
       (2) by inserting after subparagraph (A) the following new 
     subparagraph (B):
       ``(B) in the case of a member described in subsection 
     (b)(2), the date which is 18 months after the date the member 
     ceases to be eligible to enroll in TRICARE Standard coverage 
     under section 1076d of this title;''.
       (f) Conforming Amendments.--Such section is further 
     amended--
       (1) in subsection (c)--
       (A) in paragraph (3), by striking ``subsection (b)(2)'' and 
     inserting ``subsection (b)(3)''; and
       (B) in paragraph (4), by striking ``subsection (b)(3)'' and 
     inserting ``subsection (b)(4)'';
       (2) in subsection (d)--
       (A) in paragraph (3), as redesignated by subsection (c)(1), 
     by striking ``subsection (b)(2)'' and inserting ``subsection 
     (b)(3)'';
       (B) in paragraph (4), as so redesignated, by striking 
     ``subsection (b)(3)'' and inserting ``subsection (b)(4)''; 
     and
       (C) in paragraph (5), as so redesignated, by striking 
     ``subsection (b)(4)'' and inserting ``subsection (b)(5)'';
       (3) in subsection (e), by striking ``subsection (b)(2) or 
     subsection (b)(3)'' and inserting ``subsection (b)(3) or 
     subsection (b)(4)''; and
       (4) in subsection (g)--
       (A) in paragraph (1)--
       (i) in subparagraph (C), as redesignated by subsection 
     (e)(1), by striking ``subsection (b)(2)'' and inserting 
     ``subsection (b)(3)'';
       (ii) in subparagraph (D), as so redesignated, by striking 
     ``subsection (b)(3)'' and inserting ``subsection (b)(4)''; 
     and
       (iii) in subparagraph (E), as so redesignated, by striking 
     ``subsection (b)(4)'' and inserting ``subsection (b)(5)'';
       (B) in paragraph (2)--
       (i) by striking ``paragraph (1)(B)'' and inserting 
     ``paragraph (1)(C)''; and
       (ii) by striking ``subsection (b)(2)'' and inserting 
     ``subsection (b)(3)''; and
       (C) in paragraph (3)--
       (i) by striking ``paragraph (1)(C)'' and inserting 
     ``paragraph (1)(D)''; and
       (ii) by striking ``subsection (b)(3)'' and inserting 
     ``subsection (b)(4)''.

     SEC. 704. EXPANSION OF REIMBURSEMENT FOR SMOKING CESSATION 
                   SERVICES FOR CERTAIN TRICARE BENEFICIARIES.

       Section 713(f) of the Duncan Hunter National Defense 
     Authorization Act for Fiscal Year 2009 (Public Law 110-417; 
     122 Stat. 4503) is amended--
       (1) in paragraph (1)(A), by striking ``during fiscal year 
     2009'';
       (2) in paragraph (1)(B), by striking ``during such 
     period''; and
       (3) in paragraph (2), by striking ``during fiscal year 
     2009'' and inserting ``after September 30, 2008''.

     SEC. 705. PILOT PROGRAM ON TREATMENT OF MEMBERS OF THE ARMED 
                   FORCES FOR POST-TRAUMATIC STRESS DISORDER 
                   RELATED TO MILITARY SEXUAL TRAUMA.

       (a) In General.--The Secretary of Defense may conduct a 
     pilot program to provide intensive outpatient programs to 
     treat members of the Armed Forces suffering from post-
     traumatic stress disorder resulting from military sexual 
     trauma, including treatment for substance abuse, depression, 
     and other issues related to such conditions.
       (b) Grants to Community Partners.--
       (1) In general.--The Secretary of Defense may carry out the 
     pilot program through the award of grants to community 
     partners described in paragraph (2).
       (2) Community partners.--A community partner described in 
     this paragraph is a private health care organization or 
     institution that--
       (A) provides health care to members of the Armed Forces;
       (B) provides evidence-based treatment for psychological and 
     neurological conditions that are common among members of the 
     Armed Forces, including post-traumatic stress disorder, 
     traumatic brain injury, substance abuse, and depression;
       (C) provides health care, support, and other benefits to 
     family members of members of the Armed Forces; and
       (D) provides health care under the TRICARE program (as that 
     term is defined in section 1072 of title 10, United States 
     Code).
       (c) Requirements of Grant Recipients.--Each community 
     partner awarded a grant under subsection (b) shall--
       (1) carry out intensive outpatient programs of short 
     duration to treat members of the Armed Forces suffering from 
     post-traumatic stress disorder resulting from military sexual 
     trauma, including treatment for substance abuse, depression, 
     and other issues related to such conditions;
       (2) use evidence-based and evidence-informed treatment 
     strategies in carrying out such programs;
       (3) share clinical and outreach best practices with other 
     community partners participating in the pilot program; and
       (4) annually assess outcomes for members of the Armed 
     Forces individually and throughout the community partner with 
     respect to the treatment of conditions described in paragraph 
     (1).
       (d) Federal Share.--The Federal share of the costs of a 
     program carried out by a community partner using a grant 
     under this section may not exceed 50 percent.
       (e) Termination.--The Secretary of Defense may not carry 
     out the conduct of the pilot program after the date that is 
     three years after the date of the enactment of this Act.

                 Subtitle B--Health Care Administration

     SEC. 711. ACCESS TO HEALTH CARE UNDER THE TRICARE PROGRAM.

       (a) Access to Health Care.--
       (1) In general.--The Secretary of Defense shall ensure that 
     covered beneficiaries under the TRICARE program seeking an 
     appointment for health care under such program at a military 
     medical treatment facility obtain such an appointment at such 
     facility within the wait-time goals specified for the receipt 
     of such health care pursuant to the health care access 
     standards established under subsection (b).
       (2) Use of contract authority.--If a covered beneficiary is 
     unable to obtain an appointment within the wait-time goals 
     described in paragraph (1), such covered beneficiary shall be 
     offered an appointment within such wait-time goals with a 
     health care provider with which a contract has been entered 
     into under the TRICARE program.
       (b) Standards for Access to Care.--
       (1) In general.--Not later than 180 days after the date of 
     the enactment of this Act, the Secretary shall establish 
     health care access standards, including wait-time goals for 
     appointments, for the receipt of health care under the 
     TRICARE program, whether received at military medical 
     treatment facilities or from health care providers with which 
     a contract has been entered into under such program.
       (2) Categories of care.--The health care access standards 
     established under paragraph (1) shall include standards with 
     respect to the following categories of health care:
       (A) Primary care, including pediatric care, maternity care, 
     gynecological care, and other subcategories of primary care.
       (B) Specialty care, including behavioral health care and 
     other subcategories of specialty care.
       (3) Modifications.--The Secretary may modify the health 
     care access standards established under paragraph (1) 
     whenever the Secretary considers the modification of such 
     standards appropriate.
       (4) Publication.--The Secretary shall publish the health 
     care access standards established under paragraph (1), and 
     any modifications to such standards, in the Federal Register 
     and on a publicly accessible Internet website of the 
     Department of Defense.
       (c) Publication of Appointment Wait Times.--
       (1) In general.--Not later than 180 days after the date of 
     the enactment of this Act, the Secretary shall publish on a 
     publicly accessible Internet website of each military medical 
     treatment facility that offers a category or subcategory of 
     health care covered by the standards under subsection (b)(2) 
     the average wait-time for a covered beneficiary for an 
     appointment at such facility for the receipt of each such 
     category and subcategory of health care.
       (2) Modifications.--Whenever there is a modification of a 
     wait-time for a category or subcategory of health care 
     published under this subsection, the Secretary shall publish 
     on a publicly accessible Internet website of each military 
     medical treatment facility that provides such category or 
     subcategory of health care the modified wait-time for such 
     category or subcategory of health care.
       (d) Definitions.--In this section, the terms ``covered 
     beneficiary'' and ``TRICARE program'' have the meaning given 
     such terms in section 1072 of title 10, United States Code.

     SEC. 712. PORTABILITY OF HEALTH PLANS UNDER THE TRICARE 
                   PROGRAM.

       (a) Health Plan Portability.--
       (1) In general.--The Secretary of Defense shall ensure that 
     covered beneficiaries under the TRICARE program who are 
     covered under a health plan under such program are able to 
     seamlessly access health care under such health plan in each 
     TRICARE program region.
       (2) Regulations.--Not later than 180 days after the date of 
     the enactment of this Act, the Secretary shall prescribe 
     regulations to carry out paragraph (1).

[[Page S3496]]

       (b) Mechanisms to Ensure Portability.--In carrying out 
     subsection (a), the Secretary shall do the following:
       (1) Provide for the automatic electronic transfer of 
     demographic, enrollment, and claims information between the 
     contractors responsible for administering the TRICARE program 
     in each TRICARE region when covered beneficiaries under the 
     TRICARE program relocate between such regions.
       (2) Ensure such covered beneficiaries are able to obtain a 
     new primary health care provider within ten days of 
     undergoing such relocation.
       (3) Develop a process for such covered beneficiaries to 
     receive urgent care without preauthorization while undergoing 
     such relocation.
       (c) Publication.--The Secretary shall--
       (1) publish information on any modifications made pursuant 
     to subsection (a) with respect to the ability of covered 
     beneficiaries under the TRICARE program who are covered under 
     a health plan under such program to access health care in 
     each TRICARE region on the primary Internet website of the 
     Department that is available to the public; and
       (2) ensure that such information is made available on the 
     primary Internet website that is available to the public of 
     each current contractor responsible for administering the 
     TRICARE program.
       (d) Definitions.--In this section, the terms ``covered 
     beneficiary'' and ``TRICARE program'' have the meaning given 
     such terms in section 1072 of title 10, United States Code.

     SEC. 713. IMPROVEMENT OF MENTAL HEALTH CARE PROVIDED BY 
                   HEALTH CARE PROVIDERS OF THE DEPARTMENT OF 
                   DEFENSE.

       (a) Training on Recognition and Management of Risk of 
     Suicide.--
       (1) Initial training.--Not later than 180 days after the 
     date of the enactment of this Act, the Secretary of Defense 
     shall ensure that all primary care and mental health care 
     providers of the Department of Defense receive, or have 
     already received, evidence-based training on the recognition 
     and assessment of individuals at risk for suicide and the 
     management of such risk.
       (2) Additional training.--The Secretary shall ensure that 
     providers who receive, or have already received, training 
     described in paragraph (1) receive such additional training 
     thereafter as may be required based on evidence-based changes 
     in health care practices.
       (b) Assessment of Mental Health Workforce.--
       (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 Committees on Armed Services of the Senate and 
     the House of Representatives a report assessing the mental 
     health workforce of the Department of Defense and the long-
     term mental health care needs of members of the Armed Forces 
     and their dependents for purposes of determining the long-
     term requirements of the Department for mental health care 
     providers.
       (2) Elements.--The report submitted under paragraph (1) 
     shall include an assessment of the following:
       (A) The number of mental health care providers of the 
     Department of Defense as of the date of the submittal of the 
     report, disaggregated by specialty, including psychiatrists, 
     psychologists, social workers, mental health counselors, and 
     marriage and family therapists.
       (B) The number of mental health care providers that are 
     anticipated to be needed by the Department.
       (C) The types of mental health care providers that are 
     anticipated to be needed by the Department.
       (D) Locations in which mental health care providers are 
     anticipated to be needed by the Department.
       (c) Plan for Development of Procedures to Measure Mental 
     Health Data.--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 plan for the Department of Defense 
     to develop procedures to compile and assess data relating to 
     the following:
       (1) Outcomes for mental health care provided by the 
     Department.
       (2) Variations in such outcomes among different medical 
     facilities of the Department.
       (3) Barriers, if any, to the implementation by mental 
     health care providers of the Department of the clinical 
     practice guidelines and other evidence-based treatments and 
     approaches recommended for such providers by the Secretary.

     SEC. 714. COMPREHENSIVE STANDARDS AND ACCESS TO CONTRACEPTION 
                   COUNSELING FOR MEMBERS OF THE ARMED FORCES.

       (a) Purpose.--The purpose of this section is to ensure that 
     all health care providers employed by the Department of 
     Defense who provide care for members of the Armed Forces, 
     including general practitioners, are provided, through 
     clinical practice guidelines, the most current evidence-based 
     and evidence-informed standards of care with respect to 
     methods of contraception and counseling on methods of 
     contraception.
       (b) Clinical Practice Guidelines.--
       (1) In general.--Not later than one year after the date of 
     the enactment of this Act, the Secretary of Defense shall 
     compile clinical practice guidelines for health care 
     providers described in subsection (a) on standards of care 
     with respect to methods of contraception and counseling on 
     methods of contraception for members of the Armed Forces.
       (2) Sources.--The Secretary shall compile clinical practice 
     guidelines under this subsection from among clinical practice 
     guidelines established by appropriate health agencies and 
     professional organizations, including the following:
       (A) The United States Preventive Services Task Force.
       (B) The Centers for Disease Control and Prevention.
       (C) The Office of Population Affairs of the Department of 
     Health and Human Services.
       (D) The American College of Obstetricians and 
     Gynecologists.
       (E) The Association of Reproductive Health Professionals.
       (F) The American Academy of Family Physicians.
       (G) The Agency for Healthcare Research and Quality.
       (3) Updates.--The Secretary shall from time to time update 
     the list of clinical practice guidelines compiled under this 
     subsection to incorporate into such guidelines new or updated 
     standards of care with respect to methods of contraception 
     and counseling on methods of contraception.
       (4) Dissemination.--
       (A) Initial dissemination.--As soon as practicable after 
     the compilation of clinical practice guidelines pursuant to 
     paragraph (1), but commencing not later than one year after 
     the date of the enactment of this Act, the Secretary shall 
     provide for rapid dissemination of the clinical practice 
     guidelines to health care providers described in subsection 
     (a).
       (B) Updates.--As soon as practicable after the adoption 
     under paragraph (3) of any update to the clinical practice 
     guidelines compiled pursuant to this subsection, the 
     Secretary shall provide for the rapid dissemination of such 
     clinical practice guidelines, as so updated, to health care 
     providers described in subsection (a).
       (C) Protocols.--Clinical practice guidelines, and any 
     updates to such guidelines, shall be disseminated under this 
     paragraph in accordance with administrative protocols 
     developed by the Secretary for that purpose.
       (c) Clinical Decision Support Tools.--
       (1) In general.--Not later than one year after the date of 
     the enactment of this Act, the Secretary shall, in order to 
     assist health care providers described in subsection (a), 
     develop and implement clinical decision support tools that 
     reflect, through the clinical practice guidelines compiled 
     pursuant to subsection (b), the most current evidence-based 
     and evidence-informed standards of care with respect to 
     methods of contraception and counseling on methods of 
     contraception.
       (2) Updates.--The Secretary shall from time to time update 
     the clinical decision support tools developed under this 
     subsection to incorporate into such tools new or updated 
     guidelines on methods of contraception and counseling on 
     methods of contraception.
       (3) Dissemination.--Clinical decision support tools, and 
     any updates to such tools, shall be disseminated under this 
     subsection in accordance with administrative protocols 
     developed by the Secretary for that purpose. Such protocols 
     shall be similar to the administrative protocols developed 
     under subsection (b)(4)(C).
       (d) Access to Contraception Counseling.--As soon as 
     practicable after the date of the enactment of this Act, the 
     Secretary shall ensure that women members of the Armed Forces 
     have access to comprehensive counseling on the full range of 
     methods of contraception provided by health care providers 
     described in subsection (a) during health care visits, 
     including visits as follows:
       (1) During predeployment health care visits, including 
     counseling that provides specific information women need 
     regarding the interaction between anticipated deployment 
     conditions and various methods of contraception.
       (2) During health care visits during deployment.
       (3) During annual physical examinations.
       (e) Incorporation Into Surveys of Questions on Servicewomen 
     Experiences With Family Planning Services and Counseling.--
       (1) In general.--Not later than 90 days after the date of 
     the enactment of this Act, the Secretary shall integrate into 
     the surveys by the Department of Defense specified in 
     paragraph (2) questions designed to obtain information on the 
     experiences of women members of the Armed Forces--
       (A) in accessing family planning services and counseling;
       (B) in using family planning methods, including information 
     on which method was preferred and whether deployment 
     conditions affected the decision on which family planning 
     method or methods to be used; and
       (C) with respect to women members of the Armed Forces who 
     are pregnant, whether the pregnancy was intended.
       (2) Covered surveys.--The surveys into which questions 
     shall be integrated as described in paragraph (1) are the 
     following:
       (A) The Health Related Behavior Survey of Active Duty 
     Military Personnel.
       (B) The Health Care Survey of Department of Defense 
     Beneficiaries.
       (f) Education on Family Planning for Members of the Armed 
     Forces.--
       (1) Education programs.--Not later than one year after the 
     date of the enactment of this Act, the Secretary of Defense 
     shall establish a uniform standard curriculum to be

[[Page S3497]]

     used in education programs on family planning for all members 
     of the Armed Forces, including both men and women members.
       (2) Sense of congress.--It is the sense of Congress that 
     the education programs described in paragraph (1) should use 
     the latest technology available to efficiently and 
     effectively deliver information to members of the Armed 
     Forces.
       (3) Elements.--The uniform standard curriculum under 
     paragraph (1) shall include the following:
       (A) Information for members of the Armed Forces on active 
     duty to make informed decisions regarding family planning.
       (B) Information about the prevention of unintended 
     pregnancy and sexually transmitted infections, including 
     human immunodeficiency virus (HIV).
       (C) Information on the importance of providing 
     comprehensive family planning for members of the Armed 
     Forces, and their commanding officers, and on the positive 
     impact family planning can have on the health and readiness 
     of the Armed Forces.
       (D) Current, medically accurate information.
       (E) Clear, user-friendly information on the full range of 
     methods of contraception and where members of the Armed 
     Forces can access their chosen method of contraception.
       (F) Information on all applicable laws and policies so that 
     members are informed of their rights and obligations.
       (G) Information on patients' rights to confidentiality.
       (H) Information on the unique circumstances encountered by 
     members of the Armed Forces, and the effects of such 
     circumstances on the use of contraception.

     SEC. 715. WAIVER OF RECOUPMENT OF ERRONEOUS PAYMENTS DUE TO 
                   ADMINISTRATIVE ERROR UNDER THE TRICARE PROGRAM.

       (a) In General.--Chapter 55 of title 10, United States 
     Code, is amended by inserting after section 1095f the 
     following new section:

     ``Sec. 1095g. TRICARE program: waiver of recoupment of 
       erroneous payments due to administrative error

       ``(a) Waiver of Recoupment.--The Secretary of Defense may 
     waive recoupment from a covered beneficiary who has 
     benefitted from an erroneous TRICARE payment in a case in 
     which each of the following applies:
       ``(1) The payment was made due to an administrative error 
     by an employee of the Department of Defense or a contractor 
     under the TRICARE program.
       ``(2) The covered beneficiary (or in the case of a minor, 
     the parent or guardian of the covered beneficiary) had a good 
     faith, reasonable belief that the covered beneficiary was 
     entitled to the benefit of such payment under this chapter.
       ``(3) The covered beneficiary relied on the expectation of 
     such entitlement.
       ``(4) The Secretary determines that a waiver of recoupment 
     of such payment is necessary to prevent an injustice.
       ``(b) Responsibility of Contractor.--In any case in which 
     the Secretary waives recoupment under subsection (a) and the 
     administrative error was on the part of a contractor under 
     the TRICARE program, the Secretary shall, consistent with the 
     requirements and procedures of the applicable contract, 
     impose financial responsibility on the contractor for the 
     erroneous payment.
       ``(c) Finality of Determinations.--Any determination by the 
     Secretary under this section to waive or decline to waive 
     recoupment under subsection (a) is a final determination and 
     shall not be subject to appeal or judicial review.''.
       (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 1095f the following new 
     item:

``1095g. TRICARE program: waiver of recoupment of erroneous payments 
              due to administrative error.''.

     SEC. 716. DESIGNATION OF CERTAIN NON-DEPARTMENT MENTAL HEALTH 
                   CARE PROVIDERS WITH KNOWLEDGE RELATING TO 
                   TREATMENT OF MEMBERS OF THE ARMED FORCES.

       (a) Mental Health Provider Readiness Designation.--
       (1) In general.--Not later than one year after the date of 
     the enactment of this Act, the Secretary of Defense shall 
     develop a system by which any non-Department mental health 
     care provider that meets eligibility criteria established by 
     the Secretary relating to the knowledge described in 
     paragraph (2) receives a mental health provider readiness 
     designation from the Department of Defense.
       (2) Knowledge described.--The knowledge described in this 
     paragraph is the following:
       (A) Knowledge and understanding with respect to the culture 
     of members of the Armed Forces and family members and 
     caregivers of members of the Armed Forces.
       (B) Knowledge with respect to evidence-based treatments 
     that have been approved by the Department for the treatment 
     of mental health issues among members of the Armed Forces.
       (b) Availability of Information on Designation.--
       (1) Registry.--The Secretary of Defense shall establish and 
     update as necessary a registry that is available to the 
     public of all non-Department mental health care providers 
     that are currently designated under subsection (a)(1).
       (2) Provider list.--The Secretary shall update all lists 
     maintained by the Secretary of non-Department mental health 
     care providers that provide mental health care under the laws 
     administered by the Secretary by indicating the providers 
     that are currently designated under subsection (a)(1).
       (c) Non-Department Mental Health Care Provider Defined.--In 
     this section, the term ``non-Department mental health care 
     provider''--
       (1) means a health care provider that--
       (A) specializes in mental health;
       (B) is not a health care provider of the Department of 
     Defense; and
       (C) provides health care to members of the Armed Forces; 
     and
       (2) includes psychiatrists, psychologists, psychiatric 
     nurses, social workers, mental health counselors, marriage 
     and family therapists, and other mental health care providers 
     designated by the Secretary of Defense.

     SEC. 717. LIMITATION ON CONVERSION OF MILITARY MEDICAL AND 
                   DENTAL POSITIONS TO CIVILIAN MEDICAL AND DENTAL 
                   POSITIONS.

       (a) Limited Authority for Conversion.--Chapter 49 of title 
     10, United States Code, is amended by inserting after section 
     976 the following new section:

     ``Sec. 977. Conversion of military medical and dental 
       positions to civilian medical and dental positions: 
       limitation

       ``(a) Requirements Relating to Conversion.--A military 
     medical or dental position within the Department of Defense 
     may not be converted to a civilian medical or dental position 
     unless the Secretary of Defense determines that--
       ``(1) the position is not a military essential position;
       ``(2) conversion of the position would not result in the 
     degradation of medical or dental care or the medical or 
     dental readiness of the armed forces; and
       ``(3) conversion of the position to a civilian medical or 
     dental position is more cost effective than retaining the 
     position as a military medical or dental position, consistent 
     with Department of Defense Instruction 7041.04.
       ``(b) 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 `military essential', with respect to a 
     position, means that the position must be held by a member of 
     the armed forces, as determined in accordance with 
     regulations prescribed by the Secretary.
       ``(4) The term `conversion', with respect to a military 
     medical or dental position, means a change of the position to 
     a civilian medical or dental position, effective as of the 
     date of the manning authorization document of the military 
     department making the change (through a change in designation 
     from military to civilian in the document, the elimination of 
     the listing of the position as a military position in the 
     document, or through any other means indicating the change in 
     the document or otherwise).''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 49 of such title is amended by inserting 
     after the item relating to section 976 the following new 
     item:

``977. Conversion of military medical and dental positions to civilian 
              medical and dental positions: limitation.''.
       (c) Repeal of Related Prohibition.--Section 721 of the 
     National Defense Authorization Act for Fiscal Year 2008 (10 
     U.S.C. 129c note) is repealed.

     SEC. 718. EXTENSION OF AUTHORITY FOR JOINT DEPARTMENT OF 
                   DEFENSE-DEPARTMENT OF VETERANS AFFAIRS MEDICAL 
                   FACILITY DEMONSTRATION FUND.

       Section 1704(e) of the National Defense Authorization Act 
     for Fiscal Year 2010 (Public Law 111-84; 123 Stat. 2573), as 
     amended by section 722 of the Carl Levin and Howard P. 
     ``Buck'' McKeon National Defense Authorization Act for Fiscal 
     Year 2015 (Public Law 113-291), is further amended by 
     striking ``September 30, 2016'' and inserting ``September 30, 
     2017''.

     SEC. 719. EXTENSION OF AUTHORITY FOR DOD-VA HEALTH CARE 
                   SHARING INCENTIVE FUND.

       Section 8111(d)(3) of title 38, United States Code, is 
     amended by striking ``September 30, 2015'' and inserting 
     ``September 30, 2020''.

     SEC. 720. PILOT PROGRAM ON INCENTIVE PROGRAMS TO IMPROVE 
                   HEALTH CARE PROVIDED UNDER THE TRICARE PROGRAM.

       (a) Pilot Program.--The Secretary of Defense shall carry 
     out a pilot program to assess whether a reduction in the rate 
     of increase in health care spending by the Department of 
     Defense and an enhancement of the operation of the military 
     health system may be achieved by developing and implementing 
     value-based incentive programs to encourage health care 
     providers under the TRICARE program (including physicians, 
     hospitals, and others involved in providing health care to 
     patients) to improve the following:
       (1) The quality of health care provided to covered 
     beneficiaries under the TRICARE program.

