[Congressional Record Volume 161, Number 93 (Thursday, June 11, 2015)]
[Senate]
[Pages S4112-S4113]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

  SA 2008. Mr. GRAHAM submitted an amendment intended to be proposed to 
amendment SA 1463 proposed by Mr. McCain to the bill H.R. 1735, to 
authorize appropriations for fiscal year 2016 for military activities 
of the Department of Defense, for military construction, and for 
defense activities of the Department of Energy, to prescribe military 
personnel strengths for such fiscal year, and for other purposes; which 
was ordered to lie on the table; as follows:

       Strike section 1645 and insert the following:

     SEC. 1645. ISRAELI COOPERATIVE MISSILE DEFENSE PROGRAM 
                   CODEVELOPMENT AND POTENTIAL COPRODUCTION.

       (a) In General.--Except as otherwise provided in this 
     section, of the amount authorized to be appropriated for 
     fiscal year 2016 for Procurement, Defense-wide, and available 
     for the Missile Defense Agency, $150,000,000 may be provided 
     to the Government of Israel to procure the David's Sling 
     Weapon System

[[Page S4113]]

     and $15,000,000 for the Arrow 3 Upper Tier Interceptor 
     Program, including for co-production of parts and components 
     in the United States by United States industry.
       (b) Disbursement.--
       (1) In general.--Except as provided in paragraph (2), 
     following successful completion of milestones that inform 
     production decisions and production readiness reviews in the 
     research, development, and technology agreements for the 
     David's Sling Weapon System and the Arrow 3 Upper Tier 
     Development Program, the Director of the Missile Defense 
     Agency may disburse amounts available pursuant to subsection 
     (a) on the basis of what is mutually agreed to by the United 
     States and Israel, on or after the date that the United 
     States enters into a bilateral agreement with the Government 
     of Israel that, as determined by the Director, accomplishes 
     the following:
       (A) Establishes the terms of co-production of parts and 
     components of the respective systems--
       (i) in a manner that will minimize non-recurring 
     engineering and facilitization expenses; and
       (ii) that ensures that an optimal production share is 
     carried out by United States persons.
       (B) Ensures that, in the case of coproduction of the 
     David's Sling Weapon System, a study is jointly conduced by 
     the Israel Missile Defense Organization and the Missile 
     Defense Agency of the United States as follows:
       (i) The purpose of the study shall be to determine the most 
     effective and efficient ways to reach a target of 50 percent 
     production in the United States by the end of the multi-year 
     coproduction plan.
       (ii) The study shall identify and assess, with respect to 
     the process of moving production to the United States--

       (I) the best opportunities for United States contractors;
       (II) cost, schedule, and operational risks; and
       (III) imports required.

       (iii) The study shall be carried out so that the results 
     will inform future negotiations on the amendments to the 
     bilateral agreement with regard to United States work share.
       (C) Establishes a plan for procurement, using amounts 
     disbursed under this subsection and based on the Israeli 
     requirement for the number of interceptors and batteries of 
     the respective systems that will be procured.
       (D) Allows the Director of the Missile Defense Agency and 
     the Under Secretary of Defense for Acquisition, Technology 
     and Logistics to establish technical milestones for co-
     production and procurement of the respective systems.
       (E) Establishes joint approval processes for third party 
     sales of such systems.
       (2) Exception for long lead time and critical items.--(A) 
     The Director may make a disbursement under paragraph (1) 
     before the date that the United States enters into a 
     bilateral agreement described in such paragraph for long lead 
     time and critical procurement items and activities, not to 
     exceed $90,000,000 for the David's Sling Weapon System and 
     $15,000,000 for the Arrow 3 Upper Tier Interceptor Program.
       (B) Amounts disbursed under subparagraph (A) shall be 
     considered amounts disbursed under a bilateral agreement 
     described in paragraph (1).
                                 ______