[[Page S3498]]

       (2) The experience of covered beneficiaries in receiving 
     health care under the TRICARE program.
       (3) The health of covered beneficiaries.
       (b) Incentive Programs.--
       (1) Development.--In developing an incentive program under 
     this section, the Secretary shall--
       (A) consider the characteristics of the population of 
     covered beneficiaries affected by the incentive program;
       (B) consider how the incentive program would impact the 
     receipt of health care under the TRICARE program by such 
     covered beneficiaries;
       (C) establish or maintain a reasonable assurance that such 
     covered beneficiaries will have timely access to health care 
     during operation of the incentive program;
       (D) ensure that there are no additional financial costs to 
     such covered beneficiaries of implementing the incentive 
     program; and
       (E) consider such other factors as the Secretary considers 
     appropriate.
       (2) Elements.--With respect to an incentive program 
     developed and implemented under this section, the Secretary 
     shall ensure that--
       (A) the size, scope, and duration of the incentive program 
     is reasonable in relation to the purpose of the incentive 
     program; and
       (B) appropriate criteria and data collection are used to 
     ensure adequate evaluation of the feasibility and 
     advisability of implementing the incentive program throughout 
     the TRICARE program.
       (3) Use of existing models.--In developing an incentive 
     program under this section, the Secretary may adapt a value-
     based incentive program conducted by the Centers for Medicare 
     & Medicaid Services or any other governmental or commercial 
     health care program.
       (c) Termination.--The authority of the Secretary to carry 
     out the pilot program under this section shall terminate on 
     December 31, 2019.
       (d) Report.--Not later than March 15, 2019, the Secretary 
     shall submit to the congressional defense committees a report 
     on the pilot program that includes the following:
       (1) An assessment of each incentive program developed and 
     implemented under this section, including whether such 
     incentive program--
       (A) improves the quality of health care provided to covered 
     beneficiaries, the experience of covered beneficiaries in 
     receiving health care under the TRICARE program, or the 
     health of covered beneficiaries;
       (B) reduces the rate of increase in health care spending by 
     the Department of Defense; or
       (C) enhances the operation of the military health system.
       (2) Such recommendations for administrative or legislative 
     action as the Secretary considers appropriate in light of the 
     pilot program, including to implement any such incentive 
     program or programs throughout the TRICARE program.
       (e) Definitions.--In this section, the terms ``covered 
     beneficiary'' and ``TRICARE program'' have the meanings given 
     those terms in section 1072 of title 10, United States Code.

                 Subtitle C--Reports and Other Matters

     SEC. 731. PUBLICATION OF CERTAIN INFORMATION ON HEALTH CARE 
                   PROVIDED BY THE DEPARTMENT OF DEFENSE THROUGH 
                   THE HOSPITAL COMPARE WEBSITE OF THE DEPARTMENT 
                   OF HEALTH AND HUMAN SERVICES.

       (a) Memorandum of Understanding Required.--Not later than 
     180 days after the date of the enactment of this Act, the 
     Secretary of Defense shall enter into a memorandum of 
     understanding with the Secretary of Health and Human Services 
     for the provision by the Secretary of Defense of such 
     information as the Secretary of Health and Human Services may 
     require to report and make publicly available information on 
     quality of care and health outcomes regarding patients at 
     military medical treatment facilities through the Hospital 
     Compare Internet website of the Department of Health and 
     Human Services, or any successor Internet website.
       (b) Information Provided.--The information provided by the 
     Secretary of Defense to the Secretary of Health and Human 
     Services under subsection (a) shall include the following:
       (1) Measures of the timeliness and effectiveness of the 
     health care provided by the Department of Defense.
       (2) Measures of the prevalence of--
       (A) readmissions, including the 30-day readmission rate;
       (B) complications resulting in death, including the 30-day 
     mortality rate;
       (C) surgical complications; and
       (D) health care related infections.
       (3) Survey data of patient experiences, including the 
     Hospital Consumer Assessment of Healthcare Providers and 
     Systems or any similar survey developed by the Department of 
     Defense.
       (4) Any other measures or data required of or reported with 
     respect to hospitals participating in the Medicare program 
     under title XVIII of the Social Security Act (42 U.S.C. 1395 
     et seq.).

     SEC. 732. PUBLICATION OF DATA ON PATIENT SAFETY, QUALITY OF 
                   CARE, SATISFACTION, AND HEALTH OUTCOME MEASURES 
                   UNDER THE TRICARE PROGRAM.

       (a) In General.--Not later than 180 days after the date of 
     the enactment of this Act, the Secretary of Defense shall 
     publish on an Internet website of the Department of Defense 
     that is available to the public data on all measures used by 
     the Department to assess patient safety, quality of care, 
     patient satisfaction, and health outcomes for health care 
     provided under the TRICARE program at each military medical 
     treatment facility.
       (b) Updates.--The Secretary shall publish an update to the 
     data published under subsection (a) not less frequently than 
     once each quarter during each fiscal year.
       (c) Accessibility.--The Secretary shall ensure that the 
     data published under subsection (a) and updated under 
     subsection (b) is accessible to the public through the 
     primary Internet website of the Department and the primary 
     Internet website of the military medical treatment facility 
     with respect to which such data applies.
       (d) TRICARE Program Defined.--In this section, the term 
     ``TRICARE program'' has the meaning given such terms in 
     section 1072 of title 10, United States Code.

     SEC. 733. ANNUAL REPORT ON PATIENT SAFETY, QUALITY OF CARE, 
                   AND ACCESS TO CARE AT MILITARY MEDICAL 
                   TREATMENT FACILITIES.

       (a) In General.--Not later than March 1 each year beginning 
     in 2016, the Secretary of Defense shall submit to the 
     Committees on Armed Services of the Senate and the House of 
     Representatives a comprehensive report on patient safety, 
     quality of care, and access to care at military medical 
     treatment facilities.
       (b) Elements.--Each report required by subsection (a) shall 
     include the following:
       (1) The number of sentinel events, as defined by the Joint 
     Commission, that occurred at military medical treatment 
     facilities during the year preceding the submittal of the 
     report, disaggregated by--
       (A) military medical treatment facility; and
       (B) military department with jurisdiction over such 
     facilities.
       (2) With respect to each sentinel event described in 
     paragraph (1)--
       (A) a synopsis of such event; and
       (B) a description of any actions taken by the Secretary of 
     the military department concerned in response to such event, 
     including any actions taken to hold individuals accountable.
       (3) The number of practitioners providing health care in 
     military medical treatment facilities that were reported to 
     the National Practitioner Data Bank during the year preceding 
     the submittal of the report.
       (4) The results of any internal analyses conducted by the 
     Patient Safety Center of the Department of Defense during 
     such year on matters relating to patient safety at military 
     medical treatment facilities.
       (5) With respect to each military medical treatment 
     facility--
       (A) the current accreditation status of such facility, 
     including any recommendations for corrective action made by 
     the relevant accrediting body;
       (B) any policies or procedures implemented during such year 
     by the Secretary of the military department concerned that 
     were designed to improve patient safety, quality of care, and 
     access to care at such facility;
       (C) data on surgical and maternity care outcomes during 
     such year;
       (D) data on appointment wait times during such year; and
       (E) data on patient safety, quality of care, and access to 
     care as compared to standards established by the Department 
     with respect to patient safety, quality of care, and access 
     to care.

     SEC. 734. REPORT ON PLANS TO IMPROVE EXPERIENCE WITH AND 
                   ELIMINATE PERFORMANCE VARIABILITY OF HEALTH 
                   CARE PROVIDED BY THE DEPARTMENT OF DEFENSE.

       (a) Comprehensive Report.--
       (1) In general.--Not later than 180 days after the date of 
     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 comprehensive report setting forth 
     the current and future plans of the Secretary, with estimated 
     dates of completion, to carry out the following:
       (A) To improve the experience of beneficiaries with health 
     care provided in military medical treatment facilities and 
     through purchased care.
       (B) To eliminate performance variability with respect to 
     the provision of such health care.
       (2) Elements.--The comprehensive report required by 
     paragraph (1) shall include the plans of the Secretary of 
     Defense, in consultation with the Secretaries of the military 
     departments, as follows:
       (A) To align performance measures for health care provided 
     in military medical treatment facilities with performance 
     measures for health care provided through purchased care.
       (B) To improve underperformance in the provision of health 
     care by the Department of Defense by eliminating performance 
     variability with respect to the provision of health care in 
     military medical treatment facilities and through purchased 
     care.
       (C) To use innovative, high-technology services to improve 
     access to care, coordination of care, and the experience of 
     care in military medical treatment facilities and through 
     purchased care.
       (D) To collect and analyze data throughout the Department 
     with respect to health care

[[Page S3499]]

     provided in military medical treatment facilities and through 
     purchased care to improve the quality of such care, patient 
     safety, and patient satisfaction.
       (E) To develop a performance management system, including 
     by adoption of common measures for access to care, quality of 
     care, safety, and patient satisfaction, that holds medical 
     leadership throughout the Department personally accountable 
     for sustained improvement of performance.
       (F) To use such other methods as the Secretary considers 
     appropriate to improve the experience of beneficiaries with 
     and eliminate performance variability with respect to health 
     care received from the Department.
       (b) Comptroller General Report.--
       (1) In general.--Not later than 180 days after the 
     submittal of the comprehensive report required by subsection 
     (a), the Comptroller General of the United States shall 
     submit to the Committees on Armed Services of the Senate and 
     the House of Representatives a report on the plans of the 
     Secretary of Defense set forth in the comprehensive report 
     submitted under such subsection.
       (2) Elements.--The report required by paragraph (1) shall 
     include the following:
       (A) An assessment whether the plans included in the 
     comprehensive report submitted under subsection (a) will, 
     with respect to members of the Armed Forces and covered 
     beneficiaries under the TRICARE program--
       (i) improve health outcomes;
       (ii) create lasting health value; and
       (iii) ensure that such individuals are able to equitably 
     obtain quality health care in all military medical treatment 
     facilities and through purchased care.
       (B) An assessment whether such plans can be reasonably 
     achieved within the estimated dates of completion set forth 
     by the Department under such subsection.
       (C) An assessment whether any such plan would require 
     legislative action for the implementation of such plan.
       (D) An assessment whether the Department of Defense has 
     adequately budgeted amounts to fund the carrying out of such 
     plans.
       (c) Definitions.--In this section:
       (1) The term ``purchased care'' means health care provided 
     pursuant to a contract entered into under the TRICARE 
     program.
       (2) The terms ``covered beneficiary'' and ``TRICARE 
     program'' have the meaning given such terms in section 1072 
     of title 10, United States Code.

     SEC. 735. REPORT ON PLAN TO IMPROVE PEDIATRIC CARE AND 
                   RELATED SERVICES FOR CHILDREN OF MEMBERS OF THE 
                   ARMED FORCES.

       (a) 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 setting forth a plan of 
     the Department of Defense to improve pediatric care and 
     related services for children of members of the Armed Forces.
       (b) Elements.--The report required by subsection (a) shall 
     include the following:
       (1) In order to ensure that children receive 
     developmentally-appropriate and age-appropriate health care 
     services from the Department, a plan to align preventive 
     pediatric care under the TRICARE program with--
       (A) standards for such care as required by the Patient 
     Protection and Affordable Care Act (Public Law 111-148);
       (B) guidelines established for such care by the Early and 
     Periodic Screening, Diagnosis, and Treatment program under 
     the Medicaid program carried out under title XIX of the 
     Social Security Act (42 U.S.C. 1396 et seq.); and
       (C) recommendations by organizations that specialize in 
     pediatrics.
       (2) A plan to develop a uniform definition of ``pediatric 
     medical necessity'' for the Department that aligns with 
     recommendations of organizations that specialize in 
     pediatrics in order to ensure that a consistent definition of 
     such term is used in providing health care in military 
     medical treatment facilities and by health care providers 
     under the TRICARE program.
       (3) A plan to revise certification requirements for 
     residential treatment centers of the Department to expand the 
     access of children of members of the Armed Forces to services 
     at such centers.
       (4) A plan to develop measures to evaluate and improve 
     access to pediatric care, coordination of pediatric care, and 
     health outcomes for such children.
       (5) A plan to include an assessment of access to pediatric 
     specialty care in the annual report to Congress on the 
     effectiveness of the TRICARE program.
       (6) A plan to improve the quality of and access to 
     behavioral health care under the TRICARE program for such 
     children, including intensive outpatient and partial 
     hospitalization services.
       (7) A plan to mitigate the impact of permanent changes of 
     station and other service-related relocations of members of 
     the Armed Forces on the continuity of health care services 
     received by such children who have special medical or 
     behavioral health needs.
       (8) A plan to mitigate deficiencies in data collection, 
     data utilization, and data analysis to improve pediatric care 
     and related services for children of members of the Armed 
     Forces.
       (c) TRICARE Program Defined.--In this section, the term 
     ``TRICARE program'' has the meaning given such term in 
     section 1072 of title 10, United States Code.

     SEC. 736. REPORT ON PRELIMINARY MENTAL HEALTH SCREENINGS FOR 
                   INDIVIDUALS BECOMING MEMBERS OF THE ARMED 
                   FORCES.

       (a) Report on Recommendations in Connection With 
     Screenings.--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 mental health screenings 
     of individuals enlisting or accessioning into the Armed 
     Forces before enlistment or accession.
       (b) Elements.--The report under subsection (a) shall 
     include the following:
       (1) Recommendations with respect to establishing a secure, 
     electronically-based preliminary mental health screening of 
     members of the Armed Forces to bring mental health screenings 
     to parity with physical screenings of members.
       (2) Recommendations with respect to the composition of the 
     mental health screening, evidenced-based best practices, and 
     how to track changes in mental health screenings relating to 
     traumatic brain injuries, post-traumatic stress disorder, and 
     other conditions.
       (c) Coordination and Consultation.--The Secretary shall 
     prepare the report under subsection (a)--
       (1) in coordination with the Secretary of Veterans Affairs, 
     the Secretary of Health and Human Services, and the surgeons 
     general of the military departments; and
       (2) in consultation with experts in the field, including 
     the National Institute of Mental Health of the National 
     Institutes of Health.

     SEC. 737. COMPTROLLER GENERAL REPORT ON USE OF QUALITY OF 
                   CARE METRICS AT MILITARY TREATMENT FACILITIES.

       (a) In General.--Not later than one year after the date of 
     the enactment of this Act, the Comptroller General of the 
     United States shall submit to the Committees on Armed 
     Services of the Senate and the House of Representatives a 
     report on the use by the Department of Defense of metrics 
     with respect to the quality of care provided at military 
     treatment facilities.
       (b) Elements.--The report required by subsection (a) shall 
     include the following:
       (1) The extent to which the Department of Defense and each 
     military department use metrics to monitor and assess the 
     quality of care provided at military treatment facilities.
       (2) How, if at all, the use of such metrics varies among 
     the Department of Defense and each military department.
       (3) The extent to which the Department of Defense and each 
     military department use the information from such metrics to 
     identify and address issues such as the performance of 
     individual health care providers and areas in need of 
     improvement system-wide.
       (4) The extent to which the Department of Defense and each 
     military department oversee the process of using metrics to 
     monitor and assess the quality of care provided at military 
     treatment facilities.

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

             Subtitle A--Acquisition Policy and Management

     SEC. 801. ROLE OF SERVICE CHIEFS IN THE ACQUISITION PROCESS.

       (a) Service Chiefs as Customer of Acquisition Process.--
       (1) In general.--Chapter 149 of title 10, United States 
     Code, is amended by inserting after section 2546 the 
     following new section:

     ``Sec. 2546a. Customer-oriented acquisition system

       ``(a) Objective.--It shall be the objective of the defense 
     acquisition system to meet the needs of its customers in the 
     most cost-effective manner practicable. The acquisition 
     policies, directives, and regulations of the Department of 
     Defense shall be modified as necessary to ensure the 
     development and implementation of a customer-oriented 
     acquisition system.
       ``(b) Customer.--The customer of the defense acquisition 
     system is the military service that will have primary 
     responsibility for fielding the system or systems acquired. 
     The customer is represented with regard to a major defense 
     acquisition program by the Secretary of the relevant military 
     department and the Chief of the relevant military service.
       ``(c) Role of Customer.--The customer of a major defense 
     acquisition program shall be responsible for balancing 
     resources against priorities on the acquisition program and 
     ensuring that appropriate trade-offs are made among cost, 
     schedule, technical feasibility, and performance on a 
     continuing basis throughout the life of the acquisition 
     program.''.
       (2) Clerical amendment.--The table of sections at the 
     beginning of chapter 149 of such title is amended by 
     inserting after the item relating to section 2546 the 
     following new item:

``2546a. Customer-oriented acquisition system.''.

       (b) Responsibilities of Chiefs.--Section 2547(a) of title 
     10, United States Code, is amended--
       (1) by redesignating paragraphs (2) through (6) as 
     paragraphs (3) through (7), respectively;

[[Page S3500]]

       (2) by inserting after paragraph (1) the following new 
     paragraph:
       ``(2) Decisions regarding the balancing of resources and 
     priorities, and associated trade-offs among cost, schedule, 
     technical feasibility, and performance on major defense 
     acquisition programs.''; and
       (3) in paragraph (6), as redesignated by paragraph (1) of 
     this subsection, by striking ``The development'' and 
     inserting ``The development and management''.
       (c) Responsibilities of Military Deputies.--Section 908(d) 
     of the National Defense Authorization Act for Fiscal Year 
     2008 (Public Law 110-181; 122 Stat. 278; 10 U.S.C. 2430 note) 
     is amended to read as follows:
       ``(d) Duties of Principal Military Deputies.--Each 
     Principal Military Deputy to a service acquisition executive 
     shall be responsible for--
       ``(1) keeping the Chief of Staff of the Armed Force 
     concerned informed of the progress of major defense 
     acquisition programs;
       ``(2) informing the Chief of Staff on a continuing basis of 
     any developments on major defense programs, which may require 
     new or revisited trade-offs among cost, schedule, technical 
     feasibility, and performance, including--
       ``(A) significant cost growth or schedule slippage; and
       ``(B) requirements creep (as defined in section 2547(c)(1) 
     of title 10, United States Code); and
       ``(3) ensuring that the views of the Chief of Staff on 
     cost, schedule, technical feasibility, and performance trade-
     offs are strongly considered by program managers and program 
     executive officers in all phases of the acquisition 
     process.''.
       (d) Conforming Amendments.--
       (1) Joint requirements oversight council.--Section 181(d) 
     of title 10, United States Code, is amended by adding at the 
     end the following new paragraph:
       ``(3) The Council shall seek, and strongly consider, the 
     views of the Chiefs of Staff of the Armed Forces, in their 
     roles as customers of the acquisition system, on matters 
     pertaining to trade-offs among cost, schedule, technical 
     feasibility, and performance under subsection (b)(1)(C) and 
     the balancing of resources with priorities pursuant to 
     subsection (b)(3).''.
       (2) Milestone a decisions.--The chief of the relevant 
     military service shall advise the milestone decision 
     authority for a major defense acquisition program of the 
     chief's views on cost, schedule, technical feasibility, and 
     performance trade-offs that have been made with regard to the 
     program, as provided in section 2366a(a)(2) of title 10, 
     United States Code, as amended by section 844 of this Act, 
     prior to a Milestone A decision on the program.
       (3) Milestone b decisions.--The chief of the relevant 
     military service shall advise the milestone decision 
     authority for a major defense acquisition program of the 
     chief's views on cost, schedule, technical feasibility, and 
     performance trade-offs that have been made with regard to the 
     program, as provided in section 2366b(b)(3) of title 10, 
     United States Code, as amended by section 845 of this Act, 
     prior to a Milestone B decision on the program.
       (4) Duties of chiefs.--
       (A) Section 3033(d)(5) of title 10, United States Code, is 
     amended by striking ``section 171'' and inserting ``sections 
     171 and 2547''.
       (B) Section 5033(d)(5) of title 10, United States Code, is 
     amended by striking ``section 171'' and inserting ``sections 
     171 and 2547''.
       (C) Section 5043(e)(5) of title 10, United States Code, is 
     amended by striking ``section 171'' and inserting ``sections 
     171 and 2547''.
       (D) Section 8033(d)(5) of title 10, United States Code, is 
     amended by striking ``section 171'' and inserting ``sections 
     171 and 2547''.

     SEC. 802. EXPANSION OF RAPID ACQUISITION AUTHORITY.

       Section 806(c) of the Bob Stump National Defense 
     Authorization Act for Fiscal Year 2003 (Public Law 107-314; 
     10 U.S.C. 2302 note) is amended to read as follows:
       ``(c) Response to Combat Emergencies and Certain Urgent 
     Operational Needs.--
       ``(1) Determination of need for rapid acquisition and 
     deployment.--(A) In the case of any supplies and associated 
     support services that, as determined in writing by the 
     Secretary of Defense, are urgently needed to eliminate a 
     documented deficiency that has resulted in combat casualties, 
     or is likely to result in combat casualties, the Secretary 
     may use the procedures developed under this section in order 
     to accomplish the rapid acquisition and deployment of the 
     needed supplies and associated support services.
       ``(B) In the case of any supplies and associated support 
     services that, as determined in writing by the Secretary of 
     Defense, are urgently needed to eliminate a documented 
     deficiency that impacts an ongoing or anticipated contingency 
     operation and that, if left unfulfilled, could potentially 
     result in loss of life or critical mission failure, the 
     Secretary may use the procedures developed under this section 
     in order to accomplish the rapid acquisition and deployment 
     of the needed supplies and associated support services.
       ``(C)(i) In the case of any supplies and associated support 
     services that, as determined in writing by the Secretary of 
     Defense without delegation, are urgently needed to eliminate 
     a deficiency that as the result of a cyber attack has 
     resulted in critical mission failure, the loss of life, 
     property destruction, or economic effects, or if left 
     unfilled is likely to result in critical mission failure, the 
     loss of life, property destruction, or economic effects, the 
     Secretary may use the procedures developed under this section 
     in order to accomplish the rapid acquisition and deployment 
     of the needed offensive or defensive cyber capabilities, 
     supplies, and associated support services.
       ``(ii) In this subparagraph, the term `cyber attack' means 
     a deliberate action to alter, disrupt, deceive, degrade, or 
     destroy computer systems or networks or the information or 
     programs resident in or transiting these systems or networks.
       ``(2) Designation of senior official responsible.--(A) 
     Whenever the Secretary makes a determination under 
     subparagraph (A), (B), or (C) of paragraph (1) that certain 
     supplies and associated support services are urgently needed 
     to eliminate a deficiency described in that subparagraph, the 
     Secretary shall designate a senior official of the Department 
     of Defense to ensure that the needed supplies and associated 
     support services are acquired and deployed as quickly as 
     possible, with a goal of awarding a contract for the 
     acquisition of the supplies and associated support services 
     within 15 days.
       ``(B) Upon designation of a senior official under 
     subparagraph (A), the Secretary shall authorize that official 
     to waive any provision of law, policy, directive, or 
     regulation described in subsection (d) that such official 
     determines in writing would unnecessarily impede the rapid 
     acquisition and deployment of the needed supplies and 
     associated support services. In a case in which the needed 
     supplies and associated support services cannot be acquired 
     without an extensive delay, the senior official shall require 
     that an interim solution be implemented and deployed using 
     the procedures developed under this section to minimize 
     adverse consequences resulting from the urgent need.
       ``(3) Use of funds.--(A) In any fiscal year in which the 
     Secretary makes a determination described in subparagraph 
     (A), (B), or (C) of paragraph (1), the Secretary may use any 
     funds available to the Department of Defense for acquisitions 
     of supplies and associated support services if the 
     determination includes a written finding that the use of such 
     funds is necessary to address the deficiency in a timely 
     manner.
       ``(B) The authority of this section may only be used to 
     acquire supplies and associated support services--
       ``(i) in the case of determinations by the Secretary under 
     paragraph (1)(A), in an amount aggregating not more than 
     $200,000,000 during any fiscal year;
       ``(ii) in the case of determinations by the Secretary under 
     paragraph (1)(B), in an amount aggregating not more than 
     $200,000,000 during any fiscal year; and
       ``(iii) in the case of determinations by the Secretary 
     under paragraph (1)(C), in an amount aggregating not more 
     than $200,000,000 during any fiscal year.
       ``(4) Notification to congressional defense committees.--
     (A) In the case of a determination by the Secretary under 
     paragraph (1)(A), the Secretary shall notify the 
     congressional defense committees of the determination within 
     15 days after the date of the determination.
       ``(B) In the case of a determination by the Secretary under 
     paragraph (1)(B) the Secretary shall notify the congressional 
     defense committees of the determination at least 10 days 
     before the date on which the determination is effective.
       ``(C) A notice under this paragraph shall include the 
     following:
       ``(i) The supplies and associated support services to be 
     acquired.
       ``(ii) The amount anticipated to be expended for the 
     acquisition.
       ``(iii) The source of funds for the acquisition.
       ``(D) A notice under this paragraph shall be sufficient to 
     fulfill any requirement to provide notification to Congress 
     for a new start program.
       ``(E) A notice under this paragraph shall be provided in 
     consultation with the Director of the Office of Management 
     and Budget.
       ``(5) Time for transitioning to normal acquisition 
     system.--Any acquisition initiated under this subsection 
     shall transition to the normal acquisition system not later 
     than two years after the date on which the Secretary makes 
     the determination described in paragraph (1) with respect to 
     the supplies and associated support services concerned.
       ``(6) Limitation on officers with authority to make a 
     determination.--The authority to make a determination under 
     subparagraph (A), (B), or (C) of paragraph (1) may be 
     exercised only by the Secretary or Deputy Secretary of 
     Defense.''.

     SEC. 803. MIDDLE TIER OF ACQUISITION FOR RAPID PROTOTYPING 
                   AND RAPID FIELDING.

       (a) Guidance Required.--Not later than 180 days after the 
     date of the enactment of this Act, the Under Secretary of 
     Defense for Acquisition, Technology, and Logistics, in 
     consultation with the Comptroller of the Department of 
     Defense and the Vice Chairman of the Joint Chiefs of Staff, 
     shall establish guidance for a ``middle tier'' of acquisition 
     programs that are intended to be completed in a period of two 
     to five years.
       (b) Acquisition Pathways.--The guidance required by 
     subsection (a) shall cover the following two acquisition 
     pathways:
       (1) Rapid prototyping.--The rapid prototyping pathway shall 
     provide for the use of innovative technologies to rapidly 
     develop fieldable prototypes to demonstrate new capabilities 
     and meet emerging military needs.

[[Page S3501]]

     The objective of an acquisition program under this pathway 
     shall be to field a prototype that can be demonstrated in an 
     operational environment and provide for a residual 
     operational capability within five years of the development 
     of an approved requirement.
       (2) Rapid fielding.--The rapid fielding pathway shall 
     provide for the use of proven technologies to field 
     production quantities of new or upgraded systems with minimal 
     development required. The objective of an acquisition program 
     under this pathway shall be to begin production within six 
     months and complete fielding within five years of the 
     development of an approved requirement.
       (c) Expedited Process.--
       (1) In general.--The guidance required by subsection (a) 
     shall provide for a streamlined and coordinated requirements, 
     budget, and acquisition process that results in the 
     development of an approved requirement for each program in a 
     period of not more than six months from the time that the 
     process is initiated. Programs that are subject to the 
     guidance shall not be subject to the Joint Capabilities 
     Integration and Development System Manual and Department of 
     Defense Directive 5000.01, except to the extent specifically 
     provided in the guidance.
       (2) Rapid prototyping.--With respect to the rapid 
     prototyping pathway, the guidance shall include--
       (A) a merit-based process for the consideration of 
     innovative technologies and new capabilities to meet needs 
     communicated by the Joint Chiefs of Staff and the combatant 
     commanders;
       (B) a process for developing and implementing acquisition 
     and funding strategies for the program;
       (C) a process for cost-sharing with the military 
     departments on rapid prototype projects, to ensure an 
     appropriate commitment to the success of such projects;
       (D) a process for demonstrating and evaluating the 
     performance of fieldable prototypes developed pursuant to the 
     program in an operational environment; and
       (E) a process for transitioning successful prototypes to 
     new or existing acquisition programs for production and 
     fielding under the rapid fielding pathway or the traditional 
     acquisition system.
       (3) Rapid fielding.--With respect to the rapid fielding 
     pathway, the guidance shall include--
       (A) a merit-based process for the consideration of existing 
     products and proven technologies to meet needs communicated 
     by the Joint Chiefs of Staff and the combatant commanders;
       (B) a process for demonstrating performance and evaluating 
     for current operational purposes the proposed products and 
     technologies;
       (C) a process for developing and implementing acquisition 
     and funding strategies for the program; and
       (D) a process for considering lifecycle costs and 
     addressing issues of logistics support and system 
     interoperability.
       (4) Streamlined procedures.--The guidance for the programs 
     may provide for any of the following streamlined procedures:
       (A) The service acquisition executive of the military 
     department concerned shall appoint a program manager for such 
     program from among candidates from among civilian employees 
     or members of the armed forces who have significant and 
     relevant experience managing large and complex programs.
       (B) The program manager for each program shall report with 
     respect to such program directly, without intervening review 
     or approval, to the service acquisition executive of the 
     military department concerned.
       (C) The service acquisition executive of the military 
     department concerned shall evaluate the job performance of 
     such manager on an annual basis. In conducting an evaluation 
     under this paragraph, a service acquisition executive shall 
     consider the extent to which the manager has achieved the 
     objectives of the program for which the manager is 
     responsible, including quality, timeliness, and cost 
     objectives.
       (D) The program manager of a defense streamlined program 
     shall be authorized staff positions for a technical staff, 
     including experts in business management, contracting, 
     auditing, engineering, testing, and logistics, to enable the 
     manager to manage the program without the technical 
     assistance of another organizational unit of an agency to the 
     maximum extent practicable.
       (E) The program manager of a defense streamlined program 
     shall be authorized, in coordination with the users of the 
     equipment and capability to be acquired and the test 
     community, to make trade-offs among life-cycle costs, 
     requirements, and schedules to meet the goals of the program.
       (F) The service acquisition executive, acting in 
     coordination with the defense acquisition executive, shall 
     serve as the milestone decision authority for the program.
       (G) The program manager of a defense streamlined program 
     shall be provided a process to expeditiously seek a waiver 
     from Congress from any statutory or regulatory requirement 
     that the program manager determines adds little or no value 
     to the management of the program.
       (d) Rapid Prototyping Fund.--
       (1) In general.--The Secretary of Defense shall establish a 
     fund to be known as the ``Department of Defense Rapid 
     Prototyping Fund'' to provide funds, in addition to other 
     funds that may be available for acquisition programs under 
     the rapid prototyping pathway established pursuant to this 
     section. The Fund shall be managed by a senior official of 
     the Department of Defense designated by the Under Secretary 
     of Defense for Acquisition, Technology, and Logistics. The 
     Fund shall consist of amounts appropriated to the Fund and 
     amounts credited to the Fund pursuant to section 849 of this 
     Act.
       (2) Transfer authority.--Amounts available in the Fund may 
     be transferred to a military department for the purpose of 
     carrying out an acquisition program under the rapid 
     prototyping pathway established pursuant to this section. Any 
     amount so transferred shall be credited to the account to 
     which it is transferred. The transfer authority provided in 
     this subsection is in addition to any other transfer 
     authority available to the Department of Defense.
       (3) Congressional notice.--The senior official designated 
     to manage the Fund shall notify the congressional defense 
     committees of all transfers under paragraph (2). Each 
     notification shall specify the amount transferred, the 
     purpose of the transfer, and the total projected cost and 
     estimated cost to complete the acquisition program to which 
     the funds were transferred.

     SEC. 804. AMENDMENTS TO OTHER TRANSACTION AUTHORITY.

       (a) Authority of the Defense Advanced Research Projects 
     Agency to Carry Out Certain Prototype Projects.--
       (1) In general.--Chapter 193 of title 10, United States 
     Code, is amended by inserting after section 2371a the 
     following new section:

     ``Sec. 2371b. Authority of the Defense Advanced Research 
       Projects Agency to carry out certain prototype projects

       ``(a) Authority.--(1) Subject to paragraph (2), the 
     Director of the Defense Advanced Research Projects Agency, 
     the Secretary of a military department, or any other official 
     designated by the Secretary of Defense may, under the 
     authority of section 2371 of this title, carry out prototype 
     projects that are directly relevant to enhancing the mission 
     effectiveness of military personnel and the supporting 
     platforms, systems, components, or materials proposed to be 
     acquired or developed by the Department of Defense, or to 
     improvement of platforms, systems, components, or materials 
     in use by the armed forces.
       ``(2) The authority of this section--
       ``(A) may be exercised for a prototype project that is 
     expected to cost the Department of Defense in excess of 
     $50,000,000 but not in excess of $250,000,000 (including all 
     options) only upon a written determination by the senior 
     procurement executive for the agency as designated for the 
     purpose of section 1702(c) of title 41, or, for the Defense 
     Advanced Research Projects Agency or the Missile Defense 
     Agency, the director of the agency that--
       ``(i) the requirements of subsection (d) will be met; and
       ``(ii) the use of the authority of this section is 
     essential to promoting the success of the prototype project; 
     and
       ``(B) may be exercised for a prototype project that is 
     expected to cost the Department of Defense in excess of 
     $250,000,000 (including all options) only if--
       ``(i) the Under Secretary of Defense for Acquisition, 
     Technology, and Logistics determines in writing that--
       ``(I) the requirements of subsection (d) will be met; and
       ``(II) the use of the authority of this section is 
     essential to meet critical national security objectives; and
       ``(ii) the congressional defense committees are notified in 
     writing at least 30 days before such authority is exercised.
       ``(3) The authority of a senior procurement executive or 
     director of the Defense Advanced Research Projects Agency or 
     Missile Defense Agency under paragraph (2)(A), and the 
     authority of the Under Secretary of Defense for Acquisition, 
     Technology, and Logistics under paragraph (2)(B), may not be 
     delegated.
       ``(b) Exercise of Authority.--
       ``(1) Subsections (e)(1)(B) and (e)(2) of such section 2371 
     shall not apply to projects carried out under subsection (a).
       ``(2) To the maximum extent practicable, competitive 
     procedures shall be used when entering into agreements to 
     carry out projects under subsection (a).
       ``(c) Comptroller General Access to Information.--(1) Each 
     agreement entered into by an official referred to in 
     subsection (a) to carry out a project under that subsection 
     that provides for payments in a total amount in excess of 
     $5,000,000 shall include a clause that provides for the 
     Comptroller General, in the discretion of the Comptroller 
     General, to examine the records of any party to the agreement 
     or any entity that participates in the performance of the 
     agreement.
       ``(2) The requirement in paragraph (1) shall not apply with 
     respect to a party or entity, or a subordinate element of a 
     party or entity, that has not entered into any other 
     agreement that provides for audit access by a Government 
     entity in the year prior to the date of the agreement.
       ``(3)(A) The right provided to the Comptroller General in a 
     clause of an agreement under paragraph (1) is limited as 
     provided in subparagraph (B) in the case of a party to the 
     agreement, an entity that participates in the performance of 
     the agreement, or a subordinate element of that party or 
     entity if the only agreements or other transactions that the 
     party, entity, or subordinate element entered into with 
     Government entities

[[Page S3502]]

     in the year prior to the date of that agreement are 
     cooperative agreements or transactions that were entered into 
     under this section or section 2371 of this title.
       ``(B) The only records of a party, other entity, or 
     subordinate element referred to in subparagraph (A) that the 
     Comptroller General may examine in the exercise of the right 
     referred to in that subparagraph are records of the same type 
     as the records that the Government has had the right to 
     examine under the audit access clauses of the previous 
     agreements or transactions referred to in such subparagraph 
     that were entered into by that particular party, entity, or 
     subordinate element.
       ``(4) The head of the contracting activity that is carrying 
     out the agreement may waive the applicability of the 
     requirement in paragraph (1) to the agreement if the head of 
     the contracting activity determines that it would not be in 
     the public interest to apply the requirement to the 
     agreement. The waiver shall be effective with respect to the 
     agreement only if the head of the contracting activity 
     transmits a notification of the waiver to Congress and the 
     Comptroller General before entering into the agreement. The 
     notification shall include the rationale for the 
     determination.
       ``(5) The Comptroller General may not examine records 
     pursuant to a clause included in an agreement under paragraph 
     (1) more than three years after the final payment is made by 
     the United States under the agreement.
       ``(d) Appropriate Use of Authority.--(1) The Secretary of 
     Defense shall ensure that no official of an agency enters 
     into a transaction (other than a contract, grant, or 
     cooperative agreement) for a prototype project under the 
     authority of this section unless one of following conditions 
     is met:
       ``(A) There is at least one nontraditional defense 
     contractor participating to a significant extent in the 
     prototype project.
       ``(B) All parties to the transaction other than the Federal 
     Government are innovative small businesses and non-
     traditional contractors with unique capabilities relevant to 
     the prototype project.
       ``(C) At least one third of the total cost of the prototype 
     project is to be paid out of funds provided by parties to the 
     transaction other than the Federal Government.
       ``(D) The senior procurement executive for the agency 
     determines in writing that exceptional circumstances justify 
     the use of a transaction that provides for innovative 
     business arrangements or structures that would not be 
     feasible or appropriate under a contract.
       ``(2)(A) Except as provided in subparagraph (B), the 
     amounts counted for the purposes of this subsection as being 
     provided, or to be provided, by a party to a transaction with 
     respect to a prototype project that is entered into under 
     this section other than the Federal Government do not include 
     costs that were incurred before the date on which the 
     transaction becomes effective.
       ``(B) Costs that were incurred for a prototype project by a 
     party after the beginning of negotiations resulting in a 
     transaction (other than a contract, grant, or cooperative 
     agreement) with respect to the project before the date on 
     which the transaction becomes effective may be counted for 
     purposes of this subsection as being provided, or to be 
     provided, by the party to the transaction if and to the 
     extent that the official responsible for entering into the 
     transaction determines in writing that--
       ``(i) the party incurred the costs in anticipation of 
     entering into the transaction; and
       ``(ii) it was appropriate for the party to incur the costs 
     before the transaction became effective in order to ensure 
     the successful implementation of the transaction.
       ``(e) Definitions.--In this section:
       ``(1) The term `nontraditional defense contractor' has the 
     meaning given the term under section 2302(9) of this title.
       ``(2) The term `small business' means a small business 
     concern as defined under section 3 of the Small Business Act 
     (15 U.S.C. 632).
       ``(f) Follow-on Production Contracts or Transactions.--(1) 
     A transaction entered into under this section for a prototype 
     project may provide for the award of a follow-on production 
     contract or transactions to the participants in the 
     transaction.
       ``(2) A follow-on production contract or transaction 
     provided for in a transaction under paragraph (1) may be 
     awarded to the participants in the transaction without the 
     use of competitive procedures, notwithstanding the 
     requirements of section 2304 of this title, if--
       ``(A) competitive procedures were used for the selection of 
     parties for participation in the transaction; and
       ``(B) the participants in the transaction successfully 
     completed the prototype project provided for in the 
     transaction.
       ``(3) Contracts and transactions entered into pursuant to 
     this subsection may be awarded using the authority in 
     subsection (a), under the authority of chapter 137 of this 
     title, or under such procedures, terms, and conditions as the 
     Secretary of Defense may establish by regulation.
       ``(g) Authority to Provide Prototypes and Follow-on 
     Production Items as Government Furnished Equipment.--An 
     agreement entered pursuant to the authority of subsection (a) 
     or a follow-on contract entered pursuant to the authority of 
     subsection (f) may provide for prototypes or follow-on 
     production items to be provided to another contractor as 
     government-furnished equipment.
       ``(h) Applicability of Procurement Ethics Requirements.--An 
     agreement entered into under the authority of this section 
     shall be treated as a Federal agency procurement for the 
     purposes of chapter 21 of title 41.''.
       (2) Clerical amendment.--The table of sections at the 
     beginning of chapter 139 of such title is amended by 
     inserting after the item relating to section 2371a the 
     following new item:

``2371b. Authority of the Defense Advanced Research Projects Agency to 
              carry out certain prototype projects.''.
       (b) Modification to Definition of Non-traditional 
     Contractor.--Section 2302(9) of such title is amended to read 
     as follows:
       ``(9) The term `nontraditional defense contractor', with 
     respect to a procurement or with respect to a transaction 
     authorized under section 2371(a) of this title, means an 
     entity that--
       ``(A) is not currently performing and has not performed, 
     for at least the one-year period preceding the solicitation 
     of sources by the Department of Defense for the procurement 
     or transaction, any contract or subcontract that is subject 
     to full coverage under the cost accounting standards 
     prescribed pursuant to 1502 of title 41 and the regulations 
     implementing such section; and
       ``(B) has not been awarded, for at least the one-year 
     period preceding the solicitation of sources by the 
     Department of Defense for the procurement or transaction, any 
     other contract under which the contractor was required to 
     submit certified cost or pricing data under section 2306a of 
     this title.''.
       (c) Repeal of Obsolete Authority.--Section 845 of the 
     National Defense Authorization Act for Fiscal Year 1994 
     (Public Law 103-160; 10 U.S.C. 2371 note) is hereby repealed.
       (d) Technical and Conforming Amendment.--Section 1601(c)(1) 
     of the National Defense Authorization Act for Fiscal Year 
     2004 (Public Law 108-136; 10 U.S.C. 2370a note) is amended by 
     restating subparagraph (B) to read as follows:
       ``(B) sections 2371 and 2371b of title 10, United States 
     Code.''.

     SEC. 805. USE OF ALTERNATIVE ACQUISITION PATHS TO ACQUIRE 
                   CRITICAL NATIONAL SECURITY CAPABILITIES.

       (a) Guidelines.--The Secretary of Defense shall establish 
     procedures and guidelines for alternative acquisition 
     pathways to acquire capital assets and services that meet 
     critical national security needs. The guidelines shall--
       (1) be separate from existing acquisition procedures and 
     guidelines;
       (2) be supported by streamlined contracting, budgeting, and 
     requirements processes;
       (3) establish alternative acquisition paths based on the 
     capabilities being bought and the time needed to deploy these 
     capabilities; and
       (4) maximize the use of flexible authorities in existing 
     law and regulation.
       (b) Report.--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 that 
     includes a summary of the guidelines established under 
     subsection (a) and recommendations for any legislation 
     necessary to meet the objectives set forth in subsection (a) 
     and to implement the guidelines established under such 
     subsection.

     SEC. 806. SECRETARY OF DEFENSE WAIVER OF ACQUISITION LAWS TO 
                   ACQUIRE VITAL NATIONAL SECURITY CAPABILITIES.

       (a) Waiver Authority.--The Secretary of Defense is 
     authorized to waive any provision of acquisition law or 
     regulation described in subsection (c) for the purpose of 
     acquiring a capability that would not otherwise be available 
     to the Armed Forces of the United States, upon a 
     determination that--
       (1) the acquisition of the capability is in the vital 
     national security interest of the United States;
       (2) the application of the law or regulation to be waived 
     would impede the acquisition of the capability in a manner 
     that would undermine the national security of the United 
     States; and
       (3) the underlying purpose of the law or regulation to be 
     waived can be addressed in a different manner or at a 
     different time.
       (b) Designation of Responsible Official.--Whenever the 
     Secretary of Defense makes a determination under subsection 
     (a)(1) that the acquisition of a capability is in the vital 
     national security interest of the United States, the 
     Secretary shall designate a senior official of the Department 
     of Defense who shall be personally responsible and 
     accountable for the rapid and effective acquisition and 
     deployment of the needed capability. The Secretary shall 
     provide the designated official such authority as the 
     Secretary determines necessary to achieve this objective, and 
     may use the waiver authority in subsection (a) for this 
     purpose.
       (c) Acquisition Laws and Regulations.--
       (1) In general.--Upon a determination described in 
     subsection (a), the Secretary of Defense is authorized to 
     waive any provision of law or regulation addressing--
       (A) the establishment of a requirement or specification for 
     the capability to be acquired;
       (B) research, development, test, and evaluation of the 
     capability to be acquired;
       (C) production, fielding, and sustainment of the capability 
     to be acquired; or

[[Page S3503]]

       (D) solicitation, selection of sources, and award of 
     contracts for the capability to be acquired.
       (2) Limitations.--Nothing in this subsection authorizes the 
     waiver of--
       (A) the requirements of this section;
       (B) any provision of law imposing civil or criminal 
     penalties; or
       (C) any provision of law governing the proper expenditure 
     of appropriated funds.
       (d) Report to Congress.--The Secretary of Defense shall 
     notify the congressional defense committees at least 30 days 
     before exercising the waiver authority under subsection (a). 
     Each such notice shall include--
       (1) an explanation of the basis for determining that the 
     acquisition of the capability is in the vital national 
     security interest of the United States;
       (2) an identification of each provision of law or 
     regulation to be waived; and
       (3) for each provision identified pursuant to paragraph 
     (2)--
       (A) an explanation of why the application of the provision 
     would impede the acquisition in a manner that would undermine 
     the national security of the United States; and
       (B) a description of the time or manner in which the 
     underlying purpose of the law or regulation to be waived will 
     be addressed.
       (e) Non-delegation.--The authority of the Secretary to 
     waive provisions of laws and regulations under subsection (a) 
     is non-delegable.

     SEC. 807. ACQUISITION AUTHORITY OF THE COMMANDER OF UNITED 
                   STATES CYBER COMMAND.

       (a) Authority.--
       (1) In general.--The Commander of the United States Cyber 
     Command shall be responsible for, and shall have the 
     authority to conduct, the following acquisition activities:
       (A) Development and acquisition of cyber operations-
     peculiar equipment and capabilities.
       (B) Acquisition of cyber capability-peculiar equipment, 
     capabilities, and services.
       (2) Acquisition functions.--Subject to the authority, 
     direction, and control of the Secretary of Defense, the 
     Commander shall have authority to exercise the functions of 
     the head of an agency under chapter 137 of title 10, United 
     States Code.
       (b) Command Acquisition Executive.--
       (1) In general.--The staff of the Commander shall include a 
     command acquisition executive, who shall be responsible for 
     the overall supervision of acquisition matters for the United 
     States Cyber Command. The command acquisition executive shall 
     have the authority--
       (A) to negotiate memoranda of agreement with the military 
     departments to carry out the acquisition of equipment, 
     capabilities, and services described in subsection (a)(1) on 
     behalf of the Command;
       (B) to supervise the acquisition of equipment, 
     capabilities, and services described in subsection (a)(1);
       (C) to represent the Command in discussions with the 
     military departments regarding acquisition programs for which 
     the Command is a customer; and
       (D) to work with the military departments to ensure that 
     the Command is appropriately represented in any joint working 
     group or integrated product team regarding acquisition 
     programs for which the Command is a customer.
       (2) Delivery of acquisition solutions.--The command 
     acquisition executive of the United States Cyber Command 
     shall be--
       (A) responsible to the Commander for rapidly delivering 
     acquisition solutions to meet validated cyber operations-
     peculiar requirements;
       (B) subordinate to the defense acquisition executive in 
     matters of acquisition;
       (C) subject to the same oversight as the service 
     acquisition executives; and
       (D) included on the distribution list for acquisition 
     directives and instructions of the Department of Defense.
       (c) Acquisition Personnel.--
       (1) In general.--The Secretary of Defense shall provide the 
     United States Cyber Command with the personnel or funding 
     equivalent to ten full-time equivalent personnel to support 
     the Commander in fulfilling the acquisition responsibilities 
     provided for under this section with experience in--
       (A) program acquisition;
       (B) the Joint Capabilities Integration and Development 
     System Process;
       (C) program management;
       (D) system engineering; and
       (E) costing.
       (2) Existing personnel.--The personnel provided under this 
     subsection shall be provided from among the existing 
     personnel of the Department of Defense.
       (d) Inspector General Activities.--The staff of the 
     Commander of the United States Cyber Command shall on a 
     periodic basis include a representative from the Department 
     of Defense Office of Inspector General who shall conduct 
     internal audits and inspections of purchasing and contracting 
     actions through the United States Cyber Command and such 
     other Inspector General functions as may be assigned.
       (e) Budget.--In addition to the activities of a combatant 
     command for which funding may be requested under section 
     166(b) of title 10, United States Code, the budget proposal 
     of the United States Cyber Command shall include requests for 
     funding for--
       (1) development and acquisition of cyber operations-
     peculiar equipment; and
       (2) acquisition of other capabilities or services that are 
     peculiar to offensive cyber operations activities.
       (f) Cyber Operations Procurement Fund.--There is authorized 
     to be appropriated for each of fiscal years 2016 through 
     2021, out of funds made available for procurement, Defense-
     wide, $75,000,000 for a Cyber Operations Procurement Fund to 
     support acquisition activities provided for under this 
     section.
       (g) Rule of Construction Regarding Intelligence and Special 
     Activities.--Nothing in this section shall be construed to 
     constitute authority to conduct any activity which, if 
     carried out as an intelligence activity by the Department of 
     Defense, would require a notice to the Select Committee on 
     Intelligence of the Senate and the Permanent Select Committee 
     on Intelligence of the House of Representatives under title V 
     of the National Security Act of 1947 (50 U.S.C. 3091 et 
     seq.).
       (h) Sunset.--
       (1) In general.--The authority under this section shall 
     terminate on September 30, 2021.
       (2) Limitation on duration of acquisitions.--The authority 
     under this section does not include major defense 
     acquisitions or acquisitions of foundational infrastructure 
     or software architectures the duration of which is expected 
     to last more than five years.

     SEC. 808. ADVISORY PANEL ON STREAMLINING AND CODIFYING 
                   ACQUISITION REGULATIONS.

       (a) Establishment.--Not later than 180 days after the date 
     of the enactment of this Act, the Secretary of Defense shall 
     establish under the sponsorship of the Defense Acquisition 
     University and the National Defense University an advisory 
     panel on streamlining acquisition regulations.
       (b) Membership.--The panel shall be composed of at least 
     nine individuals who are recognized experts in acquisition 
     and procurement policy. In making appointments to the 
     advisory panel, the Under Secretary shall ensure that the 
     members of the panel reflect diverse experiences in the 
     public and private sectors.
       (c) Duties.--The panel shall--
       (1) review the acquisition regulations applicable to the 
     Department of Defense with a view toward streamlining and 
     improving the efficiency and effectiveness of the defense 
     acquisition process and maintaining defense technology 
     advantage; and
       (2) make any recommendations for the amendment or repeal of 
     such regulations that the panel considers necessary, as a 
     result of such review, to--
       (A) establish and administer appropriate buyer and seller 
     relationships in the procurement system;
       (B) improve the functioning of the acquisition system;
       (C) ensure the continuing financial and ethical integrity 
     of defense procurement programs;
       (D) protect the best interests of the Department of 
     Defense; and
       (E) eliminate any regulations that are unnecessary for the 
     purposes described in subparagraphs (A) through (D).
       (d) Administrative Matters.--
       (1) In general.--The Secretary of Defense shall provide the 
     advisory panel established pursuant to subsection (a) with 
     timely access to appropriate information, data, resources, 
     and analysis so that the advisory panel may conduct a 
     thorough and independent assessment as required under such 
     subsection.
       (2) Inapplicability of faca.--The requirements of the 
     Federal Advisory Committee Act (5 U.S.C. App.) shall not 
     apply to the advisory panel established pursuant to 
     subsection (a).
       (e) Report.--
       (1) Panel report.--Not later than two years after the date 
     on which the Secretary of Defense establishes the advisory 
     panel, the panel shall transmit a final report to the 
     Secretary.
       (2) Elements.--The final report shall contain a detailed 
     statement of the findings and conclusions of the panel, 
     including--
       (A) a history of each current acquisition regulation and a 
     recommendation as to whether the regulation and related law 
     (if applicable) should be retained, modified, or repealed; 
     and
       (B) such additional recommendations for legislation as the 
     panel considers appropriate.
       (3) Interim reports.--(A) Not later than 6 months and 18 
     months after the date of the enactment of this Act, the 
     Secretary of Defense shall submit a report to or brief the 
     congressional defense committees on the interim findings of 
     the panel with respect to the elements set forth in paragraph 
     (2).
       (B) The panel shall provide regular updates to the 
     Secretary of Defense for purposes of providing the interim 
     reports required under this paragraph.
       (4) Final report.--Not later than 30 days after receiving 
     the final report of the advisory panel, the Secretary of 
     Defense shall transmit the final report, together with such 
     comments as the Secretary determines appropriate, to the 
     congressional defense committees.
       (f) Defense Acquisition Workforce Development Fund 
     Support.--The Secretary of Defense may use amounts available 
     in the Department of Defense Acquisition Workforce 
     Development Fund established under section 1705 of title 10, 
     United States Code, to support activities of the advisory 
     panel under this section.

[[Page S3504]]

     SEC. 809. REVIEW OF TIME-BASED REQUIREMENTS PROCESS AND 
                   BUDGETING AND ACQUISITION SYSTEMS.

       (a) Time-based Requirements Process.--The Secretary of 
     Defense and the Chairman of the Joint Chiefs of Staff shall 
     review the requirements process with the goal of establishing 
     an agile and streamlined system that develops requirements 
     that provide stability and foundational direction for 
     acquisition programs. The requirements system should be 
     informed by technological market research and provide a time-
     based or phased distinction between capabilities needed to be 
     deployed urgently, within 2 years, within 5 years, and longer 
     than 5 years.
       (b) Budgeting and Acquisition Systems.--The Secretary of 
     Defense shall review and ensure that the acquisition and 
     budgeting systems are structured to meet time-based or phased 
     requirements in a manner that is predictable, cost effective, 
     and efficient and takes advantage of emerging technological 
     developments. The Secretary shall make all necessary changes 
     in regulation and policy to achieve a time-based 
     requirements, budgeting, and acquisition system and shall 
     identify and report to Congress within 180 days after the 
     date of the enactment of this Act on any statutory 
     impediments to achieving such a system.

     SEC. 810. IMPROVEMENT OF PROGRAM AND PROJECT MANAGEMENT BY 
                   THE DEPARTMENT OF DEFENSE.

       (a) Department-wide Responsibilities of Secretary of 
     Defense.--In fulfilling the responsibilities under chapter 87 
     of title 10, United States Code, the Secretary of Defense 
     shall--
       (1) develop Department-wide standards, policies, and 
     guidelines for program and project management for the 
     Department of Defense based on appropriate and applicable 
     nationally accredited standards for program and project 
     management;
       (2) develop polices to monitor compliance with the 
     standards, policies, and guidelines developed under paragraph 
     (1); and
       (3) engage with the private sector on matters relating to 
     program and project management for the Department.
       (b) Responsibilities of USD (ATL).--In fulfilling the 
     responsibilities under chapter 87 of title 10, United States 
     Code, for the military departments and the Defense Agencies, 
     the Under Secretary of Defense for Acquisition, Technology, 
     and Logistics shall--
       (1) advise and assist Secretary of Defense with respect 
     Department of Defense practices related to program and 
     project management;
       (2) review programs identified as high-risk in program and 
     project management by the Government Accountability Office, 
     and make recommendations for actions to be taken by the 
     Secretary to mitigate such risks;
       (3) assess matters of importance to the workforce in 
     program and project management, including--
       (A) career development and workforce development;
       (B) policies to support continuous improvement in program 
     and project management; and
       (C) major challenges of the Department in managing programs 
     and projects; and
       (4) advise on the development and applicability of 
     standards Department-wide for program and project management 
     transparency.
       (c) Responsibilities of Acquisition Executives.--In 
     fulfilling the responsibilities under chapter 87 of title 10, 
     United States Code, for the military departments, the service 
     acquisition executives (in consultation with the Chiefs of 
     the Armed Forces with respect to military program managers), 
     and the component acquisition executives for the Defense 
     Agencies, shall--
       (1) ensure the compliance of the department or Agency 
     concerned with standards, policies, and guidelines for 
     program and project management for the Department of Defense 
     developed by the Secretary of Defense under subsection 
     (a)(1); and
       (2) ensure the effective career development of program 
     managers through--
       (A) training and educational opportunities for program 
     managers, including exchange programs with the private 
     sector;
       (B) mentoring of current and future program managers by 
     experienced public and private sector senior executives and 
     program managers;
       (C) continued refinement of career paths and career 
     opportunities for program managers;
       (D) incentives for the recruitment of highly qualified 
     individuals to serve as program managers;
       (E) improved means of collecting and disseminating best 
     practices and lessons learned to enhance program management; 
     and
       (F) improved methods to support improved data gathering and 
     analysis for program management and oversight purposes.
       (d) Deadline for Standards, Policies, and Guidelines.--Not 
     later than one year after the date of the enactment of this 
     Act, the Secretary of Defense shall issue the standards, 
     policies, and guidelines required by subsection (a)(1). The 
     Secretary shall provide Congress an interim update on the 
     progress made in implementing this section not later than six 
     months after the date of the enactment of this Act.

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

     SEC. 821. PREFERENCE FOR FIXED-PRICE CONTRACTS IN DETERMINING 
                   CONTRACT TYPE FOR DEVELOPMENT PROGRAMS.

       (a) Establishment of Preference.--Not later than 180 days 
     after the date of the enactment of this Act, the Defense 
     Federal Acquisition Regulation Supplement shall be revised to 
     establish a preference for fixed-price contracts, including 
     fixed-price incentive fee contracts, in the determination of 
     contract type for development programs.
       (b) Technical and Conforming Changes.--Section 818(c) of 
     the John Warner National Defense Authorization Act for Fiscal 
     Year 2007 (Public Law 109-364; 120 Stat. 2329) is amended--
       (1) in the first sentence, by inserting ``or major 
     automated information system'' after ``major defense 
     acquisition program''; and
       (2) by striking the second sentence.

     SEC. 822. APPLICABILITY OF COST AND PRICING DATA AND 
                   CERTIFICATION REQUIREMENTS.

       Section 2306a(b)(1) of title 10, United States Code, is 
     amended--
       (1) in subparagraph (B), by striking ``; or'' and inserting 
     a semicolon;
       (2) in subparagraph (C), by striking the period at the end 
     and inserting ``; or''; and
       (3) by adding at the end the following new subparagraph:
       ``(D) to the extent such data relates to an offset 
     agreement in connection with a contract for the sale of a 
     weapon system or defense-related item to a foreign country or 
     foreign firm.''.

     SEC. 823. RISK-BASED CONTRACTING FOR SMALLER CONTRACT ACTIONS 
                   UNDER THE TRUTH IN NEGOTIATIONS ACT.

       (a) Increase in Thresholds.--Subsection (a) of section 
     2306a of title 10, United States Code, is amended--
       (1) in paragraph (1)--
       (A) by striking ``December 5, 1990'' each place it appears 
     and inserting ``January 15, 2016'';
       (B) by striking ``$500,000'' each place it appears and 
     inserting ``$5,000,000''; and
       (C) by striking ``$100,000'' each place it appears and 
     inserting ``$750,000''; and
       (2) in paragraph (7), by striking ``fiscal year 1994 
     constant dollar value'' and inserting ``fiscal year 2016 
     constant dollar value''.
       (b) Risk-based Contracting.--Subsection (c) of such section 
     is amended to read as follows:
       ``(c) Cost or Pricing Data on Below-threshold Contracts.--
       ``(1) Authority to require submission.--Subject to 
     paragraph (4), when certified cost or pricing data are not 
     required to be submitted by subsection (a) for a contract, 
     subcontract, or modification of a contract or subcontract, 
     such data may nevertheless be required to be submitted by the 
     head of the procuring activity, if the head of the procuring 
     activity--
       ``(A) determines that such data are necessary for the 
     evaluation by the agency of the reasonableness of the price 
     of the contract, subcontract, or modification of a contract 
     or subcontract; or
       ``(B) requires the submission of such data in accordance 
     with a risk-based contracting approach established pursuant 
     to paragraph (3).
       ``(2) Written determination required.--In any case in which 
     the head of the procuring activity requires certified cost or 
     pricing data to be submitted under paragraph (1)(A), the head 
     of the procuring activity shall justify in writing the reason 
     for such requirement.
       ``(3) Risk-based contracting.--The head of an agency shall 
     establish a risk-based sampling approach under which the 
     submission of certified cost or pricing data may be required 
     for a risk-based sample of contracts, the price of which is 
     expected to exceed the dollar amount in subsection 
     (a)(1)(A)(ii), but not the amount in subsection (a)(1)(A)(i). 
     The authority to require certified cost or pricing data under 
     this paragraph shall not apply to any contract of an offeror 
     that has not been awarded, for at least the one-year period 
     preceding the issuance of a solicitation for the contract, 
     any other contract in excess of the amount in subsection 
     (a)(1)(A)(i) under which the offeror was required to submit 
     certified cost or pricing data under this section.
       ``(4) Exception.--The head of the procuring activity may 
     not require certified cost or pricing data to be submitted 
     under this subsection for any contract or subcontract, or 
     modification of a contract or subcontract, covered by the 
     exceptions in subparagraph (A) or (B) of subsection (b)(1).
       ``(5) Delegation of authority prohibited.--The head of a 
     procuring activity may not delegate functions under this 
     subsection.''.

     SEC. 824. LIMITATION ON USE OF REVERSE AUCTION AND LOWEST 
                   PRICE TECHNICALLY ACCEPTABLE CONTRACTING 
                   METHODS.

       Not later than 180 days after the date of the enactment of 
     this Act, the Federal Acquisition Regulation and the Defense 
     Supplement to the Federal Acquisition Regulation shall be 
     amended--
       (1) to prohibit the use by the Department of Defense of 
     reverse auction or lowest price technically acceptable 
     contracting methods for the procurement of personal 
     protective equipment where the level of quality or failure of 
     the item could result in combat casualties; and
       (2) to establish a preference for the use of best value 
     contracting methods for the procurement of such equipment.

     SEC. 825. RIGHTS IN TECHNICAL DATA.

       (a) Rights in Technical Data Relating to Major Weapon 
     Systems.--Paragraph (2) of

[[Page S3505]]

     section 2321(f) of title 10, United States Code, is amended 
     to read as follows:
       ``(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 for a major system or a 
     subsystem or component thereof on the basis that the major 
     weapon system, subsystem, or component was developed 
     exclusively at private expense--
       ``(A) the presumption in paragraph (1) shall apply--
       ``(i) with regard to a commercial subsystem or component of 
     a major system, if the major system was acquired as a 
     commercial item in accordance with section 2379(a) of this 
     title;
       ``(ii) with regard to a component of a subsystem, if the 
     subsystem was acquired as a commercial item in accordance 
     with section 2379(b) of this title; and
       ``(iii) with regard to any other component, if the 
     component is a commercially available off-the-shelf item or a 
     commercially available off-the-shelf item with modifications 
     of a type customarily available in the commercial marketplace 
     or minor modifications made to meet Federal Government 
     requirements; and
       ``(B) in all other cases, 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.''.
       (b) Government-industry Advisory Panel.--
       (1) Establishment.--Not later than 90 days after the date 
     of the enactment of this Act, the Secretary of Defense, 
     acting through the Under Secretary of Defense for 
     Acquisition, Technology, and Logistics, shall establish a 
     government-industry advisory panel for the purpose of 
     reviewing sections 2320 and 2321 of title 10, United States 
     Code, regarding rights in technical data and the validation 
     of proprietary data restrictions and the regulations 
     implementing such sections, for the purpose of ensuring that 
     such statutory and regulatory requirements are best 
     structured to serve the interests of the taxpayers and the 
     national defense.
       (2) Membership.--The panel shall be chaired by an 
     individual selected by the Under Secretary, and the Under 
     Secretary shall ensure that--
       (A) the government members of the advisory panel are 
     knowledgeable about technical data issues and appropriately 
     represent the three military departments, as well as the 
     legal, acquisition, logistics, and research and development 
     communities in the Department of Defense; and
       (B) the private sector members of the advisory panel 
     include independent experts and individuals appropriately 
     representative of the diversity of interested parties, 
     including large and small businesses, traditional and non-
     traditional government contractors, prime contractors and 
     subcontractors, suppliers of hardware and software, and 
     institutions of higher education.
       (3) Scope of review.--In conducting the review required by 
     paragraph (1), the advisory panel shall give appropriate 
     consideration to the following factors:
       (A) Ensuring that the Department of Defense does not pay 
     more than once for the same work.
       (B) Ensuring that Department of Defense contractors are 
     appropriately rewarded for their innovation and invention.
       (C) Providing for cost-effective reprocurement, 
     sustainment, modification, and upgrades to Department of 
     Defense systems.
       (D) Encouraging the private sector to invest in new 
     products, technologies, and processes relevant to the 
     missions of the Department of Defense.
       (E) Ensuring that the Department of Defense has appropriate 
     access to innovative products, technologies, and processes 
     developed by the private sector for commercial use.
       (4) Final report.--Not later than September 30, 2016, the 
     advisory panel shall submit its final report and 
     recommendations to the Secretary of Defense. Not later than 
     60 days after receiving the report, the Secretary shall 
     submit a copy of the report, together with any comments or 
     recommendations, to the congressional defense committees.

     SEC. 826. PROCUREMENT OF SUPPLIES FOR EXPERIMENTAL PURPOSES.

       (a) Additional Procurement Authority.--Subsection (a) of 
     section 2373 of title 10, United States Code, is amended by 
     inserting ``transportation, energy, medical, space-flight,'' 
     before ``and aeronautical supplies''.
       (b) Applicability of Chapter 137 of Title 10, United States 
     Code.--Subsection (b) of such section is amended by striking 
     ``only when such purchases are made in quantity'' and 
     inserting ``only when such purchases are made in quantities 
     greater than necessary for experimentation, technical 
     evaluation, assessment of operational utility, or safety or 
     to provide a residual operational capability''.

     SEC. 827. EXTENSION OF AUTHORITY TO ACQUIRE PRODUCTS AND 
                   SERVICES PRODUCED IN COUNTRIES ALONG A MAJOR 
                   ROUTE OF SUPPLY TO AFGHANISTAN.

       Section 801(f) of the National Defense Authorization Act 
     for Fiscal Year 2010 (Public Law 111-84; 123 Stat. 2399), as 
     most recently amended by section 832(a) of the National 
     Defense Authorization Act for Fiscal Year 2014 (Public Law 
     113-66; 127 Stat. 814), is further amended by striking 
     ``December 31, 2015'' and inserting ``December 31, 2016''.

     SEC. 828. REPORTING RELATED TO FAILURE OF CONTRACTORS TO MEET 
                   GOALS UNDER NEGOTIATED COMPREHENSIVE SMALL 
                   BUSINESS SUBCONTRACTING PLANS.

       Paragraph (2) of section 834(d) of the National Defense 
     Authorization Act for Fiscal Years 1990 and 1991 (15 U.S.C. 
     637 note), as added by section 821(d)(2) of the Carl Levin 
     and Howard P. ``Buck'' McKeon National Defense Authorization 
     Act for Fiscal Year 2015 (Public Law 113-291; 128 Stat. 3434) 
     is amended by striking ``may not negotiate'' and all that 
     follows through the period at the end and inserting ``shall 
     report to Congress on any negotiated comprehensive 
     subcontracting plan that the Secretary determines did not 
     meet the subcontracting goals negotiated in the plan for the 
     prior fiscal year.''.

     SEC. 829. COMPETITION FOR RELIGIOUS SERVICES CONTRACTS.

       The Department of Defense may not preclude a non-profit 
     organization from competing for a contract for religious 
     related services on a United States military installation.

     SEC. 830. TREATMENT OF INTERAGENCY AND STATE AND LOCAL 
                   PURCHASES WHEN THE DEPARTMENT OF DEFENSE ACTS 
                   AS CONTRACT INTERMEDIARY FOR THE GENERAL 
                   SERVICES ADMINISTRATION.

       Contracts executed by the Department of Defense as a result 
     of the transfer of contracts from the General Services 
     Administration or for which the Department serves as an item 
     manager for products on behalf of the General Services 
     Administration shall not be subject to requirements under 
     chapter 148 of title 10, United States Code, to the extent 
     such contracts are for purchases of products by other Federal 
     agencies or State or local governments.

     SEC. 831. PILOT PROGRAM FOR STREAMLINING AWARDS FOR 
                   INNOVATIVE TECHNOLOGY PROJECTS.

       (a) Exception From Certified Cost and Pricing Date 
     Requirements.--The requirements under section 2306a(a) of 
     title 10, United States Code, shall not apply to a contract, 
     subcontract, or modification of a contract or subcontract 
     valued at less than $7,500,000 awarded to a small business or 
     non-traditional defense contractor pursuant to--
       (1) a technical merit based selection procedure, such as a 
     broad agency announcement; or
       (2) the Small Business Innovation Research Program,

     unless the head of the agency determines that submission of 
     cost and pricing data should be required based on past 
     performance of the specific small business or non-traditional 
     defense contractor, or based on analysis of other information 
     specific to the award.
       (b) Exception From Records Examination Requirement.--The 
     requirements under section 2313 of title 10, United States 
     Code, shall not apply to a contract valued at less than 
     $7,500,000 awarded to a small business or non-traditional 
     defense contractor pursuant to--
       (1) a technical merit based selection procedure, such as a 
     broad agency announcement; or
       (2) the Small Business Innovation Research Program,

     unless the head of the agency determines that auditing of 
     records should be required based on past performance of the 
     specific small business or non-traditional defense 
     contractor, or based on analysis of other information 
     specific to the award.
       (c) Sunset.--The exceptions under subsections (a) and (b) 
     shall terminate on October 1, 2020.

 Subtitle C--Provisions Relating to Major Defense Acquisition Programs

     SEC. 841. ACQUISITION STRATEGY REQUIRED FOR EACH MAJOR 
                   DEFENSE ACQUISITION PROGRAM.

       (a) Consolidation of Requirements Relating to Acquisition 
     Strategy.--
       (1) In general.--Chapter 144 of title 10, United States 
     Code, is amended by inserting after section 2431 the 
     following new section:

     ``Sec. 2431a. Acquisition strategy

       ``(a) Requirement.--(1) There shall be an acquisition 
     strategy for each major defense acquisition program. The 
     acquisition strategy for a major defense acquisition program 
     shall be reviewed by the milestone decision authority for the 
     program at each time specified in paragraph (2). The 
     milestone decision authority may approve, disapprove, or 
     revise the acquisition strategy at any such time.
       ``(2) The times at which the acquisition strategy for a 
     major defense acquisition program shall be reviewed by the 
     milestone decision authority for the program under paragraph 
     (1) are the following:
       ``(A) Program initiation.
       ``(B) Each subsequent milestone.
       ``(C) Full-Rate Production Decision Review.
       ``(D) Any other time considered relevant by the milestone 
     decision authority.
       ``(b) Guidance.--The Under Secretary of Defense for 
     Acquisition, Technology, and Logistics shall issue policies 
     and procedures governing the contents of, and the review and 
     approval process for, the acquisition strategy for a major 
     defense acquisition program.
       ``(c) Contents.--The acquisition strategy for a major 
     defense acquisition program shall present a top-level 
     description of the business and technical management approach 
     designed to achieve the objectives of

[[Page S3506]]

     the program within the resource constraints imposed. The 
     strategy shall be tailored to address program requirements 
     and constraints, and shall express the program manager's 
     approach to the program in sufficient detail to allow the 
     milestone decision authority to assess the viability of 
     approach, method of implementation of laws and policies, and 
     program objectives. Subject to guidance issued pursuant to 
     subsection (b), each acquisition strategy shall address the 
     following:
       ``(1) An acquisition approach, including industrial base 
     considerations in accordance with section 2440 of this title, 
     and consideration of alternative acquisition approaches.
       ``(2) A risk management strategy, addressing cost, 
     schedule, and technical risk.
       ``(3) An approach to ensuring the maturity of technologies 
     and avoiding unnecessary or excessive concurrency.
       ``(4) A strategy for dividing the acquisition into 
     increments or spirals, and continuously adopting commercial 
     and defense technologies, where appropriate.
       ``(5) A business strategy, including measures to ensure 
     continuing competition in through the life of the acquisition 
     program.
       ``(6) A contracting strategy addressing the selection of 
     sources, contract types, and small business participation.
       ``(7) An intellectual property strategy, in accordance with 
     section 2320 of this title.
       ``(8) An approach to international involvement, including 
     foreign military sales and cooperative opportunities, in 
     accordance with section 2350a of this title.
       ``(d) In this section, the term `milestone decision 
     authority', with respect to a major defense acquisition 
     program, means the official within the Department of Defense 
     designated with the overall responsibility and authority for 
     acquisition decisions for the program, including authority to 
     approve entry of the program into the next phase of the 
     acquisition process.''.
       (2) Clerical amendment.--The table of sections at the 
     beginning of such chapter is amended by inserting after the 
     item relating to section 2431 the following new item:

``2431a. Acquisition strategy.''.
       (b) Conforming Amendments.--
       (1) Section 2350a(e) of such title is amended--
       (A) in the subsection heading, by striking ``Document'';
       (B) in paragraph (1), by striking ``the Under Secretary of 
     Defense for'' and all that follows through ``of the Board'' 
     and inserting ``opportunities for such cooperative research 
     and development shall be addressed in the acquisition 
     strategy for the project''; and
       (C) in paragraph (2)--
       (i) in the matter preceding subparagraph (A)--

       (I) by striking ``document'' and inserting ``discussion''; 
     and
       (II) by striking ``include'' and inserting ``consider'';

       (ii) in subparagraph (A), by striking ``A statement 
     indicating whether'' and inserting ``Whether'';
       (iii) in subparagraph (B)--

       (I) by striking ``by the Under Secretary of Defense for 
     Acquisition, Technology, and Logistics''; and
       (II) by striking ``of the United States under consideration 
     by the Department of Defense''; and

       (iv) in subparagraph (D)--

       (I) by striking ``The'' and inserting ``A''; and
       (II) by striking ``of the Under Secretary'' and inserting 
     ``to the milestone decision authority''.

       (2) Section 803 of the Bob Stump National Defense 
     Authorization Act for Fiscal Year 2003 (Public Law 107-314; 
     10 U.S.C. 2430 note) is repealed.

     SEC. 842. RISK REDUCTION IN MAJOR DEFENSE ACQUISITION 
                   PROGRAMS.

       (a) Guidance on Risk Reduction in Major Defense Acquisition 
     Programs.--The Secretary of Defense shall ensure that the 
     acquisition strategy developed pursuant to section 2431a of 
     title 10, United States Code, as added by section 841, for 
     each major defense acquisition program for which development 
     activities are required includes the following elements:
       (1) A comprehensive approach to continuously identifying 
     and addressing risk (including technical, cost, and schedule 
     risk) beginning at program initiation and continuing until 
     the start of full rate production as a means to improve 
     programmatic decision making and appropriately minimize and 
     manage program concurrency.
       (2) Documentation of the major sources of risk identified 
     and the approach to retiring that risk.
       (b) Elements of Comprehensive Approach to Risk Reduction.--
     The comprehensive approach to identifying and addressing risk 
     for purposes of subsection (a)(1) shall include some 
     combination of the following elements as appropriate for the 
     item or system being acquired:
       (1) Development planning.
       (2) Systems engineering.
       (3) Integrated developmental and operational testing.
       (4) Preliminary and critical design reviews and technical 
     reviews.
       (5) Prototyping (including prototyping at the system or 
     subsystem level and competitive prototyping, where 
     appropriate).
       (6) Modeling and simulation.
       (7) Technology demonstrations and technology off ramps.
       (8) Manufacturability and industrial base availability.
       (9) Multiple design approaches.
       (10) Alternative, lower risk reduced performance designs.
       (11) Schedule and funding margins for or specific risks.
       (12) Independent risk element assessments by outside 
     subject matter experts.
       (13) Program phasing to address high risk areas as early as 
     possible.
       (c) Preference for Prototyping.--To the maximum extent 
     practicable and consistent with the economical use of 
     available financial resources, the milestone decision 
     authority for each major defense acquisition program shall 
     ensure that the acquisition strategy for the program provides 
     for--
       (1) the production of competitive prototypes at the system 
     or subsystem level before Milestone B approval; or
       (2) if the production of competitive prototypes is not 
     practicable, the production of single prototypes at the 
     system or subsystem level.
       (d) Repeal of Mandatory Prototyping Provision.--Section 203 
     of the Weapon Systems Acquisition Reform Act of 2009 (Public 
     Law 111-23; 10 U.S.C. 2430 note) is repealed.

     SEC. 843. DESIGNATION OF MILESTONE DECISION AUTHORITY.

       (a) In General.--Section 2430 of title 10, United States 
     Code, is amended by adding at the end the following new 
     subsection:
       ``(d)(1) The milestone decision authority for major defense 
     acquisition programs shall be the service acquisition 
     executive of the military service that is managing the 
     program, unless the Secretary of Defense designates another 
     official to serve as the milestone decision authority.
       ``(2) The Secretary of Defense may designate an alternate 
     milestone decision authority in programs where--
       ``(A) the Secretary determines that the program is 
     addressing a joint requirement;
       ``(B) the Secretary determines that the program is best 
     managed by a defense agency;
       ``(C) the program has incurred a unit cost increase greater 
     than the significant cost threshold or critical cost 
     threshold under section 2433 of this title;
       ``(D) the program has failed to develop an acquisition 
     program baseline within 2 years of program initiation;
       ``(E) the program is critical to a major interagency 
     requirement or technology development effort, or has 
     significant international partner involvement; or
       ``(F) the Secretary certifies that an alternate official 
     serving as the milestone decision authority will best 
     position the program to achieve desired cost, schedule, and 
     performance outcomes.
       ``(3)(A) The Secretary of Defense may redelegate the 
     position of milestone decision authority for a program 
     designated above upon request of the Secretary of the 
     military department concerned. A decision on redelegation 
     must be made within 180 days of the request of the Secretary 
     of the military department concerned.
       ``(B) If the Secretary of Defense denies the request for 
     redelegation, the Secretary shall certify to the 
     congressional defense committees that an alternate official 
     serving as milestone decision authority will best position 
     the program to achieve desired cost, schedule, and 
     performance outcomes. No such redelegation is authorized 
     after a program has incurred a unit cost increase greater 
     than the significant cost threshold or critical cost 
     threshold under section 2433 of this title, except for 
     exceptional circumstances.
       ``(4) For major defense acquisition programs where the 
     service acquisition executive of the military service that is 
     managing the program is the milestone decision authority--
       ``(A) the Secretary of Defense shall ensure that no 
     documentation is required outside of the military service 
     organization, without a determination by the Deputy Chief 
     Management Officer that the documentation supports a specific 
     statutory requirement and is implemented in a manner that 
     will not result in program delays or increased costs, and no 
     acquisition programmatic approvals shall be required outside 
     of the military service organization, with the exception of 
     approval of the Director of Operational Test and Evaluation 
     of the Test and Evaluation Master Plan; and
       ``(B) the Secretary of the military department concerned 
     and the chief of the Armed Force concerned shall, in each 
     Selected Acquisition Report required under section 2432 of 
     this title, certify that program requirements are stable and 
     funding is adequate to meet cost, schedule, and performance 
     objectives for the program and identify and report to the 
     congressional defense committees on any increased risk to the 
     program since the last report.''.
       (b) Conforming Amendment.--Section 133(b)(5) of such title 
     is amended by inserting before the period at the end the 
     following: ``, except that the Under Secretary shall exercise 
     only advisory authority over service acquisition programs for 
     which the service acquisition executive is the milestone 
     decision authority''.
       (c) Implementation.--
       (1) Implementation plan.--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 plan 
     for implementing subsection (d) of section 2430 of title 10, 
     United States Code, as added by subsection (a) of this 
     section.
       (2) Guidance.--The Deputy Chief Management Officer of the 
     Department of Defense,

[[Page S3507]]

     in consultation with the Under Secretary of Defense for 
     Acquisition, Technology and Logistics and the service 
     acquisition executives, shall issue guidance to ensure that 
     by not later than October 1, 2016, the acquisition policy, 
     guidance, and practices of the Department of Defense conform 
     to the requirements of subsection (d) of section 2430 of 
     title 10, United States Code, as added by subsection (a) of 
     this section. The guidance shall be designed to ensure a 
     streamlined decision-making and approval process and to 
     minimize any information requests, consistent with the 
     requirement of paragraph (4)(A) of such subsection (d).
       (3) Effective date.--The amendments made by subsections (a) 
     and (b) shall take effect on October 1, 2016.

     SEC. 844. REVISION OF MILESTONE A DECISION AUTHORITY 
                   RESPONSIBILITIES FOR MAJOR DEFENSE ACQUISITION 
                   PROGRAMS.

       (a) Revision to Milestone a Requirements.--
       (1) In general.--Section 2366a of title 10, United States 
     Code, is amended to read as follows:

     ``Sec. 2366a. Major defense acquisition programs: 
       responsibilities at Milestone A approval

       ``(a) Responsibilities.--Before granting Milestone A 
     approval for a major defense acquisition program or a major 
     subprogram, the milestone decision authority for the program 
     or subprogram shall ensure that--
       ``(1) information about the program or subprogram is 
     sufficient to warrant entry of the program or subprogram into 
     the risk reduction phase;
       ``(2) the Secretary of the relevant military department and 
     the chief of the relevant military service concur in cost, 
     schedule, technical feasibility, and performance trade-offs 
     that have been made with regard to the program; and
       ``(3) there are sound plans for progression of the program 
     or subprogram to the development phase.
       ``(b) Considerations.--In carrying out subsection (a), the 
     milestone decision authority shall take appropriate action to 
     ensure that--
       ``(1) the program or subprogram--
       ``(A) meets a joint military requirement and responds to an 
     anticipated or likely threat;
       ``(B) has been developed in light of appropriate market 
     research and a review of alternative approaches and does not 
     unnecessarily duplicate a capability already provided by an 
     existing system; and
       ``(C) is affordable in light of cost estimates developed 
     pursuant to the guidance of the Director of Cost Assessment 
     and Program Evaluation; and
       ``(2) the acquisition strategy for the program or 
     subprogram--
       ``(A) identifies areas of risk and, for each such 
     identified area of risk, includes a plan to reduce the risk;
       ``(B) addresses planning for sustainment; and
       ``(C) complies with the requirements of section 2431a of 
     this title and the policies and procedures implementing such 
     section; and
       ``(3) the program or subprogram meets any other 
     considerations the milestone decision authority considers 
     relevant.
       ``(c) Notification.--Not later than 30 days after granting 
     Milestone A approval for a major defense acquisition program 
     or major subprogram, the milestone decision authority for 
     that program or subprogram shall submit to the congressional 
     defense committees notice of the approval in writing. The 
     milestone decision authority's decision memorandum with 
     respect to such approval shall be available to the 
     congressional defense committees upon request, consistent 
     with any relevant classification requirements.
       ``(d) Definitions.--In this section:
       ``(1) The term `major defense acquisition program' means a 
     Department of Defense acquisition program that is a major 
     defense acquisition program for purposes of section 2430 of 
     this title.
       ``(2) The term `major subprogram' means a major subprogram 
     of a major defense acquisition program designated under 
     section 2430a(a)(1) of this title.
       ``(3) The term `milestone decision authority', with respect 
     to a major defense acquisition program or a major subprogram, 
     means the official within the Department of Defense 
     designated with the overall responsibility and authority for 
     acquisitions decisions for the program or subprogram, 
     including authority to approve entry of the program or 
     subprogram into the next phase of the acquisition process.
       ``(4) The term `Milestone A approval' means a decision to 
     enter into a risk reduction phase pursuant to guidance 
     prescribed by the Secretary of Defense for the management of 
     Department of Defense acquisition programs.
       ``(5) The term `joint military requirement' has the meaning 
     given that term in section 181(g)(1) of this title.''.
       (2) Clerical amendment.--The table of sections at the 
     beginning of chapter 139 of such title is amended by striking 
     the item relating to section 2366a and inserting the 
     following:

``2366a. Major defense acquisition programs: responsibilities at 
              Milestone A approval.''.

       (b) Considerations in Making Milestone a Determinations.--
     In making a Milestone A determination pursuant to section 
     2366a of title 10, United States Code, the milestone decision 
     authority shall include consideration of the following:
       (1) With respect to joint military requirements, the 
     factors outlined under section 181(b) of title 10, United 
     States Code.
       (2) With respect to alternative approaches, the factors 
     outlined under section 201(a) of the Weapon Systems 
     Acquisition Reform Act of 2009 (Public Law 111-23; 10 U.S.C. 
     2302 note).
       (3) With respect to affordability and cost estimates and 
     analyses, the factors outlined under section 2334(a) of title 
     10, United States Code.
       (4) With respect to risk, the factors outlined under--
       (A) section 138b(b) of title 10, United States Code; and
       (B) section 842.
       (5) With respect to sustainment, the factors outlined under 
     section 2337 and section 2464 of this title 10, United States 
     Code.

     SEC. 845. REVISION OF MILESTONE B DECISION AUTHORITY 
                   RESPONSIBILITIES FOR MAJOR DEFENSE ACQUISITION 
                   PROGRAMS.

       (a) Revision to Milestone B Requirements.--Section 2366b of 
     title 10, United Stated Code, is amended to read as follows:

     ``Sec. 2366b. Major defense acquisition programs: 
       certification required before Milestone B approval

       ``(a) Certification.--A major defense acquisition program 
     may not receive Milestone B approval until the milestone 
     decision authority certifies that the technology in the 
     program has been demonstrated in a relevant environment, as 
     determined by the Milestone Decision Authority on the basis 
     of an independent review and assessment by the Assistant 
     Secretary of Defense for Research and Engineering, in 
     consultation with the Deputy Assistant Secretary of Defense 
     for Developmental Test and Evaluation.
       ``(b) Determination.--A major defense acquisition program 
     may not receive Milestone B approval until the milestone 
     decision authority determines that appropriate steps have 
     been taken to ensure that--
       ``(1) the program is affordable when considering the 
     ability of the Department of Defense to accomplish the 
     program's mission using alternative systems;
       ``(2) trade-offs among cost, schedule, technical 
     feasibility, and performance objectives have been made to 
     ensure that the program is affordable when considering the 
     per unit cost and the total acquisition cost in the context 
     of the total resources available during the period covered by 
     the future-years defense program submitted during the fiscal 
     year in which the certification is made;
       ``(3) the Secretary of the relevant military department and 
     the chief of the relevant military service concur in the 
     trade-offs made in accordance with paragraph (2);
       ``(4) reasonable cost and schedule estimates have been 
     developed to execute, with the concurrence of the Director of 
     Cost Assessment and Program Evaluation, the product 
     development and production plan under the program;
       ``(5) 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 
     (4) for the program;
       ``(6) market research has been conducted prior to 
     technology development to reduce duplication of existing 
     technology and products;
       ``(7) the Department of Defense has completed an analysis 
     of alternatives and a business case analysis with respect to 
     the program;
       ``(8) the Joint Requirements Oversight Council has 
     accomplished its duties with respect to the program pursuant 
     to section 181(b) of this title, including an analysis of the 
     operational requirements for the program;
       ``(9) life-cycle sustainment planning, including corrosion 
     prevention and mitigation planning, has identified and 
     evaluated relevant sustainment costs throughout development, 
     production, operation, sustainment, and disposal of the 
     program, and any alternatives, and that such costs are 
     reasonable and have been accurately estimated;
       ``(10) an estimate has been made of the requirements for 
     core logistics capabilities and the associated sustaining 
     workloads required to support such requirements;
       ``(11) there is a plan to mitigate and account for any 
     costs in connection with any anticipated de-certification of 
     cryptographic systems and components during the production 
     and procurement of the major defense acquisition program to 
     be acquired;
       ``(12) a preliminary design review or assessment of 
     engineering design knowledge of the system has been 
     satisfactorily completed; and
       ``(13) the program complies with all relevant policies, 
     regulations, and directives of the Department of Defense.
       ``(c) Changes to Certification.--(1) The program manager 
     for a major defense acquisition program that has received 
     milestone B approval under this section shall immediately 
     notify the milestone decision authority of any changes to the 
     program or a designated major subprogram of such program 
     that--
       ``(A) alter the substantive basis for the certification of 
     the milestone decision authority under subsection (a) or any 
     element of

[[Page S3508]]

     the determination of the milestone decision authority under 
     subsection (b); or
       ``(B) otherwise cause the program or subprogram to deviate 
     significantly from the material provided to the milestone 
     decision authority in support of such certification or 
     determination.
       ``(2) Upon receipt of information under paragraph (1), the 
     milestone decision authority may withdraw the certification 
     or determination concerned or rescind Milestone B approval if 
     the milestone decision authority determines that such 
     certification, determination, or approval is no longer valid.
       ``(d) Submission to Congress.--(1) The certification 
     required under subsection (a) and the determination under 
     subsection (b) with respect to a major defense acquisition 
     program shall be submitted to the congressional defense 
     committees with the first Selected Acquisition Report 
     submitted under section 2432 of this title after completion 
     of the certification.
       ``(2) A summary of any information provided to the 
     milestone decision authority pursuant to subsection (c) and a 
     description of the actions taken as a result of such 
     information shall be submitted with the first Selected 
     Acquisition Report submitted under section 2432 of this title 
     after receipt of such information by the milestone decision 
     authority.
       ``(e) Waiver for National Security.--(1) The milestone 
     decision authority may waive the applicability to a major 
     defense acquisition program of the certification requirement 
     in subsection (a) or one or more components of the 
     determination requirement in subsection (b) if the milestone 
     decision authority determines that, but for such a waiver, 
     the Department would be unable to meet critical national 
     security objectives.
       ``(2) Whenever the milestone decision authority makes such 
     a determination and authorizes such a waiver the waiver, the 
     determination, and the reasons for the determination shall be 
     submitted in writing to the congressional defense committees 
     within 30 days after the waiver is authorized.
       ``(f) Nondelegation.--The milestone decision authority may 
     not delegate the certification requirement under subsection 
     (a), the determination requirement under subsection (b), or 
     the authority to waive any component of such requirement 
     under subsection (e).
       ``(g) Definitions.--In this section:
       ``(1) The term `major defense acquisition program' means a 
     Department of Defense acquisition program that is a major 
     defense acquisition program for purposes of section 2430 of 
     this title.
       ``(2) The term `designated major subprogram' means a major 
     subprogram of a major defense acquisition program designated 
     under section 2430a(a)(1) of this title.
       ``(3) The term `milestone decision authority', with respect 
     to a major defense acquisition program, means the individual 
     within the Department of Defense designated with overall 
     responsibility for the program.
       ``(4) The term `Milestone B approval' has the meaning 
     provided that term in section 2366(e)(7) of this title.
       ``(5) The term `core logistics capabilities' means the core 
     logistics capabilities identified under section 2464(a) of 
     this title.''.
       (b) Considerations in Making Milestone B Determinations.--
     In making a Milestone B determination pursuant to section 
     2366b of title 10, United States Code, the milestone decision 
     authority shall review the acquisition strategy required by 
     section 2431a of title 10, as added by section 841 of this 
     Act and include consideration of the following:
       (1) With respect to affordability, the factors outlined 
     under section 2334 of title 10, United States Code.
       (2) With respect to risk, the factors outlined under--
       (A) section 842; and
       (B) section 138b(b) of title 10, United States Code.
       (3) With respect to fulfilling a joint military 
     requirement, the factors outlined under section 181 of title 
     10, United States Code.
       (4) With respect to competition--
       (A) the factors outlined under section 202 of the Weapon 
     Systems Acquisition Reform Act of 2009 (Public Law 111-23; 10 
     U.S.C. 2430 note); and
       (B) the requirements of section 2304 of title 10, United 
     States Code.
       (5) With respect to sustainment, the factors outlined under 
     section 2337 and section 2464 of title 10, United States 
     Code.
       (c) Conforming Change.--Section 2334(a) of title 10, United 
     States Code, is amended in paragraph (6)(A)(i) by striking 
     ``any certification under'' and inserting in lieu thereof 
     ``any decision to grant milestone approval pursuant to''.

     SEC. 846. TENURE AND ACCOUNTABILITY OF PROGRAM MANAGERS FOR 
                   PROGRAM DEVELOPMENT PERIODS.

       (a) Revised Guidance Required.--Not later than 180 days 
     after date of the enactment of this Act, the Secretary of 
     Defense shall revise Department of Defense guidance for 
     defense acquisition programs to address the tenure and 
     accountability of program managers for the program 
     development period of defense acquisition programs.
       (b) Program Development Period.--For the purpose of this 
     section, the term ``program development period'' refers to 
     the period before a decision on Milestone B approval (or Key 
     Decision Point B approval in the case of a space program).
       (c) Responsibilities.--The revised guidance required by 
     subsection (a) shall provide that the program manager for the 
     program development period of a defense acquisition program 
     is responsible for--
       (1) bringing to maturity the technologies and manufacturing 
     processes that will be needed to carry out the program;
       (2) ensuring continuing focus during program development on 
     meeting stated mission requirements and other requirements of 
     the Department of Defense;
       (3) making trade-offs between program cost, schedule, and 
     performance for the life-cycle of the program;
       (4) developing a business case for the program; and
       (5) ensuring that appropriate information is available to 
     the milestone decision authority to make a decision on 
     Milestone B approval (or Key Decision Point B approval in the 
     case of a space program), including information necessary to 
     make the certification required by section 2366a of title 10, 
     United States Code.
       (d) Qualifications, Resources, and Tenure.--The Secretary 
     of Defense shall ensure that each program manager for the 
     program development period of a defense acquisition program--
       (1) has the appropriate management, engineering, technical, 
     and financial expertise needed to meet the responsibilities 
     assigned pursuant to subsection (c);
       (2) is provided the resources and support (including 
     systems engineering expertise, cost estimating expertise, and 
     software development expertise) needed to meet such 
     responsibilities; and
       (3) is assigned to the program manager position for such 
     program until such time as such program is ready for a 
     decision on Milestone B approval (or Key Decision Point B 
     approval in the case of a space program), unless removed for 
     cause or due to exceptional circumstances.

     SEC. 847. TENURE AND ACCOUNTABILITY OF PROGRAM MANAGERS FOR 
                   PROGRAM EXECUTION PERIODS.

       (a) Revised Guidance Required.--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 
     defense acquisition programs to address the tenure and 
     accountability of program managers for the program execution 
     period of defense acquisition programs.
       (b) Program Execution Period.--For purposes of this 
     section, the term ``program execution period'' refers to the 
     period after Milestone B approval (or Key Decision Point B 
     approval in the case of a space program).
       (c) Responsibilities.--The revised guidance required by 
     subsection (a) shall--
       (1) require the program manager for the program execution 
     period of a defense acquisition program to enter into a 
     performance agreement with the milestone decision authority 
     for such program within six months of assignment, that--
       (A) establishes expected parameters for the cost, schedule, 
     and performance of the program consistent with the business 
     case for the program;
       (B) provides the commitment of the milestone decision 
     authority to provide the level of funding and resources 
     required to meet such parameters; and
       (C) provides the assurance of the program manager that such 
     parameters are achievable and that the program manager will 
     be accountable for meeting such parameters; and
       (2) provide the program manager with the authority to--
       (A) veto the addition of new program requirements that 
     would be inconsistent with the parameters established in the 
     performance agreement entered into pursuant to paragraph (1), 
     subject to the authority of the Under Secretary of Defense 
     for Acquisition, Technology, and Logistics to override the 
     veto based on critical national security reasons;
       (B) make trade-offs between cost, schedule, and 
     performance, provided that such trade-offs are consistent 
     with the parameters established in the performance agreement 
     entered into pursuant to paragraph (1);
       (C) redirect funding within such program, to the extent 
     necessary to achieve the parameters established in the 
     performance agreement entered into pursuant to paragraph (1);
       (D) develop such interim goals and milestones as may be 
     required to achieve the parameters established in the 
     performance agreement entered into pursuant to paragraph (1); 
     and
       (E) use program funds to recruit and hire such technical 
     experts as may be required to carry out the program, if 
     necessary expertise is not otherwise provided by the 
     Department of Defense.
       (d) Qualifications, Resources, and Tenure.--The Secretary 
     shall ensure that each program manager for the program 
     execution period of a defense acquisition program--
       (1) has the appropriate management, engineering, technical, 
     and financial expertise needed to meet the responsibilities 
     assigned pursuant to subsection (c);
       (2) is provided the resources and support (including 
     systems engineering expertise, cost estimating expertise, and 
     software development expertise) needed to meet such 
     responsibilities; and
       (3) is assigned to the program manager position for such 
     program at the time of Milestone B approval (or Key Decision 
     Point B approval in the case of a space program) and 
     continues in such position until the delivery of the first 
     production units of the program, unless removed for cause or 
     due to exceptional circumstances.

[[Page S3509]]

       (e) Limited Waiver Authority.--The Secretary may waive the 
     requirement in paragraph (3) of subsection (d) that a program 
     manager for the program execution period of a defense 
     acquisition program serve in that position until the delivery 
     of the first production units of such program upon submitting 
     to the congressional defense committees a written 
     determination that--
       (1) the program is so complex, and the delivery of the 
     first production units will take so long, that it would not 
     be feasible for a single individual to serve as program 
     manager for the entire period covered by such paragraph; and
       (2) the complexity of the program, and length of time that 
     will be required to deliver the first production units, are 
     not the result of a failure to meet the certification 
     requirements under section 2366a of title 10, United States 
     Code.

     SEC. 848. REPEAL OF REQUIREMENT FOR STAND-ALONE MANPOWER 
                   ESTIMATES FOR MAJOR DEFENSE ACQUISITION 
                   PROGRAMS.

       (a) Repeal of Requirement.--Subsection (a)(1) of section 
     2434 of title 10, United States Code, is amended by striking 
     ``and a manpower estimate for the program have'' and 
     inserting ``has''.
       (b) Conforming Amendments Relating to Regulations.--
     Subsection (b) of such section is amended--
       (1) by striking paragraph (2);
       (2) by striking ``shall require--'' and all that follows 
     through ``that the independent'' and inserting ``shall 
     require that the independent'';
       (3) by redesignating subparagraphs (A) and (B) as 
     paragraphs (1) and (2), respectively, and moving those 
     paragraphs, as so redesignated, two ems to the left; and
       (4) in paragraph (2), as so redesignated--
       (A) by striking ``and operations and support,'' and 
     inserting ``operations and support, and manpower to operate, 
     maintain, and support the program upon full operational 
     deployment,''; and
       (B) by striking ``; and'' and inserting a period.
       (c) Clerical Amendments.--
       (1) Section heading.--The heading of such section is 
     amended to read as follows:

     ``Sec. 2434. Independent cost estimates''.

       (2) Table of sections.--The table of sections at the 
     beginning of chapter 144 of such title is amended by striking 
     the item relating to section 2434 and inserting the 
     following:

``2434. Independent cost estimates.''.

     SEC. 849. PENALTY FOR COST OVERRUNS.

       (a) In General.--For each fiscal year beginning with fiscal 
     year 2015, the Secretary of each military department shall 
     pay a penalty for cost overruns on the covered major defense 
     acquisition programs of the military department.
       (b) Calculation of Penalty.--For the purposes of this 
     section:
       (1) The amount of the cost overrun or underrun on any major 
     defense acquisition program or subprogram in a fiscal year is 
     the difference between the current program acquisition unit 
     cost for the program or subprogram and the program 
     acquisition unit cost for the program as shown in the 
     original Baseline Estimate for the program or subprogram, 
     multiplied by the quantity of items to be purchased under the 
     program or subprogram, as reported in the final Selected 
     Acquisition Report for the fiscal year in accordance with 
     section 2432 of title 10, United States Code.
       (2) Cost overruns or underruns for covered major defense 
     acquisition programs that are joint programs of more than one 
     military department shall be allocated among the military 
     departments in percentages determined by the Under Secretary 
     of Defense for Acquisition, Technology, and Logistics.
       (3) The cumulative amount of cost overruns for a military 
     department in a fiscal year is the sum of the cost overruns 
     and cost underruns for all covered major defense acquisition 
     programs of the department in the fiscal year (including cost 
     overruns or underruns allocated to the military department in 
     accordance with paragraph (2)).
       (4) The cost overrun penalty for a military department in a 
     fiscal year is three percent of the cumulative amount of cost 
     overruns of the military department in the fiscal year, as 
     determined pursuant to paragraph (3), except that the cost 
     overrun penalty may not be a negative amount.
       (c) Transfer of Funds.--
       (1) Reduction of research, development, test, and 
     evaluation accounts.--Not later than 60 days after the end of 
     each fiscal year beginning with fiscal year 2015, the 
     Secretary of each military department shall reduce each 
     research, development, test, and evaluation account of the 
     military department by the percentage determined under 
     paragraph (2), and remit such amount to the Secretary of 
     Defense.
       (2) Determination of amount.--The percentage reduction to 
     research, development, test, and evaluation accounts of a 
     military department referred to in paragraph (1) is the 
     percentage reduction to such accounts necessary to equal the 
     cost overrun penalty for the fiscal year for such department 
     determined pursuant to subsection (b)(4).
       (3) Crediting of funds.--Any amount remitted under 
     paragraph (1) shall be credited to the Rapid Prototyping Fund 
     established pursuant to section 803 of this Act.
       (d) Covered Programs.--A major defense acquisition program 
     is covered under this section if the original Baseline 
     Estimate was established for such program under section 
     2435(d) (1) or (2) on or after the date of the enactment of 
     the Weapon Systems Acquisition Reform Act of 2009 (Public Law 
     111-23).

     SEC. 850. STREAMLINING OF REPORTING REQUIREMENTS APPLICABLE 
                   TO ASSISTANT SECRETARY OF DEFENSE FOR RESEARCH 
                   AND ENGINEERING REGARDING MAJOR DEFENSE 
                   ACQUISITION PROGRAMS.

       (a) Reporting to Under Secretary of Defense for 
     Acquisition, Technology, and Logistics Before Milestone B 
     Approval.--Subparagraph (A) of paragraph (8) of section 
     138(b) of title 10, United States Code, as amended by section 
     901(h)(2) of the Carl Levin and Howard P. ``Buck'' McKeon 
     National Defense Authorization Act for Fiscal Year 2015 
     (Public Law 113-291; 128 Stat. 3466), is further amended--
       (1) by striking ``periodically'';
       (2) by striking ``the major defense acquisition programs'' 
     and inserting ``each major defense acquisition program'';
       (3) by inserting ``before the Milestone B approval for that 
     program'' after ``Department of Defense''; and
       (4) by striking ``such reviews and assessments'' and 
     inserting ``such review and assessment''.
       (b) Annual Report to Secretary of Defense and Congressional 
     Defense Committees.--Subparagraph (B) of such paragraph is 
     amended by inserting ``for which a Milestone B approval 
     occurred during the preceding fiscal year'' after 
     ``Department of Defense''.

     SEC. 851. CONFIGURATION STEERING BOARDS FOR COST CONTROL 
                   UNDER MAJOR DEFENSE ACQUISITION PROGRAMS.

       Section 814(c)(1) of the Duncan Hunter National Defense 
     Authorization Act for Fiscal Year 2009 (Public Law 110-417; 
     122 Stat. 4529) is amended--
       (1) by redesignating subparagraphs (A), (B), and (C) as 
     subparagraphs (B), (C), and (D), respectively; and
       (2) by inserting after ``for the following:'' the following 
     new subparagraph:
       ``(A) Monitoring changes in program requirements and 
     ensuring all such changes receive the approval of the Chief 
     of the relevant military service, in consultation with the 
     Secretary of the relevant military department.''.

          Subtitle D--Provisions Relating to Commercial Items

     SEC. 861. INAPPLICABILITY OF CERTAIN LAWS AND REGULATIONS TO 
                   THE ACQUISITION OF COMMERCIAL ITEMS AND 
                   COMMERCIALLY AVAILABLE OFF-THE-SHELF ITEMS.

       (a) Amendment to Title 10, United States Code.--Section 
     2375 of title 10, United States Code, is amended to read as 
     follows:

     ``Sec. 2375. Relationship of commercial item provisions to 
       other provisions of law

       ``(a) Applicability of Government-wide Statutes.--(1) No 
     contract for the procurement of a commercial item entered 
     into by the head of an agency shall be subject to any law 
     properly listed in the Federal Acquisition Regulation 
     pursuant to section 1906(b) of title 41.
       ``(2) No subcontract under a contract for the procurement 
     of a commercial item entered into by the head of an agency 
     shall be subject to any law properly listed in the Federal 
     Acquisition Regulation pursuant to section 1906(c) of title 
     41.
       ``(3) No contract for the procurement of a commercially 
     available off-the-shelf item entered into by the head of an 
     agency shall be subject to any law properly listed in the 
     Federal Acquisition Regulation pursuant to section 1907 of 
     title 41.
       ``(b) Applicability of Defense-unique Statutes to Contracts 
     for Commercial Items.--(1) The Defense Federal Acquisition 
     Regulation Supplement shall include a list of defense-unique 
     provisions of law that are inapplicable to contracts for the 
     procurement of commercial items. A provision of law properly 
     included on the list pursuant to paragraph (2) does not apply 
     to purchases of commercial items by the Department of 
     Defense. This section does not render a provision of law not 
     included on the list inapplicable to contracts for the 
     procurement of commercial items.
       ``(2) A provision of law described in subsection (e) that 
     is enacted after January 1, 2015, shall be included on the 
     list of inapplicable provisions of law required by paragraph 
     (1) unless the Under Secretary of Defense for Acquisition, 
     Technology, and Logistics makes a written determination that 
     it would not be in the best interest of the Department of 
     Defense to exempt contracts for the procurement of commercial 
     items from the applicability of the provision.
       ``(c) Applicability of Defense-unique Statutes to 
     Subcontracts for Commercial Items.--(1) The Defense Federal 
     Acquisition Regulation Supplement shall include a list of 
     provisions of law that are inapplicable to subcontracts under 
     a Department of Defense contract or subcontract for the 
     procurement of commercial items. A provision of law properly 
     included on the list pursuant to paragraph (2) does not apply 
     to those subcontracts. This section does not render a 
     provision of law not included on the list inapplicable to 
     subcontracts under a contract for the procurement of 
     commercial items.
       ``(2) A provision of law described in subsection (e) shall 
     be included on the list of inapplicable provisions of law 
     required by paragraph (1) unless the Under Secretary of 
     Defense for Acquisition, Technology, and Logistics makes a 
     written determination that

[[Page S3510]]

     it would not be in the best interest of the Department of 
     Defense to exempt subcontracts under a contract for the 
     procurement of commercial items from the applicability of the 
     provision.
       ``(3) In this subsection, the term `subcontract' includes a 
     transfer of commercial items between divisions, subsidiaries, 
     or affiliates of a contractor or subcontractor. The term does 
     not include agreements entered into by a contractor for the 
     supply of commodities that are intended for use in the 
     performance of multiple contracts with the Department of 
     Defense and other parties and are not identifiable to any 
     particular contract.
       ``(4) This subsection does not authorize the waiver of the 
     applicability of any provision of law with respect to any 
     first-tier subcontract under a contract with a prime 
     contractor reselling or distributing commercial items of 
     another contractor without adding value.
       ``(d) Applicability of Defense-unique Statutes to Contracts 
     for Commercially Available, Off-the-shelf Items.--(1) The 
     Defense Federal Acquisition Regulation Supplement shall 
     include a list of provisions of law that are inapplicable to 
     contracts for the procurement of commercially available off-
     the-shelf items. A provision of law properly included on the 
     list pursuant to paragraph (2) does not apply to Department 
     of Defense contracts for the procurement of commercially 
     available off-the-shelf items. This section does not render a 
     provision of law not included on the list inapplicable to 
     contracts for the procurement of commercially available off-
     the-shelf items.
       ``(2) A provision of law described in subsection (e) shall 
     be included on the list of inapplicable provisions of law 
     required by paragraph (1) unless the Under Secretary of 
     Defense for Acquisition, Technology, and Logistics makes a 
     written determination that it would not be in the best 
     interest of the Department of Defense to exempt contracts for 
     the procurement of commercially available off-the-shelf items 
     from the applicability of the provision.
       ``(e) Covered Provision of Law.--A provision of law 
     referred to in subsections (b)(2), (c)(2), and (d)(2) is a 
     provision of law that the Under Secretary of Defense for 
     Acquisition, Technology, and Logistics determines sets forth 
     policies, procedures, requirements, or restrictions for the 
     procurement of property or services by the Federal 
     Government, except for a provision of law that--
       ``(1) provides for criminal or civil penalties; or
       ``(2) specifically refers to this section and provides 
     that, notwithstanding this section, it shall be applicable to 
     contracts for the procurement of commercial items.''.
       (b) Changes to Defense Federal Acquisition Regulation 
     Supplement.--
       (1) In general.--To the maximum extent practicable, the 
     Under Secretary of Defense for Acquisition, Technology, and 
     Logistics shall ensure that--
       (A) the Defense Federal Acquisition Regulation Supplement 
     does not require the inclusion of contract clauses in 
     contracts for the procurement of commercial items or 
     contracts for the procurement of commercially available off-
     the-shelf items, unless such clauses are--
       (i) required to implement provisions of law or executive 
     orders applicable to such contracts; or
       (ii) determined to be consistent with standard commercial 
     practice; and
       (B) the flow-down of contract clauses to subcontracts under 
     contracts for the procurement of commercial items or 
     commercially available off-the-shelf items is prohibited 
     unless such flow-down is required to implement provisions of 
     law or executive orders applicable to such subcontracts.
       (2) Subcontracts.--In this subsection, the term 
     ``subcontract'' includes a transfer of commercial items 
     between divisions, subsidiaries, or affiliates of a 
     contractor or subcontractor. The term does not include 
     agreements entered into by a contractor for the supply of 
     commodities that are intended for use in the performance of 
     multiple contracts with the Department of Defense and other 
     parties and are not identifiable to any particular contract.
       (c) Report on Inclusion of Contract Clauses.--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 listing all standard contract 
     clauses included in contracts awarded using commercial 
     acquisition procedures under part 12 of the Federal 
     Acquisition Regulation, including a justification for the 
     inclusion of each such clause.

     SEC. 862. MARKET RESEARCH AND PREFERENCE FOR COMMERCIAL 
                   ITEMS.

       (a) Guidance Required.--Not later than 90 days after the 
     date of the enactment of this Act, the Under Secretary of 
     Defense for Acquisition, Technology, and Logistics shall 
     issue guidance to ensure that acquisition officials of the 
     Department of Defense fully comply with the requirements of 
     section 2377 of title 10, United States Code, regarding 
     market research and commercial items. The guidance issued 
     pursuant to this subsection shall, at a minimum--
       (1) provide that the head of an agency may not enter into a 
     contract in excess of the simplified acquisition threshold 
     for information technology products or services that are not 
     commercial items unless the head of the agency determines in 
     writing that no commercial items are suitable to meet the 
     agency's needs as provided in subsection (c)(2) of such 
     section; and
       (2) ensure that market research conducted in accordance 
     with subsection (c) of such section is used, where 
     appropriate, to inform price reasonableness determinations.
       (b) Review Required.--Not later than 180 days after the 
     date of the enactment of this Act, the Chairman and the Vice 
     Chairman of the Joint Chiefs of Staff, in consultation with 
     the Under Secretary of Defense for Acquisition, Technology, 
     and Logistics, shall review Chairman of the Joint Chiefs of 
     Staff Instruction 3170.01, the Manual for the Operation of 
     the Joint Capabilities Integration and Development System, 
     and other documents governing the requirements development 
     process and revise these documents as necessary to ensure 
     that the Department of Defense fully complies with the 
     requirement in section 2377(c) of title 10, United States 
     Code, and section 10.001 of the Federal Acquisition 
     Regulation for Federal agencies to conduct appropriate market 
     research before developing new requirements.
       (c) Market Research Defined.--For the purposes of this 
     section, the term ``market research'' means a review of 
     existing systems, subsystems, capabilities, and technologies 
     that are available or could be made available to meet the 
     needs of the Department of Defense in whole or in part. The 
     review may include any of the techniques for conducting 
     market research provided in section 10.002(b)(2) of the 
     Federal Acquisition Regulation and shall include, at a 
     minimum, contacting knowledgeable individuals in Government 
     and industry regarding existing market capabilities.

     SEC. 863. CONTINUING VALIDITY OF COMMERCIAL ITEM 
                   DETERMINATIONS.

       (a) In General.--Not later than 90 days after the date of 
     the enactment of this Act, the Defense Federal Acquisition 
     Regulation Supplement shall be modified to address the 
     validity of commercial item determinations for multiple 
     procurements.
       (b) Required Elements.--The modification required by 
     paragraph (1) shall, at a minimum--
       (1) provide that a written determination by an authorized 
     agency official that an item is a commercial item for the 
     purposes of section 2306a of title 10, United States Code, 
     shall be presumed to be valid for any subsequent procurement 
     unless the contracting officer for such procurement 
     determines in writing that the earlier determination was made 
     in error or was based on inadequate information; and
       (2) establish a process by which the contractor may appeal 
     a determination by a contracting officer that an earlier 
     determination was made in error or was based on inadequate 
     information to the head of contracting for the agency.
       (c) Rule of Construction.--Nothing in this section shall be 
     construed to preclude the contracting officer for the 
     procurement of a commercial item from requiring the 
     contractor to supply information that is sufficient to 
     determine the reasonableness of price, regardless whether or 
     not the contractor was required to provide such information 
     in connection with any earlier procurement.

     SEC. 864. TREATMENT OF COMMERCIAL ITEMS PURCHASED AS MAJOR 
                   WEAPON SYSTEMS.

       (a) Amendments to Requirements Related to Major Weapon 
     Systems.--Section 2379 of title 10, United States Code, is 
     amended--
       (1) in subsection (a)--
       (A) in paragraph (1)--
       (i) in subparagraph (A), by striking ``section 4(12) of the 
     Office of Federal Procurement Policy Act (41 U.S.C. 
     403(12))'' and inserting ``section 103 of title 41, United 
     States Code''; and
       (ii) in subparagraph (B), by striking the semicolon at the 
     end and inserting ``; and'';
       (B) by striking paragraph (2); and
       (C) by redesignating paragraph (3) as paragraph (2);
       (2) in subsection (b)--
       (A) by striking ``section 35(c) of the Office of Federal 
     Procurement Policy Act (41 U.S.C. 431(c))'' and inserting 
     ``section 104 of title 41, United States Code,''; and
       (B) in paragraph (2)--
       (i) by striking ``in writing that--'' and all that follows 
     through ``(A) the subsystem'' and inserting ``in writing that 
     the subsystem'';
       (ii) by striking ``section 4(12) of the Office of Federal 
     Procurement Policy Act (41 U.S.C. 403(12)); and'' and 
     inserting ``section 103 of title 41, United States Code.''; 
     and
       (iii) by striking subparagraph (B);
       (3) in subsection (c)(1)--
       (A) by striking ``section 35(c) of the Office of Federal 
     Procurement Policy Act (41 U.S.C. 431(c))'' and inserting 
     ``section 104 of title 41, United States Code,''; and
       (B) in subparagraph (B)--
       (i) by striking ``in writing that--'' and all that follows 
     through ``(i) the component'' and inserting ``in writing that 
     the component'';
       (ii) by striking ``section 4(12) of the Office of Federal 
     Procurement Policy Act (41 U.S.C. 403(12)); and'' and 
     inserting ``section 103 of title 41, United States Code.''; 
     and
       (iii) by striking clause (ii); and
       (4) by amending subsection (d) to read as follows:
       ``(d) Information Submitted.--(1) To the extent necessary 
     to determine the reasonableness of the price for items 
     acquired under this section, the contracting officer shall 
     require the offeror to submit--

[[Page S3511]]

       ``(A) prices paid for the same or similar commercial items 
     under comparable terms and conditions by both government and 
     commercial customers;
       ``(B) if the contracting officer determines that the 
     offeror does not have access to and cannot provide sufficient 
     information described in subparagraph (A) to determine the 
     reasonableness of price, information on--
       ``(i) prices for the same or similar items sold under 
     different terms and conditions;
       ``(ii) prices for similar levels of work or effort on 
     related products or services;
       ``(iii) prices for alternative solutions or approaches; and
       ``(iv) other relevant information that can serve as the 
     basis for a price assessment; and
       ``(C) if the contracting officer determines that the 
     information submitted pursuant to subparagraphs (A) and (B) 
     is not sufficient to determine the reasonableness of price, 
     other relevant information regarding the basis for price or 
     cost, including information on labor costs, material costs, 
     and overhead rates.
       ``(2) An offeror may not be required to submit information 
     described in paragraph (1)(C) with regard to a commercially 
     available off-the-shelf item or any other item that was 
     developed exclusively at private expense.''.
       (b) Conforming Amendment to Truth in Negotiations Act.--
     Section 2306a(d)(1) of such title is amended by adding at the 
     end the following new sentence: ``If the contracting officer 
     determines that the offeror does not have access to and 
     cannot provide sufficient information on prices for the same 
     or similar items to determine the reasonableness of price, 
     the contracting officer shall require the submission of 
     information on prices for similar levels or work or effort on 
     related products or services, prices for alternative 
     solutions or approaches, and other information that is 
     relevant to the determination of a fair and reasonable 
     price.''.

     SEC. 865. LIMITATION ON CONVERSION OF PROCUREMENTS FROM 
                   COMMERCIAL ACQUISITION PROCEDURES.

       (a) Limitation.--
       (1) In general.--The Secretary of Defense may not convert 
     the procurement of commercial items or services from 
     commercial acquisition procedures under part 12 of the 
     Federal Acquisition Regulation to non-commercial acquisition 
     procedures under part 15 of the Federal Acquisition 
     Regulation unless the Secretary, in consultation with the 
     head of the acquisition component, certifies to the 
     congressional defense committees that the Department of 
     Defense will realize a significant cost savings compared to 
     the cost of procuring a similar quantity or level of such 
     item or service using commercial acquisition procedures.
       (2) Certification factors.--In making a certification under 
     paragraph (1), the Secretary of Defense shall consider the 
     following factors:
       (A) The estimated cost of foregone research and development 
     to be performed by the existing contractor to improve future 
     products or services.
       (B) The transaction costs for the Department of Defense and 
     the contractor in assessing and responding to data requests 
     to support a conversion to non-commercial acquisition 
     procedures.
       (C) Changes in purchase quantities.
       (D) Costs associated with potential procurement delays 
     resulting from the conversion.
       (b) Reporting Requirements.--
       (1) Inventory.--The Secretary of Defense shall prepare an 
     inventory of all contracts and subcontracts converted from 
     commercial acquisition procedures to non-commercial 
     procedures during the previous five years.
       (2) Reports.--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 each 
     conversion identified in the inventory prepared under 
     paragraph (1) that identifies and compares per unit costs and 
     prices paid for the item or service under commercial 
     acquisition procedures with those paid under non-commercial 
     procurement procedures.
       (c) Comptroller General Review.--
       (1) Review of reports.--Not later than 180 days after the 
     Secretary of Defense submits a report under subsection 
     (b)(2), the Comptroller General of the United States shall 
     submit to the congressional defense committees a review of 
     the accuracy of the report.
       (2) Recommendations.--
       (A) In general.--Not later than 180 days after the date of 
     the enactment of this Act, and annually thereafter, the 
     Comptroller General shall submit to the congressional defense 
     committees a report including any recommendations for 
     additional costs and benefits that should be considered when 
     the Department of Defense is planning to convert a 
     procurement of items or services from commercial to non-
     commercial procurement procedures.
       (B) Factors.--In making recommendations under subparagraph 
     (A), the Comptroller General shall consider the following 
     factors:
       (i) Industrial base considerations.
       (ii) The estimated cost of foregone research and 
     development to be performed by existing contractors to 
     improve future products or services.
       (iii) The transaction costs for the Department of Defense 
     and contractors in assessing and responding to data requests 
     to support conversions to non-commercial acquisition 
     procedures.
       (iv) Costs associated with potential procurement delays 
     resulting from conversions.
       (d) Sunset.--The requirements of this section shall 
     terminate 5 years after the date of the enactment of this 
     Act.

     SEC. 866. TREATMENT OF GOODS AND SERVICES PROVIDED BY 
                   NONTRADITIONAL CONTRACTORS AS COMMERCIAL ITEMS.

       (a) In General.--Chapter 140 of title 10, United States 
     Code, is amended by adding at the end the following new 
     section:

     ``Sec. 2380. Treatment of goods and services provided by 
       nontraditional contractors as commercial items

       ``Notwithstanding section 2376(1) of this title, items and 
     services provided by nontraditional contractors (as that term 
     is defined in section 2302(9) of this title) may be treated 
     by the head of an agency as commercial items for purposes of 
     this chapter.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 140 of such title is amended by 
     inserting after the item relating to section 2379 the 
     following new item:

``2380. Treatment of goods and services provided by nontraditional 
              contractors as commercial items.''.

                       Subtitle E--Other Matters

     SEC. 871. STREAMLINING OF REQUIREMENTS RELATING TO DEFENSE 
                   BUSINESS SYSTEMS.

       (a) Streamlining of Requirements.--
       (1) In general.--Section 2222 of title 10, United States 
     Code, is amended to read as follows:

     ``Sec. 2222. Defense business systems: business process 
       reengineering; enterprise architecture; management

       ``(a) Defense Business Systems Generally.--The Secretary of 
     Defense shall ensure that each covered defense business 
     system developed, deployed, and operated by the Department of 
     Defense--
       ``(1) is integrated into a comprehensive defense business 
     enterprise architecture;
       ``(2) is managed in a manner that provides visibility into, 
     and traceability of, expenditures for the system; and
       ``(3) uses an acquisition and sustainment strategy that 
     prioritizes use of commercial software and business 
     practices.
       ``(b) Defense Business Processes Generally.--The Secretary 
     of Defense shall ensure that defense business processes are 
     reviewed, and as appropriate revised through business process 
     reengineering to match best commercial practices, to the 
     maximum extent practicable, so as to minimize customization 
     of commercial business systems.
       ``(c) Issuance of Guidance.--
       ``(1) Secretary of defense guidance.--The Secretary shall 
     issue guidance to provide for the coordination of, and 
     decision making for, the planning, programming, and control 
     of investments in covered defense business systems.
       ``(2) Supporting guidance.--The Secretary shall direct the 
     Deputy Chief Management Officer of the Department of Defense, 
     the Under Secretary of Defense for Acquisition, Technology, 
     and Logistics, the Chief Information Officer, and the Chief 
     Management Officer of each of the military departments to 
     issue and maintain supporting guidance for the guidance of 
     the Secretary issued under paragraph (1), within their 
     respective areas of responsibility, as necessary.
       ``(d) Guidance Elements.--The guidance issued pursuant to 
     subsection (c)(1) shall include the following elements:
       ``(1) Policy to ensure that the business processes of the 
     Department of Defense are continuously evolved to--
       ``(A) implement the most streamlined and efficient business 
     process practicable; and
       ``(B) eliminate or reduce the need to tailor commercial-
     off-the-shelf systems to meet unique requirements or 
     incorporate unique requirements or incorporate unique 
     interfaces to the maximum extent practicable.
       ``(2) A process to establish requirements for covered 
     defense business systems.
       ``(3) Policy requiring the periodic review of covered 
     defense business systems that have been fully deployed, by 
     portfolio, to ensure that investments in such portfolios are 
     appropriate.
       ``(4) Policy to ensure full consideration of sustainability 
     and technological refreshment requirements, and the 
     appropriate use of open architectures.
       ``(e) Defense Business Council.--The Secretary shall 
     establish a Defense Business Council to provide advice to the 
     Secretary on reengineering the Department's business 
     processes and developing and deploying defense business 
     systems. The Council shall be chaired by the Deputy Chief 
     Management Officer of the Department of Defense, and shall 
     include membership from the public sector, defense industry, 
     and commercial industry.
       ``(f) Approvals Required for Development.--(1) The 
     Secretary shall ensure that a covered defense business system 
     program cannot proceed into development (or, if no 
     development is required, into production or fielding) unless 
     the appropriate approval officials (as specified in paragraph 
     (3)) have determined that--
       ``(A) a business process has been, or is being, 
     reengineered to be as streamlined and efficient as 
     practicable, and the implementation of the business process 
     will maximize the elimination of unique software requirements 
     and unique interfaces;
       ``(B) the system has valid, achievable requirements and a 
     viable plan for implementing those requirements (including, 
     as appropriate, market research, business process 
     reengineering, and prototyping activities);
       ``(C) the system has an acquisition strategy designed to 
     eliminate or reduce the need

[[Page S3512]]

     to tailor commercial-off-the-shelf systems to meet unique 
     requirements or incorporate unique requirements or 
     incorporate unique interfaces to the maximum extent 
     practicable; and
       ``(D) the system is in compliance with the Department's 
     auditability requirements.
       ``(2)(A) For any fiscal year in which funds are expended 
     for development or sustainment pursuant to a covered defense 
     business system program, the appropriate approval officials 
     shall review the system and certify, certify with conditions, 
     or decline to certify, as the case may be, that--
       ``(i) it continues to satisfy the requirements of paragraph 
     (1);
       ``(ii) an acquisition program baseline has been established 
     within two years of program initiation; and
       ``(iii) program requirements and have not changed in a 
     manner that is increasing acquisition costs or schedule, 
     without sufficient cause and only after maximum efforts to 
     reengineer business processes prior to changing requirements.
       ``(B) If an approval officially determines that full 
     certification cannot be granted, the approval official shall 
     notify the acquisition milestone decision authority for the 
     program and provide a recommendation for corrective action, 
     and provide a copy of such recommendations to the 
     congressional defense committees within 60 days.
       ``(3) For purposes of paragraph (1), the appropriate 
     approval officials with respect to a covered defense business 
     system are the following:
       ``(A) In the case of a priority defense business system, 
     the Deputy Chief Management Officer of the Department of 
     Defense.
       ``(B) In the case of other covered business systems, an 
     official designated under procedures established by the 
     Secretary of Defense.
       ``(g) Responsibility of Milestone Decision Authority.--The 
     milestone decision authority for a covered defense business 
     system program shall be responsible for the acquisition of 
     such system and shall ensure that acquisition process 
     approvals are not considered for such system until the 
     relevant certifications and approvals have been made under 
     this section.
       ``(h) Definitions.--In this section:
       ``(1) Defense business system.--(A) The term `defense 
     business system' means an information system that is operated 
     by, for, or on behalf of the Department of Defense, including 
     any of the following:
       ``(i) A financial system.
       ``(ii) A financial data feeder system.
       ``(iii) A contracting system.
       ``(iv) A logistics system.
       ``(v) A planning and budgeting system.
       ``(vi) An installations management system.
       ``(vii) A human resources management system.
       ``(viii) A training and readiness system.
       ``(B) The term does not include--
       ``(i) a national security system; or
       ``(ii) an information system used exclusively by and within 
     the defense commissary system or the exchange system or other 
     instrumentality of the Department of Defense conducted for 
     the morale, welfare, and recreation of members of the armed 
     forces using nonappropriated funds.
       ``(2) Covered defense business system.--The term `covered 
     defense business system' means a defense business system that 
     is expected to have a total amount of budget authority over 
     the period of the current future-years defense program 
     submitted to Congress under section 221 of this title, in 
     excess of $50,000,000.
       ``(3) Covered defense business system program .--The term 
     `covered defense business system program' means a defense 
     acquisition program to develop and field a covered defense 
     business system or an increment of a covered defense business 
     system.
       ``(4) Priority defense business system program.--The term 
     `priority defense business system' means a defense business 
     system that is--
       ``(A) expected to have a total amount of budget authority 
     over the period of the current future-years defense program 
     submitted to Congress under section 221 of this title in 
     excess of $250,000,000; or
       ``(B) designated by the Deputy Chief Management Officer of 
     the Department of Defense as a priority defense business 
     system, based on specific program analyses of factors 
     including complexity, scope, and technical risk, and after 
     notification to Congress of such designation.
       ``(5) Enterprise architecture.--The term `enterprise 
     architecture' has the meaning given that term in section 
     3601(4) of title 44.
       ``(6) Information system.--The term `information system' 
     has the meaning given that term in section 11101 of title 40, 
     United States Code.
       ``(7) National security system.--The term `national 
     security system' has the meaning given that term in section 
     3552(b)(2) of title 44.
       ``(8) Milestone decision authority.--The term `milestone 
     decision authority', with respect to a defense acquisition 
     program, means the individual within the Department of 
     Defense designated with the responsibility to grant milestone 
     approvals for that program.
       ``(9) Business process mapping.--The term `business process 
     mapping' means a procedure in which the steps in a business 
     process are clarified and documented in both written form and 
     in a flow chart.''.
       (2) Clerical amendment.--The table of sections at the 
     beginning of chapter 131 of such title is amended to read as 
     follows:

``2222. Defense business systems: business process reengineering; 
              enterprise architecture; management.''.
       (b) Implementation of Previously Enacted Title Change.--
     Effective February 1, 2017, section 2222 of title 10, United 
     States Code, as amended by subsection (a), is further amended 
     by striking ``the Deputy Chief Management Officer'' each 
     place that it appears and inserting ``the Under Secretary of 
     Defense for Business Management and Information''.
       (c) Deadline for Guidance.--The guidance required by 
     subsection (b)(1) of section 2222 of title 10, United States 
     Code, as amended by subsection (a)(1), shall be issued not 
     later than December 31, 2016.
       (d) Modification of Comptroller General Assessment.--
     Section 332(d) of the Ronald W. Reagan National Defense 
     Authorization Act for Fiscal Year 2005 (Public Law 108-375; 
     118 Stat. 1856) is amended to read as follows:
       ``(d) Comptroller General Assessment.--In each odd-numbered 
     year, the Comptroller General of the United States shall 
     submit to the congressional defense committees an assessment 
     of the extent to which the actions taken by the Department of 
     Defense comply with the requirements of such section.''.

     SEC. 872. ACQUISITION WORKFORCE.

       (a) Modifications to Department of Defense Acquisition 
     Workforce Development Fund.--Section 1705 of title 10, United 
     States Code, is amended--
       (1) in subsection (d)--
       (A) in paragraph (2), by amending subparagraph (C) to read 
     as follows:
       ``(C) For purposes of this paragraph, the applicable 
     percentage for a fiscal year is the percentage that results 
     in the credit to the Fund of $500,000,000 in each fiscal 
     year.''; and
       (B) in paragraph (3), by striking ``24-month period'' and 
     inserting ``36-month period'';
       (2) in subsection (f), by striking ``60 days'' and 
     inserting ``120 days''; and
       (3) in subsection (g)(2), by striking ``September 30, 
     2017'' and inserting ``September 30, 2023''.
       (b) Modifications to Biennial Strategic Workforce Plan.--
     Section 115b(d) of title 10, United States Code, is amended--
       (1) in paragraph (1), by striking ``the defense acquisition 
     workforce, including both military and civilian personnel'' 
     and inserting ``the military, civilian, and contractor 
     personnel that directly support the acquisition processes of 
     the Department of Defense, including persons serving in 
     acquisition-related positions designated by the Secretary of 
     Defense under section 1721 of this title'';
       (2) in paragraph (2)(D)--
       (A) in clause (i), by striking ``; and'' and inserting a 
     semicolon;
       (B) by redesignating clause (ii) as clause (iii); and
       (C) by inserting after clause (i) the following new clause:
       ``(ii) a description of steps that will be taken to address 
     any new or expanded critical skills and competencies the 
     civilian employee workforce will need to address recent 
     trends in defense acquisition, emerging best practices, 
     changes in the government and commercial marketplace, and new 
     requirements established in law or regulation; and''; and
       (3) by adding at the end the following new paragraph:
       ``(3) For the purposes of paragraph (1), contractor 
     personnel shall be treated as directly supporting the 
     acquisition processes of the Department if, and to the extent 
     that, such contractor personnel perform functions in support 
     of personnel in Department of Defense positions designated by 
     the Secretary of Defense under section 1721 of this title.''.

     SEC. 873. UNIFIED INFORMATION TECHNOLOGY SERVICES.

       (a) Business Case Analysis.--
       (1) In general.--Not later than one year after the date of 
     the enactment of this Act, the Deputy Chief Management 
     Officer, the Chief Information Officer of the Department of 
     Defense, and the Under Secretary of Defense for Acquisition, 
     Technology and Logistics shall jointly complete a business 
     case analysis, using the resources of the Director of Cost 
     Analysis and Program Evaluation, to determine the most 
     effective and efficient way to procure and deploy information 
     technology services.
       (2) Elements.--The business case analysis required by 
     paragraph (1) shall include an assessment of whether the 
     Department of Defense should--
       (A)(i) acquire a unified set of commercially provided 
     common or enterprise information technology services, 
     including such services as messaging, collaboration, 
     directory, security, and content delivery; or
       (ii) allow the military departments and other components of 
     the Department to acquire such services separately;
       (B)(i) acquire such services from a single provider that 
     bundles all of the services; or
       (ii) require that each common service be independently 
     defined and use open standards to enable continuous adoption 
     of best commercial technology; and
       (C) enable availability of multiple versions of each type 
     of service and application to enable choice and competition 
     while supporting interoperability where necessary.
       (b) Governance Mechanism and Process.--Not later than 180 
     days after the date of the enactment of this Act, the 
     Secretary of Defense shall, in consultation with the Deputy 
     Chief Management Officer and the

[[Page S3513]]

     Chief Information Officer, establish a governance mechanism 
     and process to ensure essential interoperability across 
     Department networks through the imposition of a minimum set 
     of standards or common solutions.

     SEC. 874. CLOUD STRATEGY FOR DEPARTMENT OF DEFENSE.

       (a) Cloud Strategy for Secret Internet Protocol Network.--
       (1) In general.--The Chief Information Officer of the 
     Department of Defense shall, in consultation with the Under 
     Secretary of Defense for Intelligence, the Director of 
     National Intelligence, the Vice Chairman of the Joint Chiefs 
     of Staff, the Under Secretary of Defense for Acquisition, 
     Technology, and Logistics, and the chief information officers 
     of the military departments, develop a cloud strategy for the 
     Secret Internet Protocol Network (SIPRNet) of the Department.
       (2) Matters addressed.--This strategy required by paragraph 
     (1) shall address the following:
       (A) Security requirements.
       (B) The compatibility of applications currently utilized 
     within the Secret Internet Protocol Network with a cloud 
     computing environment.
       (C) How a Secret Internet Protocol Network cloud capability 
     should be competitively acquired.
       (D) How a Secret Internet Protocol Network cloud system 
     would achieve interoperability with the cloud systems of the 
     intelligence community (as defined in section 3 of the 
     National Security Act of 1947 (50 U.S.C. 3003)) operating at 
     the security level Sensitive Compartmented Information.
       (b) Pricing Policy and Cost Recovery Process for Certain 
     Cloud Services.--The Chief Information Officer of the 
     Department of Defense shall, in coordination with the 
     Director of National Intelligence and in consultation with 
     the Under Secretary of Defense for Intelligence, develop a 
     consistent pricing policy and cost recovery process for the 
     use by Department of Defense components of the cloud services 
     provided through the Intelligence Community Information 
     Technology Environment.
       (c) Assessment of Feasibility and Advisability of Imposing 
     Minimum Standards.--
       (1) In general.--The Chief Information Officer of the 
     Department of Defense shall assess the feasibility and 
     advisability of imposing a minimum set of open standards for 
     cloud infrastructure, middle-ware, metadata, and application 
     programming interfaces to promote interoperability, 
     information sharing, and ease of access to data, and 
     competition across all of the cloud computing systems and 
     services utilized by components of the Department of Defense.
       (2) Coordination.--The Chief Information Officer shall 
     coordinate the assessment required by paragraph (1) with the 
     Director of National Intelligence with respect to the cloud 
     services offered through the Intelligence Community 
     Information Technology Environment.

     SEC. 875. DEVELOPMENT PERIOD FOR DEPARTMENT OF DEFENSE 
                   INFORMATION TECHNOLOGY SYSTEMS.

       (a) Flexible Limitation on Development Period.--Section 
     2445b of title 10, United States Code is amended--
       (1) by redesignating subsection (d) as subsection (e); and
       (2) by inserting after subsection (c) the following new 
     subsection:
       ``(d) Time-certain Development.--If the baseline documents 
     prepared under subsection (c) for a major automated 
     information system that is not a national security system 
     provide for a period in excess of five years from the time of 
     program initiation to the time of a full deployment decision, 
     the documents submitted pursuant to subsection (a) shall 
     include a written determination by the senior Department of 
     Defense official responsible for the program justifying the 
     need for the longer period.''.
       (b) Repeal of Inconsistent Requirements.--
       (1) Section 2445c(c)(2) of title 10, United States Code, is 
     amended--
       (A) in subparagraph (B), by striking the semicolon at the 
     end and inserting ``; or'';
       (B) in subparagraph (C), by striking ``; or'' and inserting 
     a period; and
       (C) by striking subparagraph (D), as added by section 
     802(a)(3) of the Carl Levin and Howard ``Buck'' McKeon 
     National Defense Authorization Act for Fiscal Year 2015 
     (Public Law 113-291; 128 Stat. 3427).
       (2) Section 811 of the John Warner National Defense 
     Authorization Act for Fiscal Year 2007 (Public Law 109-364; 
     120 Stat. 2316) is repealed.

     SEC. 876. REVISIONS TO PILOT PROGRAM ON ACQUISITION OF 
                   MILITARY PURPOSE NON-DEVELOPMENTAL ITEMS.

       Section 866 of the Ike Skelton National Defense 
     Authorization Act for Fiscal Year 2011 (Public Law 111-383; 
     10 U.S.C. 2302 note) is amended--
       (1) in subsection (a)(2), by striking ``with nontraditional 
     defense contractors''; and
       (2) in subsection (b)--
       (A) in paragraph (1), by striking ``awarded using 
     competitive procedures in accordance with chapter 137 of 
     title 10, United States Code''; and
       (B) in paragraph (2), by striking ``$50,000,000'' and 
     inserting ``$100,000,000''.

     SEC. 877. EXTENSION OF THE DEPARTMENT OF DEFENSE MENTOR-
                   PROTEGE PILOT PROGRAM.

       Section 831(j) of the National Defense Authorization Act 
     for Fiscal Year 1991 (10 U.S.C. 2302 note) is amended--
       (1) in paragraph (1), by striking ``September 30, 2015'' 
     and inserting ``September 30, 2016''; and
       (2) in paragraph (2), by striking ``September 30, 2018'' 
     and inserting ``September 30, 2019''.

     SEC. 878. IMPROVED AUDITING OF CONTRACTS.

       (a) Addressing Audit Backlog.--
       (1) In general.--Beginning October 1, 2016, the Defense 
     Contract Audit Agency may provide audit support for non-
     Defense Agencies once the Secretary of Defense certifies that 
     the backlog for incurred cost audits is less than 12 months 
     of incurred cost inventory.
       (2) Adjustment in funding for reimbursements from non-
     defense agencies.--The amount appropriated and otherwise 
     available to the Defense Contract Audit Agency for a fiscal 
     year beginning after September 30, 2016, shall be reduced by 
     an amount equivalent to any reimbursements received by the 
     Agency from non-Defense Agencies for support provided in 
     violation of the limitation under paragraph (1).
       (b) Use of Third Party Audits.--The Secretary of Defense 
     shall use up to 5 percent of the auditing staff of the 
     service audit agencies augmented by private sector auditors 
     to help eliminate the audit backlog in incurred cost, pre-
     award accounting systems audits and to reduce the time to 
     complete pre-award audits.
       (c) Use of Inspector General Auditing Staff.--The Office of 
     the Inspector General of the Department of Defense shall make 
     available 5 percent of its auditing staff to the Defense 
     Contract Audit Agency to help eliminate the audit backlog in 
     incurred cost, pre-award accounting systems audits and to 
     reduce the time to complete pre-award audits.
       (d) Defense Contract Audit Agency Annual Report.--Section 
     2313a(a) of title 10, United States Code, is amended--
       (1) in paragraph (2), by amending subparagraph (D) to read 
     as follows:
       ``(D) the total costs of sustained or recovered costs both 
     as a total number and as a percentage of questioned costs; 
     and'';
       (2) in paragraph (3), by striking ``; and'' and inserting a 
     semicolon;
       (3) by redesignating paragraph (4) as paragraph (6); and
       (4) by inserting after paragraph (3) the following new 
     paragraphs:
       ``(4) a description of actions taken to ensure alignment of 
     policies and practices across the Defense Contract Audit 
     Agency regional organizations, offices, and individual 
     auditors;
       ``(5) a description of outreach actions toward industry to 
     promote more effective use of audit resources; and''.
       (e) Acquisition Oversight and Audits.--The Secretary of 
     Defense shall review the oversight and audit structure of the 
     Department of Defense with the goal of enhancing the 
     productivity of oversight and program and contract auditing 
     to avoid duplicative audits and the streamlining of oversight 
     reviews. The Secretary shall take all necessary measures to 
     streamline oversight reviews and avoid duplicative audits and 
     make recommendation for any necessary changes in law.
       (f) Report.--
       (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 
     actions taken to avoid duplicative audits and streamline 
     oversight reviews.
       (2) Elements.--The report required under paragraph (1) 
     shall include the following elements:
       (A) A description of actions taken to avoid duplicative 
     audits and streamline oversight reviews based on the review 
     conducted under subsection (e).
       (B) A comparison of commercial industry accounting 
     practices, including requirements under the Sarbanes-Oxley 
     Act of 2002 (Public Law 107-204), with the Cost Accounting 
     Standards (CAS) to determine if some portions of CAS 
     compliance can be met through such practices or requirements.
       (C) A description of standards of materiality used by the 
     Defense Contract Audit Agency and the Inspector General of 
     the Department of Defense for defense contract audits.
       (D) An estimate of average delay and range of delays in 
     contract awards due to time necessary for the Defense 
     Contract Audit Agency to complete pre-award audits.
       (g) Incurred Cost Inventory Defined.--In this section, the 
     term ``incurred cost inventory'' means the level of 
     contractor incurred cost proposals in inventory from prior 
     fiscal years that are currently being audited by the Defense 
     Contract Audit Agency.

     SEC. 879. SURVEY ON THE COSTS OF REGULATORY COMPLIANCE.

       (a) Survey.--The Secretary of Defense shall conduct a 
     survey of the top ten contractors with the highest level of 
     reimbursements for cost type contracts with the Department of 
     Defense during fiscal year 2014 to estimate industry's cost 
     of regulatory compliance (as a percentage of total costs) 
     with government unique acquisition regulations and 
     requirements in the categories of quality assurance, 
     accounting and financial management, contracting and 
     purchasing, program management, engineering, logistics, 
     material management, property administration, and other 
     unique requirements not imposed on contracts for commercial 
     items.
       (b) Report.--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

[[Page S3514]]

     the findings of the survey conducted under subsection (a). 
     The data received as a result of the survey and included in 
     the report shall be aggregated to protect against the public 
     release of proprietary information.

     SEC. 880. GOVERNMENT ACCOUNTABILITY OFFICE REPORT ON BID 
                   PROTESTS.

       (a) Report Required.--Not later than 270 days after the 
     date of the enactment of this Act, the Comptroller General of 
     the United States shall submit to the congressional defense 
     committees a report on the prevalence and impact of bid 
     protests on Department of Defense acquisitions over the 
     previous 10 years, including both protests to the Government 
     Accountability Office and protests filed in Federal court.
       (b) Elements.--The report required by subsection (a) shall 
     include, at a minimum, the following elements:
       (1) A description of trends in the number of bid protests 
     filed, and the rate of such bid protests compared to the 
     number of procurements.
       (2) A description of comparative rates for bid protests 
     filed by incumbent contractors and bid protests filed by non-
     incumbent contractors.
       (3) An assessment of the cost and schedule impact of 
     successful and unsuccessful bid protests filed by incumbent 
     contractors on contracts for services with a value in excess 
     of $100,000,000.
       (4) A description of trends in the number of bid protests 
     filed and the rate of such bid protests on contracts for the 
     procurement of major defense acquisition programs.
       (5) An assessment of the cost and schedule impact of 
     successful and unsuccessful bid protests filed on contracts 
     for the procurement of major defense acquisition programs.
       (6) A description of any views the Comptroller General may 
     have on the likely impact of a provision requiring a losing 
     protester on a contract for the procurement of a major 
     defense acquisition program to pay the legal fees of the 
     government.

     SEC. 881. STEPS TO IDENTIFY AND ADDRESS POTENTIAL UNFAIR 
                   COMPETITIVE ADVANTAGE OF TECHNICAL ADVISORS TO 
                   ACQUISITION OFFICIALS.

       (a) Guidance Required.--Not later than 120 days after the 
     date of the enactment of this Act, the Under Secretary of 
     Defense for Acquisition, Technology, and Logistics shall 
     issue guidance on steps that should be taken to identify and 
     evaluate, and to avoid, neutralize, or mitigate, any 
     potentially unfair competitive advantage of entities 
     providing technical advice to acquisition officials in the 
     award of research and development work by such officials.
       (b) Definitions.--For the purposes of this section--
       (1) the term ``potentially unfair competitive advantage'' 
     means unequal access to acquisition officials responsible for 
     award decisions or allocation of resources or to acquisition 
     information relevant to award decisions or allocation of 
     resources; and
       (2) the term ``entity providing technical advice to 
     acquisition officials'' means a contractor, Federally-funded 
     research and development center and other non-profit entity, 
     or Federal laboratory that provides systems engineering and 
     technical direction, participates in technical evaluations, 
     helps prepare specifications or work statements, or otherwise 
     provides technical advice to acquisition officials on the 
     conduct of defense acquisition programs.

     SEC. 882. HUBZONE QUALIFIED DISASTER AREAS.

       (a) In General.--The Small Business Act (15 U.S.C. 631 et 
     seq.)) is amended--
       (1) in section 3(p) (15 U.S.C. 632(p))--
       (A) in paragraph (1)--
       (i) in subparagraph (D), by striking ``or'';
       (ii) in subparagraph (E), by striking the period at the end 
     and inserting ``; or''; and
       (iii) by adding at the end the following:
       ``(F) qualified disaster areas.''; and
       (B) in paragraph (4), by adding at the end the following:
       ``(E) Qualified disaster area.--
       ``(i) In general.--The term `qualified disaster area' means 
     any census tract or nonmetropolitan county located in an area 
     for which the President has declared a major disaster under 
     section 401 of the Robert T. Stafford Disaster Relief and 
     Emergency Assistance Act (42 U.S.C. 5170) or located in an 
     area in which a catastrophic incident has occurred, if--

       ``(I) in the case of a census tract, the census tract 
     ceased to be a qualified census tract during the period 
     beginning 5 years before and ending 2 years after the date on 
     which--

       ``(aa) the President declared the major disaster; or
       ``(bb) the catastrophic incident occurred; or

       ``(II) in the case of a nonmetropolitan county, the 
     nonmetropolitan county ceased to be a qualified 
     nonmetropolitan county during the period beginning 5 years 
     before and ending 2 years after the date on which--

       ``(aa) the President declared the major disaster; or
       ``(bb) the catastrophic incident occurred.
       ``(ii) Treatment.--A qualified disaster area shall only be 
     treated as a HUBZone--

       ``(I) in the case of a major disaster declared by the 
     President, during the 5-year period beginning on the date on 
     which the President declared the major disaster for the area 
     in which the census tract or nonmetropolitan county, as 
     applicable, is located; and
       ``(II) in the case of a catastrophic incident, during the 
     10-year period beginning on the date on which the 
     catastrophic incident occurred in the area in which the 
     census tract or nonmetropolitan county, as applicable, is 
     located.''; and

       (2) in section 31(c)(3) (15 U.S.C. 657a(c)(3)), by 
     inserting ``the Administrator of the Federal Emergency 
     Management Agency,'' after ``the Secretary of Labor,''.
       (b) Applicability.--The amendments made by subsection (a) 
     shall apply to a major disaster declared by the President 
     under section 401 of the Robert T. Stafford Disaster Relief 
     and Emergency Assistance Act (42 U.S.C. 5170) or a 
     catastrophic incident that occurs on or after the date of 
     enactment of this Act.

     SEC. 883. BASE CLOSURE HUBZONES.

       (a) In General.--Section 3(p)(5)(A)(i)(I) of the Small 
     Business Act (15 U.S.C. 632(p)(5)(A)(i)(I)) is amended--
       (1) in item (aa), by striking ``or'' at the end;
       (2) by redesignating item (bb) as item (cc); and
       (3) by inserting after item (aa) the following:
       ``(bb) pursuant to subparagraph (A), (B), (C), (D), or (E) 
     of paragraph (3), that its principal office is located in a 
     HUBZone described in paragraph (1)(E) (relating to base 
     closure areas) (in this item referred to as the `base closure 
     HUBZone'), and that not fewer than 35 percent of its 
     employees reside in--
       ``(AA) a HUBZone;
       ``(BB) the census tract in which the base closure HUBZone 
     is wholly contained;
       ``(CC) a census tract the boundaries of which intersect the 
     boundaries of the base closure HUBZone; or
       ``(DD) a census tract the boundaries of which are 
     contiguous to a census tract described in subitem (BB) or 
     (CC); or''.
       (b) Period for Base Closure Areas.--
       (1) Amendments.--
       (A) In general.--Section 152(a)(2) of title I of division K 
     of the Consolidated Appropriations Act, 2005 (15 U.S.C. 632 
     note) is amended by striking ``5 years'' and inserting ``8 
     years''.
       (B) Conforming amendment.--Section 1698(b)(2) of National 
     Defense Authorization Act for Fiscal Year 2013 (15 U.S.C. 632 
     note) is amended by striking ``5 years'' and inserting ``8 
     years''.
       (2) Effective date; applicability.--The amendments made by 
     paragraph (1) shall--
       (A) take effect on the date of enactment of this Act; and
       (B) apply to--
       (i) a base closure area (as defined in section 3(p)(4)(D) 
     of the Small Business Act (15 U.S.C. 632(p)(4)(D))) that, on 
     the day before the date of enactment of this Act, is treated 
     as a HUBZone described in section 3(p)(1)(E) of the Small 
     Business Act (15 U.S.C. 632(p)(1)(E)) under--

       (I) section 152(a)(2) of title I of division K of the 
     Consolidated Appropriations Act, 2005 (15 U.S.C. 632 note); 
     or
       (II) section 1698(b)(2) of National Defense Authorization 
     Act for Fiscal Year 2013 (15 U.S.C. 632 note); and

       (ii) a base closure area relating to the closure of a 
     military instillation under the authority described in 
     clauses (i) through (iv) of section 3(p)(4)(D) of the Small 
     Business Act (15 U.S.C. 632(p)(4)(D)) that occurs on or after 
     the date of enactment of this Act.

      TITLE IX--DEPARTMENT OF DEFENSE ORGANIZATION AND MANAGEMENT

     SEC. 901. UPDATE OF STATUTORY SPECIFICATION OF FUNCTIONS OF 
                   CHAIRMAN OF THE JOINT CHIEFS OF STAFF RELATING 
                   TO ADVICE ON REQUIREMENTS, PROGRAMS, AND 
                   BUDGET.

       Section 153(a)(4) of title 10, United States Code, is 
     amended by adding at the end the following new subparagraph:
       ``(H) Advising the Secretary on development of joint 
     command, control, communications, and cyber capabilities, 
     including integration and interoperability of such 
     capabilities, through requirements, integrated architectures, 
     data standards, and assessments.''.

     SEC. 902. REORGANIZATION AND REDESIGNATION OF OFFICE OF 
                   FAMILY POLICY AND OFFICE OF COMMUNITY SUPPORT 
                   FOR MILITARY FAMILIES WITH SPECIAL NEEDS.

       (a) Office of Family Policy.--
       (1) Redesignation as office of military family readiness 
     policy.--Section 1781(a) of title 10, United States Code, is 
     amended--
       (A) by striking ``Office of Family Policy'' and inserting 
     ``Office of Military Family Readiness Policy''; and
       (B) by striking ``Director of Family Policy'' and inserting 
     ``Director of Military Family Readiness Policy''.
       (2) Requirement for director to be member of senior 
     executive service or general or flag officer.--Such section 
     is further amended by adding at the end the following new 
     sentence: ``The Director shall be a member of the Senior 
     Executive Service or a general officer or flag officer.''.
       (3) Inclusion of director on military family readiness 
     council.--Subsection (b)(1)(E) of section 1781a of such title 
     is amended by striking ``Office of Community Support for 
     Military Families with Special Needs'' and inserting ``Office 
     of Military Family Readiness Policy''.
       (4) Conforming amendment.--Section 131(b)(7)(F) of such 
     title is amended by striking ``Director of Family Policy'' 
     and inserting ``Director of Military Family Readiness 
     Policy''.
       (5) Heading and clerical amendments.--
       (A) Section heading.--The heading of section 1781 of such 
     title is amended to read as follows:

[[Page S3515]]

     ``Sec. 1781. Office of Military Family Readiness Policy''.

       (B) Clerical amendment.--The table of sections at the 
     beginning of chapter 88 of such title is amended by striking 
     the item relating to section 1781 and inserting the following 
     new item:

``1781. Office of Military Family Readiness Policy.''.

       (b) Office of Community Support for Military Families With 
     Special Needs.--
       (1) Redesignation as office of special needs.--Subsection 
     (a) of section 1781c of title 10, United States Code, is 
     amended by striking ``Office of Community Support for 
     Military Families with Special Needs'' and inserting ``Office 
     of Special Needs''.
       (2) Reorganization under office of military family 
     readiness policy.--Such subsection is further amended by 
     striking ``Office of the Under Secretary of Defense for 
     Personnel and Readiness'' and inserting ``Office of Military 
     Family Readiness Policy''.
       (3) Repeal of requirement for head of office to be member 
     of senior executive service or general or flag officer.--Such 
     section is further amended by striking subsection (c).
       (4) Conforming amendments.--Such section is further 
     amended--
       (A) by redesignating subsections (d) through (i) as 
     subsections (c) through (h), respectively;
       (B) by striking ``subsection (e)'' each place it appears 
     and inserting ``subsection (d)'';
       (C) in subsection (c), as so redesignated, by striking 
     ``subsection (f)'' in paragraph (2) and inserting 
     ``subsection (e)''; and
       (D) in subsection (g), as so redesignated, by striking 
     ``subsection (d)(4)'' in paragraph (2)(B) and inserting 
     ``subsection (c)(4)''.
       (5) Heading and clerical amendments.--
       (A) Section heading.--The heading of such section is 
     amended to read as follows:

     ``Sec. 1781c. Office of Special Needs''.

       (B) Clerical amendment.--The table of sections at the 
     beginning of chapter 88 of such title is amended by striking 
     the item relating to section 1781c and inserting the 
     following new item:

``1781c. Office of Special Needs.''.

     SEC. 903. REPEAL OF REQUIREMENT FOR ANNUAL DEPARTMENT OF 
                   DEFENSE FUNDING FOR OCEAN RESEARCH ADVISORY 
                   PANEL.

       Section 7903 of title 10, United States Code, is amended by 
     striking subsection (c).

                      TITLE X--GENERAL PROVISIONS

                     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 2016 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.--Except as provided in paragraph (3), the 
     total amount of authorizations that the Secretary may 
     transfer under the authority of this section may not exceed 
     $4,500,000,000.
       (3) Exception for transfers between military personnel 
     authorizations.--A transfer of funds between military 
     personnel authorizations under title IV shall not be counted 
     toward the dollar limitation in paragraph (2).
       (b) Limitations.--The authority provided by subsection (a) 
     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. ANNUAL AUDIT OF FINANCIAL STATEMENTS OF DEPARTMENT 
                   OF DEFENSE COMPONENTS BY INDEPENDENT EXTERNAL 
                   AUDITORS.

       (a) Audits Required.--For purposes of satisfying the 
     requirement under section 3521(e) of title 31, United States 
     Code, for audits of financial statements of Department of 
     Defense components identified by the Director of the Office 
     of Management and Budget under section 3515(c) of such title, 
     the Inspector General of the Department of Defense shall 
     obtain each year audits of the financial statements of each 
     such component by an independent external auditor.
       (b) Inspector General Selection and Oversight.--The 
     Inspector General shall--
       (1) select independent external auditors for purposes of 
     subsection (a) based, among other appropriate criteria, on 
     their qualifications, independence, and capacity to conduct 
     audits described in subsection (a) in accordance with 
     applicable generally accepted government auditing standards; 
     and
       (2) shall monitor the conduct of such audits.
       (c) Reports on Audits.--
       (1) In general.--The Inspector General shall require the 
     independent external auditors conducting audits under 
     subsection (a) to submit a report on their audits each year 
     to the Secretary of Defense, the Controller of the Office of 
     Federal Financial Management in the Office of Management and 
     Budget, and the appropriate committees of Congress.
       (2) Appropriate committees of congress defined.--In this 
     subsection, the term ``appropriate committees of Congress'' 
     means--
       (A) the Committee on Armed Services, the Committee on 
     Homeland Security and Governmental Affairs, and the Committee 
     on Appropriations of the Senate; and
       (B) the Committee on Armed Services, the Committee on 
     Oversight and Government Reform, and the Committee on 
     Appropriations of the House of Representatives.
       (d) Relationship to Existing Law.--The requirements of this 
     section--
       (1) shall be implemented in a manner that is consistent 
     with the requirements of section 1008 of the National Defense 
     Authorization Act for Fiscal Year 2002 (10 U.S.C. 2222 note);
       (2) shall not be construed to alter the requirement under 
     section 3521(e) of title 31, United States Code, that the 
     financial statements of the Department of Defense as a whole 
     be audited by the Inspector General or by an independent 
     external auditor, as determined by the Inspector General; and
       (3) shall not be construed to limit or alter the 
     authorities of the Comptroller General of the United States 
     under section 3521(g) of title 31, United States Code.

     SEC. 1003. TREATMENT AS PART OF THE BASE BUDGET OF CERTAIN 
                   AMOUNTS AUTHORIZED FOR OVERSEAS CONTINGENCY 
                   OPERATIONS UPON ENACTMENT OF AN ACT REVISING 
                   THE BUDGET CONTROL ACT DISCRETIONARY SPENDING 
                   LIMITS FOR FISCAL YEAR 2016.

       (a) In General.--In the event of the enactment of an Act 
     revising in proportionally equal amounts the defense and non-
     defense discretionary spending limits for fiscal year 2016, 
     the amount authorized to be appropriated by title XV that is 
     in excess of the $50,900,000,000 that is authorized to be 
     appropriated by that title for revised security category 
     activities, and is also not greater than the amount of the 
     increase in the discretionary spending limit for revised 
     security category activities revised by that Act, shall be 
     deemed to have been authorized to be appropriated by title 
     III.
       (b) Definitions.--In this section:
       (1) The term ``Act revising the defense and non-defense 
     discretionary spending limits for fiscal year 2016'' means an 
     Act--
       (A) enacted after the date of enactment of this Act; and
       (B) that--
       (i) increases in proportionally equal amounts the 
     discretionary spending limits for fiscal year 2016 for the 
     revised security category and the revised nonsecurity 
     category; and
       (ii) may include increases to the discretionary spending 
     limits for fiscal years 2017 through 2021.
       (2) The terms ``discretionary spending limit'', ``revised 
     nonsecurity category'', and ``revised security category'' 
     have the meanings given such terms in section 250 of the 
     Balanced Budget and Emergency Deficit Control Act of 1985 (2 
     U.S.C. 900).

     SEC. 1004. SENSE OF SENATE ON SEQUESTRATION.

       It is the sense of the Senate that--
       (1) the nation's fiscal challenges are a top priority for 
     Congress, and sequestration--non-strategic, across-the-board 
     budget cuts--remains an unreasonable and inadequate budgeting 
     tool to address the nation's deficits and debt;
       (2) sequestration relief must be accomplished for fiscal 
     years 2016 and 2017;
       (3) sequestration relief should include equal defense and 
     non-defense relief; and
       (4) sequestration relief should be offset through targeted 
     changes in mandatory and discretionary categories and 
     revenues.

                  Subtitle B--Counter-Drug Activities

     SEC. 1011. EXTENSION OF AUTHORITY TO SUPPORT UNIFIED 
                   COUNTERDRUG AND COUNTERTERRORISM CAMPAIGN IN 
                   COLOMBIA.

       (a) Extension of Authority.--Section 1021 of the Ronald W. 
     Reagan National Defense Authorization Act for Fiscal Year 
     2005 (Public Law 108-375; 118 Stat. 2042), as most recently 
     amended by section 1011(a) of the Carl Levin and Howard P. 
     ``Buck'' McKeon National Defense Authorization Act for Fiscal 
     Year 2015 (Public Law 113-291), is further amended--
       (1) In subsection (a), by striking ``2016'' and inserting 
     ``2017''; and
       (2) In subsection (c), by striking ``2016'' and inserting 
     ``2017''.
       (b) Extension of Annual Notice to Congress on Assistance.--
     Section 1011(b) of the Carl Levin and Howard P. ``Buck'' 
     McKeon National Defense Authorization Act for Fiscal Year 
     2015 is amended by striking ``(as amended by subsection (a)) 
     using funds available for fiscal year 2015'' and inserting 
     ``using funds available for any fiscal year''.

[[Page S3516]]

     SEC. 1012. EXTENSION AND EXPANSION OF AUTHORITY TO PROVIDE 
                   ADDITIONAL SUPPORT FOR COUNTER-DRUG ACTIVITIES 
                   OF CERTAIN FOREIGN GOVERNMENTS.

       (a) Extension.--Subsection (a)(2) of section 1033 of the 
     National Defense Authorization Act for Fiscal Year 1998 
     (Public Law 105-85; 111 Stat. 1881), as most recently amended 
     by section 1013 of the National Defense Authorization Act for 
     Fiscal Year 2014 (Public Law 113-66; 127 Stat. 844), is 
     further amended by striking ``2016'' and inserting ``2017''.
       (b) Maximum Amount of Support.--Subsection (e)(2) of such 
     section 1033, as so amended, is further amended by striking 
     ``2016'' and inserting ``2017''.
       (c) Additional Governments Eligible To Receive Support.--
     Subsection (b) of such section 1033, as so amended, is 
     further amended by adding at the end of the following new 
     paragraphs:
       ``(40) Government of Kenya.
       ``(41) Government of Tanzania.
       ``(42) Government of Somalia.''.

                Subtitle C--Naval Vessels and Shipyards

     SEC. 1021. STUDIES OF FLEET PLATFORM ARCHITECTURES FOR THE 
                   NAVY.

       (a) Independent Studies.--
       (1) In general.--The Secretary of Defense shall provide for 
     the performance of three independent studies of alternative 
     future fleet platform architectures for the Navy in the 2030 
     timeframe.
       (2) Submission to congress.--Not later than May 1, 2016, 
     the Secretary shall forward the results of each study to the 
     congressional defense committees.
       (3) Form.--Each such study shall be submitted in 
     unclassified form, but may contain a classified annex as 
     necessary.
       (b) Entities to Perform Studies.--The Secretary of Defense 
     shall provide for the studies under subsection (a) to be 
     performed as follows:
       (1) One study shall be performed by the Department of the 
     Navy and shall include participants from--
       (A) the Office of Net Assessment within the Office of the 
     Secretary of Defense; and
       (B) the Naval Surface Warfare Center Dahlgren Division.
       (2) The second study shall be performed by a federally 
     funded research and development center.
       (3) The final study shall be conducted by an independent, 
     non-governmental institute which is described in section 
     501(c)(3) of the Internal Revenue Code of 1986, and exempt 
     from tax under section 501(a) of such Code, and has 
     recognized credentials and expertise in national security and 
     military affairs.
       (c) Performance of Studies.--
       (1) Independent performance.--The Secretary of Defense 
     shall require the three studies under this section to be 
     conducted independently of each other.
       (2) Matters to be considered.--In performing a study under 
     this section, the organization performing the study, while 
     being aware of the current and projected fleet platform 
     architectures, shall not be limited by the current or 
     projected fleet platform architecture and shall consider the 
     following matters:
       (A) The National Security Strategy of the United States.
       (B) Potential future threats to the United States and to 
     United States naval forces in the 2030 timeframe.
       (C) Traditional roles and missions of United States naval 
     forces.
       (D) Alternative roles and missions for United States naval 
     forces.
       (E) Other government and non-government analyses that would 
     contribute to the study through variations in study 
     assumptions or potential scenarios.
       (F) The role of evolving technology on future naval forces, 
     including unmanned systems.
       (G) Opportunities for reduced personnel and sustainment 
     costs.
       (H) Current and projected capabilities of other United 
     States military services that could affect force structure 
     capability and capacity requirements of United States naval 
     forces.
       (d) Study Results.--The results of each study under this 
     section shall--
       (1) present the alternative fleet platform architectures 
     considered, with assumptions and possible scenarios 
     identified for each;
       (2) provide for presentation of minority views of study 
     participants; and
       (3) for the recommended architecture, provide--
       (A) the numbers, kinds, and sizes of vessels, the numbers 
     and types of associated manned and unmanned vehicles, and the 
     basic capabilities of each of those platforms;
       (B) other information needed to understand that 
     architecture in basic form and the supporting analysis;
       (C) deviations from the current Annual Long-Range Plan for 
     Construction of Naval Vessels required under section 231 of 
     title 10, United States Code;
       (D) options to address ship classes that begin 
     decommissioning prior to 2035; and
       (E) implications for naval aviation, including the future 
     carrier air wing and land-based aviation platforms.

     SEC. 1022. AMENDMENT TO NATIONAL SEA-BASED DETERRENCE FUND.

       Section 1022(b)(1) of the Carl Levin and Howard P. ``Buck'' 
     McKeon National Defense Authorization Act for Fiscal Year 
     2015 (Public Law 113-291) is amended by striking ``for the 
     Navy for the Ohio Replacement Program''.

     SEC. 1023. EXTENSION OF AUTHORITY FOR REIMBURSEMENT OF 
                   EXPENSES FOR CERTAIN NAVY MESS OPERATIONS 
                   AFLOAT.

       (a) Extension.--Subsection (b) of section 1014 of the 
     Duncan Hunter National Defense Authorization Act for Fiscal 
     Year 2009 (Public Law 110-417; 122 Stat. 4585), as amended by 
     section 1021 of the Ike Skelton National Defense 
     Authorization Act for Fiscal Year 2011 (Public Law 111-383; 
     124 Stat. 4348), is further amended by striking ``September 
     30, 2015'' and inserting ``September 30, 2020''.
       (b) Technical and Clarifying Amendments.--Subsection (a) of 
     such section, as so amended, is further amended--
       (1) in the matter preceding paragraph (1), by striking 
     ``not more that'' and inserting ``not more than''; and
       (2) in paragraph (2), by striking ``Naval vessels'' and 
     inserting ``such vessels''.

                      Subtitle D--Counterterrorism

     SEC. 1031. PROHIBITION ON USE OF FUNDS TO CONSTRUCT OR MODIFY 
                   FACILITIES IN THE UNITED STATES TO HOUSE 
                   DETAINEES TRANSFERRED FROM UNITED STATES NAVAL 
                   STATION, GUANTANAMO BAY, CUBA.

       (a) Prohibition.--No amounts authorized to be appropriated 
     by this Act or otherwise available for the Department of 
     Defense may be used, during the period beginning on the date 
     of the enactment of this Act and ending on the effective date 
     specified in section 1032(f), to construct or modify any 
     facility in the United States, its territories, or 
     possessions to house an individual detained at Guantanamo for 
     the purpose of detention or imprisonment in the custody or 
     control of the United States Government unless authorized by 
     Congress.
       (b) Exception.--The prohibition in subsection (a) shall not 
     apply to any modification of facilities at United States 
     Naval Station, Guantanamo Bay, Cuba.
       (c) Individual Detained at Guantanamo Defined.--In this 
     section, the term ``individual detained at Guantanamo'' means 
     any individual located at United States Naval Station, 
     Guantanamo Bay, Cuba, as of October 1, 2009, who--
       (1) is not a citizen of the United States or a member of 
     the Armed Forces of the United States; and
       (2) is--
       (A) in the custody or under the control of the Department 
     of Defense; or
       (B) otherwise under detention at United States Naval 
     Station, Guantanamo Bay, Cuba.
       (d) Repeal of Superseded Prohibition.--Section 1033 of the 
     National Defense Authorization Act for Fiscal Year 2014 
     (Public Law 113-66; 127 Stat. 850), as amended by section 
     1032 of the Carl Levin and Howard P. ``Buck'' McKeon National 
     Defense Authorization Act for Fiscal Year 2015 (Public Law 
     113-291), is repealed.

     SEC. 1032. LIMITATION ON THE TRANSFER OR RELEASE OF 
                   INDIVIDUALS DETAINED AT UNITED STATES NAVAL 
                   STATION, GUANTANAMO BAY, CUBA.

       (a) In General.--Except as provided in subsection (b), no 
     amounts authorized to be appropriated by this Act or 
     otherwise available for the Department of Defense may be used 
     to transfer, release, or assist in the transfer or release to 
     or within the United States, its territories, or possessions 
     of Khalid Sheikh Mohammed or any other detainee who--
       (1) is not a United States citizen or a member of the Armed 
     Forces of the United States; and
       (2) is or was held on or after January 20, 2009, at United 
     States Naval Station, Guantanamo Bay, Cuba, by the Department 
     of Defense.
       (b) Transfer for Detention and Trial.--The Secretary of 
     Defense may transfer a detainee described in subsection (a) 
     to the United States for detention pursuant to the 
     Authorization for Use of Military Force (Public Law 107-40), 
     trial, and incarceration if the Secretary--
       (1) determines that the transfer is in the national 
     security interest of the United States;
       (2) determines that appropriate actions have been taken, or 
     will be taken, to address any risk to public safety that 
     could arise in connection with detention and trial in the 
     United States; and
       (3) notifies the appropriate committees of Congress not 
     later than 30 days before the date of the proposed transfer.
       (c) Notification Elements.--A notification on a transfer 
     under subsection (b)(3) shall include the following:
       (1) A statement of the basis for the determination that the 
     transfer is in the national security interest of the United 
     States.
       (2) A description of the action the Secretary determines 
     have been taken, or will be taken, to address any risk to the 
     public safety that could arise in connection with the 
     detention and trial in the United States.
       (d) Status While in the United States.--A detainee who is 
     transferred to the United States under this section--
       (1) shall not be permitted to apply for asylum under 
     section 208 of the Immigration and Nationality Act (8 U.S.C. 
     1158) or be eligible to apply for admission into the United 
     States;
       (2) shall be considered to be paroled into the United 
     States temporarily pursuant to section 212(d)(5)(A) of the 
     Immigration and Nationality Act (8 U.S.C. 1182(d)(5)(A));
       (3) shall not at any time be subject to, and may not apply 
     for or obtain, or be deemed to enjoy, any right, privilege, 
     status, benefit, or eligibility for any benefit under any 
     provision of the immigration laws (as defined in

[[Page S3517]]

     section 101(a)(17) of the Immigration and Nationality Act (8 
     U.S.C. 1101(a)(17)), or any other law or regulation; and
       (4) shall not, as a result of such transfer, have a change 
     in designation as an unprivileged enemy belligerent eligible 
     for detention pursuant to the Authorization for Use of 
     Military Force, as determined in accordance with applicable 
     law and regulations.
       (e) Limitations on Judicial Review.--
       (1) Limitations.--Except as provided for in paragraph (2), 
     no court, justice, or judge shall have jurisdiction to hear 
     or consider any action against the United States or its 
     agents relating to any aspect of the detention, transfer, 
     treatment, or conditions of confinement of a detainee 
     described in subsection (a) who is held by the Armed Forces 
     of the United States.
       (2) Exception.--A detainee who is transferred to the United 
     States under this section shall not be deprived of the right 
     to challenge his designation as an unprivileged enemy 
     belligerent by filing a writ of habeas corpus as provided by 
     the Supreme Court in Hamdan v. Rumsfeld (548 U.S. 557 (2006)) 
     and Boumediene v. Bush (553 U.S. 723 (2008)).
       (3) No cause of action in decision not to transfer.--A 
     decision not to transfer a detainee to the United States 
     under this section shall not give rise to a judicial cause of 
     action.
       (f) Effective Date.--Subsections (b), (c), (d), and (e) 
     shall take effect on the effective date of a joint resolution 
     approved pursuant to subsection (h) on the plan on the 
     disposition of detainees held at United States Naval Station, 
     Guantanamo Bay, Cuba, submitted pursuant to subsection (g).
       (g) Plan for Disposition of Detainees.--
       (1) Report on plan required.--The Secretary of Defense 
     shall submit to the appropriate committees of Congress a 
     report setting forth a comprehensive plan on the disposition 
     of detainees held at United States Naval Station, Guantanamo 
     Bay, Cuba.
       (2) Elements.--The report required by paragraph (1) shall 
     contain the following:
       (A) A case-by-case determination made for each individual 
     detained at Guantanamo of whether such individual is intended 
     to be transferred to a foreign country, transferred to the 
     United States for the purpose of civilian or military trial, 
     or transferred to the United States or another country for 
     continued detention under the law of armed conflict.
       (B) The specific facility or facilities that are intended 
     to be used, or modified to be used, to hold individuals 
     inside the United States for the purpose of trial, for 
     detention in the aftermath of conviction, or for continued 
     detention under the law of armed conflict.
       (C) The estimated costs associated with the detention 
     inside the United States of individuals detained at 
     Guantanamo.
       (D) A description of the legal implications associated with 
     the detention inside the United States of an individual 
     detained at Guantanamo, including but not limited to the 
     right to challenge such detention as unlawful.
       (E) A detailed description and assessment, made in 
     consultation with the Secretary of State and the Director of 
     National Intelligence, of the actions that would be taken 
     prior to the transfer to a foreign country of an individual 
     detained at Guantanamo that would substantially mitigate the 
     risk of such individual engaging or reengaging in any 
     terrorist or other hostile activity that threatens the United 
     States or United States person or interests.
       (F) What additional authorities, if any, may be necessary 
     to detain an individual detained at Guantanamo inside the 
     United States as an unprivileged enemy belligerent pursuant 
     to the Authorization for Use of Military Force, pending the 
     end of hostilities or a future determination by the Secretary 
     of Defense that such individual no longer poses a threat to 
     the United States or United States persons or interests.
       (G) A plan for the disposition of any individuals who are 
     detained by the United States under the law of armed conflict 
     after the date of the report, including a plan to detain and 
     interrogate such individuals for the purposes of--
       (i) protecting the security of the United States, its 
     persons, allies, and interests; and
       (ii) collecting intelligence necessary to ensure the 
     security of the United States, its person, allies, and 
     interests.
       (3) Form.--The report required by paragraph (1) shall be 
     submitted in unclassified form, but may include a classified 
     annex.
       (h) Consideration by Congress of Secretary of Defense 
     Plan.--
       (1) Terms of the resolution.--For purposes of this section 
     the term ``joint resolution'' means only a joint resolution 
     which is introduced within the 10-day period beginning on the 
     date on which the Secretary of Defense submits to Congress a 
     report under subsection (g) and--
       (A) which does not have a preamble;
       (B) the matter after the resolving clause of which is as 
     follows: ``That Congress approves the plan of the Secretary 
     of Defense on the disposition of detainees held at United 
     States Naval Station, Guantanamo Bay, Cuba, under section 
     1032(g) of the National Defense Authorization Act for Fiscal 
     Year 2016 as submitted by the Secretary of Defense to 
     Congress on ______